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Role of quality in modern business environment
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When you look at the history of General Motors, you will find a long, rich heritage. General Motors came into existence in 1908 when it was founded by William "Billy" Durant. At that time Buick Motor Company was a member of GM. over the years GM would acquire more than 20 companies, to include Opel, Chevrolet, Cadillac, Pontiac, and Oldsmobile. By the 1960's through 1979 was known as a revolution period for General Motors. Everyone was focusing on environmental concerns, increased prices of gasoline lead to the unprecedented downsizing of vehicles. The smaller cars lead to one the largest re-engineering program ever taken in the industry. By 1973, General Motors was the first to offer an air bag in a production car.
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General Motors as Germany and Japan began importing vehicles into the Unites States. With the high fuel prices, and consumers desiring a more fuel-efficient car. GM was no longer going to be a dominate factor in car sales. With an ever changing economy, fuel prices and consumer demand, GM saw their fair share of ups and downs. They also witness the success that the foreign auto manufacturers were having. In 2004, Chevrolet introduced the Cobalt for the 2005 year as the replacement for the very popular Chevy Caviler. The Cobalt was an instant hit; it was sporty, spacious and high performance depending on the model purchased. It was promoted as having a low initial price, fuel efficient and a comprehensive standard safety package that included front air bags. A consumer grievance provoked General Motors to look into an inherent dilemma with the ignition switch. Following this original complaint, it took two years for something to be done concerning it. General Motors reacted by assigning a technical service bulletin to dealerships defining the predicament and suggesting the removal of everything from keychains so that nothing was adding any pressure to the ignition switch. They also incorporated key inserts that could mend the quandary. The enclosures were simply to be given out to patrons who criticized about having problems. In 2006, an engineer with General Motors acknowledged to changing the ignition switch in the Chevy Cobalt. It was apparent that General Motors slipped when it came to quality assurance during the production of the Chevy Cobalt. During the initial trial, the ignition switch flaw was exposed and left uncorrected. After the imperfection had been identified, a panel was formed to examine while production proceeded. The Chevy Cobalt was manufactured and retailed at a bottom dollar to satisfy the new fuel efficiency criteria placed on auto companies. It took three years for the ignition switch to be replaced in these vehicles but the ones previously sold were not recalled. General Motors applies a variety of distinct quality practices in its operations. Somewhere along the way General Motors ignored some of these quality processes over time leading to severe outcomes. The main shortcoming with the Cobalt is that when they were involved in an accident the airbags did not deploy as they were designed to. (Tanya, 2014). The reason for the failure was due to a faulty ignition switch. Recalling the Cobalt only confirmed that GM need to change their quality practice, as the failure in the Cobalt had clearly showed. Considering that everyone from the CEO all the way down to the team committed in production performed unethically and disregarded the quality practices that GM should have followed in the generation of their cars. Amidst the employment of Mary Barra as the CEO, a fresh beginning has commenced at General Motors (Geoff, 2014). While Mary Barra had a lot of attention on her as the first female CEO of GM, she had taken over during the middle of the major recall of the Cobalt General Motors has policies in place when it comes to quality.
These procedures and practices are used both by GM and by their vendors. The policies vary from layered inspections, statistics, process failure modes, effects analysis and control plans (Drew, 2011). All quality measures produce a graded system of quality management utilizing quality tools. An example of quality control test is that of speedy response wherever dilemmas are resolved quickly and immediately throughout visual management. Individuals responsible for specific tasks are kept accountable for some corrective actions that may subsist. What General Motors did was ignore this quality measurement when it was dealing with the problems of the Chevrolet …show more content…
Cobalt. There remained an immense mess for General Motors in the quality procedures, first and foremost, swift acknowledgment. General Motor did not act quickly enough; the company opted to ignore the flaw instead of promptly approaching the quality issue in the Cobalt. GM should have established the means of correction to happen with an aim of repairing the malfunction. Proceedings of disclosing pertinent information as a visual management tool should have been created. With the Cobalt, the business neglected the viewpoint of a swift answer. The restriction of the nonconforming commodity is a primary quality system at GM (Drew, 2011).
