Chapter 6:

TQM Tools and Techniques.

Mohd Zaizu Ilyas

 Objectives

At the end of this topic, you should be able to

DEFINE and EXPLAIN
1.QFD,
2.Benchmarking,
3.Kanban,
4.JIT.
DESCRIBE, EXPLAIN and DEMONSTRATE
5.Quality Tools
 Why need Quality tools?

• Most decision point and root causes remain

unclear until valid data are studied and
analyzed.
• Collecting and analyzing data using total
quality tools make the task easy for everyone.
 Why need Quality tools?

• No matter where you fit into organization in

future, you may use all or some of these tool
and employers will serve you well for better
prospects.
• This chapter will explain the most widely used
of quality tools.
 What is the Quality tools?

• The Seven Basic Tools of Quality is a

designation given to a fixed set of graphical
techniques identified as being most helpful in
troubleshooting issues related to quality.
 What is the Quality tools?
• The tools are:-
• 1) the Pareto charts
• 2) the Cause-and-Effect / Ishikawa diagram
/Fishbone diagram
• 3) the Check Sheet
• 4) the Flow Chart
• 5) the Histogram
• 6) the Scatter Diagram
• 7) the Control Chart
 1) Pareto Chart

• Pareto charts are useful for separating the

important from the trivial.
• Named after Italian economist and sociologist
Vilfredo Pareto (1848-1923). Was promoted
by Dr.Josep Juran.
• Pareto charts are important because they can
help an organization decide where to focus
limited resources.
• On a Pareto chart, data are arrayed along an
X-axis and a Y-axis.
 Example
Example
• In a factory, Only20% of problems will produce
80% of defects .
• 80% of defect’s cost will be assigned to only
20% of the total number of defect types
occurring.
• So, 80% of defect costs will spring 20% of total
cost element.
 Purpose of Pareto

• Pareto can show you where to apply your

resources by “revealing few from the trivial
many”..
•  (Highlight few most important issues out of
many)
Pareto Chart

Figure 15-1
 Pareto Chart
Pareto Chart
• Figure 15-1 represents customers A,B, C, D, E
and All others.
• 75% sales are from 2 customers; A,B
• All others include many more customers but
brings insignificant sales (>5%)
• Which customers should be kept happy?
Pareto Chart
Pareto Chart
 Pareto Chart
Pareto Chart
• Figure 15-2 shows sales of particular model of
automobile by age group of the buyers.
• The manufacturer has limited budget in
advertising.
• The chart reveals the most logical choice to
target to advertise.
• Concentrating on advertising on 26-45 age
will result in the best return of investment.
(75%)
• The significant few  26-45 age
• The insignificant many are those under 26 &
above 45
 Pareto Chart
Pareto Chart
• Figure 15-3
 Pareto Chart
Pareto Chart
• Figure 15-3 shows 80% of the cost was related to 5
defect causes.
• All the other (about 30 more) were insignificant.
• The longest bar ($70k) accounted for 40%, if solved,
immediate reduction in rework cost will happen.
• After eliminate the longest bar, the team sorted data
again to develop level 2 Pareto Chart *Read page
484-489 for further understanding
 Pareto Chart
Pareto Chart
• Figure 15-4
 Steps in Constructing Pareto Chart
1. Select the subject of the chart
2. Determine what data to be gathered
3. Gather the data related to the quality problem
4. Make a check sheet of the gathered data, record the
total numbers in each category.
5. Determine total numbers of nonconformities,
calculate percentage each.
6. Select scales of the chart
7. Draw PARETO Chart from largest category to
smallest.
8. Analyze the chart
2) Cause and Effect Diagrams / Ishikawa
Diagrams
 Cause and Effect Diagrams

