ASSUMPTIONS AND THEIR ROLE IN COSTLY ERRORS – PART 2

There are a few things wrong with our industrial management culture.

They are:

1.      Assumptions

2.      Over confidence

3.      Bluffing

4.      Blaming

5.      Finding a scapegoat

Another case in the point is as follows:

Customer order requires the border of a product to be made with another fabric, the line supervisor assumed that it should be safe-edge (made of same fabric). 30 pieces  were produced that way.

     30 pieces got inspected by the QC and cleared for dispatch. Then also, it was not found out.

     Now it has gone to the customer and it is going to be a high value claim.

Root cause – considered the order as a repeat order of the previous order, without verifying the stipulations of the current order. Groupthink also contributed to the error.

learning: never assume that the other person is incapable of errors 

ASSUMPTIONS AND THEIR ROLE IN COSTLY ERRORS – PART 1

Recently I visited a plant which has incurred a claim statement of Rs. 17 lakhs.

     The manager in charge of the unit got a new job and left the organization without communicating. There was no proper supervisor for the work also.

     The workmen thought that the order they have received is similar to the one which they had executed   earlier. One container load of the product was sent to OVERSEAS customer. The customer rejected it and wanted a full replacement.

     The replacement resulted in the company incurring a loss of Rs. 17 lakhs due to the additional costs.

Root Causes – The communication chain broke down, there was assumption which was damaging and also the inspection team failed to inspect as per customer requirements (or sent the item as concessional acceptance).

     I consider this a management failure. What do you feel?