HO CHI MINH CITY OPEN UNIVERSITY UNIVERSITÉ LIBRE DE BRUXELLES SOLVAY BRUSSELS SCHOOL OF ECONOMICS & MANAGEMENT MBQPM 6 NGUYEN NGOC HIEU USING TQM’S COMMON TOOLS TO IMPROVE QUALITY PERFORMANCE AT GARMENT FACTORY OF CHOISHINS(VINA) MASTER FINAL PROJECT MASTER IN BUSINESS QUALITY & PERFORMANCE MANAGEMENT HO CHI MINH (2018) Tai Lieu Chat Luong HO CHI MINH CITY OPEN UNIVERSITY UNIVERSITÉ LIBRE DE BRUXELLES SOLVAY BRUSSELS SCHOOL OF ECONOMICS & MANAGEMENT MBQPM 6 NGUYEN NGOC HIEU USING TQM’S COMMON TOOLS TO IMPROVE QUALITY PERFORMANCE AT GARMENT FACTORY OF CHOISHINS(VINA) MASTER FINAL PROJECT MASTER IN BUSINESS QUALITY & PERFORMANCE MANAGEMENT HO CHI MINH (2018) STATEMENT OF AUTHENTICATION: This work has not been submitted for a degree or diploma in any University. To the best of my knowledge and belief, the project contains no materials published or written by another person except reference is made in the project itself. Nguyen Ngoc Hieu March 20th,2018 ACKNOWLEDGEMENTS: This projected has been instructed and supervised by Professor Jacques Martin to whom I would like to extend my sincere gratitude for taking time to guide me from beginning to the end of this report. All research, workshops, trial run were carried out at Choishins(Vina) in Tien Giang Province, Viet Nam with the supports of the management and colleagues there.
I would like to thank Mr. Kwon - General Director, Mr. Leo – Merchandise Manager, Mrs. Anita – QA manager and Mr.
Loc – Production Manager for close coordination. I would like to thank my family for their encouragement & support. Academic Tutor and Practical Tutor’s comments: ACCEPTANCE OF FINAL PROJECT REPORT FOR DEFENSE Mr Nguyen Ngoc Hieu’s final project report for degree of Master in Business Quality and Performance Management is official accepted for defense. The Thesis titled “USING TQM’S COMMON TOOLS TO IMPROVE QUALITY PERFORMANCE AT GARMENT FACTORY OF CHOISHINS(VINA)” On ……date…………….
Martin Academic Director Master in Master Business in Quality and Performance Management Solvay Brussels School of Economics and Management – Ho Chi Minh City Open University. TABLE OF CONTENTS: ABSTRACT:. ii BACKGROUND OF THE STUDY:. ii OBJECTIVES OF THE STUDY:.
iii SIGNIFICANCE OF THE STUDY:. iii RESEARCH METHODOLOGY:. iv REPORT OVERVIEW:. v PART I: ASSESSMENT & ANALYSIS CURRENT TQM IMPLEMENTATION STATUS AT CHOISHINS(VINA).
1 CHAPTER 1: INTRODUCTION ABOUT CHOISHINS(VINA):. 3 CHAPTER 2: REVIEW OF THE EXISTING QUALITY SYSTEM AND MANUFACTURING PROCESS IN CHOISHINS(VINA).1Description of Quality System: .2 Quality Management System in factory:.3 Quality Performance Objectives: .4 Total Quality Management System: .5 Environment management system: follow Buyer’s requirement.6 Factory Quality organization chart .7 Internal audit procedures:.2 Introduce about manufacturing flow: .1 Fabric and Trim:.5 Manufacturing flow in finishing section:. 13 CHAPTER 3: ASSESSMENT OF TQM IMPLEMENTATION AT CHOISHINS(VINA) .1 Defining the Quality Management System maturity level:.2 Maturity Diagnostic Instrument Interpretation: .4 TQM practices against TQM ‘s Elements:.1 Quality findings in cutting department: .2 Defect findings from Endline QC: .3 Defect findings from finishing section:. 32 PART II: IMPROVEMENT PLAN.
