A system study on the Production Department of American Wire and Cable Co. Inc.

• Main Authors: Cerrada, Julio Roberto O., Gamboa, Alvin Royce M., Gonzales, Inigo Rafael A.
• Format: text
• Language: English
• Published: Animo Repository 2017
• Subjects: System analysis; Systems engineering; Engineering
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/9144
• Institution: De La Salle University

A system study was conducted on American Wire and Cable Inc., a company that manufactures and distributes quality electrical cable and wires in the Philippines. The study focuses on the product line of copper building wires manufacture in-house in the factory of American Wire and Cable Inc., for the study period from January 2016 to December 2016. Based on the company's specific goals for production quality and employee performance, the production process was evaluated to determine its strengths, weaknesses, opportunities, and threats. After the evaluation, a WOT-SURG situation appraisal was conducted on the present system and it was determined that American Wire's biggest problem in the production process is the finished good rejects which in 2016 incurred a total of 659.6 metric tons which is a deviation of 145.74 metric tons from the standard allowable amount, which resulted in annual opportunity loss of Php2,463,916.88. The problem, was further invested, and the identified root causes of the finished good rejects are the off-centered insulation, discoloration of insulation, and burnt insulation. To address these issues, multiple solutions were evaluated based on a set of criteria. The proposed solutions were chosen to address each of the three main causes. The installation of a pressure relief gear pump, use of a commercial purging agent flush out colorant, and a color-coded labelling scheme for the temperature settings were the solutions chosen to address the three main causes of the finished good rejects. The proposed solutions have a net present value Php6,436,449.38 for five years with an expected payback period of less than two weeks.