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Article #250

Re: quality projects

#250
From: DDettmer
Date: Mon, 14 Sep 1998 00:00
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In a message dated 98-09-10 17:42:35 EDT, you write:

<< As a general question, does anyone have comments on the best way or
 method to get results from quality improvement projects? >>

[Yes.  Choose the right project to begin with--meaning the the one that will
have the most beneficial impact on the system as a whole.  Often the projects
we choose fill other criteria:

Fun to do
Easiest to do
Cheapest to do
Fastest to complete
Most visible

...without regard for their overall impact on the system.  So before you
choose the project, you might want  to analyze the interactions of the system
as a whole and determine which potential projects might be "masked" by other
issues that are more critical to system success.

For example, let's say that the project people want to work on the most is
improving the yield rate of a particular manufacturing line--i.e., reduce
scrap and /or waste from 15% to 4% or less.  You could do this and have no
measurable effect at all on the success of the division or the company, if
increased profits are stalled because of an ineffective distribution process
AFTER manufacturing that discourages customers from ordering more (because it
takes too long to receive your product).

The customer drives your revenue flow, but the customer doesn't care about
your yield rate.  So an 11% improvement in scrap / rework looks great
internally, from a "public relations" perspective, but it doesn't do squat for
the bottom line, because the big obstacle to increased revenue is a glacially
slow delivery process.

This is what I mean by figuring out which is the right project to work on
first.  You'll have to get to the scrap / rework problem eventually, but it's
not necessarily the one to work on first.  And there are methodologies for
determining WHICH one to work on first...]

BILL DETTMER
gsi@goalsys.com
www.goalsys.com
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From: DDettmer@aol.com
Subject: Re: quality projects
Date: 1998/09/14
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