Lack of constancy of purpose

1
Seven Deadly Diseases

• Lack of constancy of purpose
• Emphasis on short term profits
• Annual performance reviews
• Mobility of management
• Running a company on visible figures alone
• Excessive medical costs
• Excessive legal costs

2
Obstacles

• Hope for instant pudding
• Substituting Technology for knowledge
• The search for examples
• Obsolescence in schools
• Poor teaching of statistical measures in industry
• Reliance on acceptance sampling

3
Operational Definitions

• There is no such thing as true value (Deming)
• Minimum requirements of operational definitions
• Define test method
• Develop criteria
• Make a decision

4
Management of People Leadership, and Training

• What is the job of a leader?

5
Systems of Measurement

• Beware of false consensus
• Measurement requires operational definitions
• Know your data

6
Defining and Documenting a Process

• A process is the transformation of inputs into
  outputs
• All processes must have feedback loops.
• Key Questions
• Who owns the process?
• What are the boundaries of the process?
• What is the flow of the process?
• What is are the objectives of the process?
• Are the process data valid?

7
Stabilizing and Improving a Process With Control
Charts

• Stabilizing and improving a process with control
  charts is an experimental, theory building
  process.
• Plan
• What is the purpose of the chart?
• What data need to manipulated?
• Operational definitions must be developed.
• Procedures to conduct the experiment must be
  standardized.
• Do
• Inform the people involved in the experiment of
  its intent.
• Training
• Conduct the experiment
• Study
• Analyze the results
• What was the effect of the manipulated variables
• Act
• If successful, institute changes.
• Return to plan stage

8
Analysis of Control Chart Patterns

• Several useful tests can be performed for the
  presence of unnatural patterns (special causes)
  by dividing the distance between the upper and
  lower control limits into zones defined by one,
  two, and three sigma boundaries.

9
Tests for Presence of Unnatural Patterns

• Rule 1 A single point falls outer side of zone
  A
• Rule 2 Two out of three successive points fall
  in zone A or beyond on the same side of the
  centerline.
• Rule 3 Four out of five successive points fall
  in zone B or beyond on the same side of the
  centerline.

10

• Rule 4 Eight successive points fall on the same
  side of the centerline
• Rule 5 Eight or more successive points move
  upward or downward in value

11

• Rule 6 An unusually small number of runs above
  and below the centerline are present.
• Rule 7 Thirteen consecutive points fall within
  zone c on either side of the centerline

12
Rational Subgrouping

• Samples should be constructed to minimize the
  variability within samples and maximize
  variability across samples