Most organizations have utilized process management (PM) at some point. primarily, the PM is implemented using operations management (OM). The Nissan Company has used the same approach to produce the best possible vehicles for its customers. The enterprise uses PM and OM
Steps of TOC, Processes to Apply TOC in Case Study, and the Underlying Advantages
The first Step is identifying the constraint. Nissan can apply this step in identifying and improving the bottleneck of parts that are delivered to the manufacturers. The second Step is developing a plan to overcome the constraints. The company can use this step to mitigate bottlenecking by implementing a scheduled time for drop-off. The third one is focusing on resources to accomplish the second step, and this step can be used by Nissan to determine if bottlenecking will reduce after the rescheduling of drop-off. The expansion of capability or work off-loading to reduce constraints effects and ensure the impact on the constraints is recognized is the fourth step. The firm can use this step to determine if hiring more staff to assist in the off-loading of parts will improve delivery or not. The fifth Step is going back to the first step and identifying new limitations after successfully addressing one constraint. Nissan can use this step to identify other instances of bottlenecking in its manufacturing areas.
Applying the theory of constraints will be advantageous because it is vital in reducing the limitations that an enterprise faces. Although holdups cannot be eliminated, they can be reduced.
how TQM Principles and Tools can be used in the Improvement of Quality in Nissan’s Latest Line of Products
TQM can be described as an approach in management that seeks to improve the quality and performance in different areas of an organization. Hence, the approach applies to the management and employees. Through the approach, corporations can improve customers’ satisfaction, reduce unnecessary costs, and enhance teamwork. To realize an effective TQM program, Nissan can utilize seven principles to address the quality of their products. The concepts include Just in Time, benchmarking, empowerment of employees, continuous improvement, Six Sigma, Taguchi concepts, and TQM tools (NFMED, 2018). For example, regarding continuous improvement, the company has to pursue the progressive growth of its stakeholders, ranging from the managers to the suppliers. Additionally, employees should be empowered to make wise choices for customer satisfaction.
A Cause and Effect Diagram to Explain the Company’s Supply Chain Struggle
Figure 1: Cause and Effect Diagram
Figure 1 can be used to explain why the supply chain partner faced challenges in implementing Nissan’s newly developed materials. For example, a high magnitude earthquake hit causing flooding. There was also a Tsunami and a shutdown of nuclear facilities. As such, equipment were destroyed and fifty vital providers impaired, which led to a shortage supplies. Mainly, the stakeholders were concerned about how to recover from the disaster. In the process, quick decisions which led to slow production as a result of damaged equipment were made (Oakland, 2014).On the other hand, the employees were under pressure to produce quality products. Hence, the workers were negatively impacted. Additionally, finding new routes for imports and exports was a major challenge. The only way out was to establish the best foundation that would favour continual production of quality goods.
A Hypothetical Process Map and how I Can Use It as an Operational Manager
Figure 2 shows how I will use a hypothetical map to identify and eliminate waste.
Figure 2: Hypothetical Map
As shown in figure 2, the estimate wait time is 43 days. Hence, the biggest challenge is the long time that a client has to wait for the product to be delivered. After identifying the constraint using this time-function map, I will use TQM principles to identify areas that can be addressed to reduce waiting time. The delivery process could be one such area.
Favourable Location for the New Plant
A weighted average calculation is used to determine the best location for a new facility. The data points that have been provided reveal that Mexico has a weighted average of 73, which is relatively higher than that of Columbia.
Figure 3: Calculated Weighted Average
Companies should be prepared to handle uncertainties all the time. Several principles and tools such as total quality management, process management and operational management can be adopted to reduce the impact of a disaster. Such tools enhance better decision making, encourage quality production and pave the way for establishing a firm foundation for an organization, Particularly, organizations that are prevalent to natural disasters ought to have the best strategies to implement in case of an emergency. Nissan is one such company. it was affected as a result of a natural calamity.
National Forum for Management Education and Development. (2018). Operational management: Level 5. London: MCI.
Oakland, J. S. (2014). Total quality management. Butterworth-Heinemann.