Discuss about the Continuous Improvement Plan for Latino Engineering.
This essay depicts the important of implementation of continuous business improvement planning and strategies to mitigate the operational a functional issues those are associated to different enterprises. For this particular essay the nominated organization is the Latino Engineering. This midsize company deals with the manufacturing of specialist engineering equipments for different industries such as oil and gas industry, construction, infrastructure industry etc (Conger 2015). The company is located in New South Wales Australia. However, currently the company is facing some major challenges.
Latino Engineering has 300 employees and the founder of the company is Dominic Latino. However, currently due to lack of opportunities and change of ownership the previous operations of the company are interrupted. The senior management authority of the company identified different root causes for which the company is facing different challenges. For arresting the issues, only 3 months are provided to the newly hired project management consultant. In order to mitigate the issues proper tools and techniques are applied and those are illustrated in this report. Not only this but also the considering the required resources a plan has been proposed for Latino Engineering. In addition to this, to stop the repeated issues occurrences a continuous improvement plan for the Latino Engineering is implemented in this report.
Explanation of the ways through which the root causes of Latino Engineering Company can be identified: After analyzing the manufacture standard of a different manufacturing company it has been identified that, Latino Engineering is facing major level operational challenges. In order to combat these issues the company is required to identify the root cause of the issues (Goetsch and Davis 2014). With the identification f the root causes only the issues could be mitigated by the management authority of Latino Engineering. Root cause analysis is the tools that are mostly used to identify the operational issues of the manufacturing companies. Generally two different processes such as non-confirming product control and analysis of root cause through corrective actions are there through which the root causes could be analyzed. However for this particular company the root causes could be analyzed with the help of different corrective actions (Pyzdek and Keller 2014). All of these corrective actions are different from each other. With the help of this process the root cause will be identified easily rather just immediate after its occurrence. The products those are expected to have troubles are required to be contained and prevented from the subsequent manufacturing operation and consumer’s reach. Even the manufactured products those are already delivered to the consumers must get back for further research and additional treatment (Arumugam, Antony and Linderman 2014). The allotted investigation time is quite considerable for this particular root cause analysis.
The classic root cause analysis approach for Latino Engineering can be determined with the help of development of questionnaires. The root causes identified for Latino Engineering are as follows:
After analyzing the root cause, the corrective actions are required to be undertaken by the management authority of the business organization just to reach long lasting risk management components (Jacobs, Swink and Linderman 2015). Set of stock answers will be helpful to be undertaken to minimize the rate of different risks. The preceding risk causes could be identified with the help of corrective action. Before delivering or launching any products, those are required to be investigated by the manufacturing company. Even the interpersonal skills of the employees who have been working in the company are needed to be professional enough so that the chances of risk occurrences could get minimized easily (McAdam et al. 2014). Different ways are there those might be followed to meet the requirement of the consumers however, all the roots should be analyzed and the best and most suitable one should be selected by the management authority. The main issues those are needed to be minimized include insufficient training development programs, carelessness of the employees, insufficient time and manmade error.
Proposal of an appropriate tool and technique for eliminating this issue: Different tools and technologies are there those should have been used by the manufacturing committee of Latino Engineering to minimize the production and service level issues. The tools those are effective for the company include Lean Six Sigma, Six Sigma, Total Quality Management (TQM), prince2 etc. However, after considering the manufacturing and delivery ability of the company, it has been found that, the most effective tolls for the company is Six Sigma (Choo and Goh 2015). With the help of Six Sigma tool the employees will be able to access every business necessity effectively. Moreover with the help of the Six Sigma, Latino Engineering can develop continuous business improvement plan. For this particular company the selected tool is Six Sigma.
