Quality Management Project Essay Sample
iConsultant is committed to implementing appropriate quality direction systems and processes to enable the bringing of the highest operable quality merchandises and services. Dyson Limited engaged iConsultant to strategize a entire quality transmutation for the company to get the better of its current quality challenges and hone its fight in the universe market. An analysis and survey is carried out on Dyson merchandise and market profile to deduce a quality direction program by using the undermentioned quality direction tool. * Root Cause Analysis
* SWOT Analysis
* Matrix Data Analysis
* Affinity Diagram
* Relationship Diagram
* Matrix Diagram
* Arrow Diagram
* Tree Diagram
* Process Decision Program
Main issues of the company are identified and wide aims are laid out to order the way of the specific tactics. Specific tactics based on the quality vision. mission and guiding rules are developed for Dyson to implement and make success. 1. Introduction
1. 1Project Definition
The intent of this undertaking is to better and retrieve Dyson’s current Quality Strategy by sorting and nailing down the at hand root causes that contributes to Declining Quality and Strained Customer Relationship. and thereby suggest a entire quality direction scheme for Dyson. 1. 2Project Scope
The undertaking study via medias of quality direction tools utilized for the development of Dyson’s current Quality scheme. 2. Company’s Background
Dyson Limited is an electric domestic contraption fabrication company headquartered in the UK. and founded in 1992 by Sir James Dyson. Their merchandises include vacuity cleaners. rinsing machines and manus desiccants. Dyson machines are exported to 50 states and it employs over 3. 000 people worldwide. Dyson ever comes out with merchandises that use better engineering. better design and better technology for which they charge premium monetary values to fund research and development to assist convey out more merchandises. Harmonizing to Dyson. ‘Manufacturing goes beyond doing things in the mill. For us. assembly comes at the very terminal of a long period of research. design and development. ’
Dyson’s primary concern scheme is to supply enormously advanced and sleekly designed high-end merchandises to the housewares market. all of which have cardinal betterments or alterations in the manner they are designed as compared to normal contraptions. Much of their strategic capablenesss lie in the ability of the applied scientists at Dyson to go on to develop new merchandises in front of their clip. every bit good as the magnetic presence of James Dyson as a interpreter for their selling run. Dyson’s modus operandi is to do better merchandises. charge people more for them. and non fabricate every bit many as their rivals. For case. Dyson is the 5th largest vacuity cleaner maker when measured by units sold. yet it brings in the most entire gross for vacuity units sold. Such a scheme increases demand and involvement. while besides leting for acceptable higher monetary values on their merchandises. 2. 1Company’s Vision
To be known across the universe for high quality merchandises that are genuinely different and better through the imaginativeness and diligence of Dyson people. 2. 2Company’s Mission
To supply genuinely advanced merchandises that is distinguishable in expression and superior in quality. Create entire client satisfaction. 2. 3Company’s Steering Principles
* Maintain extreme quality relationship with employees. sellers and clients.
* Emphasis on uninterrupted invention.
* Customer Satisfaction is the driving force of the company.
* Always expression to past successes and failures for inspiration.
* Provide a great work environment and dainty each other with regard and
self-respect.
* Contribute positively to our communities and our environment. 2. 4Company Size and Rivals
Dyson presently has 3588 people working worldwide excepting contractors around the universe. It spends ?4m on travel every twelvemonth and there are 44 directors with distant studies. By 2015 Dyson is taking hold a strong base in the markets as shown below Figure 1: Map of Dyson’s presence around the universe
Dyson foremost mark states with high income clients ( represented by xanthous ) like US. Europe and Japan. Currently. Dyson is seeking to travel into other market sections like Asia and Middle East ( represented by orange ) which has a turning category of flush consumers. The company has major subdivisions in US. UK. Canada. Malaysia and Singapore. Dyson’s chief rivals are consumer contraption trade names like Philips Electronics. General Electric and Panasonic. Unlike most of its rivals. Dyson is comparatively little and focuses on merely 4 merchandises. For its new merchandise. the bladeless fan. non merely is Dyson viing with established trade names such as KDK and Mistral. but besides portable air conditioning companies such as Daikin and Sanyo. 2. 5Financial information
In FY2011. Dyson achieved gross revenues of US $ 3 Billion. The dislocation by merchandises is as follows:
Figure 2: Dislocation of gross revenues in FY 2011
The majority of the gross still comes from vacuity but per centum portion of gross contributed by bladeless fan has been increasing much faster than other sections. Management aims to increase bladeless fan’s gross from US $ 390 Million to US $ 1 Billion by 2017. 2. 6Product Profile
In 2009. Dyson Ltd. introduced its new scope of bladeless fan merchandises. This advanced and sleekly designed high-end merchandise revolutionise the housewares markets and instantly leads to high initial demand from people hotfooting to replace their family conventional fans at place. The alone proposition of the air multiplier merchandise is that it is bladeless and has air multiplier engineering that allows the fan to bring forth a uninterrupted watercourse of air which feels like natural zephyr.
