I agree. The processing costs would scalate quickly, then would it be justified to issue CARs for nonconforming issues under $200? What best practices are out there addressing this?
$1000.00? That's a bit on the high side, more than it was estimated in my group. Could the same apply to SCARs (supplier corrective actions). It would be interesting to see some of the factors contributing to the cost, such a hourly rates, time in processing, how is this cost estimated by some industries?
Thanks for the input.
It seems most of these figures are guesstimates and sound reasonable if not a little on the generous side... :mg: Of course, that would depend on the nature and complexity of the business and the number of hands that need to get involved in the actual resolution.
Yes, prevention is cheaper. That lesson became clear with our safety program over the years and only within the past several did it start to sink in that prevention is also cheaper in the long run with regards to manufacturing...
I had this argument with managment years ago and they disagreed with my costings, for investigations (they thought it not worth the cost), but then I showed them what it cost us each year NOT to investigate!!! They soon backflipped and adopted the whole 'prevention is better than cure' theme.
I found our biggest cost was the actual physical collection of evidence (audits/Inspections etc) as Roxy stated we used a figure of around $40 per hour for the admin side and $100 an hour for the audit/investigation as we aklsways had the auditor plus the auditee.
A shadow of its former self is still a form of existence, a condition that would be impossible if a "demise" had taken place. Maybe you meant "decline."
Prediction is cheaper yet. But both prevention and prediction require that you expected a problem to occur. Sometimes, even in your best days, you may have missed a potential failure mode. Still, CAR needs to be done to ensure it does not happen again....because you will be busy later with either the things you thought you fixed and didn't, or more things you had not thought of yet.
A shadow of its former self is still a form of existence, a condition that would be impossible if a "demise" had taken place. Maybe you meant "decline."
Well, considering when I worked there, it had 5 major European manufacturing centers and it had 100% of the plain paper copier market and now it pretty much 'badges' others' products, I'd call that demise Jim........in my mind, if not yours....
Prediction is cheaper yet. But both prevention and prediction require that you expected a problem to occur. Sometimes, even in your best days, you may have missed a potential failure mode. Still, CAR needs to be done to ensure it does not happen again....because you will be busy later with either the things you thought you fixed and didn't, or more things you had not thought of yet.
I agree Bob, but it always amazes me how very smart people are after the problem has occurred...
Wished we could move some of that smartness to the front a little...
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Yes, prevention is cheaper. That lesson became clear with our safety program over the years and only within the past several did it start to sink in that prevention is also cheaper in the long run with regards to manufacturing...
