P Compressor Company

At the end of 2014, China’s household appliance industry setted off a storm air conditioning prices, and two of the major domestic air-conditioning company launched the game of de-stocking and dropping price. Impacted by the whole environment, other brands’ businesses will follow that strategies, and the whole industry chain of refrigeration industry was severely affected. In 2014, almmost every manufacturers were reducing yield, dropping price, operating deficit, and so on. There is great competition between the air-condition manufacturers, covering all aspects of competition, such as price, quality, delivery time, service and innovation. A compressor company called “P”, it’s a core xompressor supplier in of the aid-condition industry. The most important missions of P company are how to maintain profitability in this business context and how to play the company’s core competitiveness to obtain the trust of customers continuously.This paper is divided into two main parts, the body of the case and case analysis.Firstly, in case body part, according to the major issues which were P company faced about product quality after costomer receiving in 2014, and figuring out the key point during the whole manufacturing process and every part, P company analysed the human, machine, materail, mathod and environment by using 4M1 E.Secondly, in case analysis part, we combine two aspects. One is management techniques innovation and another is equipment hardware protection. We protect accuracy of manufacturing at the beginning, and make manufacturing work institutionalized and standardized by innovational management. To the examples of products with poor quality, we start to improve the quality by using FTA and TPM and build the standardized production model to prevent the poor quality events. We used the management tool of FMEA at the source of equipment purchasing control, so as to prevent the products without good quality from the source of manufacturing. P company adhere to carry out QC activities in the management system to achieve the continuous improvement and progress. Based on the combination of people and equipment analysis, the system protect the quality of products from establishing quality assurance system and using the scientific quality management tools, and also improve the overall management level and efficiency of the compressor plant. And lean manufacturing of 4PPM ultimately achieved.