Category: Quality Control

Introduction

XYZ is one of the leading deposits taking financial institutions in Asia. The bank offers clients a wide range of services including taking customers deposits, withdrawals, bank custody services, business installment loans (BILs)Treasury Bonds, amongst other services. Customer service is a key area where the bank has put in so much emphasis; the bank has pledged to provide world class customer services putting customer satisfaction at spotlight. They excite customers by creating magic moments at whatever service offered to the customers.

The entire staff of the bank has this in mind all the time, whether just answering customer questions to know how to fill in deposit slips, or giving directions on the next convenient branch in any part of the country.

The bank has a feedback process where customers are allowed to give the bank a chance to understand genuine complaints. Set up to handle customers queries at all times, Customer Service Centre (CSC) gives customers information over the telephone and these services range from account balance, loan balance, loan disbursement period, check clearing period, standing order instruction to salaries queries etc. The CSAs are dedicated to providing customers with professional assistance and necessary information on proper identification, and they pass the information via the telephone, email, fax etc.

The bank has a due process of handling customer complaints and these complaints are handled by various members of the customer service team which ranges from the weight of complaints and queries. Very urgent queries are fast tracked, whereas general complaints are reverted by branch managers or customer advisors who sit at branch. The first day of operation saw a massive response where 250 customers contacted the centre. Today, since 2 years, the centre has handled 2.1 million customers calls.

Customers are not always happy with the quality and value of the services they receive from shops, banks, hypermarkets, etc.; they complain when deliveries are late, when served by a rude staff, inconvenient service hour, and poor performance. It is against this backdrop that we take stock of how XYZ have used the CSC to be able to handle customer queries in a professional way accurately and also maintaining integrity and confidentiality of customer information.

Control Charts

The measure of a statistic process control x and R charts are used and can be used to measure all characteristics of a product, which can be divided into two categories: variables and attributes. (Juran and Gryna, 1980). Variables have measure while attributes is a product characteristic that has discrete value.

Quality Customer Service

Customer service is the core of the banks day to day operation, and the bank has pledged to give excellent customer services to all clients. In this study, XYZ has employed a strategy of the bank calls 75/25 Customer Service Level Strategy.

The bank has this strategy to answer at least 75 % of the call within 25 seconds of calls or just about 6^th ring. The faster the CSA respond to the call the higher the service level tends to be (Grant, 1998).

For the last two years, the bank has worked towards achieving service level higher than the 75/25 set mark which is their standard for tracking the service level. Most of the CSA have been given trainings on this and they continue to do refresher courses. Again when the service level is too high say 90/10 it means just about the 3^rd ring, it means the bank needs more staff and this can be very costly to the bank. Service level attainability depends also on the clientele and also on the kind of service offered.

Methodology

The data used here was obtained from the Customer Service Centre manager XYZ Bank Limited. A total number of 6 samples which represents quarter one and quarter two of 2010. Each of the 25 customers who called to find out whether their Business Installment Loans (BILs) had been approved and credited into their respective accounts.

The variation range is defined by the use of these control charts. A process to be tested is considered to be out of control when data reveals one of the common sides falls outside the control limits. We use X-Bar and R Bars to be able to monitor these variations. X-Bar charts are used, for example, to monitor the mean of a process, we contrast the centre line of the chart, where we consider samples and compute their means.

Unlike X-Bar charts which measure shifts of tendency of the centre process, range or R-charts monitor the variability of the process; the centre of the line is drawn and it determines the average range where both the lower and upper limits are computed.

Data Collection

Waiting time for answering the phone calls were measured and recorded during the four months. Ten random waiting times were recorded in the table shown below; time is in seconds.

Confidence Intervals here will allows us to estimate a population parameter, collected data to be used to estimate the range of values for the population mean or proportion. Confidence level is always presented as C and a smaller population is a good measure because it gives more information.

The average range and average time for every 4 months were determined.

The centre line of the control sampled data is the average of the samples presented in equation as;

R=159.47/10 = 15.947

In statistics mean is always computed using the following equation;

Mean m == (X1+X2+X3+&+Xn )/ n

Where n is the total number of data say 10 for our case and m is the mean.

Where n is the number of customers who made calls in a sample (equals 10 in this case)

We also have standard deviation which is the deviation from the centre line and in SD we always have upper and lower bound to cater for calculation and plotting errors in graphs. Range is also presented as the difference between the extreme observations.

Confidence Interval

Confidence intervals are usually used to estimate range of values for the population mean. The Confidence Interval for the obtained data was investigated to state the range where most of data might exist.

Hypothesis testing

It is one of the tools used in statistics and most often decisions are required to be made concerning populations on sampled information. We used the obtained data to apply the hypothesis test where the null hypothesis was set to less than or equal to 20, and the alternative hypothesis was set to more than 20.

Control Charts

Basically, control is a graph used to study how a process changes over time. The collected data are plotted in a time order, and it has a central line for the average upper line to represent the upper control limit, and a lower line for the lower control limit (Montgomery, 2009).

Here we have chosen X-bar chart, and the R chart will be used as a tool to examine the obtained data. The X-bar chart is used to check for the mean of the data and how it is related to the ideal mean. The R chart is used to check the variability of the data.

R chart is to be examined before the X-bar chart in the sense that the X-bar chart depends on R chart.

This is the general line graph that represents 10 different customers who made calls in a period of four months.

From this graph, we will extract the X and R charts respectively, and draw a conclusion whether the bank has been able to meet the target for the four months sampled.

R Chart

The R chart examines the ranges of different related samples to the average range of all the samples in order to test the variability of the measurements. The R chart shows the measured samples ranges (Y-axis) to the sampling time (X-axis).

Equation c: R Chart center line

Equation d: R chart LCL

Interpretation of R Chart

X-bar Chart

This chart examines the averages of the obtained measurements related to the average of all the samples. The X chart shows the averages of the measured samples (Y-axis) to the sampling numbertime ( X-axis).

Equation 1: X-bar chart center line

The x axis represents sampled months while the Y axis represent time is seconds.

The average time of call response is 15.90 seconds; here the centre line is the mean.

