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Managing Quality

Author: percival-cummings

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  • Managing Quality

  • AgendaWhat is quality?Importance of quality managementQuality systemsISO 9000Total Quality Management (TQM)Quality management in constructionQuality costs

  • What is quality?Meeting customer need (Crosby) Fitness for purpose (Juran)Conformance to specificationCharacteristics and properties of a product, seen as a whole, as ability to fulfil specified or implied requirements of the customer

  • Quality means ....freedom from deficienciesdoing it right the first timeclient satisfactionsatisfaction of all employees (all project stakeholders)continously improving performance reduce costs

    repeat business staying competitive

  • QualityMust not be confused with grade (class)Grade is a category or rank given to entities having the same functional use but different technical characteristics

  • Why is quality management essential?

  • Success of JapanGlobalisationCompetitionCustomer requirementsConstant changeThe global business environmentcontinous improvement !

  • Canon could sell photocopiers cheaper than Xeroxs manufacturing costs Major restructuring at Xerox

    Mazdas Orders Payable mechanism worked satisfactorily with 5 employees whereas Ford had problems with 500 employees (1986)....

    The global business environmentFamous cases of strong competition from Japan, causing a change in business processes of American firms:

  • 19911992199319941995199619971998199920002001200220032004Average sales priceAverage costThe global business environment

  • Some definitionsQuality planning: Identifying which quality standards are relevant to the project and determining how to satisfy themMake quality policyDetermine scope and make statementMake product descriptionTake into account standards and regulations

  • Some definitionsQuality Control (QC): A set of activities or techniques whose purpose is to ensure that all quality requirements are being met by monitoring of processes and solving performance problemsMonitoring work resultsInspections and testsQuality Assurance (QA): A set of activities or techniques whose purpose is to demonstrate that quality requirements are met. QA should give confidence that quality requirements are being metPrepare quality plansAuditsTrainingetc.

  • Quality of processesQuality of productQuality of processes

  • Quality hierarchy= Data collection, creation of records ...= Detection of defects according to quality plan, categorisation, statistical techniques ...= Prevention of defects through management and procedures to build in quality into the production system make quality system= ensuring continous improvement of the performance of all activities, for benefit of all customers and employees





  • Continous improvementDeming Circle







    Possible changes based on the diagnosis


  • Quality systemsA quality system is the organisational structure, responsibilities, procedures, processes and resources for implementing quality managementIt prescribes processes, not product or technical detailsThe system is controlled through a documentation hierarchy

  • Quality systemsThe purpose is to ensure every time a process is performed, the same information, methods, skills and controls are used in a consistent mannerA quality system specifies how something has to be done, then verify it has been achieved

  • Quality systems

    Philosophy and policy

    Quality Manual


    Work instructionsMethod statementsOperating proceduresetc.


    Principles and strategy


    Control sheets





  • ISO 9000BS5750 Quality Management first introduced in Britain in 1979IS0 (the International Organization for Standardization) is a worldwide federation of national standards bodies (IS0 member bodies). The work of preparing International Standards is normally carried out through IS0 technical committees.adopted by the International Standards Organisation (ISO) in Geneva and was reborn as ISO 9000 Quality Management and Quality Assurance Standards in 1987updated in 1994 and 2000

  • Structure of ISO 9000

    ISO 9000:2000

    Fundamentals and vocabulary

    ISO 9004:2000

    Guidelines for performance improvements

    ISO 9001:2000


  • ISO 9001NOT a quality awardA model/framework for documented quality managementCompliance with ISO 9001 is certified by various institutes. This is called certification or registration

  • ISO 9001A process standard, NOT a product standardi.e. applies to any industryThe requirements for quality management system are the same for an engineering organisation as for a contractorThe difference is how each requirement is applied to each distinct business process

  • ISO 9001Quality ManagementResource ManagementRegulatory Research Market Research Product Design Purchasing Production Service Provision Product Protection Customer Needs Assessment Customer Communications Internal Communications Document Control Record Keeping Planning Training Internal Audit Management Review Monitoring and Measuring Nonconformance Management Continual Improvement Develop ..Document ..Implement ..Monitor ..Improve ..21 processes that you are required to:

  • TS EN ISO 9001:2000Kalite Ynetim Sistemleri - artlar

  • Example reqs in ISO 9001Develop documents to implement the quality systemDefine product quality objectives and requirementsDevelop review and approval mechanisms for documentsAvoid use of obsolete documentSet measurable objectives for quality

