1.

What are the steps to be followed in applying the Cause and Effect Diagram used as a
tool to diagnose problems?

Cause and Effect Diagram is a planning tool that helps in identifying the underlying
symptoms or “effect” of a problem as a means of finding the root cause. The steps need to be
followed when applying this diagram are:
1. Identify the problem that needs to be addressed and write it in the box. It will serve
as the head of the diagram.
2. List the major causes of the problem. It will serve as the spine of the diagram.
3. Develop an improvement plan to help resolve the identified problem.
2. What are the factors identified as familiar  needed in the process of achieving desired
results in addressing problems?

In order to bring about a desired result, there are factors that need to be identified.
These are the 4 Ms and 4Ps:
a) Manpower - refers to the managerial and non-managerial personnel employed in an
organization who mobilize, allocate and utilize the physical and financial resources of
an organization.
b) Materials - represent the physical raw materials and intermediate products which are
converted and assembled into finished products with the help of certain processes
and technology.
c) Machinery - are the equipment used to process the materials into finished or semi-
finished products.
d) Methods - refer to the normal and prescribed ways of doing things various operations
are performed according to certain systems and procedures. 
e) Policies - are operating rules that can be referred to as a way to maintain order,
security, consistency, to achieve a goal or mission and to establish boundaries of
behavior for individuals, processes, relationships, and transactions.
f) Procedure - is an established method of accomplishing a task, usually with steps that
are performed in a prescribed order.
g) People - comprise the human element of the organization that provide the hands that
do the work within a company.
h) Plant - refers to machinery, equipment or apparatus used for an industrial activity
3. What are the uses/purposes/benefits of the Pareto Chart?

A Pareto Chart, by an economist Alfredo Pareto, is a graph that indicates the frequency

of defects, as well as their cumulative impact. The principle of this chart is based on the
principle which states that 80% of a problem is attributable to 20% of its causes, or inputs. It is
useful in finding the defects to prioritize in order to observe the greatest overall improvement.
Moreover, it organizes and displays information in order to demonstrate the relative importance
of various problems or causes of problems. By applying this planning tool, the organization can
easily segregate the problems and their causes, and help the organization focus on solving the
few causes generating the most problems.

4. Discuss a Check Sheet and its importance as a planning tool for TQM.

Check Sheet is one of the major TQM tools. It is a form that gathers data in an efficient
way and allows users to easily analyze and interpret that data so that decisions can be made
are based on facts, rather than anecdotal evidence. Moreover, a check sheet might be used to
track the number of times a certain incident happens, to identify patterns of events and the
defect causes. As an example, a human resource department may track the number of
questions by employees, per category, per day. It is important for TQM because aside from it is
a simple and effective way to display data, it is also a good first step in understanding the nature
of the problem as it provides a uniform data collection tool.