Supply Chain Overview

CISCOM
SUPPLY CHAIN &
OPERATIONS MANAGEMENT
Business Research and Service Institute
Pennsylvania, USA
brasi.org
0
CISCOM
Four Modules – One Exam
Module 1: PLANNING
Module 2: ORGANIZING
Module 3: DELIVERING
Module 4: GROWING
brasi.org
1
CISCOM Curriculum
MODULE 4
GROWING
Chapters
1. Growth Dynamics
2. Sustainable Growth
3. Best Practices and Bench Marking
4. Productivity Tools
Lean
JIT
Six Sigma
Theory Of
Constraints
5. Change and Transformation
6. Balancing the 4Cs
2
CISCOM
Certificate in Supply Chain
& Operations Management
Module 4
GROWING
Business Research and Service Institute
www.brasi.org
MODULE 4
GROWING
CISCOM
Chapter 1
Growth Dynamics
Business Research and Service Institute
www.brasi.org
Comparative to market growth
A market analysis studies the
attractiveness and the dynamics of a
special market within a special
industry. It is part of the industry
analysis and thus in turn of the global
environmental analysis.
Through all of these analyses, the
strengths, weaknesses, opportunities
and threats (SWOT) of a company can
be identified. Finally, with the help of
a SWOT analysis, adequate business
strategies of a company will be
defined
5
Markov Analysis
'Markov Analysis' A method used to forecast the value of a variable whose
future value is independent of its past history.
6
Profitable Growth
Continuous Improvement
What is the rate of value addition year over year?
Cost, Cycle Time, Inventory…
Innovation
What %age of your revenue represents products
launched within the last two years?
Product Life Cycle Management…
Sustainability
What %age of your materials is renewable/
Recycled.
Reduce, Reuse, Recycle…
7
Spend analysis
It is the process of collecting, cleansing, classifying and
analyzing expenditure data with the following purpose.
Reducing
procurement
costs
Improving
efficiency
Monitoring
compliance
8
Spend analysis
Companies perform spend analysis mainly for profitability, In
addition to improving compliance and reducing cycle times it helps
companies find new areas of savings and maintain savings that
they have already negotiated
9
Spend Visibility - Applications
How much are you spending?
Who are you paying?
What are you getting in return?
Cash Flow Analysis
Operating Capital
Total Cost of Ownership
10
supply chain dynamics constrained
Just as in project
management, supply chain
dynamics are mostly
defined by the triple
constraints of Time, Quality
and Cost.
Among the four stages of product life cycle (Introduction, Growth, Maturity and Decline),
it is usually the Introduction phase that requires most energy and expenditures.
11
Current market value
It is the estimated or quoted price if an asset is offered for sale
12
Original cost
It is the cost at which an asset is
acquired.
13
Direct Cost and indirect Cost
Direct labour and direct
material
used to make a unit of
product
Indirect cost includes factory
or
manufacturing overheads,
represented as total value or
cost per unit
14
Fixed Cost
Fixed cost is that portion of the total cost that does
not change with change in volume within a certain
range. Cost of equipment is an example.
15
Variable Cost
The portion of total cost that is incurred only when
product is made, for example, direct material and
direct labour
16
Cost Of Goods Manufactured
Cost of all good completed at all stages of manufacturing, but
not sold yet
Expression for COGM for a given period = Work-In-Process opening
inventory + Work-In-Process received – Work-In-Process closing
inventory
17
Cost of Goods Sold (COGS)
It is the cost of inventory at the finished goods stage, which is
an asset and is expensed to the P&L statement at the time of
sale
Expression for COGS for a given period = FG opening inventory + FG
receipts into inventory – FG inventory closing balance.
18
Gross Margin
Gross Margin = Sales – Cost Of Goods Sold
19
Depreciation
It is the depletion of value of an asset over a period of time. The
remaining value at the end of each period is called the Book Value,
which may be equal to, higher or lower than the market value at
that time, depending on the nature of the asset
20
Replacement cost
It is the current cost of replacing an asset.
21
Variance
When the Standard Costing method is used for product costing,
variance represents the difference between the estimated standard
cost and the actual costs incurred. Variance may be positive
(favourable) or negative (unfavourable).
22
Contribution Margin (CM)
Contribution Margin (CM) is the difference between the variable
cost and sales price per unit, i.e., the balance amount per unit that
is contributed to absorb the fixed costs,
overheads and profit margin.
