De La Salle University – Dasmariñas

COLLEGE OF ENGINEERING, ARCHITECTURE, AND TECHNOLOGY

ENGINEERING DEPARTMENT
INDUSTRIAL ENGINEERING PROGRAM

A Study on Meeting the allowable 2% Reject Rate in the Production of THHN

100mm² (building wire) at PHILFLEX Philips Wire and Cable Co. from the Months
of September 2019 to February 2020

A Company Study Presented to the Faculty of the

College of Engineering, Architecture and Technology
De La Salle University - Dasmarinas
Dasmarinas, Cavite

In Partial Fulfillment of the Requirements for the Degree of

Bachelor of Science in Industrial Engineering

Submitted by:
Tumlos, Aimee Morales
IEE51

Submitted to:
Engr. Maria Socorro M. Bunda

August 2020
 TABLE OF CONTENTS

Approval Sheet....................................................................................................................i

Acknowledgement..............................................................................................................ii

Abstract.............................................................................................................................iv

CHAPTER I

Introduction.....................................................................................................................1

Background of the Study................................................................................................2

Problem Statement.........................................................................................................3

Objectives of the Study...................................................................................................3

Scope and Limitation......................................................................................................4

Significance of the Study................................................................................................4

Design and Methodology................................................................................................5

Definition of Terms..........................................................................................................8

CHAPTER II

Review of Related Literature..........................................................................................9

Quality.............................................................................................................................9

Quality Control................................................................................................................9

Quality Control Tools....................................................................................................10

Quality Management.....................................................................................................11
 Inspection...................................................................................................................14

Wire Drawing Process................................................................................................14

Wire Coatings.............................................................................................................15

Crosshead Extrusion Process....................................................................................15

Thermocouple.............................................................................................................16

THHN Building Wire....................................................................................................17

CHAPTER III

Presentation and Analaysis of Data...........................................................................18

Fish Bone Analysis.....................................................................................................42

Problem Tree..............................................................................................................43

Problem Tree Analysis...............................................................................................44

Profit Loss...................................................................................................................45

Objective Tree............................................................................................................46

Objective Tree Analysis..............................................................................................47

Profit Gain...................................................................................................................48

CHAPTER IV

Alternative Courses of Action 1....................................................................................50

Proposed Reminder.....................................................................................................51

Proposed Sanction scheme.........................................................................................52

Alternative Courses of Action 2: Purchase a new cable counter machine.................55

 Proposed new cable counter machine........................................................................56

Alternative Courses of Action 3: Automated Printing..................................................59

Proposed new printing machine..................................................................................60

Cost Benefit Analysis of the Alternative Courses of Action.........................................63

CHAPTER V

Conclusion………………………………………………………………………………..64

Recommendation……………………….………………………………….……………65

CHAPTER VI

Detailed plan of action…….……………………………………..……….……..………66

CHAPTER VII

Bibliography………………………...………………………….…………………...……70

APPENDICES………………..………………………………………..……………………72

PRACTITIONER'S PROFILE……………………………………………..….……………73
 List of tables

Table 3.1Summary of Product Rejects of PHIFLEX.......................................................19

Table 3.2 Monthly reject rate of the production of THNN 100mm 2.................................20

Table 3.3 Check Sheet....................................................................................................22

Table 3.4 Pareto Analysis...............................................................................................26

Table 3.5 Focus of the Study...........................................................................................27

Table 3.6 Summary of major defects of THHN 100mm 2.................................................28

Table 3.7 Why why..........................................................................................................29

Table 3.8 Data for Open Insulation..................................................................................30

Table 3.9 Time Study for the production of THHN 100mm 2............................................32

Table 3.10 Data for Short Length....................................................................................34

Table 3.11 Counter Meter Specifications........................................................................36

Table 3.12 Machine Downtime for the Cable counter machine......................................37

Table 3.13 Data for Marking Error...................................................................................38

Table 4.1 Proposed cable counter machine...................................................................56

Table 4.2 SWOT Cable Counter Machine......................................................................57

Table 4.3 Action Plan: Proposed New Printing Machine................................................60

Table 4.4 SWOT-ANALYSIS For Cable Counter Machine............................................61

Table 4.5 Cost Benefit Analysis......................................................................................63

 List of figures

Figure 3.1 Flow chart......................................................................................................24

Figure 3.2 Histogram......................................................................................................25

Figure 3.3 Pareto chart...................................................................................................26

Figure 3.4 Crosshead.....................................................................................................31

Figure 3.5 Parts of Crosshead........................................................................................31

Figure 3.6 Data for Short length.....................................................................................35

Figure 3.7 Printing Wheel...............................................................................................39

Figure 3.8 Data for Marking Error...................................................................................40

Figure 3.9 Fish Bone......................................................................................................41

Figure 4.1 Propose Reminder........................................................................................51

Figure 4.2 Proposed Written Reprimand Letter..............................................................54

 APPROVAL SHEET

This Practicum Study entitled “A Study on Meeting the allowable 2% Reject Rate in

the Production of THHN 100mm² (building wire) at PHILFLEX Philips Wire and

Cable Co. from the months of September 2019 to February 2020” by Aimee

Morales Tumlos, in partial fulfillment of the requirements for the degree of Bachelor

of Science in Industrial Engineering, has been examined and is recommended for

acceptance and approval.

ENGR. MARIA SOCORRO M. BUNDA

Subject Teacher/Practicum Study Panel

Approved by the committee and Oral Examination with a grade of _____

ENGR. MA. ESTRELLA NATALIE B. PINEDA ENGR. MARIA LOURDES H. PARCERO

Panel 1 Panel 2

Accepted in partial fulfillment of the requirements for the degree of Bachelor of

Science in Industrial Engineering.

ENGR. JOSE RIZALDY A. DE ARMAS

Dean, College of Engineering, Architecture and Technology

i
 ACKNOWLEDGEMENT

The practitioner would like to express her sincerest gratitude to the following

people for their helpful contribution and acknowledging their immense benevolence

for the successful completion of the study.

First, to God Almighty, nothing would be made possible without His saving

grace and perpetual guidance, also for granting the gift of wisdom, strength and

perseverance to strive to complete this research.

Engr. Ma. Estrella Natalie B. Pineda, PIE, subject teacher, who patiently and

thoroughly guided her while the research is conducted. The practitioner commends

her outstanding service, countless patience, real-life lessons shared, and all her

valuable effort from the beginning up until to the last day of completion of the

study.

Engr. Ma. Socorro M. Bunda, PIE; Engr. Maria Lourdes H. Parcero, PIE;

the respected panels, for their valuable comments and insightful suggestions by

providing a better alternative to further improve the study. The pieces of advice

and recommendations they had given during the oral defenses and consultations

had contributed a lot to the development of this paper.

Engr. Jose Rizaldy A. De Armas, the Dean of College of Engineering,

Architecture and Technology, for approving the practitioner’s requirements to apply

in Kane Industrial Corporation.

ii
 To the Staff of the HR Department, Admin Department, and Quality

Control Department of PHILFLEX Philips Wire and Cable Co., represented by

Mr. Anthony Timbol, Mr. Jireh Mosquera, Mr. Don Unabia, Mr. Roberto Rosales

and all of the other key personnel in the department who have contributed

innumerable knowledge and priceless effort extended to the practitioner in making

the study possible. The practitioner had enjoyed his stay in PHILFLEX Philips Wire

and Cable Co. Thanks to their guidance and nurturing her as a professional in an

enjoyable manner. The practitioner will never forget this worthwhile experience.

