Assignment

Total Quality Management

Topic
Juran Triology , Failure mode and effect
analysis and House of Quality for Our
Proposed Students Newsletter THE
SUCCESS
Submitted by
Syed Bilal Shah C.no 31,
Shifa Hareer
Aziza
Aftab Muhib
Haider Ali

C.no 26,
C.no 34,
C.no 02,
C.no 50

BBA (Hons) 6th Section (A) Semester Session 20112015

The Juran Triology :

Quality planning
Our customers:
The Success- A key to real success. It is the first citywide monthly newsletter for
the school students in Peshawar city. There has always been a room for such a
platform that could give recognition to the hidden skills of the students, provoke
their interest with studies and create love in their hearts for their books, teachers
and their schools. A platform that could provide them opportunity to think, use their
mind and come up with something new. All that is what The Success offers to its
young generation.
We are making newsletters that is totally for all age students that is from lower
class up to high classes and also it is a kind of guide for a teachers that can be
supportive in delivering their knowledge to the students in a best and easy way.
So, this news paper is for students, teachers, parents. Parents can benefit from this
in a way that they will be updated to all the information regarding best school etc
and assist them in selecting the bright future for their children.

Needs of those customers:

Nowadays it is an age of information and technology so , people want up to date

information that whats going on their surroundings ,which new technology is going
to emerge ,tips on all aspects of life and global warming. The students also want to
entertain their selves and want to polish up their interest regarding all information.

Features of the success:

The Success will be positioned as the only newsletter that will contain articles
related to Science, Religion, Literature, Creative writing, poetry, history, paintings of
students. It will also have health tips, story portion, quizzes, games and guidelines
for the studies and future of the students by the Editor.

Design of the success:

Meeting the customers needs:

Our product The Success is a monthly Newsletter for school students. It is a 2*2.5
double side colored, page. This will have room for articles related to Science,
Religion, Literature, Creative writing, poetry, history, paintings of students. The list
is given below:
1
2
3
4

Students Articles related to Religion, Science, Creative writing, Literature,

history, poetry
Picture stories
Paintings
Jokes

5
6
7
8
9

Bright and talented students and school names

Inter schools competition results
Glimpse of The Success Awards ceremony
Different informative websites for teachers and students
Our upcoming events

QUALITY IMPROVEMENT:
We can improve this through fishbone

Cause and Effect Diagram

It identifies the reasons due to which quality deteriorates. It is given below

Pareto Chart
It shows that some of the reasons will be responsible for majority of
problems.20% reasons responsible for 80% of problems. It identifies what are
the big problems, and to solve only those that are affecting the most.

Pareto Chart for our Business plan is given below

QUALITY CONTROL:
Before publishing the articles in the news letter we will make it sure that the
material published should be according to the understanding level of children.

Changing into operations:

The operating conditions is through process flow diagram

House of Quality for Our Newsletter

House of quality acts like interfere that helps us to communicate with our
experts, engineers and our customers.
House of quality for our business i.e. the students newsletter is given below
(Next Page)

Performance and Astatic

First we have to pin point and know what are the needs and wants, what
customers and in this case what our students want to see in our newsletter.
It should have an attractive look; the paper used should give smooth touch,
as children wants colors, so it should be colorful. The most important thing is
that it should have reasonable cost, so that everyone can buy it.
As for as performance is concerned, the paper should be durable, not simply
damaged by water i.e. somehow water resistance. Also the information
should be updated and according to the need of the students.

