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Need help with this assignment, instructions are below. Resources are attached.For this Assignment, you will analyze an organization’s quality management practices according to the Malcolm Baldridge National Quality Award criteria. You will rate the organization on seven different criteria, with supporting examples, and will make recommendations for quality improvements.You are an analyst in the Operations department at XYZ Corporation. The leadership team of another company (your “client”) is seeking XYZ’s services because they are considering making improvements to their operations using the Malcolm Baldridge National Quality Award criteria. You have been tasked with creating a report to inform the client’s decisions. The first part of the business analysis will cover the dimensions and importance of quality. The second part will cover the Malcolm Baldridge National Quality Award and how the client company can improve its operations by following the criteria laid out in the award. For this part, you will analyze the company and include some recommendations for how the company can make some improvements based on your analysis.Note: The “client” in this scenario will be the company in which you are currently employed. If you are not currently employed or if there are circumstances that prevent you from performing research on your current company, use Walden University or your most recent job instead. Use the template provided to complete your analysis.Note: Last week, you submitted Part 1 of this Assignment. This week, you will complete and submit only Part 2.To prepare for this Assignment:Review this week’s Learning Resources, as well as any of the readings from Week 5 as necessary to complete this Assignment. Note: You will continue to analyze the selected organization from Week 5 against the Malcolm Baldridge criteria.For each of the seven categories found within the Baldridge Excellence Builder document, assess your selected company on the descriptors found on page 15. Make note for each category of whether the company is Reactive, Early, Mature, or Role Model in its operations strategies and practices. For example, when considering the first category, Leadership, are its leaders’ behaviors characterized as being reactive to problems, or are they reflective of applied best practices and continual learning and improvement?Note: The seven categories and their associated sub-categories begin on page 7. The titles are subject to change each year when a new edition of the Baldridge Excellence Builder is published. In the 2019–2020 edition, the seven categories are as follows: 1. Leadership, 2. Strategy, 3. Customers, 4. Measurement, Analysis, and Knowledge Management, 5. Workforce, 6. Operations, and 7. Results.Refer to the Academic Writing Expectations for 2000/3000-Level Courses as you compose your Assignment.BY DAY 7Submit Part 2 of your report according to the following prompts.Part 2: Analyzing Quality for an Organization (11–13 paragraphs)Analyze the company you chose and estimate the company’s level of organizational excellence according to the criteria of the Baldridge Award to the best of your ability. In your analysis, include the following:A brief description of the company you selected, as well as an explanation of the company’s main product or service offering(s) (75 words, or 1 paragraph)An assessment for each of the seven categories against the descriptors found on page 15 of the Baldridge Excellence Builder document, along with a description of the company’s performance in that category, being sure to support your assessment with specific organizational examples and references to scholarly sources (525 words, or 7 paragraphs)Prepare a list of 3–5 specific recommendations, each from a different category, for how the company can make improvements based on your analysis. Provide support for your recommendations with references to at least two scholarly sources. (225–375 words, or 3–5 paragraphs)Note: Your report should adhere to the template provided. Be sure to incorporate properly formatted references to a minimum of four scholarly sources to support your work. Use the Week 6 Assignment Template, provided in this week’s Learning Resources, to complete this Assignment.Resources:https://asq.org/quality-resources/seven-basic-quality-toolshttps://www.cgma.org/resources/tools/essential-tools/quality-management-tools.html
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Chapter 13
Six Sigma Quality Management
401
Six S19Mc:1 T a·I” ng Leve s
Table 13.6
Training Levels
Description
Yellow Belt
Has a basic understanding of the Six Sigma methodology and the tools within the DMAIC problem-solving process,
including process mapping, cause-and-effect tools, simple data analysis, and process improvement and control methods.
Green Belt
Is a trained team member allowed to work on small, carefully defined Six Sigma projects, requiring less than full-time
commitment. Has enhanced problem-solving skills, and can gather data and execute project experiments. Typically
spends 25% of their time on Six Sigma projects.
Black Belt
Has a thorough knowledge of Six Sigma philosophies and principles. Exhibits team leadership, understands team
dynamics, and assigns team members with roles and responsibilities. Has a complete understanding of the DMAIC
process and a basic knowledge of lean concepts. Has knowledge of and can use advanced statistics, coaches successful
project teams, and provides group assessments. Identifies projects and selects project team members, acts as an internal
consultant, mentors Green Belts and project teams and provides feedback to management.
Master Black Belt
Has a proven mastery of process variability reduction, waste reduction, and growth principles, and can effectively train
at all levels. Challenges conventional wisdom and provides guidance and knowledge to lead and change organizations
using Six Sigma. Directs Black and Green Belts on the performance of their Six Sigma projects and also provides guidance
and direction to management teams regarding the technical proficiency of Black Belt candidates, the selection of
projects, and the overall health of a Six Sigma program.
Source: Six Sigma
belts, executives, and champions-what does it all mean? http://asq.org/learn-about-quality/six-sigma/overview/belts-executives-champions.html
2012, for example, the premium for MBBs over holders of the BB was $25,583. 28 Several of
the useful tools of Six Sigma are discussed next.
THE TOOLS OF SIX SIGMA

