CQIA Training

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CQIA Training

• Marsha Ludwig-Becker
• 4/1/05
• 321-452-4863
• Becker2_at_worldnet.att.net

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Certified Quality Improvement Associate (CQIA)

• The CQIA is an individual who has a basic
  knowledge of quality tools and their uses and is
  involved in quality improvement projects but does
  not come from a traditional quality area.

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Certified Quality Improvement Associate (CQIA)

• Requirements to take exam
• Two years work experience or an AA degree
• Membership in ASQ or another recognized
  professional technical society, or registration
  as a Professional Engineer or the signatures of
  two personsmembers of ASQ or another recognized
  professional society verifying that you are a
  quality practitioner of the quality sciences.
• Pass written test three hours, 100 multiple
  choice
• questions on the Body of Knowledge (BOK)

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CQIA Training Objectives

• In this program, you will learn about
• Quality basics
• Definitions of quality
• Benefits of quality
• Quality philosophies
• Systems and processes
• Quality Planning
• Malcolm Baldrige National Quality Award

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Quality Basics

• A. Quality Basics
• Terms, Concepts, Principles 1.
  Qualitydefinition
• 2. Systems and processes
• 3. The importance of employees
• 4. Quality planning
• 5. Variation
• B. Benefits of Quality
• How each stakeholder benefits and how the
  benefits differ
• C. Quality Philosophiesunderstand and be able to
  apply
• 1. Deming (14 points)
• 2. Juran (Trilogy)
• 3. Crosby (Zero Defects)

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Defining Quality and the Quality System

• The Quality definition depends on the point of
  view
• Customer Fitness for use during the life of the
  product
• Manufacturer Conformance to specifications and
  no defects
• It is no longer the little q or the quality
  department
• It is the big Q or the whole enterprise
• Quality is defined by customers!!

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Definitions of Quality

• Juran (1992) says it is fitness for use
• Demings (1986) says Quality Control does not
  mean achieving perfection. It means the efficient
  production of quality that the market expects
• Crosby (1979) defines quality as conformance to
  requirements

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Definitions of Quality (Contd)

• Fiegenbaum (1991) calls quality, The total
  composite product and service characteristics of
  marketing, engineering,manufacturing and
  maintenance through which the product and service
  in use will meet the expectations of the
  customer
• ASQ defines as The totality of features and
  characteristics of a product that bear on its
  ability to satisfy a given need

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Kano Believes in Perceived Quality
Defined by Kano in 1984 Level 1 Basic need
met Level 2 Customer satisfied Level 3Customer
delighted
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Determinants of Quality

• The product or service should meet high quality
  standards for
• Reliabilityperform for the rated life with
  predictable performance
• Serviceabilitythe product should be repaired or
  replaced in an easy or convenient way
• Maintainabilityrepair should be easy
• Safetyshould be safe and provide security where
  applicable
• Attractivenesscustomer may desire

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Organizational Quality

• Establish a quality council
• Have quality policies
• Have strategy quality goals
• Have resources for control
• Have measurements of performance
• Have quality audits

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Systems and Processes

• Process a set of interrelated resources and
  activities which transform inputs with the aim of
  adding value

Inputs
Process
Outputs
Examples Invoices Computer software Clinical
devices Computer chip Banking service Subassembly
process
A value-added transformation involving people and
other resources
This is a process!
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Three Types of Processes
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A System
Systema set of processes integrated together to
perform a function
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Documentation for Processes

• Written procedures, flowcharts
• Work Instructions for people who need them

• Flowcharts are excellent for defining processes
  you can add time, responsibility for process.
• People who are trained to do a job do not need a
  written instruction, but you may need a procedure
  to train a new employee.
• Think out of the box Pictures.

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The Importance of Employees

• A successful organization motivates employees at
  every level
• Employee empowermentwhere employees are
  empowered, solutions to problems occur more
  easily, performance increases. To empower is to
  give someone power, or authority to make their
  own decisions, to contribute ideas, exert
  influence and be responsible. (French 1999)

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The Importance of Employees (Contd)

• Barriers to empowerment
• Employees
• Unions (distrust)
• Managementlack of training, or insecurity
• Middle managementnot involved, lack of
  understanding

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Quality of Work Life Initiatives

• Job Simplification Narrow job scope, less
  skills, highly specialized. Individual
  decision-making is less.
• Job Rotation Moving employees among jobs
  involving different functions or skills. Content
  can vary widely. Broaden employees understanding
  of the company, employee must be included in
  scheduling.
• Job Enlargement Combine related jobs and assign
  them to one employee. Larger job with more tasks,
  more responsibility.
• Job Enrichment Hertzberg's theory of satisfiers
  and hygiene factors for understanding job
  satisfaction and performance are linked here.
  Jobs that are not interesting to the person will
  be changed, more responsibility can be added,
  evaluating the opinion of the employee may be
  added.

