Monday, 29 October 2012

Quality Audit - Why Fail 2


Quality Audit

WHY QUALITY AUDIT FAIL?

(NOT EFFECTIVE)

REASON 2
AUDITOR not COMPETENT



This is the toughest success factors to achieve. Common ISO definition of comptency are based on SKILL, EDUCATION, TRAINING, EXPERIANCE (SETE), but it is not easy to achieve. WHY? Because there are other factors that interrelated i.e.
1. Audit objective
2. Audit type i.e level or layered
3. Audit process
4. Auditt Tools
and many more

All this required CLEAR "SETE" 
Based on case study only 1 out 10 organization CLEARLY DEFINED the competency criteria based on PROCESS that they audit i.e. to audit PURCHASING what is the SETE for the auditor(s) to audit Purchasing process?





Some of recommendation from ISO19011


Relaxed and Friendly
Good Listener / Communicator
Interested
Objective and Logical
Positive attitude
Explains the process
Gives good feedback
Excellent Interpersonal Skills
Should ‘motivate’ and ‘facilitate’
Enquiring Mind
Can communicate at all levels of the organisation
Understands the Technology

Thursday, 25 October 2012

KKK - Berkorbanlah untuk Meningkatkan Kualiti Ummah

Kualiti Kedai Kopi

BERKORBANLAH untuk MENINGKATKAN KUALITI UMMAH

Allahu Akbar, Allah Akbar, Allahu Akbar

Alhamdulillah di pagi AidilAdha 1433, InsyaAllah kita akan bersama untuk mengerjakan Solat Sunat AidilAdha, Solat Jumaat dan menyembelih lembu serta besedekah. Selain daripada itu, semalam kita dapat berpuasa sunat Khamis dan hari Arafah.

Tetapi bagaimanakah amalan kita boleh meningkatkan KUALITI UMMAH yang lain. Selain daripada bersedekah, kita perlu mendekatkan jurang mereka yang fakir, miskin, orang berhutang (kadang dia orang ni lagi teruk daripada fakir dan miskin... ada orang duit dia tak banyak, tapi hutang tak banyak) DENGAN mereka yang kaya raya.

Teori dia mudah aje. JADIKAN semua harga barang MURAH dan mampu milik. Yang miskin pun boleh beli, yang kaya pun sama. Tetapi BAGAIMANA nakkan ini berlaku. Harga barang semakin hari semakin naik. Duit 1 sen dah tak pakai lagi. Itulah silapnya... kita sibuk mengawal harga barang tetapi ada perkara yang lebih penting yang kita perlu KAWAL dan PERLU DI JADIKAN KPI (Key performace Indikator) atau indikasi iaitu:

KADAR TUKARAN MATAWANG

Ya, dengan kekuatan matawang, kita boleh membeli barang keperluan dari luar dengan harga yang murah. Ambik contoh HARGA TEPUNG adalah RM1.80/kg (Harga satu Malaysia). Kita beli pada kadar matawang kita USD 1 vs MYR3. Bayangkan kalau matawang kita USD 1 vs MYR1, harga tepung boleh turun sehingga 60 sen sekilogram.  Tu belum lagi barangan yang lain.

TEORI ni Nampak MUDAH.. tetapi bagaimana nak tingkatkan matawang kita

BANYAK MENGEKSPORT dan KURANGKAN MENGIMPORT atau bahasa mudah “banyak menjual daripada membeli” dan “banyak duit cash dan kurangkan berhutang”, “kena selalu budget yang surplus bukan yang deficit”

TEORI Nampak mudah tetapi PERLAKSANAAN  memerlukan PENGORBANAN yang BESAR. Antara pengorbanan yang diperlukan adalah:

Berkorban dengan KELUAR dari NEGARA.

