Problem Definition

The fundamental problem is management. Senior management lacks the policies and

visible support of a quality philosophy such as following a ISO 9000 Quality System.

Even though they have recently appointed Hank Kolb to oversee their quality program,

which is a move in the right direction, there is still a lack of visible senior management

support for quality.

The fundamental problem shows up in a number of symptoms such as putting schedule

and market share above quality and safety. It also shows up as a poor attitude about

quality. Quality is viewed as an add on, inspected in, and is an impedance to doing their

job. Proper training is not viewed as a prerequisite to start a job which leads to

unqualified people performing processes.

This fundamental problem also creates an entire host of other problems. These

problems, as stated in the case study, include: lack of purchasing, design, and testing

processes, inspections that are after the fact with out in-process controls or feed back

loops. It also leads to a lack of product tractability, quality maintenance records of the

equipment so improvement or stabilization data is not available. Designs are made on

hunches - there is no decisions based on facts and data.

Problem Justification

Personnel had stated that the operator had just be transferred in without any formal

training and the on-the-job training was by an unqualified person shows proper training

is not viewed as a prerequisite to start a job which leads to unqualified people

performing processes.

The operator was not around when the QC manager did the testing demonstrates

inspections that are after the fact with out in-process controls or feed back loops.

The case states that there was no scheduled or preventive maintenance and they had

recently had 12 work orders to adjust or fix a machine that was being used for

something that it was not designed to do. This shows a lack of product tractability, lack

of quality maintenance records of the equipment so improvements can be made.

The plastic nozzles were a rush order, the heads had burrs on the inside rim and they

just increased the application pressure to make them fit. This shows that schedule and

market share above quality and safety. It also shows a poor attitude about quality and

that quality is viewed as an add on, is inspected in, and is an impedance to doing their

job.
There solution to deal with the suppler of the substandard parts was to talk with the

sales person the next time they came in shows a lack of good purchasing processes .

Marketing drove the design and the cans were not designed for manufacturing also

shows up as a poor attitude about quality and a lack of good design processes.

The designed was pressed into manufacturing without testing the effect of the contour,

shows a lack of testing processes and that they put schedule over quality and safety.

Kolb had a hunch what the problem might be but the designer did not feel that should

be a problem, demonstrates that designs are made on hunches - there is no decisions

based on facts and data .

Statements like “even if it is a little off spec was tolerable, we need market share now”

shows a poor quality attitude and the schedule is more important.

The inspector had used only a sample of testing to find the eight rejected cases but had

no way of tracking where they had gone shows a lack of in-process controls and a lack

of product tractability.

Last, the fact that Hank was sent down to this plant with out any real visible support and

was viewed as just another director without any more authority shows a lack of senior

management support for a quality philosophy. In short, management is the problem.

List of Alternative Courses of Action

1. They could do nothing and continue to focus on getting the product out the door.

1. They could do nothing and continue to focus on getting the product out the door until

the demand stabilized the figure out what the best course of action would be.

1. They could perform a make/buy analysis to determine if they should off-load the

production to another company.

1. They could focus on the equipment with full time maintenance staff to keep the

machine up and running properly.

1. They could start collecting data on why and how the machine breaks down.

1. They can implement better design, manufacturing, and testing processes along with

ensuring training is a requirement to operate any process.

1. They can start to design for manufacturing and use facts to guide there decisions.
1. They can analyze if this product fits strategically with their company’s goals and

objectives.

1. They can do a cost/benefit analysis to see if they should invest in better machines.

1. They could start with senior management to manage the company by a visible

quality philosophy and take a long term view of their company where they empower

the Quality director to institute quality programs that infiltrate the attitudes of all

employees across the company.

Evaluation of Alternatives

Alternatives 1, while it may get product out the door it is not currently meeting the

market demand and does little, if any thing, to solve the problems.

Alternative 2 does not resolve the quality problems in the short run, only gives the

illusion that improvements will come in the future, and fails to put any plans in place to

make improvements or solve the problems.

Alternative 3 is a good thing to consider because it could provide an opportunity to

remove the problem and provide a quality product in the quantities needed. However, it

does take time to perform the investigation and analysis that does not solve the short

term problems. One must also be careful that the selected supplier has the quality
systems in place and the off-loading of the work is not viewed negatively by the

employees.

Alternative 4 is a good start but one would have to question if they need a full time staff

to do it or if a system could be set up that required a staff as needed.

Alternative 5 is also good but one needs to focus on the decisions they want to make

then design the data collection based on the required decisions.

Alternatives 6, 7, and 9, are good steps in the right direction but take time to do right.

Alternatives 8 and 10 are the foundation to starting to solve the fundamental problems.

Recommendations

Hank should engage senior management to provide visible support for a quality

philosophy that will change the attitudes across the company. Then Hank needs to start

an awareness campaign that will allow people to understand the cost of poor quality and

the value of good quality processes as part of this management support.

Hank then needs to focus on short run to get things under control. He should start

collecting data on why and how the machine breaks down with a minimal staff required

to keep the machines running.

Once that is done he should work with senior management to verify if this product is a

good fit with the companies goals and objectives and perform a make/buy analysis.

Last, Hank should focus on the implementing a quality system such as ISO 9000 where

they develop policies and processes for purchasing, design, and testing.