To begin, please know that the examples given here, and in
the previous article on this blog entitled "How to Make Big Problems Out of Little Ones," are real events that have taken place very recently.
The story continues-
The trim for a large order in China, made for a huge customer
in US, is delivered to factory in China. The players: The company’s Hong Kong
office, the Hong Kong-based manufacturer of the trims, and the factory itself.
About two weeks later, when packing is started, it is discovered that some
portion of the trims are defective. Now, the factory needs to go through all
the trims and make sure to cull out the defective ones. It is unknown how many
are defective and if there will be enough good ones to complete packing.
How could this have been avoided?
1.
The factory should have checked the trims when
received, not when packing is started.
2.
The company’s Hong Kong office, who ordered the
trims, should have checked by, say, having a random carton shipped to their
office.
3.
The factory that produced the trims should have
their own QC to check before shipping.
Three chances to check and none taken. If even one of three was
done, the chances of the current problem could have been minimized or even
avoided.
Another example is that of printed ties which are found at
the final inspection (by the customer) to have some prints out of registration.
Think about that…if someone checked the printed fabric carefully, either at the
printer or the tie factory when received, the cost of this problem would have
been greatly minimized as opposed to discovering it when the ties are manufactured
and packed.
So again, a small problem or one for which damage control
could have been done earlier, becomes a big problem. Why does this happen and
how could it be avoided?
1.
The obvious is that factories and suppliers,
while constantly under pressure for delivery, must take the time to do proper
quality control, or it will cost them more time later.
2.
Factories must institute a process by process
quality control to prevent small problems from becoming big ones later. For
example, a socks factory is found to have some items which must be rejected at
final inspection, after having been finished and packed, due to knitting
problems. Think about how much money is thrown away by spending all the labour
cost to put a product which is defective at the first process through the rest
of the processes; worse, what will be the cost of replacing the parts and labor
of the defective ones?
3.
In the apparel industry, there is a bad paradigm
for quality control. It is called AQL. AQL is a US military-originated system
which checks final production for pass or fail based on a number sampling
scheme. This just doesn’t work anymore. Process control is needed, then final
inspection should be a formality.
4.
Factories in China and other countries must
change their mentality and their quality standard from doing what they perceive
they need to do to get an order shipped to doing
the right thing.
Factories are generally very
shortsighted-reluctant or unwilling to change anything that might cost them
money-even if the change will actually save them money and improve their
quality performance. They need their customers to convince them to embrace a new
quality paradigm-process by process control. Once they see the result, they will
understand.
Oh, and everybody in the supply
chain must be compelled to do their job-not just the final producer.
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