  • Example reqs in ISO 9001Management of design and developmentEnsure that purchased products meet requirementsCalibrate instrumentsMonitor and measure quality system performanceControl non-conforming productsDevelop and implement a system to control communication with customers

  • Quality auditA quality audit is a systematic and independent examination to determine if quality activities and results comply with objectivesInternal auditing is a formal procedure undertaken by an impartial and trained individual, for example following a checklistExternal auditing is done by external organisationThe audit records should detail inadequacies, by issuing non-conformance notices (findings), and indicate suitable corrective action

  • Related ISO quality standardsISO 10012:2003 Measurement management systems -- Requirements for measurement processes and measuring equipmentISO/TR 10013:2001 Guidelines for quality management system documentationISO 10015:1999 Quality management -- Guidelines for trainingISO/TR 10017:2003 Guidance on statistical techniques for ISO 9001:2000..... full list on

  • Other related standardsThe ISO 14000 family is concerned with environmental management. This means what the organization does to: minimize harmful effects on the environment caused by its activities, and to achieve continual improvement of its environmental performance.OHSAS 18000 is an international occupational health and safety management system specificationNOTE: These are process standards, NOT industry standards TS XXXXX must be followed

  • Total Quality Management

  • TQM - Total Quality ManagementA management approach that tries to achieve and sustain long-term organizational success by encouraging employee feedback and participation, satisfying customer needs and expectations, respecting societal values and beliefs, and obeying governmental statutes and regulations

  • TQM - Total Quality ManagementA senior management-led to obtain the involvement of all employees in the continuous improvement of the performance of all activities to meet the needs and satisfaction of the customer whether internal or external

  • TKY - Toplam Kalite YnetimiMteri ihtiyalarn tatmin etmek zere srekli bir iyiletirme mant iinde btn alanlarn ilgi ve katlm le tm srelerde mkemmel bir performans elde etmeyi amalayan bir ynetim anlaydr

  • TQM conceptsstrong customer focusthe continuing effort by everyone in an organisation to understand, meet, and exceed the needs of its customersregularly translate customer expectations into the design of new products or services (e.g. Quality Function Deployment)continual improvementtop management leadershipaccurate measurement change in organisational culturepromote a desire to do a job (any job) right the first timeexpect perfectionempowerment of employees

  • TQM tools and techniquesNumeric toolsStatistics, diagramsNonnumeric toolsBrainstormingQuality circlesFlowchartingBenchmarkingBusiness Process Reengineering (BPR)Strategic planning/management Reliability engineering, configuration management, etc.

  • Quality awardsDeming Prize (Japan)1951Malcolm Baldrige Award (US)1988European Quality Award1992Ulusal Kalite dl1993

  • The European Quality ModelOn this model we can see the criteria that are used to judge organisations for award of the European quality award

















  • Quality management in construction

  • Quality in construction firmEstablish awareness of qualityDevelop quality systemIntroduce the systemSystem evaluationMain steps in introducing a QA system:

  • Quality in construction projectPrepare project quality planPolicy and company profileOrganisation and responsibilitiesProceduresMethod statements / work instructionsInspection and test plansCreate quality records

  • Typical contractors QCVisual inspections of site works to ensure compliance with drawings and specificationsApproval of materials / certificates

  • Inspection and test plansAn essential feature of quality assurance is the collection of data that reflect the facts. Inspection plans are lists of check-points for specific work itemsThe inspection plan is a table, typically listing:work item e.g concrete slab pourwho is doing the inspection e.g. site engineeraccording to what e.g. specifications / drawing XXfrequency of the inspection e.g. every pourcriteria for acceptance e.g 5mm

  • Check sheetsThere are mainly two types:Defective item check sheets number and category, location and cause of defect items. Many types used in factories, but not used in constructionControl sheets inspections to make certain that work has been carried out correctly. List of items that are checked and approved by inspection person (e.g. site engineer)

  • Check sheetsIn construction projects two types of control sheets are often seen:During construction: Check sheets filled out on siteAfter substantial completion: Snaglists or punchlist. These are lists of minor outstanding items created when facility is handed over to the client. When all snags are rectified, facility can be handed over.