• Use to identify and isolate causes of a

problem. Developed by Dr. Kaoru Ishikawa.
(1915-1989)
• Also called Ishikawa Diagram / Fishbone
Diagram.
 Cause and Effect Diagrams
Cause and Effect Diagrams
• Benefits;
– Creating the diagram – enlightened,
instructive process.
– Focus a group, reducing irrelevant
discussion.
– Separate causes from symptoms
– Can be used with any problems
Cause and Effect Diagrams
Cause and Effect Diagrams
6 Common major factors in Ishikawa
Diagrams

1. Man (Operator)
2. Method
3. Measurement
4. Material
5. Machine
6. Environment
 Ishikawa Diagram

ENVIRONMENT MACHINE MAN

Problem A

MEASUREMENT MATERIAL METHOD

 Cause and Effect Diagrams
Cause and Effect Diagrams
• From figure 15-8, the spine points to the
effect.
• The effect is the problem we are interested in.
• The lower level factors affecting major factor
branch.
• Check Figure 15-7 to see whether the major
causes can be identified.
 Cause and Effect Diagrams
Cause and Effect Diagrams
• E,g: Machine soldering defects
– Six major groupings of causes are;
• Solder machine itself
• Operators
• Materials
• Methods/procedures
• Measurement of accuracy
• Environment
Cause and Effect Diagrams
 Cause and Effect Diagrams
Cause and Effect Diagrams
• Normally created by teams to brainstorm the
cause/effect.
• Completed diagram reveals factors & relationship
which not been obvious.
• Some problems previously were isolated now can be
identified.
• Therefore, further action shall be taken.
• Cause and Effect Diagrams serve as a reminder.
 FIVE WHYs
• The ‘5 Whys’ is a question-asking method
used to explore the cause/effect relationships
underlying a particular problem.
• Objective: To determine a root cause of a
defect or problem.
• The technique was originally developed by
Sakichi Toyoda (1867-1930)and was later used
within Toyota Motor Corporation during the
evolution of their manufacturing
methodologies.
• Part of Toyota Production System activities.
 Example of 5 whys
• My car cannot start. (the problem statement)
• Why? - The battery is dead. (first why)
• Why? - The alternator is not functioning. (second
why)
• Why? - The alternator belt has broken. (third why)
• Why? - The alternator belt was well beyond its useful
service life and has never been replaced. (fourth
why)
• Why? - I have not been maintaining my car according
to the recommended service schedule. (fifth why,
root cause)
This example could be taken further to a sixth, seventh,
or even greater level.
 How To Complete The 5 Whys
1. Write down the specific problem. Describe it
completely. It also helps a team focus on the same
problem.
2. Ask Why the problem happens and write the
answer down below the problem.

3. If the answer doesn't identify the root cause of the

problem that you wrote down in step 1, ask Why
again and write that answer down.

4. Loop back to step 3 until the team is in agreement

that the problem's root cause is identified. Again,
this may take fewer or more times than five Whys.
 5 Whys Examples
Problem Statement: Customers are unhappy because they are
being shipped products that don't meet their specifications.
1. Why are customers BEING SHIPPED BAD PRODUCTS?
- Because manufacturing built the products to a specification that is
different from what the customer and the sales person agreed to.
2. Why did manufacturing build the products to a different specification
than that of sales?
- Because the sales person expedites work on the shop floor by calling the
head of manufacturing directly to begin work. An error happened when
the specifications were being communicated or written down.
3. Why does the sales person call the head of manufacturing directly to
start work instead of following the procedure established in the
company?
- Because the "start work" form requires the sales director's approval
before work can begin and slows the manufacturing process (or stops it
when the director is out of the office).
4. Why does the form contain an approval for the sales director?
- Because the sales director needs to be continually updated on sales for
discussions with the CEO.
3) Check sheets
 Check sheets

• Many organizations:
They are :”DATA RICH, INFORMATION POOR”
• Check sheet can be a valuable tool in wide
applications.
• Purpose: To make it easy to collect data for
specific purposes or to convert into valuable
information.
E.g; Weekly Summary of Shaft Dimensional
Tolerance Results
 Check sheets
Check sheet
• Figure 15-11 reports how the works being
produced relates to the shaft length
specifications.
• Machine setup limits 1.120 – 1.130 inches.
Outside range  waste!
• So Figure 15-12 is the check sheet set up to
display useful information.
• It produces histogram.
4) Flow Chart
 Flow Chart