Ap p ly the various st at istical tools of Six Sigma
PROCESS MAPS
Also called process diagrams or flow diagrams, this tool is the necessary first step when
evaluating any manufacturing or service process. As described in several previous chapters,
process maps use rectangles representing process action elements and ovals representing
wait periods, connected by arrows to show the flow of products or customers through the
process. Once a process or series of processes is mapped, potential problem areas can be
identified and further evaluated for things like excess inventories, wait times, or capacity
problems. An example of a customer flow diagram for a restaurant is shown in Figure 13.1.
Using the diagram, restaurant managers can observe process activities and wait times, looking for potential problems requiring further analysis.
CHECK SHEETS
Check sheets allow users to determine frequencies for specific problems. For the restaurant
example shown in Figure 13.l, managers could make a list of potential problem areas based
on their observations, then direct employees to keep counts of each problem occurrence on
check sheets for a given period ohime (long enough to allow for true problem level determinations). At the end of the data collection period, the problem occurrences are tallied
and problem areas are evaluated. Figure 13.2 shows a check sheet that could be used in a
restaurant.
PARETO CHARTS
Pareto charts, useful for many applications, are attributed in part to the work of Vilfredo
Pareto, a noted 19th-century Italian economist and mathematician. In 1906, Pareto described
the unequal distribution of wealth in his country, observing that 20% of the people owned
Also called
process maps or flow diagrams.
Anecessary first step when
evaluating any manufacturing or
service process. They use rectangles
representing process action
elements and ovals representing
wait periods, connected by arrows
to show the flow of products or
customers through the process.
process diagrams
flow diagrams See Process
diagrams.
process maps See Process
diagrams.
check sheets Allow users to
determine frequencies for specific
problems. Managers make a list
of potential problem areas based
on their observations, then direct
employees to keep counts of each
problem occurrence for a period
oftime.
Pareto charts Attributed in part
to the work ofVilfredo Pareto,
a noted 19th-century Italian
economist and mathematician. It is
a chart showing the magnitudes of
problems, from biggest to smallest.
402
PART II
MANUFACTURING AND SERVICE FLOWS
Figure 13.1
Process Map of Customer Flow at a Restaurant
Customer arrives,
parks car
Customer enters,
asks for table
Customer gets
menu
—-+
Customer seated
Customer orders
food
—-+
Customer gets
food,eats
Customer gets
check
Customer uses
credit card
Customer walks
to car
about 80% of the wealth. In quality improvement efforts, Pareto charts show the magnitude
of problems, arranged from largest to smallest. Decades later, Joseph Juran described what
he called the Pareto Principle, referring to his experience that 20% of something is typically
responsible for 80% of the results. Eventually, this idea became widely known as the Pareto
Principle, or the 80/20 Rule.29 Applied to quality improvement, this refers to the common
Pareto Principle Refers to Juran’s
thinking that 20% of something is
typically responsible for 80% of the
results. Also known as the 80/ 20
Rule.
II
Figure 13.2
Restaurant Problem Check Sheet
Problem
Mon.
Tues.
Wed.
Thurs.
Fri.
Sat.
Sun.
SubTotals
%of
Total
long wait
IHI I
IHI
IHI Ill
IHI I
IHI Ill/
IHI IHI
JIii
48
26.5
II
I
I
Ill
II
9
5.0
II
I
Ill
/Ill
11
6.1
wrong food
IHI
II
I
II
IHI
Ill
I
19
10.5
bad server
IHI I
Ill
IHI
I
IHI I
II
I
I
II
I
Ill
I
cold food
>–bad food

