Assignment

Module: Process Control

Question 1 (60.00 Point)

1. Why continuous Process Improvement and Controls are very important to any
organization regardless in manufacturing or service line? Discuss critically. You may
choose examples from your own industry. (20 marks)

Continuous Process Improvement and Controls is an ongoing, long-term approach to

improving processes, products and services. It is a method that strives to locate opportunities
for ensuring efficiency, continuously. This involves the assessment of current processes,
products and services to ensure that output is maximised and waste is minimised.

Continuous process improvement and control benefits internal and external stakeholders,
from employees to customers and investors alike. Employee training, skills development,
cross-training programs, educational benefits, and courses can all be seen as examples of
continuous improvement. Most employees will come into a job with a particular set of skills
and competencies and develop some more in their day-to-day work.

The main goal of continuous process improvement and control is to provide higher value
overall for a business. It’s always desirable to achieve efficiency, which could come at the
cost of decreased quality, if the change is implemented without a close eye or too quickly.
Continuous process improvement and control drives both the improvement of processes and
products. Companies that actively look for ways to enhance their business will invariably
increase the value of their products and services. This will lead to more sophisticated and
overall more economically competitive offerings.

One of the simplest reasons to adopt a continuous process improvement and control
philosophy is to keep the products ahead of the competition. By adopting a continuous
improvement model, it can ensure that the company consistently launches products that meet
customer expectations and exceed their needs. This can be a powerful tool to keep the
products relevant and competitive in the marketplace.

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There are countless ways to implement a continuous process improvement and control
strategy that focuses on improving customer service where everything from streamlining the
sales process to improving the experience of visiting a call centres. Many of these
improvements occur at the front end of the business making things easier for customers as
they interact with company. All of these things can help improve customer service, as well as
create a more streamlined process for employees.

A continuous process improvement and control strategy can also be a tool for creating a
learning culture, which is an essential part of any successful organization. It’s impossible to
know everything there is to know about any given industry, product or service. That’s why
companies often have a variety of training programs in place to help employees keep up with
changes in the marketplace and new technologies being used in the workplace.

Continuous process improvement and control can be used in conjunction with these types of
programs to help employees identify areas of improvement in their own work and then take
the initiative to do something about it. This can help create an environment where employees
feel empowered to solve problems and make improvements on their own which is essential in
a lean culture.

In business, logistics refers to the network of systems that controls how resources flow
through a business and from one firm to another over the course of a supply chain or
production process. The field of business logistics is its own course of study and expertise for
managers who understand the benefits of controlling logistics. Logistics professionals
concern themselves with the goal of continuous process improvement and control, which can
have a significant impact on a company's bottom line.

One of the most visible and valuable benefits of continuous process improvement and control
in business logistics is the ability for a firm to control its costs. Many costs tend to rise over
time, such as labour, raw materials and energy. Rising costs cut into profits unless businesses
can raise prices without hurting consumer demand. By continuously improving logistics, a
business can take control of its costs. For example, pursuing energy-saving manufacturing
methods helps a business guard against the rising price of energy.

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Logistics supply a business with the materials and other resources it needs to produce goods
for sale. Improvements in logistics allow a firm to utilize the fullest extent of its production
capacity. Any shortages or slowdowns of raw materials or labour could mean idle factories
and production that can't satisfy demand or meet sales targets. Managing logistics can ensure
there is a steady stream of resources available, regardless of market conditions. This will be
the case when a business identifies and invests in new suppliers of essential goods or pursues
a vertical integration strategy to take more control of the upstream supply chain.

Quality is a major element of business logistics. Having access to the right materials at the
right time is of little use to a business if the materials are of poor quality and unusable.
Continuous improvement in logistics strives to supply firms with rising percentages of quality
resources. This is especially important for specialty goods, where there is a low tolerance for
error and customer returns or rejected products are costly.

Every business faces competition in some form from another company. While there are
numerous ways in which businesses can compete, logistics ranks high among them.
Improving logistics to a point and then taking a passive approach to the system allows
competitors to gain advantages in terms of cost savings, improved quality and production
capacity. Even incremental improvements in logistics can translate into significant savings
over time and lay the foundation for further improvements in the future.

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2. Industrial Revolution 4.0 (IR 4.0) has been kicked off officially in Malaysia since
2017. Identify and give short explanation on 5 pillars that interest you and share why do
you think IR 4.0 will help better control of process management and business
management. (20 marks)

The Malaysian Ministry of International Trade and Industry (MITI) tabled the National
Policy for Industry 4.0 to help advance the countries' businesses and factories. This will
ideally help the local industries to increase productivity, efficiency, quality, and to also
develop new skills and talent with the people. The goal of Industry 4.0 is to introduce
automated decision-making, interconnected machinery, data analytics, and more to increase
productivity across the value chain and enable the efficient production of goods.