Interpretation of X-Bar Chart

Once the graph has been plotted and the central line drawn, the vertical axis of the X chart here represents the means for the characteristic of interest and the vertical axis of the R chart here represents the ranges. So if we want to control the minimum time CSA needs to pick up a customers call, then we use the centre line In the R chart that would represent the acceptable range of time in seconds within the sample, while in the x chart, the central line would represent the desired standards.

Capability Analysis

This is the ability of a process to meet the expectation as set by an organization management and process structure. The set regulations governing this should always ensure that the process control limits fall within the specification limits. Here we have to specify control limits; the lower control limit is set to zero and the upper control limit is set to 10.

Recommendation

From this we realized that the bank needs more Customer Service Assistants at the call centre to be able to respond to customers needs within the shortest time possible.

Reference List

Grant, EL 1998, Quality Control of Statistics. 6^th Ed. McGraw-Hill, New York.

Juran, JM & Gryna FM 1980, Analysis Quality Planning 2^nd Ed. McGraw-Hill, New York.

Montgomery, CD 2009, Modern Introduction: Statistical Quality Controlling. 6^th Ed. New York: Wiley & Sons Publishers.

Quality control

One of the most vital lessons learnt from the production of beef episode is the value of quality control. The production unit under analysis does not compromise on the quality of beef that comes from its facilities. The same applies to all the other companies that work alongside this organization during the slaughter and packaging of the product.

In operations management, quality control is critical in ensuring that products meet consumer needs and expectations. Therefore, a business must use standards against which to evaluate and to correct its respective outcomes. A number of characteristics stand out in the corn production of beef. First, inspection of the materials occurs prior to, during and after production of beef.

For instance, the raw materials used to feed the cattle are investigated and corrected as required. The quality of corn is affirmed by placing a corn factory in the middle of the cattle ranch (Kwon 12). The organization thus mitigates itself against risks that come from purchasing raw materials from the external environment. As the cattle continue to grow, the modern-day cowboys will check on a number of parameters to ascertain that the cows are growing as expected.

The first characteristic that will indicate the level of quality in the cattle is the muscle and bone ratio of the cow. Certain expectations exist concerning the quantity of muscle in beef-producing cows. This organization checks on its animals to make sure that they possess the right ones. Furthermore, the facility also looks at the fat content of the animals after a certain period of time.

Corn-fed cows grow at a much faster rate than grass-fed cows. Therefore, the amount of fat that they will have gained must be in accordance to certain expectations within the institution. Usually, back fat is examined. The Colorado ranch thus indicates that quality control within production is imperative in producing high quality products.

Quality assurance also continues after production during the slaughtering and packing phases. Perhaps this is one of the most critical areas because after this process, the meat will go to distributors who have no capacity to alter the quality of the product. At the slaughtering plants, workers will remove external fat and analyze the muscle size and shape of the cut.

They will also look at marbling and the pattern of muscle and fat distribution in the animal. The ranchers tend to command higher prices for those products with less fat. This aspect of post production inspection shows that quality control is a continuous process in beef production. However, intense inspection and quality checks occur at lower levels of production or in supply chain parts that are close to the consumer.

This case provides great insight on the need to balance quality checks with the cost, volume and level of details involved in processing. Keeping cattle is less detailed than slaughtering, so quality control must be revamped in the latter phase.

Inventory management

The beef producer also engages in inventory management. Operations management literature indicates that inventory management assists in tracking inventory, knowing required quantities, and determining when those items will be required. One also manages ones inventory in order to determine what the price of a commodity will become.

The beef facility mostly controls its inventory in a periodic way. This is appropriate for the company because it deals with large quantity goods that are not as fast moving as other industrial products. Feed management is one of the prime aspects of inventory control in this organization. Beef cattle have different nutrient requirements owing to age and production stage needs.

Young calves are grass-fed and then weaned into corn production at a certain stage of their lives. The ranchers often calculate the level of feed needed by different types of cattle and then provide them accordingly. Some of the animals may require more protein than others. Inventory control for feeds is also affected by the seasons as cold rains affect nutrient requirements.

Inventory management is essential for such a large facility because it sells thousands of cows. The farm needs to plan how it will meet increasing demand for beef during certain seasons. It must link these demands with the point at which calving or breeding takes place.

The rate at which the cows gain weight should also be related to how frequently they will be needed by the slaughter houses. Facilities that deal with such large scale production must guard against shortages by linking seemingly unrelated aspects of the process with demand needs.

Production service design

Organizations have the choice of standardizing, mass customizing, robust designing, delayed differentiating or modular designing products. The organization under consideration has opted to standardize its production. This is a central development in the production of beef within the United States. The trend emanated from the economic and production efficiencies that stem from the practice.

In the past, most beef came from relatively smaller ranches. This case study shows that standardization works well for companies that sell products which are difficult to customize. Cattle are not unique, and adopting uniform production will ensure that a high quantity of beef is produced while costs of doing so remain low.

This approach to product design has also made corn production of beef a high quality process because similar procedures are followed through the product process. Furthermore, it is relatively easy for employees and owners of the facility to perform different aspects of production. For instance, feed purchasing, equipment management and facility organization are standard practices.

Additionally, inventory control as well as accounting are all routine. This has reduced production processes to a predictable and well-managed process. Corn production of beef also illustrates that certain product design benefits may be compromised during production. In an effort to standardize beef, some slaughtering facilities may choose to discard edible parts of meat.

This fosters a lot of wastage and may be uneconomical to beef farmers. Additionally, some consumers complain about the bland taste of corn-raised cattle. Such individuals have few alternatives to choose from if they feel like taking grass-raised beef. Therefore, standardization of the production and packaging of beef has provided fewer choices to some consumers as seen in the case study.

Overall, these three components of operations management have indicated that standardization, continuous quality control and inventory management can make the difference between effectiveness and obsolescence. Slightly more than 600 corn feeding ranches account for the vast amount of beef available in the US.

These institutions have capitalized on different aspects of operations management to ensure that they meet the high demand of beef that exists in the US. Some of them even spare some beef for export. This case study was critical in demonstrating that operations management principles work.

Works Cited

Kwon, Yul. The American Steak- America Revealed. 2013. Web.