bad table
room temp.
too
expensive
I
II
no parking
wrong
change
I
I
I
Totals
26
24
13.3
8
4.4
Ill
IHI
tH1
15
8.3
I
I
Ill
Ill
11
6.1
tH1
tH1 JI
14
7.7
/Ill
Ill
~—
/JI/
I—
other
—–
II
JI
tH1 I
I
I
I
II
18
31
I
14
42
43
18
4
7
181
9.9

2.2
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100
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Chapter 13
Figure 13.3
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QI
50
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40

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30

20
er
QI
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403
Pareto Chart For Restaurant Problems
60
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Six Sigma Quality Management
QI
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Problems
observation that a few of a firm’s problems account for most of the problem occurrences. In
other words, firms should fix the few biggest problems first.
Pareto charts present data in an organized fashion, showing process problems or defects
from most to least severe, along with the cumulative percentage of problem occurrences
contributed by each problem. It makes sense when utilizing a firm’s scarce resources to work
on solving the most severe problems first. As shown in Figure 13.3, the long wait restaurant
problem identified in the Figure 13.2 check sheet is the most severe problem, and should be
the subject of initial improvement efforts. (Note that, in this case, the two biggest of the 10
problems accounted for about 40% of the occurrences.)
CAUSE-AND-EFFECT DIAGRAMS
Once a significant problem has been identified, cause-and-effect diagrams (also called
fishbone diagrams or Ishikawa diagrams) can be used to aid in brainstorming the
causes of the problem. Figure 13.4 illustrates a cause-and-effect diagram for the most
severe long wait problem identified in Figure 13.3. The problem is shown at the right side
of the fishbone diagram. Each of the four diagonals of the diagram represents a potential
group of causes. The four groups of causes shown, Material, Machine, Methods, and
Manpower- also known as the 4 Ms- are the standard classifications used for identifying
problem causes. In most cases, problem causes will be found in one or more of these four
areas.
Typically, Six Sigma team members will gather to brainstorm the potential causes for
a problem within these four areas (also referred to as root cause analysis). In Figure 13.4,
each branch on one of the four diagonals represents one potential cause. Subcauses are also
part of the brainstorming process, and are shown as smaller branches attached to each of
the primary causes. Asking the question “why?” in response to each potential cause will
uncover the potential subcauses. Breaking a problem down into its potential causes and
subcauses in this way allows workers to then return to the site of the original problem to
determine the relative significance of each cause and subcause, using more specific checklists and Pareto charts once again. Eventually, the firm identifies the primary root causes of
a problem, and can take appropriate steps to eliminate them until most or all of the problem’s impact disappears. The Manufacturing Spotlight on page 404 describes Boeing’s very
successful root cause analysis group.
A detailed cause-and-effect diagram can be a very powerful tool for use in Six Sigma
improvement efforts. Without its use, workers and managers risk trying to eliminate causes
that have little to do with the problem at hand, or working on causes that are minor compared
to other, more significant problem causes. Once most of a problem’s causes are identified and
cause-and-effect diagrams Also
called fishbone diagrams or
Ishikawa diagrams. They are used
in brainstorming the causes of the
problem. The problem is shown
at the right side of the fish bone
diagram, with four diagonals of the
d iagram representing a potential
group of causes.
fish bone diagrams See Causeand-effect diagrams.
Ishikawa diagrams See Causeand-effect diagrams.
4 Ms The four groups of causesMaterial, Machine, Methods, and
Manpower-used in cause-andeffect diagrams.
root cause analysis
Brainstorming the potential causes
for a problem w ithin the 4 Ms.
Each branch on one of the four
diagonals represents one potential
cause. Subcauses are also part of
the brainstorming process and
are shown as smaller branches
attached to each of the primary
causes. Asking the question “why?”
in response to each potential
cause will uncover the potential
subcauses. Breaking a problem
down into its causes and subcauses
will lead to problem solutions.
404
PART II
MANUFACTURING AND SERVICE FLOWS
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=
~ MANUFACTURING
SPOTLIGHT
Boeing’s Use of Root Cause Analysis
The EPM Group’s best practices include: (1} Implement an
RCA program as early as possible, and create goals for the
program aligned with organization goals; and (2) measure the
performance of an RCA-for Boeing, these were the time it took
to complete each RCA, the number of RCAs completed by the
team per year, the effectiveness of the solutions, and the savings
created by the program.


