1. A Training Presentation on the N7
The New Seven Q.C. Tools
A Training Presentation on the N7
Today, QC is still undergoing a major transformation. Through the evolution of TQM, all people in every dept and at every level have been and are being involved. Initially, QC was thought to be the responsibility solely of production dept through the inspection process. TQM now has become everyone’s business from Planning to Engineering to Marketing, and to direct Customer Service. (Nayatini 1)
To assist in meeting the demands of this transformation,the Seven New QC Tools have been created. These have also been referred to as the N7’s or Seven Mgt. Tools for QC.
By Christopher Diaz

2. What are the New Seven Q.C. Tools
Affinity Diagrams
Relations Diagrams
Tree Diagrams
Matrix Diagrams
Affinity Diagrams
Relations Diagrams
Tree Diagrams
Matrix Diagrams
Arrow Diagrams
Process Decision Program Charts
Matrix data analysis
We will spending most of our time on the first 6.
Before we actually get started, we need to look at the:
Arrow Diagrams
Process Decision Program Charts
Matrix Data Analysis

3. History of the New Seven Q.C. Tools
Slide 1 0f 2
Committee of J.U.S.E
Aim was to develop more QC techniques with design approach
Work in conjunction with original Basic Seven Tools
New set of methods (N7)
A committee for developing QC tools affiliated with JUSE was set up in April Their aim was to develop QC techniques for use by managerial level and staff. This committee was headed by Yoshinobu Nayatani and they met regularly. In January 1977 the committee announced the results of its research in the form of a new set of methods called 'The Seven New QC Tools’. (

4. History of the New Seven Q.C. Tools
Slide 2 0f 2
Developed to organize verbal data diagrammatically.
Basic 7 tools effective for data analysis, process control, and quality improvement (numerical data)
Used together increases TQM effectiveness
Their intent was to develop tools that would provide methods of organizing verbal data. They wanted to create a complete “Design Approach”.
The established Basic 7 tools were very effective, however they were primarily focused on numerical data.
For example, if a washing machine is redesigned. The customers don’t like the new control panel, style, and color. These statements are not expressed in numerically , but verbally. These statements are expressions of data, but only in a verbal form. (Nayatini 3)
So in conjunction in with the B7, the N7 can dramatically increase the the effectiveness of many TQM activities. The two sets of tools can greatly assist the promotion of Total Quality.

5. What are the Basic Seven Q.C. Tools?
Flow Charts
Run Charts
Histograms
Pareto Diagrams
Flow Charts - pictorial representation showing all of the steps of a process
Run Charts - used to analyze processes according to time or order
Histograms - bar graphs with frequency intervals
Pareto Diagrams - 80/20 histograms for identifying and prioritizing problems
Cause and Effect Diagrams - fishbone diagrams
Scatter Diagrams - Identifies the possible relationship between the changes observed in two different sets of variables.
Control Charts - used to determine whether a process will produce a product or service with consistent measurable properties
Cause and Effect Diagrams
Scatter Diagrams
Control Charts

6. Relation Between New Seven Q.C. Tools and Basic Seven Tools
FACTS
Data
Numerical Data
Verbal Data
Define problem after
collecting numerical data
Define problem before
collecting numerical data
This shows how the N7 and the B7 complement each other in solving quality-related problems.
Facts -> to Data!
Do people provide data in numerical form or verbally? (How do you?)
Information - This is the most IMPORTANT GOAL!!! Without the info, there will be no KNOWLEDGE gained which is required for achieving our goal! (Nayatini 4)
The Basic Seven Tools
The Seven New Tools
Analytical approach
Generate Ideas
Formulate plans
Organize
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)
Information

7. Benefits of Incorporating New Seven Q.C. Tools
Slide 1 0f 4
Enhanced Capabilities
Organize verbal data
Generate ideas
Improve planning
The N7 are used for promoting Total Quality. The goals for TQM are: Ensuring company fulfills obligations, Securing profits, Developing people (Nayatini 9)
The N7 enhance the capabilities of every employee. It has a direct impact on developing the workforce. At the same time, the effectiveness and efficiency is greatly enhanced which results directly on the bottom-line.
Eliminate errors and omissions
Explain problems intelligibly
Secure full cooperation
Persuade powerfully

8. Benefits of Incorporating New Seven Q.C. Tools
Slide 2 0f 4
Enhanced Keys to Organizational Reform
Assess situations from various angles
Clarify the desired situation
Prioritize tasks effectively
The N7 will lead to Organizational Reform system-wide.
These keys lead to a greater set of skills. The most important being, the ability to be proactive in anticipating future problems. (Nayatini 10)
Proceed systematically
Anticipate future events
Change proactively
Get things right the first time