Breakeve Point: Total Revenue = Total Cost
400000
Sales Revenue
Fixed + Variable Cost
Fixed Cost
350000
300000
250000
$
Breakeven Point
200000
150000
Units
100000
50000
0
CM Table
23
Breakeven Point or Breakeven Volume
It is the volume of sales at which total cost equals total revenue, i.e.,
no profit, no loss. With a positive contribution per unit, sales beyond
the breakeven point start to accumulate profit. Breakeven is
represented by the following equation
24
MODULE 4
GROWING
CISCOM
Chapter 2
Sustainable
Growth
Business Research and Service Institute
www.brasi.org
Improvement Focus: NetSuite Survey
Business Improvement Initiatives 2013-2014
Improving employee productivity
Reducing Product Cost
Innovation
Modernizing, Streamlining or Automating Processes
Improving Supply Chain Integration
Reducing Energy Costs
Renegotiating Supplier Contracts
Use (Value Achieved)
Minimizing Inventory Investment
Reducing Overhead
Reducing Transportation Costs
Rationalizing Supplier Base
Laying off Staff
Outsourcing
Reducing Hours
Switching to E-commerce
Cutting Salaries
Cutting IT Budgets
Other
0%
10%
20%
30%
40%
50%
60%
70%
80%
26
Budget – Roadmap for Development
Budget is the projection
of costs, expenses,
revenues and margins
over a specified period
of time, usually the
fiscal year. It a very
important tool to
channel the
organization’s resources
towards meeting its
strategic objectives
27
Measuring Performance - Financial Ratios
Financial Ratios are used to quantify various aspects
of business performance in financial terms. Some
commonly used ratios are as follows
Some Common Financial Ratios
Liquidity Ratio or Current Ratio = Current Assets/Current Liabilities
Quick Ratio = (Current Asset – Inventory)/Current Liabilities
Gross Margin = (Net Sales – COGS)/Net Sales
Return On Assets = Net Income/Total Assets
Stock Turnover Ratio or Inventory Turns = COGS/Average Inventory
28
P&L Statement
P&L Statement measures
a company’s performance
over a period of time,
usually a year. Fiscal year
may start from January
and end in December, or
start in any other month
of the year and end 12
months later
29
Balance Sheet
It is the snapshot of a company’s financial situation at the end of an accounting period,
the same period as for the P&L Statement. On the balance sheet, total assets must
equal total liabilities plus owners’ equity, hence the term Balance Sheet.
30
Cash Flow Statement
Cash Flow
Statement
represents the
cash inflow and
out flow and
cash balance
for a given
period
31
Accrual
Accrual is the term used
to express a commitment
or transaction that crates
an asset or a liability,
however, the balancing
cash flow may not occur
at the same time, but
may be deferred to a later
date. For example, we use
electricity, accruing cost
every day, although we
are billed on a monthly
basis
32
Overhead Absorption
Overhead absorption is the process of dividing the
fixed costs or overheads over the total production
volume
If the actual volume exceeds the budgeted
volume, then the overhead cost is over absorbed
or positive absorption variance
Conversely, if the actual volume turns out to be less than
budget, then the overheads are under-absorbed, meaning
that the unabsorbed overhead cost will negatively impact
the profit margin
33
Sensitivity Analysis:
A tool or mathematical model to assess the impact of a change in inputs
to the output. It is also known as the Uncertainty Analysis as the
primary objective is to gauge the impact of uncertainty on the outcome
34
MODULE 4
GROWING
CISCOM
Chapter 3
Best Practices &
Bench Marking
Business Research and Service Institute
www.brasi.org
Best Practices
A best practice is a technique or methodology that, through experience
and research, has proven to reliably lead to a desired result
36
Benchmarking
Benchmarking is the process of comparing one's business processes and
performance metrics to industry bests and best practices from other
companies.
37
Measure of sustainable growth
The sustainable growth rate (SGR) is the maximum growth rate that a
firm can sustain without having to increase financial leverage.
Calculated as:
ROE x (1 - dividend-payout ratio)
38
Kaizen – Continuous Improvement
The process of
continuous
improvement, also
referred to as the
Japanese term
Kaizen, focuses on
gradual, steady
improvements over
a sustained period
of time
39
The Toyota Production System (TPS)
The Toyota Production System (TPS) is an integrated socio-technical system,
developed by Toyota, that comprises its management philosophy and
practices. The TPS organizes manufacturing and logistics for the automobile
manufacturer, including interaction with suppliers and customers.
