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A satisfied customer is the most important goal of this company" was the opening remark of the corporate president. Alicia Les, at Wonder Tube Company's monthly executive committee meeting. The company manufactures tube products for customers in 16 western states. It has four divisions, each producing a different type of tubing material. Les, a proponent of total quality mangement, was reacting to the latest measures of qulity from the four divisions. The data for the four divisions follow: Brass Division Plastics Division Aluminum Division Cooper Division Company Averages Vendor on time delivery 96.30% 90.50% 97.20% 87.10% 92.61% Production quality rates(deective parts per million) 1300 2600 1200 4300 2400 on time shipments 87.10% 76.30% 89.70% 73.50% 81.65% returned orders 1.00% 4.00% 0.75% 6.00% 3.00% number of customer complaints 20 52 6 58 34 number of warrenty claims 6 11 3 13 9 Why was Les upset? Which division or divisions do not appear to have satisfied customers? What criteria did you use to make your decision?

Financial Accounting, Accounting

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