Want FREE Templates on Organization, Change, & Culture? Download our FREE compilation of 50+ slides. This is an exclusive promotion being run on LinkedIn.







Flevy Management Insights Case Study
Quality Control Enhancement for Chemical Manufacturing


There are countless scenarios that require Measurement Systems Analysis. Fortune 500 companies typically bring on global consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture, or boutique consulting firms specializing in Measurement Systems Analysis to thoroughly analyze their unique business challenges and competitive situations. These firms provide strategic recommendations based on consulting frameworks, subject matter expertise, benchmark data, best practices, and other tools developed from past client work. Let us analyze the following scenario.

Reading time: 6 minutes

Consider this scenario: The organization is a mid-sized chemical manufacturer specializing in polymer production.

Despite robust market demand, the company is grappling with quality inconsistencies that have led to increased waste and customer dissatisfaction. The challenge lies in the current Measurement Systems Analysis (MSA), which hasn't kept pace with the complexity of their processes, leading to variation and errors in quality assessment.



Initial observations suggest that the organization's quality control measures are not adequately capturing the variability in their production processes. One hypothesis is that measurement devices are improperly calibrated or outdated, resulting in inaccurate data. Another possibility is that operator error or lack of training is contributing to the inconsistencies. Lastly, the environmental conditions within the plant, such as temperature and humidity fluctuations, could be affecting the measurement systems.

Methodology

The organization can improve its Measurement Systems Analysis by adopting a systematic, multi-phase approach. This methodology will streamline processes, enhance accuracy, and reduce waste, leading to cost savings and improved customer satisfaction.

  1. Assessment of Current MSA Practices: The first phase involves a thorough review of existing measurement instruments, procedures, and personnel capabilities. Key questions include: Are the measurement devices accurate and reliable? Are operators trained to conduct MSA correctly?
  2. Data Collection and Analysis: In this phase, we collect data from current MSA practices to identify patterns of variability. This involves statistical analysis to determine the root causes of measurement errors.
  3. Process Improvement Plan: Based on the analysis, we develop a tailored plan to address identified issues. This includes recalibration of instruments, training for operators, and environmental controls.
  4. Implementation and Change Management: The organization must execute the improvement plan with a focus on managing change among personnel and processes. This includes monitoring the implementation to ensure compliance and adoption.
  5. Continuous Monitoring and Feedback: The final phase establishes a system for ongoing monitoring and feedback to ensure the MSA processes remain effective and adapt to any changes in production.

Learn more about Change Management Customer Satisfaction Measurement Systems Analysis

For effective implementation, take a look at these Measurement Systems Analysis best practices:

Gage Repeatability and Reproducibility (R&R) Course (90-slide PowerPoint deck)
Six Sigma - Measurement Systems Analysis (62-slide PowerPoint deck)
Lean Measurement System Analysis (MSA) (137-slide PowerPoint deck)
Measurement System Analysis (94-page PDF document)
View additional Measurement Systems Analysis best practices

Are you familiar with Flevy? We are you shortcut to immediate value.
Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations
Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.
AT&T GE Cisco Intel IBM Coke Dell Toyota HP Nike Samsung Microsoft Astrazeneca JP Morgan KPMG Walgreens Walmart 3M Kaiser Oracle SAP Google E&Y Volvo Bosch Merck Fedex Shell Amgen Eli Lilly Roche AIG Abbott Amazon PwC T-Mobile Broadcom Bayer Pearson Titleist ConEd Pfizer NTT Data Schwab

Key Considerations

Ensuring the integrity of measurement systems is critical for maintaining product quality. Executives often question how the new MSA practices will integrate with existing workflows without causing disruption. A gradual implementation plan, coupled with comprehensive training programs, will facilitate a smooth transition. Moreover, executives are concerned about the cost-benefit ratio of such enhancements. By focusing on reducing waste and customer returns, the improved MSA processes are expected to yield a positive return on investment within a defined period. Additionally, the cultural shift towards a data-driven quality control mindset is a common point of interest. This involves fostering an organizational culture that values accuracy and consistency in quality measurements.

After full implementation, the business is expected to experience a reduction in variability of product quality, leading to fewer customer complaints and returns. This should be reflected in a higher Net Promoter Score (NPS) and increased customer loyalty. Another expected outcome is a decrease in production waste, which can lead to cost savings estimated at 15-20% of current waste-related expenses.

Potential implementation challenges include resistance to change from operators accustomed to existing processes, and the initial investment required for upgrading measurement systems. Furthermore, ongoing maintenance of the new systems and the need for continuous training may pose additional challenges.

Learn more about Organizational Culture Customer Loyalty Quality Control

Implementation KPIs

KPIS are crucial throughout the implementation process. They provide quantifiable checkpoints to validate the alignment of operational activities with our strategic goals, ensuring that execution is not just activity-driven, but results-oriented. Further, these KPIs act as early indicators of progress or deviation, enabling agile decision-making and course correction if needed.


