Exam 1 Flashcards
Is quality a new concept in modern history?
No, William Procter sayd their first job was to produce quality products so their customer will keep on buying. If they produced it efficiently and economically the company will earn a profit in which the employee will benefit from
what are the three issues that are critical to manaagers of manufacturing and service organizations
- Productivity
- cost
- Quality
what is productivity
the measure of output achieved per unit of input
what is most important in the long term success or failure of a company?
QUALITY
-it accelerates organizational growth through better execution of alignment and it provides the voice of the customer to develop innovative products and services.
what are some Pros of ensuring quality in your products?
- it provides an organizational competitive advantage
- created loyal customers
what did a vice president of united workers state?
-no quality = no sales = no sales = no profit = no profit = no jobs
what is the malcom baldridge award?
-it recognized outstanding organizations that have highly effective management practices that lead to superior business results
what was motorolas key beliefs
- respect for the people
2. uncompromising integrity ( reduction of defects)
what does pricewaterhouse cooper do and what are its strategic goals
it provides business advisory services including risk consulting, management and technology
- main goals
1. profit
2. workforce
3. customers
4. operations
what doe te goals of pricewaterhouse cooper align to
- they align to the companies strategic objectives
- strategic advantages
- strategic challanges
- short and long term plans
- performance objective and practices
what is the definition of quality?
people view quality subjectively and in relation to different criteria based on their individual roles.
- there is no universal definition of quality
- the real definition is: a subjective term for which each person has his or her own deifinition.
what are the different perspectives that describe quality
- transcendent
- product
- value
- user
- manufacturing
- customer
Trancedent ( Judgemental ) Perspective
transcend is: to rise above or extend beyond ordinary limits - the goodness of a product
- an absolute and universal mark of standard of high achievement
- ex. rolex, ritz calrton
- you just know quality when you see it
- product excellence associates with high prices
- but quality is not correated with high prices
Product Perspective
- related to the quantity of some product attribute
- ex. threat count of a pillow
- ex. features in a phone
- this assement understands it that more features equals more quality.
- ex. designers incorporate more feature into product even though the customer may not want them. Good marketing research is needed
User Perspective
-individuals have different wants and need therefore there are different expectations of a product
-The main importance here is - Fitness for intentional use or how well the product preforms its intended function
ex- nissan and its non roomy cars in the US
-US ffridges in Japan–> they were too big
Value Perspective
- the relationship of product benefit to price.
- the customer no longer purchases on price alone.
- they compare the price to the customer benefit package that the company offers
what does the customer benefit packag incude
- physical product
- quantity dimensions
- presale support
- postsale support
who introduced value pricing
procter and gamble and it provided competitive advantages
Manufacturing perspective
- Conformance to specification
- (meeting high standards for goods and services).
what are specifications
- specifications are targets and tolerances determined by designers of goods and services
- targerts are ideal values of production for which to strive for.
- tolerances are used because it is impossible to meet target all the time
- ex. ritx carlton same experiecne everywhere
customer perspective
-meeting or exceeding customers expectations
what is a consumer
- the ultimate purchaser of a product or service
* ex. the person buuying a finished car
what are the two different types of customers
- external customer: companies buying product from another company
- Internal Customer: people who receive goods or services from suppliers within the organization ex. assembly to
describe the quality perspective in the value chain
- the value chain shows the essential elements of a value chain in manufacturing for developing products and services.
- customer is the driving force( main importance in trancendent and product perspective)
- the goods and services should meet the customers need
- marketing is in charge of this ( user perspective)
- from there is goes to design ( value perspective)
- From design it goes to manufacturing ( manufacturing perspective)
- customer perspective = provides basis for coordinating entire value chain
where did the qualilty assurance methods begin
in china during the Zhou dynasty
- the goverment issued policies and procedures to control production across china
- ex utencils
The age of craftsmanship
- crafts people has pride in the work they were doing and dealt directly with the customer
- quality assurance was informal and done everystep of the way to make their products good
- introduction of interchangable parts–> variation
describe the20th century
- the separation of design and production was created by Fred taylor and they a new dept for quality was developed
- Ford created the total quality practices
- The bell system implementd practices in it western elect. company
The bell system by the western electric company
- pioneers in the company created several terms
- quality assurance - any activity activity that provides its customers with good products ( useful techniques to ensure quality )
- quality control - evaluation of a process ( invented at heinz)
- statistical control ( shewhart) - statistical methods for controling quaity - ex. control charts
Post world war 2
- Juran and dmings went to Japan to help them rebuild
- upper management included not just quality departmennt
- AKA Kaizen ( quality at all levels )
- Japans quality eventually surpassed US Quality
the US quality revolution
increased global competition made US consumers more aware of what they were buying and demand high quality goods at a fair price
-edwards Deminds had taught Japan 3 years earlier and after a televised show US companied asked for help
what is total quality management
people- focused management that aims at continual increase in customer satisfaction
- total system approach
- it works horiozontally acrossfuctions and invoices al employees
- included suppliers
what happened to total quality management ?
- companies scrabbled to institute quality programs ansd failed.
- failures were rooted with flawed organization aprroaches
what is performa excellence
an intergal approach to organizational performace management that reults in
- delivery of value
- Improvement of organizational efectiveness
- learning for the organization and people
describe six sigma
- customer focused, result oriented approach to business improvement that includes many techniques
- also includes a lean system
what are eight key forces that will influence te future of quality
- Global Responsibility
- Customer awareness
- Globalization
- Increase rate of change
- workforce of the future
- 21st century quality
- Aging population
- Innovation
describe the manufacturing system ‘
- Sales and marketing
- Product design and engineering
- Purchasing and receiving
- manufacturing and assembly
- Tool engineering
- Industrial engineer
- Finished goods inspection and testing
- packagin, shipping and warehousing
- installation and service
what are the differences between manufacturing and services
- cusTomers needs and performance standards are hards to identify
- high degree of customization
- services is intangible
- services are produced and consumed simultaneously
- customers involved in the process
- services are usually labor intensive
- service org. handle large number of customers
what are the two most important drivers of quality in service
-people and technology
what are some important business support functions to help improve quality
- Accounting and finance
- legal
- quality assurance
who are the true management gurus
- deming
- juran
- crosby
what was demings phylosophy
-focused on continual improvement in products and service quality by reducing variability in design manufacturing and practice driven by leadership of top management
what was the culprit of poor quality ccording to deming
- variation
- ex human behavior
- mechanical assembly
what did deming suggest to reduce variation
-he advocated a never ending cycle of continuous improvement supported by statistic nalysis
describe demings chain of reaction
- improve quality
- cost decrease because of less rework
- productivity improves
- capture the market with better quality and lower price
- stay in business
- provide more jobs
what are demings 14 points
- create a vision and demonstrate commitment
- Learn the new philosophy (customer driven approach)
- Understand Inspection- in process inspection
- Stop making decisions purely on cost
- Improve constantly and forever
- Institute training
- Institute leadership
- Drive out fear
- Optomize the efforts of teams
- Eliminate Exhortatrions
- eliminate numerical quotas and managment by objectives
- remove barriers to pride in workmanships
- Encourgae education and self improvement
- take action
Describe the system of profound knowledge
- Appreciation of a system
- Understanding variations
- Theory of knowledge
- Psychology
what is a system
a set of functions or activities that work together for the aim foe the organization
-a system is made up of many subsystems
Describe the juran philosophy
- he did not propose major cultural change in the company-
- he described quality as fitness for use
- Quality Triology
What did quality trilogy include for Juran
- Quality Planning
- Quality Control
- QUality improvements