QUALITY CONTROL AND

CUSTOMER SERVICE CUSTOMER

CARE
ESAN

STATISTICAL CONTROL
Session 19
November 3rd, 2016
achoy@esan.edu.pe
Prof. Augusto Choy

SEVEN TOOLS FOR QC

Flow

Chart
Verification Sheets
Histograms
Pareto charts
Cause-Effect diagrams
Dispersion diagrams
Control diagrams

Prof. Augusto Choy

PARETOs CHART
It

is a distribution in which the observed

characteristics are order from the most
frequent to the least frequent

Used

to analyze the compiled data

collected from the Verification Sheets

It

may come with a cummulative

frequency on top of the bars of the
histogram

Prof. Augusto Choy

Prof. Augusto Choy

EXERCISE #5

Ace Printing Company realized that they were losing

customers and orders due to various delays and errors. In
order to get to the root cause of the problem, they decided to
track problems that might be contributing to customer
dissatisfaction. The following list of the problems found shows
their frequencies of occurrence over a six-month period. What
technique might you use to graphically show the causes of
customer dissatisfaction? What recommendations could you
make to reduce errors and increase customer satisfaction?

Error/Delay Cause

Frequency

Customer change delays 20

Lack of press time

200

Design department delays

Paper not in stock

60

80

Lack of proper order information

29

Lost order 21
Press setup delays

245

Prof. Augusto Choy

VERIFICATION SHEETS
Special

types of forms used to compile

data that can be interpreted directly from
the form, without the need for additional
processing

Analysis

normally performed with the

help of Paretos diagrams, as well as
histograms

Formats

specially prepared by companies

for their own needs
Prof. Augusto Choy

CAUSE AND EFFECT DIAGRAMS

Graphical

method that is used to

represent a chain of cause and effects,
as well as to classify the causes and
organize the relations between variables

Prepared

through brainstorming among a

wide range of participants

Opinions

must NOT be included in the

diagram preparation

Prof. Augusto Choy

Exercise #6

An independent outplacement service helps unemployed

executives find jobs. One of the major activities of the service is
preparing resumes. Three word processors work at the service
typing resumes and cover letters. Together they handle about 120
individual clients. Turnaround time for typing is expected to be 24
hours. The word-processing operation begins with clients placing
work in the assigned word processors bin. When the word
processor picks up the work, it is logged in using a time clock
stamp, and the work is typed and printed. After the batch is
completed, the word processor returns the documents to the
clients bins, logs in the time delivered, and picks up new work. A
supervisor tries to balance the workload for the three word
processors. Lately, many of the clients have been complaining
about errors in their documentsmisspellings, missing lines, wrong
formatting, and so on. The supervisor has told the word processors
to be more careful, but the errors still persist.

a.

Develop a cause-and-effect diagram that might clarify the source

of errors.

b.

What tools might the supervisor use to study ways to reduce the
number of errors?
Prof. Augusto Choy

Excercise #7

The times required to

prepare standard-size
packages for shipping
were measured. These
data are shown below.
Construct a scatter
diagram for these data.
What recommendations for
improvement would you
give the section leader,
based on your findings?

Prof. Augusto Choy

Excercise #8

The process for depositing a check at a local bank

begins with the teller determining if the customer
wants to receive any cash back. If not, the teller
checks to see if the payees name is on the account,
stamps the deposit slip, and gives the customer a
receipt. If there is cash back, the teller adds the
checks and subtracts the net deposit to verify the cash
amount on the deposit slip, checks and verifies the
customers account, makes a cash out ticket for
bank accounting, and gives the customer back the
cash and receipt.

Draw a flowchart for this process and identify potential

sources of error and poka-yokes that might be used to
mitigate these errors.

Prof. Augusto Choy

Exercise #9
Welz Business Machines sells and services
copiers, computers, and other office equipment.
The company receives many calls daily for
service, sales, accounting, and other departments. Calls are handled through customer
service representatives and are routed to other
individuals as appropriate. Customers
complained about long waits when calling for
service, and a market research study found that
customers became irritated if the call was not
answered within five rings, or they were placed
on hold for long periods.
Prof. Augusto Choy

10

The Data
Over a two week period, the staff at Welz
collected data on the frequencies of reasons
why some callers had to wait. The results
showed:

Reasons
Total Number
Operators short-staffed
172
Receiving party not present
73
Customer dominates conversation 19
Lack of operator understanding
61
Other reasons
10
Prof. Augusto Choy

11

Analysis

The case narrative indicates that there are

multiple causes for the problem, suggesting
that a Cause-Effect (fishbone) diagram should
be constructed.