40
MODULE 4
GROWING
CISCOM
Chapter 4
Productivity Tools
Business Research and Service Institute
www.brasi.org
Productivity Basics
Productivity is the ratio between Input and Output
Output
productivity 
Input
Supply
Chain
Overview
Example: comparing two similar machines, producing the same
item
Machine A: Production = 120 Units, Hours used = 60
Productivity = 2 Units Per hour
Machine B: Production = 120 Units, Hours used = 48
Productivity = 2.5 Units Per hour
Although both the machines produced the same quantity, machine
B demonstrated higher productivity.
42
Productivity Basics (Contd.)
The concept applies to many situations:
Material Productivity: Yields on raw materials received from source
A versus source B (scrap factor/quality).
Supply Chain Overview
Capital Productivity: Financial return from investing in Option A
versus Option B.
Labor Productivity: Effective processes leading to higher results,
versus wasteful processes causing productivity loss.
43
Obstacles to Achieving Productivity
Complexity
• Unclear roles and responsibilities –
duplication of effort
Lack of Coordination
• Various part of an organization moving
in different directions
Lack of training
• Skills gap to promptly identify and
address issues.
Supply Chain Overview
44
Competitive Strategy





Cost
Quality
Delivery Speed
Convenience
Innovation
Supply Chain Overview
45
Improvement Methodologies
Relevance 1 – 10 (Varies for different industries and situations)
Area of Strategic
Differentiation
TQM
JIT
Lean
6 Sigma
TOC
Cost
6
10
10
8
10
Quality
10
7
4
10
3
Speed
2
10
10
8
6
Convenience
8
2
2
2
2
Innovation
10
6
6
8
6
46
Lean Process
5S without 5Y is just housekeeping
Lean Process refers to
elimination of waste,
thereby creating more value
with less cost and effort.
47
Value Stream Mapping (VSM)
In Value Stream
Mapping (VSM),
each cost activity is
assessed whether it
adds value for the
customer or for the
business. If any
activity does
neither, then it is a
potential candidate
for removal
48
Value Chain
The concept of Value Chain focuses on analyzing cost and value added at
each step of the supply chain with a view to reducing costs, thereby
adding value for the customer
49
Gemba Walk
Gemba Walk represents the engagement of senior leader in the
manufacturing environment where value is created for the
customer.
The idea is to break down barriers and open communication
with the workers and technicians who have valuable insight
about process improvement.
50
Quality Management (TQM)
TQM aims at building quality in the process, so
that the dependence on inspection can be
minimized., because…
…You cannot inspect quality into a
product
51
7 Tools of TQM
1.
2.
3.
4.
5.
6.
7.
Cause-and-effect Diagram (also known as the
“Fishbone" or Ishikawa diagram)
Check Sheet
Control Chart
Histogram’
Pareto Chart
Scatter Diagram
Flow Chart
Supply Chain Overview
52
Pareto Analysis
Pareto Analysis is
an approach to
emphasize the
significant few
versus trivial many,
in order to focus
improvement
efforts for the
biggest return. It is
also called the
80:20 rule,
meaning that
80% of the effect
is caused by 20%
of factors
53
TQM Approach
54
Multiplier Effect of Defects
Process
100%
=
100%
x
100%
x
100%
WISH or HOPE…
87%
=
92%
x
99%
x
95%
REALITY
(best guess)
74%
=
88%
x
91%
x
93%
55
Just-In-Time
Just-In-Time can be defined as an inventory strategy implemented to
improve Return on Investment (ROI) by reducing in-process inventory
and associated carrying costs. This process is based on the supply at
the time of need only, which is driven by a signal, called Kanban.
56
What is Muda?
Muda is the
Japanese term for
waste – it is used in
campaigns to
remove any source
or cause of waste
of material or time,
in an effort to
improve the
quality of products
at a lower cost
57
Six Sigma
Six Sigma quality or reliability
level is achieved when the
defects or variability is
systematically reduced to
only 3.4 defects or errors per
million opportunities
58
Measure of Dispersion
Sigma = Measure of Dispersion
in a Normal Distribution
1 Sigma = 1 Standard Deviation
Supply Chain Overview
1 ∑ = 67% Probability of Success (33% Failure)
2 ∑ = 93% Probability of Success (7% Failure)
3 ∑ = 98% Probability of Success (2% Failure)
6 ∑ = .00034% Failure, or 3.4 Failures
in 1 Million Opportunities
59
Statistical Process Control
Statistical Process Control
is a quality management
tool which is based on
recording the process
parameters and product
characteristics in order to
determine the source of
errors or variability and
eliminate the root cause.
