品質管理 Eight Dimensions of

Quality (cont’d)
Chapter 1 Modern Quality
Management and 1. Performance
Improvement – Will the product do the intended
Services job? 2. Reliability
nPublic transportation, banking, – How often does the product fail? 3.
retailing, health care, etc.
Durability
(Garvin, 1987)
5. Aesthetics
5. Aesthetics
– What does the product look like? 6.
品質管理 108 學年度第一學期 NCTU-IEM 2
Features
Manufactured goods
– What does the product do? 7.
nAutomobiles, computers, clothing,
etc.
Perceived Quality
(Garvin, 1987)
(Garvin, 1987)

– How long does the product last? 4.

Serviceability
– How easy is it to repair the product?
品質管理 108 學年度第一學期 NCTU-IEM

Eight Dimensions of
3

–What is the reputation of the

company or its product? 8.
Quality
Conformance to Standards to serve? 3. Attentiveness
–Is the product made exactly as the nAre the customers’ needs and
designer intended? concerns being carefully
品質管理 108 學年度第一學期 NCTU-IEM
addressed?
品質管理 108 學年度第一學期 NCTU-IEM
4
4 品質管理 108 學年度第一學期 NCTU-IEM 5
4

“Product”

This definition implies if

variability in the important
characteristics of a product
decreases, the quality of the
product increases

Modern Definition
of Quality
品質管理 108 學年度第一學期 NCTU-IEM 7

The Transmission
Three Dimensions
Added to Service Quality Example
Traditional
1. Responsiveness
n How promptly was your request Definition of
handled? 2. Professionalism
Quality
nDoes the service provide have
enough knowledge and skill
 8
One of the automobile companies in the 8
6
US performed a comparative study of a 6

transmission that was manufactured in a

domestic plant and by a Japanese
supplier

品質管理 108 學年度第一學期 NCTU-IEM

Quality of design
nIntentional to include variations in
grades
Warranty costs for transmissions
Quality of conformance Distributions of critical dimensions for transmissions

nHow well the product conforms to

the specifications required
by the design
Unfortunately, this definition has become associated more
with the conformance aspect of quality than with design
Unfortunately, this definition has become associated more
with the conformance aspect of quality than with design

品質管理 108 學年度第一學期 NCTU-IEM

Quality Engineering
nThe set of operational, managerial, and
engineering activities that a company
uses to ensure that the quality characteristics of a
product are at the nominal or required level

品質管理 108 學年度第一學期 NCTU-IEM 10

Terminology
(cont’d)
Quality Quality
Improvement Engineering
Terminology

The transmission example

illustrates the utility of this
definition
An equivalent definition is that
quality improvement is the
elimination of waste

品質管理 108 學年度第一學期 NCTU-IEM

Terminology
Variability
n No two products are ever identical
(cont’d)
w Physical: length, weight, voltage, viscosity w
Statistical methods Sensory: taste, appearance, color w Time
Orientation: reliability, durability, serviceability n
n Variables Critical-to-quality (CTQ) characteristics
wCharacteristics that you measure ne.g., w Physical: length, weight, voltage, viscosity w
weight, length, thickness wMay be in Sensory: taste, appearance, color w Time
Orientation: reliability, durability, serviceability n
whole or in fractional numbers n Critical-to-quality (CTQ) characteristics
Attributes
wCharacteristics for which you focus on
defects wClassify products as either
‘good’ or ‘bad’, or count # of defects
ne.g., radio works or not, # of particles on
a wafer
9
9
Specifications 品質管理 108 學年度第一學期 NCTU-IEM 12

nTarget (or nominal) values n Lower

specification limit (LSL) n Upper
specification limit (USL)
Defective (or nonconforming)
product
Defect (or nonconformity)
nNot all products containing a defect
are necessarily defective

品質管理 108 學年度第一學期 NCTU-IEM 11

Quality characteristics
n A number of elements that jointly describe what the user or consumer thinks
of quality

History of Quality
品質管理 108 學年度第一學期 NCTU-IEM 14

Improvement
Production
Process

品質管理 108 學年度第一學期 NCTU-IEM

2000s: ISO 9000:2000 standard is

issued. Supply-chain management and
supplier quality become even more
critical factors in business success
品質管理 108 學年度第一學期 NCTU-IEM
(1928)
13
品質管理 108 學年度第一學期 NCTU-IEM 16
13
品質管理 108 學年度第一學期 NCTU-IEM 16
Input raw materials, components, and subassemblies
1798: Eli Whitney- interchangeable parts

15
(1924)

Measurement Evaluation Monitoring and Control

Output Product
...
...

