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Answer the following: A manufacture is making an analysis to find which Paint de

ID: 3227326 • Letter: A

Question

Answer the following:

A manufacture is making an analysis to find which Paint defects are seen most and which ones need to be worked on and reduced. The following table provide what found: By Using the 80/20 rule, which items should be worked on first? Now evaluate the cost as the driving issue not frequency. If dirt in the paint costs $10 per occurrence to correct. Sag cost $100 per occurrence and Orange Peel costs $100 per occurrence, re-order the items to show which one you would work on first, second and third and create a new Pareto Chart showing your results.

Explanation / Answer

Part (1)

The table below gives the paint defects arranged in the descending order of their frequency and other related computations:

Paint Defect

Frequency

Cumulative

Frequency

Cumulative

Percentage

Dirt on Paint

65

65

58

Sag

21

86

76

Orange Peel

12

98

88

Thin Paint

5

103

92

Sealer Under

4

107

96

Scratch

2

109

97

Off-color

2

111

99

Other

1

112

100

So, by 80/20 rule, Dirt on Paint, Sag and Orange Peel should be worked on first in the given order. ANSWER

Part (b)

Incorporating the cost factor, the listing in descending order of total cost would be as follows.

Paint Defect

Frequency

Cost

Cumulative

Cost

Cumulative Cost

Percentage

Sag

21

2100

2100

53

Orange Peel

12

1200

3300

84

Dirt on Paint

65

650

3950

100

Thin Paint

5

NA

Sealer Under

4

NA

Scratch

2

NA

Off-color

2

NA

Other

1

NA

Clearly, the order of working on would be Sag, Orange Peel and Dirt on Paint. ANSWER

Paint Defect

Frequency

Cumulative

Frequency

Cumulative

Percentage

Dirt on Paint

65

65

58

Sag

21

86

76

Orange Peel

12

98

88

Thin Paint

5

103

92

Sealer Under

4

107

96

Scratch

2

109

97

Off-color

2

111

99

Other

1

112

100

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