  • Quality recordsFilled-out check sheetsDaily diaryConcrete test recordsClosed-out non-conformance reportsRectified snag listetc.Evidence documents that shows how well a quality requirement is being met or how well a quality system element is performing. For construction:

  • Method statementsThe method statement explains how a contractor will do a certain task (~ that proper procedures and best practice will be followed)MS may be required for common tasks such as excavation, concreting or bricklaying.MS will also be required where extraordinary, risky construction methods will be used. In that case it may contain annexes such as risk assesment, health and safety assesment, etc.

  • Quality costsCost of conformance cost of the companys quality effortsAppraisal costPrevention costCost of non-conformanceInternal failuresExternal failures


  • Quality costs







    Prevention +appraisal cost

    Failure cost

    Total cost of quality


  • Why quality costs ?To quantify quality problemsTo speak the money language to managersTo support a quality improvement program


    Manage by more prevention


    Less appraisal

    Less rework/failures







  • Cost of non-conformanceContractors pay a significant price for poor quality resulting from accidents, waste, rework, inefficiencies, poor subcontractor performance and poor communication - these costs are estimated to be between 5% and 30% of the construction cost of a facilityIn addition there are intangible hidden costs such as lost sales due to low customer loyalty

  • Cost of conformanceInspection of direct hire and subcontractor workInspection at vendor source of supplyInspection of shipmentsReview of shop drawings Training costsFacilitator costsSalaries of quality staffMeetings of the steering committee and quality improvement teamsAdministration of the quality management program

  • Turkish construction issuesyap-satbekatgecekonduseimkondu

  • Ethical issuesConflict of interestConfidentiality and loyaltyEngineering judgmentProfessional responsibilityCodes of ethicsProfessions (engineers, doctors, etc.)Companies and organisations (code of conducts)

  • Code of ethicsusing their knowledge and skill for enhancement of human welfareBeing honest and impartial, and serving with fidelity the public, their employers and clientsstriving to increase the competence and prestige of the engineering professionSupporting the professional societies of their disciplinesCode of Ethics of EngineersAccreditation Board for Engineering and Technology (ABET)Engineers uphold and advance the integrity,honor and dignity of the engineering profession by:

  • Thats it for today !

    When we say something is good quality we normally mean that it has durability, doesnt break down, or performs in an excellent way.However for quality management to be useful for us we use various definitions [slide]

    Fitness for purpose the product or facility works for the purpose it was intended ( the word here is intention not as specied)

    Conformance to specification seems like good definitions for an industrial sector like construction, however, they can be unprecise because often it is very difficult for the customer to explain exactly what he needs. Obtaining quality is not slavishly following specifications if what is specified will not work. Then we are not creating quality.Quality implies .... [slide]Some quality definitions include the price factor, meaning supplying the product at required quality at lowest possible price

    Most of these are general terms. The specific criteria for quality will vary from business to business, in a restaurant too much salt will be a deficiency.We can see that Quality is related to business performance. By including such issues as premium prices, increased market and low staff turnover you could set up all sorts of frameworks to link quality with performance.You could also call grade class. Low quality is always a problem. Low grade may not be.

    So quality does NOT mean gold-plating or deluxeBefore I start talking about quality systems etc. I want to discuss a little bit about the quality revolution that has happened in the world for the last couple of decades.

    The business environment has become more competitive. Why? [slide]

    CHANGE is one of the most important elements of succesful business management today. The key element of Total Quality Management, which we will talk about later, is CONTINOUS IMPROVEMENT and this is reached through change (change management)What does the increasing competition mean? We can see that as competition becomes more intense, to survive as a business we are required to produce higher quality at a steadily lower cost. We have to make our business more efficient, while constantly increasing our quality performance.After we discussed some of the reasons for the importance of quality thinking, let us look at some of the definitions in quality management.Even though the quality of our product is the primary goal, it is also important that we consider the quality of processes that produce the product

    Technical specifications may not in themselves guarantee that quality will be consistently achieved, if there are deficiencies in specifications or in the organisational system to design or produce the product or service As you can see, when we talk about Quality Control and Quality Assurance, it becomes obvious that there are the levels of the quality commitment of an organisation.The point of the hierarchy is that you cannot have an upper level withouth the level below.Throughout history, the meaning of quality has been broadened, to not only include the produced products, but also the employees, etc.[ ]This is the Deming Circle. It visualizes the process of continous improvement.

    The PDCA cycle is a trial and learning event that emphasizes learning by sequentially testing changes on a small scale. This cycle runs forever. Companies manage quality through quality systems.

