The difference between chance cause and assignable cause.

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• Assignable Cause: These are specific, identifiable factors that cause abnormal variations in the process output. They are not inherent to the system and can be pinpointed and eliminated (e.g., faulty equipment, incorrect settings, human error).

Deming's System of Profound Knowledge emphasizes the importance of understanding both types of variation. By statistically analyzing variation, we can differentiate between random fluctuations and assignable causes. This allows us to focus improvement efforts on eliminating assignable causes and achieving predictable, high-quality results.

2. Decline in US Quality and Japan's Advantage

According to Deming's perspective, the quality of manufactured goods in the US declined after World War II for several reasons:

• Focus on quantity over quality: Mass production became the priority, leading to shortcuts and overlooking defects.
• Management by blame: There was a culture of assigning fault and punishing workers for errors, hindering learning and improvement.
• Short-term focus: Management prioritized immediate profits over long-term investments in quality control and employee development.

Japan, on the other hand, embraced Deming's ideas and implemented Total Quality Management (TQM) principles. This led to:

• Focus on continuous improvement: Japanese companies prioritized defect prevention and continuous process improvement over simply meeting minimum quality standards.
• Statistical process control: They utilized statistical methods to identify and eliminate assignable causes of variation.
• Employee empowerment: Workers were involved in quality improvement processes, fostering a culture of ownership and problem-solving.

By focusing on quality and continuous improvement, Japan captured a significant share of the global manufacturing market with superior products.

3. Four Japanese TQM Terms

Here are four key Japanese terms used in TQM, along with examples of their application:

• PDCA (Plan-Do-Check-Act): This cyclical approach emphasizes continuous improvement.
  • Example: In a software development project:
    • Plan: Define project requirements, create a development plan with testing procedures.
    • Do: Develop and test the software.
    • Check: Analyze test results, identify bugs and areas for improvement.
    • Act: Fix bugs, improve code, update the plan based on learnings.
• Kaizen: This philosophy emphasizes continuous improvement, even in seemingly perfect processes.
  • Example: A manufacturing line consistently meets quality standards. Kaizen would involve continuously looking for ways to improve efficiency, reduce waste, or further enhance product quality.
• Pokayoke: This refers to fool-proofing processes to prevent errors.
  • Example: Implementing automated checks in a data entry system to prevent typos or missing information.
• 5S (Sort, Straighten, Shine, Standardize, Sustain): This methodology promotes a clean, organized, and efficient work environment.
  • Example: In an office setting, implementing 5S could involve sorting and discarding unnecessary items, organizing files and equipment for easy access, cleaning workspaces regularly, standardizing procedures for common tasks, and maintaining the organized system over time.

By understanding and applying these TQM concepts, organizations can achieve continuous improvement, enhance quality, and gain a competitive edge.

Sample Answer

Deming, Variation, and Japanese Quality Management

1. Chance Cause vs. Assignable Cause

These terms are central to Deming's philosophy of continuous improvement and understanding variation in processes.

• Chance Cause: Also known as random or common cause variation, these are natural fluctuations inherent in any process. They are due to a multitude of small, uncontrollable factors and tend to follow a predictable pattern (e.g., slight variations in temperature, machine tolerances).