9. Benefits of Incorporating New Seven Q.C. Tools
Slide 3 0f 4
Five Objectives of Organizational Reform
which will establish a Culture that:
Identifies problems
Gives importance to planning
The Organizational Reform establishes a system wide Culture that should result in stimulating people to think for themselves.
This culture should result in a workforce that is constantly “Thinking TQM” and being “Creative with TQM”. (Nayatini 10)
Stresses the importance of the process
Prioritizes tasks
Encourages everyone to think systematically

10. Benefits of Incorporating New Seven Q.C. Tools
Slide 4 0f 4
Unstructured Problem [must be put into solvable form]
The Seven New Tools
Problem is mapped
Problem becomes
obvious to all
Thoughts are
easily organized
Plans are
easily laid
Problem becomes
obvious to all
The N7 are techniques for untangling the intricate relationships among the different variables of a problem. Using the N7 makes it easy to clarify the situation, establish a plan, and get to the root cause of the the problem. It also makes it easier to explain the situation and get “buy-in” with their cooperation. (Nayatini 6)
People understand
problem
Problem can be
clearly articulated
Nothing is
omitted
Nub of problem
is identified
Cooperation is
obtained
Things go well
Countermeasures
are on target
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)
Problem is in solvable form

11. New Seven Q.C. Tools Affinity Diagrams
Slide 1 0f 7
For Pinpointing the Problem in a Chaotic
Situation and Generating Solution Strategies
Gathers large amounts of intertwined verbal data (ideas, opinions, issues)
Organizes the data into groups based on natural relationship
Makes it feasible for further analysis and to find a solution to the problem.
Affinity diagram is a tool/method that gathers large amounts of intertwined verbal data. It organizes the verbal data into groups based on natural relationship. Such formation of distinct groups help a meaningful picture to emerge, thereby making it feasible for further analysis and to find a solution to the problem. (

12. New Seven Q.C. Tools Affinity Diagrams
Slide 2 0f 7
Advantages of Affinity Diagrams
Facilitates breakthrough thinking and stimulate fresh ideas
Permits the problem to be pinned down accurately
Ensures everyone clearly recognizes the problem
Incorporates opinions of entire group
Review each bullet point!

13. New Seven Q.C. Tools Affinity Diagrams
Slide 3 0f 7
Advantages of Affinity Diagrams (cont.)
Fosters team spirit
Raises everyone’s level of awareness
Spurs to the group into action
Review each bullet point!
Topic
Affinity Statement
Data Card

14. New Seven Q.C. Tools Affinity Diagrams
Slide 4 0f 7
Constructing an Affinity Diagram
Group Method Approach
Select a topic
Collect verbal data by brainstorming
Discuss info collected until everyone understands it thoroughly
Review each bullet point!
Topic: How will we spread the N7 through out the company?
Ask for actual examples!!!
Brainstorming in a group - Set up rules: No criticism, anything goes, More is best, Combine and improve ideas (Nayatini 39)
When collecting data:
- review circumstances surrounding the problem
-examine the facts from a broad perspective
-summarize statements in concise sentences
When reviewing verbal data:
- rewrite statements in specific terms
Write each item on separate data card
Spread out all cards on table

15. New Seven Q.C. Tools Affinity Diagrams
Slide 5 0f 7
Constructing an Affinity Diagram
Group Method Approach (cont.)
Move data cards into groups of similar themes (natural affinity for each other)
Combine statements on data cards to new Affinity statement
Review each bullet point!
Topic: How will we spread the N7 through out the company?
Combine actual examples!!!
When grouping data cards:
- do not group based on logic. Do so according to tendency of a natural result of mutual affinity.
-do not rely on the superficial literal meaning
-avoid classifying by keywords
When writing Affinity cards:
- capture the essence in a single statement
- avoid general, abstract statements
Make new card with Affinity statement
Continue to combine until less than 5 groups

16. New Seven Q.C. Tools Affinity Diagrams
Slide 6 0f 7
Constructing an Affinity Diagram
Group Method Approach (cont.)
Lay the groups outs, keeping the affinity clusters together
Next, complete the diagram
Review each bullet point!
Topic: How will we spread the N7 through out the company?
When constructing and laying out diagram:
- place the most important group of cards in the center