Executive Summary

Quality management involves planning, QA/QC and quality improvement. It emphasizes on product or service quality and the manner in which to attain it. It applies QA and QC processes to give consistent quality. Quality management integrates the principles of management, which are embraced by top managerial teams to guide the organization for enhanced performance. Any organization is client-oriented and keeps on researching about their apparent needs, future needs and even goes beyond their prospects.

Customer focus is achieved if there is a way to meet their quality to ensure their satisfaction. The internal environment has to be controlled by every employee to attain the overall goal of the company. Their potential is crucial for the performance of the company and this is only attained when the tasks are managed as a process. Tasks in the organization becomes of high quality by running the process as a single system through analyzing data and information.

In the competitive global marketplace, organizations have to offer products and services of high quality, and yet maintain a competitive edge in the business. Strategic and systematic processes in manufacturing give confidence to suit the product with the intended need, for better business performance (Webber & Wallace 22). QA and QC procedures are therefore, essential to ensure that the products comply with given regulations.

Introduction to the Topic

The QA and QC have undergone several redefinitions by quality experts. The definition also depends with the industry. According to the American National Standard (ANSI/ASQC A8402-1994) QC is all the planned and systematic activities implemented within the quality system, and demonstrated as needed, to provide adequate confidence that an entity will fulfill requirements for quality (TQAS pr. 2).

According to American Society for quality (ASQ), Quality assurance is the planned and systematic activities implemented in a quality system so that quality requirements for a product or service will be fulfilled (TQAS pr. 2).

This definition infers that QA are procedures and tasks undertaken prior to production or delivery of a product, to guarantee quality to clients, which comprise of a proactive approach. QC is embraced as a universal managerial process to undertake tasks and ensure steadiness (TQAS pr. 3).

This paper shall give a distinction between QA and QC, how they are applied in the organizations and propose the recommendations of how to incorporate them in business.

Findings

Overview of QA/QC

Remarkable differences exist between QA and QC. QA is a set of precautionary undertakings that adhere to processes while QC is a detection activity that identifies the defectiveness of a product, following its manufacturing (Webber & Wallace 11).

QA describes the standard to be adhered to, in order to keep up to clients needs while QC guarantees the set standards that are followed to the latter through carrying out several checks & tests. QC formulates systematic reports, for input to QA department that reviews them and comes up with remedial and preventive measures needed for the processes (TQAS pr. 4).

Irrespective of the definition differences for QA and QC, the concepts have frequently been applied interchangeably. However, their importance cannot be underestimated, since QA department establishes the planning methods and procedures, which are aimed at ensuring that the manufactured products or service delivery by an industry have high quality.

However, certain process parameters are beyond control, thus calling for the services of QC. These evaluate the products or even services to determine flaws, which occur as a result of the parameters and eventually assist QC to achieve the overall goal of provision of flaw-free product /service to the clients (Besterfield 78).

QA and QC are interdependent. The QA department is reliant on the feedback given by QC. For instance, when there is a persistent problem with product quality, QC department gives feedback to QA personnel, which in turn evaluate the core cause and define alterations of the process to solve future quality problems. Likewise, the QC department adheres to the strategies as well as standard set by QA department, to determine if deliverables are in accordance to quality standards.

Therefore, the two departments are equally important for sustenance of quality. Even though QA and QC are not similar, they have are highly interdependent. Evaluating their differences is rather difficult since a slim line separates the two concepts. In addition, some businesses take a single department to serve the role of both QA and QC, which further enhance the confusion between them.

Specific Differences between QA and QC

Quality Control (QC)

Quality Control (QC) is a system of routine technical actions to quantify performance process and regulate inventory quality in accordance to a given standard. Activities of QC help to assess an established work product and emphasize on determining defects of a product to improve it.

Therefore, it emphasizes on detecting and includes testing, which certifies that all quality standards are met. It is an inspection function and comprises of activities like calibration as well as analyzing check samples, in determining bias or precision related to sample outcomes.

It includes a procedure of routine testing of samples to determine whether they are reliable, accurate as well as precise in a test system. QC gives routine as well as regular checks to enable data integrity, comprehensiveness and accuracy. In addition, it helps to recognize and handle errors and omissions. QC assists to document as well as store inventories and records for the undertaken tasks (Mangino 8.4). It entails accuracy checks to implement standards for given measurements, calculations among others.

Quality assurance (QA)

QA is a process, which enables to enhance laboratorys consistency, competence and quality. It is defined by USEPA as the overall system of technical activities that measures the attributes and performance of a process, item or service against defined standards to verify that they meet the stated requirements established by the customer (MASSDEP pr.2). It focuses on technical activities. For instance, in analytical laboratories, QC entails a comparison of empirical evidence required by QA, to preset acceptance procedure.

It includes activities to warrant adequacy in process development and upkeep, for attainment of the appropriate goals. Therefore, it involves evaluation of a process to identify defects and enhance it. It focuses on preventing and includes training, audits, facilitation and reviews, which shows that a given entity is in accordance to quality standards. It is an audit function. It is identified by USEPA as

an integrated system of management activities involving planning, training, quality control, assessment, data review, reporting, and quality improvement to ensure that a process, item or service is of the type and quality needed and expected by the user. QA is a management function that deals with setting policy and running an administrative system of controls to ensure the usability of the product (e.g., data) (MASSDEP pr.5).

The definition is flexible and important to entities with different QA requirements. It could also be a written procedure that document information ranging from plan to processing and ultimate acceptance. Another party unfamiliar with the process can use it since procedures are outlined to predetermine quality.

It incorporates three procedures which include pre analytical, analytical & post analytical to determine efficacy of a laboratory guidelines and procedures (Webber & Wallace 14). Besides, it is essential in identifying problems in order to solve them and enhance accuracy in performance as well as tests reports. QA entails a procedural review plan, which is handled by individuals who have no direct link to compiling or developing inventory.

Third parties are often involved and evaluate the product inventory as a result of following QC procedures. The reviews evaluate the extent to which data quality was met. It also facilitates precise representation of inventories with regard to scientific skills and data in place. QA also helps in the efficiency of QC programme (Mangino 8.4).

