Total Quality Management - CII Institute of Logistics

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Total Quality Management small. Here, the theory of probability has given us certain results, which are of use in the consideration of our decision. Key Terms used in Sampling Inspection Operating Characteristic Curve (OC) This curve depicts the probability of acceptance for various values of proportion defective. A typical diagram is given below: PROBABILITY OF ACCEPTANCE PA 1.0 0.95 0.5 0.1 PRODUCERS RISK CONSUMERS RISK 0 AQL INDIFFERENCE QUALITY Proportion Defective (p) Producer's Risk This is the probability of rejecting a lot whose proportion defective is equal to the AQL (Acceptance Quality Level). Generally AQL is define as the value of proportion defective for which the probability of acceptance is 0.95. This implies that in practice, producer's risk is fixed at 0.05 (5%). Consumer's Risk This is the probability of acceptance of a lot whose proportion defective is equal to the rejectable quality level (also known as Lot Tolerance Percent Defective - LTPD). It is generally fixed at 0.10. CII Institute of Logistics 90 Website: www.ciilogistics.com
Total Quality Management Bird’s Eye View of Six Sigma 5.1 Six Sigma In the last 25 years or more executives have been both exposed to and involved fairly extensively in the popular programs that include Quality Circles, Benchmarking, Zero Defects, Total Quality Management, Customer Satisfaction, Data Mining, and Business Process Reengineering. They are meant to provide answers to complex industry problems. Very often, in practice, the executives and staff in many enterprises view these training programs with trepidation, and they are confident that these will fade way as time passes. It seems the next wave of the quality revolution that is currently impacting us is Six Sigma! Now you won't be able to either do a presentation or conduct a program without using the term "Six Sigma" somewhere in the middle. One may wonder if this is yet another business term coined by management professionals and the elite corporate houses. No doubt a good degree of hype is associated with Six Sigma, as is generally encountered with every new management movement. It is in this context, we have to examine whether Six Sigma is a mere mantra or it is an effective action plan that can trigger a leapfrog jump in the corporate profitability. How Six Sigma is different from the rest? Is it a Breakthrough Strategy that can be likened to a renaissance in changing the mind set of the people in the organization? Is it entirely a new management tool or old wine in the new bottle? What distinguishes Six Sigma from the other methodologies of quality? In this section, an attempt is made to provide some kind of answers to these issues that are extremely important for any professional who is concerned with improving the bottom line as well as enhancing the quality image of his/her organization. CII Institute of Logistics 91 Website: www.ciilogistics.com
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