GM uses this system by containment, disposition, separation, and classification. Such a system guarantees that any outcome that does not comply with specified requirements is restricted from unintended use, restrained, and dispositioned by the administrators. Accompanied by this quality control is the verifying position where first-time quality and process capacity is advanced (Drew, 2011). Every team member is informed about any modifications in the production process and who and when to summon for assistance in the event of any quandary. Every team is also included in the problem solving to reach any improvement in goals.
Since the probe, General Motors had created a new post that is charged with responsibility for vehicle safety (Muller, 2013). General Motors terminated sixteen people for their role in not repairing the faulty ignition switch. The mindset throughout General Motors was to retain the bad news and keep it apart from senior supervisors. This was undeviatingly contributed to no effort being taken to remedy the faulty switch. Because of this, General Motors is directly accountable for the graves of 13
people. An active quality assurance program would have prevented the predicament before it begun. Initial experimentation confirmed that there was an issue. Quality Assurance personnel should have known what steps to taken to stop the production line till the problem was rectified. While General Motors did not inevitably have an inadequate quality assurance system, it was not used efficiently or effectively. They have since ensured the appropriate steps to quality assurance system is monitored and used effectively. New hires and promotions inside the corporation have assigned new people in key posts to use the system correctly.
The automaker Chevrolet has experienced much technological change in the past 104 years. Although it, Chevrolet, is a French name, it is an American car company. It was primarily founded by William C, Durant, along with Louis Chevrolet, on November 3, 1911. It wasn’t until six years of existence that it became part of the Automotive Division at General Motors, otherwise known as GM. Durant had previously tried to buy out Ford and failed. This caused him to resort to co-founding Chevrolet. The first car sold by the company commonly called Chevy was the Classic Six, at the price of 2,500 dollars. Chevy started producing these vehicles in 1912-1913. The car’s value may seem like pocket change but that is the common day equivalent of roughly 57,000
Entering the 1950s, no corporation even came close to General Motors in its size, or it's profits. GM was twice as big as the second biggest company in the world, Standard Oil of New Jersey (father of today's Exxon Mobil), and had a vast diversity of businesses ranging from home appliances to providing insurance and building Buicks, Cadillacs, Chevys, GMCs, Oldsmobiles, Pontiacs and trains. It was so big that it made more than half the cars sold in the United States and the U.S. Department of Justice's antitrust division was threatening to break it up(to prevent Monopolies, Like how Standard oil was broken up). In the 21st century, it's almost hard to imagine how powerful GM was in the 50s and 60s. Sports cars from Europe were getting popular, because of servicemen coming back from WWII, and wanted sports cars, but American Automakers didn't make sports cars, so they would either buy foreign, or go without. A man named McLean would still try to make a low priced sports car. But it didn't work. The idea of a car coming from GM that could compete with Jaguar, MG or Triumph was pretty much considered stupid and insane. C1:Generation: Bad but valuable. Just 300 Corvettes were made in 1953. Each of these first-year Corvettes was a white roadster with red interior. The Corvette was made of fiberglass for light weight, but the first cars were made with a really weak, (and kind of pathetic for a “sports car”) 150 horsepower 6-cylinder engine and an automatic transmission. The result was more of a look at me, I’m rich car than a race car. The first generation of the Corvette was introduced late in 1953. It was originally designed as a show car for GM's traveling car show, Motorama, the Corvette was a Show Car for the 1953 Motorama display...
General Motors (GM) has been a staple of American culture since 1908. GM represents the best of American ingenuity, with brand names such as GMC, Cadillac, and Chevrolet. According to GM, “Our unyielding mission to earn customers for life has led to a healthy balance sheet and world-class products that are wining in the marketplace” (GM, 2015). At GM’s height, the company was the largest employer in the world. In addition, GM has been an integral company during the wartime efforts, and has capitalized on the American spirit. GM is of the longest tenured American brands.
General Motors has made great progress towards diversity however, it took the lawsuit in order for the company to do so. Adding females and minority to the upper management. Had the HR department of General Motors followed the EEOC regulations, this lawsuit could have been avoided.
