A system study on the Production Department of Williams Commercial Company Inc.

• Main Authors: Cagampan, Joel Brian M., Ching, Hannah Margeurite L.
• Format: text
• Language: English
• Published: Animo Repository 2016
• Subjects: Package goods industry—Quality control; Operations Research, Systems Engineering and Industrial Engineering
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/18671
• Institution: De La Salle University

Williams Commercial Company Inc. (WCCJ) was founded in the early 1980s and is located in Cebu City, Philippines. The company provides printing and packaging services such as labels, boxes, brochures, and forms. The study focuses on the production department of Williams Commercial Company Inc., gathering and analyzing the system's data from January 2015 to December 2015. Based on the company's present system detailed using PRIMEU and SWOT analysis, the production system has incurred a total reject rate of 1.52%, exceeding the allowable reject rate set by 0.52%. The company incurred a total cost of PHP 729, 410.40. Rejects are defined as the number of non­conforming pieces that the system produces. In order to address the problem, a Why-Why diagram was used to analyze and determine the root causes of the problem. The root causes were poor manpower allocation, worker's limited technical experience, and sourcing of raw materials from local suppliers. The solutions were determined through the Kepner Tregoe Decision Analysis. The final solutions were to promote the most competent head operator to a supervisorial level, conduct trainings together with machine manufacturers and lastly, implement a computerized inventory management system. The proposed system can potentially avoid an opportunity cost totaling PHP 596,949.47.