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Questions

1. Identify the causes of the Slippo quality problems. Group them as if you were doing a Cause & Effect diagram, with the following categories: Machinery, Manpower, Materials, Methods, Environment. Short descriptions will suffice (e.g., “operator not trained” under the category Manpower). You don’t have to actually draw the diagram, just show the causes by category – don’t invest time on the drawing.

2. Analyze the situation using the Cost of Quality model.
a. Identify and classify the costs the company is currently incurring, using the following subcategories: Prevention, Appraisal, Internal Failure, External Failure. In which of the 2 major categories do most of these fall?
b. Then identify what they should be investing in to reduce the Total Cost of Quality.In which of the 2 major categories do most of these fall?

3. In your own words, what do you think are the major organizational/managerial problems
that Biggy is facing?