The Colgate and Palmolive Company
The Colgate - Palmolive company uses statistics in its quality assurance program for laundry detergent products. One concern is customer satisfaction with the quantity of the detergent in a carton. Every carton in each size category is filled with the same amount of detergent by weight, but the volume of the detergent is effected by the density of the detergent powder. For instance, if the powder density is on the heavy side, a smaller volume of detergent is needed to reach the carton's specified weight. as a result, the carton may appear to be under filled when opened by the consumer.
To control the problem of heavy detergent powder, limits are placed on the acceptable range f powder density. statistical samples are taken periodically and the density of each powder sample is measured. data summaries are then provided for operating personal so that corrective action can be taken if necessary to keep the density within the desired quality specifications.
The goal of these methods is to summarise data so that the data can be easily interpreted.
AMEX - American Express
American Express, the pioneer in personal charge cards used to systematically collect customer feedback data from the market place on a continuous basis.
The Analysis and interpretation of the customer data revealed that the customer wanted the new card to be processed within three weeks whereas AMEX was taking around 5 weeks. AMEX decided to issue new cards within two weeks.
Similar another analysis revealed that the customer wanted the stolen/lost cards to be replaced within two days where as AMEX was taking two weeks to issue replacement cards. AMEX decided to replace the lost/stolen cards within two days.
As a result of these two decisions, AMEX could generate $1.4 Million additional profit per year.
The Colgate - Palmolive company uses statistics in its quality assurance program for laundry detergent products. One concern is customer satisfaction with the quantity of the detergent in a carton. Every carton in each size category is filled with the same amount of detergent by weight, but the volume of the detergent is effected by the density of the detergent powder. For instance, if the powder density is on the heavy side, a smaller volume of detergent is needed to reach the carton's specified weight. as a result, the carton may appear to be under filled when opened by the consumer.
To control the problem of heavy detergent powder, limits are placed on the acceptable range f powder density. statistical samples are taken periodically and the density of each powder sample is measured. data summaries are then provided for operating personal so that corrective action can be taken if necessary to keep the density within the desired quality specifications.
The goal of these methods is to summarise data so that the data can be easily interpreted.
AMEX - American Express
American Express, the pioneer in personal charge cards used to systematically collect customer feedback data from the market place on a continuous basis.
The Analysis and interpretation of the customer data revealed that the customer wanted the new card to be processed within three weeks whereas AMEX was taking around 5 weeks. AMEX decided to issue new cards within two weeks.
Similar another analysis revealed that the customer wanted the stolen/lost cards to be replaced within two days where as AMEX was taking two weeks to issue replacement cards. AMEX decided to replace the lost/stolen cards within two days.
As a result of these two decisions, AMEX could generate $1.4 Million additional profit per year.
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