The data show a pattern that could bear

analysis using a Pareto diagram, shown below

Prof. Augusto Choy

1
2

Analysis
CAUSE & EFFECT DIAGRAM FOR WELZ
BUSINESS MACHINES CASE
REPRESENTATIVES
- ABSENT

STAFFING
9 a.m. peak
period

Sales Calls

Operator not at
desk

Trips to rev iew

products

Lack of lunch-time
cov erage
Away from desk

4 - 5 p.m.
peak period

Long
Telephone
Waiting Time
Customer
complains
at length
Customer
starts personal
conv ersation
CUSTOMER BEHAVIOR

Complex
problem requires a
long time to
understand

Callmisrouted

OPERATOR
KNOWLEDGE

Prof. Augusto Choy

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Analysis

Prof. Augusto Choy

14

Analysis

Percent Within Defect

Category

60%

120%

50%

100%

40%

80%

30%

60%

20%

40%

10%

20%

0%

0%
No operator No call rcvr.

No
understnd.

Customer

Cumulative Percent

Percent
Cumulative %

Pareto Chart for Welz Business Machines

Other

Defect Categories

Prof. Augusto Choy

15

Conclusions
The Pareto diagram shows:
Two major categories operator shortstaffed and no call receiver account for
73.1% of complaints
The C-E diagram shows factors relating
to each of the above causes.
Conclusion: Root cause is poor staffing
and method of communication with sales
people
Prof. Augusto Choy

16

Recommendations
Bring

in extra phone representatives for peak

times
Stagger lunch breaks for phone reps
Cross-train sales reps on all products
Schedule each sales rep to be on call at
certain times of the day
Give reps a pager or cellphone to allow them
to be contacted more easily

Prof. Augusto Choy

17

Problem Statement #10

Ace Printing Company realized that they were
losing customers and orders due to various
delays and errors. They decided to track
problems that might be contributing to
customer dissatisfaction. They listed the
problems and recorded their frequencies of
occurrence over a six-month period.

Prof. Augusto Choy

1
8

The Data
This list shows problems found and their frequencies of occurrence over a six-month period.
Error/Delay Cause
Frequency
Customer change delays
35
Lack of press time
205
Design department delays
70
Paper not in stock
80
Lack of proper order information
39
Lost order
26
Press setup delays
245
Prof. Augusto Choy

1
9

Analysis
A Pareto diagram will permit the analyst to

see the vital few causes, as well as the

important other sources of problems.

Prof. Augusto Choy

2
0

Analysis

Prof. Augusto Choy

2
1

Analysis
Perc ent

Pareto Chart for Ace Printing Co.

Cumulative %

40.00%

120.00%

35.00%
100.00%
Pe rce nt
Within Defe ct Category
30.00%
80.00%
25.00%

Cum ulative Percent

60.00%

20.00%
15.00%

40.00%
10.00%
20.00%
5.00%
0.00%

0.00%
Setup delaysNo press time No paper Design delays
Order info error
Cust. chg, delays
Lost order
De fect Categorie s

Prof. Augusto Choy

2
2

Conclusions
It is obvious from the table and Pareto
diagram that the first two categories,
setup delays and no press time
accounting for 64% of the errors, need
improvement. See previous slides for
more detail.

Prof. Augusto Choy

2
3

Recommendations
Study the root causes of setup delays, and

improve the process in order to reduce or

eliminate them
Study the root causes of no press time,
which may be related to setup delays, and
improve the process in order to reduce or
eliminate them
Once major problem sources have been
resolved, review other sources for
improvements
Prof. Augusto Choy

2
4

Problem Statement #11

The Monterey Fiesta Mexican Restaurant is
trying to determine whether its popular Pan
Con Mucho Sabor breadsticks are correlated
with the sales of margaritas.

Prof. Augusto Choy

25

The Data
Data on sales of breadstick baskets and
margaritas for 25 weeks are shown below.

Prof. Augusto Choy

26

Analysis
The

correlation utility, along with a scatter

diagram, in Microsoft Excel, may be used
to analyze these data. It shows:

Prof. Augusto Choy

2
7

Analysis
Correlating Bread and Margaritas

M a r g a r it a s /W e e k

1550
1450
1350
1250

Margaritas

1150
1050
950
600

700

800

900

1000

Bre adstick Orde rs/We e k

Prof. Augusto Choy

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