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Quality
Ability of a product to consistently meet or exceed customer
expectations
TERM 2
3 Needs for Quality
DEFINITION 2
Competencesteady patter of performancestate of
anticipation about a future outcome
TERM 3
Internal Failure
Cost
DEFINITION 3
cost of poor quality if the error is caught within the
production facility
TERM 4
External Failure
Cost
DEFINITION 4
cost of poor quality if the error is caught after the product has
been sold to the customer
TERM 5
Assurance Cost
DEFINITION 5
the cost of sampling and inspection
Prevention Costs
all costs and efforts associated with preventing quality
problems from occurring
TERM 7
Objective Quality
DEFINITION 7
the quality of a good or service based entirely on its
determination
TERM 8
Perceived Quality
DEFINITION 8
The quality of a product or service as perceived by the
customer
TERM 9
Sampling
DEFINITION 9
the selection of a few randomly selected products from the
production line for quality checks
TERM 10
Inspection
DEFINITION 10
The process of comparing a sampled product with
established guidelines
Examples of Prevention Costs
Quality planningSupplier Capability EvaluationsQuality
Improvement Projects
TERM 17
Examples of Appraisal Costs
DEFINITION 17
In process inspectionsProduct, service auditsCalibration and
measuring
TERM 18
Examples of Internal Failure
Costs
DEFINITION 18
ScrapReworkRetesting
TERM 19
Examples of External Failure
Costs
DEFINITION 19
Processing Customer ComplaintsCustomer returns, reverse
logisticsProduct recalls
TERM 20
What is the cost of quality as it moves
downstream towards the consumer?
DEFINITION 20
It increases, at the start it is very minor then it takes rework
and at the end it calls for recallsfind early
Examples of Hidden Poor Quality Costs
loss of good willovertime to correct errorsextra inventory
TERM 22
What does "Quality is Free" mean?
DEFINITION 22
Do it right the first timethe system of quality is
preventionzero defects
TERM 23
Incremental Cost of Variability
DEFINITION 23
as your process moves further off of aim, the risk of creating
poor quality, and therefore loses, increases exponentially.
TERM 24
Total Quality Management
DEFINITION 24
system for integrating the quality development, quality
maintenance, and quality improvement efforts of the various
groups in an organization so as to enable production and
service at the most economical levels which allow for full
customer satisfaction
TERM 25
5 Things needed for TQM
DEFINITION 25
Top Management CommitmentCustomer FocusEmployee
ParticipationContinuous ImprovementManagement by Fact
Define (DMAIC)
What are we trying to achieve?customer needs and demands
TERM 32
Measure
DEFINITION 32
Aspects of current performance
TERM 33
Analyze (DMAIC)
DEFINITION 33
Discover root causes of poor performance
TERM 34
Improve (DMAIC)
DEFINITION 34
What should change to make improvements?
TERM 35
Control (DMAIC)
DEFINITION 35
Sustain the gains in performance
Process characterization (DMAIC)
DefineMeasureAnalyze
TERM 37
Process Optimization (DMAIC)
DEFINITION 37
ImproveControl
TERM 38
Customer Satisfaction
DEFINITION 38
A well measurement of how ell the products and services
that a firm supplies meet or exceed its customers'
expectations
TERM 39
Customer Choice Analysis
DEFINITION 39
an approach for quantifying the relative importance that
customer assign to the various features and components of
products and services
TERM 40
Customer Panels
DEFINITION 40
groups of individuals who agree to provide periodic
assessments of the quality of firms' products and services
Variable
Measurements
ContinuousMeasures mean & variabilityx-chart, r-chart
TERM 47
Attribute
Measurements
DEFINITION 47
DiscreteDefectivenessp-chart, c-chart
TERM 48
p-chart
DEFINITION 48
proportion of defects
TERM 49
c-chart
DEFINITION 49
defect count per unit
TERM 50
Cp
DEFINITION 50
spread is larger than desired spread
Cp = 1
desired spread exactly equal3 sigma quality
TERM 52
Cp > 1
DEFINITION 52
observed spread smaller than desired spreadit is what you
want
TERM 53
Cpk (equal, equal)
DEFINITION 53
centered
TERM 54
Cpk (larger, smaller)
DEFINITION 54
shifted to the right
TERM 55
Cpk (smaller, larger)
DEFINITION 55
shifted to the left
Pull System
uses customer demand as the primary driver for production
planning
TERM 62
Push system
DEFINITION 62
focuses on maximizing the use of production capacity and
therefore is based on estimated customer demand
TERM 63
Batch
DEFINITION 63
Quantity of products that are produced together
TERM 64
Setup
DEFINITION 64
the set of activities needed to change or readjust a process
between successive batches of products
TERM 65
JIT
DEFINITION 65
Inventory MS to make the "right amount of inventory
available at the right time"
Kanban
"card" or "visible record" refers to the cards used to control
the flow of production through a factory
TERM 67
Takt Time
DEFINITION 67
maximum cycle time allowed for producing a product in
order to meet demand