Material selection and Manufacturing

After we come to know about the requirements of the students, the next step
is to think about the material selection and manufacturing process.
The materials we need are hard sheets, A4 sheets, Newspaper pages and
good quality ink. After materials are ready to use, here comes the
manufacturing process. We will need Typewriters, photo state machines,
printer and Xerox printing machines.
Developing Relationship Matrix between whats and Hows
In the next step we have to develop a relationship matrix between hows and
whats.it shows what is the effect of performance and astatic to material and
manufacturing process. What affect what, and how is their relationship, all is
shown in this. We assign values to them, on the basis of these values, we
come to know about the strong, or weakness of the relationships.
Develop an inter relational matrix between Hows
It tells us how much the material and process are inter dependent. How
much is the room for improvement. How can we change the material and the
process?
In our newsletter case what if we use recycled papers instead of buying new
papers? What if we use manual or old photo state machine instead of
Printer? What if we use printer instead of Xerox Printer? All this is discussed
in Inter relational matrix between Hows.
Prioritizing Customer Requirements
It shows us how well are you doing, what is the commercial value of our
product, how good are you fulfilling the customer requirements, does it lead
to profitability or mot? All of these things are discussed in this.
First we prioritized the customers requirements on the scale of 1 to 5. Then
come the scale up factor which is the ratio of target value to the ranking
given by the customers to us.
Prioritized Technical descriptors
This portion comes from engineers, a plan of experts not working in our
organization, independent experts. On the other hand technical descriptors
come from your own engineers.

Relative weight tells us how you are doing as compared to the target.

Failure Module and effect analysis

How to achieve Profit Level

Total number of private schools in KPK and Peshawar
According to a statistical data taken from EMIS Peshawar, total number of schools in
Khyber Pakhtunkhwa (KPK) is 6101 while that in specifically Peshawar region is 890.
(2010)
(Source: EMIS, Peshawar)

Total number of students in private schools in KPK and

Peshawar
Total number of students in KPK is 865918 while that in Peshawar is 235950. (2010)
(Source: EMIS, Peshawar)
Presently in 2014 we can assume that a large number of schools and students
would be added to the above figures. This data shows a great potential market for
our business. (Source: EMIS, Peshawar)

Cost and revenue analysis

We have two sales strategies and we will use both of them at the same time. The 1 st
strategy is direct selling to students personally using a colorful and attractive van in
the locality of schools and through local newspaper sellers. The 2 nd is using the
schools as intermediaries. This will be our distribution channel comprising of one
intermediary.
Financial Analysis of Strategy #1
Cost
Cost per newsletter 15
Quantity of newsletters 10,000
Cost of total newsletters
(15*10,000) =
Other costs
Salary expenses
Total Rs. 200,000
Revenues
Price per newsletter
Quantity
Total revenues

150,000
10,000
40,000

20
10,000
20*10,000 = Rs.200,000

Table 1.showsthe breakeven point for the estimated financial data of the starting month.

Cost
Cost per newsletter 13
Quantity of newsletters
Cost of total newsletters
Other costs
Salary expenses
Total Rs. 245,000
Revenues
Price per newsletter
Quantity
Total revenues

15,000
(13*15000) =
195,000
10,000
40,000

20
15,000
20*15,000 = Rs.300,000

Table 2.shows increased revenues for the 2nd month

These two table shows that other things remain the same but only the per unit cost
is decreased due to economies of scale as a result of which considerable increase in
profits can be observed. Similarly printing up to 20,000 newsletters will cost Rs.10,
so the cost will be Rs.250,000 and the revenues will increase up to Rs.400,000.
Financial Analysis of Strategy #2
According to this strategy we target schools administration to make the school our
member buyer. We will offer to give them a portion of revenues that comes from
their school.
For 10 schools
Cost
Cost per newsletter
15
Number of students/School
500
Number of schools
10
Cost of total newsletters
(15*500*10) =
School commission
(5% of 75000)=
Salary expenses
Total Rs. 98,750
Revenues
Price per newsletter
Number of students/School
Number of schools
Total revenues
Rs.100,000

75,000
3750
20,000

20
500
10
(20*500*10) =

Table 3.Shows the breakeven point for the estimated financial data of the starting month.

For 20 schools

Cost
Cost per newsletter 15
Number of students/School
500
Number of schools
20
Cost of total newsletters (15*500*20) =
130,000
School commission
(5% of 130,000) =
6500
Salary expenses
20,000
Total Rs. 156,500
Revenues
Price per newsletter
Number of students/School
Number of schools
Total revenues
Rs.200,000

20
500
20
(20*500*20) =

Table 4.showsincreased revenues due to addition of more schools

The data in the above table shows that greater the number of schools in our
membership list greater will be the revenues.

End