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May 31, 2020

Summary Report for Tip Top Markets

Dear Karen Martin,

Per your request, after reviewing the number of complaints and type of complaints reported by
your store, Tip Top Market, we have organized and compiled your data to best describe the on-
going situation. We have divided all the 184 complaints into eleven categories, which are as
follows:

 Perishable products /past expiration date


 Inventory of products
 Customer service
 Interior/Exterior Maintenance/ Cleanliness
 Overcharged/undercharged
 Store layout
 Store atmosphere
 Damaged products
 Product selection
 Mislabeled products
 Un-related to store

These categories allowed us to divide the complaints and place them where they most accurately
fit general descriptions. If you refer to the diagram below, I have put together a check sheet
based on the dates you obtained and tallied up the reported complaints.

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Pareto Diagram Analysis:

Based on our observations, it looks like your store specifically is suffering in the ‘Inventory of
Products’ category. By ‘Inventory of Products’, we specifically are referring to the products not
available for purchase at the time a customer was present and wanting to purchase said product.
The inventory category was comprised of 61 total complaints, which accounted for
approximately 33% of the overall complaints reported. Three additional categories had a
complaint range between 10% to 12% of the overall complaints; these categories include the
‘Perishable Product past Expiration Date’ category, ‘Customer Service’ category, and the
‘Interior/Exterior Maintenance and Cleanliness Category’.

If you refer to the diagram below, I have a conducted a Pareto diagram that ranks the categories
from highest to lowest. Note: Inventory of Products is the most common source of defect.

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Run Chart Analysis:

It was reported that on July 15th, changes were implemented to reduce the out-of-stock
complaints, improve store maintenance, and reduce checkout lines/pricing problems. But after
conducting a review of the run chart, the changes that were implemented resulted in positive
change in customer service and payment charging issues, but regressive change was observed in
maintenance and cleanliness issues. Conversely, the run chart reads the trends increasing even
more. The data suggests that the issues regarding the Perishable items and expirations dates were
addressed, but as a result, because these were taken off the shelves, it affected the inventory.
Now when the customers are present, the stock was reduced.

If you review the run chart below before and after the July 15th date, the ‘product inventory’
trends upward toward the noted date, however, drastically spikes upward following July 15th.

This study source was downloaded by 100000857231639 from CourseHero.com on 11-27-2022 01:58:04 GMT -06:00

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Cause and Effect Analysis:

The Cause and Effect analysis that was constructed, is based on the Inventory Products. The
Inventory Product was the leading category in the Pareto diagram as mentioned previously. The
Cause and Effect analysis states that the Tip Top Market acquires “X” amount of products to sell
to customers. The store acquires too much inventory and the products start to go bad/expire. Due
to this, customers start to complain about the products they purchased. As the customers
complain, the store starts to take action and remove all products that are expired/no good. As a
result, the Tip Top Market customers complain of insufficient amount of desired products.

Cause and Effect

TIP TOP MARKET TIP TOP MARKET


TIP TOP
acquires X amount of customers report
MARKET acquires too
product to sell to complaints of expired
much inventory
customers. products purchased.
and/or products go

TIP TOP MARKET TIP TOP MARKET


customers complain reduces product
of insufficient ordered and/or
amount of desired removes expired/bad
product. product.

Discussion and Concluding Remarks:

Tip Top Markets received a total of 184 complaints. Initially, the store had issues with the
Perishable items and expirations dates. After they were addressed and were taken off the shelves,
it affected the inventory. The inventory showed that approximately 33% of the complaints were
referring to the products not available for purchase at the time a customer was present and
wanting to purchase said product. As a result, it is recommended that the Tip Top Market should
continue keeping up with the Perishable items and expirations dates but also restocking what is
thrown out. This will drastically reduce the amount of complaints and keep all products edible
and available for customers while shopping.

This study source was downloaded by 100000857231639 from CourseHero.com on 11-27-2022 01:58:04 GMT -06:00

https://www.coursehero.com/file/64041670/Tip-Top-Market-case-studydocx/
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It should also be noted that positive changes were observed regarding payment issues and
customer service issues; however, maintenance/cleanliness issues worsened and need to be
addressed.

This study source was downloaded by 100000857231639 from CourseHero.com on 11-27-2022 01:58:04 GMT -06:00

https://www.coursehero.com/file/64041670/Tip-Top-Market-case-studydocx/
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