17. New Seven Q.C. Tools Affinity Diagrams
Slide 7 0f 7
Completing an Affinity Diagram
Topic
Affinity Statement
Data Card
Review the Diagram
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)

18. New Seven Q.C. Tools Relations Diagrams
Slide 1 0f 7
For Finding Solutions Strategies by Clarifying
Relationships with Complex Interrelated Causes
Resolves tangled issues by unraveling the logical connection
Allows for “Multi-directional” thinking rather than linear
Also known as Interrelationship diagrams
Relations Diagram also known as Interrelationship diagram is a tool for finding solution to problems that have complex causal relationship. This helps to untangle and find the logical relations among the intertwined causes and effects. It is a creative process which allows for 'Multi-directional' rather than 'linear' thinking to be used. (

19. New Seven Q.C. Tools Relations Diagrams
Slide 2 0f 7
Advantages of Relations Diagrams
Useful at planning stage for obtaining perspective on overall situation
Facilitates consensus among team
Assists to develop and change people’s thinking
Enables priorities to be identified accurately
Review each bullet point!

20. New Seven Q.C. Tools Relations Diagrams
Slide 3 0f 7
Advantages of Relations Diagrams (cont.)
Makes the problem recognizable by clarifying the relationships among causes
Why doesn’t
X happen?
Primary Cause
Tertiary
Cause
Secondary
4th level
5th level
6th level
Review each bullet point!

21. New Seven Q.C. Tools Relations Diagrams
Slide 4 0f 7
Constructing a Relations Diagram
Group Method Approach
Express the problem in form of “Why isn’t something happening?”
Each member lists 5 causes affecting problem
Review each bullet point!
Topic: Why do accidents due to falling objects happen in the workplace? (Nayatini 21)
Ask for actual examples!!!
When collecting causes:
-start by defining any preconditions
When reviewing verbal data:
-discuss the problem thoroughly for clarity before writing card
When writing cards:
-ensure that the statement has only one possible meaning
-express each statement in a complete sentence
Write each item on a card
Discuss info collected until everyone understands it thoroughly

22. New Seven Q.C. Tools Relations Diagrams
Slide 5 0f 7
Constructing a Relations Diagram
Group Method Approach (cont.)
Move cards into similar groups
Asking why, explore the cause-effect relationships, and divide the cards into primary, secondary and tertiary causes
Review each bullet point!
Topic: Why do accidents due to falling objects happen in the workplace? (Nayatini 21)
Ask for actual examples!!!
When writing cards:
-one concise idea per card
When reviewing cause-effect relationships:
-keep asking why
-break down problem into components
-look at situation from vary angles
Connect all cards by these relationships
Further discuss until all possible causes have been identified

23. New Seven Q.C. Tools Relations Diagrams
Slide 6 0f 7
Constructing a Relations Diagram
Group Method Approach (cont.)
Review whole diagram looking for relationships among causes
Connect all related groups
Review each bullet point!
Topic: Why do accidents due to falling objects happen in the workplace? (Nayatini 21)
Ask for actual examples!!!
When reviewing relationships:
-when linking cause-effect, keep pair close together
-break any continual loops
-look at situation from vary angles
Next, complete the diagram

24. New Seven Q.C. Tools Relations Diagrams
Slide 7 0f 7
Completing a Relations Diagram
Why doesn’t
X happen?
Primary Cause
Tertiary
Cause
Secondary
4th level
5th level
6th level
Review the Diagram
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)

25. New Seven Q.C. Tools Tree Diagrams
Slide 1 0f 5
For Systematically Pursuing the Best Strategies
for Attaining an Objective
Develops a succession of strategies for achieving objectives
Reveals methods to achieve the results.
Also known as Systematic diagrams or Dendrograms
Tree Diagram is a technique for mapping out full range of paths and tasks that need to be done in order to achieve a primary goal and related sub goals. Such a diagram reveals in a simple way with clarity not only the magnitude of the problem but also helps to arrive at methods which are to be pursued to achieve the results. In other words, it serves the purpose of developing the essential means to achieve an objective or goal. (

26. New Seven Q.C. Tools Tree Diagrams
Slide 2 0f 5
Advantages of Tree Diagrams
Systematic and logical approach is less likely that items are omitted
Facilitates agreement among team
Are extremely convincing with strategies
Review each bullet point! To
Accomplish
Primary means
Constraints
Secondary means
3rd means
4th means