Last, but not the least, The practitioner wants to express her deepest gratitude

and appreciation to her loving loving Family, who have extended their support and

resources to make the study possible. Special thanks and appreciation to Jane, Aj,

Adrianne, Christine, and Jaymee who have helped in motivating and finalizing the

paper.

Aimee M. Tumlos

The Practitioner

iii
 ABSTRACT

The study is all about meeting the 2% reject rate experienced by PHILFLEX Philips
Wire and Cable Co. in producing their THHN 100mm² (building wire). The first
problem observed was the insulation is being open due to negligence of worker.
The said process involves the worker to clean the crosshead for the different type
of wire but because of negligence in the cleaning process there is hardened PVC
residue left in the crosshead and causes the insulation to open. The second
problem observed was about short length of wire due to the old cable counter
machine used by the company that causes inaccurate measurement of the counter
meter. The last problem observed was the marking error caused by the workers
who do not have clear and concise guidelines for changing the wheels. The
manual process of changing wheels causes the wrong characters to be printed.
There are proposed alternative course of action to address the following problems
experienced by the company. First thing needed to do is to provide reminders to
operators and give sanctions whenever the guideline are violated. This will remind
each worker on cleaning the crosshead before the process for different type of
wire. By not following the instructions, workers will be penalized for their
negligence. In this type of action, workers need to work accurately and this will
result to the elimination of the open insulation as defect that the company
experience. Next course of action is to purchase a new cable length machine to
eliminate the short length cause by the inaccurate measurement of the old cable
counter machine. Lastly, is to automate the printing process, to eliminate the
marking error due to lack of clear and concise guidelines and manual changing of
the printing wheel. With this being executed, it will automatically mark the wires
with different characters. This study presents facts and citations from several
resources and studies related to the current problem experienced in PHILFLEX
Philips Wire and Cable Co.

iv
 CHAPTER I

INTRODUCTION

PHILFLEX Philips Wire and Cable Co. was organized and launched in 1969

by the joint families of the Sia and Que after the purchase of a small bankrupt wire

factory. The company’s variants, being made available to the market, have allowed

consumers, for residential and commercial, industrial and technological use, to

enjoy the delivery of the products.

The company takes pride in being the only Philippine manufacturer of wires

and cables to be accredited by ISO 9001 and passed the stringent standards of

the Ministry of International Trade and Industry (MITI) of Japan. Over the years,

the company has served the power, construction, electrical and telecommunication

sectors of the nation. From the complex construction of high rise city towers to the

simple every day running of our appliances, PHILFLEX Philips Wire and Cable Co.

touches our lives - bringing together a larger and more sophisticated society. With

the emergence of a progressive nation, PHILFLEX Philips Wire and Cable Co. - as

the leading manufacturer of quality wires and cables in the Philippines today -

plays a vital role in accelerating the country's aspirations toward economic and

technological growth. Their vision is to make PHILFLEX as a consumer by word

and maintain sustainable long-term development. The company is committed to

promote quality products and services, to an enduring innovation, to maintain and

fulfil their objectives.

1
 BACKGROUND OF THE STUDY

PHILFLEX Philips Wire and Cable Co. is a well-trusted company who

observes the quality control in the production of their products. They ensure the

production demand of the customer met without sacrificing the quality of the

product. The products are individually inspected and tested before delivering to the

customers.

PHILFLEX Philips Wire and Cable Co. is also experiencing rejection rate.

The study summarizes the gathered data to help solve the company’s problem

regarding the rejection rate. The study also provides specific objectives and

courses of action in order to eliminate rejects, improve production and gain profit.

Several types of defects occurred in the production of THHN 100mm²

(Building wire). The top three defects are selected and each were analyzed in

order to reduce, or eliminate, defects. The first problem is open insulation, where

the crosshead is clogged causing wire jacket to rip off due to the hardened PVC

residue left in the crosshead. The workers were not following the work instruction

given to them in cleaning every different types of wire. Second problem is about

the old and uncalibrated cable counter causing the inacurrate measurement of

wires. The last problem is the marking error caused by the printing tool method

used by the company is inefficiently matched with the current company status. This

is caused by the wrong wheel installed by the workers who do the installing

manually and lack a clear and concise guidelines in doing so. These rejects

2
exceeds the allowable reject rate of the company and resulted to additional cost

and waste of resources that needs to be eliminate.

PROBLEM STATEMENT

PHILFLEX Philips Wire and Cable Co. is experiencing 7.88% reject rate in

the production of wire model THHN 100mm² (building wire) amounting to Php

1,913,600 from the months of September 2019 to February 2020

OBJECTIVES OF THE STUDY

General Objective

To meet the allowable reject rate of 2% in the production of THHN 100mm²

(building wire) amounting to Php 1,913,600 from September 2019 to February

2020

Specific Objectives

 To maximize the efficiency of man and the equipment they use

 To obtain consistency in the quality of the company’s product.

 To provide alternative courses of action that will eliminate the problems

encountered by the company

3
SCOPE AND LIMITATIONS

The study was conducted on February 24, 2020 in PHILFLEX Philips wire

and Cable Co. at Governor's Dr, Sampaloc 4, Dasmariñas, Cavite. This study

focuses on the production of THHN 100mm² (building wire) for the months of

September 2019 to February 2020. The analyses are based on the data disclosed

by the company. However, certain limits due to the confidentiality of documents

and trade secrets are being observed. This study shows several defects present

but only focuses on the top three contributors of the rejected outputs such as open

insulation, short length of wire, and marking error.

4
SIGNIFICANCE OF THE STUDY

For the Company

This study will serve as an aid in identifying the root cause of problems at

present and a basis in making company improvements in the future. This study

may be of great help in analyzing and utilizing better alternative courses of action

to eliminate defects and maintain good quality of their products and service.

For the Students

This study will serve as a medium for those taking up Industrial Engineering

to gain an in-depth understanding of quality control and assurance. Through this,

students will be able to understand the importance of maintaining good quality of

every output produced to remain true to every company’s mission and vision.

Students are also able to familiarize and apply the theories and principles being

taught in the course.

For the Readers

This study may be of great use as a future reference for other related

descriptive research. This may also be an aid in providing readers a deeper

5
understanding of the importance of Industrial Engineers in minimizing wastes and

defects of every output produced by managing and maximizing resources properly.

DESIGN AND METHODOLOGY

These are the following methods used in gathering data and information

and was also used in interpreting and analyzing problems the company

experiences.

PLANT VISIT

The Plant Manager gave permission to conduct a plant tour and observe the

company’s production environment. The condition of the working environment was

observed and considered, whether the company follows the quality standards or

not. It is determined to conduct and focus the study at the production process of

PHILFLEX Philips Wire and Cable Co.

