GroupProject c/o JohnW. Bradford 1419-E DruidValleyDrive Atlanta, cA 30329 December 1997 1, James Edwards H.

PlantManager Scientific GamesIntemational 1500 Bluegrass LakesParkway Alpharetta,GA, 30004

DearMr. Edwards:

We want to thank you for your time, effort, andattentionwhile helping us with our project. Your cooperation willingnessto guideus in toursof your operat]ons and and processes transfonneda formidableassignmentinto a greatopportunityto gain an insightful look into the field of operations management. As you explainedto us, you areconcemed aboutmaintaininggrowth andmeeting projecteddemands.Using a CauseandEffect Diagran (seeAppendix, diagraml) to fiod the root problem(s)that would hindercompanygrowth, we looked at two area.s, wastefrom equipmelt andthe pre-press process.Therewas insufficient knowledgeand time to analyzethe issueof waste. Thus, accordingto the priorities ofyour company,we focusedon your pre-press process.In additionto your concems with companygrowth, you indicatedthat the customerdemands leadtimesdecrcase.With this in mind, we that placed excessive time astheproblem lead with thepre-press. Onceagain, usinga Cause process andEffect Diagram(seeAppendix, diagram2), we felt that the pre-press could be augmented an improvedsystemof measurements, creationof ventureteams,and by the the implementation an inteective communications of system. I. SYSTEM OF MEASUREMENTS - Document Costsand ResourceUtilization. of A precisesystemof measurement facilitatesthe evaluationof the performance the are compaay,employees, depafiments.When changes made,quantitativedatacanbe or theh impact. A setof meaningfulmeasurements objectively evaluates usedto measure that in eachtaskin the work flow. This evaluationcanthen identify resources the process greatest potentialfor improvements addvalueto the customer. Scientific and havethe the and for Games couldbeginby recording times,costs, resources eachstepin thepreproductivity, capacity,and pressprocess.Using this information,they canthen measure have addedpu?ose in that they are imperativeto utilization rates. Thesemeasurements (TQM) theoriesof W. EdwardDeming. The cycle of the Total Quality Management

Plan-Do-Check-Act that TQM proposes would serve to help the company in the recognition of constraints and identification of problem areasbefore thev arise.

II. VENTURE TEAMS Conrmunicatiolr gapsoccurbetweendepartments naturallysurroundany comptmy and because departments tend to focus specifically on their task without understanditrg the operations surroundingareas.Ventureteamscorect this flaw by giving eachmembet of an understanding ofthe other departments' activities. The implementation venture of teamsat Scientific Games be easily accomplished can because designers Account and ServiceRepresentatives (ASR) areaheadydesignated eachcustomer.By joining for management, processing, data designer, theASR,you will not only seea decrease and in communlcation gapsbut the burdenof coordinatingthe interactions eachdepartment of will be removed from theASR. As a resulr. leadtime of thepre-press the procisswill diminish. The GeneralCreationandN-file Audit stepscaughtour attentionin the Dataprccessrng phaseofthe process.We believethat Scientific Garnes may betrefitby completingthese stepsrn parallel ratherthanin sequence. The language the end-resultof the programs and arethe only co[unon factorsin thesetwo steps. Even thoughthe audit represents check a on the N-file, the only concemis that the N-file of both stepsaccomDlish identica.l tasks jdenLical andnotthar rhey have corffnand order\.As a result. the,equenlial orcleriDg may be a sourceof increased lead time. We wonderif the N-frle Audit could begin at the samefme asGenemlCrcation- A benefit of this parallel work is that it avoidsrepeuuon of the sameerror by communicating betweensteps. III. INTERACTM COMMUMCATION SYSTEMS- Intranet and Internet

INTRANET internal compuler network infrastructure. In conjunctionwith the creationof ventureteans, the Intanet is an effective andefficient tool to put the conceptof concurrent engineering into practice.It is an interactive computersyslemthat placesthe specifications an order at the finger tips of eachperson of in the process.When changes the specifications madeby the customeror by in are different departments, everyonehasimmediateaccess them. The Intranetcan form a to local arcanetworkwith electronicdocuments automaticallycoordinate to matryof the activitieswhich cuaently involve the ASR. For example,it would coordinatethe priority of orderswith the pressschedule, irnmediatelyinfonning everyoneof the chatrges their in own work orders. This system alsoallowsfor thecommunication between individuals evenwhenthereis not time for themto havea physical meeting.In general, aidsin theinteraction it betweenmembe$ of ventue teams,departments, the organizationasa whole. It and specifically solvesthe problemofthe approvalprocessandthe fact that the managcrs arc typicallytoo busyto planfor a meeting each week. The Intraoet allowsthemto respond

fiom their computers, heavily impactingthe coordinatiol time in the Work Approval processstepsof the pre-press INTERNET- Develop a presenceon the Internet The iormation of an Intemet allows direct contactwith the customer.It greadyimproves the communication deoeasingthe dependence postalmail addcourterservicesand by on providesanotheraltemativefor placing orders. Many olher companies havealreadyused the Intemetto conmunicatewith their customers.The Intemetwould alsoaddress ScientifrcGames'concernwith maintainingfutule giowth by contactiDg customers that the companycannotrcachat present.This option is feasiblebecause your customers aheadyhaveIntemetcapabilities. As a sidenote,ScientifrcGanes depends upon inspectionto ensurezerodefectswith its prcducts. We werc alsotold that the companystrivesto opente underthe conditionsof (TQM). However,the coEunitment inspectionimpedesthe Total Quality Management to achievement that goal. TQM works toward preventionandfinds the root problemof a of defectin orderto eliminateit. Inspectioncolects the defectiveproducts(a symptom)but because doesnot address causeofthe defects(the root problem),the sameerors it the will be repeated. It is importantto rememberthat thesesolutiors (a Systemof Measurements, Venture Teams,and an InteractiveCommunicative System)work bestwhenusedin conjunction with eachother- We feel that if they areimplemented into your company,the lead times in the prc-press process will decrease and,asa corcllary, Scientific Gameswill be ableto maintaingrolrth and meetthe Fojected demands. Onceagain,we would like to express appreciation you andthank you for helping our to us with this prcject- We sincerelyhopethat our suggestions be of useto you and will your company. Thankyou.

Yourstnrlv.

JohnW. Bradford G.A,M.

APPENDD(:

Diagram 1: Cause EffectAnalvsis: "The Bis Picture" and

Worldorce Processes

Maintaining Company Crowth

Equipment

Diagram 2:
Measurements

Communicsdon

noInter-or Intranet
Information Excessiv Lead Times

if on comDonent fails

Orsanization