STI College Baliuag

A&C Bldg. Gil Carlos St. Poblacion,

Baliuag, Bulacan

In Partial Fulfillment of the subject:

Operations Management (TQM)

Submitted by:

BSHM 3RD Year

Orteza, Sunshine Ghail M.

Garcia, George Derick V.

Dungo, Raven Rozh

Veneracion, Prince Carlo

Puno, Redentor

Submitted to:

Mr. Eduard Cruz

Background

Solar Cell is a manufacturing company based in the southern part of Korea that manufactures different types of
solar-powered products. They have a customer base in local parts of the country and abroad. The company is
growing fast due to the increased demand for non-conventional energy. According to the CEO of the company,
they associate their success with the use of control charts for their manufacturing methods, which allows them to
monitor the quality of their final outputs. The biggest difficulty that Solar Cell is dealing with at present is
misunderstanding and a lack of awareness about the benefits that control charts may provide to the organization.
The issue started in their HR and Finance sectors because of an increase in employees and those are the
departments where the problems are prevalent. For certain employees, control charts cause conflicts and work-
life imbalances, and others leave the organization because of that issue because it has never been explained to
them how control charts work or why they are required to work long hours only to ensure that the production
operation runs properly. Therefore, the top management team agreed to hold a one-day awareness program for
the HR and finance people so that they could understand the expectations and need for the control chart
initiative within the company. Moreover, executive awareness was also introduced to all senior management
teams so that they would understand the importance and benefits of control charts in the business.

Statement of the problem

A. How can Solar Cell Manufacturer control or eliminate attrition and overspending in their organization
through the use of control charts?
B. What steps should the top management employ in order to overcome the resistance of the employees
in the change initiative?
C. What steps in implementing Statistical Process Control (SPC) should Solar Cell Manufacturer apply in
order to succeed in the initiative?

Areas of Consideration

 The majority of those who left the organization, notably operators, reported that they had a work-life
balance issue.
 A small percentage of the resigning workers said they were misaligned and undertrained for their
positions.
 The firm's management discovered that certain of its divisions or work units have budgets that are
unrealistic, imprecise, and inappropriate.
 The difficult issue emerges as a result of the employee's aversion to using control charts, which leads to a
slew of complaints from colleagues about the added burden.
 The benefits of control charts and the necessity for change utilizing control charts as a catalyst for change
were clearly not understood.
Alternative Course of Action

SOP 1:

(1) Budget

Solar Cell can avoid unrealistic, inaccurate, and unreasonable spending by executing budget expenses over the
year. Perhaps allot the excess budget in maintenance of resources that promotes continual improvement.

Advantages

 Meet the objectives of the company.

 Can control finances.

Disadvantages

 Time consuming to create a budget.

 Rigid decision making.

(2) Retention rate

Solar Cell operators can avoid employees’ conflict and perversion by retaining talents at a rate that is higher than
the regular limit or upper control limit. However, the organization may need to analyze whether its employees
are being evaluated selectively.

Advantages

 Improves efficiency and productivity.

 Enhance customer experience.

Disadvantages

 Create negative groups.

 Employees that have not been performing well are retained.

Sop 2:

(1) Communicate change effectively

The best way that the top management must apply to communicate change to the employees is to tell them the
plans that will implement inside the company. To ensure that all employees receive the word about the change in
some way is to combine formal and informal communication.

Advantages

 It builds teamwork and trust.

 It increases job satisfaction.
Disadvantages

 It creates too much connectivity.

 Communication can play dishonesty role.

(2) Accept feedback from your employees

The management must receive and respond to the feedback of the employees to create better plans for the
management.

Advantages

 Strengthen the connection of employer and employee.

 Creative work is delivered.

Disadvantages

 Failed to meet the expectations.

 Feedbacks can be misinterpreted.

SOP 3:

(1) Train the Statistical Process Control (SPC) Committee

The senior management team of the Solar Cell Manufacturer provides a one day awareness program for the HR
and finance people so that they can understand the expectations and the need for the control chart initiative
within the company. The Solar Cell Manufacturer’s employee must receive basic statistical data training from the
top management to give them a chance to regulate and understand the management of the company.

Advantages

 The members of the committee will be better equipped to create goals.

 It will increase the productivity and performance of the employees.

Disadvantages

 Loss of interest in the training sessions.

 Time requirements that will lead to full schedule.
 (2) Delegate responsibility to the operators

It will be helpful for the Solar Cell manufacturer to delegate responsibility to the operators to maintain SPC
control charts, collecting, and visualizing data to individuals since they are engaged in the process.

Advantages

 Improves efficiency, productivity and will save time.

 Trust will be developing between workers.

Disadvantages

 Lack of experience in work.

 Lack of trust.

Recommendation

Solar Cell used a control chart to achieve continuous success, but some departments see the control chart as a
hurdle to their everyday routine and don’t use it properly. Therefore, we think the best solution is to properly
explain to them the concept of the control chart and provide training on how to properly use and implement it
for the operators and teams who will be directly involved in using it. Solar Cell can also ask for their opinions to
develop better charts that the employees will agree with, and the content should help them to be motivated and
focus on work.

In the situation where employees who left the company claim that they experienced a work-life imbalance, I think
the possible solution for the remaining employees is for them to have self-discipline particularly for the
operators, since they were required to work extended hours in circumstances when their substitute partners
would not be able to arrive at work on time or would not be able to report to work at all. As mentioned above,
the company and higher management that implement control charts should also provide proper knowledge and
training on how to use control charts they can also ask for their opinions and provide a result that will make them
feel motivated to be at work. However, in our opinion, the reason why they see control charts as hurdles is
because of their own actions and faults.

In terms of the situation in the finance department, the company or the head management should properly
explain and provide a training on how to use control chart properly because it can help them eliminate waste by
allowing them to evaluate the stability of a particular process, determine the mean and the variability within the
process, and monitor the effects to improve the process. By doing so, the company will remain successful and
competitive in the market and industry, and this will also avoid unrealistic, inaccurate, and unreasonable
happenings in the company because, in the first place, control charts are used to identify problems and help in
error correction and unwanted situations from those specifications, not the other way around and be a problem
for employees.

Management Lesson Learned

Some businesses may find it difficult to overcome organizational issues when they try to enhance and manage
their everyday operations but with the help of Control Charts it lead the company to continual success because it
can let the company and the workers recognize that there is a problem and determine its source and provide or
create the first step in resolving organizational issues. It takes time to figure out where problems arise and
develop appropriate solutions for each one, but control charts is an essential step for any company that wants to
expand and thrive in a healthy way.

Here are some things that they should consider doing to avoid organizational conflicts:

 Hiring the most qualified person for a job and assigning work to the most appropriate employee.
 Employees should consider each and every one’s duty in workplace to avoid misunderstanding and
imbalances.
 Management should properly explain and provide training on how to use the control chart properly
because this will help minimize the problems that may be encountered or can easily be eliminated
because they will know what actions should be taken based on the control chart.
 Continue using a control charts to ensure that the team is following the best process for completing their
work in an efficient and timely manner and produce best results.

REFERENCE:

https://www.smallbusinessdecisions.com/control-charting-for-finance/

https://blog.walkme.com/change-6-strategies-overcome-resistance/

https://maaw.info/ArticleSummaries/ArtSumReevePhilpot88.htm