The two main recording
formats are Control Charts
and Scatter Diagrams
60
Using SPC Data to Determine Process Capability
Process/Equipment Capability
• Performance data under various conditions
• Defining UCL/LCL and Probability of Non-Conformance
• Compare with product quality spec, customer requirement, regulatory
requirement
• Assign equipment to products accordingly
• Improve common causes as necessary
61
Tea Packaging: Filler Calibration
Regulatory requirement + infusion quality:
2 grams per tea bag
Defining UCL/LCL and Probability of Non-Conformance
• Volumetric filling
• Gravimetric filling
Setting the process mean at target weight + variation in order to ensure
minimum required weight, with estimated overfill, part of the product
cost.
62
Six Sigma Process: DMAIC
1.
2.
3.
4.
5.
Define
selecting high-impact projects and understanding which
underlying metric(s) will reflect project success.
Measure
documenting the current process, validating how it is
measured, and assessing baseline performance.
Analyze
isolates the top causes behind the effect, no more
than three in most cases.
Improve
Controlling or eliminating the causes; focus on
process redesign.
Control
Sustaining the improvement, by irreversible design
change – minimum need for monitoring.
Supply Chain Overview
63
DMAIC steps
In Six Sigma process improvement, DMAIC steps represent the following.
64
Bull Whip Effect
Bull Whip Effect occurs
when information is
communicated from one
step to another in a silo
fashion, as it causes
distortion and inaccuracy
to creep in. Each stage in
the supply chain therefore
has its own set of numbers
which may be different
from the actual endrequirement. The Bull
Whip Effect can cause
inventory excesses or
shortages
65
Process Mapping - SIPOC
SIPOC – Pizza Delivery
Suppliers
Inputs
Process
Outputs
Customers
ABC Dairies
Cheese
Prepare Dough
Pizza
Sunny Farms
Vegetables
Add Sauce
Zesty Inc.
Sauces
Add cheese
and toppings
Dine-in
customers
Take-out
customers
Delivery
customers
Golden Mills
Flour
Bake
Remove from
oven and serve
66
Lean and Six Sigma Together
Together, Lean and Six Sigma have the greatest impact, as Lean focuses on
reducing cycle time while Six Sigma focuses on reducing process variability,
thereby targeting high, consistent quality at low cost
67
SMED – Single-Minute Exchange of Die
Originate from plastic molding: Dies are pre-hated and cooled off-line,
without holding the expensive machine hours.
Previous Situation:
Injection Molding Press Cost Per Hour (mostly depreciation + allocated factory
overhead) = $650/Hours
Old Die cooling off before removal = 6 hours
Removal time = 1 hour
New die installation = 2 hours
Heating time = 3 hours
Total Unproductive time = 12 hours x 650 = $7800 per exchange of dies
Number of die changes in a year = 65
Total Cost die changes per year = 65 x $7800 = $507,000
Side effects:
• Less flexibility due to large lot size necessary to absorb high switchover cost.
• Capacity lost to unproductive (wait) time.
68
SMED – Single-Minute Exchange of Die
Improved Situation:
Old Die removal (while hot) = 1 hour
New Die installation (preheated) = 2 hours
Total Unproductive time = 3 hours x 650 = $1950
Number of die changes in a year = 65
Total Cost die change = 65 x $1950 = $126,750
Off-line cooling station = 6 hours x $ 25/hour = $150 x 65 changes = $ 9,750
Total cost per year = $ 126,750 + $ 9720 = $ 136,470
Saving of $ 507,000 - $ 136470 = $ 370,530
Side benefits:
• More flexibility due to smaller lot size possible with shorter set-up time (less
hours to absorb).
• Capacity recovered due to reduction of wait time.
69
SMED – Single-Minute Exchange of Die
The concept applicable to any process which presents a potential for
concurrent processing
70
SMED – Single-Minute Exchange of Die
Airbus patents designs for convertible plane
After two years of scrupulous research, the United States Patent and
Trademark Office accepted a patent for one of the strangest designs we've
seen for a plane. Airbus's 'convertible' plane designs show a detachable
cabin, which would allow passengers to board quickly before being attached
to the rest of the aircraft.