27. New Seven Q.C. Tools Tree Diagrams
Slide 3 0f 5
Constructing a Tree Diagram
Group Method Approach
Write Relations Diagram topic (Objective card)
Identify constraints on how objective can be achieved
Review each bullet point!
Topic: What kind of support must managers and technical staff provide in order to keep QC circles active? (Nayatini 24)
Ask for actual examples!!!
General:
-have a group of diverse backgrounds and experience. Ideas are more readily generated
-use brainstorming to creative more ideas and objectives
When setting objectives:
-make sure basic objectives are compatible with the next higher objective
-make sure necessary means of achieving the objective have been included
Discuss means of achieving objective (primary means, first level strategy)
Take each primary mean, write ob-jective for achieving it (secondary means)

28. New Seven Q.C. Tools Tree Diagrams
Slide 4 0f 5
Constructing an Tree Diagram
Group Method Approach (cont.)
Continue to expand to the fourth level
Review each system of means in both directions (from objective to means and means to objective)
Review each bullet point!
Topic: What kind of support must managers and technical staff provide in order to keep QC circles active? (Nayatini 24)
Ask for actual examples!!!
When setting objectives:
-make sure to scrutinize as you go to eliminate blind spots and omissions
-make sure the develop the means for achieving the the objective at the level which it has to be implemented at necessary means of achieving the objective have been included
When completing the diagram:
-start at lowest level means and work back through the diagram. Verify each mean is capable of achieving objective
Add more cards if needed
Connect all levels
Next, complete the diagram

29. New Seven Q.C. Tools Tree Diagrams
Slide 5 0f 5
Completing a Tree Diagram To
Accomplish
3rd means
Primary means
Constraints
Secondary means
4th means
Review the Diagram
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)

30. New Seven Q.C. Tools Matrix Diagrams
Slide 1 0f 7
For Clarifying Problems by “Thinking
Multidimensionally”
Consists of a two-dimensional array to determine location and nature of problem
Discovers key ideas by relationships represented by the cells in matrix.
A Matrix Diagram consists of a number of columns and rows whose intersections are checked up, to find out the nature and strength of the problem . This will help us to arrive at key ideas and analyzing the relationship or its absence at the intersection and finding an effective way of pursuing the problem solving method. This enables conception of ideas on two dimensional relationship basis. The intersection points are also called "idea conception points". (

31. New Seven Q.C. Tools Matrix Diagrams
Slide 2 0f 7
Advantages of Matrix Diagrams
Enable data on ideas based on extensive experience
Clarifies relationships among different elements
Makes overall structure of problem immediately obvious
Combined from two to four types of diagrams, location of problem is clearer.
Review each bullet point!

32. New Seven Q.C. Tools Matrix Diagrams
Slide 3 0f 7
Advantages of Matrix Diagrams (cont.)
5 types: L-shaped, T-shaped, Y-shaped, X-shaped, and C-shaped
Review each bullet point!

33. New Seven Q.C. Tools Matrix Diagrams
Slide 4 0f 7
Constructing a Matrix Diagram
Write final-level means from Tree diagram forming vertical axis
Write in Evaluation categories (efficacy, practicability, and rank) on horizontal axis.
Review each bullet point!
Topic: Evaluating Strategies and Allocating Responsibilities (Nayatini 48)
General:
-obtain problem-solving ideas by studying relationships between vertical and horizontal subjects
-solve problems effectively by using the intersections on the matrix as starting points
-be objective when assessing the strength of relationships
-obtain reliable data from experience supported by actual observations
-obtain a consensus among a group with real experience on the topic
Examine final-level means to identify whom will implement them
Write names along horizontal axis

34. New Seven Q.C. Tools Matrix Diagrams
Slide 5 0f 7
Constructing a Matrix Diagram (cont.)
Label group of columns as “Responsibilities”
Label right-hand end of horizontal axis as “Remarks”
Examine each cell and insert the appropriate symbol:
Efficacy: O=good, =satisfactory, X=none
Practicability: O=good,=satisfactory, X=none
Review each bullet point!
Topic: Evaluating Strategies and Allocating Responsibilities (Nayatini 48)
General:
-obtain problem-solving ideas by studying relationships between vertical and horizontal subjects
-solve problems effectively by using the intersections on the matrix as starting points
-be objective when assessing the strength of relationships
-obtain reliable data from experience supported by actual observations
-obtain a consensus among a group with real experience on the topic

