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Root Cause Analysis Blog

Solving Supply Chain Problems Proactively

(Excerpted from our article published in Industrial Engineer, February 2010)

Managing the problems associated with the global supply chain of major products these days requires a flexible, adaptable, and consistent approach.

One need look no further than the latest commercial aircraft designed by Boeing to see just how far a company is willing to go to realize the numerous and enormous benefits of a decentralized, extended global supply chain.  Expertise and specialization is focused directly on individual components.  Profit and loss responsibility is concentrated into smaller, more manageable (and thereby accountable) business units.  Risk is diversified across multiple "baskets" of suppliers.  The benefits of local markets (such as cheaper labor and the proximity to raw materials) can be exploited.  The list goes on.

But Boeing's strategy also shows some of the inherent risks and unfortunate consequences associated with managing such a supply chain.  Unfortunately, it is one thing to map out all the potential benefits of a diversified global supply chain, yet quite another for the company and its managers to actually make it out alive given the risks involved.

While the new 787 by Boeing may be one of the most ambitious attempts at wringing benefits from an extended global supply chain, we can find other examples of all sizes, shapes, and flavors.  Globalization is just another way to say "global supply chain."  Like it or not, it is here to stay.

Companies that learn to manage the risks of a global supply chain can expect to reap, at the very least, the reward of survival.  But those that learn to proactively manage the problems encountered in such a diverse system can expect to rule their sectors.  The key component to proactive problem solving is a robust Solution Management System (SMS) built on a solid, adaptable root cause analysis program.

To proactively minimize the risk of future failures by learning from failures in the supply chain, read the rest of our article published in the February issue of Industrial Engineer magazine.

 

Is "More Training" the Solution to Human Error?

When something goes wrong in your organization, is human error often the identified cause?  Is "more (task-related) training" for the people involved often the designated solution?  As a result, have employees in your organization reluctantly endured many kinds of training - often referred to as "flavor of the month"?  And do the problems you are trying to prevent continue to occur?  Given limited resources, are you getting the most out of those resources?

Want to Grab Execs’ Attention? Solve Costly System-wide Problems

  • Wouldn't it be nice if your leaders would more overtly and/or actively support corrective action and root cause analysis to help you get everyone on board?
  • Do you write it off as impossible because there's too much competition for their time, and they're already stretched too thin?
  • Is there any way to spark their interest?

IT problem management: When does an interruption in IT service deserve formal investigation?

Many emerging ITIL programs either don't have a formal root cause tool in place or take an ad hoc approach to identifying problems.  Either way, most don't know how to separate incidents from problems in order to right-size the investigation response, so that time and money is not spent needlessly.

Feel expendable to upper management? Improve the corporate quality culture.

Q: Do employees hesitate or refuse to participate in a root cause analysis (RCA) team, or   provide subject-matter expertise, because they don't feel it's an approved activity?  Or, do they fear repercussions for taking time away from their regular job responsibilities and deadlines?

Q: When you present the results of a root cause analysis, do decision makers question the conclusions, thinking they know better?

Q: Are you denied budget for solution implementation?

If so, read on....

Risk, Vampires, and the Politics of Perestroika

Brian Hughes reflects upon Halloween, risk, and lessons learned at the 2009 National Safety Congress in Orlando, FL.

OK, now what? Best practices in RCA facilitation

Best practices for assembling a team for an RCA - roles, pitfalls and tips.

10 Simple Tips for Building a Strong Argument into Your Next Root Cause Analysis

Think of your Realitychart as an argument you are making a strong case for.

Risky Business with Brian Hughes

Apollo VP Brian Hughes discusses risk and how it can be mitigated using RCA.

Lean Six Sigma and Root Cause Analysis?

How have you used root cause analysis techniques (beyond 5-Why's and Fishbone) to improve your Lean and/or Six Sigma program?

Thinking Ahead - Will the future labor force be more prone to committing errors?

How is your organization preparing for an eventual shortage of skilled employees as the baby boomers retire?

Culture vs. Behavior

Are culture and behavior the same thing?

RCA For Positive Events?

When can root cause analysis be used for positive events and how?

Can Digital Security Problems Be Solved Using Representative Industry Trend Data?

I recently received a new credit card in the mail with a letter stating - "we believe the security of your old card may have been compromised".  My new card contains a computer chip for added security so when used at a new "security chip enabled" checkout terminal the card is apparently more secure. In fact, when the computer chip is digitally verified by the checkout computer I don't even have to sign the credit card slip anymore. For online purchases I need to use a new PIN number to verify my card at the time of purchase.  So this got me thinking - are the new security features effective solutions? Well...I don't know. What caused my personal information to be compromised in the first place? I don't know.  Am I any better protected than before?

Peanut Products Recall – What does it help us learn?

We discuss what the peanut product recall helps us learn about analyzing events, fostering problem-solving cultures, implementing effective solutions, and preventing recurrence.

Root Cause Analysis or Risk Assessment?

Do you think RCA, used proactively on identified hazards, could simply replace the effort duplicated by the risk assessment / risk management process and one could simply rely on hazard analysis and RCA to management risk?

How Are You Using RCA To Cut Costs?

How Are You Using RCA To Cut Costs?

Root Cause Analysis Blog: Will you come out of the financial crisis on top?

We're exploring the current financial crisis, and the strategies different companies use to get through uncertain times.  Is cost cutting the answer?  Should training be put off until times are more certian, or should we continue improving and be better prepared for when the economy does come back around?