The Quality Improvement Handbook, Second Edition

262 Pages·2006·1.02 MB·English

by  John E. Bauer

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The Quality
Improvement
Handbook
Second Edition
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Also available from ASQ Quality Press:
The Quality Toolbox, Second Edition
Nancy R. Tague
Root Cause Analysis: Simplified Tools and Techniques, Second Edition
Bjørn Andersen and Tom Fagerhaug
The Certified Manager of Quality/Organizational Excellence Handbook: Third Edition
Russell T. Westcott, editor
Quality Essentials: AReference Guide from Ato Z
Jack B. ReVelle
The Quality Improvement Glossary
Donald L. Siebels
The Path to Profitable Measures: 10 Steps to Feedback That Fuels Performance
Mark W. Morgan
Lean Kaizen: ASimplified Approach to Process Improvements
George Alukal and Anthony Manos
Simplified Project Management for the Quality Professional: Managing Small & Medium-Size
Projects
Russell T. Westcott
Leadership for Results: Removing Barriers to Success for People, Projects, and Processes
Tom Barker
Everyday Excellence: Creating a Better Workplace through Attitude, Action, and Appreciation
Clive Shearer
Making Change Work: Practical Tools for Overcoming Human Resistance to Change
Brien Palmer
The Executive Guide to Improvement and Change
G. Dennis Beecroft, Grace L. Duffy, and John W. Moran
To request a complimentary catalog of ASQ Quality Press publications,
call 800-248-1946, or visit our Web site at http://qualitypress.asq.org.
wes96904_fm.qxd 4/20/06 9:20 AM Page iii
The Quality
Improvement
Handbook
Second Edition
John E. Bauer, Grace L. Duffy,
and Russell T. Westcott, Editors
Quality Management Division
American Society for Quality
ASQ Quality Press
Milwaukee, Wisconsin
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American Society for Quality, Quality Press, Milwaukee 53203
© 2006 by ASQ
All rights reserved. Published 2006
Printed in the United States of America
12 11 10 09 08 07 06 5 4 3 2 1
Library of Congress Cataloging-in-Publication Data
The quality improvement handbook / John E. Bauer, Grace L. Duffy, and
Russell T. Westcott, editors.—2nd ed.
p. cm.
Includes bibliographical references and index.
ISBN-13: 978-0-87389-690-0
1. Quality control—Handbooks, manuals, etc. 2. Quality assurance—
Handbooks, manuals, etc. I. Bauer, John E. II. Duffy, Grace L. III.
Westcott, Russ, 1927-
TS156.Q3Q355 2006
658.5′62—dc22 2006010039
ISBN-13: 978-0-87389-690-0
ISBN-10: 0-87389-690-4
No part of this book may be reproduced in any form or by any means, electronic,
mechanical, photocopying, recording, or otherwise, without the prior written permission
of the publisher.
Publisher: William A. Tony
Acquisitions Editor: Annemieke Hytinen
Project Editor: Paul O’Mara
Production Administrator: Randall Benson
ASQ Mission: The American Society for Quality advances individual, organization, and
community excellence worldwide through learning, quality improvement, and knowledge
exchange.
Attention Bookstores, Wholesalers, Schools, and Corporations: ASQ Quality Press books,
videotapes, audiotapes, and software are available at quantity discounts with bulk
purchases for business, educational, or instructional use. For information, please contact
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Milwaukee, WI 53201-3005.
To place orders or to request a free copy of the ASQ Quality Press Publications Catalog,
including ASQ membership information, call 800-248-1946. Visit our Web site at
www.asq.org or http://qualitypress.asq.org.