DATA GATHERING

In conducting this study, the gathered data were provided by PHILFLEX

Philips wire and Cable Co. planning assistants named Engr. Roberto Rosales

together with Mr. Jireh Mosquera and Mr. Janiel Arcelo, Production Team Leader,

and Mr. Anthony Timbol. The monthly reports of the different defects and rejects

were presented in excels and forms. Analysis of the data gathered happened

within the overall process in the production of THHN 100mm² (building wire).

6
INTERVIEW

An appointment was set for the On-the-Job Training interview with the QMS

Team Leader. Data, regarding the company profile and the overview of the

processes involved in the production, were gathered through the interview with the

Quality Control Head. Necessary data like photo documentation, process flow

chart, and reject rate report, were gathered under the supervision of the Quality

Control Assistant.

Tools Used:

 Notebook

 Pen

 Camera

IE Tools:

 Pareto chart

 Histogram

 Fishbone Diagram

 Process Flow Chart

 Why-why Analysis

7
 Here are some of the questions asked to the Quality Team Leader, Mr.

Anthony Timbol:

 What is the allowable reject rate of the company?

 What are the different products being manufactured in the company?

 Among the products, what product has encountered the most problems?

 How many employees do you have in the production?

 What is the process of making these products?

 What is the target output you should reach every month?

 Number of good and reject output per month?

 How much is the price per unit?

 How often (frequency) do you encounter defective outputs?

 What are the common types of defects that you encounter with this certain

output?

 What are the causes of those defects?

8
 These questions were asked to operators regarding their knowledge about the

reasons of having a defect product, as well as, their assessment of their work

environment.

DEFINITION OF TERMS

Annealing – is a process of softening a material to make it less brittle by heating it

to a particular temperature, maintaining it at that temperature for a particular

duration, and cooling it slowly to normal temperature at a particular rate.

Drawing – is to exert a pulling, moving, or attracting force.

Extrusion – is a manufacturing process in which a softened blank of a metal or

plastic material is forced through a shaped metal piece, or die, to produce a

continuous ribbon of the formed product.

Insulation – is the act of covering something to stop heat, sound, or electricity

from escaping or entering, or the fact that something is covered in this way.  Reel

– is a cylinder, frame, or other device that turns on an axis and is used to wind up

or pay out something.

Spooler – is a small cylinder of wood or other material on which thread, wire, or

tape is wound, typically expanded or with a rim at each end and having a hole

lengthwise through the center.

9
Thermocouple – A Thermocouple is a sensor used to measure temperature.

Thermocouples consist of two wire legs made from different metals.

THHN building wire – is appropriate for use in AC electrical distribution systems

of almost every industrial, residential and commercial building, usually at voltage

levels ranging from 110-600 volts.

CHAPTER II

REVIEW OF RELATED LITERATURE

QUALITY

According to Gitlow (1989), quality is a judgment by customers or users of a

product or service; it is the extent to which the customers or users believe the

product or service surpasses their need and expectations. Quality also

encompasses the never ending improvement of a firm’s extended process. This

term refers to the expansion of the organizations to include suppliers, customers,

investors, employees, and the community. According to Juran (2010), quality

impacts revenue and costs, first quality has a effect on costs. In this case ”quality”

has come to mean freedom from troubles traceable to office errors, factory defects,

field failures and so on. “Higher quality” means fewer errors, fewer defects, and

fewer field failures. Second, quality has an effect on revenue. In this case, “higher

quality” means delivery of those features of the good or service that respond better

to customer needs.

Quality Control

10
 According to Besterfield (1994), the history of quality control is undoubtedly

as old as industry itself. During the middle ages, the maintenance of quality was to

a large extend, controlled by the long periods of training, required by the guilds.

This training instilled in workers pride for quality of a product. According to Mitra

(1998), the operational techniques and activities was used to fulfill requirements for

quality. To avoid confusion, care should be taken to include modifying term when

referring to subset of quality control such as “manufacturing quality control” or

when referring to broader concept such as “companywide quality control.” Quality

control involves operational techniques and activities aimed both at monitoring a

process and at eliminating causes of unsatisfactory performance at relevant stages

of the quality loop in order to result in economic effectiveness.

Quality Control Tools

According to Evan (1999), we noted that tools and techniques, along with

the management practices and the organizational infrastructure, are a fundamental

component of total quality. Many of these tools are associated with the practice of

process management. Flowcharts, to understand messes, must first determine

how a process works and what it is supposed to do. By clearly defining a process,

all involved reach a common understanding and will not waste time collecting

irrelevant data. Variation is reduced by eliminating inconsistencies in the process.

Run chart is a line graph in which data are plotted over time. The vertical axis

represents the measurement; the horizontal axis is the time scale. Run charts

show the performance and the variation of a process or some quality or

productivity indicator over time. Data sheets are simple columnar or tabular forms

11
used to record data. Check sheets are special types of data collection forms in

which the results may be interpreted on the form directly without additional

processing. Histogram graphically represents the variation in a given set of data. It

shows the frequency or number of observations of a particular value or within a

specified group. Pareto analysis is often used to analyze the data collected in

check sheets. A Pareto distribution is one in which the characteristics observed

are ordered from largest frequency to smallest. Brainstorming, a useful group

problem solving procedure for generating ideas, was proposed by Alex Osborn.

With brainstorming, no criticism is permitted, and people are encouraged to

generate a large number of ideas through combination and enhancement of

existing ideas. Wild ideas are encouraged and frequently trigger other good ideas

from somewhere else. Cause-and-effect diagram is an important tool in this task. It

assist the generation of ideas for problem causes and, in turn, serves as a basis

for solution finding. According to George (2012), 5 Whys highlights; (1)method for

pushing people to think about root causes, (2) prevents a team from being satisfied

with superficial solutions that won’t fix the problem in the long run.

QUALITY MANAGEMENT

Jurison (1993) presents a conceptual model for describing the role of

information systems in total quality management, which is based on systems

theory, that provides a framework for understanding the principles of TQM and

their effects on information systems. Besides, the study suggests that, the

introduction of TQM in the firm's feedback loop by creating new requirements for

the information system function. The TQM model is also used to analyze and

12
compare TQM with business engineering. The study conducted on TSB Bank

discusses customer and management feedback and. the service gap. It concludes

that the banking community needs a radical overhaul in implementing TQM,

wherein Banks' cost ratios are too high and senior management has tried

conventional cost reduction approaches with a short-lived impact.

The study of Moores (2002) explores a brief history of the quality movement

from the early period and gives emphasis on the emergence of various concepts

and approaches, which is often collectively referred to as Total Quality

Management. Franklin examines the conceptual basis for the cost of quality in the

context of continuous quality improvement (CQI) or total quality management

programs, and its application to libraries, which includes definitions, historical

review; and the application of quality 106 costs to libraries. Activity-Based Costing

(ABC) has been used in manufacturing to assign costs more accurately to

products and by information centers, and to provide better-cost information by

allocating costs to activities that cause the expenses to vary. From this, managers

can gain a better understanding of the true cost of a product, an insight to excess

capacity and a tool to use in total quality management and continuous

improvement.