QA/QC

QA/QC practice facilitates confidence in the data produced and applied by the department to enhance credibility for concerned parties as well as staff competence (Webber & Wallace 33). Both QA and QC are essential processes to ensure accuracy and consistency of laboratory testing.

The concepts have a close relationship although they vary to an extent. QA is a process approach for effective development, to ensure good quality. On the other hand, QC is a product approach, to determine if certain aspects are in accordance with quality standards where the right steps are undertaken following the outcome.

Before executing both QA and QC tasks, it is essential to identify the techniques to be applied. The choice of this should not only be practical but also technical. Practical considerations put into focus the national situation, which includes resource availability as well as expertise and specific traits of the inventory. QA/QC tasks have to be in line with methods applied to approximate figures for certain groups. The resources have to be streamlined on precedence areas.

Analysis and Interpretation

However, QC reviews every factor of production and focus on controls work, processes management, potential and integrity standards as well as records specifications. Moreover, competence is a key component of the process and entails acquaintance, expertise, experience and credentials.

QC pays attention to soft elements, which involve integrity, self-assurance, organization culture, enthusiasm and teamwork as well as quality dealings. The overall performance of the organization is compromised when these aspects are ignored. QC focuses on product testing to reveal defects. It also reports the flaws to the managerial team, who decide whether to permit or refute their release.

QA on the other hand, tries to progress a steady production and the connected processes, to limit problems which would compromise the quality. QC has the leading role in the renewal of government contracts with certain agencies. For project management, QC prompts the project manager and his team to scrutinize the attained work to facilitate its compliance with project standards. Projects ideally possess dedicated QC team that emphasize on the area (Besterfield 54).

QC encompasses various actions undertaken by a business to ensure quality in line with certain specifications. QC tests a process, product or service with regard to theses specifications and failure to comply with the production could be temporarily or even permanently ceased depending on the extent of the issue. People can also be covered by QC.

Employees are part of running the business and if they lack the necessary skills, cannot understand policies or have misinformation, quality could be compromised. Therefore, QC in relation to the employees emphasize on issues that can be corrected. QC is product oriented while QA is processes oriented and such a clear distinction is often confused by many people (Besterfield 35). Conversely, QA improves confidence since the process can be identified for flaws. QA is characterized by great paperwork, which consumes time.

It is often related to analytical laboratories. QA/QC is crucial in controlling permit submissions, creating fiscal documents and information implementation. For instance, agencies which control documentations on permits application require QA management plan to facilitate their reliable processing. A record manual recognize the documents needed for submission, the guidelines and filing needed to give consistency for people in the program specifications (Owen & Maidment 8).

Quality Management

This guarantees total quality in the business to award maximum customer satisfaction. It requires knowhow, dedication and efforts to pursue quality. The approach is essential to design, develop, manufacture, install or service as quality outcomes that would fulfill the client. The process of managing the stated tasks in various business departments is regarded as QC management. Many businesses have dedicated managerial teams as well as QA staff to manage the whole process.

Various reputed companies contain a good basis of management techniques that go a long way in facilitating business performance. The procedures have taken time to evolve to come up with planning measures in a specific time period, following a number of review processes. Applying the procedures aids the business to undertake a constant growing phase towards its ultimate success. Emerging businesses have as well assimilated the policies to sustain them in the competitive marketplace.

An effective QA management process requires planning quality policies by the quality department. It should identify these policies to sustain QC through documenting them and being distributed in the entire organization for employees to be aware of the range of performance. They should adhere to the stated policies for better performance and maintain ultimate quality within the business (TQAS pr. 3).

Nevertheless, this could be impeded when some employees fails to appreciate the policies and ignore to implement them in their duties. QA management personnel have to warrant uniform understanding for employees prior to the quality process. As a result, the business could see a need in upgrading apparent infrastructure when they have no potential to implement the policies.

Besides, there could be a need to train some of the employees to allow them to keep up to the stipulated quality standards. Following this, the business should engage in checks and audits of the quality policies to enable their implementation. The presentation of the quality policies has to be considered up to when the expected outcomes are reached.

The QA management personnel identify the policies, which fail to perform to either modify or correct them. Hence, periodic audits have to be performed to track the checks outcomes. The managerial teams should stipulate goals for the organization to pursue them. These goals have to be realistic in order to be attained. They should be flexible and modified as time goes by in order to strive towards perfection in quality (TQAS pr. 4).

QA/QC International Bodies

The International Organization for standardization (ISO)

The International Organization for standardization (ISO) set the Quality Management System (QMS) standards since nineteen eighty seven to a series dubbed ISO 9000:1987. They are applied in various organizations with regard to processes and tasks like design, manufacturing and service provision.

These standards are reviewed annually by ISO to draft other standards series such as the one drafted in nineteen ninety four, dubbed ISO 9000:1994 (Owen & Maidment 5). Another review of the standard was carried out in two thousand and eight and was dubbed the ISO 9000:2000 series, while the latest one is the ISO 9000:2009, which contain guidelines to enhance performance through quality management.

QMS stipulated by ISO has covered various industries as food and automotive to facilitate quality management. ISO series program offer standards to enable data documentation as well as audits for QMS. They ensure quality inventories and related agencies could find them timely to develop QA/QC plan (Mangino 8.7).

ISO 9004-1 contain guidelines on implementing a quality system while ISO 9004-4 directs on how to implement steady quality enhancement in an organization by applying techniques reliant on data gathering and analysis. ISO 100005 guides on preparation quality plans to control certain projects while ISO 10011-1 gives guidelines on how to audit a quality system.

Moreover, ISO 10011-2 guides on the requirement procedures for quality system auditors and ISO 10011-3 contain a guide on how to manage quality system audit programmes. ISO 10012 has a guide on calibrating systems as well as statistical controls to facilitate accurate measurements while ISO 10013 has guideline to develop quality manuals to encounter certain requirements (Mangino 8.7).

SGS Group

SGS Industrial services for instance pursue the needs of clients by awarding QA/QC inspection within the SGS Supply Chain Services. Its QA/QC focuses on quality for clients in relation to particular standards specifications. QC emphasize on real measurements, testing or supervision of producer Product by sample tests or inspection of each unit.