In a business that's all about timing, the newly patented designs could allow
airlines to cut turn around times considerably. The detachable cabin would
be removed from the roof with the help of a specialized crane, allowing
boarding and disembarkment to happen in record time. The cabin full of
arriving passengers would be extracted and replaced by another, already full
of people going in the other direction. Speedy!
71
Constraints Management
It is a powerful tool to identify the bottlenecks in a process and apply
strategies to resolve the constraints
Drum: The pace
of manufacturing or
average Takt time – which
needs to be maintained in
order for the operations to
be cost effective and
customer oriented
Buffer: Inventory
cushion for
constrained resources
in order to avoid
disruption in case of a
delay in supply from
an upstream process.
Rope: The communication going
back from the key gateways to the
releasing processes, advising them if the
pace needs to be increased or decreased,
depending on the inventory build at the
control points.
Three elements in the process
72
Theory Of Constraint (TOC)
Theory Of Constraint (TOC) developed by Eliyahu M. Goldratt provides a
systematic approach to identifying and resolving constraints in business.
It is a five-step process
Identify the constraint
Exploit the constraint
Subordinate other resources to the constraint
Elevate performance of the constraint
Repeat the process for the next constraint
73
Theory Of Constraints - TOC
Constraint is “Something” that is
blocking your business from
achieving its goal of making
more profits
Dr. Eliyahu M. Goldratt
74
Types of Constraints
• Physical
o Machines
o Materials
o Skill Sets
o People
o Money
• Managerial (Nonphysical)
o Policies Mindset Culture and Attitude
o Measures Perception of how to measure progress
o Behaviors Methods Rules and Procedures
• Environmental (Nonphysical or Physical)
o Infrastructure
o Climate/Weather
75
Bull Whip Effect
BRASI’s 3 Levers for sustainable growth
If the demand information
is not shared centrally,
rather in silo fashion from
one step to another, then it
can get distorted in the
process and cause
imbalance in inventory and
customer service. This is
caused Bull Whip Effect.
Cash Flow
Capacity
Customer service
76
What is TOC?
Organizations are systems analogous to chains
Resources are links; processes connect them.
The weakest link determines the strength of any
chain.
The constraint determines the strength of the
organization:
 ability to achieve its goal/purpose
 make more money now and in the future
77
The TOC Process
• STEP 1: IDENTIFY the system’s constraint(s).
• STEP 2: Decide how to EXPLOIT the system’s constraint(s).
• STEP 3: SUBORDINATE everything else to the above
decision.
• STEP 4: ELEVATE the system’s constraint(s).
• STEP 5: If in a previous step a constraint has been broken, go
back to step 1, but do not allow INERTIA to cause
a system’s constraint.
78
The TOC Process
Raw
Material
RM
Capacity
(units/day)
Finished
Goods
A
B
C
D
E
10
9
5
7
8
+/- 2
+/- 2
+/- 2
+/- 2
+/- 2
FG
Which Station is the Bottleneck?
Backlog Example
79
Drum, Buffer & Rope
DBR: The generalized process used to manage resources to maximize
throughput
• The Drum is the rate or pace of production set by the system’s constraint.
• The Buffer is the amount of work in front of the bottleneck resource in
order to ensure full utilization, eliminating idle time.
• Rope is the signal from the bottleneck station to the prior stages/material
release to regulate the amount of work flowing to it, in order to maintain
a manageable work in process.
80
The Drum-Buffer-Rope elements
In Theory Of Constraints, the Drum-Buffer-Rope elements
represent the following.
• The pace of production,
which sets the level of
activity for the plant or
process
Drum
Buffer
• Predetermined amount
of surplus inventory in
front of the constrained
resource so that it
always has work to do
and there is no idle time
• It is the signal to release
material from the
upstream process or
station, in keeping with
the pace set by the
Drum
Rope
81
Drum, Buffer & Rope Placement
1
A
10
C
B
10
A
S
Constraint Buffer
Assembly Buffer
Shipping Buffer
Rope
A
2
D
10
E
5
C
F
10
G
10
FG 1
Ship
Date
S
82
Drum, Buffer & Rope Exercise
1
A
10
B
10
C
10
2
D
10
E
5
F
10
G
10
FG 1
3
H
20
I
20
4
J
10
K
5
L
10
M
10
FG 2
5
N
10
O
10
FG 3
83
Drum, Buffer & Rope Exercise Solution
84
MODULE 4
GROWING
CISCOM
Chapter 5
Change and
Transformation
Business Research and Service Institute
www.brasi.org
More of the Same???
