A Report On The Flow Chart Diagram ( Table D )

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In meeting with the process owner and sponsor, we immediately advised per our analysis, added in ‘white’ in the Flow Chart Diagram (Table D), further process to correct material issues and keep the project moving.

Evaluation

Note – We find in the map a significant drain on finance to labor and resources, due to incorrect material, prolonged project time, causing further overhead and loss in profit. We redirected our investigation to further questions to the key players in the ordering and estimating of materials. This accounts for a majority of the devastating overhead and lost time of the stakeholders. Further note – a bottleneck with the supplier and unskilled workforce are also evident. We will utilize the measurement phase to help
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Pareto Chart Diagram (Table B) shows a strong correlation between incorrect materials and labor costs. The control chart below shows the process system in control and needing to change or the process would continue.

The overage in hours is staggering, at $130,000 per year (being $2,500 per week) or 5,200 hours on an average. A further overage of materials and direct labor cost totaling $120,000 per year in incorrect materials, for a total of $250,000 combined in reduction of costs, increasing resources of the company and client satisfaction. After we brain stormed on Supplies, process activities, output activities, and customer feedback (SIPOC) and developed further strategy for decision-making. According to Pyzdek,T., & Keller, (2010) “a (SIPOC) is a flowcharting technique that helps identify those processes that have the greatest impact on customer satisfaction” (p. 94). That drastically affects the project cost and impact of the (BVA) Business value analysis. Upper and lower control limits identified with an X-bar and R chart to validate the process capability with a process mean of 34.84Hr and standard deviation of 1.874Hr.

We concluded that the lack of a continuous process improvement(s) program (CPI) has directly related to outer influences crippled this organization. A Cause and Effect Diagram produced focus efforts that directly affected on the overage of hours. This focus of incorrect materials has an impact on the process as a whole and
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