Process
y=Quality characteristic
y=Quality characteristic
1960: Box and Hunter: DOE 1960s: SQC became widespread in IE
program

Statistical 1987: ISO publishes the first quality

systems standard
Methods 1987: ISO publishes the first quality
systems standard
History of Quality 1989: Motorola’s six-sigma initiative
begins
Improvement (cont’d) 1989: Motorola’s six-sigma initiative
begins
of assignable causes n On-line technique z1 z2 zq
of assignable causes n On-line technique ...
Design of experiments (DOE) 1997: Motorola’s six-sigma approach
Design of experiments (DOE) spreads to other industries
Design of experiments (DOE)
n Discovering the key factors that influence process
performance n Process optimization n Off-line
technique
n Discovering the key factors that influence process

performance n Process optimization n Off-line

technique
n Discovering the key factors that influence process

performance n Process optimization n Off-line

technique
n Discovering the key factors that influence process

performance n Process optimization n Off-line

technique
1913: Henry Ford-Assembly line
(1875)

nControl charts, plus other problem-solving tools n

Source: 修改自 陳永甡, TQM 之探討, 品質月刊, pp. 16-19, 2004 年 6 月 Useful in monitoring processes, reducing
variability through elimination

Acceptance Sampling
n Tends to reinforce the “conformance to
Controllable inputs
specification” n Lack of feedback for quality
improvement
n Tends to reinforce the “conformance to

specification” n Lack of feedback for quality

improvement

Uncontrollable inputs
x1 x2 xp
Statistical process control (SPC)
Phase Diagram of the Use Quality Planning
of Quality-Engineering
Methods
Strategic activity
nVital to an organization’s long-term
business success
Involves
nIdentify customers (both external and
internal) n Identify customers’ needs
(voice of the customer)

品質管理 108 學年度第一學期 NCTU-IEM

Effective management of 品質管理 108 學年度第一學期 NCTU-IEM 19

quality requires the execution

of three activities: 1. Quality
Quality
Planning 2. Quality Assurance 3.
Quality Control and Improvement
Assurance
Set of activities that ensures that
quality levels of products and
services are properly maintained and
品質管理 108 學年度第一學期 NCTU-IEM 18
17 that supplier and customer quality
17

Management Aspects issues are properly resolved

of Quality Documentation of the quality system
is an important component, which
Improvement
involves:
nPolicy (what and why) n Procedures (how
and who) n Work instructions and
specifications n Records

品質管理 108 學年度第一學期 NCTU-IEM 20

Quality Control and Improvement

22

W. Edwards Deming
Influenced greatly by Walter A. Shewhart
Long career in government statistics
n US Department of Agriculture and Bureau of the Census (人口調查局)

During World War II, he worked with US defense contractors, deploying statistical methods
Sent to Japan after WWII to work on the census
Deming was asked by JUSE (Japanese Union of Scientists and Engineers,日本科技 聯盟) to lecture on
statistical quality control to management
Japanese adopted many aspects of Deming’s management philosophy
Deming stressed “continual never-ending improvement”
PDCA Cycle (Shewhart cycle; Deming cycle)
n Plan – Do – Check – Act n Plan – Do – Study – Act 品質管理 108 學年度第一學期 NCTU-IEM

Set of activities used to ensure that the products and services meet requirements
and are improved on a continuous basis
Using statistical techniques
Often done on a project-by-project basis
Teamwork
品質管理 108 學年度第一學期 NCTU-IEM 21
23

Quality Philosophy and Management Strategies

品質管理 108 學年度第一學期 NCTU-IEM

The Shewhart Cycle (Deming cycle)

Adopt the change or abandon it.
Plan a change or an If adopted, make sure that it
experiment aimed at leads to permanent
system improvement improvement.
Act
Plan
Study and analyze the
Check Do results obtained. What was learned?
品質管理 108 學年度第一學期 NCTU-IEM
Carry out the change (often a pilot study)
24

