Unit 4 of 4 · MBA Sem 4

Unit 4: Quality systems

Quality Toolkit for Managers notes · PTU syllabus (MBA 954-18)

3 min read9 topics10 exam questions
On this page
  1. Unit summary
  2. ISO 9000 series
  3. ISO 14000 systems
  4. TQM and Six Sigma
  5. Quality circles
  6. The JIT system
  7. Taguchi's concept of quality
  8. The zero-defect concept
  9. 5S
  10. Emerging concepts in quality control
  11. Key terms
  12. Quick revision
  13. Important questions

Unit summary

Quality systems and philosophies make quality part of how the whole organisation works. This unit covers ISO 9000 and ISO 14000 systems, the TQM concept, quality circles, the JIT system, Taguchi's concept of quality, the zero-defect concept, Six Sigma and 5S, and emerging concepts in quality control.

After this unit you can

  • Explain ISO 9000 and ISO 14000 systems
  • Explain TQM, quality circles and JIT
  • Explain Taguchi's concept and zero defects
  • Explain Six Sigma, 5S and emerging quality concepts

PTU syllabus topics

  • ISO 9000 series and ISO 14000 systems
  • TQM concept
  • quality circles
  • JIT system
  • Taguchi's concept of quality
  • zero-defect concept
  • Six Sigma and 5S
  • emerging concepts in quality control
ClassificationQuality systems and philosophies
Quality systems
  • ISO 9001

    Quality management system

  • ISO 14001

    Environmental management

  • TQM

    Company-wide quality culture

  • Six Sigma

    DMAIC, 3.4 defects per million

  • 5S

    Sort, set, shine, standardise, sustain

  • Taguchi

    Loss function, robust design

1

Topic 1

ISO 9000 series

  • ISO 9000 family: ISO 9000 (fundamentals and vocabulary), ISO 9001:2015 (requirements — the certifiable standard), ISO 9004 (sustained success), ISO 19011 (auditing).
ClassificationSeven quality management principles
QMPs
  • Customer focus

  • Leadership

  • Engagement of people

  • Process approach

  • Improvement

  • Evidence-based decision making

  • Relationship management

  • Structure (high-level structure): context, leadership, planning (risk-based thinking), support, operation, performance evaluation, improvement — PDCA.
  • Certification: by accredited third-party bodies (in India, accreditation by NABCB).
2

Topic 2

ISO 14000 systems

  • ISO 14001:2015: environmental management system requirements — environmental policy, aspects and impacts, legal compliance, objectives, operational control, emergency preparedness, monitoring and audit, continual improvement.
  • Benefits: compliance, reduced waste and energy costs, stakeholder trust, access to global supply chains.
3

Topic 3

TQM and Six Sigma

  • Total Quality Management (TQM): a company-wide approach to continuous quality improvement focused on customer satisfaction, involving everyone. Principles: customer focus, continuous improvement (Kaizen), employee involvement, process approach, fact-based decisions and supplier partnerships. Deming's PDCA cycle (plan-do-check-act) drives improvement.
  • Six Sigma: a data-driven method to reduce variation and defects to 3.4 defects per million opportunities, using DMAIC — Define, Measure, Analyse, Improve, Control. Experts are certified as Green Belts and Black Belts.
4

Topic 4

Quality circles

Trade Unions Act, 1926 (now subsumed in the Industrial Relations Code, 2020)

  • Registration: any seven or more members may apply; at least 10% or 100 workmen (whichever is less) of the establishment must be members; office bearers — at least half must be actually engaged in the industry.
  • Rights of registered unions: body corporate with perpetual succession; immunity from civil and criminal liability for acts in furtherance of a trade dispute (Sections 17–18); separate political fund.
  • Obligations: general fund used only for specified purposes; annual returns to the Registrar; books open for inspection.
  • Under the IR Code, 2020: recognition of a negotiating union (51% membership) or a negotiating council; central and state-level recognition.

Quality circles

A quality circle is a small group of 6–10 employees from the same work area who meet voluntarily and regularly to identify, analyse and solve work-related problems (Kaoru Ishikawa, Japan, 1962).