Kuatkan rangkaian ekonomi dan perniagaan. Pedagang-pedagang Arab telah berjaya menunjukkan contoh yang baik. Selain berdagang mereka juga berjaya berdakwah dan menyebarkan Islam ke seluruh pelusuk dunia. Mereka telah keluar berdagang tanpa perlu MENJAJAH. Berbeza dengan kuasa-kuasa besar dalam abad ke 13, mereka keluar menjajah negara-negara yang mereka ingin berdagang selain daripada mengambil keluar sumber-sumber asli mereka. Model berdagang ini telah diambil oleh negara Jepun, China dan Korea.


Berkorban dari mendapat untung cepat tetapi keluarkanPRODUK BERINOVATIF DAN BERKUALITI

Bawa keluar produk yang berinovatif, bukannya hanya dengan menjual bahan mentah. Bawa keluar produk siap atau bahan kimia yang diperlukan oleh industry bukan MINYAK MENTAH. Jangan jual minyak mentah, jual barang siap atau separuh siap seperti Synthetic rubber (silicon), resin plastic, petrol RON98, lubricant. Kita pengeluar minyak mentah, tetpai beli balik barang-barang ni daripada Jepun mahupun Jerman pada harga yang sangat tinggi.


Berkorban dengan mengelak PEMBAZIRAN

Setiap duit yang dibelanjakan perlu mengambil kira nilai pulangan yang Negara akan dapat. Belanja bina HOSPITAL beratus juta dapat menjadikan rakyat sihat dan meningkat kualiti perkhimatan hospital?Ini hanya mengkayakan segolongan kontraktor dan merka dalam industri pembinaan. Tetapi perkhidmatan tak semestinya semakin baik. Tetapi kalau kita belanja memperbaiki perkhimatan hospital yang sedia ada,  tukar mentality mereka, labur dalam penyelidikan dan pendidikan, serta mengeluarkan mesin atau medical devices produk tempatan yang boleh dijual keluar, maintain hospital yang sedia ada pun sudah cukup untuk memberikan perhidmatan yang baik kepada rakyat sambil dapat mengembangkan ilmu dan pendapatan daripada penyelidikan.


Sudah sampai masa nak solat raya. Semoga berjumpa kita disiri akan datang.


Salam AIdilAdha.

KKK - Marketing vs Produk berkualiti

Kualiti Kedai Kopi

BIZEXCEL: Adakah KUALITI keutamaan NOMBOR 1 organisasi anda? Jika anda pengamal Kualiti sudah tentu jawapannya YA. Tetapi pengamatan saya sebagai “QUALITY PREACHERS” lebih dari 10 tahun dan juga USAHAWAN lebih dari 6 tahun, kualiti adalah nombor 2. Jadi apakah menjadi NOMBOR 1. Jawapannya adalah kebolehan PEMASARAN ataupun MARKETING. ANDA SETUJU?

Setiap perniagaan memerlukan pemasaran yang efektif. Ambik contoh AIRASIA, ramai yang memberikan maklumbalas negative pada awal op
erasi (terutama dalam 3 tahun pertama operasi) seperti, penerbangan selalu CANCEL, LEWAT, tidak dapat makanan dsbg. Target mereka pada masa itu adalah untuk SURVIVE dan dapatkan pelanggan seramai yang mungkin. Selepas itu barulah mereka menambaikan KUALITI atau mutu perkhidmatan mereka. APA pandangan anda tentang AIRASIA sekarang?

Contoh kedua adalah Negara JEPUN pada tahun 60an, Korea 80an dan China baru-baru ini. Pada tahun 60an, Jepun mengeluarkan produk berkualiti rendah seperti kereta, berbanding dengan produk keluaran Eropah dan Amerika. Teringat kata pakcik saya, Ini kereta TIN SUSU. Cuba amati apa yang mereka hasilkan pada penghujung 80an.. masih TIN SUSU lagi ke?

Mungkin masih ada organisasi yang meletakkan KUALITI menjadi keutamaan dari awal lagi dan masih survive seperti MERCEDES BENZ dan SINGAPORE AIRLINE. Tetapi jika anda baru di dalam bidang PERNIAGAAN, adalah lebih baik fokuskan pada pemasaran terlebih dahulu dan perbaiki kualiti dari masa kesemasa.

