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25-12-2014 1 Session 2 Vinay Kumar Kalakbandi Assistant Professor Operations & Systems Area 09/11/2014 Vinay Kalakbandi 1 Total Quality Management and Six Sigma Post Graduate Program 2014-15 Recap Quality definitions History of quality thinking Present era challenges Group formation 09/11/2014 Vinay Kalakbandi 2

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Session 2

Vinay Kumar Kalakbandi

Assistant Professor

Operations & Systems Area

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Total Quality Management and Six Sigma Post Graduate Program 2014-15

Recap

• Quality definitions

• History of quality thinking

• Present era challenges

• Group formation

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Agenda

• Statistical Process Control

• Process Control at Polaroid Case

The process view

• The Red Bead experiment

– https://www.youtube.com/watch?v=ckBfbvOXDv

U

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The process view

• Service/Manufacturing processes are characterized

by

– Output: Service outcome that determines service quality

– Input: Customer inputs, Resources, employees

– Variability: Dispersion in output

• Natural causes: Non-controllable; inherent variability in the

system, noise, usually minor

• Assignable causes: Controllable, bring about a fundamental

change on the nature of the process, causes considerable

impact on quality

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Pre-requisites

• Mean and standard deviation

• Random variables and Probability distribution

– Normal distribution

• Type 1 and Type 2 errors

• Central limit theorem

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Process control charts

• Information: Monitor process variability over

time

• Control limits: Average + z Normatl variability

– z = 3

• Decision Rule: Ignore variation outside

“abnormal”

• Errors: Type 1 and Type 2

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Types of Data

• Variable data

– X-bar and R charts

– Time, customer satisfaction scores

• Attribute data

– p-charts and c-charts

– Good/bad, yes/no, number of errors!

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Rest of the discussion

• Different charts have different purposes

• Constructing a control chart

• Knowing when things have gone wrong

• Process capability

• Six sigma!

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Constructing a control chart

• Decide what to measure and count

• Collect sample data

• Calculate and plot control limits on the control

chart

• Determine if data is in control

• If non-random variation is present, fix the

problem and recalculate control limits.

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Ambulance response time (in minutes)

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Utility of X-bar and R chart

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Utility of X-bar and R chart

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Output

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Other charts

• P-charts

– Calculate percentage defectives in a sample

– an item is either good or bad

– Based on binomial distribution

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Other charts

• c Charts

– Count number of defects in an item

– Based on poisson distribution

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Performance variation patterns

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Process capability

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From Control to improvement

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Sigma statistics

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THANK YOU

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