CycleQuality circle process
Quality circle process
1Identify problems
2Select a problem
3Analyse causes
4Generate solutions
5Present to management
6Implement and review
  1. 1. Identify problems:
  2. 2. Select a problem:
  3. 3. Analyse causes: Fishbone diagram, Pareto analysis
  4. 4. Generate solutions:
  5. 5. Present to management:
  6. 6. Implement and review:
  • Benefits for IR: participation, communication, team spirit, recognition, improved quality and productivity, reduced conflict.
  • In India: BHEL, Maruti Suzuki, Tata Steel; QCFI (Quality Circle Forum of India).
5

Topic 5

The JIT system

Just-in-Time (JIT) produces and delivers exactly what is needed, when it is needed, in the quantity needed — eliminating waste. Developed at Toyota (Taiichi Ohno). Seven wastes (muda): overproduction, waiting, transport, over-processing, inventory, motion and defects. Kanban is a pull-based signalling system: a card (or bin) signals the previous stage to produce or supply more only when parts are used. Requirements for JIT: reliable suppliers, small lot sizes, quick set-ups, preventive maintenance, flexible workers and good quality.

ComparisonPush vs pull systems
Push (traditional)
Pull (JIT)

Trigger

Forecast and schedule

Actual customer demand

Inventory

Large buffers

Minimal

Lot size

Large

Small

Problems

Hidden by stock

Exposed and solved

6

Topic 6

Taguchi's concept of quality

  • Quality loss function: any deviation from the target causes loss to society, increasing with the square of the deviation — L = k(y − T)².
  • Robust design: design products and processes insensitive to noise factors (variation in materials, environment, use).
  • Design of experiments: orthogonal arrays and signal-to-noise ratios to find the best settings with few experiments.

Example

A refrigerator thermostat set exactly at target gives the least loss; units that just meet specification limits still cause customer dissatisfaction and energy loss.

7

Topic 7

The zero-defect concept

  • Philip Crosby: quality is conformance to requirements; the performance standard is zero defects; the measurement is the cost of non-conformance; "do it right the first time".
  • Programme: management commitment, quality improvement team, measurement, cost of quality, awareness, corrective action, zero-defect day, goal setting, error-cause removal, recognition.
  • Poka-yoke (Shingo): mistake-proofing devices that prevent errors.
8

Topic 8

5S

Process5S workplace organisation
  1. 1Seiri (sort)

    Remove unnecessary items

  2. 2Seiton (set in order)

    A place for everything

  3. 3Seiso (shine)

    Clean and inspect

  4. 4Seiketsu (standardise)

    Standard practices

  5. 5Shitsuke (sustain)

    Discipline and habit

  • Benefits: safety, efficiency, fewer defects, visual management; foundation for lean and TPM.
9

Topic 9

Emerging concepts in quality control

  • Industry 4.0 quality: IoT sensors and real-time SPC, machine vision and AI inspection, digital twins, predictive quality analytics.
  • Lean Six Sigma and Design for Six Sigma (DMADV); quality 4.0; supplier quality via blockchain traceability; customer-experience metrics (NPS); sustainability and ESG as quality dimensions; ZED (Zero Defect Zero Effect) certification scheme for Indian MSMEs.

Key terms

ISO 9001
Certifiable quality management system standard
ISO 14001
Environmental management system standard
Quality loss function
Taguchi's quadratic measure of deviation from target
Poka-yoke
Mistake-proofing device
5S
Sort, set in order, shine, standardise, sustain

Quick revision

  • ISO 9000 family; seven QMPs; ISO 9001 structure; certification.
  • ISO 14001 elements and benefits.
  • TQM; Six Sigma DMAIC; quality circles; JIT and Kanban.
  • Taguchi: loss function, robust design, DOE; Crosby's zero defects; poka-yoke.
  • 5S; Quality 4.0; ZED scheme.

Important exam questions

Practice questions written to the PTU exam pattern for this unit's syllabus: short answers (Section A style) and long answers (Sections B and C style).

Short-answer questions

  1. Q1.Name the seven quality management principles.
  2. Q2.What is ISO 14001?
  3. Q3.What is a quality circle?
  4. Q4.State Taguchi's quality loss function.
  5. Q5.What is poka-yoke?
  6. Q6.Expand the 5S.

Long-answer questions

  1. Q1.Explain the ISO 9000 series and ISO 14000 systems.
  2. Q2.Explain TQM, quality circles and JIT.
  3. Q3.Explain Taguchi's concept of quality and the zero-defect concept.
  4. Q4.Explain Six Sigma, 5S and emerging concepts in quality control.

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