GSMC520 Unit 3 Learning Activity

Solutions
Instructions

In each unit, students may choose to complete Learning Activities. Prior to working on the
Learning Activities, they should read through the chapters and the unit lesson. If a student
feels he or she understands the concepts in the reading, he or she may not need to
complete all of the Learning Activities. However, working on the Learning Activities will
increase confidence with the concepts. Students should be encouraged to complete all of
the practice activities.

Upon the professor's review of each practice activity, students will receive constructive
feedback. They should clearly identify their work with their names, the date, the unit
number, and the practice activity page number or name. Students should make sure to e-
mail their professor whenever they upload work (activities or assessments) to the
Dropbox.

Upon submission, the professor should review of each practice activity and provide
constructive feedback. Students may submit as many of the Learning Activities from the six
available as they want. If all goes well, a student will e-mail the professor whenever he or
she has uploaded work (activities or assessments) to the Dropbox. You should e-mail the
student after the assignment has been reviewed.

Activity 1: CO 3, Competency A
Reflective Essay

Write a reflective essay on key attributes and benefits of lean supply chains.

Utilizing information from the text and at least two or three academic sources, reflect on the
various attributes and benefits of lean supply chains. Reflect on what makes a supply chain a
“lean” supply chain and provide examples from organizations either from your own experience
or your research.

Answer

Because this is a reflective essay, the answers will vary based on the student’s background,
experience, and viewpoints. Regardless of the level of experience of the student, each has
experienced some form of lean concepts as a consumer, volunteer, or employee, or in some
other aspect of his or her life. For example, the concept of “flow” in a lean pull system is
somewhat intuitive and can be related to a student’s observations in nature. The student also

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GSMC520 Unit 3 Learning Activity
Solutions
has the option of accessing outside resources in addition to the textbook to further fuel his or
her reflection on changing and/or optimizing capacity.

Activity 2: CO 3, Competency B
Reflective Essay

Write a reflective essay on the following topic: What is the lean perspective of waste and how
do pull systems help eliminate it?

Using information from the text and at least two or three academic sources, reflect on the
nature of waste as viewed from a lean perspective and what pull systems contribute to the
elimination of such waste. As part of the essay, include other key means by which a lean
approach can build value by eliminating waste.

Answer
Again, because this is a reflective essay, the answers will vary based on the student’s
background, experience, and viewpoints. As in the previous Learning Activity, regardless of the
level of experience of the student, each has experienced some form of lean concepts as a
consumer, volunteer, or employee, or in some other aspect of his or her life. This is perhaps
even truer concerning the lean perspective on waste. For example, it is intuitive that “5S” will
reduce the waste of having to look for tools because everything will be in its place. The student
is also encouraged to access outside resources in addition to the textbook to further enhance
his or her reflection on the lean perspective of waste.

Activity 3: CO 3, Competency B
Chapter 12 (p. 426): Case: Quality Parts Company

After reading the case, answer the following questions in a three-page paper.

1. Which of the changes being considered by the manager of Quality Parts Company are
counter to the lean philosophy?
Answer

Almost all of the recommended changes run counter to JIT principles: Using MRP to “keep the
skids filled” implies the use of inventory as a motivator to push production. Adding external
inspectors is counter to the JIT practice of in-process inspection. Setting up a rework line only

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herein. No part of these works may be reproduced or used, distributed, published, displayed, transmitted in any form or by any
means – graphic, electronic, or mechanical, including photocopying, recording, Web distribution or information storage and retrieval
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GSMC520 Unit 3 Learning Activity
Solutions
institutionalizes the acceptance of rework. Labor and machine utilization are not objectives of
JIT. The focus should be more on flexibility and reducing the waste of overproduction. The
installation of high-rise shelving indicates an acceptance of wasteful inventory.

2. Make recommendations for lean improvements in such areas as scheduling, layout,

kanban, task groupings, and inventory. Use quantitative data as much as possible; state
necessary assumptions.

Answer

Answers will vary. The students might be encouraged to use the Lotfi and Pegels software to
develop layouts. Machines and operations might be located in U-shaped layouts according to
the assembly-line balance.

3. Sketch the operation of a pull system for running Quality Parts Company’s current
system.

Answer

Answers will vary. The U-shaped layout is a useful tool. Machining cells might also be utilized.

4. Outline a plan for introducing lean at Quality Parts Company.

Answer

The plan will depend on the specific recommendations. Likely steps include acceptance of
recommendations, development of an implementation schedule, training, team development,
waste reduction, retooling, reallocation of workspace, and implementation of workflows. Top-
down direction in the change should be emphasized. Shigeo Shingo estimates that most
companies will need 5 years to implement JIT.

Activity 4: CO 3, Competency B
Chapter 12 (p. 428): Case: Pro Fishing Boats—A Value Stream Mapping Exercise

After reading the case, answer the following questions in a three-page paper.

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GSMC520 Unit 3 Learning Activity
Solutions
1. Create a value stream map (VSM) of this supply chain. What other information is
needed?
Answer

Here is a simplified map. Currently, we do not know about the components used by
Manufacturing Inc. All we know is that there are 12 weeks’ worth of one component and 4
weeks’ worth of the other.

