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¶ … cable failure is likely that the specifications on the cable were insufficient for the application process. It appears that the cable, or the connectors, are failing 2.5 times for each cable that is successful in installation. The manner of usage on the cables is also of concern -- the cable must bend at various complex angels around a control box, and then through various other metal devices. Even though the materials have around a $100 price tag, relatively low for the comparative parts, the frequency and number of failures should be corrected to ensure conformation of quality management (PFI Case Study, International Standard 9001, 8.1-3).
No, the $100 in failure costing does not include removal of the bad cable reinstallation of the new cable, testing and other procedures affecting the actual correct installation of the product. Because of the $250 regulation on failure reports, it is likely that thousands of dollars is being wasted on a regular basis for these cables. There were no labor rework reports required, as well. One would need to know the hourly rate of staff (average) to remove, repair and test new cables; the actual production cost of a failed cable (materials, man hours, etc.) and then the time it took...
Likely, the total costs would exceed the $250/unit, once all costs were appropriately assessed.
Part 3 -- There should be several quality and process issues addressed in order to ensure that the cables meet specifications and are appropriate for the design of use. First, the actual specifications of the cables (manufacturing) should be reanalyzed and issues uncovered as to reasons for such a high failure rate. It is possible that the materials used, or the manufacturing process used is inadequate for the current use. Second, the actual costing of the error should be delineated; from manufacturing to testing, to removal and reinstallation. Third, a Quality initiative should be put in place based on the integrity of this product, the need for the product, and the ancillary effects that such a high failure rate from this product has on other processes within the manufacturing paradigm.
Part 4 -- The Quality Manager currently has very little data from which to extrapolate any meaningful interpretations regarding the cable. Using the 9001 standards, the QM should implement a systematic review of the issue, perhaps convening a Quality Control Committee…
Sources:
International Organization for Standardization. (2009). ISO 9001 -- Quality Management Systems -- Requirements. Geneva, Switzerland: International Organization for Standardization Publications.
PFI Case Study 2 -- Precise Fabrication, Inc. #2
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