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Quality Planning

• Strategic planning should include
• A vision and statement of purpose for the company
• Review previously gathered environmental data
• Consider corporate strengths and weaknesses
• Make assumptions about factors,outside company
  control
• Establish appropriate goals
• Develop steps (strategic and tactical) for
  implementation
• Evaluate performance to goals
• Reevaluate the above steps for perpetual use

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Strategic Planning Process
Develop the vision
Develop the mission
Develop the guiding principles
Develop broad strategic objectives
Develop the specific tactics
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Quality Planning

• Put your planning in a quality plan
• Key terms control plan, critical quality
  characteristics, quality characteristic, quality
  plan, quality planning

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Quality Planning (Contd)

• Quality principlesbeliefs, truths, upon which
  other things are based. ISO 9000 writers issued
  Eight (8) quality principles

• Customer focus to management
• Leadership
• People involvement for decision-making
• Process approach

• System approach
• Continual improvement
• Factual approach
• Mutually beneficial supplier relationships

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Planning Strategy vs. Tactical

• Strategic goals cross many departments and
  address the entire organization. Examples are
• Company visions, mission statement
• Effects of quality system ISO,MBQNA, QS-9000
• Emergence of new competitors
• Highlights of new products, technologies or
  services
• Field intelligence on the completion

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Planning Strategy vs. Tactical (Contd)

• Tactical goals are the detailed sub goals that
  are derived from strategic goals. Examples are
• Status of customer complaints, returns, warranty
  claims
• Results of customer surveys
• In-house scrap, rework, defect rates
• Supplier ratings, deliveries

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Variation

• The concept of Variation states that no two items
  will be perfectly identical. This is a fact of
  life even identical twins differ somewhat. The
  concept is basically a probability concept.
  (Juran/Gryna)1993.
• Variation is a statistical term.

Histogram with Special Causes
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Variation/Variability

• Management wants things done right, but they must
  understand variability.
• They must understand the difference between a
  common cause and special causes.
• Common cause is random or by chance, and inherent
  in any process.
• Special causes are referred to as assignable
  because they cause a lot of variation.
• When in statistical processing the process is in
  control, it will show common cause variation
  special causes make it go out of control.
  (Someone must then investigate and find what the
  cause was) Juran/Gyrna (1993).

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Variability
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Benefits of Quality to Different People

• Supplier Quality Benefits
• Opportunity to build long term relationships
• Shared mutually beneficial training and
  information
• More predictability in and certainty of future
  orders
• More predictability in scheduling and shipping
• More viable customers for their products or
  services

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Benefits of Quality to Different People (Contd)

• Community Quality Benefits
• Organizations that can provide jobs
• Organizations that pay property taxes
• Organizations that increase property values
• Products that make efficient use of all resources
• Organizations that utilize environmentally
  friendly methods

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Benefits of Quality to Different People (Contd)

• Employee Quality Benefits
• Job security
• Likelihood of pay increases
• Enhancement of knowledge and skills
• Greater pride of workmanship
• Individual self-fulfillment

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Benefits of Quality to Different People (Contd)

• External Customer Quality Benefits
• Higher quality products
• Products that are easy to use
• Products that are reliable and easy to maintain
• A product or service that adds value
• Warranties that are honored

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Benefits of Quality to Different People (Contd)

• Organizational Quality Benefits
• A good reputation in the business community
• Increased market share
• An ability to charge premium prices because of
  superior quality
• An ability to attract top notch employees
• A higher stock price

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Benefits of Quality to Different People (Contd)

• Stockholder Quality Benefits
• Increased stock value
• Better returns on investment
• Investment in a company that is technologically
  advanced
• An organization with a demonstrated ability to
  improve
• An investment that is cost effective

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Benefits of Quality to Different People (Cont)
Illustration of Company Stakeholder Interactivity
Society
Stockholders or owners
Internal Company Processes
Customers
Suppliers
Management and Employees
Stakeholders are those people who have an
interest in the welfare and operation of the
company. They include stock holders, customers,
suppliers, company management, employees and
their families, the community and society.
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Malcolm Baldrige National Quality Award (MBNQA)

• The Malcolm Baldrige National Quality Award
  Criteria for Performance Excellence is a good
  source for benchmarking against to see where your
  company is.
• Questions on the MBNQA are not in the CQIA exam,
  but it is something you should know about as a
  template for continuous improvement.
• You can submit a self assessment without even
  trying to compete for the award.
• More info on the Baldrige is at
  www.baldridge.nist.gov/eBaldrige/Step_One.htm

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The Baldrige National Quality Program
The 2004 MBNQA criteria with point values follow
Number Category Point Value
1. Leadership 120
2. Strategic Planning 85
3. Customer and market focus 85
4. Measurements, Analysis, and Knowledge Management 90
5. Human Resource Focus 85
6. Process Management 85
7. Business Results 450
There are a total of 1000 points
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Philosophies
Understand philosophies, know how they differ and
be ready to apply.

