At the recent 27th International 20 Keys conference in Bulgaria, Huibie Jones of ODI presented on the topic – “Produce Better”. This is a topic that features very strongly in ODI. What also made the presentation even more relevant is that November is the month when “World Quality Day” is celebrated. Click here to read more about World Quality Day 2019
Quality is one of the categories of the *QCDSM Scorecard. The scorecard as a whole focuses on operational excellence.
(*QCDSM is an acronym, which stands for Quality, Cost, Delivery, Safety, and Morale. These items represent an overall strategy that is used to improve business processes throughout many industries. This system is designed to take potentially large issues, and break them down into many smaller ones. These smaller issues can then be prioritized, and the necessary efforts and resources can be assigned to ensure things begin working the way that they should.)
What is quality?
A Peter D Wickens (Author of The Ascendant Organization) quote came to mind:
“The quality of a product or service is the customer’s perception of it, taking into account their total experience of those features they consider important.”
To follow is the 20 Keys relationship diagram
The following Keys Support companies to “ Produce Better” using the QCDSM Scorecard:
Key 11: Quality Assurance – this Key is the main focus of the Quality category
- The critical concept in this Key is to build quality into processes through the involvement of people involved in the process
- The objective is to create a quality focused workplace where the focus is on preventing defects, addressing root causes of quality problems, and mistake-proof devices (poka-yoke)
- The ultimate aim is to achieve zero defects
The two main aspects to consider when improving quality is:
- To have to right dashboard
- To continuously strengthen the capability of Systems/Processes, People and Technology
Operations Excellence
Nothing is quite as valuable as doings things right; the first time – every time!
Further critical concepts to consider:
* Your Quality measurement system
- Customer complaints (feedback to teams, analyse for root causes)
- In process measures at critical points (rework, waste)
- Number of non-conformances
- Report only “good” quality production
- Cost of quality measurement
- Measure process capability
* Understanding that the next process is the customer
* Creating a quality-focused workplace:
- “I am responsible for quality”
- Check quality of process at source (and inputs)
- Check for root causes (5 Why’s, root cause analysis)
- Understand the importance and links to other Keys, e.g. -Key 1 : Cleaning and Organising, -Key 3 : Small group Activities, -Key 15 :Skill Versatility, -Key 9 : Maintaining Machines and Equipment
Measuring the cost of quality needs to be understood and typically falls into two categories, A&B:
A. TOTAL COST OF RIGHT THE FIRST TIME QUALITY includes:
* Total cost of prevention, which includes:
- Cost of implementing and maintaining the quality management system
- Cost of supplier quality assurance
- Cost of education and skills training
- Cost of doing statistical process control (SPC)
* And total cost of appraisal (inspection), which includes:
- Cost of inspecting incoming materials
- Cost of laboratory testing
- Cost of inspection of incoming materials and laboratory testing
- Cost of management of third-party certification and audits
- Cost of managing ongoing government regulations
- Cost of auditing the quality management system
- Cost of in-process inspection and testing
B. TOTAL COST OF NON-CONFORMANCE includes:
* Total cost of internal non-conformance, which includes:
- Cost of reworking products
- Cost of scrapping products
- Cost of overfill or overweight products
- Cost of running slowly or incurring downtime (due to quality problems)
- Cost of a yield loss (product down the drain or lost somehow)
- Cost of storing products that needs to be put on hold
* And total cost of external non-conformance, which includes:
- Cost of managing consumer claims and settlements
- Cost of providing customer reclaim credits
- Cost of managing product recalls or withdrawal (from the trade)
Measuring the cost of quality:
In isolation these figures are not always so meanigful, but when used to indicate a trend it becomes a very important tool to work with.
Other Critical concepts that must also be considered are:
- Inspection at source (and check for root causes)
- Immediate corrective action (quick time to detect, quick time to correct (TTD, TTC)
- Prevention of defects (Poka-yoke)
- Standard Operating Procedures (SOPs)
- Planned Task Observations (PTOs)
Standard operating procedure (SOP)
“The best current work method for achieving quality, cost and delivery time in a safe manner.”