Printed in the United States of America
Printed on acid-free paper
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Contents
List of Figures and Tables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . vii
Preface . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix
Notes to the Reader . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xi
Acknowledgments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xv
Part I Quality Basics . . . . . . . . . . . . . . . . . . . . . . . . . 1
Chapter 1 A. Terms, Concepts, and Principles . . . . . . . . . . . . . . . . . . 2
1. Quality . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
2. Quality Planning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
3. The Importance of Employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
4. Systems and Processes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
5. Variation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Chapter 2 B. Benefits of Quality . . . . . . . . . . . . . . . . . . . . . . . . . . 16
C. Quality Philosophies . . . . . . . . . . . . . . . . . . . . . . . . . 20
1. Deming . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
2. Juran . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
3. Crosby . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
Part II Teams . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39
Chapter 3 A. Understanding Teams . . . . . . . . . . . . . . . . . . . . . . . . 40
1. Purpose . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
2. Characteristics and Types . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
3. Value . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
Chapter 4 B. Roles and Responsibilities . . . . . . . . . . . . . . . . . . . . . . 47
Chapter 5 C. Team Formation and Group Dynamics . . . . . . . . . . . . . . . 57
1. Initiating Teams . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57
2. Selecting Team Members . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58
3. Team Stages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
4. Team Barriers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63
5. Decision Making . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66
Part III Continuous Improvement . . . . . . . . . . . . . . . . . 71
Chapter 6 A. Incremental and Breakthrough Improvement . . . . . . . . . . 72
Chapter 7 B. Improvement Cycles . . . . . . . . . . . . . . . . . . . . . . . . . 80
v
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vi Contents
Chapter 8 C. Problem-Solving Process . . . . . . . . . . . . . . . . . . . . . . 100
Chapter 9 D. Improvement Tools . . . . . . . . . . . . . . . . . . . . . . . . . 109
Chapter 10 E. Customer–Supplier Relationships . . . . . . . . . . . . . . . . . 149
1. Internal and External Customers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 149
2. Customer Feedback . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 156
3. Internal and External Suppliers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 162
4. Supplier Feedback . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 164
Appendix A Body of Knowledge ASQ: Certified Quality Improvement
Associate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 169
Appendix B ASQ Code of Ethics . . . . . . . . . . . . . . . . . . . . . . . . . . 173
Appendix C Quality Glossary . . . . . . . . . . . . . . . . . . . . . . . . . . . . 175
Appendix D Additional Reading . . . . . . . . . . . . . . . . . . . . . . . . . . 207
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 213
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List of Figures and Tables
Part I
Figure 1.1 SIPOC diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Figure 2.1 Deming’s “chain reaction” . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Table 2.1 Comparisons of Baldrige Award criteria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Part II
Table 4.1 (Team) Roles, responsibilities, and performance attributes . . . . . . . . . . . . . . 48
Figure 4.1 Team meeting process self-assessment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
Part III
Figure 7.1 Basic process improvement model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82
Figure 7.2 Plan—Do—Check/Study—Act cycle . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84
Table 7.1 Setting objectives the S.M.A.R.T. W.A.Y. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88
Figure 8.1 Problem-solving model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 101
Figure 8.2a,b Action plan (form) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105
Table 8.1 Distinguishing between performance and skill/knowledge issues . . . . . . . 107
Figure 9.1 Affinity diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 112
Figure 9.2 Arrow diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 113
Figure 9.3 Cause-and-effect diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117
Figure 9.4 Check sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119
Figure 9.5 Control chart (process in control) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 121
Figure 9.6 Morning coffee flowchart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 126
Figure 9.7 Basic flowchart symbols . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 127
Figure 9.8 Force-field analysis diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 130
Figure 9.9 Gantt chart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 131
Figure 9.10 Histogram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 133
Figure 9.11 Pareto chart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 136
Figure 9.12 Process decision program chart (PDPC) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Figure 9.13 Quality function deployment (QFD) matrix “house of quality” . . . . . . . . . . 139
Figure 9.14 Interrelationship digraph . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 140
Figure 9.15 Resource allocation matrix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 141
Figure 9.16 Run chart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 142
Figure 9.17 Scatter diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 144
Figure 9.18 Tree diagram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146
Figure 10.1 Voice of the customer deployed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 155
Table 10.1 Levels of customer satisfaction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 160
Figure 10.2 The Kano model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 162
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Preface
The Quality Management Division (QMD) of the American Society for Qual-
ity (ASQ) continues to see organizational and process improvement being in-
tegrated into all areas of organization. This has resulted in a decrease in
many of the traditional quality functions such as quality assurance, quality control,
and quality audits. However, this move to integrate quality has led to an ever-
increasing requirement for everyone in the organization to understand the basic
principles of process control and process improvement.
ASQ introduced the Certified Quality Improvement Associate(CQIA) certification
in 2000. This body of knowledge (BoK) was initially designed to address the non-
traditional quality professional. It encompassed the basics of quality, teamwork,
and continuous improvement. Over the past five years the CQIAhas been strongly
supported by the business community. Feedback from our customers resulted in a
revision of the BoK, which in turn necessitated the second edition of this handbook.
The Voice of the Customer surveys for the BoK update identified three key ar-
eas for revision: value, problem solving, and decision making. This second edition
addresses each of these key areas separately. It provides new material on identify-
ing the value of teams, the specific process approaches for problem solving, and
the different approaches for entering either problem-solving or decision-making
pathways. Asample exam is included once again with new items for problem solv-
ing, value, and decision making.
The QMD sees the achievement of Certified Quality Improvement Associateas an
important entry-level qualification for a career path toward the leadership and
management of effective business systems. This path might ultimately culminate
in certification as a Certified Manager of Quality/Organizational Excellence. Knowl-
edge of quality basics, teamwork, and continuous improvement are the first steps
in any successful career.