Saya ada berkongsi mengenai strategi Kualiti dan Kos di http://cqreview.blogspot.com/2012_01_01_archive.html.
Kesimpulannya samada anda setuju ataupun tidak, ianya berdasarkan strategi perniagaan anda. SAMA-SAMAlah kita SEIMBANGKAN FOKUS kepada KUALITI.

Coretan: Cikgu Edly

Wednesday, 24 October 2012

Quality Audit - Why FAIL (1)


Quality Audit

WHY QUALITY AUDIT FAIL?

(NOT EFFECTIVE)


REASON 1
NOT clearly DEFINE AND CLEAR ON OBJECTIVES OF AUDIT

Top Management, Auditor, Auditee, most of them thinks AUDIT is to find fault or JUST one of requirements to certified to ISO

But seldom the organization defined in their audit process, what is the objective in Qualitative manners i.e.
After audit
-        -   to reduce reject by 20%
-         -  to achieve ZERO Error in assembly

There are many other objective of AUDIT depending on what we want and the literature BELOW describe some of objectives of audit (Happy Reading)

------------------------------------------------------------------------------------------------------------
Quality audit can be categorized into compliance audit and management audit (Arter, 1994). Compliance audit look for conformance to the audit criteria, while management audit look for conformance to the audit criteria and the effectiveness of the process and opportunities for improvement in achieving organization goals. Example of conformance audit includes financial audit, tax audit, and regulatory audit. The management audit includes manufacturing audit, product and process audit, improvement audit, and diagnosis. The result of audit, normally presented as an audit report together with audit evidence. Hence the quality audit is categorized under management audit.

The objectives of audit are to look for conformance to a set of rules and the effectiveness of those rules in achieving organization goals (Arter, 1994). The set of rules and effectiveness of those rule refer to audit criteria. ISO 19011 (2002) used the term of audit criteria which is refer to specification, guideline, and requirements. The audit criteria vary from different type of audit. Quality audit criteria also can be refers as the objective of the audit. The most common criteria for quality audit is quality management system audit either it is first party, second party or third party audit as described in chapter 1.

Apart from quality management system audit, the quality audit also cover the specific performance improvement criteria. The review was undertake for research or work that been done regarding the quality audit apart from quality management system audit for the past 20 years. The objective of quality audit is table out in table 2.2.
Table 2.2: Objective of audits
Author (s)
Objectives of audit
Research method,  sample size (n)
Type of Industry or applicability
Significant contribution
Bobbit, 1989
Supplier Quality Audit
Nil
Nil
2 types of supplier audit. 8 categories for area to be audited
Hum and Leow, 1994
Manufacturing strategy
Survey, 55
Electronic in Singapore
Framework empirical studies of Hayes and Wheelwright, 1984
Martino, 1994
Technology
Nil
Nil
Framework for technology audit
Gardiner and Gregory, 1996
New Product Introduction
Case Study, 2
Telecommunication
Framework of NPI audit
Bitichi, 1997
Integrity of performance measure
Case study, 1
Small Engineering manufacturing firm
Workbook to conduct audit
Branney, 1999
Process Optimization
Action Case Study, 1
Fertilizer
3 phased of analysis. 86 improvements ideas. Potential hard saving of USD 2 millions
Lee and Quazi, 2000
Self assessment for quality awards
Questionnaire analysis, 200
Singapore firms
Self assessment methodology
Hepner,Wilcock and Aung, 2004

use of auditing as a tool for continual
improvement

Case study, 4
Meat industries
Application of audit
Gordon, 2005
Supplier performance measure
Nil
Nil
7 steps to measure supplier performance

The literature on quality audit by Skinner (1978, 1985), Platt and Gregory (1990, 1992) contribute their work to formulate manufacturing strategy through the use of quality audits. The work of Skinner, Platt and Gregory were further study by Menda (2005). Menda criticized that the previous audit framework does not provide alternative to the manager. The audit tools and techniques develop by Menda is very useful to start for quality audit in different audit criteria.