    The prescribes processes, not product or technical details. In construction for example, a technical drawing would not be part of the system, but it would be under CONTROL of the QA system. The QA system will avoid that superseded drawings are used.This figure shows the typical documentation hierachy of a quality system.The international standard for quality systems is the ISO 9000 series. Its history dates back to British Standard 5750 which was introduced in Britain in 1979.

    IS0 (the International Organization for Standardization) is a worldwide federation of national standards bodies (IS0 member bodies). The work of preparing International Standards is normally carried out through IS0 technical committees.[ ] There are 3 main standards in the ISO 9000 series. Two of them contain vocabulary and guidelines, but the standard most companies are interested in is the ISO 9001, which contain the requirements you have to fulfill to obtain an ISO 9001 certification or registration.

    The ISO 9000 and 9004 are guidance documents so they are not intended to be used for certification/registration purposes. The procedures used by an organisation are ISO9001 by an external independent assessor. This is essential for registration.

    There are a number of Certification bodies for certification of ISO 9001 compliance. A list of these bodies can be found on the ISO website.

    ISO 9001 has requirements to 21 business processes [ ]Turkish titleThese are some examples or requirements in ISO 9001[ ] There are a number of other quality-related ISO standards, which are guidelines for application in particular areas. Some of these are in the ISO 10000-series.Normally when you have a quality system based on ISO9000, it is normal also to have implemented systems for environmental management Occupational health and safety. These are covered by these standards. [ ]You will learn more the technicalities of health and safety next week.[ ]The word TOTAL conveys the idea that all employees, throughout every function and level of an organisation, are involved in reaching quality.[ ] The principle of cultural change and empowerment of employees means that TQM distances itself from the scientific management principles of mass production and assembly lines where the input from the individual employee was minimal. Such assembly line production was based on studies by Frederick Taylor in the 1910s and were based specialization and division of labour. By treating people more or less as machines, mass production was possible but quality-levels was low. In contrast TQM emphasises the Value of every associate. Quality comes from within; it comes from the hearts and the minds of the people.Some of the tools you can apply to achive total quality are [ ][ ] On this model we can see the criteria that are used to judge organisations for award of the European quality awardAn essential feature of quality assurance is the collection of data that reflect the facts. This is done through inspection and tests, which are done according to inspection and test plans.[ ]Other than these items, the inspection plan should also state the documentation that verifies the inspection has been done. This documentation is normally check sheets or some sort.Check sheets are used a lot in quality assurance. In general, you could classify them into two types [ ]Defective item check sheets are normally tools in the factory invironment to identify types of defects and to do various statistics. This is not seen so often in construction. Defective work items in construction is normally handled through another instrument called a non-conformance report, non-compliance report or similar, and you can find a description in the lecture notes.or [ ]..check sheets can be quite comprehensive in large civil engineering projects. For example, just for reinfocement you have to check SpacingNumberSizeGradeFree coverTies type and sufficiencyCleanlinessQuality records is an important part of quality assurance. Control of quality records is a requirement in ISO 9001. During construction of a building or facility, you continously produce quality records to prove that quality procedures has been followed during construction. In construction quality records are very important because many items can only be checked with difficulty after they are built. Concrete, reinforcement, etc.[ ]The quality records will be handed over to the client when handing over the facility.[ ] Contractors are often required to submit method statements, so these are documents you will probably encounter in your professional life

    There are two aspects of the cost of quality: [ ]

    Appraisal costs are such things as: Inspection and tests, document reviewsPrevention costs are such things as: Quality planning, process planning, quality audits, training[ ]A quality improvement program will increase quality and therefore decrease the overall cost of quality, because rework and failure cost will be greatly reduced.[ ] As you know, In Turkey, thousands have died due to housing that was built carelessly. The number of deaths have been so high, that it has drawn a lot of international attention.As you also know, there is a very basic quality problem in much of Turkish housing. Turkey is a developing country with a growing population and urban housing problem. There are thousands of small contractors in this country, and many of them do not follow the building codes, and of course do not have any form of formalized quality management.As civil engineers, you will of course be aware of these problems when you enter construction projects. It is important that you pass on your knowledge, to avoid such building practices.

    The expressions you see here may be known so some of you. They remind us of the poor practices of Turkish housing business.Engineers are often confronted with situations in which ethics plays a role. How can we know how to act correctly in these situations.Some actions can be both legally and morally wrong, but it is sometimes possible that an action to be legally right but morally wrong.