Without the integration of proper engineering design, material processing and control strategies as well over a virtual platform, it is quite impossible to achieve the continuous improvement principles (Svensson et al. 2015). In the future production process for achieving the higher level standard deviation Six Sigma approach is very much helpful. The unseen root causes for the potential problems could be minimizing with the help of Six Sigma tool. According to the nature of the Six Sigma tool, it is determined that, the defect alternatives can be eliminated completely. Even at the very early stage the organizational risks could be minimized completely with the application of proper Six Sigma tool (Ang 2015). It helps to indicate that whether the sigma level applications are too much low or challenging from the business aspects or not (Chang 2016). The Six Sigma levels can be achieved with the help of different cross functional groups and joint efforts of the employees who are working in Latino Engineering. It should be defined that after implementation of a system, if it needed to be changed then it becomes costlier than anything.
According to the six sigma breakthrough model, the major level organizational objectives those might be achieved include higher commercial profit, increased value, reduction in variation etc (Panat et al. 2014). The components of Six Sigma concentrate on two different processes those are available for every sigma objectives. The characterization of the process includes three below parts such as:
There are certain other steps those are required to be followed for minimizing the rate of simulation include:
Different tools uses for eliminating the issues of the business organization: Different types of business tools such as Total quality management, Prince2, Six Sigma, Lean Six sigma are there those are widely used for eliminating the organizational issues. Different unexpected benefits can be generated from these tools (Harmon 2015). Though the benefits differ from each other, but as Latino Engineering is a manufacturing company thus the design specification also varies. In order to meet the requirement of the consumers it is very much necessary to obtain proper business strategies. With the help of the new business strategies the company will be able to mitigate the sales and manufacturing oriented issues from the core business (Canato, Ravasi and Phillips 2013). The intra organizational conflicts rose because the top of the management failed to communicate properly with the fellow team members and also not focused to the view point of the employees who are working in the organization. It means that the team management approach and decision making approach of the company is not appreciable. After considering the complaints or feedback given by the management team it is determined that with the help of Six Sigma these issues could be mitigated.
The Six Sigma management methodology allows the Latino Engineering to utilize all the information those are helpful for eliminating the defects associated to the process. The process those might achieve the six sigma will not have any such management issues (Alharthi, Sharaf and Aziz 2014). It provides huge amount of opportunities those are outside the specification of the consumers. Two subset methodologies such as DMAIC (Define, measurement, analysis, improvement and control) and DMADV (Define, measurement, analysis, design and verification) should be followed to work using the help of Six Sigma. The implementation of Six Sigma methodology provides different commercial profit as well. The specified benefits that Latino Engineering will gain after the utilization of the Six Sigma methodology are as follows:
The main aim of any business is to retain their consumers. In order to determine the success of the firm this is referred to as a significant factor (Conger 2015). However, consumer’s loyalty and the organizational retention could generate as a merged form if the consumers gain high level satisfaction from their service and product quality. Through the consumers survey it is found that most of the consumers are not coming back due to the dissatisfactory service. The dissatisfaction of the consumers will be minimized completely after the implementation of Six Sigma in Latino Engineering (Goetsch and Davis 2014). According to this approach proper training and development programs are needed to reduce the regular organizational problems. Not only this but also, professional Customer Service Center could be employed after the implementation of Six Sigma methodology. It will help Latino Engineering to understand about the perception of the consumer satisfaction and about the critical products attributes as well.
Besides the consumers satisfaction the other factor that could be gained from the six sigma methodology include proper time management, With the help of proper time management both the users and employees will be able to serve as per the requirement of the management authority (Pyzdek and Keller 2014). This will allow the consumers to reach the SMART goal of the business organization. Three different key areas such as learning, performance and fulfillment of the consumer’s requirement could be done with the help of the Six Sigma methodology (Ang 2015). In order to ensure the minimal disruption of the work processes, this Six Sigma methodology is referred to as one of the most effective tools. With the help of the action plans the users and the employees of the organization could develop an action plan by their own to avoid unwanted interruption.