Bobbit and Gordon (1989) and Gordon (2005) presented the need of supplier audit. There are series of quality audit namely supplier audit commonly conduct by customer’s auditor or contracted auditor to verify supplier quality performance. Commonly, customer specifics requirements i.e. Ford Specific Requirements are used as audit criteria. Most of customer specifics requirements are adopted from quality management system requirements i.e. ISO9001 and ISO/TS16949 i.e. Visteon, Delphi, TRW, GM, DCM specific requirements.

Gardiner and Gregory (1996) proposed the method to audit the New Product Introduction process with the main objective to propose process re-design based on comprehensive audit of existing New Product Introduction process. Quality audit also has been used to determine flexibility requirements in manufacturing facilities (Das and Patel, 2002). The audit focus whether the organization should introduce or improve flexible manufacturing and at the same time evaluate the impact of the changes proposed on the performance.

Lee and Quazi (2000) described the award based auditing through self assessment and verification from relevant body through report compile from organization and site audit. The most common award based were Malcomn Baldridge quality award.

In summary, the type of audit was depending on audit criteria or objectives. The most common audit objectives and criteria included:
i.                    Specific improvement activities audit
ii.                  Management system requirement i.e. ISO9001 Quality Management System requirements for QMS certification audit
iii.                Customer specifics requirements i.e. Ford Specific Requirements for supplier audit
iv.                Award Based Criteria i.e. Prime Minister Quality award for assessment on best practice





KKK - Beli-beli... Sepah


Kualiti Kedai Kopi

BELI-BELI ..... SEPAH

Hari ni, aku membebel dengan budak-budak... BELI-BELI... LEPAS TU? ... SEPAHHHH. 

Zaman sekarang ni barang dah macam tak de NILAI. Dulu nak dapat permainan punya la susah. Dah dapat punya la jaga. Kalau rosak boleh menangis. Kalau HILANG... seminggu terkenang kat barang tu beb.

Teringat aku masa darjah satu, botol air hilang kat sekolah. Sampai darjah 4 aku masih terkenangkan botol air  tu. Anak aku sekarang dari sekolah tadika sampai sekarang, kalau campur 4 beradik tu.... ada lebih 50 botol air kot.

Macam mana nak jadikan diorang ni HARGAI NILAI sesuatu barang? Ni ada idea sikit... tapi tak tau laa.. boleh laksanakan !!!

1.        Jangan biasakan BUDAK-BUDAK ikut gi SHOPPING
2.        Kalau diaorang nak IKUT... kasi diaorang tengok TELAN AIR LIUR JE... jangan belikan
3.        Belikan barang yang berkualiti.., sekali sekala... dah suruh diaorang JAGA baik2
4.        Kalau diaorang nak jugak barang yang tak berkualiti... macam mana?
-           Alasan 1... kita dah ada benda ni
-           Alasan 2... lain kali je la...
-           Alasan 3... Tak guna barang ni
-           Alasan 4... Barang ni tak bagus
-           Alasan 5... membazir je
Dan ada banyak alasan lagi yang kita boleh bagi tau. Cuma pantang aku, kalau cakap, tak boleh... pasal tak ada DUIT...

SELAMAT HARI RAYA AIDIL ADHA – Korbankan lah nafsu membeli barang yang tak PERLU

Quality Preachers

Edly Ramly -CER-
25 Oct 2012

Thursday, 18 October 2012

Quality Audit: Critical Success Factors


WHY  quality audit:
-          Not deliver added value to organizations.
-          Cost added activities
-          Fail improve the organization performance.

