Tag Archives: SPC

Dr. Deming in 1980 on Product Quality in Japan and the USA

I posted an interesting document to the Curious Cat Management Library: it includes Dr. Deming’s comments as part of a discussion organized by the Government Accounting Office in 1980 on Quality in Japan and the United States.

The document provides some interesting thoughts from Dr. Deming and others; Dr. Deming’s statements start on page 52 of the document. For those really interested in management improvement ideas it is a great read. I imagine most managers wouldn’t enjoy it though (it isn’t giving direct advice for today, but I found it very interesting).

Some selected quotes from the document follow. On his work with Japan in 1950:

This movement, I told them, will fail and nothing will happen unless management does their part. Management must know something about statistical techniques and know that if they are good one place, they will work in another. Management must see that they are used throughout the company.

Quality control must take root with simple statistical techniques that management and everyone in the company must learn. By these techniques, people begin to understand the different kinds of variation. Then quality control just grow with statistical theory and further experience. All this learning must be guided by a master. Remarkable results may come quick, but one has no right to expect results in a hurry. The learning period never ends.

The statistical control of quality is not for the timid and the halfhearted. There is no way to learn except to learn it and do it. You can read about swimming, but you might drown if you had to learn it that way!

One of the common themes at that time was Deming’s methods worked because Japanese people and culture were different. That wasn’t why the ideas worked, but it was an idea many people that wanted to keep doing things the old way liked to believe.

There may be a lot of difference, I made the statement on my first visit there that a Japanese man was never too old nor too successful to learn, and to wish to learn; to study and to learn. I know that people here also study and learn. I’ll be eighty next month in October. I study every day and learn every day. So you find studious people everywhere, but I think that you find in Japan the desire to learn, the willingness to learn.

You didn’t come to hear me on this; there are other people here much better qualified than I am to talk. But in Japan, a man works for the company; he doesn’t work to please somebody. He works for the company, he can argue for the company and stick with it when he has an idea because his position is secure. He doesn’t have to please somebody. It is so here in some companies, but only in a few. I think this is an important difference.

At the time the way QC circles worked in Japan was basically employee led kaizen. So companies that tried to copy Japan told workers: now go make things better like the workers we saw in Japan were doing. Well with management not changing (and understanding Deming’s ideas, lean thinking, variation, systems thinking…) and staff not given training to understand how to improve processes it didn’t work very well. We (those reading this blog) may all now understand the advantages one piece flow. I can’t imagine too many people would jump to that idea sitting in their QC circle without having been told about one piece flow (I know I wouldn’t have), and all the supporting knowledge needed to make that concept work.

QC circles can make tremendous contributions. But let me tell you this, Elmer. If it isn’t obvious to the workers that the managers are doing their part, which only they can do, I think that the workers just get fed up with trying in vain to improve their part of the work. Management must do their part: they must learn something about management.

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Managing Our Way to Economic Success

From Managing Our Way to Economic Success, Two Untapped Resources by William G. Hunter, my father. Written in 1986, but still plenty relevant. We have made some good progress, but there is much more to do: we have barely started adopting these ideas systemically.

there are two enormously valuable untapped resources in many companies: potential information and employee creativity. The two are connected. One of the best ways to generate potential information to turn it into kinetic information that can produce tangible results is to train all employees in some of the simple, effective ways to do this. Rely on their desire to do a good job, to contribute, to be recognized, to be a real part of the organization. They want to be treated like responsible human beings, not like unthinking automatons.
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W. Edwards Deming has illustrated one of the troubles with U.S. industry in terms of making toast. He says, “Let’s play American industry. I’ll burn. You scrape.” Use of statistical tools, however, allows you to reduce waste, scrap, rework, and machine downtime. It costs just as much to make defective products as it does to make good products. Eliminate defects and other things that cause inefficiencies, and you reduce costs, increase quality, and raise productivity. Note that quality and productivity are not trade-offs. They increase together.
…
Potential information surrounds all industrial processes. Statistical techniques, many of which are simple yet powerful, are tools that employees can use to tap and exploit this potential information so that increasingly higher levels of productivity, quality, and innovation can be attained. Engaging the brains as well as the brawn of employees in this way improves morale and participation…and profits.
…
What is called for is constant, never-ending improvement of all processes in the organization. What management needs, too, is constant, never-ending improvement of ideas.

Soren Bisgaard

photo of Soren Bisgaard

Soren Bisgaard died earlier this month of cancer. Soren was a student of my father’s who shared the commitment to making a difference in people’s lives by using applied statistics properly. I know this seem odd to many (I tried to describe this idea previously, also read his acceptance of the 2002 William G. Hunter award). Soren served as the director of the director of the Center for Quality and Productivity Improvement at the University of Wisconsin-Madison (founded by William Hunter and George Box) for several years.

Most recently Soren Bisgaard, Ph.D. was Professor of technology management at Eugene M. Isenberg School of Management at the University of Massachusetts – Amherst. He was an ASQ Fellow; recipient of Shewart Medal, Hunter Award, George Box Medal, among many others awards.

I will remember the passion he brought to his work. He reminded me of my father in his desire to improve how things are done and allow people to have better lives. Those that bring passion to their work in management improvement are unsung heroes. It seems odd, to many, to see that you can bring improvement to people’s lives through work. But we spend huge amounts of our time at work. And by improving the systems we work in we can improve people’s lives. Soren will be missed, by those who knew him and those who didn’t (even if they never realize it).