SGS QA/QC confirms materials, portions as well as finished product by conducting checks, audits, spectating and inspection. Material inspection follows QA procedures with regard to certain materials, operations and dealers QC system. The QA/QC is conducted entirely independent of the manufacturer and consumer (Webber & Wallace 47).

ANSI and JCAHO

A private nonprofit agency called The American National Standards Institute (ANSI) rules and supervises voluntary standardization and conformity evaluation system for every industry in the US. Currently, ANSI initiated the U.S ISO representative and stipulates international standards (Webber & Wallace 25).

Another international QA/QC body is the Joint Commission on Accreditation of Healthcare Organizations (JCAHO), which assess as well participate in the accreditation of hospitals as well as other healthcare bodies in the U.S. It is an independent nonprofit company, which emphasize on quality improvement and health safety, which is acquired from the healthcare facilities (Webber & Wallace 25).

Quality Control: Peer Review

Expert peer review entails calculations and assumptions review, a procedure attained by reviewing documents related to the techniques and results. It does not involve data certification which normal audits entails. The peer review enables that inventory outcomes, assumptions as well as methods are rational in accordance to the judgment of experts in the field.

Peer review process could entail technical intellectuals and incase a nation possess official stakeholder and public review machinery, it could complement rather than substitute expert peer review. Expert peer review lacks given standard tools and therefore, should be put into consideration in each case. Increased uncertainty linked to figure estimate, experts reviewing could give information to develop the estimate or have an improved measure of the uncertainty.

Expert peer review could track the entire source category to award their industrial expertise even when they are not directly being linked to the project. An efficient peer review entails recognizing as well as communicating to main industrial trade organizations linked with particular source category. Essentially, the expert input has to be pursued timely during inventory advance process for them to contribute from the beginning.

Therefore, relevant experts have to be involved to develop and review approaches as well as data acquisition. Their recommendations are essential in determining the extensive acceptance of the eventual inventory. The experts reviews have to be properly documented in a report format, which portrays the results and recommendations for further upgrading (Mangino 8.16).

Quality Assurance: Audits

Audits are important to determine the effectiveness of the inventory agencies in accordance to QC standards stated in the QC plan. The auditor has to be liberated of the inventory agency in order to give an impartial evaluation of the processes and data assessed. Audits are carried out when the inventory is being prepared, on prior inventory or after its preparation.

They help when new methods are embraced or when the existing ones have been altered considerably. Inventory agency has to come up with a plan of audits at a particular time during the inventory progress. Audits linked to first data, quantities, transcription, calculation and records has to be carried out. It helps to certify implementation of QC steps and that certain procedures have been adhered to in accordance to the QC plan (Mangino 8.16).

Recommendations

QC and QA is a necessity for organizations that produce medical apparatus, pharmaceuticals, food industry such as the coca cola company, cosmetic industries among others. QC software is essential since it enhance compliance and steadiness of organizations processes. QA and QC are put as software for approval of documents.

Introducing actual QC process in a business requires several procedures. It is necessary to market approval of the program from crucial stakeholders. Besides communication influence could be essential for a sponsor to articulate necessity for change and one with political control to attain compliance if necessary. Moreover, communicating the motive for change and the benefit it would fetch to the entire organization would be important.

Training employees for organization change would help them to embark on accurate and consistent tasks. QC should be hosted bit by bit, which could be achieved by establishing a pilot project that enables small changes to a portion of the process for determining the impact. When the outcomes are fascinating, they could be implemented for entire organization change. If otherwise the damage impacted is minimal and can be ignored (Webber & Wallace 11).

Therefore it is necessary to plan on improving processes in the business by evaluating the issues which undermine the quality of the products. Consequently, improvements should be made through enforcing minute changes to lessen disturbance of the process.

The production should then be checked for the outcome, to determine if a change was done and therefore, act on in the whole process. Inspecting production as part of QC ensures its conformity to customers needs in accordance to their specifications through comparison of the two. The process could however, be expensive particularly for high volume and less valuable products such as shirt buttons (Webber & Wallace 12).

Conclusions

Managing quality in a given project requires an understanding of given expectations of the clients. This is followed by having a proactive plan to rhyme with the expectations. This proactive plan is characterized by undertaking elements regarded as Quality control and quality assurance.

These concepts are very essential but they are vaguely understood by managers. QC focuses on the establishment of project deliverables. It is applied in the verifications of the deliverables to ensure that their quality is satisfactory, complete as well as correct. Peer reviews and testing comprises the QC tasks (Webber & Wallace 9).

Quality assurance focuses on procedures to form variables, which managers, clients or a third party could undertake. Project audits as well as checklists are some of the deliverables that QA entails. Auditing a project helps to evaluate the acceptance of its content (QC). The auditor is able to determine the acceptability with regard to the applied process on its creation (QA).

This is the reason as to why project auditors conduct QA review, even with no information on the particulars being delivered; I.e. they have no awareness of the project but are able to evaluate on its goodness. QC therefore, pays attention to the deliverable while QA on the process to form it. The two techniques are equally important and have to be carried out to make sure the deliverables are in line with clients needs (Besterfield 23).

Works Cited

Besterfield, Dale. Quality Control. Upper Saddle River, New Jersey: Pearson/Prentice Hall, 2009. Print.

Mangino, Joe. Quality Assurance and Quality Control. Good Practice Guidance, nd. Web. <https://www.ipcc-nggip.iges.or.jp/public/gp/english/8_QA-QC.pdf>

Massachusetts Department of Environmental Protection (MASSDEP). Quality Assurance/Quality Control Project. Boston, Massachusetts: Department of Environmental Protection, 2011. Web.

Owen, Fred, and Maidment Derek. Quality Assurance: A Guide to the Application of ISO 9001 to Process Plant Projects. Rugby, UK: Institution of Chemical Engineers, 1996. Print.

Total Quality Assurance Service (TQAS). Quality Control and Quality Assurance. 2011. Web.

Webber, Larry, and Wallace Michael. Quality Control for Dummies. Hoboken, NJ: Wiley Publishing Inc., 2006. Print.

