Dynamic Seal - Mba: Six Sigma / Operations Case Essay

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Issue: Dynamic Seal, a precision parts manufacturer with a reputation for high quality, does not currently utilize a Statistical Process Control (SPC) system. However, United Airlines (UA), a major customer representing 14% of Dynamic Seal’s business, insists they implement an SPC system or loose United Airlines’ business. In addition Dynamic Seal do not have a sound preventative measure quality control system in place, preferring 100% inspection to cull bad quality, rather than building parts correctly from inception.
Goal: Reduce product variance and the need for rework by implementing a company-wide quality control system that includes an element of Statistical Process Control. A secondary goal is to reduce waste by focusing on Lean
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6. Machinists set informal equipment specifications, not the QC Dept.
7. The company operates a 100% inspection policy.
8. In-process inspection is infrequent, therefore origin of 25% of defective issues cannot be found.
9. Inspection and assignment of rework involves significant lag.
10. QC system generates significant volumes of paperwork: 80 defective reports (DMR) per week.
11. Product blueprints and Inspection Specs (IMS) often do not match and are not updated.
12. Initial defective rate documents (DMR) are often produced post-rework.
Analysis: Two sets of process data have been collected for initial analysis. Before specific SPC issues can be addressed the process and equipment should be assessed to see they meet the capability requirements laid out in the customer specs.
The first process examined uses the Lablond Lathe machinery and requires a machined diameter of 7.7250, plus tight tolerances of + .0005 inches. A Process Capability Ratio (Cpk) analysis of the lathe’s data, results in a Cpk of .379 (exhibit A). A result of less than one indicates the machine is not capable of matching the tolerances laid out in the IMS spec. Therefore the Lablond Lathe is not suitable to handle the process it is being used for. Before a more suitable machine is selected, the Lablond Lathe should be checked for calibration, as should the measuring equipment used. If all fall within calibration specs, new

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