Download - Xerox corporation - Excellence in Operations
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AN EXCELLENCE IN OPERATIONS CASE STUDY
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PRESENTED BY : Group 2 Arindam Misra Md Shafiul Ravi S Chaudhary Toulick Laskar Varun Ganotra Vinesh S Chauhan
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Xerox : The riches to rags story …. 1960s: Enjoyed a complete monopoly through patents. All of Porter’s 5 Forces : Favourable 1973 : Federal Trade Commission intervention (PESTLE conditions), many
competitors come in, From Monopolist to less than 50% market Share Before they concentrated on strategizing on internal standards, but after the deregulation, Xerox was forced to look into the external factors for sustainability ….
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Objectives for sustainability ….
Diversification into other businesses did not yield desired results.
Strategy Revised to: Improving Productivity Customer Satisfaction Cost Effectiveness
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SWOT ANALYSIS….• Strong Corporate Brand.• Strong R&D Lab.Strengths• Less focus on product features.• Lack of performance in the document technology
division.Weaknesses• Significant acquisitions.• Services poised to capture growth in cloud,
mobility and analytics.Opportunities
• Trends indicate structural declines in document technology.
• Competitors – HP, CANON Inc, Ricoh Company Ltd.Threats
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Strategy Begins ….
Competitive Benchmarking Comparing with the best practices of the competitor.
Employee involvement Employee involvement through Quality Circle.
Business Effectiveness Improving Productivity, cost effectiveness, Customer Satisfaction. Major Restructuring: Formation of SBUs
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Leadership through Quality….
Idea from Fuji Xerox : Successful turn around and Deming’s Award.
Total Quality Control : Adopted from Fuji Xerox but modified for effectiveness.
Competitive Benchmarking and Employee involvement to be the basis.
Quality Strategy: “Pursuit of Excellence”
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Features of TQC:
Quality is defined by customers' requirements
Top management has direct responsibility for quality improvement.
"Increased quality comes from systematic analysis and improvement of work processes.“
"Quality improvement is a continuous effort and conducted throughout the organization."
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Implementation ….Qu
ality
Impl
emen
tatio
n Te
amCompanywideMembers of business groupsStrategyBlue Book GuidelinesGreen BookGuidelines Qu
ality
Trai
ning
Task
For
ceWork with QITImplementation time = 0
Qual
ity Tr
aini
ngFamily groupCascade TrainingLearn-Use-Teach-Inspect
QIT QTTF Training
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Tangible Benefits….
• 70,000 employees trained• Reduced Avg. Manufacturing costs by 20%• Reduced new product line time by 25%• Reduced suppliers from 5,000 to 350• Defect free rate to 99.5%• Changes in Product planning/ Distribution/ Customer.• Feedback from customers
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Challenges to implementation ….
• Lagging behind the revised 1987 goal• Integration of quality into daily work• General management leadership• Implementation process• Scarce awards and Incentives• Deteriorating quality network• Lack as universal business driver
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JIT, TQM and Lean Six Sigma ….
JIT• Automated material
handling.• Information
processing system.
Lean• Elimination of non-
value adding elements
• Only what the customers perceive as value is important.
Six Sigma• Design and
implement the most effective solution.
• Stringent measures for the best quality.
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Seven “Bottom line” for continuous improvement
Group & unit general management leadership Sustaining strategy implementation in accordance with “Green Book” A systematic process of total integration of quality as part of daily work Management role modeling, inspection and coaching Recognition & reward o reinforce the process to achieve desired result Quality specialist skills to improve the capability in using the processes Focus on satisfying the external customers’ requirements
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Thank You