As the automobile industry made its first appearance in the early 1900s, General Motors had already slowly begun its formation. GM was founded in 1908 by William C. Durant, a carriage manufacturer of Flint, Michigan, and today operates manufacturing and assembly plants and distribution centers in many countries, including Canada . Its major products include automobiles and trucks, a wide range of automotive components, engines, and defense and aerospace materiel. General Motors has a long history of business and technological innovation designed to deliver ever-increasing value to their customers and society. GM today has manufacturing operations in more than 30 countries and its vehicles are sold in about 200 countries.
...th a growing proportion of elderly people. Global market dynamics and innovations in big data and social networking are transforming the business strategies of companies everywhere—and forcing them to rethink fundamental rules of engagement. For better or worse, the future entrepreneurs will have to surface as one the most disruptive forces. As big data pushes for alternative ways of working – proactive solutions that drive information must quickly figure out which new policies and tools can be utilized most effectively. This grants enormous opportunities for key technological breakthroughs that will be needed for the next generation of transport.
General Motors is one of the world's most dominant automakers from 1931. After 1980s economic recession the main goal for automobile companies was cost reduction. Customers became more price-sensitive. Also Japanese competitors came into market with the new effective system of production. So market was highly competitive and directed toward price reduction. The case states that in 1991 GM suffered $ 4.5 billion losses and most part of the costs of manufacturing was due to purchased components. GM NA hired Lopez in order to find the way from "extraordinary" situation and reduce costs.
First of all, the top management was clearly aware the importance of quality control. The company is one of the earliest companies to bear a vision of quality control in China. And the GM had attended modern management training from overseas, which made him focus on the establishment of quality control procedures.
General Motors Company (GM) is an American multinational corporation that manufactures, designs, markets and distributes vehicles and vehicle parts, and sells financial services. GM produces vehicles in 37 countries, selling and servicing them through thirteen brands such as Alpheon, Chevrolet, Cadillac, Holden and Wuling (Our Company, 2014). GM is among the world 's largest automakers by vehicle unit sales. It employs about 212,000 people working in 396 facilities touching six continents and has 21,000 dealers around the world (Our Company, 2014).
The performance measurement should be built around quality and quantity. I recommend to record production statistics such as number of products and number of defects for each individual or team. The performance of each team should be evaluated by the management. The team which produces the highest quality and quantity will be awarded to encourage a quality focused culture. The team who demonstrates the most significant improvement based on the metrics will also be recognized.
This quality assurance system does not slow down production, but instead allows quality controllers to evaluate and determine quality needs or process improvements. Having appropriate testing and performance evaluations of the production cycle ensures that a high quality product is delivered to consumers and minimizes the risk of defects. Samsung will focus on improving their quality assurance process in light of the issues they had with the Note 7 battery and implement these quality controls as part of the production cycle of this new
Under the leadership of William Durant, September 16th 1908 marked the birth of the General Motors Company, initially incorporating the Buick Motor Company. GM then purchased Olds Motor Works in November 1908, a 50% stake in the Oakland Motor Car Co (later Pontiac Motors) in January 1909, and Cadillac in July 1909. During its first few years of operation, GM also acquired a number of parts and accessories manufacturers, such as Champion Ignition Company (predecessor of AC Spark Plug) and Fisher Body Company, and also attempted to purchase Ford Motor Co. but were refused a $9.5 million loan from their bankers (GM.com Corporate History).
... in implementing control mechanisms that will help to measure the quality of products, at the time so that they are ready to evaluate the performance.
Also in this method the workers on a piece rate so they got paid for what they made. In this method every one is responsible for the quality control. Instead of checking at the end of production, it is checked as the products are made at regular intervals. This means that the quality control is done in such a way that every one is involved.
That also creates the need for the training, which is very important for companies to implement the QMS. The standards have been developed over the course of the quality history from quality control to quality assurance. Basically, implementing a Quality Management System is important for companies to succeed in today’s market, and will enhance customer satisfaction, and improve internal processes. It becomes more and more a necessity for international companies because it saves a lot of money in one hand and time in the other.