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A validation Study of House of Quality key performance indicators Figure - 6 Kano’s model (ReVelle et al, 1998) The Kano model suggests that only satisfying the basic and performance needs of the customer may not be enough. In highly competitive markets it can be important for organizations to create product or service attributes targeted at exciting and over-satisfying them (Tan et al 2001). Shen et al. (2000) discussed that the Kano model shows that attributes which had once been attractive, become one- dimensional over time because people get used to their availability. Over time these attributes become taken for granted and will fall into the category of basic needs of the customer. Therefore timely development and introduction of products or services with innovative and novel attributes will be important in a highly competitive market. There are many different methods available for gathering the qualitative data about the customer needs; reactive and proactive methods and different types of interviews. One-on-one intervieuws and focus groups are proved to be effective methods (Griffin and Hauser, 1993). After analyzing the qualitative data, for example by using an affinity diagram, the data is ready for quantification. A reliable method for quantifying is a well-designed survey (Cohen 1995 p294). When constructing a survey it is important to pay attention to the selection of an approriate sample size, to ensure an adequate respons and clear readability of the survey to avoid amiquity bias. Griffin and Hauser (1993) stated that a self-selection bias might be present in standerd customer satisfaction data collected by the organization itself. Not all needs have the same priority to the customers. Some customer needs have higher priorities than other needs. The organization will use these priorities to make decisions which balance the cost of fulfilling these needs with the desirability (to the customers) of fulfilling that needs (Griffin and 38

A validation Study of House of Quality key performance indicators Hauser 1993). In literature the importance of the WHAT’S are mostly positioned at the the right side of the House of Quality. Recent studies discussed the House of Quality with the importancies of the WHAT’S positioned at the left, next to the WHAT’s. To our opinion this is the right position because the importancies are strongly related to the WHAT’S and provide a better and more clear understanding of the House of Quality when positioned right next to the needs to which they belong. Through a validation study, or an analysis of a statistically reliable sample of respondents a test is performed to distinguish between the abolute important and less significant needs. This test used a five point Likertscale to measure an importance ranking; where number five represents the most important and number 1 the least important. Planning matrix (WHY’S) Whereas the left side of the HOQ, the WHAT’S, consists qualitative data about the customer needs, the right side consists of quantitative data about the customer needs. This part of the House of Quality is also called the Planning Matrix. The planning matrix contains a series of collums that represent key strategic product or service planning information. The data placed in this matrix allows the organization to make stategic decisions about the products of services they are planning. Some examples are; competitive satisfaction performance, sales points, goals and in some cases an overall weighting of the total collums of the planning matrix. Technical Response (HOW’S) As discussed, the first two parts of the House of Quality collect and analize information about the customer needs (WHAT’s). The next section of the House of Quality, the Technical Response, will transform these needs in technical measures; also called the HOW’S. This is the orange part in the middle of Figure - 5. According to Chan et al (2002) HOW’s are methods, company measures, design requirements, substitute quality characteristics, and engineering characteristics, which can be related to and measure the customer needs (WHAT’S). The American Supplier institute (1994) stated that good HOW’s must be measurable, global and proactive. Relationship matrix The relationship matrix is the center of the House of Quality. The relationship matrix identifies the strengths of the relationships between the customer needs (WHAT’S) and the technical requirements (HOW’S) and therefore is a vital part and the heart of the House of Quality. The strenght of the relationship is also called the impact of each HOW on a specific WHAT. Usually the following four relationship levels can be distinquished: no relationship, weak/possible relationship, medium/moderate relationship, and strong relationship. A symbol representing these ratings will be entered into the two-dimensional matrix. 39

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