For discussion

1. Explain the issues faced by NTPC in its maintenance department.

NTPC works with over 100,000 components to perform efficiently all through the year. Since
there are a lot of components, there are a lot of people who constantly perform
maintenance activities all year round. Since there is no lack of personnel, the maintenance is
regular and many equipment reliabilities issues have become ‘expected’ maintenance, even
though they could be avoided altogether.
2. What were the steps taken for reliability of equipment.
The very important step taken by NTPC to check the reliability of equipment was to conduct
a Pareto analysis. This analysis is used to identify and categorize the components as “vital
few” and “trivial many”. The “vital few” contributes the most to the plant maintenance
whereas the “trivial many” might be large in number but have the least contribution.
In the analysis, it was found that the greatest number of work requests was for the isolation
valve and the least for the breaker.
3. Enumerate the benefits derived by NTPC by using Pareto Analysis for reliability
improvement
The analysis was further conducted in detail for the fans and valves. Out of the 58 models of
fans, it was seen that 8 of them made up for 50% of the fan maintenance work. On further
investigation, it was found that with a single change in the maintenance activity, the life of
the fans increased up to 12 to 15 years which reduced the maintenance cost by Rs.
21,900,000.
Similarly, a detailed analysis was conducted for the isolation valves and an addition of a
component reduced the maintenance cost by Rs. 68,000,000.

Short answer questions

1. Name the seven QC tools
The seven QC tools include the following: check sheets, graphs (trend analysis), histograms, Pareto
charts, cause-and-effect diagrams, scatter diagrams and control charts.

2. Provide an application each for

(a) Pareto Chart
You can use the Pareto chart to analyse task lists and prioritize the few important ones that
will have the most significant results. You can also prioritize and allocate more time to the
20 percent that are longer to complete over the remaining 80 percent. When assessing risks,
look at the 20 percent with the highest negative impacts and prepare better for them.
(b) Cause-and-effect diagram
The cause-and-effect diagram is a method for analysing process dispersion. The diagram's
purpose is to relate causes and effects. Three basic types: Dispersion analysis, Process
classification and cause enumeration. Effect = problem to be resolved, opportunity to be
grasped, result to be achieved
(c) Check sheet
The check sheet is a simple and effective way to display data. It is a good first step in
understanding the nature of the problem as it provides a uniform data collection tool. It is
very useful to help distinguish opinions from facts in the Define and Measure phase of the
Lean Six Sigma DMAIC framework.
(d) Histogram
Histograms help in displaying a large amount of data graphically, that is difficult to be put
into tabular form. It makes it easier to display data that are of various types and
frequencies. It is useful for the visualization of the distribution of data. With the use of a
histogram, the median, distribution, and variations in data can be found out.
(e) Scatter diagram
Scatter plots' primary uses are to observe and show relationships between two numeric
variables. The dots in a scatter plot not only report the values of individual data points, but
also patterns when the data are taken as a whole. A scatter plot can also be useful for
identifying other patterns in data.
(f) Control charts
The objective of the control chart is to find any "special" causes of variation as well as to
reflect the process improvements that have been made. Again, to effectively use control
charts, you must understand the information in variation.
3. Name the new seven QC tools
The new seven QC tools include the following: affinity diagram, relations diagram, systematic or
tree diagram, matrix diagram, matrix data analysis, grow diagram, process decision program
chart (PDPC)
4. Write one application for each
(a) Affinity diagram
The purpose of an affinity diagram is to generate, organize, and consolidate information
concerning a product, process, complex issue, or problem. Constructing an affinity diagram
is a creative process that expresses ideas without quantifying them.
The affinity diagram helps a group to develop its own system of thought about a complex
issue or problem. A group can use an affinity diagram at any stage where it needs to
generate and organize a large amount of information. For example, members of a
leadership team may use the diagram during strategic planning to organize their thoughts
and ideas. Alternatively, an improvement team can use the diagram to analyse the common
causes of variation in its project. The diagram is flexible in its application and is easy to use.
(b) Relations diagram
The Relations Diagram is a pictorial tool that helps identify the most important or root
causes of a complex problem. It helps you study the relationships among aspects of the
problem. By identifying the relationship, a team knows where to direct their efforts.
(c) Systematic or tree diagram
A tree diagram is a tool in the fields of general mathematics, probability, and statistics that
helps calculate the number of possible outcomes of an event or problem, and to cite those
potential outcomes in an organized way.

(d) Matrix diagram

Use the matrix diagram to discover the strength of relationships between a grid of rows and
columns indicated by a number or symbol in the cell. A great example of this is the House of
Quality in a Quality Functional Design (QFD).
(e) Matrix data analysis
Purpose. The purpose of matrix data analysis diagram is to present numerical data about
two sets of factors in a matrix form and analyse it to get numerical output. The factors most
often are products and product characteristics.

Match the following

a. Pareto analysis – vital few and trivial many
b. Check sheets – fundamental tool of SPC
c. Cause-and-effect diagram – Fishbone diagram
d. Histogram – A specialised type of bar chart
e. Scatter diagram – Relationship between two variables
f. Control charts – presents information in a graphical form

Discussion Questions
1. List the various tools that can be utilized for problem solving and situation analysis in
the realm of TQM. Which of these tools are quantitative?
These QC tools are available in the realm of TQM: check sheets, graphs (trend analysis), histograms,
Pareto charts, cause-and-effect diagrams, scatter diagrams and control charts, affinity diagram,
relations diagram, systematic or tree diagram, matrix diagram, matrix data analysis, grow
diagram, process decision program chart (PDPC)
The quantitative tools amongst these are: control chart, scatter diagram, pareto chart, run
charts, histogram.

2. How do you interpret control charts? Explain the different causes for out-of-control
indicators.
The following rules can be used to properly interpret control charts:
a. One point beyond the 3 σ control limit
b. Eight or more points on one side of the centerline without crossing
c. Four out of five points in zone B or beyond
d. Six points or more in a row steadily increasing or decreasing
e. Two out of three points in zone A
f. 14 points in a row alternating up and down
g. Any noticeable/predictable pattern, cycle, or trend
When points on a control chart move outside the upper or lower control limit, the process is
said to be “out of control.” As long as the points are within control limits, the process is “in
control.” But, what does an out-of-control process indicate?
3. What is a histogram? What are the various types of histograms?
A histogram is the graphical representation of data where data is grouped into continuous
number ranges and each range corresponds to a vertical bar. The horizontal axis displays the
number range. The vertical axis (frequency) represents the amount of data that is present in
each range.
Types of histograms are: normal, bimodal, right-skewed, left-skewed and random
distribution histogram.