Preview

Delta Plastic Inc

Satisfactory Essays
Open Document
Open Document
273 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Delta Plastic Inc
ER 2 If we take a look at the control charts for both the processes, you will notice that both processes do not have any control over the amount of defects will be produced. Both the charts have many defect numbers which are placed on either side of the control limits. It can also be noticed that the defects out of the new material process seem to become greater with every day of production. This clearly shows that the standard material holds up better during the manufacturing process compared to that of the super plastic during production (Reid & Sanders, 2011). The old process shows that the process is in control because the sample data falls within the normal variation range. The super plastic is not in control because the cause for the variation can not be identified. Those causes can not be eliminated until the cause of the variation is known. Control charts is a toll used to decide if a business or manufacturing process is in statistical quality control consist of three areas. Descriptive statistics which describes the quality characteristics; statistical process control consists of random sampling of the product; acceptance sampling is the process of randomly inspecting a sample of goods and deciding if the entire lot should be accepted. Control Charts are beneficial because it will show the probability of a point falling above the upper limits or falling below the limits. If the data falls outside of the control limits then we can assume that the process is out of control which will flag and prompt reasonable cause to look into what has caused the defect to

You May Also Find These Documents Helpful

  • Powerful Essays

    Atlas Metal Company

    • 1487 Words
    • 6 Pages

    The purpose of this report is to help a financial special assistant, Linda, to analyze the financial position of Atlas Metals Company and deciding its capital budgeting and capital structure. Firstly, I explain why firm should use Net Present Value (NPV) methods for capital budgeting rather than Return on Investment (ROI) method and Payback Period method. Secondly, I calculate the Weighted Average Cost of Capital (WACC) which will be used as discount rate while calculating NPV. Then, I decide which rapid prototyping system company should invest as well as I compare the each expansion projects’ IRR with WACC to decide which projects should be invested and which should not. After deciding projects which should be accepted, I draw Investment Opportunity Schedule (IOS) and Marginal Cost of Capital (MCC) graphs to decide where the company should finance accepted projects.…

    • 1487 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Foamex International Inc.

    • 1340 Words
    • 6 Pages

    The final responsibility for the integrity of an SEC registrant’s internal controls lies on the management team. U.S. companies need to refer to a comprehensive framework of internal control when assessing the quality of financial reporting to determine that financial statements are being presented under General Accepted Accounting Principles, GAAP. The widely used framework is referred as COSO, Committee of Sponsoring Organizations of the Treadway Commission, sponsored by the following organizations American Accounting Association, the American Institute of CPA’s, Financial Executives International, the Institute of Internal Auditors, and the Institute of Management Accountants. COSO’s defines internal control as:…

    • 1340 Words
    • 6 Pages
    Powerful Essays
  • Better Essays

    OM300 Study Guide 22

    • 1172 Words
    • 4 Pages

    The objective of a process control system is to provide a statistical signal when assignable causes of variation are present “ if you can’t describe and measure it the you can’t control or improve it.” SPC a process used to monitor standards by taking measurements and corrective action as a product or service is being produced. Control chart a graphical presentation of process data over time. A process is said to be orperating in SC when only source of variation is common(natural) causes. The process must first be brought in statistical control by dectecting and elimination special(assignable) causes of variation. The objective of Process Control Sysytem is to provide a statistical signal when assignable causes of variation are present. Natural variation variability that affects every production process to some degree and is to be expected also known as common cause. Control charts for the mean x or x-bar and the range R are used to monitor processes that have variables (continuous dimensions). X-chart tells us whether changes have occurred in the central tendency(the mean) of a process. The R-chart values indicate that a gain or loss in dispersion has occurred. The theoretical foundation for x-charts is the central limit theorem which states that regardless of the distribution of the population of all parts or services, the distribution of x’s tends to follow a normal curve as the number of samples increases. 95.45 % +/- 2 std dev. 99.73% +/- 3 std dev. Attributes are typically classified as defective or nondefective. 2 attribute charts p-chart measure the percent defective in a sample and c-chart count the number of defects in a sample. Acceptance sampling method of measuring random samples of lots or batches of products against predetermined standards.…

    • 1172 Words
    • 4 Pages
    Better Essays
  • Good Essays

    In order to produce a quality product it requires a quality process. This involves maintaining the process operating at a level that complies with required quality criteria. When the quality of a process varies it will have a direct impact on product characteristics and hence product quality. For example, a metal producing plant has processes such as cutting, machining, bending and coating. The smoothness, hardness and thickness etc of the metal are directly impacted by the quality of the processes. Once the metal is manufactured, the customer will judge it against the product…

