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Cause & Effect Diagram and Pareto Analysis

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What are the advantages and disadvantages of using a Cause and Effect diagram and Pareto Analysis in terms of analyzing quality issues?

Using the Cause-and-Effect Diagram for Analyzing Quality Issues

Cause & Effect (CE) diagrams, also referred to as 'fishbone' diagrams, are a tool for discovering and analyzing all/any of the possible causes for a certain effect in activities/problems within a company. The effect being examined is usually an important area of a merchandise, material or product and customer or business service quality overall. Specific problems will involve machinery, parts defects, delivery times, schedule of such delivery times, unraveling bugs, and viruses, etc. in the development and software. Specifications problems, such as 'a machined part not to specification', 'delivery times varying too widely', and 'excessive number of bugs in software under development', will all have a great potential to affect the company's entire internal processes, the way they do everything; low sales, team failures and loss in productivity, control, clientele, and all aspects. The main advantages are:

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Cause and Effect Diagram and Pareto Analysis - Healthcare Management
What are the advantages and disadvantages of using a Cause and Effect diagram and Pareto Analysis in terms of analyzing quality issues?

Using the Pareto Analysis for Analyzing Quality Issues
The Pareto Principle of Analysis states that only a "vital few" factors are responsible for producing the majority of the problems. A principle that can be and is often applied to quality improvement to the extent wherein that great majority of problems (80%) are produced by a miniscule only (20%). As such, if the connection can be made so companies can comprehend what is going on, detect and identify problems, and be able to take corrective actions, then there should be a greater probability of success. Usually, a Pareto Analysis is done after a cause-and-effect analysis has been done (MSH, 1998; Wilhite, n.d.).

Disadvantages
1. Although the Pareto Analysis (PA) seems to be fairly easy to the 'naked' eye, like anything else, while it has notable advantages, it is not immune to its share of disadvantages listed below.

2. One of the major and very annoying disadvantages is the fact that even though Pareto Analyses (PA's) are able to pin-point (for the most part) the greatest problems, or what is causing major problems, they cannot specify or indicate how serious the problem is or bring a process back to its original state.

3. Therefore, in keeping with the above-mentioned disadvantage, PA's do not provide any real insight on the 'structural or real root' causes of problems per say. Even if there is some sense of where problems are taking place, they do not give much more in terms of indicating where major problems are occurring and why. This knowledge would help to reduce errors and fix them when they occur.

4. When compared to each other, the finer their details are, Pareto Analyses (PA's) tend to lose their ability to detect causes so that what needs to be fixed can be 'red flagged', fixed, and make significant differences.

5. In terms of quantitative and qualitative data, PA's can only be used to display and present qualitative data that one can actually see.

6. They also cannot be used to mathematically test variables or values or deviations etc., more specifically, they cannot calculate the standard deviation, sample means, population means, and deviation from the mean, etc., over a period of time.

7. As a result, they are also unable to calculate any variability and changes in data and information over a period of time (i.e. in a ...

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Use of Diagrams in TQM

The The Excellent Manufacturing Company is experiencing quality problems with its Brak-Et line. Rejects and rework have started to go above the 10% level. This is now costing more than $50,000 per month in scrap and rework. The Mfg Engr. Dept. decided to do a Six Sigma project and reduce these excessive costs of poor quality that the Brak-Et is now generating. They developed an overall plan which includes the Definition of the problem and the Measurement phase (a Data Collection plan).

Project Definition: the Brak-Et product line and the four manufacturing processes of blanking, grinding, plating and assembly. To reduce the quality costs from 10% to 2%.

Project Measurement plan: Collect data regarding rejects and rework at the four different processes and determine where the major issues and biggest problems existed. This data is available in terms of $ of rework and $ of scrap. Then for those major categories, brainstorm and identify the possible causes of these major issues. And then finally, collect data for related factors to determine if there are any strong correlations between the quality problem and production settings.

The major categories of quality issues for the first data collection are: blanking scrap, blanking rework, grinding scrap, grinding rework, plating scrap, plating rework, assembly scrap, and assembly rework.

For each manufacturing process there are several factors that can influence the output and its quality, such as machine speed, power setting, and tool force. Each of these can be measured on a continuous scale and are known to vary somewhat from time to time.

Assignment: Given this information about the Excellent Mfg. Co., develop a detailed plan for Measurement and Data Collection using the three quality tools (Pareto, Scattered, Fishbone).

Assignment Expectations: Discuss each tool, how it should be used, what data would be included, and what you would do with the data. These three tools should be used sequentially, so think about which one would be used first, how its results would then be used as input into the second tool and then how those results could be used as input into the third tool. Discuss each tool, how it should be used, what data would be included, and what you would do with the data.