Figure 3: Different merchandises viing with Air Multiplier
It is safer than a traditional fan and offers better user experience than a tower fan. It is aesthetically more pleasing than a portable air conditioner and offers the about the same chilling consequence.
However. there were several jobs that originate merely after one twelvemonth the air multiplier was launched. 3. Reasons to Hire Quality Consultant
3. 1Declining Internal Product Quality
Audited accounts and reviews have revealed an addition in defect rate from 200 ppm to about 1400 ppm from 2009 to 2011. 3. 2Declining External
Product Quality
Surveies conducted merely after the merchandise marked its one twelvemonth day of remembrance in the market pointed a decrease in client satisfaction in footings of the quality of the merchandise. Not surprisingly. Dyson Ltd’s service section had noticed an increasing tendency in the volume of calls for after-sales support.
The direction of Dyson Ltd was highly concerned about the increasing sum of complains from both clients and retail merchants. As Dyson Ltd had ever been renowned for its excellence in quality merchandises. they were shocked about the negative feedbacks about this new merchandise. Furthermore. the immense addition in defect rate reported during audit cheques had taken the direction aback. ensuing in immense costs of quality incurred. Inevitably. employee’s morale was dampened since everyone was speedy to go through the incrimination about. Therefore. in order to better the merchandise quality to carry through customers’ demand. every bit good as set up steadfast choice civilization among employees. the direction decided to engage an external quality adviser squad to decide the jobs. 4. Problem Analysis
As hired by Dyson Ltd to decide the assorted aforesaid challenges. we. as members of iConsultant will analyse its jobs and
quality issues and to supply solutions and finally suggest a quality direction scheme.
Figure 4: Company logo of iConsultant Pte Ltd
4. 1Root Cause Analysis
Our first measure is to make up a Cause and Effect Diagram ( Fishbone diagram ) to place the root causes for the jobs faced by Dyson Ltd. Merchandise
Productivity & A ; Quality
Declining Quality & A ; Strained Customer Relationship
Peoples & A ; Promotion
Procedure
Monetary value
Ineffective manner of managing feedbacks.
Incompetence in employees
Lack of invention in Marketing
Same selling scheme for all parts ( market ) .
No standardisation in pull offing feedbacks.
No on-site guarantee
Poor after gross revenues service
Premium Monetary value
About 4x the cost of a regular fan.
Not good received by bulk consumers
Unwilling to pay for the trade name.
Not good received by bulk consumers due to high monetary value.
Imitation merchandises retailed at much lower monetary value with
about same quality.
Weak Market Positioning
Buzzing sound. ( noisy )
Weaker zephyr while hovering.
zephyr generated is less consistent and steady.
Weak stableness of the fan. Tends to tumble easy.
The motor of the fan gets heated up fast hence doing the rear to be hot. Poor Product Design
Expensive
Unable to run into retailer demand and hence clients demand.
Supply Chain Management
Insufficient stock list at fabricating side.
Addition in defect rates over the old ages.
High return rate from clients due to misfunctioning parts. Production Quality
Figure 5: Fishbone Diagram
With careful analyzing of the all the root causes. the consultancy came to consensus that the followers could be the chief issues lending to Declining Quality and Strained Customer Relationships. Substandard
Merchandise Design
Weak Market
Positioning
Production Quality
Issue
Product Quality
Issue
Poor Supply
Chain
Management
Worsening Quality
& A ;
Strained Customer Relationship
Poor
After-Sales Servicess
Figure 6: Identifcation Diagram of Potential root causes
5. Problem Definition
With the chief issues identified. iConsultant proceeded to transport out client focused group treatment and employees interviews for in-depth apprehension of the jobs. 5. 1Substandard Product Design
Customers have feed-backed that the fan produces a changeless buzzing sound which can be really noisy. When the fan is set to its maximal scene. the noise generated is comparable to that of a hairdryer in operation.
In add-on. the fan produces perceptibly weaker zephyr while in oscillation. This incompatibility in power end product is non a job in traditional family fans. 5. 2Production Quality Issue
In order to run into increasing demand. Dyson chose to spread out its provider and contractor base. This has led to larger fluctuation in the natural stuffs and concluding merchandises. In the production section. audits and reviews have revealed an addition in defect rate from 200 ppm to about 1400 ppm from 2009 to 2011.
