Lecture 3 Quality Assurance & Control:

Quality Assurance & Quality Control:

Quality Assurance: QA is a set of activities for ensuring quality in the processes by which products
are developed.

QC: Quality Control: QC is a set of activities for ensuring quality in products. The activities focus
on identifying defects in the actual products produced.

Aspects of Quality Management:

Quality Management starts with establishment of strategic quality management system in the
organization.
Quality system is defined as collection of resources, organization, equipment, people and
processes which finally implements quality policy. It is very much necessary to create awareness
among entire organization about defined quality policy. Various techniques like SPC, acceptance
sampling, taguchi method, QFD and service quality management are used to control quality over
entire organization.

TQM and Six sigma are quality philosophies to manage quality. TQM explanation in word
document ‘History of QM’

Six Sigma works on the concept of reducing number of defects in final product. Company is called
six sigma company when all processes in company are stable and for every million opportunity if
defect level produced is only 3.4 then company is called six sigma company.

Genichi Taguchi was an engineer and statistician. From the 1950s onwards, Taguchi developed a
methodology for applying statistics to improve the quality of manufactured goods.

Robust design: Design which is unaffected by environmental factors is called robust design.
Taguchi method is all about creating robust design, robust processes and manufacturing robust
product. So Taguchi suggested methodology which will reduce variations in results for
manufactured product. According to Taguchi if inspection results are very close to specifications
then that product will be robust one.

QFD: Quality function deployment: QFD is nothing but converting customer requirement in to
exact technical requirement for product.

Service quality management: The process of managing the quality of services delivered to a
customer according to his expectations is called Service Quality Management. It basically
assesses how well a service has been given, so as to improve its quality in the future, identify
problems and correct them to increase customer satisfaction.

ISO: International Organization for Standardization

CMM: The Capability Maturity Model was originally developed as a tool for objectively assessing
the ability of government contractors' processes to implement a contracted software project. This
is used in software industry as certification level.

COPC: Customer operations performance centre is certification used BPO or KPO

Inspection:
Inspection: Inspection is the important process to control quality of the end product. It boosts
confidence of manufacture and targets satisfaction of the customer.
Of course Inspection is very important, but also fact is inspection will not add to value of the end
product.
Inspection only measures the degree of conformance to a standard in the case of variables. In the
case of attributes inspection merely separates the nonconforming from the conforming. Inspection
does not show why the nonconforming units are being produced.

Objective of Inspection:
1. To detect and remove the faulty raw materials before it undergoes production.
2. To detect the faulty products in production whenever it is detected.
3. To bring facts to the notice of managers before they become serous to enable them discover
weaknesses and to work over the problem.
4. To prevent the substandard reaching the customer and reducing complaints.
5. To promote reputation for quality and reliability of product.

Types of Inspection:

Types of Inspection System: Inspection Type from SAP:

1. Floor Inspection 1. Goods Receipt Inspection

2. Centralized Inspection 3. In-Process Inspection
3. Combined Inspection 4. Finish Goods Inspection (GR from production)
4. Functional Inspection 5. Inspection for other Goods Receipt
5. First Piece Inspection 6. Customer return Inspection
6. Pilot Piece Inspection 8. Stock transfer Inspection
7. Final Inspection 9. Recurring Inspection
10. Inspection for Delivery to Customer

Floor Inspection: This inspection will take place at shop floor. This will be treated as in-process
inspection where production is not yet declared. Inspectors move from machine to machine to
inspect in-process materials as well as in process steps of production. This will be mapped as in-
process inspection in SAP QM. This is not stock relevant inspection in SAP. Meaning of non stock
relevant is stock posting TAB will not be there in SAP.
Centralized Inspection: Inspection is carried in a central place with all testing equipment;
sensitive equipment is housed in air-conditioned area. Samples are brought to the inspection floor
for checking. Centralised inspection may locate in one or more places in the manufacturing
industry. Example: DEA Inspection in Cummins. Co-ordinate measuring machine.

Combined Inspection: Combination of two methods whatever may be the method of inspection,
whether floor or central. The main objective is to locate and prevent defect which may not repeat
itself in subsequent operation to see whether any corrective measure is required and finally to
maintain quality economically.

Functional Inspection: These system only checks for the main function, the product is expected
to perform. Thus an electrical motor can be checked for the specified speed and load
characteristics. It does not reveal the variation of individual parts but can assure combined
satisfactory performance of all parts put together. Both manufacturers and purchasers can do this,
if large number of articles is needed at regular intervals. This is also called assembly inspection.

First Piece Inspection: First piece of the shift or lot is inspected. This is particularly used where
automatic machines are employed.

Pilot piece inspection: This is done immediately after new design or product is developed. This
type of inspection is created in development phase of the product. Even in SAP such type of
inspection is mapped.

Final Inspection: This is also similar to functional or assembly inspection. This inspection is done
only after completion of work. Mapped in SAP as inspection type 04 (Finish goods inspection)

Acceptance Sampling:
Methods of Inspection:
 100% inspection
 Sampling inspection

100% inspection: In 100% inspection, we need to check each and every item in a lot. This
requires considerable time, efforts and resources. Also this will be more expensive. Also in case of
destructive inspection, this is not useful. Destructive inspection is nothing but inspection in which
sample quantity will get consumed or will get destroyed in inspection process. For example in food
industry, it is not possible to test each and every item for inspection purpose.