    • 4066 Words
    • 17 Pages
    Good Essays
  • Powerful Essays

    Mod10-Control Charts

    • 9450 Words
    • 38 Pages

    A control chart is a statistical tool used to distinguish between variation in a process resulting from common causes and variation resulting from special causes. It presents a graphic display of process stability or instability over time (Viewgraph 1). Every process has variation. Some variation may be the result of causes which are not normally present in the process. This could be special cause variation. Some variation is simply the result of numerous, ever-present differences in the process. This is common cause variation. Control Charts differentiate between these two types of variation. One goal of using a Control Chart is to achieve and maintain process stability. Process stability is defined as a state in which a process has displayed a certain degree of consistency in the past and is expected to continue to do so in the future. This consistency is characterized by a stream of data falling within control limits based on plus or minus 3 standard deviations (3 sigma) of the centerline [Ref. 6, p. 82]. We will discuss methods for calculating 3 sigma limits later in this module. NOTE: Control limits represent the limits of variation that should be expected from a process in a state of statistical control. When a process is in statistical control, any variation is the result of common causes that effect the entire production in a similar way. Control limits should not be confused with specification limits, which represent the desired process performance.…

    • 9450 Words
    • 38 Pages
    Powerful Essays
  • Powerful Essays

    Cooper Industries Inc.

    • 5587 Words
    • 23 Pages

    Based on the given information in the case study regarding the acquisition of Nicholson File Company by Cooper Industries, there is no question that Cooper should try to gain control of Nicholson. This decision is based on an analysis of the bargaining positions of each group of Nicholson stockholders which have disparate goals and needs that need to be met. In addition, an appropriate payment method and specific dollar value based on a competitor's offer and Cooper financial data was decided. The remainder of this paper will provide the analysis and rationale for this determination.…

    • 5587 Words
    • 23 Pages
    Powerful Essays
  • Good Essays

    Pacific Brands

    • 1230 Words
    • 5 Pages

    Pacific Brands is Australasia’s leading manufacturer and wholesaler of apparel and home and sporting consumer brands including Berlei, Bonds, Clarks, Dunlop, Everlast, Grosby, Holeproof, Hush Puppies, King Gee, Slazenger, Sleepmaker and Tontine. Pacific Brands has substantial scale with sale of $A1.5billion and 7000 employees, and was the second largest MBO completed in Australia at the time of completion. ‘Catalyst Investment Pty Ltd 2010 case study, Pacific Brands Nov 2001 to April 2004’…

    • 1230 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    Delta Airlines

    • 2664 Words
    • 8 Pages

    It lets you talk to me during class lectures or during help sessions as if you were in the room with me.…

    • 2664 Words
    • 8 Pages
    Powerful Essays
  • Best Essays

    Delta Airlines

    • 4528 Words
    • 19 Pages

    This report provides an examinaion of the current structure, performance, stragergy and management of Delta Airlines, along with an industry analysis of the airline industry. The report uses current and past financial and statistical data for the company along with other up to date material to determine Delta's current market position and future potential.…

    • 4528 Words
    • 19 Pages
    Best Essays
  • Good Essays

    The stakeholders in this case are Bill, George Mackee, his wife Mary and their two children, Ardnak Plastic Inc. and its several hundred workers, the environment, the people of Hondo, the EPA and the Mexican government. The stakeholders in this case have their each and very own interest dealing with the company.…

    • 682 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Destin Brass Products Co.

    • 3020 Words
    • 13 Pages

    Destin Brass president Roland Guidry is concerned with the competitive trends of the company products. He and his staff are worried that company profits are falling in regards to these competitive problems.…

    • 3020 Words
    • 13 Pages
    Powerful Essays
  • Good Essays

    Pacific Oil Company

    • 585 Words
    • 3 Pages

    Pacific Oil Company was founded in 1902 as the Sweetwater Oil Company of Oklahoma City, Oklahoma. The founder of Sweetwater Oil, E.M. Hutchinson, pioneered a major oil strike in north central Oklahoma that touched off the Oklahoma "black gold" rush of the early 1900s. It developed extensive oil holdings in North Africa and the Middle East, as well as significant coal beds in the western United States.…

    • 585 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Body Shop International

    • 1594 Words
    • 7 Pages

    We are going to show a three years forecast for The Body Shop International; it consists of three main objectives:…

    • 1594 Words
    • 7 Pages
    Good Essays
  • Good Essays

    Delta Airlines

    • 1639 Words
    • 7 Pages

    DA is one of the oldest airlines in the United States, however, there are still threats from new entrants in the market because low-cost carriers (LCC) definitely going to affect the pricing strategy of DA. In contrast, DA has brand loyalty due to its long history of operation. Moreover, the entry barriers are still high due to the operating cost such as aircraft, airport cost, maintenance, route licenses, and taxations.…

    • 1639 Words
    • 7 Pages
    Good Essays
  • Good Essays

    Harding Plastic Company

    • 558 Words
    • 3 Pages

    The objective of this case is to explore the ranking differences that may result from using the PI, NPV, and IRR evaluation techniques. It illustrates the time disparity, size disparity, and life disparity problems and the appropriate approaches to the resolution of these problems. This case works well either as a homework problem coinciding with the introduction of project ranking and capital-rationing material or as an in-class problem lecture.…

    • 558 Words
    • 3 Pages
    Good Essays