The length of time that it took to implement solutions was the
period the company was vulnerable to the problem reoccurring,
so use of this metric ensured that everyone was focused on
finding effective solutions as quickly as possible. To improve its
ability to close out an RCA and reduce its exposure to risk, Boeing
created a board of senior staff who could approve expenditures
and remove roadblocks that delay solution implementation.
Boeing uses electronic submissions to gather evidence, along
with virtual, team-based tools that unite RCA team members
from different regions in a cost-effective manner. They ensure
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e
;?

“S
u
=
Boeing’s Enterprise Problem Management (EPM) program is a
all evidence and data are collected and catalogued as soon as
_
_
world-class root cause analysis (RCA} effort. The EPM Group has a
100% success rate in preventing problem reoccurrences after all
possible. Finally, they store completed RCAs for other investigators
to search. After a triggering event occurs, an effective initial step

=
solutions are implemented. Reducing the time to finish an RCA is
critical in reducing organizational threats. In its first five years, the
is to search the records for an RCA that may have been completed
on the same or similar event. This may allow a team to identify
:
:
group was able to reduce times to finish an RCA by 42%.
known causes and effective solutions quickly.30

_

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0
Watch a ·crash course” on
cause-and-effect diagrams
eliminated, the problem itself should be back under control. At this point, firms can design and
begin using statistical process control charts, discussed in the following chapter supplement.
TRENDS IN SIX SIGMA

Ex plain t he new applicatio n s of Six Sig ma
Although the philosophy and practices of Six Sigma have been in use for over 25 years, new
applications of Six Sigma are constantly being discussed and published in research journals
and trade publications. Two of the most recent applications are presented here.
SIX SIGMA AND REVENUE MANAGEMENT
Read more about
trend s in Six Sigma
revenue management Offering
the right service to customers at the
right time, for the right price. Also
referred to as yield management.
yield management See Revenue
management.
One approach for optimizing revenues in an organization is to offer the right service
to customers at the right time, for the right price. When applied to perishable services
such as airline seats or hotel rooms, this is referred to as revenue management or yield
management (a topic discussed in Chapter 10). Applying Six Sigma to revenue management allows the firm to reduce costs while maximizing revenues, which will further
improve profits.
In revenue management, the problem of when to offer a service, to whom, and how
much to charge is addressed. If an unrented hotel room or empty airline seat is considered a
defect, then Six Sigma can be used to seek out the root causes of the defects, eliminate them,
and ultimately improve a firm’s financial performance. Six Sigma can also support revenue
managers in making correct forecasting, overbooking, and market segmentation decisions.
Specifically, the DMAIC improvement cycle can be used to improve revenue management.
Currently, major hotel chains such as Starwood Hotels and Resorts Worldwide are experimenting with this approach.
Chapter 13
Figure 13.4
Six Sigma Quality Management
405
Cause-and-Effect Diagram for the Long Wait
Problem
Machinery
Material
Run out
of food
Washing machine breaks
Credit card
scanner breaks
LONG
WAIT
Too much
overbooking
Understaffed
shifts
Preference
to VIPs
High turnover
No system for
food or drink
pickup
Methods
Manpower
SIX SIGMA AND THE THEORY OF CONSTRAINTS
Using the Theory of Constraints (TOC) to identify bottlenecks (as described in Chapter 8),
while using Six Sigma to improve the bottleneck processes, provides a potent combination
for quickly finding root causes and improving capacities in organizations. A U.S. mining
company has been experimenting with this combination (it refers to it as “6TOC”) to keep
costs down while maximizing capacity. In one case, it used Six Sigma to improve its truck
hauling bottleneck by studying how rock was hauled and dumped into the primary crusher.
Ultimately, it was able to lower the truck hauling cycle times, which increased production
and delayed the purchase of another truck and the hiring of another driver. 31
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action
SUMMARY
In operations management, the use of Six Sigma to manage
quality can provide firms with a distinct competitive advantage. This chapter provided a discussion of the philosophy,
tools, and contributors to Six Sigma. A discussion of lean
and Six Sigma was also included, since lean systems require
the use of Six Sigma quality improvement methods and
—–….

