Quality Management In The Contemporary Business Environment, Essay

Quality Management In the contemporary business environment, business control chart is very critical to enhance continuous business process and business improvement. The use of statistical process control charts (SPC) is very critical to enhance improvement and quality of products and service. Process control chart is a statistical tool that allows business to record data regarding the performances of business process on a regular basis. The data may be recorded hourly, weekly or on daily basis. The major objective for using SPC is to compare the present product performances with the past product performances and allow a business to prevent defective materials. Thus, SPC is powerful tool to enhance continuous business improvement. (Harrington, 2009).

Objective of this paper is to use the control chart process to determine the weekly sales process of Ford Motor Company.

X Bar and R. Process Control Charts for Weekly Sales of Ford Motor

The charts are produced from the data collected referred to X-Bar and R. chart. X-Bar is calculated from the average of 18-week sale's sample while the R. is the range between the highest and lowest sample of data. The main objective of this chart is to measure the variations within the samples as well as comparing those variations between the samples. If the variations are consistence with the sample variations, the process is predictable and is in control.

The paper uses the X Bar R. Chart technique because this process is ideal statistical process control. This technique takes the sample data and calculates the average or the arithmetic mean, and measure the difference between the largest and the smallest sample. As being revealed in Table 1, the paper provides the 18-week sales of Ford auto-car to determine the R. Chart.

Table 1: 18-Week Sales

Weekly Sales X and R. chart

Weekly Sales X

1

104,679

2

115,537

3

134,696

4

177,393

5

205,437

6

184,038

...

Using this data, the paper calculates the moving average as being revealed in Table 2.
Table 2: Moving Average

Weekly Sales X and R. Chart

Weekly Sales X

Moving Range R

1

104,679

2

115,537

10,858

3

134,696

19,159

4

177,393

42,697

5

205,437

28,044

6

184,038

21,399

7

105,863

78,175

8

163,746

57,883

9

183,134

19,388

10

205,348

22,214

11

265,599

60,251

12

197,901

67,698

13

113,093

84,808

14

219,758

106,665

15

192,949

26,809

16

174,363

18,586

17

80,148

94,215

18

212,387

132,239

Process Average

168,671

52,417

From the table 2, R-Bar is equal to 52,417 revealing that the process is in control. The paper calculates the control limit to determine whether the process is in control. The control limits are…

Sources Used in Documents:

References

Florida Department of Health (2011). Basic Tools for Process Improvement Module 10. Control Chart. Florida. USA.

Harrington, H, J. (1991). Business Improvement Process: The Breakthrough Strategy for Total Quality Productivity, and Competitiveness. McGraw-Hill Professional. UK.


Cite this Document:

"Quality Management In The Contemporary Business Environment " (2012, August 08) Retrieved April 27, 2024, from
https://www.paperdue.com/essay/quality-management-in-the-contemporary-business-81517

"Quality Management In The Contemporary Business Environment " 08 August 2012. Web.27 April. 2024. <
https://www.paperdue.com/essay/quality-management-in-the-contemporary-business-81517>

"Quality Management In The Contemporary Business Environment ", 08 August 2012, Accessed.27 April. 2024,
https://www.paperdue.com/essay/quality-management-in-the-contemporary-business-81517

Related Documents

Change Management Scenario The contemporary business environment is rapidly evolving. Globalization has taken over the organization environment, and with this business is forced to undergo continuous and rapid change driven by increasing stakeholder expectations, new technological advances, and competition that is not only global, but viral (Bendell, 2005). This has resulted in a dramatically different business environment in which the modern business, in order to survive and prosper, is forced to

Management and Business Management Theories and Principles of Each Reading The Fifth Discipline forces managers to look at the way in which learning disabilities which are common to organizations can actually stunt their growth and progress. The author targets several common learning disabilities which can riddle even powerful organizations, they are: identifying with only one position, external enemies, the illusion of taking charge, fixation on events, the parable of the boiled frog,

Business Environment in Taiwan Taiwan is an island situated approximately 180 kilometers (Eastern Asia) away from southeastern coast of mainland China. Having a geographical area of 35,883 Km2, Taiwan is officially part of the Peoples Republic of China (PRC) although there is much tension between Taiwan and China regarding statehood of Taiwan. The U.S. however does not acknowledge Taiwan as a separate state. Taiwan has a population of 23 million (consisting

Principals must be aware that teachers at times are and may feel isolated; that they need to know what teachers are regularly doing in their classrooms. Teachers and principals both need to be regularly sustained with quality conversation of a personal and/or professional nature (Burmeister & Hensley, 2004). This study reminded the researcher of the value of building positive relationships with classified staff and providing support for them. Principles need

Total Quality Management
PAGES 6 WORDS 1864

Total Quality Management Objective of this paper is to discuss the concept of TQM (Total Quality Management) using the Deming's 14 points to illustrate how business and education integrate TQM to deliver high quality product and services. The paper further chooses two of the Deming's 14 points to distinguish how business and education implement concept of TQM in their business operations. Total Quality Management Total Quality Management (TQM) is a management philosophy and

Furuholt, (2006) argues that lack of management engagement to the acceptance of information systems has been a barrier to the implementation of information systems. The issues are even common with organizations in the developing countries where management does not give enough priority to the information systems implementation. Importantly, implementation of information systems requires management support since management will need to approve fund that would be used for IS implementation.