Question Three (20 marks) A logistics company is investigating the effectiveness of its orders delivery system using DPMO. IF the average number of boxes to be delivered per order is 3.2 and the company records is showing 127 lost boxes in a total of 3650 orders: a) [10 marks) Asses the effectiveness of its orders delivery system? b) [10 marks] What is the equivalent short and long term Sigma levels of this system? Explain? DPMO - Total number of defects Number of units X Number of opportunities I 1000000 Sigma Conversion Chart N Long Term Short Term Defects Sigma Level Sigma Level Per Mison 45 3 4.4 5.9 5 4.3 5.8 9 4.2 57 13 4.1 5.6 21 4 5.5 32 3.9 5.4 48 3.8 53 72 37 5.2 108 3.6 5.1 159 35 5 233 4,9 337 3.3 48 483 32 687 3.1 4.6 968 3 45 1,350 2.9 1.866 2.8 43 2.555 2.7 42 3,467 26 4.1 4,661 25 4 6210 2.4 39 8,198 23 3.8 10,724 22 3.7 13.903 2.1 3.6 17.864 35 22.750 Long Term Short Term Defects Sigma Level Sigma Level Per Mon 1.9 34 28.717 18 33 35,930 1.7 32 44.565 1.6 3.1 54.799 15 66.807 29 80.757 13 28 96 800 1.2 27 115070 11 26 135.666 1 25 158,655 0.9 24 184,060 0.8 23 211.855 22 241.964 06 2.1 274.253 0.5 2 308.538 0.4 1.9 344 578 03 18 382.089 02 1.7 420.740 16 460 172 0 15 500.000 -0.1 1.4 539 828 -0.2 13 579 260 -0.3 12 617 911 -04 655 422 -0.5 1 691 462 NNNNNNNN 0.7 4.7 OD 0.1 NNNNNNNNN NOON 1.1 Question Three (20 marks) A logistics company is investigating the effectiveness of its orders delivery system using DPMO. IF the average number of boxes to be delivered per order is 3.2 and the company records is showing 127 lost boxes in a total of 3650 orders: a) [10 marks) Asses the effectiveness of its orders delivery system? b) [10 marks] What is the equivalent short and long term Sigma levels of this system? Explain? DPMO - Total number of defects Number of units X Number of opportunities I 1000000 Sigma Conversion Chart N Long Term Short Term Defects Sigma Level Sigma Level Per Mison 45 3 4.4 5.9 5 4.3 5.8 9 4.2 57 13 4.1 5.6 21 4 5.5 32 3.9 5.4 48 3.8 53 72 37 5.2 108 3.6 5.1 159 35 5 233 4,9 337 3.3 48 483 32 687 3.1 4.6 968 3 45 1,350 2.9 1.866 2.8 43 2.555 2.7 42 3,467 26 4.1 4,661 25 4 6210 2.4 39 8,198 23 3.8 10,724 22 3.7 13.903 2.1 3.6 17.864 35 22.750 Long Term Short Term Defects Sigma Level Sigma Level Per Mon 1.9 34 28.717 18 33 35,930 1.7 32 44.565 1.6 3.1 54.799 15 66.807 29 80.757 13 28 96 800 1.2 27 115070 11 26 135.666 1 25 158,655 0.9 24 184,060 0.8 23 211.855 22 241.964 06 2.1 274.253 0.5 2 308.538 0.4 1.9 344 578 03 18 382.089 02 1.7 420.740 16 460 172 0 15 500.000 -0.1 1.4 539 828 -0.2 13 579 260 -0.3 12 617 911 -04 655 422 -0.5 1 691 462 NNNNNNNN 0.7 4.7 OD 0.1 NNNNNNNNN NOON
