GATI CASE

GANESH MARISUNDAR
BL.BU.P2MBA19023
1.What is the main problem faced by the general manager? Explain using Excel.
The main issue was there was the miscalculation of average delivery time as 33.5 hours,
whereas the actual delivery time was 38.5 hours. This resulted in delay in delivery time in
the premium express delivery scheme which drastically increased the number of complaints
in this scheme. There were also so many other reasons like lack of SOP, relying on vendors,
improper data entries, poor leadership and so on.

No of complaints
25

20

15

10

0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Week

From the above data, the complaints received over the past 20 weeks are much higher at an
average of 11.55 complaints in this scheme.

2. How can the GM find out if the premium express scheme process is under statistical
control?
In order to check whether the scheme is under premium express scheme process, the
manager can use a statistical process control tool like p-chart. From this chart, the manager
will be able to identify which process is above the limit and which process is below the limit.
Then the manager should identify all the variations and should analyse why there is so much
of variation.
 35

30

25

20

15

10

0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
-5

-10

No of complaints Control limit Upper control limit Lower control limit

There are lot of variations in the data points, so the manager should identify ll those and
analyse the causes for those variation.

3. Under what conditions it becomes imperative to investigate process variations even if

the process is under statistical control?
Even though the process is right, there are lot of variations involved in this process which
should be looked into. This variation can be identified and analysed through cause and
effect diagram so that the root cause of the variation is involved and a solution can be
found.

4. How can the GM identify the potential causes for the delay in the delivery of shipments
booked under the premium scheme?
The manager can identify the causes by discussing that with the other department
managers and through brainstorming with employees. A p-chart can be used to identify the
potential causes. The manage can use a cause and effect diagram to analyse the issues.

5. Explain in detail an approach the GM can take to identify the major causes for the delay
in shipment
There are few reasons which causes a delay in delivery.
 Less agile
 Delay In loading and unloading
 Fraudulent customers
 Rely on vendors
 Outdated trucks
 Low computer literacy
 Redundant paperwork
 Lack of SOP
 Improper data entry
  Leadership
So, a pareto chart can be made to find out which is a majority factor which leads to delay in
delivery.

From this chart, it is clear that relying on vendors, lack of Standard Operating Procedure and
delay in loading are major factors which lead to the delay in delivery. So, the General
Manager should focus in these three issues to reduce the delay and increase efficiency.

6.What is meant by process capability? How can the GM find out using Excel if the new
processes were meeting the target defect proportion?

Process capability is the ability to process the inherent function within the specification
limits consistently.

From the below data, it is understood that the process is within the specification limits but
still the performance should be increased by reducing the variation in order to avoid time
delays.
The process mean is centred but the values should be at least 1.33 to avoid errors and
increase efficiency.
 No of complaints
7

4
Number

0
-6.2 -1.7 2.8 7.3 11.8 16.3 20.8 25.3 29.8 34.3 34.3

Values