CTQ-Process-For-Dash.. - ASQ Section 702

CTQ Process for
Dashboard Metrics
Kandy Senthilmaran
Six Sigma Master Black Belt
PMP,CSQA,CIISA,ITIL Fndts
Director – Process Center of Excellence
CSC – Application and Technology Services

CTQ Process for Dashboard Metrics
Dashboard Metrics - > > >
SIPOC VOC CTQ

CTQ Process for Dashboard Metrics
The steps for identifying the right dashboard metrics
WHO are your CUSTOMER(S)
WHAT do they need
How do you quantify their need
HOW much do they need

WHO are your CUSTOMER (S)
Identify and
prioritize customers
Decide what
information is
important to describe
their needs
Decide when and
how to get this
information
Use customer
segmentation to
understand the gap
between where we
are and where the
customer needs the
process and
outcomes to be
(differences)
WHO are your CUSTOMER(S)
WHAT do they need
HOW do you quantify their need
HOW much do they need

How Do Customer CTS’s Relate To The Y=f(x) Of
Our Processes
X 1
X 2
Process
Y
X 3
(VOP)
Voice of the
Customer (VOC)
X n
Process Input
Variables
(PIV)
Process Output
Variables
(POV)
Critical To Satisfaction
(CTS)
CTC CTQ CTD
Manage the INPUTS and good OUTPUTS will
follow that satisfy the customers
5

SIPOC Form
S I P O C
Suppliers Inputs Process Outputs Customers
(Providers of the
required resources)
(Resources
required by the
process)
( Top level
description of
activity)
(Deliverables from
the process)
(Anyone who
receives a
deliverable from the
process)

Data Collection
Systems
•Reactive
•Proactive
WHO are your CUSTOMER(S)
WHAT do they need
HOW do you quantify their need
HOW much do they need

Reactive and proactive
systems Contd..
Reactive systems gather information automatically
Customer complaints (phone or written)
Problem or service hot lines
Technical support calls
Customer service calls
Claims, credits, contested payments
Proactive systems must be designed to gather information
Interviews
Focus groups
Surveys
Comment cards
Data gathering during sales visits or calls
Direct customer observation
Market research, market monitoring

Analyze Data
Generate key
customer needs
Group and
summarize data
WHO are your CUSTOMER(S)
WHAT do they need
HOW do you quantify their need
HOW much do they need

Affinity Diagrams
An Affinity Diagram
is a tool that organizes
language data into related
groups.
Encourages “breakthrough” thinking
Can identify patterns in mountains
of data
Allows compartmentalization of
large volume of language data
Organizes ideas, issues, opinions
Encourages ownership of results by
associating data
Timeliness
Need 1 Need 2
Accuracy
Need 3 Need 4
Need 5
Need 6
Need 7
Need 8

Must be characteristics are
generally taken for granted—
unless they are absent!
Customers generally discuss
or bring up issues related to
More Is Better characteristics.
Delighters are generally
not mentioned, since
customers are not dissatisfied
with their absence.
Delight
Neutral
Dissatisfaction
Delighters
Resigned
to Reality
Pleased
Must Be
Not
Pleased
Taken for
Granted
Absent
Degree of
Achievement
Fulfilled
Customer Satisfaction
The Kano Model and VOC

Develop CTQ
Make generic VOC
into specific CTQs
Drive to the level
which touches the
raw data.
WHO are your CUSTOMER(S)
WHAT do they need
HOW do you quantify their need
HOW much do they need

Translating the VOC to CTQ
Supplier
Do
Delivery
(CTD) Cycle Time
Price
(CTC) Cost
Quality
(CTQ) Defects
Need
Customer

CTQ Characteristics
A useful Critical to Quality requirement – CTQ - will have the following
characteristics:
It is truly critical to the customer’s perception of quality.
It can be measured.
A specification can be set to tell whether or not the CTQ has been
achieved.

Steps to Constructing a CTQ
Gather (sorted or stratified) customer / business needs
List major customer needs on the left side of the CTQ Tree
View each need from the customer point of view by asking
specifically “What would that mean” from the customer
standpoint. Each answer becomes a driver for the CTQs.
Continue with each driver until you reach a level where it
would be absurd to continue. (Your answers at this level are
the CTQs)
Select CTQs that will have the greatest positive impact on
the customer

CTx Tree Contd..
Relating CTS’s To Process Outputs and Inputs
Customer
Satisfaction
Need
Quality Delivery
Price
Do
Defects Cycle time
Cost
CTQ1-Critical to Quality
CTD-Critical to Delivery
CTC-Critical to Cost
CTQ2
CTQ3
Processes
CTP1-Critical to Process
CTP2

CTx Tree contd..
Business Process CTx Tree
Payroll checks on time
Quality
CTQ
Delivery
CTD
Cost
CTC
CTQ
Correct amount
CTQ CTQ
Accurate name
CTC
Processed efficiently
CTC CTC
CTD
Deposited in account
CTD
On time
CTD

CTQ Tree :Example
Need Drivers CTQs
Low qualification of operator
Operation
Easy to setup
(training / documentation)
Digital Control
Ease of Operation
and Maintenance
Maintenance
MTBF*
Mistake Proofing
Skills and Knowledge
Modification
Mistake Proofing
Documentation
Minimum special tools /
equipment required
General Specific
Hard to measure Easy to measure
* Mean Time Between Failures