Typing pool

Part a

This section will entail the construction of process control limits for a typing pool. The first stage entails computing the sample proportion for each of the values in the sample. The value is arrived at by dividing the number of defective items by the sample size. The sample proportion is presented in the table below.

The second step entails calculating the average of the sample proportion. The average is arrived at by dividing the total number of defective by the total number of observations in the sample. The calculations are shown below.

ṗ = 84 / 4800 or 0.21 / 12

= 0.0175

The third step entails calculating the standard deviation of the sample proportion. The formula for calculating the standard deviation is presented below.

Sp = √ [ṗ (1 – ṗ)] / n

= √ [0.0175(1 – 0.0175)] / 400

= √0.000042984375

= 0.006556

Upper control limit = p + 3 s_p

= 0.0175 + (3 * 0.006556)

= 0.0175 + 0.019669

= 0.03717

Lower control limit = p – 3 s_p

= 0.0175 – (3 * 0.006556)

= 0.0175 – 0.019669

= -0.002169

Therefore, the control limit for the p-chart lies between (0.002169) and 0.03717. This implies that if all the values of sample proportion fall within the range, then the process is considered to be in control. However, if some values lie outside the p-chart range, then the process is considered to be out of control.

P –control chart

The graph presented below shows the process control chart for the typing pool.

Thus, it can be noted that only one point (0.04) lies outside the control limit. It lies above the upper control limit. Thus, it can be concluded that the process is not in control. This implies a sample of 12 from 400 letters will yield only one defective.

Part b

The sample proportion for a sample of six from 400 letters is calculated as shown below.

ṗ = 6 / 400

= 0.015

From the previous calculations, the upper control limit was 0.03717 while the lower control limit was (0.002169). Thus, a value of 0.015 falls within the upper and lower control limits. This implies that the process will be in control when a sample of 6 letters is picked.

Question 2: Robin Hood Bank

This section will entail calculating control limits for the x-bar and R-chart for the bank.

Part a: control limits for x-bar and R-charts

Average daily demand deposit balance = $109 million (It represents the sample of all the sample averages.)

Average range = $15 million (It represents the average of all the sample ranges.)

X – Bar

Control limit (CL) = 109 million

The value of A₂ is read from a table. A section of the table for A₂ is presented below.

Therefore, from the table, the value of A₂ is 0.483.

Upper control limit (UCL) = 109 + 0.483 (15)

= 116.245 million

Lower control limit (LCL) = 109 – 0.483 (15)

= 101.755 million

Based on the calculation, the control limit for the x-bar lies between 101.755 million and 116.245 million. Thus, values that lie outside the x-bar control limit will make the entire process be out of control.

R – Chart

Control limit = 15

The values of D3 and D4 are read from a predetermined table. A section of the table is presented below.

Thus, the value of D3 and D4 are 0 and 2.004 respectively.

Upper control limit = 0 (15)

= 0

Lower control limit = 2.004 (15)

= 30.06 million

Based on the calculation, the control limit for the R-chart lies between 0 million and 30.06 million. Values that lie outside the range make the whole process to be out of control.

Part b: average and range

The calculation for the average demand deposits for the past six days is presented below.

= (110 + 102 + 96 + 87 + 115 + 106) / 6

= 616 / 6

= 102.67 million

The calculation for the range of the demand deposits for the past six days is presented below.

= 115 million – 87 million

= 28 million

The average of the sample of the past six days is 102.67 million. It lies within the upper and lower control limit for the X-bar. Further, the range of the sample collected in the past six days is 28 million. The range also lies within the upper and lower control limit for the R-chart. Thus, the management needs to continue with the production process because there is no alert for an assignable cause.

Question 3

α = 0.1 (all values are corrected to 2 decimal places)

α = 0.3

Thus, exponential smoothing with α = 0.3 provide better results than α = 0.1.

Introduction

Often, the terms QC and QA are used interchangeably in the wrong manner. QA is a term that has dominated the corporate industry and world for many years. It refers to the standard that something holds as compared to other things within the same scope (Baker, 2018). It may also refer to the degree or quality of excellence that may be needed to realize efficiency of a product. The critical focus of QA is on aspects such as processes, techniques, approaches, and planning within a specific field. On the other hand, QC may be a portion of the overall quality management scheme that emphasizes or realizes the quality requirements. While QA is based on how a technique is performed, QC focuses on the inspection attribute of quality management.

QC should not be regarded as the real alternative in typical quality management processes. However, it may be adopted to test the working efficiency of the adopted QA process. In the case of failure detection within the adopted QA process during the QC inspection test, it is clear that there was an error in the QA process being used (Baker, 2018). Therefore, there is usually a need for the QA processes to be reviewed to establish the cause of poor functioning. This paper aims to analyze the various vital roles that QA and QC play in the maintenance operation, focusing on aspects such as inspection, auditing, safety, and compliance.

History of QC and QA

Quality has been a focus in many industries from the early ages till now. When Hammurabi controlled Babylonia in ancient times, there were allusions to QC in the code he issued (Baker, 2018). The QC used to be as easy as drawing a picture of the intended object. Tolerance limitations were created around 1840 when manufacturers realized it was impractical and expensive to build items precisely like their portrayal; hence, a design would work provided its pieces were measured to be within limits (Z et al., 2019). As a result, tools like plug and ring gauges were used to quantify quality accurately.

Since the dawn of human civilization, people have sought to improve the quality of their products and services. From the standards for ancient Greek structures to the Egyptian pyramids, it can be traced back in time. The ideas of current QA, based on medieval guilds’ efforts to improve product quality, initially emerged in the late Middle Ages (Baker, 2018). In part, guilds were founded to ensure that the quality of specific crafts, such as blacksmithing, met the standards set by kings. Other guild leaders would check all goods to ensure the quality was upheld by the guild’s participants (Zio et al., 2019). It was also necessary to produce exceptional quality work before being considered an expert in a specific field. After the late 19th century, guilds mostly disappeared due to the Industrial Revolution, at least in part.