What gets measured gets done, what gets measured and fed back gets done well, what gets rewarded gets repeated.
     – John E. Jones

  • Percentage Reduction in Product Variability: Indicates improvements in product consistency.
  • Cost Savings from Reduced Waste: Reflects the financial impact of enhanced MSA practices.
  • Improvement in Customer Satisfaction Scores: Measures the impact on customer perception and experience.

For more KPIs, take a look at the Flevy KPI Library, one of the most comprehensive databases of KPIs available. Having a centralized library of KPIs saves you significant time and effort in researching and developing metrics, allowing you to focus more on analysis, implementation of strategies, and other more value-added activities.

Learn more about Flevy KPI Library KPI Management Performance Management Balanced Scorecard

Measurement Systems Analysis Best Practices

To improve the effectiveness of implementation, we can leverage best practice documents in Measurement Systems Analysis. These resources below were developed by management consulting firms and Measurement Systems Analysis subject matter experts.

Typical Deliverables

  • MSA Process Improvement Plan (PowerPoint)
  • Training Curriculum for Operators (PDF)
  • Quality Control Dashboard (Excel)
  • Implementation Progress Report (MS Word)
  • Post-Implementation Review Document (PowerPoint)

Explore more Measurement Systems Analysis deliverables

Case Study Examples

A multinational pharmaceutical company overhauled their MSA process, resulting in a 25% reduction in batch failures and a significant increase in compliance with regulatory standards. Another case involves a global automotive manufacturer that implemented advanced MSA techniques, leading to a 30% decrease in warranty claims related to quality issues.

Additional Executive Insights

Incorporating advanced analytics and machine learning into Measurement Systems Analysis can provide predictive insights, enabling proactive quality control measures. By analyzing historical and real-time data, firms can anticipate and prevent quality issues before they occur.

Integrating MSA with Enterprise Resource Planning (ERP) systems can enhance visibility across the organization, allowing for better decision-making and strategic alignment. This integration facilitates a holistic approach to quality management, linking measurement data with other operational metrics.

Leadership commitment is paramount for the successful adoption of enhanced MSA practices. Executives must champion the initiative, demonstrating its alignment with the organization's strategic goals and its importance for competitive advantage.

Learn more about Quality Management Competitive Advantage Machine Learning

Additional Resources Relevant to Measurement Systems Analysis

Here are additional best practices relevant to Measurement Systems Analysis from the Flevy Marketplace.

Did you know?
The average daily rate of a McKinsey consultant is $6,625 (not including expenses). The average price of a Flevy document is $65.

Key Findings and Results

Here is a summary of the key results of this case study:

  • Reduced product variability by 20% through the systematic recalibration of measurement instruments and operator retraining.
  • Achieved cost savings of 18% from reduced waste, directly attributable to enhanced MSA practices.
  • Improved customer satisfaction scores by 15%, reflecting higher product consistency and quality.
  • Net Promoter Score (NPS) increased by 10 points, indicating improved customer loyalty and perception.
  • Implemented a continuous monitoring system that identified further improvement opportunities, leading to a 5% reduction in measurement errors.
  • Integrated MSA processes with the company's ERP system, enhancing operational visibility and decision-making.

The initiative to overhaul the Measurement Systems Analysis (MSA) practices has been markedly successful. The quantifiable improvements in product variability, cost savings, customer satisfaction, and Net Promoter Score demonstrate the effectiveness of the systematic approach taken. The integration of MSA with the ERP system and the focus on continuous improvement are particularly noteworthy, as they lay the groundwork for sustained benefits. The success can be attributed to the comprehensive methodology that included assessment, data analysis, process improvement, and continuous monitoring, coupled with strong leadership support and a focus on change management. However, the initial resistance from operators and the challenges associated with ongoing maintenance and training highlight areas where alternative strategies, such as more intensive initial training sessions or the use of more intuitive, user-friendly technology, could have potentially enhanced outcomes.

Given the success of the initiative and the foundation laid for continuous improvement, the next steps should focus on leveraging the data and insights gained from the enhanced MSA practices for further optimization. This includes exploring advanced analytics and machine learning to anticipate and prevent quality issues proactively. Additionally, expanding the scope of MSA integration to include other operational areas and processes could uncover new opportunities for efficiency gains and quality improvements. Continuous training and development programs for operators should also be maintained to ensure the sustainability of the improvements achieved. Finally, considering the positive impact on customer satisfaction and loyalty, efforts to communicate these improvements to customers can further strengthen the company's market position.

Source: Quality Control Enhancement for Chemical Manufacturing, Flevy Management Insights, 2024

Flevy is the world's largest knowledge base of best practices.


Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.




Read Customer Testimonials




Additional Flevy Management Insights

Download our FREE Strategy & Transformation Framework Templates

Download our free compilation of 50+ Strategy & Transformation slides and templates. Frameworks include McKinsey 7-S Strategy Model, Balanced Scorecard, Disruptive Innovation, BCG Experience Curve, and many more.