CTQ Specifications
Customer needs
should be the basis
for setting
specifications
Performance
capability can also be
used for setting
targets
WHO are your CUSTOMER(S)
WHAT do they need
How do you quantify their need
HOW much do they need

Specification comes from Customer
requirements
Can be defined based on
organizational goals
Can be defined based on Process
performance capability
Can be defined based on Industry
benchmarks
100
75
50
25
0
Set specification
here
0 5 10 15 20 25 30
Time (secs)
100%
66° 67° 68° 69° 69° 70° 71° 72° 73° 74° 75° 76°
temperature (°F)
% satisfied
% satisfied
CTQ Specifications contd..
Set lower
specification here
Set upper
specification here
0%

IT Metrics Program

Software Metrics
Measurement Theory
Measurement is the process by which
numbers or symbols are assigned to
attributes of entities in the real world
Metrics
The continuous application of measurement-based techniques to the
software process and its products to provide meaningful and timely
management information, along with the use of techniques to improve
that process and its products.
It’s a derived Measure
Metrics may help us Understand, Evaluate, Control and Predict
performance of software products, process and services

The Right Metrics for the organization
Avoid analysis paralysis: too many measures from all of the possible
software entities and all possible attributes that can be measured.
Random selection of metrics will not likely turn up anything of value (by
Watts Humphrey)
5W’s of measurement:
What should I measure – Size, Effort, Time, Cost, Quality, Status;
and what are the goals for measurement
Why am I measuring
Where (in the organization and the process) should measures be
taken
When should measures be taken
Who needs to be involved

Business and IT Goals
Common Business Goals
Improve the overall Revenue
Improve Operating Margins
Ensure business continuity and disaster
recovery
Offer Competitive Products and Services
– Building the Brand Value
High Compliance with external Laws an
Regulations
Align &
Support
Improve ROI - Better value to share
holders
Improve Market Capitalization
Improve Customer Base
Improve Customer Satisfaction –
Better value for the cost
Common IT Goals
Improve Service Quality -Deliver timely, effective and shared solutions to
business requirements through teamwork.
Improve Accessibility - Provide the business and end users with
convenient access to appropriate information and services through
technology.
Innovation and Transformation - Provide vision, leadership, and a
framework for evaluating emerging technologies and implementing proven
information technology solutions.
Better Communication and Visibility - Providing a reliable communication
and computer infrastructure foundation for conducting an efficient business
operations today and in the future.
Effectively communicate information about plans, projects, and
achievements to the business.
Improve Work Force Environment -Develop and retain technically skilled
staff to assist the business.
Improve Operational Efficiency - Ensure effective technical and fiscal
management of the Department's operations, resources, technology
projects.
Security and Compliance - Maintain high level of data security and
compliance to internal and external standards

First Level SIPOC
Business Requirements
Business Strategy plan.
Market Drives
Technology Changes
Inputs
Processes
Software Development
Application Maintenance
Infrastructure Services
Vendor Package Implementation
Internal Customers
Customer B is Customer
A’s internal customer.
Software
Infrastructures
Maintenance Services
Outputs
•Those who receive/use the
product/service
•Those affected by the use of
the product/service
•Those who have a stake in the
product/service success or
failure
Vendors
Business
Internal
Customers

CTQ Alignment
Voice of the Customer ,
Market demands
Aligned
Business Strategy , Vision
Mission
Goals and
Objectives
Critical components / characteristics to meet the objectives ( CTQ)
How to measure the characteristics of CTQ ( Measurements)
Establishing common tool for comparison ( Metrics)
Source for Internal and External Benchmarking

CTQ Tree - Example

Measurement System
Analysis (MSA)

MSA Overview
A Measurement Systems Analysis (MSA) evaluates the entire process of
obtaining measurements to ensure the integrity of data used for analysis
and to understand the implications of measurement error for decisions
made about a product or process.
MSA Considerations
Selecting the correct measurement and approach
Assessing the measuring device
Assessing procedures & operators
Assessing any dependency and influence of other measurements

Data Analysis &
Reporting

Analysis and Reporting Steps
Identifying data points
Perform data collection
Perform data validation
Apply statistical techniques for analysis
Develop Reports
Review with customers (Internal or External)
Establish AS-IS benchmark
Communicate the AS-IS benchmark to organization

Data Requirement
Sufficient data is available to confirm that the results and
trends you see are real
Representative of the full range of process conditions or
problems are seen in the data
Contextual to give you a complete picture of what is
happening throughout the entire process
Relevant to be able to help you understand or pinpoint your
problem

Data Analysis and Reporting problems
Insufficient data to base reliable conclusions.
Irrelevant data that does not help you understand or solve
the targeted problem
Biased data that represents only certain views or processes
of the problem
Isolated data is when you only collect one view of the
process or problem

Data Analysis

Metrics Reporting
Sample Reporting

Data Analysis and Reporting Automation
Tools and
Techniques
Manual data
from Projects
and operations

QUESTIONS
Kandy Senthilmaran
Director - Process Center of Excellence
KSenthilmara@csc.com
517-290-6663
Thank you.