• A flowchart is a type of diagram that

represents an algorithm or process, showing
the steps as boxes of various kinds, and their
order by connecting these with arrows
Flow Chart
Example of the flow chart symbol
5) Histograms
 Histograms
• Used to chart frequency of occurrence. (How often
does something happen?)
• Commonly associated with processes: attributes and
variables

DATA TYPES EXAMPLES

Attributes Has / has not
Good / bad
Pass / fail
Accept / Reject
Conform / non-conform
Variables Measured values (Dimension, weight,
voltage, surface, etc.)
 Histograms
• Attribute data: Go/no go information.
• Variable data: measurement information.
• Looking at Figure 15-14, we are using attributes data;
either they passed or they failed the screening.
• But, it does not reveal about the process contributing
to the adjustment.
• Also, does not tell the robust process. This is why
variables data is needed.
 Histograms
• Figure 15-14 : Shaft Acceptence: week of 7/11
(Spec: 1.120-1.130”)
Date Accepted Rejected
11 11 1
12 12 0
13 11 1
14 12 0
15 12 0
Total 58 2
 Histograms and Statistics
• Example: textbook – page 500
BEAD EXPERIMENT

There are 900 white beads, 100 red beads =1000beads

1. The beads mixed thoroughly.

2. 50 beads are drawn at random. – Count how many red beads. –
Check mark is entered in histogram.
3. All the beads are put back into container and mixed again.
4. Repeat Step 1  Step 3

The process does not change, but the output changed!

If these steps are taken over and over, Histogram as in Figure 15-15 will
occur
 Histograms and Statistics

• Figure 15-15 and Figure 15-16

 Histograms and Statistics

• The flatter and wider the frequency

distribution curve, the greater the process
variability.
• Taller and narrower the curve, the less process
variability.
– 2 things in process variability;
• Standard deviation, σ
• Mean, μ
 Histograms and Statistics
• Mean is the sum of the observations divided by the number
of observations
• Also describes the central location of the data in the chart,

– Standard Deviation describes the spread or dispersion of data.

Calculating the Mean, μ

μ=ΣX÷n
X=product of the number of beads in a sample times the number
of samples containing the number of beads.

*See Figure 15-17b, page 503 for further understanding.

Histograms and Statistics

μ =ΣX÷n
=510 ÷ 100
=5.1
Histograms and Statistics
 Histograms and Statistics

• Calculating Standard Deviation, σ

d = The deviation of any unit from the mean

n = the number of units sampled.

 From Figure 15-17c,

 n(100)

σ = 1.49, 2 σ = 2.99, 3 σ = 4.47

• Figure 15-18
Shape of Histograms

Shapes of Histograms
 Figure 15-19
• Process A is much tighter, normal distribution,
favorable.
• Process B greater variances.
• C and D are not centered, skewed to left and right,
product will be lost.
• F – someone has discarded. Take out the reject, and
only collect data within acceptable range.
• G –the vendor has screened out the parts, took out
the best to other customers.
• H – a proper normal distribution between upper and
lower limits.
• I and J skewing! Significant loss of product…
• K until P shifting… why???
6) Scatter Diagram
 Scatter Diagram

• A scatter diagram is a tool for analyzing

relationships between two variables. One
variable is plotted on the horizontal axis and
the other is plotted on the vertical axis
• While the diagram shows relationships,
• It does not by itself prove that one variable
causes the other.
 Scatter Diagram

• Scatter diagrams will generally show one of

six possible correlations between the
variables:
 Scatter Diagram

• 1) Strong Positive Correlation - The value of Y

clearly increases as the value of X increases.
 Scatter Diagram
• 2) Strong Negative Correlation - The value of Y
clearly decreases as the value of X increases
 Scatter Diagram

3) Weak Positive Correlation -The value of Y

increases slightly as the value of X increases.
 Scatter Diagram

4) Weak Negative Correlation - The value of

Y decreases slightly as the value of X
increases.
 Scatter Diagram

5) Complex Correlation -The value of Y

seems to be related to the value of X, but the
relationship is not easily determined
 Scatter Diagram

6) No Correlation -There is no
demonstrated connection between
the two variables
7) Control Chart
 Control Chart

 Figure 15-27 shows a basic of control chart.