In general, IR 4.0 contains nine pillars that include Big Data, Augmented Reality, Simulation,
the Internet of Things (IoT), Cloud Computing, Cyber Security, System Integration, Additive
Manufacturing, and Autonomous System. These advancements bridge the digital and
physical worlds and make autonomous and smart systems possible. Supply chains and
business are already using some of these innovative technologies, but the full completion of
Industry 4.0 comes at the front when used together.

Analytics based on large data sets has come out recently in the world of manufacturing,
where it optimizes quality of production, improves equipment service, and saves energy. Big
data analytics in Industry 4.0 is in the context that the comprehensive evaluation and
collection of data from many different sources, production equipment and systems and
organization and will become standard to support decision making in real-time.

For example, Infineon Technologies, a semiconductor manufacturer has reduced product

failures by correlating single-chip data encapsulated in the testing phase at the end of the
production process with process data collated in the wafer status phase in the early process. In
this way, industry 4.0 analytics helped Infineon to quickly identify patterns that assist them in
discharging faulty chips early in the production process and improved production quality.

Manufacturers in numerous industries have used robots to tackle complex assignments, but
now they’re progressing towards greater utility. They are becoming more flexible,
autonomous, and cooperative. And hence, they will interact and work safely with humans and

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learn from them. These robots and analytics chatbot will be economical and have a more
excellent range of capabilities than those used in manufacturing today.

For example, Kuka, a European robotic equipment manufacturer, offers autonomous robots
that interact. These robots are interconnected to work together and automatically adjust their
actions to fit the next unfinished product in the line. Control units and high-end sensors
enable close collaboration with humans.

A digital twin is a virtual simulation of a real-world product, machine, system, or process

based on IoT sensor data. It allows businesses to better analyse, understand, and improve the
maintenance and performance of products and industrial systems. For instance, an asset
operator can use a digital twin to identify a specific malfunctioning part, predict potential
issues, and improve uptime.

The German machine-tool vendor Siemens developed a virtual machine that can simulate the
machining of parts utilizing the data from the physical machine. This shredded the setup time
for the actual machining process by as much as 80 percent.

In the current scenario, only some of a manufacturer's machines and sensors are networked
and make use of embedded computing. The Industrial Internet of Things is so central to
Industry 4.0 that the two terms are used interchangeably. Most of the physical things in
Industry 4.0 devices, machinery, robots, products, equipment, use sensors to provide real-
time data about their performance, condition, or location. This technology lets organizations
run smoother supply chains, rapidly modify, and design products, stay on top of consumer
preferences, prevent equipment downtime, track products and inventory, and much more.

A drive and control system vendor, Bosch Rexroth, outfitted a production facility for valves
with a decentralized production and semi-automated process. Products are identified by
identification codes, radiofrequency and workstations to know which manufacturing steps
must be performed for each product and can adapt to perform the specific operation.

Organizations have begun to adopt additive manufacturing, such as 3D printing, mostly to

produce individual components and prototypes. Having Industry 4.0 in place, these additive-
manufacturing methods will be widely used to make small batches of customized products

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that offer construction advantages, like high performance, lightweight designs, and more. For
example, aerospace organizations are using additive manufacturing to apply new designs that
reduce aircraft weight and lower expenses for raw materials such as titanium.

The Universal Robots chief technology officer and co-founder, explained, "Industry 5.0 will
make the factory a place where creative people can come and work, to create a more
personalized and human experience for workers and their customers." By connecting how
machine and man work together, estimates say that Industry 5.0 will mean that over 60% of
manufacturing, logistics and supply chains, agri-farming, and the mining and oil and gas
sectors will employ chief robotics officers by 2025.

Therefore, it can be said that Industry 4.0 is more than just technology. It is about making
fundamental changes in how manufacturing is done. There are new manufacturing industries
and new manufacturing processes to go along with all the latest technology. It is about doing
new things, creating new products and providing capabilities that didn't exist anywhere just a
few years ago.

It is essential to understand the potential of the fourth industrial revolution because it will
affect manufacturing processes. Its range is much broader, involving all industries and
sectors. Industry 4.0 can improve revenue growth, business operations and transform the
supply chain, products and customer expectations.

Technologies coupled to Industry 4.0 can lead to entirely new services and products. The use
of portable devices and sensors, robotics and analysis will allow improvements in products in
numerous ways, from creating tests and prototypes to the integration of connectivity to
previously disconnected products.

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3. ISO9001:2015 Quality Management System principles are also believed can be used
as a tool to control any business management. Critically discuss the relevancy of the
principles and the business process from your point of view. (20 marks)

ISO 9001 is defined as the international standard that specifies requirements for a quality
management system (QMS). Organizations use the standard to demonstrate the ability to
consistently provide products and services that meet customer and regulatory requirements. It
is the most popular standard in the ISO 9000 series and the only standard in the series to
which organizations can certify.

