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RAYO
BSHM 3.1 A
P-M-I CHART
Instruction: Read and analyze the case study below. Write your answers on the spaces provided.
In the Interesting box, write down how each approach would contribute in achieving the objective of the
power plant. In the My Decision box, write down your recommendation on how Lexus Power Plant will
achieve their main objective using one (1) between the two (2) approaches being compared.
Lexus Power Plant is a large electrical manufacturer based in northern part of India. The company
employs around 12,000 people and is one of India’s leading public sector companies. The company
manufactures large turbines, transformers, etc. which are used in power stations for their clients that are
based in India and abroad. The main objective of the power plant is to establish quality standards that
ensures lower rate of defects in order to minimize the production expenses of the company.
INTERESTING INTERESTING
Statistically, the procedure must not have more than This method will allow the powerplant to have a more
3.4 errors per million. The implementation of this My Decision planned and organized structure of distinct production
The corewill
strategy principle
result of
in the six-sigma
a lower rate ofapproach
defects. is to reduce thezones.
number offive
The defects,
stepswhich is also
will serve as the primary
a guide goal of
for reducing
Lexus. This strategy is appropriate if the company's goal is tothe maximize
numberprofits by eliminating waste and rework. As
of defects.
a result, expenses will be reduced, and the company will be able to deliver a bigger profit.