Chapter 7 - Process Management - Case Iii: Stuart Injection Molding Company

Chapter 7 - Process Management Case III (pp. 366-367): Stuart Injection Molding

The Management and Control of Quality (Sixth Edition) by Evans and Lindsay,

South-Western Publishing (ISBN: 81-315-0136-1 or 978-81-315-0136-8).

By: Noriel Go Page 1 of 2 MGT 5853

Chapter 7 – Process Management

Case III. Stuart Injection Molding Company (SIMC)

Process Management as a business concept normally employs various interrelated activities

within an organization. Often times, these chains of activities are regarded as "value creation",

which involve effective execution of the process and efficient utilization of resources. Thus, the

ultimate goal of customer satisfaction is at hand.

In this case, SIMC was in the right track to hire a consultant in regards to its continuous

process improvement. Below are some of the most prevalent considerations SIMC should

evaluate:

Process / Department: Recommendation:

1. Production Capacity SIMC, in trying to venture into automotive sector as one

aspects of its business, should consider first production and

operational capacity. After determining that it can still

accommodate additional production on its operating capacity,

the next crucial step to do is a cost–benefit analysis on the

new business line. This is a key towards successful plan

execution – a blueprint of the value - chains. Strategic as it

seems, it incorporates the goal of the entire organization.

2. Operational Effectiveness Can the business handle excess capacity? Basically, this

question arises after the company has identified its capability.

Of course, operational effectiveness comes from a myriad of

support factors needed to produce what is required.

Combined with its existing time and quality tested procedures,

the cross-functional teams have knowledge and skills to

properly execute those changes. Since this will be a new

business segment, proper mapping of the existing procedures

is helpful. Hence, the need of a written manual.

3. Cross–Functional Teams Every department contributes to the success of the

organization. Those identified workers formed into crossfunctional

teams should properly document the specific

process assigned to them on every process level and aspect

they are involved in. This is where successful process

mapping originates. The team leader is responsible in

ensuring that every process level is well documented,

complete with process design and correct flow of the

activities. Monitoring is very important job for the lead.

4. Just – In – Time (JIT)

& What-If

Eliminating waste and cost maximization are of prime

importance in this case. We have seen that SIMC has

procedure in place for those non-conforming products.

However, it is without doubt that those items involve great

amount of cost. What does it mean to their budget? It costs a

lot, as I see it. What if, there's a smart and effective way to

minimize waste and non-conforming products? Would it be

great