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Pollenti Company has just merged with another industrial firm whose business had been failing. Pollenti immediately conducted a thorough study of the new company's work processes, and produced a report including the data shown below:
• A new inspection process is recommended to minimize defective raw materials. It would cost $12,000 to implement.
• Shoddy business practices are resulting in excessive warranty costs $15,000 more than normal due mainly to material failure.
• Reengineering of the assembly line will increase productivity. It would cost $18,000 to implement.
• Inefficient workplace design is costing $5,000 in unnecessary rework costs.
• Estimated amount of lost profits due to dissatisfied customers who turn to the competition is $80,000.
Based on an analysis of costs and benefits, a quality improvement plan would not be recommended.
Babbling
An infant’s repetition of certain syllables, such as ba-ba-ba, that begins when babies are between 6 and 9 months old.
Cooing
A phase in early language development characterized by the production of soft, vowel-like sounds by infants, often seen as a precursor to babbling.
Primary Means
The main or most direct method or tool used to achieve a goal or fulfill a function.
Communication
The exchange of information or ideas between individuals through speaking, writing, or another medium.
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