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MGT 187 University of The Philippines Cebu: JKL Bearing

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___________________________________________________________________________ MGT 187

UNIVERSITY OF THE PHILIPPINES CEBU


Business Management Cluster
Lahug, Cebu City

Mgt 181 Caselet No. 6


JKL Bearing

Submitted to: Professor J. C. Cinco, Jr.


Date released: Feb 28, 2014
Date Due: Mar 07, 2014
Date Submitted:________________

Submitted by:
Group 4 Section B
Team Leader Base, Joseph Arnie
Members:
Abellana, Mary Kaye
Arzadon, Bethuel Reuben
Bito, Virgilio
Itong, Ma. Jelin Shane
Melicor, Ruth
Suralta, Naneth

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___________________________________________________________________________ MGT 187


Process Control Chart 1

Quality Control Process Charts


Sample size
Number of samples

Upper Control Limit, UCL


Center
Lower Control Limit, LCL

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6
24
Mean
37.896
35.807
33.718

Range
8.667
4.325
0.000

___________________________________________________________________________ MGT 187

There are 4 outliers; meaning, there are four (4) processes that are out of the upper and lower specification
limits.

Sample Number

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___________________________________________________________________________ MGT 187


The four (4) outliers were investigated and improved in a way to produce the outputs within the upper and lower
specification limits. We discovered that all four (4) were due to assignable causes, meaning such causes can be
prevented. To improve the process, we deleted the four (4) outliers with assignable causes. Below is the new
process control chart.
Process Control Chart 2 (after deleting the outliers)

Quality Control Process Charts


Sample size
Number of samples

Upper Control Limit,


UCL
Center
Lower Control Limit,
LCL

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6
20
Mean

Range

37.961

8.808

35.838

4.395

33.716

0.000

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___________________________________________________________________________ MGT 187

There are no outliers. The processes are in control because the processes are now within the upper and lower
specification limits. No pattern is shown as well, which means that the variation is random.

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___________________________________________________________________________ MGT 187


Given the improved process statistical control charts, we can then determine the process capability indices in line
with the customers quality requirements/standards.
Std.
LSL
USL
Buyer ID
Cpk
Dev.
0.85918
(microns)
(microns)
1
30
45
3.554423 Often we describe
Cpk as the
2
30
35
-0.32525
capability the
3
30
40
1.614589 process is
achieving whether or not the mean is centered between the specification limits. We will use the Cpk process
capability index because the processes are off-centered.

Only the Cpk for buyer 2 does not conform to the buyers specifications since the Cpk is less than 1.
Buyer 1

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___________________________________________________________________________ MGT 187


Buyer 2

Buyer 3

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___________________________________________________________________________ MGT 187


Capability analysis for Buyer 2 shows that it is going to be difficult to produce
bearings for the said buyer because the firm is not capable of producing at their given
specifications. Meanwhile for Buyer 3, it shows that although defects do not exist at the
moment, there is a high risk that there could be over the long haul. It could be seen in the
graph that it has actually exceeded the USL, implying that the firm is bound to have more
defects as it produces more bearings. On the other hand, Buyer 1 is within the specs limits,
which means to say that it is perfectly safe to produce bearings for the said buyer since the
firm can meet the specifications it has set. The firm is capable of producing bearings for
Buyer 1 and with this, both parties can sleep well.

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