Groves Company manufactures and sells computers. The company identified the following four failure costs:

Cost of Failure by Type
Model Board Internal Drive External Drive All Other Total
Laptop $8,000 $7,000 $5,000 $3,000 $23,000
Desktop 7,000 6,000 12,000 5,000 30,000
Mini 3,000 1,000 8,000 3,000 15,000
Total $18,000 $14,000 $25,000 $11,000 $68,000

A - Prepare a Pareto analysis of the product failures.

What conclusions can you draw from the Pareto analysis?

B - Develop a Cause and Effect Diagram to identify the possible failure issues associated with why Groves can’t deliver laptops to Best Buy on time.

C – Based on a 95% probability, what is range of values for on-time deliveries to Best Buy if the mean is 85% and there is a standard deviation of 3.

D – To increase the confidence level for measuring on-time deliveries, what is the range of values for 99% probability?

Answer rating: 100% (QA)

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