Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

1. Explain why continual quality improvement is important.

Continual improvement is a key business catalyst in the global marketplace. It is an

improvement to a businesss quality structure, such as customer satisfaction. The
marketplace is a constant change of scenery. Innovation is a key aspect of continual
improvement, that said, improve the process and product and a business will always be
business.

2. What is managements role in continual quality improvement?

A managements role in continual improvement is essentially a necessary leadership role.

Its established by the following:
1) Create an organization-wide role quality council and serving on it.
2) Work with the quality council to develop specific goals and target dates.
3) Provide important moral and physical support
4) Scheduling progress reviews and giving recognition
5) Incorporating continual improvement into the regular reward system.

3. Discuss the Kaizen approach

The Kaizen approach can be summarized in the following points:

1) Kaizen value system = The system of continual improvement of all things

2) Role of executive management = Managers establish corporate strategy and
communicate that knowledge to all levels in the organization.

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

3) Role of middle managers = Middle managers implement the kaizen policies

established by Executive management.
4) Role of supervisors = supervisors apply the Kaizen approach in their roles.
5) Role of employees = Employees participate in Kaizen principles that have
been adopted by their superiors.
6) Kazien and quality = in a total quality setting, the customer defines quality
through their input.
4. How would you describe a lean system?
The lean system is a concept based on the Just-In-Time Toyota Production System (TPS)
developed by quality pioneer Taiichi Ohno. The system to reduce waste grew out of
Toyotas desire to eliminate waste in the manufacturing process. The system focuses on
the following: overproduction waste, inventory waste, motion waste, transportation
waste, over processing waste, defects waste, waiting waste and underutilization waste.
5. What is lean six-sigma and how would you apply it to a quality management system?

Six Sigma is one of the most innovative developments created in a total quality
management setting. The central core of the concept is a six step system for process
improvement:
1) Identify the product characteristics wanted by customers.
2) Classify the characteristic in terms of terms of their criticality
3) Determine if the classified characteristics are controlled by part and/or the
process
4) Determine the process variation for each classified characteristic.
5) Change the design of the product, process, or both to achieve a Six Sigma
process performance.
6. Define benchmarking
Benchmarking involves two or more business that share information about their
respective processes and/or operations. It is not a form of cheating or colluding, nor is it
unethical to conduct this way. In the process, businesses compare and measure their
organizations operations or internal processes to those of a best in class competitor.

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

Essentially it means to find the secrets of the trade from a competitor and internally and
then using that data to learn from it and improve on it.
7. How can you apply benchmarking data?

To apply benchmarking data, the following sequence is followed:

1) Obtain management commitment
2) Baseline your own processes
3) Identify your strong and weak processes and document them
4) Select processes to be benchmarked
5) Form benchmarking teams
6) Research the best-in-class
7) Select candidate best in class benchmarking partners
8) Form agreements with benchmarking partners
9) Collect data
10) Analyze data and establish the gap
11) Plan action to close the gap or surpass.
12) Implement change to the process
13) Monitor results
14) Update
8. What is a JIT system?

Essentially a JIT system is a business where materials are delivered just in time for the
manufacturing process. It is a management philosophy that seeks to eliminate all forms of
waste in manufacturing process and their support activities. JIT/Lean permits the
production of only what it is needed, only when it is needed, and on only in the quantity
needed. It applies to both the manufacturer and the supplier

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

9. What are the benefits of JIT/lean?

There are several benefits JIT/Lean that include four topics:

1) Inventory & Work in Process: aimed to drive inventory to zero that will cut
costs and implements the continual improvement process.
2) Cycle Time = A production cycle includes the time it takes for materials to be
sent to the manufacturing floor and time it takes for goods to be sent to the
customer. One benefit from reducing cycle time is having lower production
costs.
3) Continual Improvement = by eliminating all forms of waste, improve quality
of all products and services, and improve customer responsiveness. The
benefit from this is that it provides an overall improvement of the business
4) Elimination of waste = Just as the topic title, the benefit from eliminating
waste is to make sure the procedures and allocated time is used efficiently.
Waste can be harmful to a business that is continuously improving.

10. Discuss automation system ideas for JIT/lean

Automation is an idea that has been around for a while, the mistake some companies
make is utilizing automation to solve manufacturing problems but have not solved other
internal human operated problems. Regardless, companies should utilize the powerful
tool of automation to increase manufacturing demand and cut production costs. The best
example in todays marketplace is the auto industry. In the traditional setting auto
manufacturing plants would be dark, noisy, grimy, smelly, hot and frantic. Automating by
way of JIT/Lean manufacturing can make the process more easy going, eco-friendly and
efficient.

IE-673-851 Social Networking Discussion:

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

Group Members = Pavan Patel, Matthew Boghdady, Adewuyi Thompson, Julio Jimenez
http://www.bbc.com/news/world-asia-china-34957373

Pavans Comments: Economic and Climate Sustainability is one of the hot button issues for the
big brand companies across the globe. China is a hub for many manufacturing plants to be
centered, for example Samsung or Apple manufacturer their phones there. A big problem with
most of the plants is that they expel a lot of waste that covers the air in smog and is a huge health
hazard as indicated by the World Health Organization. By implementing continual improvement
ideas and lean manufacturing, these plants can eliminate waste not just by reducing air pollutant
but waste in their systems.

Matthews Comments: There are many options for China to reduce pollution in the northeast of
the country. Environmentalists and other professionals need to be hired to find a solution for this
problem. It has been a problem for this region for a long time and it is about time that somebody
does something about it. 400 micrograms per cubic meter is over 15 times a safe value.
Investments for safety need to be taken seriously by China or the coal mines and the workers will
disappear and create more problems than expected.

Adewuyis Comments: It is a perplexing that a country in a race to become a world power have
not looked at their own issues that have been a problem for quite some time. For the country of
China, SMOG is not a new issue, it is something that is quite old and should have been
addressed, but has not. The country has over a billion people and getting them to this point has
jeopardized the health of the people and the environment of the country. There is some serious
R&D that needs to be done to find ways of reducing pollution in the country and not only
looking into shutting down the industrial companies. This will not only help, but Im sure this
will be big business for investors and environmentalists looking to make a difference in the
country of China.

Julios Comments: The smog level in Beijing, China has reached a new level high according to
a recent article. So, much so that an Orange Level alert was declared which is the second
highest possible, requiring factories to cut production. The pollution readings has reached about
17 times the level considered safe by the World Health Organization. This represent a chronic
health-risk for the people expose to this level of pollution. The orange level alert requires
industrial and plants to reduce or shut down production. Furthermore, heavy-duty trucks are
banned from the citys roads. These restrictions show a good initiative, however, government and
industries alike should continue working together on finding long term means to reduce the level
of contamination that is prevailing on most of their 74th biggest cities. Corporations should be

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

held responsible to protect the environmental damages that they cause, otherwise, corporations as
well as cities alike could reach a future collapse.

http://www.eetimes.com/document.asp?
doc_id=1327643&_mc=NL_EET_EDT_EET_automotivedesignline_20150916&cid=NL_EET_
EDT_EET_automotivedesignline_20150916&elq=5e36cbf3770e45f584e95708da63d273&elqCa
mpaignId=24798&elqaid=28134&elqat=1&elqTrackId=4f437d696aef42a88b656820d4f06424

Pavans Comments: Chip manufacturing market is getting to be competitive in all the top
regions of the world. Currently Europe holds the key as the top supplier in market, in the areas of
automotive and defense fields. On the up and coming, possibly soon to be dominant, is the
region of the Asia-Pacific. Europe and the Americas might have to perform benchmarking
analysis to see how they can improve their process and to learn how to become world leaders in
chip manufacturing.

Matthews Comments: Europe is getting competition from Japan and other Asia Pacific
countries in the automotive chip buying market. Asia Pacific countries are increasing in the
market share which is good competition that will decrease the price and help the industry.

Adewuyis Comments: The international community is growing as well as the dependence of

the automobile. Europe has been high in demand of the production of auto chips and now the
Asia-Pacific is closing in to take the lead, as reported their grip as the dominant market for IC
sales has been forecasted to strengthen for 2015. It will be interesting how this will be the Asia
Pacific and what new changes will be affected. Will Europe find other ways to implement
technology into their economy or will this not even make a dent or change.

Julios Comments: According to IC insights Europe will remain the largest automotive chip
buyer in 2015, however, Asia Pacific is catching up. On the other hand, the Asia Pacific region
excluding Japan will buy the most chip in all the major application sectors for this year as well.
In another part of the world, the American region lead on their government and military, twice as
much than any other region. The portion that this countries represent of the chip market may
change on 2016. From 2012 to 2018 it will be the industrial and communication segment which

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015

will see the largest growth. For now, analog ICs are forecast to represent the greatest share of IC
sales among automotive (43%) and industrial (50%) applications.

http://www.mbtmag.com/videos/2015/09/manufacturing-minute-etsy-courts-manufacturers?
et_cid=4818912&et_rid=576098541&type=headline

Pavans Comments: Etsy is a very interesting, innovative and helpful tool to helping the small
manufacturing business attract customers. In my opinion, I believe this website is an excellent
tool for those who wish to keep their manufacturing demand limited so as to not increase their
costs for a larger production plants. As a consumer, creativity lies in those businesses who tend
not to always make single line or repeating products by way of automation. The transparency of
their manufacturing process might have some setback for those wish to keep their process a trade
secret, so it would be wise to form a discussion group to see if it can be implemented.

Matthews Comments: Esty is a great tool in the manufacturing industry because it links small
manufacturers that have lost sales to larger corporations to companies that need products quick.
Companies that need something made often have difficulty finding a vendor to make the product
in large enough quantities and if a small company has the transparency and capability, Esty links
them together. This could help procurement along with small manufacturers greatly a number of
ways.

Adewuyis Comments: I think this is absolutely awesome idea to help the small time sellers to
be able to compete and continue to compete in the big time market. These are fears from the little
guy that in the business are always concerned about because they are not able to compete with
the big business who takes over their idea and eliminates them of having the competitive edge.
More interestingly, will be how transparency will be handle because it is always a question how
things are put on the table and what everyone else will see.

Julios Comments: Etsy is an ecommerce site that connects both manufacturers and sellers in
one place. According to an article by Abbey Dean, Etsy started to run on September of this year.
This site will help manufacturers and sellers to be more competitive on todays global market by
allowing cheaper manufacturing when needed and larger scale manufacturing when the demand
is larger. In short, Etsy provides a place for seller to search manufactures by criteria such as
price, location and the manufacturing services they offer.
7

Pavan Patel - HW Assignment # 6

pp488@njit.edu
(201) 850-0167

IE 673-851
Professor Paul Ranky
NJIT Fall 2015