35. New Seven Q.C. Tools Matrix Diagrams
Slide 6 0f 7
Constructing a Matrix Diagram (cont.)
Determine score for each combination of symbols, record in rank column
Examine cells under Responsibility Columns, insert double-circle for Principal and single-circle for Subsidiary
Review each bullet point!
Topic: Evaluating Strategies and Allocating Responsibilities (Nayatini 48)
General:
-obtain problem-solving ideas by studying relationships between vertical and horizontal subjects
-solve problems effectively by using the intersections on the matrix as starting points
-be objective when assessing the strength of relationships
-obtain reliable data from experience supported by actual observations
-obtain a consensus among a group with real experience on the topic
Fill out remarks column and record meanings of symbol
Next, complete the diagram

36. New Seven Q.C. Tools Matrix Diagrams
Slide 7 0f 7
Completing a Matrix Diagram
Review the Diagram
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)

37. New Seven Q.C. Tools Arrow Diagrams
Slide 1 0f 7
For Working Out Optimal Schedules and
Controlling Them Effectively
Shows relationships among tasks needed to implement a plan
Network technique using nodes for events and arrows for activities
Used in PERT (Program Evaluation and Review Technique) and CPM (Critical Path Method)
Arrow diagrams are a network technique using nodes for events and arrows for activities for project planning, scheduling and monitoring. This is a very useful tool when we want to plan the activities of a known but a complex task or project. With the help of this tool we can workout an ideal project plan and also daily plan for not only to the main task but also for the other allied tasks and monitor their progress in an effective manner. (

38. New Seven Q.C. Tools Arrow Diagrams
Slide 2 0f 7
Advantages of Arrow Diagrams
Allows overall task to viewed and potential snags to be identified before work starts
Leads to discovery of possible improvements
Makes it easy to monitor progress of work
Deals promptly with changes to plan
Improves communication among team
Review each bullet point!

39. New Seven Q.C. Tools Arrow Diagrams
Slide 3 0f 7
Advantages of Arrow Diagrams (cont.)
Promotes understanding and agreement among group
Strategy 1
Constraints
Activity 2 4 3 5 9 6 8 7 10 13 12 11
Review each bullet point!

40. New Seven Q.C. Tools Arrow Diagrams
Slide 4 0f 7
Constructing an Arrow Diagram
From strategies on Tree diagram, select one (Objective of Arrow Diagram)
Identify constraints to Objective
Review each bullet point!
Topic: Holding an In-House Training Seminar on the New Seven QC Tools? (Nayatini 30)
Ask for actual examples!!!
General:
-be specific on exact constraints of the objective
When listing activities:
-express each task by a unique pair
-find all tasks that can be performed in parallel time frame
List all activities necessary to achieving Objective
Write all essential activities on separate cards

41. New Seven Q.C. Tools Arrow Diagrams
Slide 5 0f 7
Constructing an Arrow Diagram (cont.)
Organize cards in sequential order of activities
Remove any duplicate activities
Review order of activities, find sequence with greatest amount of activities
Review each bullet point!
Topic: Holding an In-House Training Seminar on the New Seven QC Tools? (Nayatini 30)
Ask for actual examples!!!
When reviewing activities:
-use positive integers in the actual sequence (1 goes to 2, 2 cannot go to 1)
-find all tasks that can be performed in parallel time frame
Arrange parallel activities

42. New Seven Q.C. Tools Arrow Diagrams
Slide 6 0f 7
Constructing an Arrow Diagram (cont.)
Examine path, number nodes in sequence from left to right
Record names and other necessary information
Review each bullet point!
Topic: Holding an In-House Training Seminar on the New Seven QC Tools? (Nayatini 30)
Ask for actual examples!!!
When examining path:
-use positive integers in the actual path
-work from the farthest left side, then move to the next section and mark all activities before moving to next section
-ensure that the diagram shows the exact correct sequence
Next, complete the diagram

43. New Seven Q.C. Tools Arrow Diagrams
Slide 7 0f 7
Completing an Arrow Diagram
Strategy 1
Constraints
Activity 2 4 3 5 9 6 8 7 10 13 12 11
Review the Diagram
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)

44. New Seven Q.C. Tools Process Decisions Program Charts
Slide 1 0f 7
For Producing the Desired Result from Many
Possible Outcomes
Used to plan various contingencies
Used for getting activities back on track
Steers events in required direction if unanticipated problems occur
Finds feasible counter measures to overcome problems
The Process Decision Program Chart (PDPC) is a very useful and powerful method to overcome a problem or a goal to be achieved which are not familiar. With the help of PDPC we can map out all the conceivable events or contingencies that can occur in the implementation stage and also find out feasible counter measures to overcome these problems. (

45. New Seven Q.C. Tools Process Decisions Program Charts
Slide 2 0f 7
Advantages of Process Decisions Program Charts (PDPC’s)
Facilitates forecasting
Uses past to anticipate contingencies
Enables problems to pinpointed
Illustrates how events will be directed to successful conclusion
Enables those involved to understand decision-makers intentions
Review each bullet point!