W. Edwards Deming (1900 ~ 1993)

Armand V. Feigenbaum
Joseph M. Juran (1904 ~2008 )
(1922 ~2014 ) 戴明 朱蘭、裘蘭 費根堡

Deming’s View of a Production System

Suppliers of
Design Can be summarized in his 14 points for management (1982)
materials and
Receipt and test of materials
26
3. Do not rely on mass inspection to
“control” quality
Consumer
and Redesign
research equipment

Customers ABCProduction, assembly, inspection D

Tests of processes, machines, methods, costs
Distribution
INPUTS PROCESSES OUTPUTS
Feedback
品質管理 108 學年度第一學期 NCTU-IEM 25
4. End the practice of awarding business on the basis
of price alone
5. Focus on continuous improvement
品質管理 108 學年度第一學期 NCTU-IEM 27
6. Institute training
8. 7. Improve leadership, recognize that the aim of
Drive out fear supervision is help people and equipment to do a better job
9. Break down barriers between functional
10. Eliminate targets, slogans and numerical
areas of the business
goals for the workforce such as zero defects

Deming’s 14 Points The Deming philosophy is an important

framework for implementing quality and productivity improvement
1.Create constancy of purpose
toward improvement
Source of the comics: http://www.managementwisdom.com/freilofdem14.html
品質管理 108 學年度第一學期 NCTU-IEM
品質管理 108 學年度第一學期 NCTU-IEM 28

2. Adopt a new philosophy that recognizes

we are in a different economic age
12. 11. Eliminate numerical quotas and work
standards
Remove barriers that discourage employees from doing their jobs

13. Institute an on-going program of education for all employees

Deming’s 14 Points (cont’d)

Note that the 14 points are about change

14. Put everyone to work to accomplish the
14. Put everyone to work to accomplish the
transformation
transformation
品質管理 108 學年度第一學期 NCTU-IEM
30

Joseph M. Juran
品質管理 108 學年度第一學期 NCTU-IEM 29
品質管理 108 學年度第一學期 NCTU-IEM 29

Armand V. Feigenbaum
Born in Romania (1904), immigrated to the US
Worked at AT&T Bell Labs, influenced by Walter Shewhart
Emphasizes a more strategic and planning oriented approach to quality than does Deming
Juran believed that Deming was wrong to tell management to drive out fear
“Fear can bring out the best in people” -- Juran
Juran Trilogy (Quality trilogy,品質三部曲)
n Planning , control and improvement
Juran Institute is still an active organization promoting the Juran philosophy and quality improvement practices

品質管理 108 學年度第一學期 NCTU-IEM

31

First introduced the concept of company-wide quality control n Author of “Total Quality
Control (1951)”, promoted overall
organizational involvement in quality,
Propose a three-step approach to improve quality
n Quality leadership n Quality technology
n Organizational commitment 品質管理 108 學年度第一學期 NCTU-IEM
n Organizational commitment 品質管理 108 學年度第一學期 NCTU-IEM
n Organizational commitment 品質管理 108 學年度第一學期 NCTU-IEM
32
32
32

Total Quality Management (TQM) (in the US)

Industry-specific quality system standards, such as:
nAerospace industry: AS 9100 n Automotive industry: QS 9000, IATF 16949:2016 (formerly known as ISO/TS
16949) n Telecommunications industry: TL 9000
品質管理 108 學年度第一學期 NCTU-IEM 34

ISO 9001:2015
ISO 9001:2015 has eight clauses: 1. 適用範圍(Scope) 2. 參考標準(Normative Reference) 3. 辭彙與定義(Terms
and Definition) 4. 組織背景(Organization and its context) 5. 領導(Leadership) 6. 品質管理系統規劃(Planning) 7.
支援(Support) 8. 營運 (Operation) 9. 績效評估 (Performance Evaluation) 10. 改善(Improvement)
品質管理 108 學年度第一學期 NCTU-IEM

ISO 9001:2008 Process Approach

The ISO certification process focuses heavily on quality assurance
35
品質管理 108 學年度第一學期 NCTU-IEM

Started in the early 1980s, Deming/Juran philosophy as the focal point

Emphasis on widespread training, quality awareness
Training often turned over to HR function
Not enough emphasis on quality control and improvement tools, poor follow-through, no
project-by-project implementation strategy
TQM was largely unsuccessful (in the US)
n TQM is “just another program” n Value engineering n Zero defects n “Quality is free”
When disaster TQM is often is wrapped the result
around an ineffectiveness program, 品質管理 108 學年度第一學期 NCTU-IEM
33