Write a one page paper using good form and format and submit. The main focus of the paper is on the use of the three quality tools, but you may add any additional information that will help to clarify the problem. Be sure to include your references.
Required

Pareto Diagram

American Society for Quality. (2009). Pareto Diagram. Excerpted from Nancy R. Tagueâ??s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 376-378. Retrieved from http://www.asq.org/learn-about-quality/cause-analysis-tools/overview/pa reto.html

Armstrong, F.E. (2008). Tool #2 - The Pareto Diagram, from Beginner's Guide: The 7 Basic Quality Tools. Retrieved from http://thequalityweb.com/pareto.html

Cause & Effect Diagram

American Society for Quality. (2009). Fishbone Diagram. Excerpted from Nancy R. Tagueâ??s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 247-249. Retrieved from http://www.asq.org/learn-about-quality/cause-analysis-tools/overview/fi shbone.html

Armstrong, F.E. (2008). Tool #4 - Cause-and-Effect Diagram, from Beginner's Guide: The 7 Basic Quality Tools. Retrieved from http://thequalityweb.com/cause.html

Scatter Diagram.

American Society for Quality. (2009). Scatter Diagram. Excerpted from Nancy R. Tagueâ??s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 471-474. Retrieved from http://www.asq.org/learn-about-quality/cause-analysis-tools/overview/sc atter.html

Armstrong, F.E. (2008). Tool #5 - The Scatter Diagram, from Beginner's Guide: The 7 Basic Quality Tools. Retrieved from http://thequalityweb.com/scatter.html is experiencing quality problems with its Brak-Et line. Rejects and rework have started to go above the 10% level. This is now costing more than $50,000 per month in scrap and rework. The Mfg Engr. Dept. decided to do a Six Sigma project and reduce these excessive costs of poor quality that the Brak-Et is now generating. They developed an overall plan which includes the Definition of the problem and the Measurement phase (a Data Collection plan).

Project Definition: the Brak-Et product line and the four manufacturing processes of blanking, grinding, plating and assembly. To reduce the quality costs from 10% to 2%.

Project Measurement plan: Collect data regarding rejects and rework at the four different processes and determine where the major issues and biggest problems existed. This data is available in terms of $ of rework and $ of scrap. Then for those major categories, brainstorm and identify the possible causes of these major issues. And then finally, collect data for related factors to determine if there are any strong correlations between the quality problem and production settings.

The major categories of quality issues for the first data collection are: blanking scrap, blanking rework, grinding scrap, grinding rework, plating scrap, plating rework, assembly scrap, and assembly rework.

For each manufacturing process there are several factors that can influence the output and its quality, such as machine speed, power setting, and tool force. Each of these can be measured on a continuous scale and are known to vary somewhat from time to time.

Assignment:

Given this information about the Excellent Mfg. Co., develop a detailed plan for Measurement and Data Collection using the three quality tools (Pareto, Scattered and Fishbone).

Assignment Expectations: Discuss each tool, how it should be used, what data would be included, and what you would do with the data. These three tools should be used sequentially, so think about which one would be used first, how its results would then be used as input into the second tool and then how those results could be used as input into the third tool. Discuss each tool, how it should be used, what data would be included, and what you would do with the data.

Required

Pareto Diagram

American Society for Quality. (2009). Pareto Diagram. Excerpted from Nancy R. Tagueâ??s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 376-378. Retrieved from http://www.asq.org/learn-about-quality/cause-analysis-tools/overview/pa reto.html

Armstrong, F.E. (2008). Tool #2 - The Pareto Diagram, from Beginner's Guide: The 7 Basic Quality Tools. Retrieved from http://thequalityweb.com/pareto.html

Cause & Effect Diagram

American Society for Quality. (2009). Fishbone Diagram. Excerpted from Nancy R. Tagueâ??s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 247-249. Retrieved from http://www.asq.org/learn-about-quality/cause-analysis-tools/overview/fi shbone.html

Armstrong, F.E. (2008). Tool #4 - Cause-and-Effect Diagram, from Beginner's Guide: The 7 Basic Quality Tools. Retrieved from http://thequalityweb.com/cause.html

Scatter Diagram.

American Society for Quality. (2009). Scatter Diagram. Excerpted from Nancy R. Tagueâ??s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 471-474. Retrieved from http://www.asq.org/learn-about-quality/cause-analysis-tools/overview/sc atter.html

Armstrong, F.E. (2008). Tool #5 - The Scatter Diagram, from Beginner's Guide: The 7 Basic Quality Tools. Retrieved from http://thequalityweb.com/scatter.html

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