Reports from retail merchants have pointed to an upward tendency in the figure of merchandises returns and entreaties for client refunds due to faulty parts. 5. 3Poor Supply Chain Management
The outbound logistics section has reported that the company’s supply concatenation is progressively unable to run into the retailer’s demand. Inventory degrees at the manufacturer’s works are non high plenty to be antiphonal to market. 5. 4Weak Market Positioning
iConsultant further identified failings in Dyson bladeless fan’s perceived value. Dyson has been concentrating on the fan’s alone belongingss like the air multiplier consequence which is a construct that is difficult to hold on by mean consumer. Surveys show that flush consumers do non rank
the bladeless fan high against a regular fan. They are unwilling to pay a premium for the trade name.
Dyson expand to more states each with their ain unique demands. For illustration. in China there are more impersonators which offer cheaper fans with the same aesthetics but in the UK. Dyson is the lone trade name that offers its patented design. However. Dyson used the same selling scheme for all parts which focused on the same proposition and mark users. 5. 5Poor After-Sales Service
There is no on-site guarantee even though the merchandise is bulky and a fuss to convey to the nearest service centre. Furthermore. ailments are handled by the different retail merchants each with their ain client service policy.
6. Strategic Quality Management
With a thorough apprehension of the jobs and issues faced by Dyson for its air multiplier merchandise. iConsultant seeks to understand more about the company and the place of its merchandise in the market to put the land for developing the strategic quality direction program for the company. 6. 1Quality SWOT Analysis
A SWOT Analysis is foremost performed in order to place where Dyson Ltd. could leverage on its strengths. turn to its failings. gaining control possible chances and neuter any possible menaces.
Figure 7: Table of Quality’s SWOT analysis
* Strong fiscal power
* Unique merchandises
* First mover advantage
* Strong patent scheme to protect their innovations
* Strong committedness to Research and Development
* Large squad of applied scientist to concentrate entirely on creativeness
* Reputation in the market topographic point
Strengths
* Increasing non-conformance in quality
* Supply concatenation unable to get by with turning demand
* High dickering power of purchasers due to the immense premium charged * Weak market presence in Asia
* Poor After- Gross saless Servicess due to non-standardization amongst retail merchants * Lack of eco friendliness in merchandise
* Turning richness of big developing markets in China and India * Lack of market rivals for similar merchandises
* Government policy mandates the purchase of energy efficient contraptions * Ability to diversify into related merchandises and services.
Opportunities
* Cheaper generic merchandises from China
* Erosion of trade name equity
* Price wars with “Competitors”
Menaces
Failings
6. 2Matrix Data Analysis
Following. after carry oning a market study ( Annex G ) on the customer’s sentiments about Dyson’s air multiplier merchandise. and its chief rival. ABC’s tower fan. we perform a Matrix Data Analysis to place the factors which require attending for betterment and besides to cognize which countries the merchandise stands every bit compared to the competitor’s merchandise. To garner the necessary informations for tabling the Matrix Data Analysis tabular array. a study of customer’s sentiment is done in order to get client feedback on the air multiplier merchandise and its chief competitor’s merchandise. Survey is fundamentally structured as obtaining client inputs on: ( a ) evaluations of properties for Dyson’s Air Multiplier merchandise and its chief competitor’s merchandise. ( B ) evaluations of importance weight of each established merchandise properties. Returned studies are 89 in figure. hence the sample size. Datas are processed and what listed down below are the top 6 properties. and computation consequences of their overall importance weight and harmonizing evaluations of the two merchandises in comparing. | Importance Weight| Air Multiplier’s Rating| Main Competitor Product’s Rating| Lead/Lag| Price| 0. 22| 4| 2| 0. 43|
Noise Level| 0. 19| 4| 4| 0. 00|
Power Consumption| 0. 11| 2. 5| 3| -0. 05|
Assorted Model| 0. 11| 1. 5| 3. 5| -0. 22|
Easy to Use| 0. 16| 3| 3| 0. 00|
Branding| 0. 16| 4. 5| 2| 0. 41|
Post Gross saless service| 0. 05| 3| 1| 0. 11|
Figure 8: Table of Matrix Data Analysis
Figure 9: Radar Chart
As shown by Figure 9. Dyson’s merchandise has the competitory advantages due to its established Dyson branding and post-sales services. but is found to be missing in facet of monetary value and assortment. In the proficient facet of noise degree and power ingestion. the merchandise is less superior compared to the chief rival merchandise. Therefore from this analysis. we have identified the undermentioned factors to be suggested to the R & A ; D section for betterment: ( a ) Noise degree. ( B ) Power ingestion. 6. 3Quality Scheme