Aviation Perspectives on QA and QC

For different firms within the aviation industry, the idea of QC may appear to be irrelevant due to the lack of specific tangible products to be controlled or inspected. Similarly, QA in the aviation industry is regarded as an effective system that helps monitor and inspect procedures, programs, and aviation equipment to ensure state civil and ICAO aviation regulatory requirements are adhered to (Nsien, 2020). Both QA and QC provide essential background for inspecting the various aviation equipment, programs, and procedures to ensure that all maintenance in the aviation sector is undertaken correctly based on the manufacturer’s needs.

People may travel for both work and pleasure thanks to the convenience of commercial aviation. Aviation QA and QC are critical to fostering customer confidence and delight. Before delivery, it guarantees that the items or services meet the customer’s expectations (Zio et al., 2019). Flight Operations, Aircraft Maintenance (checks, repairs, and inspections), and employee training are all under the watchful eye of the QA department in the airline sector.

QA, QC, and Inspection

To determine whether or not a product or service meets specified standards, inspectors measure, examine, and test the product or service in question. Products, processes, and many other results can be reviewed to ensure that the product or service being produced or given is proper and satisfies the requirements (Nsien, 2020). QA plays a vital role in the inspection of the airlines in the aviation industry. Usually, aviation firms deploy a QA Inspector tasked with inspecting aircraft, thus ensuring that there is the maintenance of procedures and aiding in the air navigation processes within the aviation sector (Baker, 2018). Additionally, QA is significant in maintaining traffic controls and communication tools to realize conformance with the regulated rules by the federal safety regulatory body.

The aviation sector requires a QCl strategy that includes external and internal inspections. QC in aviation primarily focuses on monitoring the organization’s operation while testing the resulting products and equipment (Nsien, 2020). This aims at realizing compliance with the needs of the customers. Often, aviation industries deploy an Aircraft QC inspector who is tasked with inspecting the different systems and components of the aircraft (Zio et al., 2019). Suppose they need to find out what has to be repaired. In that case, they may conduct functional inspections, verify that all repair work is done under safety regulations, and calibrate their inspection instruments to the necessary standards.

QA, QC, and Auditing Functions

It is part of the QA process to conduct audits. It is critical to assure quality since it is used to compare factual circumstances with requirements and to communicate those results to management within the aviation industry. Aviation organizations are now guided and regulated by formal management systems (Nsien, 2020). For example, quality management systems (QMSs) can also include management or environmental systems (Zio et al., 2019). An ACA Quality Audit is a planned and formal assessment to determine whether or not the aviation processes, policies, procedures, and contractual obligations are in accordance with ACA’s quality standards. Internal ACA operations, as well as contract service provider activities, are the focus of quality audits.

The QA role includes auditing. In order to assure quality in the aviation sector, it is necessary to compare factual circumstances to requirements and report those results to management. The notion of QA auditing is frequently utilized in internal, external, and customer audits to measure the level of QA in the aviation industry. Effective QA auditing relies heavily on ensuring procedures are in line with established standards. QA is vital in the aviation sector as it helps to realize compliance risk management and provides consistent advancement for the adopted auditing plan.

QA, QC, Safety, and Compliance

QA covers all aspects of aviation QC, from equipment and systems inspection to process audits to guarantee compliance to all ICAO and state-level civil aviation regulation bodies’ standard criteria, thus ensuring safety. The Aerospace industry has always had to demonstrate a high degree of safety and quality to compete in today’s marketplace (Baker, 2018). Providing high-quality products is essential to consumer pleasure, and if quality falters, there might be profound implications. QA’s aviation safety services include research, education, and the design of aircraft and aviation infrastructure to reduce aviation accidents and mishaps.

On the other hand,QC, compliance, and safety are intertwined in the aviation sector. Aviation QA safety and compliance are critical to foster consumer confidence and delight. Pre-delivery checks verify that the items or services meet the customer’s expectations. The aerospace industry has always had to show that it complies with FAA and ACA regulations regarding safety and quality (Zio et al., 2019). Customer satisfaction is dependent on the timely delivery of high-quality items, and if quality falters, there can be profound implications.

Conclusion

In conclusion, the paper has analyzed the various vital roles that QA and QC play in the maintenance operation, focusing on aspects such as inspection, auditing, safety, and compliance. In a review, QA is necessary for aircraft inspection, thus ensuring that there is the maintenance of procedures and aiding in the air navigation processes. At the same time, QC helps in monitoring the operation within the organization while testing the physical conditions of the resulting products and equipment. Additionally, An ACA QA and QC Audit is a planned and formal assessment to determine whether or not the aviation processes, policies, procedures, and contractual obligations are in accordance with ACA’s quality standards. QA and QC procedures are also essential in maintaining safety and compliance of the aviation practices to the FAA and ACA policies.

References

Baker, B. (2018). Project quality management practice & theory.American Journal of Management, 18(3), 10-17. Web.

Zio, E., Fan, M., Zeng, Z., & Kang, R (2019). Application of reliability technologies in civil aviation: Lessons learned and perspectives.Chinese Journal of Aeronautics, 32(1), 143-158. Web.

Nsien, C. B. (2020). TQM and the Role of Customers’ Orientation in Organizational Performance.FULafia Journal of Social Sciences, 3(4), 119-133. Web.

Executive Summary

This section has covered core organizational competencies and functions for GAH. They include professionalism, evidence-based practices, effective communication, patient safety, patient-centered approaches and quality improvement. GAH shall ensure that it meets its core objective of providing safe and beneficial healthcare to the elderly. The facility will review its performances regularly to ensure that it meets its core objective. GAH management and staff shall demonstrate core competencies in leadership, teamwork and collaboration, communication and professionalism.

GAH will operate under HIPAA ethical guidelines. In this regard, the organization shall strive to promote patients’ confidentiality, privacy and rights by protecting data. It will seek legal guidance on controversial issues about HIPAA guidelines. GAH will adopt IT system components to facilitate information sharing within and between different units. The facility recognizes that data transmitted through IT components require protection from potential unauthorized access.

Overall, GAH will strive to meet all its core competencies, ethical standards and deploy IT systems to facilitate communication among various stakeholders.

Quality Control and Accreditation

Core organizational competencies and functions

Professionalism

GAH shall show high standards of accountability in evidence-based nursing practice. The facility will assess its internal practices to ensure that they are consistent with the legal and regulatory requirements, ethical and moral obligations, altruistic and humanistic principles.