46. New Seven Q.C. Tools Process Decisions Program Charts
Slide 3 0f 7
Advantages of PDPC’s (cont.)
Fosters cooperation and communication in group
Easily modified and easily understood
Start
GOAL
YES NO
Review each bullet point!

47. New Seven Q.C. Tools Process Decisions Program Charts
Slide 4 0f 7
Constructing a PDPC
Select a highly effective, but difficult strategy from the Tree diagram
Decide on a goal (most desirable outcome)
Review each bullet point!
Topic: Holding an In-House Training Seminar on the New Seven QC Tools? (Nayatini 35)
Ask for actual examples!!!
General:
-continue updating the PDPC as it unfolds
-consider that contingency plans are the objective. We are looking for the possible things that can go wrong.
When listing activities:
-start by constructing a diagram from the initial situation to its single outcome
-find all tasks that can be performed in parallel time frame
Identify existing situation (Starting point)
Identify constraints of objective
List activities to reach goal and potential problems with each activity

48. New Seven Q.C. Tools Process Decisions Program Charts
Slide 5 0f 7
Constructing an PDPC (cont.)
Review list. Add extra activities or problems not thought of previously
Prepare contingency plan for each step and review what action is needed if step is not achieved
Review each bullet point!
Topic: Holding an In-House Training Seminar on the New Seven QC Tools? (Nayatini 35)
When reviewing activities:
-if it is unclear if an item is an action or a result from that action, treat it as an action
-if a sequence of actions starts heading towards an undesirable result, introduce a countermeasure to break path and divert action in another direction
-you may have to loop back and start at the beginning
Examine carefully to check for inconsistencies and all important factors are included

49. New Seven Q.C. Tools Process Decisions Program Charts
Slide 6 0f 7
Constructing an PDPC (cont.)
Examine to make sure all contingency plans are adequate
Next, complete the diagram
Review each bullet point!
Topic: Holding an In-House Training Seminar on the New Seven QC Tools? (Nayatini 35)
When completing the diagram:
-ensure that not too many arrows cross each other
-highlight the most desirable path so that it stands out for the others

50. New Seven Q.C. Tools Process Decisions Program Charts
Slide 7 0f 7
Completing a PDPC
Start
GOAL
YES NO
Review the Chart
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)

51. New Seven Q.C. Tools Matrix Data Analysis
Slide 1 0f 6
Principal Component Analysis
Technique quantifies and arranges data presented in Matrix
Based solely on numerical data
Finds indicators that differentiate and attempt to clarify large amount of information
Matrix Data Analysis is a multivariate analysis technique called 'Principal Component Analysis'. This technique quantifies and arranges data presented in a Matrix Diagram, to find more general indicators that would differentiate and give clarity to large amount of complexly intertwined information. This will help us to visualize properly and get an insight into the situations. (

52. New Seven Q.C. Tools Matrix Data Analysis
Slide 2 0f 6
Advantages of Principal Component Analysis
Can be used in various fields (market surveys, new product planning, process analysis)
Can be when used when Matrix diagram does not give sufficient information
Useful as Prioritization Grid
Review each bullet point!

53. New Seven Q.C. Tools Matrix Data Analysis
Slide 3 0f 6
Constructing a Prioritization Grid
Source: Foster, S., Managing Quality (Upper Saddle River, NJ: Prentice Hall, 2001)
Determine your goal, your alternatives, and criteria for decision
Place selection in order of importance
Apply percentage weight to each option (all weights should add up to 1)
Review each bullet point!
This is an exact example. (Foster 305)
Go over step by step.
Sum individual ratings to establish overall ranking (Divide by number of options for average ranking)

54. New Seven Q.C. Tools Matrix Data Analysis
Slide 4 0f 6
Constructing a Prioritization Grid (cont.)
Rank order each option with respect to criterion (Average the rankings and apply a completed ranking)
Multiply weight by associated rank in Matrix (in example, 4 is best, 1 is worst)
Review each bullet point!
This is an exact example. Go over step by step.
Result is Importance Score
Add up Importance Scores for each option

55. New Seven Q.C. Tools Matrix Data Analysis
Slide 5 0f 6
Constructing a Prioritization Grid (cont.)
Rank order the alternatives according to importance
See completed the diagram
Review each bullet point!
This is an exact example. Go over step by step.

