Work on SPC Project
Here are the details on the SPC Project
Read the case description below, watch the 2 videos in this module that accompany the case.
Then, answer the questions listed at the end of the case. In this module, there is an Excel spreadsheet labeled SPC Project – BLANK that has the sample data and includes spaces to insert your SPC Control Chart and answer the three questions in the assignment. Make sure to substitute your name for the work BLANK when you save the file.
Frito-Lay, the mutual-billion-dollar snack food giant, produces billions of pounds of product every year at its dozens of U.S. and Canadian plants. From the farming of potatoes-in Florida, North Carolina, and Michigan-to factory and to retail stores, the ingredients and final product of Lay’s chips, for example, are inspected at least 11 times: in the field, before unloading at the plant, after washing and peeling, at the sizing station, at the fryer, after seasoning when bagged (for weight), at carton filling, in the warehouse, and as they are placed on the store shelf by Frito-Lay personnel. Similar inspections take place for its other famous products, including Cheetos, Fritos, Ruffles, and Tostitos.
In addition to these employee inspections, the firm uses proprietary vision systems to look for defective potato chips. Chips are pulled off the high-speed line and checked twice if the vision system senses them to be too brown.
The company follows the very strict standards of the American Institute of Baking (AIB), standards that are much tougher than those of the U.S Food and Drug Administration. Two unannounced AIB site visits per year keep Frito-Lay’s plant on their toes. Scores, consistently in the “excellent” range, are posted, and every employee knows exactly how the plant is doing.
There are two key metrics in Frito-Lay’s continuous improvement quality program: (1) total customer complaints (measured on a complaints per million bag basis and (2) hourly or daily statistical process control scores (for oil, moisture, seasoning, and salt content, for chip thickness, for fryer temperature, and for weight).
In the Florida plant, Angela McCormack, who holds engineering and MBA degrees, oversees a 15-member quality assurance staff. They watch all aspects of quality, including training employees on the factory floor, monitoring automated processing equipment, and developing and updating statistical process control (SPC) charts.
The upper and lower control limits for one check point, salt content in Lay’s chip, are 2.22% (UCL) and 1.98% (LCL), respectively. To see exactly how the limits are created using SPC, watch the Frito Lay Control Charts video in the Module below that accompanies this case.
In the Excel document (below in this Module) you are going to:
The data (in percent) from the initial trial samples are:
Sample 1: | 1.98 | 2.11 | 2.15 | 2.06 |
Sample 2: | 1.99 | 2.0 | 2.08 | 1.99 |
Sample 3: | 2.20 | 2.10 | 2.20 | 2.05 |
Sample 4: | 2.18 | 2.01 | 2.23 | 1.98 |
Sample 5: | 2.01 | 2.08 | 2.14 | 2.16 |
Provide your findings to Angela (This should be done as a memo-type paragraph describing your method of researching the request and your results).
Follow-up Critical Thinking Questions:
2 video