To What Extent Can Improvements in Productive Flow and Product Quality Lead to an Increase in Sales and Profit? Use Examples to Critically Examine the Links.

These processes are not performed in isolation. The end result relies heavily on the satisfactory completion of all processes and the communication of all functional areas involved. By viewing these processes as a whole, management can identify process inefficiencies. These inefficiencies may include delays or queuing at process bottlenecks, lack of control or checking, or places responsibility for process activities is not clear.

Given the highly competitive nature of today’s markets we as a company must provide high quality products to survive. Quality itself has become a major competitive factor and in many ways is a contributing factor in success or failure. The intent of this memo is to identify, explain and evaluate the three types of cost associated with quality.

Crosby 's performance standard consisted of having a zero defect approach, which meant everyone involved (supplier and customer included) must understand. Crosby defined zero defect as not being a literal zero defect (as that is not always possible), but rather producing goods or services within agreed upon tolerances and requirements for quality and costs. Juran had a four step formula when it came to performance standards: establish goals to be reached, establish plans for these goals, meet the goals, and rewards based on results achieved. Deming had a process called the Deming Wheel, which was an adaptation of the PDCA (Plan, Do, Check, and Act) Problem Solving Cycle. To break it down, Plan involved designing components to improve results, Do employed the plan, Check evaluated the measurements, and Act made decisions based on the changes needed to improve the process.

A major part of the planning stage is the proposed solution for the implementation. After the evidence is analyzed critically, a plan is developed to implement with the help of a change model. Before implementing change, it is important to follow the steps, which includes: analyze change, know the elements and the way to apply change (Houser & Oman, 2011).

I would like to provide an example of what it would have looked like had the owner utilizes the Continuous Improvement Cycle when looking to increase the number of patients that receive his or her medical treatment at our facility. According to Kelly (2011), there are four steps that must be executed and they are “plan, do, check or study, and act” (p. 141).

There are several variations to the performance improvement process with most following a version of the PDCA cycle: plan, do, check, act. The "plan" identifies the nature of the problem, obtains the resources to resolve it and determins the best way to implement any change required. The "do" is the actual changing of an existing process. The "check" uses key performance indicators to measure and ensure that the new process is performing as expected. The "act" brings deviations to the change to make the underlying process as efficient as possible.

For example, Quick China is a Chinese food restaurant that has a similar concept to us. Their problem is that their food wasn’t being cooked quick enough. They decided to buy a quicker steamer for their meats and rice and now are seeing massive sale increases. In fact, the Wall Street Journal recently stated that, “Companies who are replacing their old machinery for more efficient and productive machinery have noticed a 35% increase in sales over the past nine months”. The addition of new machinery and increase in sales will contribute to the overall success of our

Improve Sales Management: Maintain and improve the company’s strong reputation and market position, and seek to improve management of the sales function, in the following ways:

With any company the goal is to increase your sales and to decrease your cost at the same time. This can be somewhat of a challenge and can take time to achieve. Our goal was to increase our sales and decrease our production costs. Over the years our sales increased, as our sales increased so did our production costs. The demand was increasing so we improved and increased the amount of product that we made. Over all our net income increased. In year six it was $61,278, year seven was $68,237, year eight was $73,585, and year nine was $90,805. Our expenses fluctuated over the years, but we were consistent in increasing our profit.

Being able to increase productivity and revenues has always been the greatest challenge of any manager, and the manager of RL Wolfe, a plastic pipe manufacturer, was not an exception. Because of the low-efficiency percentage RL Wolfe had in comparison to their its competitors, John Amasi, director of Production and Engineering , had no other choice then came up with a new way of improving RL Wolfe production methods.

Another crucial part of managing a sales team is to continually recruit and train new staff. New talent is a great way to generate fresh ideas; you never want your sales team to become stale. Sales Managers are always establishing sales programs and advising their team on ways they can improve their performance (Bureau of Labor Statistics).

Our company should make sure that manufacturers deliver products with the highest design specification, in order to be order-winner quality conformance, by delivering products with no defects (Hill and Hill, 2012). Furthermore, improvements in quality lead to a decrease in cost for the company. According to (Evans, 1997) higher quality products lead to a decrease in costs for the company through higher productivity: ‘improvements in quality leads to lower cost because of less re-work, fewer mistakes, fewer delays and snags’ (Evans 1997, P.55).

Sales, Sales, Sales are the only thing that matters. I have reiterated this to staff.

Even though Deming, Juran, and Crosby all have similarities between their key principles in quality management there are several aspects that are different to the approaches. They all recognize the importance of measurement to improve quality; however, the level of importance each emphasizes is different. Crosby and Juran view the cost of quality as the focus of measurement whereas Deming does not use the cost of quality as a focus (Suarez, 1992, p.18). To Deming, meeting the customers’ needs and expectations about a product or service is of higher importance to quality. He also considers unknown costs such as the impact of lost customers to be more significant than visible costs (Suarez, 1992, p.18).

Implementation of excellent quality comes with a cost. The company must decide if it is really worth compromising the quality for revenue. If the quality costs exceeds the expected revenue of the company then the company must abandon implementing quality control mechanism. If otherwise, the quality would contribute to the product value and hence the revenue.