There are six FACTORS extracted from Literature review and confirmed by survey, which are 

TAA AAT

TOP MANAGEMENT (CSF1)
AUDIT PROCESS (CSF2)
AUDITOR (CSF3)
AUDITEE (CSF4)
AUDIT EVALUATION (CSF5)
TOOLS AND TECHNIQUES (CSF6)

A bit detailed of literature as followed: (for those interested to read.... :)

There are several factors in quality audit implementation that may contribute to the criticism of quality audit:. 
Not deliver added value to organizations.
Cost added activities
Fail improve the organization performance.

Russel and Regel (1996) described that the factors are due to incomplete process of quality audit or failure to closed the quality audit loop. M. Rajendran and Devadasan (2005) conducted detail literature research in quality audit in order to explore the current status, prowess, and future of quality audits to assist both researchers and practitioners to adopt quality-auditing practice for achieving the objectives of continuous quality improvement (CQI) models like total quality management (TQM). The research indicated various quality-auditing techniques shall be examined. The main area that considered lacking was no linkage to tangible performance measure of quality audit. Performance measurement is very important for the effective management of any quality initives of organization. According to Deming without measuring something, it is impossible to improve it. Therefore, to improve effectiveness of quality audit, one needs to determine the extent of quality audit implementation and measure its impact on business performance. Kaplan and Norton (1996) emphasized that financial indicators would measure the organization past performance. Therefore, in  non-financial categories should be added to measure the organization. 

Quality audit only can be realised with the auditors.  In 1984, ASQC was developed certification exam and in 1986 the committee published the guidelines for Auditing of Quality Systems. Later, more quality audit guideline was published included ISO10011 (1991), ASQ Quality Audit Handbook (1997 and 1999)  and the most recent was ISO19011 (2002) that described the competency requirements of the auditor. Hawkes and Adams (1995) have appraised the important role to be played by the quality auditors and listed the characteristics required by quality auditor. Thus, the quality auditor was considered as one of quality audit implementation issues.
           
Others implementation issues was to consider the total quality management (TQM) and Quality System (QS) implementation issues. Since quality audit is part of TQM and QS, quality audit was assumed to share the same issues with TQM and QS. Dale et al. (1997) have used a TQM sustaining audit tool to examine the sustainability of TQM. Saraph et al. (1989) iniated the study on TQM implementations issues and developed 78 items related to TQM practices, and classified into eight critical factors to measure the performance of TQM in an organization. The studied labelled these critical factors as: 1) Role of top management, 2) role of TQM and organizational performance of the quality department, 3) training, 4) product and service design, 5) supplier quality management, 6) process management, 7) quality data and reporting, 8) and employee relations. Flyyn et al. (1994) developed another instrument which that was close resemblance to the preceding instrument developed by Saraph et al. (1989). More theoritical was developed the theoretical foundation of total quality management practice (Anderson et al. ,1994; Yusof and Aspinwall, 2000) and all the scholars agreed that top management, the organization itself, process management, tools and techniques and reporting as the critical factors for TQM and QS. Hence, focused on the above factors were considered during the development of effective quality audit framework.
            
The issues and the criticals factors were considered as the baseline for current quality audit framework reviews discussed in next section as followed:
-          Top Management commitments
-          Quality audit processes
-          Quality audit tools and techniques
-          Quality of auditors
-          The organization audited
-          Quality audit performance measures 

Have a nice day

Edly Ramly
18 Oct 2012


Wednesday, 17 October 2012

Quality Audit - The ISSUES


Issues in quality audit


FAIL to conduct effective audit ... so what is consider as effective audit?

FAIL to measure the impact or result from quality audit.



Quality audit has been criticized for not deliver added value to organizations. Since organization undergo series of audit, audit has been regarded traditionally as “added cost” activities (Hepner, Wilcock and Aung, 2004) and fail improve the organization performance. The cost in auditing including the audit fees; time; and resources required to conduct audit for internal audit. The additional cost included the cost to entertain the external auditor; consultancy cost with the expert in preparation for the audit or to reply with the audit finding, and many other intangible cost incurred due to quality audit. 


