search query: @indexterm PRODUCTION MANAGEMENT / total: 708
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Author: | Chen, J-M. Tsou, J-C. |
Title: | An optimal design for process quality improvement: modelling and application |
Journal: | Production planning & control
2003 : OCT-NOV, VOL. 14:7, p. 603-612 |
Index terms: | Case studies Cost functions Production management Process quality management |
Language: | eng |
Abstract: | This article deals with the optimal design problem for process improvement by balancing the sunk investment cost and revenue increments due to the process improvement. An optimal model is developed based on Taguchi cost functions. The model is validated through a real case study in automotive industry where 6-sigma DMAIC methodology has been applied. According to the research, the management can adjust the investment on prevention and appraisal costs on quality improvement that enhances process capability, reduces product defect rate and, as a result, generates remarkable financial return. |
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