1. QUALITY ASSURANCE THROUGH ACCOUNTABILITY a system developed in offshore operations

2. Ac·count·a·bil·i·ty Ac·count·a·bil·i·ty The state of being accountable; the obligation to bear the consequences for success or failure to perform as expected

3. Expectancy Theory: people will behave in ways that maximize positive outcomes and minimize negative outcomes Motivation

4. Root-cause-analysis frequently shows that quality problems are the result of not executing known task(s) documented Quality Problems

5. – incorrect torque applied – two-part adhesive not mixed properly – defective vendor parts accepted – ground strap failure – cold-solder joints – etc. Examples:

6. These errors occur in organizations have documented processes and procedures and are staffed with training departments, supervisors, lead operators, inspectors and auditors. Organizational Failure

7. ISSUES

8. 1.) Supervisors not monitoring the work of the operators in their charge – Supervisors are frequently found away from their lines seeking out support personnel to get more material, a latest drawing, solvents or a mechanic to adjust a machine. – Supervisors do not have a systematic approach to assure that each individual is performing their tasks exactly as required.

9. 2.) Support departments not providing adequate service – Unlike production department whose performance is measured daily (quality, efficiency and delivery), support department performance is not measured objectively. – Operate on a reactive rather than proactive approach. Rely on production personnel to summon their service when there is a “falilure”. By the time they arrive on the scene the harm has been done.

10. 3.) There is no motivaton for every member of the organization to assure that all tasks are executed as required – The most common reactions to a failure is to review the problem, talk to the operator to make sure that he or she understands what has to be done. Inspect WIP, finished goods and rework. A corrective action will be generated creating another procedure (although one already exists) – Repeat offenders may be reprimanded but, again, the harm has already been done.

11. A system that: Solution — Addresses principles of motivation — Assigns clearly defined and measureable tasks to members of each department. — Provides a method to measure accountability

12. Elements of an Accountability Management System – Production workstations divided into “responsibility zones” with specific tasks to be performed by production and support departments – Task execution monitored and scored at random.

13. Zones of Responsibilities PRODUCTION “ZONE” PRODUCTION “ZONE” — Demonstrated ability to carry out process steps and identify quality criteria, proper use of tools and equipment, understanding of visual aids. QUALITY “ZONE” QUALITY “ZONE” — Evidence of monitoring and control actions of all elements in the company quality manual. ENGINEERING “ZONE” ENGINEERING “ZONE” — Certified processes, updated methods, procedures, visual aids, bills of materials and drawings. MAINTENANCE “ZONE” MAINTENANCE “ZONE” — Preventive maintenance procedures, spare parts on hand, adequate tools, equipment functioning. MATERIALS “ZONE” MATERIALS “ZONE” — Correct part number and quantity of materials in bins, “kit” ready for next production order. HUMAN RESOURCES “ZONE” HUMAN RESOURCES “ZONE” — Correct number of operators, selection of qualified personnel, continuing employee education, turnover control actions.

14. A Sample Process/Procedure Listing individuals with highest scores become candidates for promotion 100% additional adjustment 95% general adjustment 90% minimum acceptable performance level ……………………………………………………………………………………………

15. Random Generated Audit individuals with highest scores become candidates for promotion 100% additional adjustment 95% general adjustment 90% minimum acceptable performance level ……………………………………………………………………………………………

16. Compliance Scores individuals with highest scores become candidates for promotion 100% additional adjustment 95% general adjustment 90% minimum acceptable performance level ……………………………………………………………………………………………

17. cumulative score A Sample Individual Compensation Strategy (Outcomes) individuals with highest scores become candidates for promotion 100% additional adjustment 95% general adjustment 90% minimum acceptable performance level ……………………………………………………………………………………………

18. Offshore Cultures Many Low-Labor-Cost countries display the following behavioral traits: — Respect for authority figures and expectation that the will provide direction — Desire to avoid ambiguous situations — Confrontation is not a favored method to resolve problems

19. Method and Offshore Cultures — Direction is provided through clearly defined tasks. — There is no ambiguity in in the tasks to perform. Individuals are responsible only for those listed. — Task execution is monitored non- verbally. Line supervisors act as trainers.

20. Additional Advantages — Quality truly becomes the responsibility of everyone in the operation — Constant improvement comes from the “bottom” up rather than only “top” down — Problems are easier to track when processes and procedures are being followed