Awang (2004) study deals with the concept of total quality management and

its basic issues in implementation are dealt with in the public and private libraries

in Malaysia. Harhai13 compares Total Quality Management with traditional

management techniques and provides a brief history of its development and

examines its principles and vocabulary. Further, how TQM can be applied to law

13
libraries has been elucidated with respect to customer-first orientation, top

management leadership, focus on continuous improvement, respect for employees

aid their knowledge, provision of ongoing employee education and training, use of

statistical methods, emphasis on prevention rather than detection, vendors as long

term partners, performance measures consistent with organizational goals,

standardization, cooperation and involvement of all organizational functions, and

substantial cultural change. Scott discusses the terms and management activities

of business process reengineering and quality improvement programs often

encountered in popular press news articles, at business meetings, in business

periodicals, and in academic journals. Consider the meaning of each, and how is

each related to others and to information technology, how are their activities

conducted, the advantages and disadvantages of each and what role do

information systems professionals play in each of these activities.

Hayes (2007) explains the role of management in maintaining continuous

quality improvement programs and the quality process, which should be dynamic,

flexible and effective. It also suggests specific actions, that can be taken into action

to keep the program move forward, and gives some library examples. In another

research study by Williams, discusses why TQM is needed, how to define quality,

what to select to improve and how to measure this, why TQM might not work; and

whether it will work and provides a brief historical background to higher education

in the US. Taylorism was adopted by industry to streamline management and

productivity and subsequently crossed to education.

14
 Shaughnessy (2009) defines the nature of total quality management and the

reasons advanced by libraries and similar organizations for applying TQM in the

USA and also the total quality management, with reference to its implementation in

libraries and information services, has been highlighted. The concept of quality

management, consisting of three basic activities: quality planning; quality control;

and quality improvement, has been explained including Business Process

Reengineering concept and the principal quality systems and self-assessment

models, These were also done by considering employee suggestion schemes, as

a means of achieving quality, and discusses the importance of performance

measurement of a quality service and identifies the service features that matter

most to the client. Dawes considers the nature of quality assurance and its

implementation in the construction industry and reviews the integration of the

information services department into the quality assurance system. Furthermore, it

stresses the continuing benefits conferred throughout the organization, including

an attitude of total involvement and mutual responsibility across the practice. The

study concludes that the legacy of introducing quality assurance is a sound

management system.

Inspection

According to Arnold (1996), in-process inspection ensures quality during

fabrication or assembly. With good parts from the receiving inspection, the shop is

expected to assemble or fabricate a quality product.

Wire drawing Process

15
 According to Budinski (1997), wire drawing is a metal working process used

to reduce the cross section of a wire by pulling the wire through a single, or series

of, drawing dies. There are many applications for wire drawing, including electrical

wiring, cables, tension-loaded structural components, springs, paper clips, spokes

for wheels, and stringed musical instruments. Although similar in process, drawing

is different from extrusion, because in drawing the wire is pulled, rather than

pushed, through the die. Drawing is usually performed at room temperature, thus

classified as a cold workingprocess, but it may be performed at elevated

temperatures for large wires to reduce forces. The wire drawing process is quite

simple in concept. The wire is prepared by shrinking the beginning of it,

hammering, filing, rolling or swaging, so that it will fit through the die. The wire is

then pulled through the die. As the wire is pulled through the die, its volume

remains the same, so as the diameter decreases, the length increases. Usually the

wire will require more than one draw, through successively smaller dies, to reach

the desired size. The American wire gauge scale is based on this. This can be

done on a small scale with a draw plate, or on a large commercial scale using

automated machinery.The process of wire drawing changes material properties

due to cold working.

Wire Coating

According to Wright (2011), coating for electrical insulation include enamels

and polymers of many types. Coatings for corrosion protection include metals such

as zinc and aluminium, as well as polymers. Lubrication and bonding may be

facilitated with copper and copper alloys.

16
Crosshead Extrusion Process

According to Giles (2004), crosshead extrusion process is widely used to

coat wires and cables with a polymer. The basic procedure includes pulling of the

wire / cable to be coated at a uniform rate via a crosshead die, where it is covered

with the molten plastic. This extrusion process for coating is used in most wires

and cables that find usage in telecommunication and electrical applications, along

with electronic industry. For more coatings, two extruders can also be used in

tandem. It is a manufacturing process used to shape molten plastic. Different

process still existing, according to the different compounds requested by the

market. The most used process is dedicated to the thermoplastic and

thermosetting materials where an Internal machine (barrel) friction and an external

heat supply by way of heat resistors are exploited to transform an infeed base

material into a finished or semi-finished product, shaping material by forcing it

through a die. Moreover, another opposite process is available for rubber extrusion

with many different vulcanization solutions engineered to heat the insulation after

the die trough.

Thermocouple

According to Pollock (1971), a thermocouple is a sensor for measuring

temperature. This sensor consists of two dissimilar metal wires, joined at one end,

and connected to a thermocouple thermometer or other thermocouple-capable

device at the other end. When properly configured, thermocouples can provide

temperature measurements over wide range of temperatures. Thermocouples are

17
known for their versatility as temperature sensors therefore commonly used on a

wide range of applications - from an industrial usage thermocouple to a regular

thermocouple found on utilities and regular appliances. Due to their wide range of

models and technical specifications, it is extremely important to understand its

basic structure, how it works, its ranges as to better determine what is the right

type and material of thermocouple for your application.

THHN Building Wire

According to Mccay (2012), THHN Building Wire is a very popular type of

building wire used in all types of industrial, commercial and residential

construction. This type of building wire is effective in damp and dry locations.

THHN stands for Thermoplastic High Heat Nylon which is a description of the wire

jacket and insulation components. The conductor comes in many strands for

anything over 10 gauge in the stranded or solid conductor for gauges 14-10. THHN

wire has an advantage as build wire because of its ability to handle up to 600 volts

which covers most common appliances. The installation of THHN as building wire

will fall within most building codes set out in the list of National Electrical Codes.

This wire has a thermoplastic jacket that releases toxic gases when burned. It

cannot be used outside or buried due to its minimal protection. This is because this

wire is used in building conditions where very little can hurt it. The jacketing

protection is abrasion resistance but has little else in means of wire protection.

18
 CHAPTER III

PRESENTATION AND ANALYSIS OF DATA

Table 3.1 Summary of Product Rejects of PHILFLEX Philips Wire and Cable Co. from September 2019 to February 2020

Price Production
No. of No. of Percentage Cost Loss
Output Percentage
Building Wires Good Reject Allowable Per roll (php)
Produced reject
output output Rejects
(15m)
THHN 500 mm² 3224 3112 112 3.47% 2% 10,750 1,204,000

THHN 400 mm² 3563 3,442 121 3.40% 2% 9,850 1,191,850

THHN 325 mm² 4066 3,886 180 4.43% 2% 7,030 1,265,400

THHN 300 mm² 4892 4699 193 3.95% 2% 6,470 1,248,710

THHN 100 mm² 7592 6994 598 7.88% 2% 3,200 1,913,600

TOTAL 23337 22236 1,101

19
 Table 3.1 shows the number of rejects and the production cost loss experienced by the company in the

manufacturing of building wires from the months of September 2019 to February 2020. The highlighted product is where

the highest reject occurs and has the highest contributions in the rejection rate.