There is about a 27.3 weeks of cumulative lead time from arrival of the raw materials to
Manufacturing Inc. to the Pro Fishing warehouse. Most of this is transportation time and
waiting delay. If we add the component shipped from the United States to China, this
cumulative lead time may be double this time.

The lead time analysis may not be very accurate. It might be good to actually track some
components and product through the network to see what the actual time is and how much
variability there is in the flow time. This could reveal much about how the network actually
operates.

2. Where are there risks for supply chain disruptions or stoppages to the flow of materials?

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GSMC520 Unit 3 Learning Activity
Solutions
Answer

Of course, there are many all along this supply chain. The supply of parts coming from the
United States could be disrupted. The plant in China could experience a problem. The complex
port operations in Shanghai and Los Angeles could be delayed. In a sense, it is surprising that
they can get away with only 6 weeks of inventory in the Pro Fishing warehouse.

3. Where do opportunities reside in improving supply chain operations, and how has VSM
helped to reveal these?
Answer

There may be some significant opportunities to reduce cost in this supply chain. Pro Fishing
could analyze the total cost of the network, not just the cost of parts quoted by Manufacturing
Inc. It should also look at the efficiency (cost) of the second-tier suppliers in the network.

Activity 5: CO 6, Competency A
Reflective Essay

Write a reflective essay on the following topic: What are the various definitions of quality and
which ones are most effective in facilitating organizational progress in quality improvement?

Using information from the text and at least two or three academic sources, reflect on the
various definitions of quality and how those might play a role in an organization’s management
of quality. As part of this essay, include considerations of quality dimensions and approaches to
measurement.

Answer
As before, because this is a reflective essay, the answers will vary based on the student’s
background, experience, and viewpoints. As in the previous Learning Activity, regardless of the
level of experience of the student, each has experienced some form of lean concepts as a
consumer, volunteer, or employee, or in some other aspect of his or her life. This is definitely
the case with the concept of quality, because every person generally has a sense of what
quality is to him or her. The student is also encouraged to access outside resources in addition
to the textbook to further enhance his or her reflection the definition of quality. Just reviewing

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herein. No part of these works may be reproduced or used, distributed, published, displayed, transmitted in any form or by any
means – graphic, electronic, or mechanical, including photocopying, recording, Web distribution or information storage and retrieval
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GSMC520 Unit 3 Learning Activity
Solutions
the philosophies of the “quality gurus” in the text should spark considerable reflection on this
topic.

Activity 6: CO 6, Competency A
Chapter 10 (p. 346): Case: Part A: Toyota—Under-the-Radar Recall Responses

After reading the case, answer the following questions in a three-page paper.

1. Develop a diagram that summarizes what Toyota has done in response to its recent
quality recall problems. Focus on the changes by functional area (i.e., management,
product design, quality, and manufacturing.)
Answer
Immediate Product
Management Design and
Changes Engineering Quality Management Manufacturing
1. 20% pay cut for 1. Managing director 1. Toyota 1. No major changes
senior officials to oversee safety- Advanced Quality other than an
related issues Information Center increased awareness
2. Lowered threshold (TAQIC): global for the workers
for effecting recalls 2. Hired 1,000 computer database
engineers to spot- to track vehicle
check quality repairs and track
customer complaints
3. Improved
perception 2. Swift
of quality (e.g., Market Analysis
reduce vibration in Response Teams
steering wheel) (SMART): rapid
response teams
to determine causes
of
accidents—beyond
United States
and Japan to China
and Europe

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herein. No part of these works may be reproduced or used, distributed, published, displayed, transmitted in any form or by any
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GSMC520 Unit 3 Learning Activity
Solutions

2. Evaluate the statements in the case made by Toru Sakuragi that “Toyota has been
caught between a need to cut costs and overcome the strong yen and the need to
improve quality to prevent recalls” and that “(t)hey are now pursuing both strategies
but they are essentially at odds with one another.” Is this a realistic strategy? Do you
have suggestions for how the strategy might be improved?

Answer
It appears that Toyota has spent a significant amount of money to improve quality. Hiring 1,000
engineers in product design and appointing a director to oversee safety-related issues are
significant steps. Clearly, Toyota sees this as very much a product design issue and not related
to manufacturing or build quality. Also, the implementation of TAQIC and SMART are intended
to speed the time that information related to quality problems becomes apparent. These are
fairly expensive moves and Toyota is investing in infrastructure to solve its quality problems.
There is nothing in the case to indicate that the problems are related to cost-cutting initiatives,
but Toyota needs to be careful that it doesn’t do things related to this initiative that impacts the
safety of its cars. Its problems at this point seem to be largely the consumer’s perception of
Toyota quality due to the recalls and lawsuits, because no defects have actually been found in
the cars.

Many things can be done to improve the safety associated with how the cars are used, such as
consumer awareness of the floor mat issues and the programming of the throttle control
computer (e.g., not allowing brakes and the accelerator to be applied heavily at the same time).

