the house of quality
DESCRIPTION
QFD or the House of Quality is used in eliminating errors from a corporate system and serves to maximize positive business intelligence. The House of Quality tool creates value for the organization, the customer, and increases customer satisfaction. This in turn will maximize stakeholder profits. Here is a outline of the QFD tool and a few case studies on its use.TRANSCRIPT
The House of QualityPresentation by Morgan La Femina
Resources Utilized
QFD Online
Journal Articles
QFD Applications in Health Care and Quality of Work Life Finding Customer Delights using QFD
Symposium
Transactions from the 23rd Symposium on Quality Function Deployment
QFD Online
QFD Online Directory
QFD Sample Excel Charts
Finding Customer Delights Using QFD
Company involved
Blue Cross Blue Shield of Florida (BCBSF)
Forced Change through regulation and market demographics
BCBSF wanted to stay ahead of those changes and expand its market to underserved portions of Floridas population
QFD helped convert external changes into opportunities as well as retain their current customers
Traditional approaches were focused on work standards, automation, QI teams and empowerment BCBSF found stability
Traditional and New QC
With Traditional Quality Control
According to the authors with traditional quality systems the most you can strive for is nothing wrong
This seems to be no longer adequate for the customer
With QFD
Eliminates errors from the system and also maximizes positive quality
This creates value for the customer Customer satisfaction
It is important to note that no two QFDs are alike
QFD Process for BCBSF
The process for Blue Cross Blue Shield of Florida reflects their core needs
0. Customer tailoring the QFD process 1. Customer Verbatims, Observations, Analysis 2. Customer Voice Table 3. Affinity Diagram 4. Hierarchy Diagram 5. Analytic Hierarchy Process 6. Maximum Value Table 7. Idea Generation and Analysis
BCBSF QFD Process Snapshot
Their first step was to custom tailor their QFD process
Facilitated by a QFD Master Black Belt or Red Belt
Stakeholders from BCBSF were assembled into the QFD team i.e. strengthen Enterprise Business Intelligence capability, better understanding of the industry and customer
Several business objectives were developed
Second step
Team was assembled and given a three day QFD Green Belt training BCBSF developed their Strategic Business Hypotheses QFD was utilized to determine customer needs, new program ideas, new concepts
BCBSF Translates Verbatims
Expected Requirements
Very basic, many times not mentioned by customer but absent or lacking customer dissatisfaction occurs Customer gets what they want to have. Inherent in the business model. Without its presence the business model begins to fail Beyond the customers expectation and creates the differentiation experience Lack of this does not dissatisfy but its presents creates value added experiences.
Normal Requirements
Exciting Requirements
BSBSF Example Survey for Employee Satisfaction
Baptist Health Systems: Princeton Foot Clinic
Increased competition, reduced budgets, increased regulation and increased patient needs are forcing hospitals and hospital systems to change the way they serve their communities
Authors feel delivering what customer wants and what delights them will be the differentiation factor.
Baptist Health Clinic or BHS began a quality control program in 1986, partnering with 3M
It eventually developed into a proprietary program called TeamWorks for Quality
BHS Selects Clinic for QFD Trial
They selected the Princeton Foot Clinic or PFC for the first project using QFD with the goal of expanding it to BHS in the future BHS Selected QFD because:
1. QFD would be another step along TQM 2. QFD would reduce waste/rework through the creation of new services with quality inherent 3. Allow for expanded customer needs analysis 4. Differentiation of BHS from its competitors
BHS PFC QFD Process
Managerial buy-in at the clinic was a weak point
This resulted in constraints later on Also resulted in a phased-in implementation Mission or purpose was created and goals developed Key customers were identified Campus Physicians were then selected as primary customers
PFC task force was assembled
PFC collected data from campus Physicians
Attitude survey's showed link between satisfaction of Physician and patient satisfaction Physicians and their patients were interviewed
PFC Customers Contextual Data
Data collected from QDF customer context table yielded results:
Quality related needs Process needs Performance needs Certain issues of failure Ways to improve
Comprehensive QDF allowed them to deploy quality needs as well as solutions faster, more accurately
Partial PFC QFD Table
PFC Matrix for the Quality Table
Matrix
Uncovered need for new functions i.e. send patient summaries to referring MDs treat patients assess patients Secondary functions
Priority functions
schedule appointments update scheduling staff of changes
Correlations
Patient load Wait time for appointments
QFD Applications for the Board of Directors
Goal: QFD can be utilized in engineering, marketing and organizational design
An organizations Board of Directors can implement QFD as a policy analysis and development tool
Effective ethical policy must be developed by strong leadership, QFD lends itself to policy development and deployment
QFD provides measurable ways of tracking progress QFD provides the means of taking timely corrective action
QFD to Improve Corporate Governance Quality
QFD facilitates the delivering of quality to the customer along with value QFD originated within the chemical processes and automobile industries
However as a tool it has applicability to business areas such as strategic planning, executive management, and corporate governance.
For the Board of Directors the QFD method establishes clarity and focus.
What is in scope and what is beyond the mission of the company This helps prevent scope creep
QFD to Improve Corporate Governance Quality
QFD can be used to create a Scope Boundary Table
The Board of Directors and the CEO determine what is to be in scope 1. Measures their purpose and their goals 2. They measure how effective they have been achieving those goals 3. The voice of the customer and the voice of the stakeholder is taken 4. Prioritization of stakeholder/constituents needs then takes place 5. Needs of greatest importance to the organization are prioritized first 6. Evaluation criteria, core values, responsibilities and governance principles are placed within the QDF
The Board of Directors
Sample Stakeholder/Constituent Voice Table
QFD and the Board of Directors
The QDF facilitates the Board in developing their responses The Boards responses are utilized in creating new corporate policy Once policy is developed according to the QFD process, the new policy is then deployed
Deployment of policy occurs on all appropriate layers Deployment of policy occurs at all relevant functions of the organizations management
Time is given for assimilation of new policy through the organization Results are then measured
Metrics are used and actual performance is charted against planned performance Other tools such as fishbone diagrams can be used to assure that original goals are being deployed sufficiently thought-out the company
Citations (APA 6th)
Hepler, C., & Mazur, G. (2006). Finding Customer Delights Using QFD. Proceedings of Quality Institute for Healthcare, 12. Retrieved from http://www.mazur.net/works/Hepler_Mazur_2006_Finding_Customer_Delights_at_Blue_Cross_Blue_Shiel d_Florida.pdfMazur, G., Gibson, J., & Harries, B. (1995). QFD applications in health care and quality of work life. First International Symposium on QFD, (p. 9). Tokyo. Retrieved from http://www.mazur.net/works/health_care_qfd_quality_of_work_life_qfd.pdf Watson, G., Mazur, G., & Akao, Y. (2011). Transactions from the 23rd Symposium on Quality Function Deployment. QFD Applications for the Board of Directors (p. 17). San Diego: QFD Institute. Retrieved from http://www.mazur.net/works/Talbot_Hepler_Mazur_2011_QFD_at_Medtronic_Diabetes.pdf QFD Online. (n.d.). QFD Online. Retrieved February 10, 2012, from http://www.qfdonline.com/
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