20
Table 3.2 Monthly reject rate of the production of THHN 100mm²

Allowabl Actual
Actual
Actual Output e Reject Profit
Output
Month Reject Rate Loss
(per
Rate (Php)
roll) Rejec
Good
t

Septembe 1,342 1,221 121 9.02% 387,200

2%
r

October 1,291 1,184 107 2% 8.29% 342,400

November 1,242 1,151 91 2% 7.33% 291,200

December 1,187 1,109 78 2% 6.67% 249,600

January 1,241 1,158 83 2% 6.69% 265,600

February 1,289 1,171 118 2% 9.15% 377,600

Total 7,592 6,994 598 2% 7.88% 1,913,600

(Source: Engr. Roberto Rosales, Planning Assistant, PHILFLEX)

Approved by:

Table 3.2 shows the monthly rejected output, reject rate and its profit

loss of the company in the production of THHN 100mm² (building wire).

21
 Actual Output −Good
Rejection Rate = x 100
Actual Output

1,342−1,210
September = × 100=9.02 %
1,342

1,291−1,184
October = ×100=8.29 %
1,291

1,242−1,151
November = ×100=7.33 %
1,242

1,187−1,109
December = ×100=6.57 %
1,187

1,241−1,158
January = × 100=6.69 %
1,241

1,289−1,171
February = × 100=9.15 %
1,289

Profit Loss: Rejected Output x Cost

September: 121 x 3200 = 387,200

October: 107 x 3200 = 342,400

November: 91 x 3200 = 291,200

December: 78 x 3200 = 249,600

January: 83 x 3200 = 265,600

February: 118 x 3200 = 377,600

Total Profit Loss = 387,200 + 342,400 + 291,200 + 249,600 + 265,600 +

377,600

= 1,913,600

22
 Table 3.3 Check Sheet

Date: _________

Operators Name: _______________

THHN 100mm² (building wire)

Defects September October November December January February Total Frequency

Open Insulation 32 30 33 31 34 29 189 31.61%

Bulging 22 12 18 14 14 11 91 15.17%

Short Length 27 19 31 28 24 18 147 24.58%

Marking Error 18 15 21 17 11 13 95 15.89%

Air pocket 16 13 15 11 9 12 76 12.67%

Total 115 89 118 101 92 83 598 100%

Source: Mr.

23
Table 3.3 shows the check sheet for the total defects of THHN 100mm²

(building wire) of PHILFLEX Philips Wire and Cable Co. per month. Open

insulation has the highest percentage followed by Short Length and Marking

error. These 3 rejects are what the researchers would focus on minimizing.

Computations:
¿
% Contribution = Total Defects ¿ March ¿ August Total Defects x 100

189
Open Insulation : % Contribution = x 100 = 31.61%
598

91
Bulging : % Contribution = x 100 = 15.17%
598

147
Short Length : % Contribution = x 100 = 24.58%
598

95
Marking error : % Contribution = x 100 = 15.89%
598

76
Air pocket : % Contribution = x 100 = 12.67%
598

Output produced per day

September: 1342/25 = 54

October: 1291/28 = 47

November: 1242/23 = 54

December: 1187/19 = 63

January: 1241/25 = 50

February: 1289/25 = 52

54+47+54+63+50+52= 320/6 = 54

24
Figure 3.1 Flow chart

Figure 3.1 shows the flow process chart of PHILFLEX Philips Wire and Cable

Co. for THHN 100mm² (building wire).

25
 Figure 3.2 Histogram

DEFECTS OF THHN 100mm²

200
180 189
160
140 147
120 Series 1
100
95 91
80
76
60
40
20
0
Open Insulation Short Length Marking Error Bulging Air Pocket

Figure 3.2 presents the Histogram of the defects in the production of THHN

100mm² (building wire). The defects are analyzed and determined to provide proper

solution.

26
Figure 3.3 Pareto Chart

Figure 3.3 presents the Pareto Chart whereas the defects are

analyzed to find the greatest contributors in reject rate. The vital few are open

insulation, blister and marking error. The trivial many are bulging and air

pocket.

27
 Table 3.4 Pareto Analysis

Accumulated Cumulative
Types of Defects Frequency
Frequency Percentage
Open Insulation 189 189 31.61%

Short Length 147 336 56.19%

Marking Error 95 431 72.07%

Bulging 91 522 87.29%

Air Pocket 76 598 100%

Table 3.4 shows the tabulated data seen in the Pareto chart. Open Insulation

occurs 189 times, Short length 147, and Marking error 95 times.

TABLE 3.5 FOCUS OF THE STUDY (DEFECTS)

Type of Defects Frequency Percentage

Distribution

Open Insulation 189 43.85%

Short Length 147 34.11%

Marking error 95 22.04%

Total 431 100%

Table 3.5 shows the top three defects where the study is focused on

with its respective frequency and percentage distribution. Open Insulation has

the highest percentage distribution of 43.85% followed by Short Length of

34.11% and marking error of 22.04%.

28
Table 3.6 Summary of major defects of THHN 100mm²

Type of Defect Reject Figure Units affected

Open Insulation

189

Short Length

147

29
Marking Error 95

30
 Total
Percentage
Root Cause Units of
Types of Contribution
Category Defects
Defects
WHY WHY WHY

Hardened PVC
Open Workers did not clean Negligence of
MAN residue left in the 189 43.85%
Insulation the crosshead worker
crosshead
 

Inaccurate Uncalibrated Flawed Counter Old cable

Short
MACHINE measurement machine Meter counter 147 34.11%
Length
machine

The changing of Workers

Marking Wrong printed Wrong wheel
METHOD wheel is doesn’t have 95 22.04%
Error characters installed
Manually done guidelines

TOTAL 431 100%

Table 3.7 Why – Why Analysis for the Defects of the THHN 100mm² of PHILFLEX Philips Wire and Cable Co.

Table 3.7 shows an in depth analysis of the defects that contributed most to the rejection rate of the

production of THHN 100mm² that are being produced in PHILFLEX Philips Wire and Cable Co.

31
DEFECTS

Table 3.8 Data for Open Insulation

Category: Man

Type of Defect: OPEN INSULATION

Picture of Defect:

OPEN INSULATION GOOD CONDITION

Table 3.8 compares the wire in good condition and the defective wire with

open insulation leading to 189 units affected. This occurs when the workers do not

follow the work instruction given to them in cleaning the crosshead for every

different type of wire.

32
Figure 3.4 Crosshead

Figure 3.4 shows the crosshead in the extruder machine used in the production

of THHN 100mm² that needs to be cleansed for every different type of wire.

Figure 3.5 Parts of Crosshead Extruder machine

Figure 3.5 shows the parts of the crosshead extruder machine used in the

production of THHN 100mm² that needs to be cleansed for every different type of

wires.

33
Table 3.9 Time Study for the production of THHN 100mm²

34
Table 3.9 shows the time study for the standard and actual procedure done by the work.

35
Table 3.10 Data for Short Length

Category: Machine

Type of Defect: SHORT LENGTH

Picture of Defect:

SHORT LENGTH GOOD CONDITION

Below 15m 15m

Table 3.10 shows the set up of wires in good condition and the set

up of a defective wire in short length leading to 147 units affected. It shows

the scrap wires, with the defect short length due to inaccurate measurement

by the counter meter, used by the company.