 Data stay between Upper Control Limit (UCL) and Lower Control Limit
(LCL)
 Control Chart
• As long as the plots stay between the limits, and don’t congregate on 1
side or the other of the average line, the process is in STATISTICAL
CONTROL.
• Common causes/chance: Small random changes in the process that
cannot be avoided – but still in statistical control
– Varying out of the centerline of the process
– Result of the sum of numerous small resources of natural variation
that are always part of the process.
– Eg; Setting on machines, environment, methods etc.
• Special causes/Assignable causes: Variations in the process that can be
identified as having a specific cause.
– A plot point breaks through UCL or LCL
– OR there a several points in a row above/below the lines.
– Result of the factors that are not part of the process and only occur is
special case.
– Eg: New operator involve, electricity blackout, shipment faulty of
material etc.
 Control Chart

• Only after the special has been identified, it

should be corrected, and restart the process.
• How to correct? (By eliminating root cause)
• Control chart is usually operated under
Statistical Process Control (SPC) – Chapter 18.
 Control Chart

Control Chart - Statistical Process Control (SPC)

• What is SPC?

SPC is a statistical method of separating variation

resulting from special causes resulting from natural
causes, to eliminate the special causes, and to
establish and maintain consistency in the process,
enabling process improvement.
 Control Chart
• Common factors that can affect output are;

5M’s
Machines and environment employed
Material used
Methods (work instructions)
Measurements taken
Manpower (People who operate the process)

If these factors are perfect; this means;

1. Environment facilitates quality work and there are no
misadjustments in the machines
2. No flaws in materials
3. Follow work instruction accurate and precisely
4. Accurate and repeatable measurements
5. People work with extreme care – follow instructions
extremely well
Control Chart
• From Figure 18-5,
The average, xis; Average Range, R is

x = ∑x÷k Average of subgroup range, R is

k = number of sub groups R = ∑R÷k
x = subgroup average R = (Max value of x − Min value of x)
So, R = ∑ 68 ÷ 12 = 5.667
∑ x = 1200.8
So, x = ∑ x ÷ 12
= 100.067
A2 is the confidence level for the
data, the larger the value of A,
the farther the control limits.
UCL = x + A2 R
LCL = x − A2 R
Control Chart
• From Figure 18-6;

n=10, so UCL and LCL in x-bar chart is;

UCLx = 100.067 + (0.31× 5.667) = 101.82377

LCLx = 100.067 − (0.31× 5.667) = 98.31023

And UCL and LCL for the values in R chart;

UCLR = D4 R = 1.78 × 5.667 = 10.08726
LCLR = D3 R = 0.22 × 5.667 = 1.2467
Figure 18-7 (a)
Figure 18-7 (b)
 Control Chart
• Suppose that we have been setting up a new process (not stable).

• It would look like in Figure 18-8

 In Figure 18-8;

• Subgroup 7 was out of limits.

