Ahern Company and Siedle Company compete in the same industry. Each company is located in a large midwestern city, and each employs between 300 and 350 people. Both companies have adopted a total quality management approach, and both want to improve their ability to compete in the marketplace. They have installed common performance measures to help track their quest for quality and a competitive advantage. During the most recent three-month period, Ahern Company and Siedle Company generated the data that follow.

1. For each measure, indicate which company has the better performance.
2. Which company is more successful in achieving a total quality environment and an improved competitive position? Explain youranswer.

Ahern Company Sledle Company Performance Measures Flnancial Nonfinancla Financlal Nonfinancial Production performance Equipment utilization rate Machine downtime 89.4% 720 92.1% 17 14 92.1% 490 96.5% 18 in machine hours) Delivery cycle time On-time deliveries Purchase-order lead li time (hours) Production cycle time (hours) Waste time (hours) Customer satisfaction 16 Customer complaints Scrap and rework costs 28 24 $14,390 9,240 $13,680 7,700 Field service costs