3. Suggested improvements that you feel could be made to Toyota’s quality program. Also,
what might Toyota do to improve its image to the consumer relative to quality?
Answer

Here are some thoughts, but many other ideas are possible. It was very important that Toyota
focus on two aspects of its operations: the design of the cars and its response to issues as they
arise. First, relative to design, anything that can be done to make the cars more foolproof
should be pursued. For example, the brake and accelerator pedal system should be designed so
that it cannot be hung up by items lying on the floor. These types of changes should be driven
by the information Toyota learn through its TAQIC and SMART initiatives.

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herein. No part of these works may be reproduced or used, distributed, published, displayed, transmitted in any form or by any
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GSMC520 Unit 3 Learning Activity
Solutions
A lot of Toyota problems now involve image and consumer perception. Toyota will need to
aggressively advertise the changes it makes to its vehicles relative to safety improvements. It
needs to develop a strategy that directly addresses the improvement in its image relative to
safety.

Activity 7: CO 6, Competency B
Reflective Essay

Write a reflective essay on the following topic: What are the similarities and differences
between Six Sigma and TQM?

Using information from the text and at least two or three academic sources, reflect on the
similarities and differences between Six Sigma and TQM. As part of this essay, be sure to focus
on the types of problems for which each is suitable.

Answer

Again, because this is a reflective essay, the answers will vary based on the student’s
background, experience, and viewpoints. Unlike the previous reflective essays in this unit, the
concepts to be covered by this essay may not be as intuitive or familiar. Therefore, a significant
amount of reading in the textbook and of outside resources will be necessary for the student to
reflect on these concepts.

Activity 8: CO 6, Competency C
Chapter 10 (pp. 341–343): Problems

Solve these problems from the text: 3, 4, 7, 8, and 10.

Answers:
3.

UTL  X X  LTL  1.01  1.002 1.002  .99 

a. C pk  min  ,   min  ,   min .889, 1.333
 3 3   3(.003) 3(.003) 
= .889

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GSMC520 Unit 3 Learning Activity
Solutions
b. The process could be capable of producing the desired quality, but at present it is not
capable due to the process center. The process center should be adjusted.

4.

a. Ten defectives were found in 10 samples of size 15.

10
p = .067
10(15)

p (1  p ) .067(1  .067)
Sp   = .0645
n 15

UCL = p + 1.96 S p = .067 + 1.96(.0645) = .194

LCL = p - 1.96 S p = .067 - 1.96(.0645) = -.060  zero

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GSMC520 Unit 3 Learning Activity
Solutions

a. Stop the process and look for the special cause, it appears to be out of statistical
control.

7.

a. Irregularities
1 3
2 5
3 2
4 6
5 5
6 4
7 6
8 3
9 4
10 5
Total 43

Average number of defects c  4.3

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GSMC520 Unit 3 Learning Activity
Solutions
s p  c  2.07

UCL  c  z c  4.3  2( 2.07)  8.44

LCL  c  z c  4.3  2( 2.07)  0.16

b.

The process is under control. The UCL is 8.44.

8.

Sample 1 2 3 4 mean range

1 1,010 991 985 986 993.00 25
2 995 996 1,009 994 998.50 15
3 990 1,003 1,015 1,008 1,004.00 25
4 1,015 1,020 1,009 998 1,010.50 22
5 1,013 1,019 1,005 993 1,007.50 26
6 994 1,001 994 1,005 998.50 11

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GSMC520 Unit 3 Learning Activity
Solutions
7 989 992 982 1,020 995.75 38
8 1,001 986 996 996 994.75 15
9 1,006 989 1,005 1,007 1,001.75 18
10 992 1,007 1,006 979 996.00 28
11 996 1,006 997 989 997.00 17
12 1,019 996 991 1,011 1,004.25 28
13 981 991 989 1,003 991.00 22
14 999 993 988 984 991.00 15
15 1,013 1,002 1,005 992 1,003.00 21

X  999.1, R = 21.733

Control limits for X-bar chart:

UCL, LCL = X  A2 R = 999.1 ± .73(21.733) = 1014.965, 983.235

Control limits for R chart:

UCL = D 4 R = 2.28(21.7333) = 49.551

LCL = D3 R = 0(21.7333) = 0.00

The process is in statistical control.

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GSMC520 Unit 3 Learning Activity
Solutions

10.

Number
Unsatisfactory Sample
Date Meals Size p
1-Dec 74 1,000 0.074
2-Dec 42 1,000 0.042
3-Dec 64 1,000 0.064
4-Dec 80 1,000 0.08
5-Dec 40 1,000 0.04
6-Dec 50 1,000 0.05
7-Dec 65 1,000 0.065
8-Dec 70 1,000 0.07
9-Dec 40 1,000 0.04
10-Dec 75 1,000 0.075
Sum: 600 10,000

600 p (1  p ) .06(1  .06)

a. p = .06 S p   = .0075
10(1000) n 1000

UCL = p + 2 S p = .06 + 2(.0075) = .075

LCL = p - 2 S p = .06 - 2(.0075) = .045

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GSMC520 Unit 3 Learning Activity
Solutions

b. The chart indicates that the process is out of control. The administrator should
investigate the quality of the patient meals.

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