Your consulting company has been selected as a finalist for a large consulting c
ID: 1172587 • Letter: Y
Question
Your consulting company has been selected as a finalist for a large consulting contract with a very prestigious company. The job will pay very well and will lead into other more profitable projccts. As part of the sclection process, you have been requested to prepare a one page summary to prescnt your deployment plan and projcct launch for a waste minimization project to be given to the executive team at the company Please review the information below and prepare a project plan and timeline (one page max) that includes . Scope/goal of the project - what areas will you target? . Six sigma deployment plan based on the DMAIC cycle how will you start? Timeline - how long will the project last? . Expected benefits - what are the waste reduction and cost benefits? Cost and team size that will conduct the project - how much will you charge the company for the services and what return can they expect after your costs? Please list any reasonable assumptions that you made while preparing the summary. Here is the information provided from the company The company is a metal fabrication and precision tooling facility that generated $8.2 million in annual sales including S800,000 in profit. The company employs 620 people with full engineering and maintenance teams. The company currently does not have any recycling programs and spends $450,000 for waste removal. They dispose of the following materials .Steel - 1,000 tons . Office paper - 3,000 tons Cardboard - 2,000 tons ·Wood-1,500 tons .Food waste - 2,500 tons TOTAL: 10,000 tons Current recycling commodity priccs . Steel - S600 ton . Office paper - $75 ton . Cardboard - $100 ton Wood $0 tons .Food waste $0 tonExplanation / Answer
Here the goal of the project is to reduce the cost by reclcling waste and maximise the profits of the company
here we use DMAIC process of sig sigma which is of exixting process which stands Design then measure then analyse then improve and then control
first we have to analyse that what we have to done for increase profit and reduce cost we have to do recycling waste and then
in the second step we measure process that cost incurred on recycling waste and cost reduced of diposing off wastes
and the we analyse that it is beneficial or not
and the if there is any deficiency then improve the process and the make control over it
now profit of cost reduction of disposing waste is 450000
and cost incurred of recycling is (600+100+75) per tonne
then for 10000 tons it is 775*10000 = 7750000 and
so net cost is 7300000
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