86
Or a Refreshing, New Idea?
87
Need for Change
Change is a fact of life. Organizations, like organisms, must adapt
or die. Neither course is comfortable. In its operations, an
organization evolves a way of thinking about itself, its
competitors, and the environment with which it and they must
cope.
88
Resistance to change
Resistance to change is the action taken by individuals and groups when they
perceive that a change that is occurring as a threat to them.
Do people resist change?
Or it something else that they resist about change?
People resist being changed!
People don’t resist change if it is of their
liking or if they are involved in making it
and feel to be a part of it.
Respect for people is a precondition for
meaningful and long lasting change.
89
Change Enablers
Clarity of Purpose
The single most effective motivator
Making adjustment as needed – not being stubborn
Persistence
Never giving up
What works, what doesn’t
Asking tough questions
Facing challenges
Managing conflict to bring out the best
Knowledge and Information
Invest in learning and sharing
Encourage exploration
Mutual respect and Trust
Non-judgmental
Mistakes taken as steps towards improvement
90
Leadership
A manager is best when people barely know he exists
Not so good when they obey and acclaim him
Worse when they despise him
Fail to honor people, they fail to honor you
But of a good manager
When his job is done, his aim fulfilled
They will all say, “We did it ourselves”.
Lao Tzu
4000 BC
91
Phases in Learning or Change
1
2
Unconscious Incompetent
I don’t know and I don’t know
that I don’t know.
Conscious Incompetent
I Don’t know but I know that
I don’t know.
Diving?
3
4
Conscious Competent
I am learning and it shows that I
am learning.
Bike?
Unconscious Competent
I am practicing effortlessly.
Diving!
92
Phases in Team Work
FORM
Team is formed, as in a project, comprising different skills
backgrounds.
STORM
Everyone sees the project from their own perspective, friction
and conflict occur
NORM
Common grounds are found and adjustments are made to
achieve the – Risks and Benefits are realized
PERFORM
Team develops working processes and flows, metrics to track
performance
93
Motivation
Motivation can be understood not as something that one has but
rather as something one does. It involves recognizing a problem,
searching for a way to change, and then beginning and sticking with
that change strategy. There are, it turns out, many ways to help people
move toward such recognition and action. Miller, 1995
94
Some Pioneers in Scientific Management
Armand V. Feigenbaum
Quality Systems/TQM
W. Edward Deming
Management/PDCA Circle
Joseph M. Juran
Quality Management/SQC
Kaoru Ishikawa
Management/Root Cause-Fishbone Diagram
Genichi Taguchi
Manufacturing/Input-Output Control
Eliyahu M. Goldratt
Theory Of Constraints
Supply Chain Overview
95
MODULE 4
GROWING
CISCOM
Chapter 5
Balancing The 4Cs
Business Research and Service Institute
www.brasi.org
The Balanced Growth Model: 4C’s
Customer
Service
Cash Flow
Cost
Capacity
97
The 3 V’s of Supply Chain Management
VISIBILITY
One Plan,
Shared
VARIABILITY
Identify,
Minimize
VELOCITY
Depends on
Visibility and
Variability
Which tools
and methods
apply to each?
98
A Bunch of Tools….
Theory Of
Constraints
SUSTAINABILITY
DRP – Disaster
Recovery
Planning
POKA YOKE
ISO
Class A
Y2K
5S
VSM
Kaizen
MUDA
Sensitivity
Analysis
JIT
6 Sigma
TPM
TQM
BCP Business
Continuity
Planning
SMED
Right First
Time
cGMP
Pareto
Analysis
ROOT CAUSE
ANALYSIS
QUALITY
CIRCLES
HACCP
CONTINUOUS
IKPROVEMENT
Balancing the 4 C’s
The role of Growing in Customer Service, Cash Flow,
Cost and Capacity as follows:
1. Identify and eliminate waste in the various business
processes while delivering the strategic objectives.
2. Invest in continuous learning and people
development as the main source of sustainable
development.
3. Collaborate on bench marking and best practices
across industrial and geographical boundaries.
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Summary of Learning Objectives
• Sustainable, profitable growth is achievable
and comes effortlessly as waste is identified
and eliminated.
• Continuous improvement applies to all walks
of life.
• Change is achievable and sustainable with the
right tools and approach.
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