38 CHAPTER 1: SOURCES OF IMPROVEMENT: .2 Outstanding points of TQM adoption and implementation: .3 Quality Performance pending points:. 39 CHAPTER2: ACTION PLANS.1 Suggested action plans: .2 Implement action plan: .1 Set Up Improvement Committee.3 Conduct training for both management, QC and worker.4 Traffic Light System application in place: .5 Revised inline format.6 Revised Production Quality Tracking Chart: .7 Action taken from Root Cause Analysis of Physical defect.3 Measure the result after implemented: .1 Quality control of incoming material: .2 Quality control of fabric inspection area:.3 Quality control in cutting area: .5 Comparison about Quality Performance Effectiveness.6 Non-Conformance performance tracking: .7 Operator Skill Improvement: .8 TQM knowledge of the teams:. 67 LIST OF FIGURES: Figure 1 Choishins(Vina) front view. 1 Figure 2 Items factory producing.
3 Figure 3 Factory Organization Chart. 4 Figure 4 : QA organization chart. 6 Figure 5: Internal audit flows. 6 Figure 6: Factory quality flow chart which is updated on May 22nd ,2017.
8 Figure 7: Cutting section flows. 10 Figure 8: Sewing Flows. 12 Figure 9: quality control flows in sewing line. 13 Figure 10: manufacturing flows in Finishing section.
14 Figure 11: Illustration of six-level categorization model of Dale and Lascelles (1997). 16 Figure 12: Fish Bone Analysis of cutting defects. 25 Figure 13 Pareto chart for endline QC defects. 28 Figure 14: fish bone analysis for puckering defect.
29 Figure 15: fish bone analysis for roping defect. 29 Figure 16: fish bone analysis for Broken Stitch defect. 30 Figure 17: fish bone analysis for stains defect. 30 Figure 18: Pareto chart of Finishing section.
34 Figure 19: Cause and Effect Diagram of Poor Trimming. 35 Figure 20: Cause and Effect Diagram of Unstable Measurement. 35 Figure 21: Cause and Effect Diagram of Oil Stains. 36 Figure 22: Cause and Effect Diagram of Poor Pressing.
36 Figure 23: defect rate chart among the sections in factory. 40 Figure 24: Backlog issue in between sections. 40 Figure 25: Performance Improvement Consultative Committee. 42 Figure 26: Performance Committee weekly meeting.
43 Figure 27: training again for all QC staffs. 44 Figure 28 Training about QC tools usage for all supervisors. 44 Figure 29: Traffic Light System Implementation. 46 Figure 30: Apply Static chart for all operation.
47 Figure 31: New statistical inline QC format application. 48 Figure 32: Apply Operator’s Quality Graph. 49 Figure 33: Suggested form for QA audit defect analysis with goal. 50 Figure 34: Lab Room SOP.
51 Figure 35 Revised sewing line layout. 56 Figure 36: Standardize FQA audit SOP. 57 Figure 37 Updated incentive scheme. 58 Figure 38: changed fabric relaxation method.
59 Figure 39: Apply fabric defect library for inspector’s references. 59 Figure 40: Improvement Achievement of Cutting Section. 60 Figure 41: Eliminated Backlog in between sections. 61 Figure 42: Merged finishing to sewing line.
61 Figure 43: defect rate comparison after improvement. 62 Figure 44: Non-conformation result from DC audit of before and after improvement. 63 Figure 45: Employee Performance Summary. 64 Figure 46:Maturity level improvement.
65 Figure 47: Maturity score comparison. 66 LIST OF TABLES: Table 1: Pre-final QA name list. 15 Table 2: Maturity assessment table. 21 Table 3: Maturity assessment score table of Choishins(Vina).
22 Table 4: TQM practices against TQM ‘s Elements. 24 Table 5: defect findings table in cutting section. 25 Table 6: Five Whys Analysis for cutting defects. 26 Table 7: defect findings table in sewing section.
27 Table 8: Five Whys analysis for puckering defect. 31 Table 9: Five Whys analysis for broken stitches defect. 31 Table 10: Five Whys analysis for roping defect. 32 Table 11: Five Whys analysis for Stains defect.