36
Figure 3.6 Data for Short length

37
 Figure 3.6 shows the payoff and the counter meter used in the

production of THHN 100mm² where the defect short length occurred.

Table 3.11 Counter Meter Specifications

Counter meter Specifications

Model Number Z96-F
Speed ratio 1:3
Counting range 1-9999.9
Maximum counting speed 200 rpm/min
Life span 40yrs

38
 Table 3.12 Machine Downtime for the Cable Counter Machine

Time Consumed
Month Date Frequency Part/s Affected
(min)
05 Bench stand
September 2 31.50
27 Counter meter
11 Screw
October 2 52.12
23 Counter meter

39
 07
November 12 3 78.64 Barrel
16
05
Counter meter
December 11 4 115.41
15
Counter meter
20
03 Coiler
January 2 20.31
08
Wheel
February 19 1 10.43 Coiler

Total 14

Table 3.13 shows the data for the corrective action for the machine. The

frequency per month affects the production. In month of December the highest

frequency of machine downtime occurred whereas from the months of September

2019 to February 2020, it has a lowest good output produce.

Table 3.13 Data for Marking Error

Category: Method

Type of Defect: Marking Error

40
Picture of Defect:

MARKING ERROR GOOD CONDITION

Table 3.13 shows the defect marking error that occurs in the THHN

100mm² due to improper installation of the printing wheel by the operator

Figure 3.7
Printing Wheel

41
 Figure 3.7 shows the printing wheel used by the PHILFLEX Philips Wire

and Cable Co. in the production of THHN 100mm²

Figure 3.8 Data for Marking Error

42
 Figure 3.8 shows the inefficient printing wheel used in the production of

THHN 100mm² of PHILFLEX Philips Wire and Cable Co.

43
44
Figure 3.9 Fish Bone

Man 43.85% Machine 34.11% PHILFLEX Philips Wire

and Cable Co. is

Negligence of experiencing a 7.88%

Old Cable
Counter reject rate in producing
Worker
Machine
THHN 100mm²

amounting to

₱ 1,913,600 from

September 2019 to
Workers do not
have guidelines February 2020.

Method 22.04%

45
Formula for fish bone percentage:

(Number of Rejects per Defect/Total Rejects) x 100

Negligence of worker:

189
Percentage = x100 = 43.85%
431

Old cable counter machine:

147
Percentage = x100 = 34.11%
431

Workers do not have guidelines:

95
Percentage = x100 = 22.04%
431

46
FISHBONE ANALYSIS

MAN (43.85%)

Open Insulation are type of defects occurred in the production of THHN

100mm² in the PHILFLEX Philips Wire and Cable Co. and has the highest

contribution of 43.85% in the reject percentage. It is caused by the workers who

do not follow the proper way of cleaning the crosshead of different types of wire.

Machine (34.11%)

Machine also contributes in the defects of producing a THHN 100mm² in

the PHILFLEX Philips Wire and Cable Co. Short length of the wires occurs due to

the old cable counter machine used by the company. The measuring tool is

uncalibrated simply because it is already defective and old. The THHN 100mm²

that has a short length are considered defect and contributes 34.11% in the

reject percentage.

METHOD (22.04%)

Marking Error on the wire is caused by the wrong wheel installed by the

workers since they do not have proper guidelines given by the company. Doing it

manually in printing codes in wires and causes the defect on the product and

contributes 22.04% in the reject percentage. These defects greatly affect the

quality of the product especially when the customers are high-end companies.

47
Problem Tree

Cause

 
 
  Workers doesn’t have
Old Cable counter
Negligence of Worker guidelines
machine

PHILFLEX Philips Wire and Cable Co. is experiencing an 7.88% reject rate
in producing THHN 100mm² amounting to ₱ 1,913,600 from September
2019 to February 2020

     
Profit Loss Customer Opportunity Loss
Dissatisfaction  
 

Effects

Problem Tree Analysis

48
CAUSES

Negligence of Worker

As seen on Table 3.9, the actual procedure of worker is incorrectly done

in the annealing process of THHN 100mm². The operator did not clean the

crosshead extruder machine before processing different type of wire and that

causes the wire jacket to ripped off from the hardened PVC inside the crosshead

Old cable counter machine

As seen on Table 3.10, the scrap wires with short length causes the wires

to short in length by the old cable counter meter machine. The failure of counter

meter to measure length of wires accurately will cause to have a short length of

wires. The mechanical counter meter used was uncalibrated and old that causes

its reading to be not accurate which affects the length of wires.

Workers doesn’t have guidelines

THHN 100mm² building wires need to be accurately done when it comes

to its marking. The product must have in its right code to be identified easier by

the worker. As seen in figure 3.8, their method is inefficient. The printing tool that

the company used does not match with the current company status.

EFFECTS

49
Profit Loss

The company experience profit loss caused by the defects in the

production. This open insulation defect has been having a huge impact in the

profit loss of the company. The company would experience, not only profit loss

but also loss, regarding all the wasted resources.

Customer Dissatisfaction

PHILFLEX Philips Wire and Cable Co. aims to provide the best quality of

products given to the customers. The company ensures the quality of products

and standards are met. The defects can cause delays of products and affect the

customer satisfaction. The output of product must be accurate and on time.

Opportunity Loss

Due to the products that are counted as rejects, lower number of products

is produced. This contributes to factors that may undesirably affect the

company’s different opportunity. The company may fail to attain the number of

outputs which may lead to loss of clients and customers which is an opportunity

loss.

Objective Tree

Means

50
 Provide Reminders to Purchase a New
Automated
Operators and Give Cable Length
Printing
Sanctions Machine

To meet the allowable reject rate of 2% in the production of THHN

100mm² at PHILFLEX Philips Wire and Cable Co.

     
Profit Gain Customer Opportunity Gain
Satisfaction  
 

End

51
Objective Tree Analysis

Means

Provide Reminders to Operators and Give Sanctions

By giving appropriate sanction to the operators and to remind them to strictly

follow, it will reduce the open insulation defect in the annealing process of the

product. Reminders and sanction will greatly help the reduce of the reject rate, as

well as improve the production. In return, the company will gain its profit.

Purchase a New Cable Length Machine

By installing new cable length machine and parts, the products will be less

likely to be short in length and rejects of the product will be reduced. This helps the

company to reduce the error, especially with high volume production, that relies on

semi-automated machines to produce wire products. By purchasing this machine,

the company will gain its customer satisfaction.

Automated Printing

By having an automated printing, the company will have a smooth process in

encoding and printing codes for wires. This will improve the production of the

company and efficiency to the next level. It can help minimize marking error that

leads rejection of the product. A more efficient machine can improve the system that

will lead to opportunity gain of the company.

52
Ends

Profit Gain

The company would experience an increase in profit with the elimination of

rejects due to open insulation. The company would also be able to have less waste in

resources.

Customer Satisfaction

The customers would be satisfied with the outputs sold. Accuracy and on time

delivery of products can be achieve and resulting to building trust and reliability between

the customer and the company.

Opportunity Gain

With having a more efficient method, the number of outputs will no longer be

delayed thus leading to the company’s increase in opportunity in meeting the

customer’s orders.

