Question: The company has been encountering 60.93% Defects, 31.96% Extra Processing when printing papers and 1.67% Idle Time in the pre-press, press, and post-press area. Other

The company has been encountering 60.93% Defects, 31.96% Extra Processing when printing papers and 1.67% Idle Time in the pre-press, press, and post-press area. Other negligible problems included Unnecessary Motion, No PPEs, Scattered Scraps, Old Machines, Lack of Inspection, Lack of Manpower, Unorganized Workplace, and Wrong Method of Inspection. As a result, the company has a potential loss of Php. 9,020.00 worth of receipt paper and ink usage per month, or Php 108,240.00 per year plus Php 30,000.00 loss from packaging paper cost and discount (20,000 loss from packaging paper cost and 10,000 loss because of discount) because of defects of packaging paper. This was despite the fact that the company had a capacity of making 3,500 papers per hour in baby offset machines, 5000 papers per hour in offset machines, and 300 paper per hour in folding packaging paper via die cut machine.

Problems

Frequency

Percent

Cumulative Percentage

DEFECTS

1750

60.93%

60.93%

EXTRA PROCESSING

918

31.96%

92.90%

IDLE TIME

48

1.67%

94.57%

UNNECESSARY MOTION

36

1.25%

95.82%

NO PPE

36

1.25%

97.08%

SCATTERED SCRAPS

30

1.04%

98.12%

OLD MACHINE

18

0.63%

98.75%

LACK OF INSPECTION

12

0.42%

99.16%

LACK OF MANPOWER

12

0.42%

99.58%

UNORGANIZED WORKPLACE

6

0.21%

99.79%

WRONG METHOD OF INSPECTION

6

0.21%

100.00%

TOTAL

2872

100.00%

COMPANY EARNING yearly = 90,000PHP X 12 =1,080,000 PHP

COST PRICE = 9,020PHP X 12MONTHS = 108,240PHP RECEIPT PAPER AND INK USAGE + 30,000PHP x 12=

PHP 360,000 FROM PAPER COST AND DISCOUNTS

=468,240 PHP

as you can see in my pareto chart ALL DATAS ARE GIVEN THRU SITE VISIT and that's all we get. Can I ask if it is possible to compute the occurrence from pareto chart to monetary unit? if have some questions about my problem kindly comment it i will really appreciate it so i can edit

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