32 Table 12: Defect findings in Finishing section. 34 Table 13: Five Whys table for Unstable Measurement issue. 37 Table 14: Five Whys table for Poor Trimming defect. 37 Table 15: Five Whys table for Poor Ironing defect.
38 Table 16: Improvement plan. 42 Table 17: Improvement plan for cutting section. 52 Table 18: Acceptable Quality Level table for cutting quality checking. 54 Table 19: Improvement plan for sewing section.
55 Table 20: TQM improvements achieved. 64 ABSTRACT: The Business environment of Apparel Industry is getting very tough recently. Many apparel brands were being closed such as Gymboree, Limited, Guess because they can’t attain their customer’s loyalty. Company tries to cut cost, competition between fashion companies is being hot than ever and the demand for higher quality with low price is increasing.
And as an Agent QA, we are paid by customers to work with suppliers to deliver the right quality of goods to them. As a cost center for customer, how are we still survived in this context? The right answer is to try at our best to work closely with manufacturers to improve the overall quality performance, try to do right first time, deliver the right products to our customers. My thesis will discuss about the quality improvement in a fashion garment manufacturer through practical study. The paper deals with an application of methodology in an industry which provides a framework to identify, quantify and eliminate sources of variation in an operational process, to optimize the operation variables, improve and sustain process performance with well-executed control plans.
The application of this paper improves the process performance of the critical operational process, leading to better utilization of resources, decreases variations & maintains consistent quality of the process output. The consequence of my report is to prove that factory can achieve higher quality performance and enhance customer satisfaction by minimizing reworks activities through proper utilization of company's internal resources without the need of significant investment. i INTRODUCTION Quality has become one of the most important decision-making factors for customer purchasing product. Many companies invested a consider amount of human resources, capital and time to build the right quality system.
However, in many cases, quality system and improvement models, method and tools are poorly deployed and led too many frustrated issue for company. Therefore, a smart garment manufacturer will not underestimate the significance of quality for his business. Garment manufacturing is a complex industry for many reasons. The product is manually operated, limited knowledge of the workforce, less data analysis to know where is the root causes.
So how to utilize Total Quality Management (TQM) tools in managing quality performance in existing sections is the headache challenges to the Middle Management in factory. To support factory in handling and utilize effectively TQM tools, I here introduce and apply again its tools in specific control activities to improve and maintain the quality performance in each section of the factory. BACKGROUND OF THE STUDY: Business environment context of fashion industry is changing rapidly, order quantity is getting smaller, style quantity is increasing. It requires both Li & Fung staff and factory have to be adapted with this scenario flexibly.
More than that, an Agent’s QA, who is responsible for quality assurance of all shipments delivering to our customers, needed to persuade factory to look into their current system and flows to see where they are, then consolidate and improve immediately the pending gaps to consistently provide the good products to our customer. And standing in between customer and supplier’s quality performance, I always try to work with our QAs and suppliers to deliver the goods to our existing customers with acceptable quality and reasonable price. Choishins(Vina) is one of my in-charge factory and its performance is not good enough and there are reports of customer receiving goods with quality issues. Delivery performance also not at that good, merchandise only completed at the last minutes and factory even doesn’t have enough time to conduct pre-final in prior of agent’s QA audit.
Sometimes we face with difficult situation because of final audit failed and the goods can’t meet handover date. We can’t continue like this way as it doesn’t enhance our customer satisfaction at all and it is important to convince factory management to change. ii However, the culture “Fear of Change” is being existed in the mind of the stakeholder from my in-charge factory. I should prove to them that by seriously applying TQM tools in inspection, production processes and TQM knowledge training, we can increase accuracy of operation handling and inspection.
Then we will overcome current unexpected performance and enhance our customer satisfaction. OBJECTIVES OF THE STUDY: The objective of this study is to find out how we can improve effectively the quality of garments by implementing TQM tools (Check sheet, Pareto analysis, Process flow chart, Cause-Effect diagram). Setting more positive TQM environment in between the teams. The main possible consequences of this study are: - Improve TQM knowledge of the teams.
- Reduce non-value-added works from process. -Quality performance can be improved by solving the problems behind poor quality. - Productivity can be improved by reducing rework.