Mg 375 - Operations and Supply Chain Management

MG375 WK4 homework

Chapter 7 Problem 5 (pg 235)

Worker Skill

Low CCS Business - The direct workforce only needs to have a few technical skills

High CCS Business - The direct workforce represents a large part of the service product so they must be able to interact well with the public.

Capacity Utilization

Low CCS Business- Storable output permits capacity at some average demand level

High CCS Business - To avoid lost sales, capacity must be set to match peak demand

Level of Automation

Low CCS Business - The customer is not involved in majority of processing steps

High CCS Business - Has a direct effect on the customer. If automation is low, the customer could have to spend more time than is necessary.

Chapter 9 Case - Hank Kolb (pg302)

1. What are the causes of the quality problems on the Greasex line? Display your answer on a fishbone diagram.

There are many causes of the quality problems on the Greasex line. First of all, personnel noted that there is a new operator for the filling machine. This new operator has only been on this job for 2 weeks and was trained by an employee. When the high-pressured cans were tested the operator was nowhere to be found, so this was a big problem. Another problem is the wrong machine is being used for the job. The machine that is being used was bought 2 years ago to be used on another product. Since this machine has been used, it has been repaired and readjusted many times. Another problem is that the parts purchasing ordered are defective. They have slight burrs on the inside rim and this causes trouble fitting the top to the can. Also, there was a change in the design of the can. This design hasn't been tested to find out the effects that the contoured can has on filling speed or filing hydrodynamics. Another problem is the manager Simmons, is more concerned about quantity than with quality. As long as they have the numbers then he is happy, despite the condition of the product. The last problem the company is facing is that marketing is pushing them to put the product out on the shelves quickly. The cans are not being tested and quality products are not being produced because of the rush to get the product to the public quickly.

2.What general steps should Hank follow in setting up a continuous improvement program for the company? What problems will he have to overcome to make it work?

Hank will first have to consider