53
 CHAPTER IV

ALTERNATIVE COURSES OF ACTION

Alternative Course of Action No. 1: Provide a Reminder to Workers and

Give Sanctions to violators

ADVANTAGES DISADVANTAGES
 The 43.85% number of defects will

be reduced  Additional task for supervisor on

 The proposed alternative will monitoring the workers

lessen wastage of raw materials.  Additional costs for printing forms

 The company will identify and visual reminder.

operators who negatively affect the

company’s production.
Workers are provided a printed reminder, posted within their workstation,

to remind each worker on cleaning the crosshead before processing the different

types of wire. When instructions are not followed, workers wil be given

appropriate sanctions for their negligence. In this type of action, workers will be

forced to work accurately, resulting to decrease or, better yet, elimination of

defects.”

54
Action Plan

Figure 4.1 Proposed Reminder

Figure 4.1 shows the proposed reminder that will be posted in the

extruder section of PHILFLEX Philips Wire and Cable Co.

55
Proposed Sanction Scheme

The following are the disciplinary procedures and sanctions given to the violators. Each

depends on the severity of disobedience:

 1st offense – A verbal warning will be given in private, by the supervisor, to the

violator as a reminder of the standard procedure implemented by the company.

The nature of what took place and why it is in violation of policy will be explained.

Continuous disobedience will result to suspension.

 2nd offense – Disciplinary action form will be given and violator will report to their

immediate supervisor. This will be the last chance of the employee. Next violation

will result to suspension.

 3rd offense – The violation will be fully investigated. Violations accumulated in the

past and the present concern will be taken ito consideration. This will be reported

to the HR and a long suspension will be given to the employee once deemed

worthy of the sanction.

 4th offense – When the preceding progressive diciplany actions were not

successful in improving the employee’s performance, a final meeting will be

scheduled with the review of work history and record of diciplinary actions.

Reaching this stage of offense means termination of the contract.

56
Proposed Written Reprimand Letter

(Personnel Head Name)

(Date)

(Employee Name)

Disciplinary Action

PHILFLEX Philips Wire and Cable Co.

Dasmarinas, Cavite

Dear (Employee Name)

I am giving this letter to warn you about your violation of the rules and regulations

of the company. You have been warned verbally for several times. You are hard-

working employee and your skills are always appreciated by the company. The rules

and regulations must be followed at all times. Violation of the rules and regulations will

cause poor quality of product resulting to profit loss. The working environment will be

damaged.

Thus, this letter is expected to be taken seriously. Future offenses, based on the

gravity, will result to appropriate disciplinary actions.

Sincerely,

_________________________

Signature over Printed Name

(Personnel Head Name)

57
Figure 4.2 Proposed Written Reprimand Form

Figure 4.2 shows the proposed written reprimand form for the Negligence

workers of PHILFLEX Philips Wire and Cable Co.

58
Alternative Course of Action No. 2: Purchase a new cable counter machine

It has been observed that in the coiling section, the cable counter meter is

uncalibrated and old, causing its measurement to be inaccurate in measuring the length

of wires. Although the main problem is only the counter meter, it requires to change the

whole machine to a new one to prevent other parts to be broken. The existing cable

counter machine also exceeds the life span. This means it requires high maintenance

procedure that will affect the operational cost of the company. By buying new cable

counter machine, it eliminates the defect short length for wires to occur.

ADVANTAGES DISADVANTAGES
 The 34.11% number of defects will

be reduced

 Lessen the possible defects

 Additional cost in buying new cable
caused by the malfunction of cable
counter machine
counter machine
 Adjustment of operator in new
 Efficiency of the machine is
function of machine
improved

 Lower maintenance cost of the

machine

Table 4.1 Action Plan: Proposed New Cable counter machine

LR600 LR300 EW-20S-1

59
 Cable length
Cable Length Counter Cable length counter
counter

Max. Speed: 200 m/ min Max. speed: 100 m / min Max. speed: 300 m / min

Wire/Cable Size: 0.6mm–25 mm Wire/CableSize:0.6mm-12.7mm Wire/CableSize:0.6mm– 40mm

Accuracy: +/- 0.03% Accuracy: +/- 0.2% Accuracy: +/- 0.5%

Dimension: 28″ x 24″ x 70″ Dimensions: 7″ x 6″ x 16″ Dimensions: 32″ x 22″ x 16″

Calibration: Easily programmable Calibration: programmable Calibration: easily

Power: 50/60 Hz Power: 50/60 Hz programmable using keypad

Price: 180,000 Price: 190,000 Power: 50/60 Hz

Price: 200,000

Source:https://www.taymer.com Source:https://www.taymer.com Source:https://www.taymer.com

60
Table 4.2 SWOT-ANALYSIS FOR CABLE COUNTER MACHINE

SWOT ANALYSIS
Product Cost
Strengths Weakness Opportunities Threats

-Medium speed
Increasing
-Medium
LR600 number of
accuracy Having similar type of
Cable Php affordable good
-easy to calibrate cable counter machine
Length 180,000 -Expensive specification in
-High motor available in the market
Counter cable counter
horse power
machine

Increasing

LR300 -Medium speed number of

-Low motor Having similar type of
Cable Php -Medium affordable good
horsepower cable counter machine
length 190,000 accuracy specification in
-Expensive available in the market
counter -easy to calibrate cable counter

machine
- High speed

-wide range of
Increasing
wire/cable size
EW-20S-1
number of
-High accuracy Having similar type of
Cable Php affordable good
-easy to calibrate -Expensive cable counter machine
length 200,000 specification in
-High motor available in the market
cable counter
counter horse power
machine
-Good in mass

production

61
62
Alternative Course Action 3: Automated printing

It is observed that in the marking section, the workers do not have

guidelines given by the company and doing it manually. The existing printing

method used by the company does not match with the current company status

that causes marking error. To avoid the marking error defect, it is proposed to

automate the printing method of the company that will accurately and

automatically mark the wires with different characters.

63
 Table 4.3 Action Plan: Proposed New Printing machine

FSP002 Inkjet Printer YH1000 Inkjet Printer LBX1880 Inkjet Printer

Color: Multicolor Color: Single color Color: Single color

Spray Printing Speed: 1024 Spray Printing Speed: 898 Spray Printing Speed: 908

character / second character / second character / second

Spray Printing Contents: Spray Printing Contents: Spray Printing Contents:

