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Six sigma is a way to measure the probability of manufacturing a product or creating a service with zero defects. Presents a case study to illustrate how the concept of zero defects, measured by six sigma, can be applied to customer satisfaction measurement and to examine the impact of customer expectations on the company’s strategies for improving satisfaction. The information presented is based on actual studies conducted for a high‐tech manufacturing company in the USA during 1991 and 1992. The performance and expectations values and some of the attributes have been altered for reasons of confidentiality.

The purpose of this paper is to study the anodising process of a portable amplifier production process to identify and eliminate the sources of variations, in order to improve the process productivity.

The study employs the define-measure-analyse-improve-control (DMAIC) Six Sigma methodology. Within the DMAIC framework various tools of quality management such as SIPOC analysis, cause and effect diagram, current reality tree, etc., are used in different stages.

High rejection rate was found to be the main problem leading to lower productivity of the process. Four types of defects were identified as main cause of rejections in the baseline process. Pareto analysis resulted in detection of the top defects, which were then analysed in details to find the root cause of the problem. Further study resulted in finding improvement measures that were discussed with the management before implementation. The process is sampled again to check the improvements, and control measures were established.

The study provides a framework for implementation of DMAIC Six Sigma methodology for a manufacturing firm. The results presented are based on the data collected from the shop floor. Results and findings of the study were implemented for quality improvement of the process.

The study is based on an original research conducted with the objective of quality improvement in the anodising process of the production process. Besides presenting an approach to DMAIC Six Sigma methodology, an application of the current reality tree tool for root cause analysis is presented, a tool used limitedly in the Six Sigma studies. The tool finds its uniqueness in its ability to address problems relating multiple factors than isolated factors.

Learning outcomes are as follows: students will discover the importance of process orientation in management; students will determine the root cause of the problem by applying root cause analysis technique; students will identify the failure modes, analyze their effect, score them on a scale and prioritize the corrective action to prevent the failures; students will analyze the processes and propose error-proof system/s; and students will analyze organizational culture and ethical issues.

Purpose: This case study is intended as a class-exercise, for students to discover the importance of process-orientation in management, analyze the ethical dilemma in health care and to apply quality management techniques, such as five-why, root cause analysis, failure mode and effect analysis (FMEA) and error-proofing, in the management of the health-care and service industry. Design/methodology/approach: A voluntary reporting of a case of “radiation overdose” in a hospital’s radio therapy treatment unit, which led to an ethical dilemma. Consequently, a study was conducted to establish the causes of the incident and to develop a fail-proof system, to avoid recurrence. Findings: After careful analysis of the process-flow and the root causes, 25 potential failure modes were detected and the team had assigned a risk priority number (RPN) for each potential incident, selected the top ten RPNs and developed an error-proofing system to prevent recurrence. Subsequently, the improvement process was carried out for all the 25 potential incidents and a new control mechanism was implemented. The question of ethical dilemma remained unresolved. Research limitations/implications: Ishikawa diagram, FMEA and Poka-Yoke techniques require a multi-disciplinary team with process knowledge in identifying the possible root causes for errors, potential risks and also the possible error-proofing method/s. Besides, these techniques need frank discussions and agreement among team members on the efforts for the development of action plan, implementation and control of the new processes. Practical implications: Students can take the case data to identify root cause analysis and the RPN (RPN = possibility of detection × probability of occurrence × severity), to redesign the protocols, through systematic identification of the deficiencies of the existing protocols. Further, they can recommend quality improvement projects. Faculty can navigate the case session orientation, emphasizing quality management or ethical practices, depending on the course for which the case is selected.

MBA or PG Diploma in Management – health-care management, hospital administration, operations management, services operations, total quality management (TQM) and ethics.

Teaching Notes are available for educators only.

CSS 9: Operations and Logistics.

With competitive rivalry eroding traditional product differentiation, legally protected brands have gradually become one of the most prized assets of multinational corporations. The defense of domestic brand shares and the expansion of well-known brands into new foreign markets have become important tasks of corporate managers. Yet, to date, there is no clear recognition of this increasing role of brands in the economic theory of international trade. This paper explores the implications of strong brands for intra-industry trade, for Vernon’s product-cycle model and for international trade overall. On balance, the ascent of global brands is shown to raise trade in standardized products, exacerbate the shift toward intra-firm trade, and sustain the dominance by large centralized multinationals.