Sampling Inspection: so solution to above mentioned issue is resort to sampling inspection. One
or more samples are drawn from given lot and inspection is done for quality. A decision may be
made to accept or reject the lot depending upon number of defective samples found in given lot.
This process of sampling is called acceptance sampling.

Types of Sampling Plans:

 Single Sampling Plan
 Double Sampling Plan
 Multiple Sampling Plan

Different types of sampling plans can be used for acceptance sampling. Number of samples drawn
from lot size will decide sampling plan.
Single sampling plan: In this single sample is drawn from total lot. For example let us say we
have consignment sent by vendor of 10,000 pieces. A single sample 0f 100 pieces is drawn at
random from above mentioned lot size. Now it may be decided by quality managers beforehand
that total lot of 10,000 pieces will be accepted if single sample drawn of 100 pieces at random
contains only 5 or less than 5 defective pieces. This number which decides whether lot will be
accepted or not is known as lot acceptance number (a). Total number of defective pieces in
sample is defined by (d)

So lot size (N) = 10,000

Sample size (n) = 100
Lot acceptance number (a) =5
Number of defective pieces in sample (d)

Single Sampling plan:

Lot size (N) = 10,000
Sample size (n) = 100
Lot acceptance number (a) =5
Number of defective pieces in sample (d)
If [d ≤ a] lot will be accepted
If [d > a] lot will be rejected

Double Sampling plan: As name suggests, if required, we have to draw two samples in this
sampling plan. For first sample drawn of 100 pieces, at random from lot size of 10,000 pieces, QC
manager have to decide policy beforehand to accept or reject the lot.

Double Sampling plan:

Lot size (N) = 10,000
Sample size (n) = 100
Lot acceptance number (a) = 5
Number of defective pieces in sample (d)
If [d ≤ 5] lot will be accepted
If [d ≥ 12] lot will be rejected
If [6 ≤ d ≤ 11] Second sample of 100 pieces is drawn
In combine inspection efforts
If [d ≤ 17] lot will be accepted otherwise it is rejected.

AQL: Acceptable Quality Limit:

Who decides this Sample size or lot acceptance number in above mentioned sampling plans?
Answer is AQL tables.

AQL: The acceptable quality limit (AQL) is the worst tolerable process average (mean) in
percentage or ratio that is still considered acceptable; that is, it is at an acceptable quality level.
Closely related terms are the reject able quality limit and reject able quality level (RQL).

Inspection Level & Defect Types:

Quality Inspection Level: Level I, II, III

 Level I: Reduced inspection level
 Level II: Normal inspection level
 Level III: Tighten inspection level
Defect types
 Critical Defects
 Major Defects
 Minor Defects
Now how to read these AQL tables. To understand AQL tables below things are important. As
already explained, it is not wise decision to do 100% inspection. Because doing inspection will not
add any value to product but it will only add additional cost to finish product. Cost of inspection
which includes investment on various equipment's used for quality inspection, salary of quality
inspectors and time consumed in quality inspection. So some standards are set which decides
how much inspection should take place for particular vendor or particular production order. So
some quality levels are set. Quality level I, II, III. Level I Reduced inspection level, Level II Normal
inspection level, Level III Tighten inspection level. Depending upon result of previous inspection lot
result, quality level will be set automatically to level I,II or III in SAP using Dynamic modification
rule.

In Quality Management defects are classified as Critical, Major and Minor defects. A Critical
defect is one that is deemed to be hazardous or unsafe. A Major defect is one that is likely to
create failure of the unit for its intended purpose. A Minor defect is a discrepancy from the
standards, but one that is not likely to affect the usability of an object.

AQL Tables:
Operation Characteristic Curve:

Statistical process control (SPC):

Manufacturing is a transformation process of various resources like materials, services, activities
in to finish product or services. Acceptance sampling is applied at input and output stages of
manufacturing process.
So if some defect arises at finish inspection, it will be immense loss to the company. Thus in
addition to acceptance sampling at input and output stages, quality of the items has to be
monitored during the transformation process. This leads to in-process inspection which took place
at regular interval of time or quantity.
This process of ensuring quality during the transformation process is called statistical process
control.
Two types of variations are monitored at in-process inspection or @ transformation process.

1> First way is to monitor physical parameters like tools, machines, equipment's and labour skills.

2> Second way is to monitor variations in output product

Specification limits & Control limits:

Control Charts:
Control charts define whether your manufacturing process is stable. If process is not stable then
your readings will be out of control limits.
Control charts are mainly divided in two different categories 1> control charts for variable and 2>
Control charts for attributes.
Most commonly used control chart is X bar-R chart for variable
And P chart and C chart for attributes.

We explain here how to calculate control limits. Use excel file How to calculate control limits and
draw control chart. Explain mapping between theory and SAP QM (Sampling procedure +sampling
schemes + Dynamic modification)

X Bar –R chart for variables:

P chart for attributive inspection:

Also known as chart for percentage of defective. Uses proportion of defective in sample to draw
chart. P chart can be used when it is possible to distinguish between defective and non defective
items.
Six Sigma: