QSO 300 Final AssignSubmit your final comprehensive case study analysis. It should be a complete, polished artifact containing all of the critical elements of the final product. It should reflect the

Quality, Process, and Location Analysis

Rashel Hafiz

QSO 300

Christopher Mowad
November 25, 2018

I. Theories and Techniques

According to Vorne Industries Inc. (2013), Theory of Constraints process refers to the way of identifying factors that hinders company from meeting its goals. It is a process that entails five steps;

1. Identify the Constraint. In this step, Nissan examines the supply process to determine the root cause of the bottleneck.

2. Developing a plan to cover the identified constraints. In this process, Nissan uses a system that would help in elevation of bottlenecks as well as non-bottleneck scheduling.

3. Focusing resources on the accomplishment of step two. In this step, Nissan would ensure orders are released to the system as fast as possible.

4. Reducing the impact of constraints by either offloading or expanding capability. In this step, a good act would be offloading slow operations to other workstations.

5. After overcoming constraints review the steps and identify a new constraint.

The success of a manufacturing firm is based on effective measures for implementing total quality management principles as well as tools to achieve quality (Jacobs et al., 2014). Nissan embraces the importance of customer satisfaction hence engages employees into a productive initiative like Quality Assurance Department that would ensure production of high-quality products. Another initiative is Parts Quality Assurance which ensures availability of suppliers and the right parts.

II. Data Analysis

Nissan has a reputation for building as ordered their new Altima model, at their Japanese facility (Schmidt & Simchi-Levi, 2013). According to the model, the waiting time between the Sales and production department long while it should be lessened. The time is needed for the final paint, and finish coats should be adequate to ensure high-quality products. The company should have schedules of transportation companies to coordinate inspection and shipping. However, shipping arrangements of a direct customer should be based on the distance or destination of the product.

Table 1: Hypothetical process (time-function) map

The hypothetical map helpful in determining where time is waste or where the organization ought to improve. Nissan, for example, can utilize the chart to identify wasted time within the manufacturing process from the time customers place orders up to the time an order is filled. Furthermore, Nissan can use this map to determine the amount of stock to keep to ensure smooth and consistent manufacturing process.

Analysis of the Location

Table 2: Analysis of the Location

Location: Mexico City Columbia, South Carolina:

Transportation costs = 8 Transportation costs = 18

Taxes = 9 Taxes = 5

Labor costs = 8 Labor costs = 5

Rental costs = 13.5 Rental costs = 8.25

Labor Productivity = 17 Labor Productivity = 15

Political Risk = 17.5 Political Risk = 20

Total = 73 Total = 71.25

From the analysis, it is clear that locations have short ranges. Another observation is that rental costs, taxes and the labor costs in Columbia, South Carolina are lower, while transportation costs and political risks are relatively high. In Mexico City production can be easily improved through training. This is because in this location, the level of labor productivity good.

References

Jacobs, F. R., Chase, R. B., & Lummus, R. R. (2014). Operations and supply chain management (pp. 533-535). New York, NY: McGraw-Hill/Irwin.

Schmidt, W., & Simchi-Levi, D. (2013). Nissan Motor Company Ltd.: Building Operational Resiliency. MIT Sloan Management Review.

Vorne Industries Inc. (2013). Theory of Constraints. Retrieved from http://www.leanproduction.com/theory-of-constraints.html