Contributions in honor of SÃ¸ren may be made to The International Mesothelioma Program or to the European Network for Business and Industrial Statistics. Read more articles by SÃ¸ren Bisgaard.

The Future of Quality Technology: From a Manufacturing to a Knowledge Economy and From Defects to Innovations (pdf) by Soren Bisgaard

How to Create a Control Chart for Seasonal or Trending Data

Lynda Finn, President of Statistical Insight, has written an article on how to create a control chart for seasonal or trending data (where there is an underlying structural variation in the data). Essentially you need to account for the structural variation to create the control limits for the control chart. She also provides a Minitab project file. Both are available for download from the Curious Cat Management Improvement Library.

Six Sigma and Process Drift

Quality Quandaries: Six Sigma, Process Drift, Capability Indices, and Feedback Adjustment by George Box and Alberto Luceno. This article is for the more statistically inclined.

The Six Sigma specification makes an allowance of 1.5 standard deviations for process drift. Simple ways in which a major part of such drift can be removed are given. These employ feedback adjustment methods specifically designed for SPC applications.

Feedback adjustment can be dangerous: tampering. In fact, I would say attempting it is likely to be tampering, unless those doing so are careful and knowledgeable. It might be wise to read Box and Luceno’s book on the topic – Statistical Control: By Monitoring and Feedback Adjustment if you are tempted to try.

Quality, SPC and Your Career

Lead To Succeed [sigh, ASQ broke the link so I removed it, it sure gets tiring how backwards some organizations till are about using the internet, June 2010] by Stephen S. Prevette:

* Succeed as a quality professional by branding yourself and providing a service or product your manager and organization deem worth paying for.
* Lead your manager “your customers” by providing the data they need in a form they can understand.

This is a great article on how to apply quality (Deming, Statistical Process Control, Six Sigma, Lean Manufacturing) ideas and move forward professionally; even when those ideas are not always shared by the organization.
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SPC: History and Understanding

SPC: From Chaos To Wiping the Floor [broken link removed 🙁 it will be nice when sites start to realize breaking links is not acceptable] by Lynne Hare (who also was the 1997 Hunter Award winner)

Shewhart based control chart limits more on the economics of change than on underlying probabilities. Ever the empiricist, Shewhart seems not to have trusted probability limits alone.

Setting control limits at 3 standard deviations is a decision based on experience. Shewhart, Deming and others determined it was sensible to take resources to look for a special cause was most effective for results more than 3 standard deviations from the mean – it is not a mathematical conclusion but a empirical conclusion.

It is disappointing to see some users place specification limits on control charts. Processes don’t know or even care about specifications. The presence of specification limits on control charts encourages users to adjust on the basis of them instead of the calculated limits. The resulting miscued adjustments are likely to result in increased process variation, which is the opposite of the intent.

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Control Charts in Health Care

This post is an edited version of a message I sent to the Deming Electronic Network.

I find the “control charts in health care” thread quite interesting.

From Mike Woolbert’s post [link broken, so I removed it]
> I have read many comments about the 8 minute ambulance trip.
> This doesn’t seem to be a system measure, but a result measure.

It seems to me the 8 minute (90% of the time) measure is an attempt at a process measure (in a sense, you can see it as a result measure, but it is also a measure that will have an impact on overall results and as such can be used a process indicator). For it to be a process measure rather than than a process target however, it should actual be a measure of what has happened not a statement that we want to have 90% arrive within 8 minutes.

Jonathan Siegel’s comments [link broken, so I removed it] on this topic were excellent.

The control chart was developed to aid in process improvement. A control chart helps monitor the process (to aid in putting in place counter-measures, when needed, and for identification of special causes). The control chart can be used to see if the process is in control and what the expected results from the system are.
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Management Improvement History

Originally posted to the Deming Electronic Network, 22 Sep 1999, in response to this message (link removed because it was broken).

I would like to say that I think it is good that we have disagreements on the DEN. I think it is a strength of the DEN, not a weakness. However, I think we sometimes get to personal with no real purpose. One example of this, for me, is: “Well, I guess we knew different Demings. Mine was a teacher named Dr. W. Edwards Deming.” I doubt this statement is meant to be taken literally, and if it is not I do not see what it adds to the discussion. I point this out not because I think this is some bad act that should be punished but that I think we need to continue to develop a sense of how we wish to express our disagreements and I think that we should try to do so more constructively.

For the past 60 years we’ve been looking for the magic bullet that will improve the quality of our products, services and lives. In the 1940s, we applied statistics through sampling, SPC and design of experiments to improve our products. In the 1950s, we used quality cost and total quality control to bring about quality improvement. In the 1960s, zero defects and MIL-Q-9858A drove the quality improvement process. In the 1970s, quality circles, process qualification and supplier qualification became key quality issues. In the 1980s, employee training in problem solving, team activities and just-in-time inventory were the things to do.”

I find this statement so far from the truth that it would seriously damage any PDSA with this as an accepted assessment of history. I do not believe Deming had such an inaccurate view (of course I may be wrong). I do believe we need to improve our practice of Quality (and to do that we need to understand what happened in the past and why it was not more successful). The idea that Design of Experiments (DoE) was at the core of some Quality Movement to me is not at all accurate.

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