Once a task has been standardised, it can be improved. Therefore, the standard operation is the starting point for all improvement activity. Once new methods have been implemented the standard operating procedure is updated – always follow the SOP!
And the final Critical concepts to consider include:
- A two-point inspection system
- Autonomous inspection lines
- The Seven QC tools
- 6 Sigma (improving process capability and reliability)
- Using small group activities (SGAs) for quality improvement
ODI/Astral Partnership
At Astral, SGAs are very successfully used for quality improvement. Small group activities are used at a Chicken Processing Plant for improving quality. Click here to read more.
SGA – doing a root cause analysis using the Fishbone Diagram, which is one of the Seven QC tools. Click here to read more.
Below follow the other Keys that support companies to do better
Key 9 of 20 Keys for Continuous Operations Improvement – Maintaining machines & equipment
Main focus:
- Improving the effectiveness of the machines and equipment
- Involve the operators and users of the equipment in daily and routine preventive maintenance
- Let artisans, engineers and other support people focus on implementing the rest of the maintenance strategy
The 3 evils of maintenance
Key 7 of 20 Keys for Continuous Operations Improvement – Zero Monitor Manufacturing / Production
Main focus:
- Equipment monitoring (just watching the machines when they run) is a waste
- If monitoring is performed to detect the production of defects equipment must be improved so that no defects are produced in the first place
- If monitoring is performed to guard against raw material shortages, then the system must be improved to prevent this from happening
Key 12 of 20 Keys for Continuous Operations Improvement – Developing your suppliers
Main focus:
- Developing external suppliers and contractors
- Suppliers are partners in the value chain
- Introduce a formal method for managing and developing suppliers
Supplier development
Key 15 of 20 Keys for Continuous Operations Improvement – Skills versatility and cross training
Main focus:
- About implementing learning and development as part of the business strategy
- Developing individuals to become more valuable and to enjoy greater job satisfaction
- 20 Keys Skills Matrices applied to assess current skill levels and to address gaps in the skills of teams.
All the Keys discussed that support Quality in the workplace is highlighted in yellow below on the 20 Keys relationship diagram.
Below are some extract from companies that highlighted Quality in their presentations during the ODI 30 Year celebration conference, held on 29 August 2019.
The conclusion then is that quality can only be continuously and sustainably improved, by
Continuously strengthening the elements of:
1)
2) Implementing the Keys in a holistic, integrated way. This is where the 20 Keys methodology is so powerful as it provided the vehicle to do so.
As an example of teachings from our National Qualifications and Skills Programmes, ODI (facilitated by Valery Hansen) is currently busy with a group of delegates from CTP Group of companies, completing their NQF 2 National certificate in Production Technology, discussing:
- quality,
- quality control,
- quality assurance,
- similarities and differences between customers and suppliers views of quality.
George Meiring is currently facilitating VKB learners completing their NQF 2 National Certificate in Production Technology, and they are studying the concepts:
- What is quality?
- What is Quality Control?
- What is Quality Assurance?
- What are the 7 quality control tools?”
To follow is a list of Quality quotes by ODI staff members:
- Valery Hansen: “Quality is what the customer thinks it is”.
- Gerald McKinnon: “Quality is conformance to requirements. The system for causing quality is prevention.”
- Joan Bull: “A commitment to your customer.”
- George Meiring: “Quality is built in by each operator, not inspected in by inspectors after the fact.”
- Maryke Viviers-Bergh: “Quality is pride of workmanship.”
- Michael Foxon: “Quality is value for money…”
- Johan Benadie: “Quality is the entry ticket to operations competitiveness, companies that still struggle with it need urgent attention!
- Johan Benadie: “You can have 100% customer satisfaction in terms of quality and still go out of business.”
- Johan Benadie: “Quality assurance starts with operators having respect for the product they make.”
- Ilse Doyer: “Cost is more important than quality but quality ASSURANCE is the best way to reduce cost.” Adapted from Genichi Taguchi.
Author: Huibie Jones: MD at ODI.
To read more about the 20 Keys partner presentations at the 27th International 20 Keys Conference, click here.