Before the implementation of any new approach, it is very much necessary to allot proper time and estimate accurate budget. The project development team is always responsible to complete all the projects within the estimated time and budget only (Choo and Goh 2015). It will help Latino Engineering to motivate the employees with strategic planning and advanced supply chain management approaches. The rate of risks and defects will also be reduced after the implantation of Six Sigma methodology.
Proposal of a plan that helps to eliminate the root causes considering the required resources: In order to eliminate and reduce the root cause of the considered resource, Six Sigma tools is found to be one of the mist helpful and effective tools. The rates of consumer satisfaction get increases with reduced cost, high product quality, process speed and appreciable invested capital (Sin et al. 2015). The business improvement and growth system leads Latino Engineering towards measurable success. This chronological data driven approach helps to analyze the root cause of manufacturing and this could improve the business issues in a dramatic way. Depending upon the knowledge and data the decision making approaches can be improved professionally. The performance paramount can also be driven towards financial resultant. This particular system is also applicable in every business (Panat et al. 2014). Among different set of problems the company might face different issues, in different domain however, the Six Sigma Tool focuses on that particular domain only where, the solution is required. Six Sigma model develops improvement technique and some common set of tools for improvement at the same time.
In order to overcome the identified issues of Latino Engineering, green belt improvement model could be used. With the collaboration of operational risk management and Six Sigma an organization could achieve measureable success from the competitive market place (Harmon 2015). The existing development plan used by Latino Engineering is not that much appreciable thus, for gaining success from the competitive market it is very much necessary for Latino Engineering to apply proper tools and techniques.
Development of continuous improvement plan to eliminate the identified root causes of the issues: The Sig Sigma is referred to as a process rater tool that ranges between the measurement of a mean process quality and the nearest list of specification. The quality management approach includes different components such as statistical control over the quality of the products manufactured by Latino Engineering, zero defect, total quality management etc. One of the most Quality Managing Initiative tool is Six Sigma. In order to gain substantial profit from the competitive market it is very much necessary to adopt the six sigma approach (Kumar et al. 2014). For evaluating the accuracy and advisability of any of the measuring system, Measuring System Tool is required to be utilized by the management authority of Latino Engineering. For improving the quality of the products manufactured by Latino Engineering, the basic tools might be used include input process output, Measurement system analysis, Cause effect diagram, histogram etc. Through the usage of phase of measurement the MSA goal can be estimated accurately. Even, certain statistical system analysis formulae are also there through which the resultant regarding the product quality can be measured. For analyzing the Cause and Consequences the different level problems can also be solved (Alharthi, Sharaf and Aziz 2014). Apart from pinpointing or counting the defects, Six Sigma focuses on improvement of the overall management approach of Latino Engineering.
Conclusion
From the overall discussion it can be concluded that in order to gain measureable business revenue and continuous improvement different tools and technologies are required to be adopted by the management authority. After analyzing the current situation of Latino Engineering it is found that due to lack of operational and functional excellence and also for the transfer of ownership the company is facing major business level challenges. Different root causes for the company are being identified and in order to mitigate these challenges, certain appropriate tools and technologies are applied for the company. After applying the tools in the operation of the company it is found that the operational issues can be completely mitigated. Again, in order to eliminate the root causes different tools are available in the business processes such as Total Quality Management (TQM), Six Sigma, and Lean Six Sigma (LSS) etc. Among these approaches application of the six sigma tool is much appreciable. With the help of this tool a continuous improvement plan for Latino Engineering is being developed by the newly hired project management consultant. The entire improvement plan is developed in this essay.
References
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Ang, B.S., 2015. A Study Of Knowledge Creation In Six Sigma Dmaic Project Success And Its Impact On Organizational Performance (Doctoral dissertation, Universiti Sains Malaysia).
Arumugam, V., Antony, J. and Linderman, K., 2014. A multilevel framework of six sigma: A systematic review of the literature, possible extensions, and future research. The Quality Management Journal, 21(4), p.36.
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