Equipped with the cognition about the company’s place in the market. and every bit good the comparative advantage and disfavor its merchandise has over its rival. iConsultant developed a strategic quality direction program. We recommend the undermentioned Quality Vision. Quality Mission. and Steering Principles in order to concentrate the quality scheme of the company for the air multiplier merchandise. 6. 3. 1Quality Vision
To go the lone pick in chilling devices by planing air multipliers that exceeds customer’s outlooks. 6. 3. 2Quality Mission
Profitable growing through
I. Superior client service
II. Invention
III. Designing high quality and dependable merchandise
IV. Committedness
V. Leadership in work force preparation
6. 3. 3Guiding Principles
Figure 10: Guiding Principles
6. 4Broad Strategic Aims
Brainstorming is so carried out by the iConsultant squad and the people of Dyson Ltd to place the Broad Strategic Objectives and the corresponding Specific Tactics. The Affinity Diagram. presented in Annex A is used for this brainstorming intent. The Broad Strategic Aims are as follows:
I. Achieve merchandise excellence
II. Continuous betterment of current merchandise. services & A ; processes III. Continuous debut of new merchandises
IV. First category client service
V. Market portion laterality
VI. Staff quality administration civilization
The relationships between the Specific Tactics are mapped out utilizing Relations Diagram. as shown in Annex B.
6. 5Strength of Relationship between Broad Strategic Objectives and the Problems With the jobs highlighted by Dyson. iConsultant decided to use Matrix Diagram. presented in Annex C. to place and analyse the strength of relationship between the Broad Strategic Objectives and the jobs from the old subdivision. Based on the Matrix Diagram. the wide aim of First Class Customer Service has shown to hold strong relationship with most of the jobs. As such. concentrating on carry throughing the aim of achieving First Class Customer Service will supply an first-class scheme to cover with the most of the jobs identified.
6. 6Specific Tacticss
As mentioned in Section 6. 4. to accomplish the quality vision. mission. and wide strategic aims. specific tactics were formulated chiefly utilizing Affinity Diagram. These tactics will function as a platform for the company to turn to Total Quality Management. I. To accomplish merchandise excellence
Specific Tactic| Description| Responsibility|
Quality control| Measure and reexamine the quality of the incoming natural stuffs and surpassing merchandises with robust cheques and proving. | QAQC| Collaborative relationship direction with contractor| Establish collaborative relationship with the contractor through communications | Procurement| Dedicated supplier| Ensure that the provider is committed to the company to guarantee quality of natural stuffs and components| Procurement| Figure 11: Table of Quality’s specific tactics on accomplishing merchandise excellence
II. Continuous betterment of current merchandise. services & A ; processes Specific Tactic| Description| Responsibility|
7 Quality Control Tools| * Pareto Chart * C & A ; E Diagram * Check Sheet * Histogram * Control Chart * Scatter Diagram * Flowchart| QAQCOperation| Quality confidence | Planned system of reappraisal processs by independent 3rd party parties. performed after quality control procedures| QAQC| Adopt current best practices| Process improvementDocumentation and airing of practices| All Departments| R & A ; D commitment| Research and develop new engineerings to better current air multiplier merchandise and procedures. | R & A ; D| Long-term understanding with supplier| Negotiate long-run understanding with provider which builds collaborative relationships and protects the rational belongings of Dyson Ltd. | Procurement| Supply concatenation management| Ensure responsive and on-time bringing of merchandises to retail merchants and clients while incurring minimum cost. | Procurement| Figure 12: Table of Quality’s specific tactics on accomplishing uninterrupted betterment of current merchandise. services & A ; procedures
III. Continuous debut of new merchandises
Specific Tactic| Description| Responsibility|
Anticipate client demands through feedback| Developing platform for internal employee feedback and external feedback channels from clients. providers and external concern spouses to get cognition on the local. regional and planetary client demands and desires. Helps to increase client keeping. better public presentation of merchandises and derive advanced thoughts. Customer ServicesSales & A ; Marketing| R & A ; D initiatives for merchandise development| Investing in research and development to bring forth new merchandises which address client demands. | R & A ; D| Concept testing| Presents the consumer with a proposed merchandise and steps attitudes and purposes at this early phase of development for the intent of mensurating consumer enthusiasm. | Design DepartmentBusiness DevelopmentSales & A ; Marketing| Conduct planetary surveys| Conduct a planetary study of client sentiments to derive new penetrations on the customers’ demands and outlooks and place issues of pressing clients concerns. | Gross saless & A ; Marketing| Figure 13: Table of Quality’s specific tactics on accomplishing uninterrupted debut of new merchandises
IV. First category client service