• Can we ignore? NO!
• Because-control limit has been calculated with the data inclusive of
special cause event. (E.g: result of untrained operator etc)
• We MUST determine and eliminate the cause.
• After eliminate it, flush out SUBGROUP 7 and recalculate the process
average (x-bar) and the control limits.
• We will find narrower limit, Figure 18-9
 Figure 18-9

• If still penetrates the new out of limits, repeat the same action.. Until the points
are all well between the limits.
 Control Chart

• X-bar chart is used to show the center of the

process measurements (accuracy).
• R chart is to show the spread of the data
(precision).
• Without Range, it would not be able to
understand the PROCESS CAPABILITY of the
chart.
Control Chart-Advantages of a Stable Process
• Stable process?? It is a process that exhibits only
common variation.
• Advantages;
1. Management knows the process capability, so they can predict
cost well.
2. Productivity MAX, cost MIN
3. Management can measure effect faster and more reliable.
4. Got data if management wants to alter spec limits.
5. Stable process is basic requirement for process improvement
efforts.
 7 NEW QC TOOLS

• A committee for developing QC tools

affiliated with JUSE was set up in April
1972.
• Their aim was to develop QC techniques
for use by managerial level and staff.
• In January 1977 the committee announced
the results of its research in
 7 NEW QC TOOLS
the form of a new set of methods called 'The Seven
New QC Tools’.
The tools are:-
• 1) Affinity Diagram
• 2)Interrelationship diagram
• 3)Tree diagram
• 4) Prioritization Matrix
• 5) Matrix Diagram
• 6) Process Decision Process Chart (PDPC)
• 7) Activity Network Diagram
 Quiz
• Define and Show examples (Diagrams picture)
Rule 1 and Rule 2 to show the process is not
in statistical control.
 Statistical error: Type I and Type II

• Statisticians speak of two significant sorts of

statistical error.
• Type I error: An incorrect decision to REJECT
something when it is true.
– False alarm
• Type II error: An incorrect decision to ACCEPT
something when it is true.
– Oversight
 Common Use Control Chart for attribute data
(Counted values)
• P chart – No. of defects in samples of varying size as a
percentage of fraction.
• (e.g anywhere defects can be counted)
• np chart- no. of defective pieces in samples of fixed
size.
• C chart – No. of defects in a single product. (e.g:
blemish, deform, scratches in one part)
• U chart – No. of defects per-unit area. (Carpet area,
lenght)
Exercise
Exercise 2
 Quality Function Deployment
• Defined as:
– A systematic method for transferring customer
wants/needs/expectations into product and
process characteristics
 QUALITY FUNCTION
DEPLOYMENT
 Quality Function Deployment
 Voice of the customer
 House of Quality

QFD: An approach that integrates the “voice of the

customer” into the product and service
development process.
 House of quality
technical
correlations

relative engineering
importance metrics

relationships
between
customer customer needs benchmarking
and on needs
needs
engineering
metrics

target and final specs

 QFD & House of Quality
• Identify customer wants
• Identify how the good/service will satisfy customer
wants
• Relate the customer’s wants to the product’s hows
• Identify relationships between the firm’s hows
• Develop importance ratings
• Evaluate competing products
 Example QFD
Facial Foam 100ml :
• A : Nivea Visage (Biersdorf Hamburg)
• B : L’Oreal (Paris)
• C : Biore (Kao)

Facial Foam A Facial Foam B Facial Foam C

QFD Details

RM
House of Quality

RM
 Tabel Score

To conclude :
• Product A (Nivea Visage) Facial Foam has the highest
score among others. Means this product is the best
chosen by customers.
 Benefits Of QFD

• Customer Driven
• Reduces Implementation Time
• Promotes Teamwork
• Provides Documentation
 Quality Function Deployment (QFD)

• QFD seeks to bring the voice of customers into the

process of designing and developing a product or
service.
• QFD can point out areas of strength as well as
weaknesses in both existing or new products.
• When a company uses QFD, they stop developing
products/services on their own interpretation.
 Main benefits of QFD
1. Customer focused – QFD gives information which is then
translated into a set of specific customer requirements.
2. Time efficient – Time is not wasted on developing features that
have no value to customers.
3. Teamwork oriented – All decisions are based on consensus and
involve in-depth discussion and brainstorming
4. Documentation oriented – QFD forces the issue of
documentation. This document changes as new information
gained. Having up-to-date information about customer
requirements, will be very helpful.