Date/Time/Batch Number/ Serial Date/Time/Batch Number Date/Time/Batch Number

Number Power Supply: 110V 50HZ Power Supply: 110V 50HZ

Power Supply: 220V 50HZ 150VA 260VA

150VA

Price: Php 91,555.90 Price: Php 79,677.82 Price: Php 85,260.34

Source: Faith Technology Source: Faith Technology Source: Faith Technology

Table 4.4 SWOT-ANALYSIS FOR CABLE COUNTER MACHINE

64
 SWOT ANALYSIS
Product Cost
Strengths Weakness Opportunities Threats

-High speed Increasing

-Quick dry ink number of

FSP002 Having similar type of
Php -Multi-color affordable good
Inkjet inkjet printer available
91,555.90 -can be -Expensive specification in
in the market
Printer
customize inkjet printer

machine

Increasing

number of
YH1000 -Medium speed Having similar type of
Php -one color affordable good
Inkjet -Single color inkjet printer available
79,677.82 -Expensive specification in
in the market
Printer
inkjet printer

machine
Increasing

number of
LBX1880 -Medium speed Having similar type of
Php -Expensive affordable good
Inkjet -Single color inkjet printer available
85,260.34 -one color specification in
in the market
Printer
inkjet printer

machine

65
66
Table 4.5 COST BENEFIT ANALYSIS

ACA COST BENEFITS

Tangible Intangible
1 Provide a Meeting and Return of
Reminder orientation provided Investment
to for workers = Units affected = 189
Workers ₱ 800 Price per piece = Potential
and Give Printing and ₱ 3200 increase in
Sanctions laminating the
production and
to standard form = (189)(3200) =
disciplined
violators ₱ 60 ₱ 604,800
Printing the violation workers for profit
form (100)= 604,800 – 960 = gain
₱ 100 ₱ 603,840
= Php 960

2 New cable counter Return of Improve

machine = Investment accuracy which
Purchase ₱ 200,000 Units affected = 147 leads for better
a new Installation Fee = Price per piece = quality of
cable ₱ 1,500 ₱ 3200 products that
counter = Php 201,500 gives satisfaction
machine (147)(3200) = for the customer
₱ 470,400

67
 470,400 – 201,500
=
₱ 268,900

3 Return of
Investment
Units affected = 95
Purchase Price per piece = Zero machine
a laser ₱ 3200 downtime that
printing New Laser printing leads the
machine Machine (95)(3200) = production
= Php 91,555.90 ₱ 304,000 quality better that
gains more
304,000 – opportunity.
91,555.90 =
₱ 212,444.10

CHAPTER V

CONCLUSION AND RECOMMENDATION

CONCLUSION

PHILFLEX Philips Wire and Cable Co. manufacture different types of wire

and cable used in our daily lives. Top priorities of the company are the quality of

the product. To ensure opportunity gain and satisfaction of customer, the

company needs to solve different issues and avoid defects that arise that causes

production efficiency. Based on the data gathered for recent months, September

2019 – February 2020, the company experiencing 7.88% reject rate in the

production of THHN 100mm² (building wire) amounting to Php 1,913,600. This

68
loss is found in various problem observed in the line process. Reject rate are

due to negligence of workers, old cable counter machine, and manual changing

of wheel for wire marking.

The researcher gathers the information on the top three defects which are

open insulation, short length, and marking error. The researcher came up with

solutions to the three major defects that need to be eliminated to meet the

allowable reject rate of 2% to gain profit, opportunity and customer satisfaction.

Open Insulation is the main contributor caused by the hardened PVC not clean

by the worker in the crosshead also in the short length the inaccurate

measurement caused by the uncalibrated machine due to the flawed counter

meter. The marking error caused by the printing tool method used by the

company is inefficient to match with the current company status. It is caused by

the wrong wheel installed by the workers since they do not have guidelines given

by the company.

Recommendation

Alternative courses of action can solve the issues in the production of

THHN 100mm² (building wire). These are the providing sanction to workers for

following the company standards, purchasing a new cable counter machine can

accurately measures the length of wires, and purchasing a laser printing machine

can improved machine efficiency and minimize marking error. It will reduce the

69
 defects in the production and meet the allowable reject rate of 2% of the

company.

The researcher strongly recommends the implementation of the proposed

alternative courses of action to reduce the number of defects in the production of

THHN 100mm² of PHILFLEX Philips Wire and Cable Co. By reducing the number

of defects, the company will be able to meet the allowable 2% reject rate set by

the company thus improving the company’s status.

CHAPTER VI

DETAILED PLAN OF ACTION

Gantt chart

Weeks Action Party

Activities
1 2 3 4 5 6 7 8 9 10 11 12

70
 1. The Students;
proposed Operations
alternatives will Manager;

2.
Management
Operations
will approved
Manager;
the proposal
Head of
and further
Production
executes
Department
policies to be
followed

3. The project
will be Head and
scheduled as Supervisors,
well as Production
planning the Department;
expected Engineering
resources to be Department
used.

Finance
4. Budget all Manager,
the cost that Finance
must be Department
anticipated

71
 Production
5.Implement
Supervisor/s;
the actions for
Line Leader/s;
a long period to
Maintenance
ensure
Personnel
familiarization
issues

6.
Production
Supervisor/s
The actions will
and Line
be monitored
Leader/s
to supplement
its
implementation

7.
Operations
Management Manager;
will evaluate Head of
the proposal Production
conducted on Department
the company

72
DETAILED PLAN OF ACTION

1. The proposed alternatives will be addressed and presented to the

Top Management

The proposal of the recommended alternative courses of action will

be presented by the researcher to the Production Department.

2. Management will approved the proposal and further execute

policies to be followed

The Operations Manager and Head of Production Department will

review the proposal and look on the actions if it is necessary to the

company.

3. The project will be scheduled as well as planning the expected

resources to be used and the time needed for installation

Planning is the most important step to be made by the

management. The management will assess the date and time when to

start to implement the proposed alternatives.

73
4. Cost budgeting

Budgeting of the costs needed for the proposed action is to be

considered in implementing the action.

5. Implementation of the suggested actions to ensure obedience and

familirization

The Production and Engineering team will implement the

appropriate alternatives approved by the management.

6. The actions will be monitored to supplement its implementation

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 The Production supervisor/s and Line leader/s will monitor the

performance of the workers to ensure successful implementation of

alternative courses of action.

7. Management will evaluate the proposal conducted on the company

There will be an assessment to the effect of the action taken by the

Operations Manager and Head of the Production Department. There must

be a significant change after the action.

BIBLIOGRAPHY

BOOKS

Cavill, I. (1990). Quality Control. Churchill Livingstone. pp 212:141-168

Gitlow, H.S., Oppenheim, A.V., and Oppenheim R. (1995). Quality management:

Tools and methods for improvement. Chicago, IL: Irwin. pp 113:34-47

75
Gyrna, F.M. (2001). Quality planning and analysis. Boston, MA: McGraw-Hill.

Pp 111-132

Besterfield, D. (2014). Quality Control. Pearson. pp 156:80-110

Ishikawa, Kauro (1991). Guide to quality control, USA: Asian Productivity

Organization pp 192:163-179

Mitra, Amitaya (2013), Fundamental of Quality Control and Improvement for

Wires, 3rd edition. John Wiley and Sons pp 171-198

Besterfield, Dale H. (2012). Quality Improvement (Formel entitled Quality

Control) 9th Edition: Prentice Hall Publishing pp 181-199

Budinski (1997) Wire drawing is a metal working process used to reduce

the cross section of a wire: pp 122-151

ELECTRONIC SOURCES

Electrical Wires and Cables (1969) PHILFLEX Philips Wire and Cable Co.
Retrieved from: https://www.philflex.com.ph/

Types of Electrical Wires and Cables- Electrical Technology (2010)

Retrieved from: https://www.electricaltechnology.org/2020/04/types-wires-

cables.html

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CHAPTER VII

77
APPENDICES

78
Practitioner’s Profile

79
CERTIFICATE OF PROOFREADING

80
DIPLOMA AND PRC ID OF PROOFREADER

81