The transportation costs for the Pressed powder production are high, but so are the costs of building an entirely new manufacturing facility. A description of the processes is listed. The company does not know how to proceed but is beginning to embrace TQM thinking. To encourage this new direction, bring more information and analysis to the next management meeting. Show how Deming's steps could be applied here, as well as process mapping to determine what the company should do next.
The attached file explains the following managerial and employee goals and communication processes to reach each of Deming's Points in the future.
Demming's steps can be applied in this situation by having the management within the organization dedicated to improving the process by which the transportation of pressed powder production is completed, so that this process is much more efficient and effective which will tend to reduce the cost associated with the transportation of the pressed powder products. This essentially means that there must be an ongoing process of seeking to reduce the transportation costs for the pressed powder production by senior management and all other management or leadership within the organization. This would also require the input and assistance of staff within the organization as well. This organization can apply the second step by adapting its transportation methodology to the changing fuel costs that are associated with transportation, as well as the changing methodologies by which transportation can be carried out in production processes such as these. This may include utilizing air cargo transport instead of shipping if this expeditious method is more cost-efficient, when it is definitely more time efficient. This may also include carrying out more of its processing activities at fewer processing and storage sites as well. This organization can apply the third step by ensuring that the pressed powder is highly purified and preserved at the initial production site, which would help to ...