• Dr. W. Edwards Deming (1900-1993) 14 points
• Dr. Joseph Juran(1904- ) Trilogy
• Philip B. Crosby (1928-2001) Zero Defects

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Demings 14 Obligations of Top Management

• 1. Create constancy of purpose
• 2. Adapt to new philosophy managers must lead
• 3. Cease dependence on inspection
• 4. End awarding of business on the price taghave
  single suppliers
• 5. Improve constancy (variation) decreases cost
• 6. Institute training on the job
• 7. Institute leadership
• 8. Drive out fear
• 9. Break down barriers between departments

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Demings 14 Obligations of Top Management (Contd)

• 10. Eliminate slogans, targets, and things like
  zero defects
• 11. Eliminate work standards ( substitute
  leadership)
• Eliminate management by objective
• 12. Remove barriers that rob the hourly worker of
  the pride of workmanship. (no number goals)
• Remove barriers from management to pride of
  workmanship (no annual merit rating or
  objectives)
• 13. Institute a vigor program of education and
  self improvement
• 14. Everyone in the company must work to
  accomplish the transformation.

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Jurans Trilogy Planning, Control, and
Improvement
Sporadic Spike
40--
Original zone Of Quality Control
Quality Planning (design)
Quality Improvement
Cost of Poor Quality
20-
New Zone Of Quality Control
Operations Begin
Chronic waste
Time
Lessons Learned
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Crosbys Zero Defects

• Crosby defined quality as conformance to
  requirements.
• He considered traditional quality control,
  acceptable quality limits and waivers of
  substandard products to represent failure.
• He felt companies with these approaches spent
  around 20 of their revenues doing things wrong
  over and over again. For services companies this
  percentage could go as high as 35.
• Zero defects means that the companys objective
  is doing things right first time.
• This can only be done, according to him, by top
  management being responsible and encouraging
  everyone to improve continuously.
• Must train staff, and teach Preventative
  management.
• Top management must lead and understand quality
  is a management process.

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Crosbys 14 Steps to Quality Improvement

• 1.Management commitment -this is the key to make
  everything happen
• 2. A quality improvement team- this team leads
  the quality improvement must be trained and
  proactive
• 3. Measurement - All processes must be measured
• 4. Calculating an ongoing cost of quality- With
  financial management work out the cost of
  nonconformance and keep track of it look at
  savings to be made
• 5. Quality awareness Communication,
  managements commitment, all employees must be
  aware
• 6. Corrective action Use SPC and problem
  solving techniques to find root causes and
  eliminate them
• 7. Zero defects (ZD) planning Major thrust,
  have speakers, make public and impressive

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Crosbys 14 Steps to Quality Improvement (Contd)

• 8. Employee education Make sure everyone
  receives the same education on the quality
  process
• 9. ZD Day Management makes a commitment in
  front of everyone very public ally
• 10.Goal Setting Set goals for the quality
  improvement team. Put on a chart and advertise
• 11. Error Cause Removal Ask people for what is
  the problem and the solution choose method to
  analyze and reward.
• 12. Recognition of good work in the quality
  process Constantly recognize people for a job
  well done
• 13. Quality Councils these are the quality
  professionals brought together to learn from each
  other
• 14. Repetitiondo it again, chose a new quality
  improvement team and start over

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Comparing Deming, Juran, and Crosby
Element W.E. Deming J.M. Juran P. Crosby
Basic quality orientation Technical Process Motivational
What is quality? Nonfaulty systems Fitness for use Conformance to requirements
Who is responsible? Management Management Management
Importance of customer requirements Very important Very important Very important
Goal of quality Continuous Improvement Continuous Improvement Continuous Improvement
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Comparing Deming, Juran, and Crosby
Element W.E. Deming J.M. Juran P. Crosby
Methods for achieving quality Statistical constancy of purpose Cost of quality quality trilogy planning, control improvement 14 point program
Chief elements of implementation 14 point program Breakthrough projects quality teams, councils 14 step program cost of quality maturity grid
Role of training Very important for managers and employees Very important for managers and employees Very important for managers and employees
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References

• 1. Juran, J.M. (1988). Jurans Quality Handbook
  4th ed., New York, McGraw Hill
• 2. Deming, W.E. (1986). Out of the Crisis.
  Cambridge, MA Massachusetts Institute of
  Technology, CAES.
• 3. Crosby, P.B. (1979).Quality is Free The Art
  of Making Quality Certain. New York, McGraw-Hill
• 4. Figenbaum, A.V. (1991). Total Quality Control.
  3rd ed. Revised. Fortieth Anniversary edition.
  New York McGraw-Hill
• 5. Kano, from Ludwig, Becker, Marsha(1998).
  Electronics Quality Management Handbook, New
  York, McGraw-Hill
• 6. French, W. Bell, Jr., C.(1999).
  Organizational Development Behavioral Science
  Interventions for Organizational Improvement, 6th
  ed. Upper Saddle River, N.J., Prentice-Hall

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References (Contd)

• 7. Goetsch, D.L. Davis, S.B. (2000). Quality
  Management, Introduction to Total Quality
  Management for Production, Processing and
  Services, 3rd ed. Upper Saddle River, NJ,
  Prentice-Hall
• 8. Schermerhorn,Jr., J.R. (1993). Management for
  Productivity, 4th ed., New York, John Wiley and
  Sons
• 9. Wortman, B.,(2001). CQIA Primer, West Terre
  Haute, IN, Quality Council of Indiana
• 10. Juran, J.M. Gryna, F.M. (1993). Quality
  Planning and Analysis, 3rd ed. New York,
  McGraw-Hill