56. New Seven Q.C. Tools Matrix Data Analysis
Slide 6 0f 6
Completing a Prioritization Grid
Review the Chart
Explain that this is a very complex process, but should be used as primarily a prioritizing chart/grid.
Source: Foster, S., Managing Quality (Upper Saddle River, NJ: Prentice Hall, 2001)

57. Review New Seven Q.C. Tools
Affinity Diagrams
Relations Diagrams
Tree Diagrams
Matrix Diagrams
Affinity Diagrams
Relations Diagrams
Tree Diagrams
Matrix Diagrams
Arrow Diagrams
Process Decision Program Charts
Matrix data analysis
Arrow Diagrams
Process Decision Program Charts
Matrix Data Analysis

58. Keys to Successfully Using the New Seven Q.C. Tools
Slide 1 0f 5
Mental Attitudes
- Keen awareness to the actual problem
- Eagerness to solve problem
- Be highly motivated for the challenge
Four Specific Keys
Understand the problem
Select the right tool for the job
Obtain appropriate verbal data
Interpret analytical results
For a TQM culture to exist and flourish, the most important factor to consider is mental attitude. This allows for complete awareness to the problem and an eagerness to solve it. The N7 Tools assist in developing the proper mental attitude. These tools will also motivate the group to meet the challenge.
To use The N7 Tools skillfully, four specific keys and abilities need to be recognized. (Nayatini 117)

59. Keys to Successfully Using the New Seven Q.C. Tools
Slide 2 0f 5
4 Specific Keys
Understand the problem
Stage 1 - problem is unclear and not obvious
what exact issue should be addressed
Stage 2 - problem is obvious, but causes unknown
explore causes and single out valid ones
Stage 3 - problem and causes are known
required action is unknown
strategies and plan must be developed
When solving a problem using the The N7 Tools it is essential to know which stage of the problem-solving process that you have reached.
Which of the tools to use depends on the clarity of the problem. Also can the problem be identified, and if the causes are known and how to eliminate them.
There are three stages to the solution of the of a problem. They are:
Review each bullet point! (Nayatini 121)

60. Keys to Successfully Using the New Seven Q.C. Tools
Slide 3 0f 5
4 Specific Keys (cont.)
Selecting Right tool for the Job
Stage 1 - Collect verbal information on events
(Affinity Diagram)
Stage 2 - Choose tool to identify causes
(Relations Diagram / Matrix Diagram)
Stage 3 - List strategies and activities
(Tree Diagram / Relations Diagram)
Plan actual activities
(Arrow Diagram / PDPC Chart)
Be sure to choose the right tool for the job!
When you know which stage you have reached in the problem solving, the goal will become clear and the right tool will present itself.
With a Stage 1 problem, collect verbal information and use an Affinity Diagram to structure it. You will be able to identify the problem.
With a Stage 2 problem, choose a tool that will enable you to identify its causes. The Relations Diagram is appropriate when complex relationships exist among causes of a single result. The Matrix Diagram is effective when there are many problems or effects and can be related in row/column format.
With a Stage 3 problem, some method is needed to list and plan the activities required to solve the problem. A Tree Diagram can develop key points or strategies to achieve an objective. After the activities for solving the problem are identified, a schedule can be devise for carrying them out. An Arrow Diagram should be used for this. The PDPC can be used to develop and modified for the plan. (Nayatini 124)

61. Keys to Successfully Using the New Seven Q.C. Tools
Slide 4 0f 5
4 Specific Keys (cont.)
Obtaining appropriate verbal data
Three types of verbal data:
- Facts; factual observations expressed in words
- Opinions; factual information colored by opinion
- Ideas; New concepts created by analyzing facts
.Group Discussions:
- Ensures common understanding
- All data should be without bias or distortion
- Data should fit objective of the analysis
When gathering the verbal data, it is best to use a group setting. It ensures total understanding from all participants.
It is also important to distinguish the different types of verbal data. They are:
Review each bullet!
The goal for gathering verbal data by group discussion should include: (Nayatini 124)