Quality Systems and Standards

International Organization for Standardization (ISO) developed a series of standards for
quality systems
n First standards were issued in 1987 n Current standards
w ISO 9000:2015 QMS – Fundamentals and Vocabulary w ISO 9001:2015 QMS – Requirements w ISO
9004:2018 QMS – Guidance to achieve sustained success
Feedback
Feedback
Product 人 Service Input Output Value-added activities
Information flow
6. Resource Management
QMS Continuous Improvement
5. Management Responsibility
7. Product realization
8. Mgt, Analysis, and Improvement
36

ISO 9001:2015 PDCA cycle

9001:2008 Process
Firestone debacle “Last August, Ford began recalling 6.5 million Firestone tires, most on the Explorer, following reports of sudden blow-outs and
tread loss. Federal officials are investigating 174 deaths and more than 700 injuries linked to the Firestone tires.”
Certified QMS = Good Quality?

-- BBC News, Monday, 21 May, 2001 (http://news.bbc.co.uk/1/hi/business/1342679.stm)

Firestone tires are manufactured at Bridgestone/Firestone plant in Decatur, Illinois. The plant was QS 9000
certified and ISO 14001 certified.
38
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品質管理 108 學年度第一學期 NCTU-IEM
品質管理 108 學年度第一學期 NCTU-IEM

The Malcolm Baldrige National Quality Award (MBNQA)

Created by US Congress in 1987

Annually given to recognize US organizations for performance excellence
n Manufacturing, service, small business, health care and education
MBNQA Performance Excellence Criteria

12%
8.5%
8.5%
8.5%

45%
45%

The MBNQA process is a valuable assessment tool

8.5%
8.5%

品質管理 108 學年度第一學期 NCTU-IEM 39

品質管理 108 學年度第一學期 NCTU-IEM

9%

40
40

中華⺠國國家品質獎 (National Quality Award)

中華⺠國國家品質獎---評分項目 (2012 年更新過)
https://nqa.cpc.tw/NQA/Web/Index.aspx 全面卓越類 (總分 1000 分)

1. 領導與經營理念 120 2. 策略管理 80 3. 研發與創新 4. 顧客與市場發展 80 100

65%
5. 人力資源與知識管理 80 6. 資訊策略、應用與管理 80 7. 流程(過程)管理 110 8. 經營績效
管理 350
35%
品質管理 108 學年度第一學期 NCTU-IEM
42

Six Sigma
A disciplined and analytical approach to process and product improvement
Focus on reducing variability in key product quality characteristics to the level at which failure (or defects)
are extremely unlikely
Focus on process improvement with an emphasis on achieving significant business impact
Pioneered by Motorola in the 1987 and popularized by the success of General Electric

n Invest US$150 million, Return US$200 million w1997: Invest US$400 million,
GE:w1996:

Return US$600 million w1998: Invest US$400 million, Return over US$1 billion
品質管理 108 學年度第一學期 NCTU-IEM 43

1985 年行政院科技顧問會議
n 參考日本經驗 n 經濟部領導推動全國性品質管理活動 n 提升產品品質水準
1990 年頒發第一屆國家品質獎
設立宗旨
n 樹立一個最高的經營品質典範,讓企業或組織能夠觀摩學習
品質管理 108 學年度第一學期 NCTU-IEM
41

Why “Quality Improvement” is Important: A Simple

Example
A visit to a fast-food store:
Hamburger (bun, meat, special sauce, cheese, pickle, onion, lettuce, tomato), fries, and drink
This product has 10 components - is “99.73% good” okay?
P{Single meal good} = (0.9973)10 = 0.9733 P{Monthly visit good} = (0.9733)4 = 0.8974 P{All visits during the
year good} = (0.8974)12 = 0.2728 How about “99.9% good” ?
P{Single meal good} = (0.999) = 0.9900 P{Monthly visit good} = (0.99)4 = 0.9607 P{All visits during the year
10

good} = (0.9607)12 = 0.6186

An automobile has about 200,000 components An airplane has several millions components How good each
component should be? 44

