Test Two QM4564 (if you use a rolling r chart, use an ‘n’ of 3)
Going to the Dogs Inc. (100,000 employees) decided they should do something about their hiring process. Management had finally decided that turnover was too high, costing them lots of training costs, lost production, and low quality production. The ‘Hired and complaints per day’ data set shows pre and post data relevant to the process pre and post hiring process change/process treatment. Each complaint indicates how many people hired did not fit the position they were hired for. In all data sets, the first 30 data points are pretreatment. The second set of 30 data points for all tabs are from after the process treatment. The first set of data has 32 points of data pre and post process change, the others are 30.
The first step in their process improvement project was to get a clear picture of their company relative to the total quality framework to determine what was constraining their hiring process from an organizational standpoint. This research also informed them as to if the turnover could be attributed to their hiring process and/or to their general organizational structure and resulting policies and procedures. They decided it was some of both.
Definition of the ‘correct product’.
The second step was to determine what their hiring process should be able to accomplish. They decided that the correct product of this process was placement of a person that was willing and able to accomplish the task, duties, and responsibilities (TDRs) of the job. This placement would occur within 15 days of the hiring request and would be accomplished for under $1000 per hire.
The ‘production’ process that they determined would work consisted of the following process steps.
Manager request for a new hire
Request and TDR’s placed in appropriate distribution channels where perspective job candidates would easily find them (advertising)
Screening all applicants to create a set of prospective employees to interview
Interview process
Selection and job offer
The first set of data shows how many people hired per day and how many of them did not fit the position.
The second data set, ‘Errors on Request’ shows what happened to the numbers of errors on the request form pre and post process change. These errors included inconsistent TDR’s for given jobs, missing information, and information in the wrong place. The third data set, ‘Total duration time’, shows how long the process used to take and then what happened to the duration time of the hiring process post process treatment. The time tracked was from the time it was decided to fill out a request to the time the selection decision was made. The ‘Actual Touch Time’ data set displays just actual work time needed to complete each hire. Other data were gathered for the process, but the company decided it was not relevant. They could not determine how to display the data in the data sets provided, that is your job. The information needed to do a cost benefit analysis is on the last sheet.
Test outputs
Create appropriate chart/s for each set of data and talk about what is going on in each and what you would do (how would you use them if you do use them) with these charts in the future.
Does the new, controlled process produce the correct product?
Is the new process a good investment (NPV with a 95% confidence interval)? You need to develop Monte Carlo simulations where needed to develop realistic cash flows.
Delineate a control process for the hiring process by briefly addressing the last 15 steps of the quality control policy. In the course of developing the 15 points, discus at least six ‘things’ you would measure. You can include the measures taken to produce the data in the accompanying excel sheet.
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