The assistant engineer in the Thermal Treatment Department of a state-owned enterprise in China has received approval for the formation of a new quality control group to reduce the high defect rate of a critical part. The total quality concept is presented within the context of a specific quality problem, which encourages students to both assess the company's quality system and apply quality improvement tools to this particular problem. This case is the first of a three part series that applies the principles and tools of total quality management in a Chinese setting. This case can either be used independently or in combination with the (B) case, 9A98D002 and (C) case, 9A98D003.
What makes for success in high-tech markets? Many managers believe it's offering products with the best performance at the lowest price. Yet most would also acknowledge that price and performance are just the ante to get into the game, that they don't make the difference between a successful high-tech venture and an unsuccessful one. One factor that can make the difference, the authors argue, is brand management. The problem is, most high-tech managers think of branding only as an advertising campaign or a slogan. Developing and maintaining a strong brand in the fullest sense requires much more--it's conceiving of a promise of value for customers and then ensuring that the promise is kept. The Gateway Computer brand, for example, is a promise of friendly service that's backed by efficient help lines and effective order and service fulfillment. Building a powerful brand requires fives steps. The first two steps involve determining the tangible characteristics of the offerings that carry the brand name and the benefits the customers accrue from those benefits. In the remaining steps, high-tech managers consider the psychological or emotional benefits of the products; what "value" means to a typical loyal customer; and what, ultimately, is the essential nature and character of the brand over time. Like the Apple brand--which has been consistently synonymous with easy-to-use, reliable computers--and the IBM brand--which promises value built on its long tradition of superior service and support--a successful brand commands enduring premium profits that can help a high-tech company get off the price-performance roller coaster.
Lin Zhang has just received approval for the formation of a new quality control group at LongXi, located in Zhangzhou, China. This new group must investigate and reduce the high defect rate of a critical part used in the final manufacture of multi-cylinder diesel engines. Lin must decide who will be directly involved in the team, which data must be collected and analyzed, what is causing the problem, and which actions should be taken. The improvement project is set within the context of LongXi's broader quality and systems, thus encouraging students to evaluate and push forward corporate quality systems. This case is the first in a three-part series that applies the principles and tools of total quality management (TQM) in a Chinese setting.
The assistant engineer in the Thermal Treatment Department of a state-owned enterprise in China has received approval for the formation of a new quality control group to reduce the high defect rate of a critical part. The total quality concept is presented within the context of a specific quality problem, which encourages students to both assess the company's quality system and apply quality improvement tools to this particular problem. This case is the first of a three part series that applies the principles and tools of total quality management in a Chinese setting. This case can either be used independently or in combination with the (B) case, 9A98D002 and (C) case, 9A98D003.
After selecting the quality control group members, the assistant engineer and his group begin data collection and need to construct a cause-and-effect diagram to develop an action plan. This case should be used in conjunction with case (A), 9A98D001.
The quality control group has implemented several countermeasures, and the results have been monitored and reported. A final examination is necessary to assess whether this type of problem is likely to recur, and where further improvement can be made in the company's quality systems. This case is designed to be used in conjunction with the (A) case, 998D001 and the (B) case, 998D002.
Citibank was the first U.S. bank to establish operations in China when it opened a branch in Shanghai in 1902. From the early 1940s until 1984, Citibank was absent from China, but since 1984 it had gradually reestablished an active presence. In 1997, Citibank had reached a crossroads. It had to decide how best to participate in the rapid growth of the Chinese economy and the huge inflow of foreign direct investment. Citibank had many competitive advantages on the basis of which it had established a unique strategy that excluded joint ventures. In 1997, a wide variety of new potential services included credit cards, RMB (Chinese currency) banking, and various fee-based services. Government regulations still severely restricted the types of loans foreign banks could make, but it was expected that these regulations might soon be liberalized. How should Citibank, N.A. in China best position itself for the future?
Citibank was the first U.S. bank to establish operations in China when it opened a branch in Shanghai in 1902. From the early 1940s until 1984, Citibank was absent from China, but since 1984 it had gradually re-established an active presence. In 1997, Citibank had reached a crossroads. It had to decide how best to participate in the rapid growth of the Chinese economy and the huge inflow of foreign direct investment. Citibank had many competitive advantages on the basis of which it had established a unique strategy that excluded joint ventures. In 1997, a wide variety of new potential services included credit cards, RMB (Chinese currency) banking, and various fee-based services. Government regulations still severely restricted the types of loans foreign banks could make, but it was expected that these regulations might soon be liberalized. How should Citibank N.A. in China best position itself for the future?