The Motorola Six-Sigma Concept

± 3 σ Design Specification Width
Normal distribution LSL USL
centered at the target (T)
Spec. Limit% Inside Specs ppm Defective ±1 σ 68.27 317300 ±2 σ 95.45 45500 ±3 σ 99.73 2700 ±4 σ 99.9937 63
-3σ -2σ -1σ
μ=T
+1σ +2σ +3σ ±5 σ 99.999943 ±6 σ 99.9999998 0.57
0.002
± 6 σ Design Specification Width
Normal distribution with mean LSL
1.5σ

Shifted 1.5σ USL Shifted by ±1.5σ from T

Spec. Limit% Inside Specs ppm Defective ±1 σ 30.23 697700 ±2 σ 69.13 308700 ±3 σ 93.32 66810 ±4 σ 99.3790 6210 ±5 σ 99.97670 233
μ=T
±6 σ 99.999660 3.4 品質管理 108 學年度第一學期 NCTU-IEM
45

Involves a five-step process:

n Define-Measure-Analyze-Improve-Control (DMAIC)
-6σ -5σ -4σ -3σ -2σ -1σ

1σ 2σ 3σ 4σ 5σ 6σ 品質管理 108 學年度第一學期 NCTU-IEM 46

DMAIC Solves Problems by Using Six Sigma Tools

DMAIC is a problem solving methodology
Use this method to solve problems:
nDefine problems in processes n Measure performance n Analyze causes of problems n Improve processes −
remove variations and
nonvalue-added activities n Control processes so problems do not recur
Closely related to the Shewhart cycle (Deming cycle, PDCA cycle)
品質管理 108 學年度第一學期 NCTU-IEM

AP
CD
47

Six Sigma (cont’d)

What Makes Six Sigma Work?
It has become a program for improving corporate business performance by both improving
quality and paying attention to reducing cost
Specialized roles for people; Champions, Master Black Belts(MBB), Black Belts(BB), Green
Belts
Top-down driven (Champions from each business)
BBs and MBBs have responsibility (project definition, leadership, training/mentoring, team
facilitation)
Successful implementations characterized by:
n Committed leadership n Supporting infrastructure

wFormal project selection process wFormal project review process wDedicated resources
wFinancial system integration n Proper deployment of statistical methods into the right
places in the organization
Project-by-project improvement strategy (borrowed from Juran)
品質管理 108 學年度第一學期 NCTU-IEM 48

Failures in the supply chain have potentially huge impact on the organization

品質管理 108 學年度第一學期 NCTU-IEM 50

Key Supply Chain Processes

49

Quality Costs
Design for Six Sigma (DFSS)
Taking variability reduction upstream from manufacturing (or operational six sigma) into product design and
development
Every design decision is a business decision
Service management
Demand management
Order fulfillment
Quality
Manufacturing flow management
Supplier relationship management
Logistics and distribution
Returns management

品質管理 108 學年度第一學期 NCTU-IEM 51

Supply Chain Quality Management

The supply chain often represents a significant component of the total value of
the organization’s products or services

Cost of Quality: Sum of costs incurred in maintaining acceptable quality levels plus the cost of failure to
maintain that level (cost of poor quality).
Cost of Poor Quality (COPQ) : annual monetary loss of products and process that are not achieving their
quality objectives
Reasons for companies to estimate quality costs:
1. Improve the communications between middle managers and upper managers in quality
issues
u1% defect rate vs. 15% of sales 2. Major opportunities for cost reduction can be identified 3. Opportunities for reducing customer
dissatisfaction and associated threats to product
salability can be identified 4. Provide a means of evaluating the progress of quality improvement activities and
spotlighting obstacles to improvements 5. Knowing the COPQ leads to the development of a strategic quality plan that is
consistent
with overall organization of goals

品質管理 108 學年度第一學期 NCTU-IEM 52

Categories of Quality Costs

External Failure Costs

The Analysis and Use of Quality Costs

How large are quality costs?
n Depends on the type of organization and the success of their quality improvement effort
w 4% or 5% sales vs. 35% or 40% sales w high-tech firm vs. service industry
Leverage effect
n $1 invested in prevention and appraisal might yield a return of $10 or $100 (or more)
Put too much effort to appraisal and not enough to prevention
nAt early stage of quality-cost program, it’s not unusual to find appraisal costs are eight to ten
times of prevention costs
Not easy to generating the quality-cost figure n Not a direct component in the accounting records n Generate by estimates
or need to use special procedure to track
Use quality-cost analyses to help identify the improvement opportunities
n Pareto analysis (80/20 rule)
品質管理 108 學年度第一學期 NCTU-IEM 55