To date, empirical evidence to prove that audit provided positive return subjected to little research and normally presented with single case study. In order to change that perception on quality audit, quality audit should focus toward improving the organization performance such as product quality, reduction of waste, improve service and delivery and cost reduction (Williamson and Rogerson, 1996). Lack of available literature of standard on effectiveness of QMS audit is appalling (Berkmahagen, Berg, Karapetrovic, & Willborn, 2004). Beckmerhagen et al. argue that most of current literatures discuss more on effectiveness of QMS not the audit itself. The need to study on effectiveness of the audit is required to ensure the audit will be regards as a necessary tools in performance improvement.


There numerous standard published on how to implement quality audit i.e. ISO19011, ASQ quality audit handbook, and ISO17021. However the standard did not describe the issues in the organization that implement the quality audit. Appallingly due to little description of the issues on implementation of quality audit, the quality audit implement by the organization was found to be little help to the organization to continually improve and adapt the best practice in their operation.

EFFECTIVE QUALITY AUDIT PROVIDE VALUE

Value can be defined into fur factors which are quality of product, quality of services, cost and time.

In order to increase the value of quality audit, the results should be higher than the implementation cost.

CONCLUSION 

However the issues of quality audit lies into two major issues which were: failure to conduct effective audit and failure to measure the impact or result from quality audit. 

WHAT IS THE CAUSE.... and WHAT IS CRITICAL SUCCESS FACTOR in quality audit

See you all on next articles

Quality Preachers

Edly Ramly
18 Oct 2012

Monday, 15 October 2012

October - Bulan Kualiti Audit

Bulan ini, saya nak kongsikan Pengalaman saya sebagai auditor dan beberapa hasil penyelidikan saya berkaitan kualiti audit.

Walaupun, saya drop penyelidikan phD saya bertajuk "effectiveness of Quality Audit" yang hampir 60-70% oleh kerana kesibukan menguruskan EFR Certification www.efrcertification.com  yang sudah masuk tahun ketiga beroperasi, di samping EFR Management www.efrmanagement.com yang sudah masuk tahun keenam beroperasi, saya RASA ada banyak hasil PENYELIDIKAN yang saya ingin kongsi.

Bermula dengan kajian literature" sehingga apakah isu-isu yang dihadapi dalam kualiti auditing. InsyaAllah.

Selamat membaca dan komen2 anda semua amat dihargai.

Salam dari Chu Lai, Vietnam



QHSE Preachers

Edly Ramly

History of Quality AUDIT

Historical perspective of quality audit

The term of quality audits were cited in the first edition of “Quality Control Handbook” (Juran, 1951). Juran describe the quality audit as part of quality assurance process. Since then, the quality audit terms have been used extensively a in various publication and quality audit had been implemented either formally or informally by organization and government agencies.

In 1975 at the meeting of the ASQC's General Technical Council (GTC) administrative committee, a new steering committee on quality auditing was established and given the responsibility to explore quality auditing as a potentially major segment of the society's technical program (Campbell, 1996). Whereas, the systematic implementation of quality audit started with the birth of quality standard. Even previously there are several quality standards develop by government and customers, the first formal quality management standard was established 1979 by British Standard Institute named as BS5750. The standard set the requirements for quality management. One of the main requirements was to conduct quality audit. In 1987, the BS 5750 British Standard was revised and was adopted as the ISO 9000 international standards (Franceschini et al., 2006). Since introduction of ISO9001 in 1987, various study on quality audit were conducted and framework presented.

While the certification of quality auditors was being initiated in 1984. ASQC work began on developing a certification exam. In 1986 the committee issued Generic Guidelines for Auditing of Quality Systems and developed an authoritative set of audit definitions. In 1987, 28 members of the Quality Auditing Technical Committee (QATC) took a pilot exam. Later, several volunteering local sections also took the exam. Based on the success of these pilots, the Society formally adopted the Certified Quality Auditor Program.