62. Keys to Successfully Using the New Seven Q.C. Tools
Slide 5 0f 5
4 Specific Keys (cont.)
Interpreting Analytical Results
Information must be obtained for accomplishing
objectives from:
- Completed diagrams; or
- Process of completing diagrams
Analyze actual information obtained:
- Prepare summarized report with findings,
conclusions, and processes used
- Check if necessary data has been obtained, if not
- Discover the cause and take appropriate action
It is essential to obtain the correct information for accomplishing the objectives.
When using the N7 Tools, never construct a diagram and leave it that way. Always make some type of record of the findings, conclusions drawn, and the exact process used for constructing the diagram. This is especially true with Affinity Diagrams and Relations Diagrams.
Do not forget to check the results of analysis to ensure that you have actually obtained the data you need. If you have not, it is due to insufficient data or unskillful use of the N7 Tools. (Nayatini 126)

63. Practical Application of New Seven Q.C. Tools
Slide 1 0f 5
Example; Relations Diagram
”Abilities Required for Applying New Seven QC Tools”
Complete the following Relations Diagram
- Review notes for clarity
- Get in groups of 4-5 per table (work as a team!)
- Topic - “Using the New Seven QC Tools skillfully”
- “Cause cards”- will be provided (not categorized)
- Arrange cards to complete diagram
(some hints have been provided)
Actual Exercise:
Now it’s your turn to put this information to use!
1 - Take a couple of minutes to review your notes on Relations Diagrams
2 - Get in groups of 4-5 AND you MUST work as a team
3 - Your topic; “Using the New Seven QC Tool Skillfully”
4 - The actual cause cards will be handed out to your team. The card’s statements are not categorized. You will need complete that as a team. Each card will have a letter of the alphabet on the upper right corner. These letters will correspond with final solution.
5- A blank copy of the Relations Diagram will also be provided. A secondary copy will be provided with a few hints to direct you towards your goal.
Good luck!

64. Practical Application of New Seven Q.C. Tools
Slide 2 0f 5
”Abilities Required for Applying New Seven QC Tools”
Primary
Cause
Primary
Cause
Use N7
Skillfully
Primary
Cause
Actual Exercise:
Topic; “Using the New Seven QC Tool Skillfully”
Blank copy of the Relations Diagram.
Primary
Cause
Source: Foster, S., Managing Quality (Upper Saddle River, NJ: Prentice Hall, 2001)

65. Practical Application of New Seven Q.C. Tools
Slide 3 0f 5
”Abilities Required for Applying New Seven QC Tools”
Cause Statements (hints are in yellow)
Actual Exercise:
Topic; “Using the New Seven QC Tool Skillfully”
Actual cause cards with statements and corresponding letter of the alphabet. These letters will correspond with final solution of the Relations Diagram.
Hints for the Relations Diagram are highlighted in yellow.

66. Practical Application of New Seven Q.C. Tools
Slide 4 0f 5
”Abilities Required for Applying New Seven QC Tools” F T
Primary
Cause
Primary
Cause
Use N7
Skillfully B
Actual Exercise:
Topic; “Using the New Seven QC Tool Skillfully”
2nd copy of the Relations Diagram with hints provided. R
Primary
Cause L Y I
Source: Foster, S., Managing Quality (Upper Saddle River, NJ: Prentice Hall, 2001)

67. Practical Application of New Seven Q.C. Tools
Slide 5 0f 5
Solution for ”Abilities Required for Applying New Seven QC Tools” F S U M T E N J
Use N7
Skillfully B C W G
Actual Exercise:
Topic; “Using the New Seven QC Tool Skillfully”
Completed solution of the Relations Diagram. H R P X L Y A Z V I Q O K
Source: Foster, S., Managing Quality (Upper Saddle River, NJ: Prentice Hall, 2001) D

68. Summary New Seven Q.C. Tools
1- Provide Training in Thinking
2- Raise People’s Problem Solving Confidence
3- Increase People’s Ability to Predict Future Events
Benefits of New Seven Q.C. Tools
Review each bullet!
The N7 Tools were created for a complete design approach to promote Total Quality Management. The benefits as well as the roles of the N7 Tools will ensure that a complete Organizational Reform will occur as well as a system-wide Culture of not only “Thinking TQM” but actually “Creating TQM”.
1- Express verbal data diagrammatically
2- Make information visible
3- Organize information intelligibly
4- Clarify overall picture and fine details
5- Get more people involved
Roles of New Seven Q.C. Tools

69. Bibliography
Foster, Thomas. Managing Quality. An Integrative Approach. Upper Saddle River : Prentice Hall,
Nayatani, Yoshingobu, Eiga, Toru, Futami, Ryoji, Miyagawa, Hiroyuki, and Loftus, John. The Seven New QC Tools: Practical Applications for Managers. Tokyo : 3A Corporation,
“TQM: The 9 TQM Tools.” Internet