Prevention costs
nQuality planning and engineering n New products review n Product/process design n Process control n Burn-in n Training n Quality data
acquisition and
analysis Appraisal costs External n Inspection and test of incoming
material n Product inspection and test n Materials and services consumed n Maintaining accuracy of test failure costs
(Usually budgeted items)
n Complaint adjustment n Returned product/material n Warranty charges n Liability costs n Indirect costs

equipment
品質管理 108 學年度第一學期 NCTU-IEM
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Internal failure costs

n Scrap n Rework n Retest n Failure analysis n Downtime n Yield losses n Downgrading

Why quality-cost collection and analysis efforts fail?

Quality Costs (cont.)
品質管理 108 學年度第一學期 NCTU-IEM 54

Failure to use quality-cost information as a mechanism for generating improvement opportunities

Overemphasis in treating quality costs are of part of the accounting systems rather than a management
control tool
n Spend too much effort in making the figures perfect
Management often underestimates the depth and extent of the commitment to prevention that must be made
nRarely exceed 1% to 2% revenue n Should’ve been increased to 5% to 6% revenue n Must be spent largely on the technical
methods of quality improvement (not on
establishing programs such as TQM, zero defects, or other similar activities)
品質管理 108 學年度第一學期 NCTU-IEM 56

Cost of Quality
Cost of Nonconformance
Cost of conformance
Prevention Costs
Appraisal Costs
Internal Failure Costs
Total Revenue in a Typical Manufacturing
Organization
品質管理 108 學年度第一學期 NCTU-IEM

Concept of strict liability

nResponsibility of both manufacturer and seller/distributor
w Immediate responsiveness to unsatisfactory quality n Advertising must be supported by valid data
品質管理 108 學年度第一學期 NCTU-IEM 58

Implementing Quality Improvement

Strategic management of quality
n Quality planning n Quality assurance n Quality control and improvement
Supplier selection and supply chain management
n Quality, cost, delivery, (service)
Quality function is not responsible for quality
品質管理 108 學年度第一學期 NCTU-IEM 59
Can be improved by 20% within one or two years via Quality improvement tools
57

Legal Aspects of Quality

Control Charts
Product liability exposure
n Liability exposure increased as production volume increases
Developed by W. A. Shewhart in 1924 (when he was working in Bell
Laboratories)
Tell when to adjust process
品質管理 108 學年度第一學期 NCTU-IEM

(蕭華特、蕭瓦特、舒華特、舒哈特 ...)60
Walter A. Shewart (1891-1967)

Factorial Design
Factors are varied together in such a way that all possible
combinations of factor levels are tested
品質管理 108 學年度第一學期 NCTU-IEM
品質管理 108 學年度第一學期 NCTU-IEM 62

The Juran Trilogy

1. Planning

Develop products/services and processes to respond to customers’ needs 2. Control

Primary tool: SPC 3. Improvement

These three processes are interrelated

Project-by-project improvement
61
61

The Juran Trilogy

Acceptance Sampling
品質管理 108 學年度第一學期 NCTU-IEM 63

Identify customers’ needs

To ensure products/services meets the requirements

Continuous (incremental)
Breakthrough (large, rapid improvement)
A factorial experiment with three factors (each with two levels)

64

What ISO's name means

“ Because "International Organization for Standardization" would have different
abbreviations in different languages ("IOS" in English, "OIN" in French for Organisation
internationale de normalisation), it was decided at the outset to use a word derived from the
Greek isos, meaning "equal". Therefore, whatever the country, whatever the language,
the short form of the organization's name is always ISO. ”
From: http://www.iso.org/iso/about.htm#eleven

品質管理 108 學年度第一學期 NCTU-IEM

65

Structure of a Typical Six-Sigma Organization

品質管理 108 學年度第一學期 NCTU-IEM 66

品質管理 108 學年度第一學期 NCTU-IEM 66

品質管理 108 學年度第一學期 NCTU-IEM 67