I
406
PART II
MANUFACTURING ANO SERVICE FLOWS
tools. A number of important Six Sigma practices have been
reviewed in this chapter that will aid the firm in its qual­
ity improvement efforts. Regardless of whether the firm is
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a manufacturer or a service, these tools can be utilized to
assess current practices and processes, leading to continuous
quality improvement.
KEY TERMS
ISO 14000, 399
ISO standards, 399
Lean Six Sigma, 395
Opportunities for a defect to occur (OFD), 393
Pareto charts, 401
Pareto Principle, 402
Process diagrams, 401
Process maps, 401
Revenue management, 404
Root cause analysis, 403
Six Sigma, 391
Yield management, 404
Baldrige Quality Award, 397
Cause-and-effect diagrams, 403
Check sheets, 401
Critical-to-quality characteristics, 400
Defects per million opportunities (DPMO), 392
Deming’s Theory of Management, 395
DMAIC improvement cycle, 400
Fishbone diagrams, 403
Flow diagrams, 401
4 Ms, 403
Ishikawa diagrams, 403
ISO 9000, 399
FORMULA REVIEW
Defects per million opportunities, DPMO =
number of defects
x1,000,000
(OFD per unit)(number of units)
where OFD = opportunities for a defect to occur.
SOLVED PROBLEMS
Vickie and Todd make dog treats for their Internet order business, Good Boys Bakery. They want to track quality, so they
decide to calculate their defects per million opportunities, or DPMO, each month. For each bag of dog treats they sell, there
are four possible defects or customer complaints: a food complaint, a delivery timing complaint, an incorrect order, or a
damaged order. During the past month, Good Boys filled 340 orders. It received eight complaints. Calculate the DPMO and
determine the approximate Six Sigma level.
Answer:
::
Good Boys DPMO =
::
::
=
number of defects
x 1,000,000
(OFD per unit)(number of units)
8
xl,000,000 = 5,882 defects per million
(4)(340)
Using Table 13.l, this reveals a Six Sigma level of slightly better than 4.
REVIEW QUESTIONS
::
1. Describe Six Sigma’s origins.
2. What is the reason for using the name Six Sigma?
3. What is DPMO, and why would a company
calculate it?
4. What does Six Sigma have to do with lean? What is
Lean Six Sigma?
5. Describe Deming’s Theory of Management, and how it
can be used to improve quality.
6. What is the Deming Prize? What companies can
receive it?
7. What was the reasoning behind Crosby’s belief that
quality is free?
Chapter 5 • Managing for Quality

Strategic Quality Planning. One of the
essential elements of strategic quality
planning is benchmarking. Benchmarking
is the process of comparing the quality
of your company’s products or services
and its processes with chose companies
considered to be world leaders in quality. Hyundai (Hyundai Motor Company,
Seoul, South Korea) has successfully
improved its image for quality among
American car-buyers by routinely benchmarking its autos against the cars produced by Toyota and N issan . Firms can
even benchmark the best practices of
companies in other industries to find out
w hat they are doing well and adapt chose
practices to their own operations.
171
FIGURE 5.2: Key Aspects of Total Quality Management
TQM isn’t just for manufacturing firms. As the
Operations Profile on page 172 illustrates, many
service organizations such as hospitals have realized
immense benef …
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