Critical To Quality (CTQ)

Tunde BalogunNomaan MemonMukund Thiyagarajan

MGS 8760November 28, 2007

2

Agenda

• CTQ – Definition and Purpose• CTQ – Steps• Elements of CTQ• CTQ Templates (3 sample templates)• Comparison of Templates• Best in class

3

CTQ – Definition and Purpose (1/2)

DefinitionCTQs (Critical to Quality) are the key measurable

characteristics of a product or process whose performance standards or specification limits must be met in order to satisfy the customer.

PurposeThe purpose of Critical-To-Quality trees is to convert

customer needs/wants to measurable requirements for the business to implement.

4

CTQ – Definition and Purpose (2/2)

Summarizing

CTQ is– What a customer tells us they want from our product/service or

process output

– CTQs are rendered from the Voice of the Customers (VOCs)

– CTQs must be specific, measurable and actionable

5

CTQ - Steps

• Start with the Customer

• Define your Product/Service Defects

• Define your Product/Service Units

• Define your Product/Service Opportunities

6

Elements of CTQ

• Customer Quote: 'I consistently wait too long to speak to a representative.'

• CTQ Name: Responsiveness• CTQ Measure: Time on hold (seconds)• CTQ Specification: Less than 60 seconds from

call connection to the automated response system

• Defect: Calls with hold time equal and greater than 60 seconds (e.g. 100 calls)

• Unit: Call (e.g. 2000 calls)• Opportunity: 1 per call

7

CTQ Template 1

CTQ Key Issue

Specific CTQ (Customer Requirement) Target

Minimum (Lower Specification Limit)

Maximum (Upper Specification Limit)

Output (Measurements)

Process (Measurements)

Input (Measurements)

               

               

               

               

               

               

               

               

               

               

               

               

               

               

8

CTQ Template 2

NEED DRIVERS CTQs

Driver 1

Driver 2

Driver 3

General Specific

Hard to Measure Easy to Measure

CTQ 1

CTQ 2

CTQ 3

CTQ 4

CTQ 5

CTQ 6

CTQ 7

9

CTQ Template 3

10

Templates - Comparison

Template 1 Template 2 Template 3

Simplicity      

Target  

Drivers

VOC

VOB

Specifications/Measurements

11

Best in class Template

Customer Need CTQ 2

CTQ 3

Target

Target 1

Target 2

Sub Level CTQ

Target 1

Target 2

Sub Target

Sub Target

Sub Target

Sub Target

Sub Target

CTQ 1

12

Best in Class

• A pizza company wishes to add home delivery to its services in order to increase business.

• Surveys of current customers were taken in order to determine what would make them order the pizza company’s pizzas instead of a competitors, or instead of a different kind of food altogether. VOC.

• Summarized VOC reveals that when customers order-in pizza, they want – hot pizza – now– with my choice of toppings and crusts– at a reasonable cost

13

Populated Example: Best in Class Template

“Now”

Whenever I want pizza

Quick and easy to order

Delivered ASAP

Service Available 11am to 12pm

Answer on the 1st ring

Call Length < 45 sec

Minimum time from call to front door

Out the door time < 20 min

Delivery time <15 min

Queue time < 8min

Make time < 2 min

Bake time < 9 min

Package time < 1 min

Wait time = 0 min

14

Sources

• www.isissigma.com

• www.sei.cmu.edu

• www.anticlue.net

• www.army.mil/armyBTKC

15

??

Questions