Once again, our division is very pleased to have three of our very knowledge-
able members to act as the editors for this second edition:
• John E. Bauer
• Grace L. Duffy
• Russell T. Westcott
This handbook will be a valuable resource not only for those seeking certification
but also for individuals wishing to increase their knowledge of basic quality infor-
mation and tools.
G. Dennis Beecroft
Chair
Quality Management Division
American Society for Quality
ix
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Notes to the Reader
A BRIEF HISTORY OF QUALITY1
Although the history of quality goes back to ancient times, this short review starts
with the current quality movement that had its beginning in the 1920s. The quality
profession as we know it today began when Walter Shewhart of Bell Laboratories
developed a system, known as statistical process control, for measuring variance in
production systems. Statistical process control is still used to help monitor consis-
tency and diagnose problems in work processes. Shewhart also created the Plan—
Do—Check—Act (PDCA) cycle, which applies a systematic approach to
improving work processes. When the PDCAcycle is applied consistently, it can re-
sult in continuous process improvement.
During World War II, the U.S. War Department hired Dr. W. Edwards Deming,
a physicist and U.S. Census Bureau researcher, to teach statistical process control
to the defense industry. Quality control and statistical methods were considered to
be critical factors in a successful war effort. Unfortunately, most of the companies
in the United States stopped using these statistical tools after the war.
The U.S. occupation forces in Japan invited Deming to help Japan with its post-
war census. He was also invited to present lectures to business leaders on statisti-
cal process control and quality. The Japanese acceptance and use of Dr. Deming’s
techniques had a profound positive effect on the economy of Japan.
Two other American experts, Dr. Joseph Juran and Armand Feigenbaum, also
worked with the Japanese. Both Deming and Juran, a former investigator at the
Hawthorne Works experiments, drew on Shewhart’s work and recognized that
system problems could be addressed through three fundamental managerial
processes—planning, control, and improvement—and that satisfying the cus-
tomer’s needs was important. Feigenbaum stressed the need to involve all depart-
ments of a company in the pursuit of quality, something he called total quality
control.The Japanese expanded Juran’s customer concept to include internal cus-
tomers, those people within the organization who depend on the output of other
workers.
Kaoru Ishikawa, a Japanese engineer and manager, enlarged Feigenbaum’s
ideas to include all employees, not just department managers, in the total-quality-
control concept. Ishikawa also helped to create quality circles,small teams of man-
agers, supervisors, and workers trained in statistical process control, the PDCA
cycle, and group problem solving. Applying these techniques created a flow of
new ideas for improvement from everyone in the organization and continuous
xxii
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xii Notes to the Reader
small improvements that led to better performance. The quality circles were the
original model for our current process improvement teams. By the 1970s, most
large Japanese companies had adopted what Ishikawa called companywide quality
control(CWQC), resulting in a perception that Japan produced world-class quality
products.
The Japanese success prompted American organizations to embrace the teach-
ings of Deming, Juran, Feigenbaum, and other quality “gurus” and to apply their
successful quality management techniques in many types of business. Beginning
in the mid 1980s, American organizations began to experience improved quality
results and enhanced customer satisfaction.
In 1987, the criteria for the first Malcolm Baldrige National Quality Award
were published. At the same time, ISO 9001, Quality Systems—Model for quality
assurance in design, development, production, installation, and servicing was
published. These documents have resulted in profound changes in the way the
quality profession operates.
By the end of 2004, 150-plus countries were using the ISO 9000 standards and
more than 670,000 quality system certificates had been issued. Many industry-
specific quality management system documents have evolved from ISO 9000.
More than 2 million copies of the Malcolm Baldrige National Quality Award
criteria have been distributed, and many state and local quality award programs
have developed their own criteria based on the national award criteria. Although
very few organizations actually apply for the national award, thousands use the
criteria to evaluate and improve their quality management systems. Health-care
and education versions of the award criteria have been published in the last few
years, further expanding the applicability and value of the criteria.
STRUCTURE OF THE BOOK
The content of this book is structured to follow the BoK to be used in preparation
for taking the Certified Quality Improvement Associate (CQIA) examination
given by the American Society for Quality (ASQ). Though the content coincides
with the sequence of the BoK, each chapter stands alone, and the chapters may
be read in any order. Where appropriate, supplemental reading suggestions are
provided.
DIVERSITY
The use of quality and continual improvement is no longer considered the sole
property of manufacturing or the traditional engineering and production environ-
ment. Most professionals entering the workforce today are required to analyze sit-
uations, identify problems, and provide solutions for improved performance.
Improving the organization is everyone’s job. Teamwork is critical, requiring the
participation of members of all backgrounds, nationalities, educational levels, and
career aspirations.
An attempt has been made to balance the use of personal pronouns as well
as introduce examples from a variety of organizations. The use of the term orga-