ISO 9001 was first published in 1987 by the International Organization for Standardization
(ISO), an international agency composed of the national standards bodies of more than 160
countries. The current version of ISO 9001 was released in September 2015. ISO 9001 helps
organizations ensure their customers consistently receive high quality products and services,
which in turn bring many benefits, including satisfied customers, management, and
employees.

Because ISO 9001 specifies the requirements for an effective quality management system,
organizations find that using the standard helps them to organize a QMS, create satisfied
customers, management, and employees continually improve their processes and save costs
In Nevada, the Clark County School District used ISO 9001 to save $174 million over 10
years in actual expenditures and cost avoidance. More than 3,000 employees were trained to
the standard, enabling three critical components of the system’s success: training,
communication and respect, and efficiency.

According to the ISO 9001:2015 standard, there are seven principles of quality management.
These principles are customer focus, leadership, engagement of people, process approach,
improvement, evidence-based decision making and relationship management. Each will have
a different priority according to an individual business’s nature and focus.

Customer focus aim is to focus on both direct and indirect customers. The goal is to meet
customer requirements and exceed them. The focus is on netting sustained success by
focusing on customers’ needs. Providing value-added services at every stage is vital.

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Customer focus means needs to manage customer relationships and watch customer
satisfaction.

The aim of leadership should be to establish unity of purpose. By doing this, the leaders
improve effectiveness and efficiency within the company. Leadership comes down to
communicating the business’s quality objectives. Effective communication from leadership is
vital. It aligns the company’s vision, direction, and policies to achieve its aims.

The ISO 9001:2015 statements read:

“Competent, empowered, and engaged people at all levels throughout the organisation are
essential to enhance its capability to create and deliver value”.

By engaging and empowering people at all levels, the organization encourages them to thrive.
A thriving workforce adds value to their organisation’s quality management. Organization
can meet this goal by talking to the staff and affirming employees’ contributions to the
business.

Quality management systems consist of several different processes working together.

Appoint people to develop and oversee these processes to be effective. Ensure that everybody
understands the objectives and knows what the end result should be. Share information to
help the continual improvement of your quality management. The process approach aims to
provide consistent and predictable results. Consistency enhances customer confidence in your
ability to deliver.
Focus on constant improvement by responding to market changes and customers’ changing
needs. Gear all the quality systems toward finding new ways to do things and make the
services or goods organization provide better. An organisation that loses the ability of
continual improvement loses business. Avoid resistance to change. Something that worked 10
years ago may not be relevant today. The organisation needs to evolve and improve to remain
competitive.

Ensure that the people base their choices on the gauging of on-hand data and information.
Make relevant data available to the decision-makers in organisation, encouraging objectivity.
Having access to reliable data allows for an improved decision-making process. Also, it helps

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with company’s capability to review and change decisions or opinions. It also allows
company or organization to determine past decisions’ effectiveness.

ISO 9001:2015 focuses on relationship management with suppliers and partners. Expand this
to include clients. The idea works on the theory that need to have a good relationship with all
interested parties. Need a good rapport with partners for them to supply efficiently when
activities overlap. By pooling information, expertise, and resources, organization benefit all
parties involved. A good relationship with suppliers results in an effective and efficient
supply chain.

These seven principles constitute the baseline for QMS in any organisation. Conduct internal
audits to determine whether the company follows these principles. Remember that different
activities and organisations have differing requirements. Decide on the company’s core
business needs and tailor the QMS to the circumstances. Test the salient data and information
to decide on the shape of the quality management strategy.

A business process is a collection of linked tasks that find their end in the delivery of a
service or product to a client. A business process has also been defined as a set of activities
and tasks that, once completed, will accomplish an organizational goal. Business processes
help keep the company on task, prevent errors, and increase the speed with which the staff
can accomplish their work. Without defined processes, there's no way to guarantee that
anyone does a task the same way twice.

A QMS enables a business to protect its reputation, accelerate change and meet customer
needs. A QMS also provides protection in the face of litigation. There are importance’s and
benefits of quality management as it’s pertain to business process such as it helps an
organization achieve greater consistency in tasks and activities that are involved in the
production of products and services. It increases efficiency in processes, reduces wastage,
and improves the use of time and other resources. It helps improve customer satisfaction.

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References

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improvement-logistics-important-23632.html

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its-nine-technology-pillars

3. Retrieved on 9th January 2023 from https://asq.org/quality-resources/iso-9001

4. Retrieved on 9th January 2023 from https://bestpractice.biz/what-are-the-seven-principles-

of-quality-management/

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https://www.techtarget.com/searchcio/definition/business-process

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improvement/

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