Specific Tactic| Description| Responsibility|
Improve after gross revenues service| Implement a antiphonal on-site exchange policy. Guarantee a comprehensive client service policy which is consistent with the company’s image for all retail merchants. | Customer ServiceRetailers| Build client rapport| Conduct a well-laid out client study and set up a convenient feedback channels for clients. Be extroverted and honest with the customer-related policies & A ; merchandise information. | Customer ServiceRetailers| Reward retailers| The usage of commission-based system for gross revenues related occupation can spur retail merchants to supply. | Customer ServiceSales & A ; Marketing| Figure 14: Table of Quality’s specific tactics on accomplishing first category client service V. Market portion laterality
Specific Tactic| Description| Responsibility|
Increase advertisement scale| Concentrate on advertisement to increase consciousness and better market placement of Dyson air multiplier merchandises. | Gross saless & A ; Marketing| Customer profiling| Build client portfolios to better run into their varying demands and outlooks. | Gross saless & A ; Marketing| Initiate market trends| The first-mover advantage in the market is gained by originating new tendencies. | Gross saless & A ; Marketing| Figure 15: Table of Quality’s specific tactics on accomplishing market portion laterality
Market segmentation| Adopting different schemes for aiming different market sections such as geographic. demographic or usage cleavage. | Gross saless & A ; Marketing| VI. Staff quality organisation civilization
Specific Tactic| Description| Responsibility
Staff training| Organize preparation Sessionss for employees to reenforce better their service criterions. Ensure committedness of the top direction by promoting senior directors to take part in preparation Sessionss. | Human ResourceCustomer Service| Staff involvement| Introduced an employee suggestion strategy such as “Decentralized Idea generation” . Introduce term such as “Associate” to further engagement of the employees. Such moves enable employees see the bigger image and stress the importance of their functions towards the quality betterment. | Human Resource| Staff recognition| Introduce wages systems such as monthly staff grasp awards and public presentation based fillips to acknowledge employees for their work parts. | Human ResourceManagement| Staff motivation| Organize squad edifice activities to further adhering between employees and the direction staff. This helps to make a civilization of trust and assurance which can actuate employees to be committed towards the company. | Human ResourceManagement| Figure 16: Table of Quality’s specific tactics on transfusing staff quality organisation civilization
6. 7Sequence for Execution of Specific Tacticss
With the apprehension of the Specific Tactics and the sections within the company which are responsible for put to deathing these tactics. we present the Arrow Diagram in Annex D to urge Dyson follow the sequence of execute these tactics in order to accomplish entire strategic quality. 6. 8Operational Planning Phase
The Tree Diagram is used to map out the explicit undertakings needed for each of the identified Specific Tacticss required to accomplish the Broad Strategic Objectives. Based on the Matrix Diagram in Annex C. we have identified 4 of import Broad Strategic Objectives which have strong relationship to the jobs of Substandard Product Design and Production Quality Issue. As shown in Figure 17. they are related straight to the production of quality merchandises. Figure 17: Broad strategic aims to accomplish Quality Merchandises
Therefore. we make usage of the Tree Diagram. presented in Annex E. to map out the undertaking and waies of these 4 schemes down to the operational planning phase. 6. 9Contingency Measures
Finally. the Process Decision Program Chart ( PDPC ) is used to place possible events to fix the company for possible approaching challenges and counter steps should they originate. In this survey. we present one of the chief focal point Dyson merchandise schemes is to accomplish merchandise excellence. Given the importance of merchandises success associated with Dyson long term aims and mission. the PDPC is developed to further fix the company for possible approaching challenges and counter steps if they arise. This provides Dyson with better apprehension of the merchandise excellence scheme and offer eventuality planning to better corporate reaction clip and reactivity.
7. Decision
It is a great award for iConsultant to work with one of the fast growth and extremely reputable company like Dyson and believe that our recommendation and solutions will be put to good usage. We would wish to urge a regular monitoring and coverage on the execution of the quality direction scheme across assorted sections. Changeless preparation and grasp of staff is necessary to maintain the spirit traveling.
iConsultant will to the full back up Dyson in all ways possible to implement the proposed quality schemes. It is our belief that these schemes will assist Dyson to get the better of the current challenges and impel Dyson to go the leader in the market. We hope Dyson will shortly go another name when it comes to “High Quality Reliable Products” .
