Process Improvement Paper

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Process Improvement Plan
Gregory J. Minor
OPS 571
December 24,2012
Kristina Limon

Process Improvement Plan
Process Improvement Plan
In weeks one through three we, had to keep track of a daily activity that is improved on. Week one we had to design a flowchart of our daily activity, we chose to keep track of how long it takes a claim to process, in week three we had to determine the bottleneck in the process. We will use this paper to explain control limits, seasonal factors, and control intervals using the data collecting in weeks one and three. Control Limits

Control limits define the area three standard deviations on either side of the centerline, or mean, of data plotted on a control chart. We should not confuse control limits with specification limits. Control limits reflect the expected variation in the data. Bi lateral specification/tolerances have two limits on both sides of the tolerances which is not appreciated in the Unilateral tolerances ("Sixsigma", 2012). The control limit assist us in determining, the viability of the change, we are looking to improve the process with. We will detail the upper and lower control limits. We have identified the bottleneck in the process during week three, which is contacting facilities to verify their billing information, we to cut the 596 minutes spent through week one and five, which equals a whole work day of nine hours and 56 minutes. We want to eliminate that process and cut our turnaround time from 30 days to 29 days.

Week | Time in Minutes| Other Tasks in minutes |
One| 138 Minutes| 794 minutes|
Two| 138 Minutes| 794 minutes|
Three| 189 Minutes| 436 minutes|
Four| 138 Minutes| 794 minutes|
Five| 138 Minutes| 794 minutes|
Weekly total| 741 | 3612|
Weekly Avg| 138 minutes| 794 minutes|

To determine the control limit, we will need to determine the standard deviation. We will then multiply the deviation by three the number derived from that would...
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