Evidence-Based Practice (EBP)

GAH will identify, assess and integrate best practices and current research findings in care provisions for the elderly in Mission Viejo (Hughes, 2008). This will take into account patients’ preferences and values to ensure quality services and patient quality outcomes.

Communication

GAH will strive to facilitate effective communication between stakeholders. This would enhance mutual respect, shared decision-making processes, reduce risks to patients and facilitate care provision (Kavaler, 2012).

Safety

The facility will rely on clinically beneficial reasoning and thinking to develop a culture of safety for seniors. This will reduce risks associated with long-term care services (Kalra, 2011).

Patient-Centered Care

GAH will foster patient-centered care through communication and collaboration with the patient and families. This approach will facilitate discussions, decision-making, respect for values, patients’ preferences and needs. It will account for patients’ age and cultural orientations to meet their unique needs and ensure effective care.

Quality Improvement

GAH is aware of the impacts of evidence-based nursing practices on patients’ outcomes. Consequently, the facility will use evidence-based outcomes to improve care provision to the senior citizens (Healy, 2011). It will also conduct regular studies and use outcomes to improve safety and quality of care to patients.

Goal/objective for the core organizational competencies

The main objective of all these core competencies and functions is to improve geriatrics care. Consequently, they will account for unique physical, cultural, psychosocial and social characteristics of all senior patients. GAH will aim to promote healthy aging and offer safe and beneficial care to seniors.

A control method/scoreboard to be implemented at GAH to ensure that said core competencies and functions meet their goals and objectives

GAH will develop a Competency Assessment Tool to evaluate achievements of the core competencies and objectives. The following standards will determine the Competency Levels at the facility.

• Excel level would show that the organization has met its competencies and functions in a given area. This performance will serve as the benchmark and model for the department.
• Meet standard requirements

Achievements for the rating would be above the ‘Acceptable’ rating. These ratings shall indicate strong contribution to GAH’s competencies and functions in care provision for the elderly.

• Require improvement

Organizational achievements in core competencies and functions do not meet the set standards. GAH must formulate strategies for improving performance in identified areas.

• Not acceptable

This will indicate the worst achievement in the core competencies and functions. The rating will indicate a lack of attachment or relationships to any given core competencies and functions.

GAH shall evaluate achievement of core competencies and functions at the levels of care providers, managers and organizational.

The evaluation procedure shall involve the following steps.

• Evaluation of job performance against the set objectives as a part of performance management process
• The organizational shall review all core competencies and functions to determine if they are relevant to the overall objective and goal. While there are a number of core competencies and functions, GAH will concentrate on the major ones with maximum impacts. All stakeholders will identify the most relevant core competencies and functions.
• GAH will assess indicators to identify core competencies and functions, which it has achieved and have contributed to the overall objective.
• All care providers and managers will indicate how they have contributed to core competencies and functions on a consistent basis under different conditions.
• Managers must review performances against the objectives and core competencies and functions. Performance assessment will be critical in this process.
• GAH shall review performances against short-term goals. The organization will identify critical areas of improvement for immediate improvement.
• Care providers and managers must agree on these specific short-term goals and identified improvement goals.
• For any identified areas for improvement, GAH will define core competency and function requirements, training and learning needs, expected outcomes, potential benefits and date of implementation.

GAH will conduct assessments to review outcomes. For instance, the organization will focus on performance improvement to achieve it core competencies and functions. In this context, GAH will encourage staff to participate in self-assessment so that they can identify areas of strengths and weakness relative to core competencies and functions. AH shall use the outcomes to inform the improvement of performance objectives and show how personnel can improve their performance against objectives. In addition, GAH’s employees will use outcomes to identify areas in which they need personal improvement. For instance, GAH may decide to review the communication competency among all stakeholders and identify areas, which require immediate attention.

Major competencies from management and staff when seeking JCAHO accreditation

Leadership

JCAHO requires healthcare facilities to demonstrate competent leadership. Leadership shall foster accountability, change management and partnership with other stakeholders in the healthcare sector. Thus, the GAH management team must demonstrate leadership skills that are necessary for running a long-term care organization (Greiner and Knebel, 2003; Kutsch, 2007).

Teamwork and Collaboration

The GAH management team will build effective relationships and promote open communications with all stakeholders in the health sector. This will foster shared decision-making in the organization. The team will act with integrity and in a consistent manner as it seeks to accommodate diverse opinions.

Communication

Nurses should be able to communicate effectively by using different modes, such as written, verbal and electronic.

Professionalism

Nurses must demonstrate professionalism when handling patients and other stakeholders.

The ethical requirements under HIPAA

Healthcare provision has become complex and requires effective regulations. Patients’ data pass from physicians, service providers to patients too. The industry is complex because of various relationships. This practice exposes individuals’ privacy to others and raises issues of ethical concerns (Pozgar, 2012; Jonsen, Siegler & Winslade, 2010). Hence, there is a need to protect patients’ data, their privacy and rights through the ‘Privacy Rule’ or the HIPAA.

GAH shall observe the privacy notice and the written consent required of patients. While these requirements may present ethical dilemma, GAH shall seek legal interpretation in case of any difficulties (Stiller and Weinstock, 2006).

The facility will maintain patient autonomy during decision-making processes and interaction with other care providers.

The organization will also adhere to the principle of the ‘minimum necessary’ patients’ data when handling healthcare transactions. In this respect, GAH will develop and implement the ‘minimum necessary’ procedures and guidelines within its units (Schubert, 2011).

While some of the requirements under HIPAA may be difficult to discern, GAH will act with the best interest of the patient and promote ethical standards. This will be critical in emergency cases, when the patient is not available to make independent decisions or physicians are unable to provide a privacy notice.

Students and other professionals at the care facility will only gain access to data they would be allowed to use for education purposes. GAH shall define the extent to which students and other professionals can handle patients’ information. The organization shall not allow any usages of patients’ data beyond the recommended usages.

GAH has recognized efficiency that the information system has brought about in the health sector. At the same time, the facility also recognizes HIPAA requirements under the use of technology to pass patients’ information. GAH will ensure that all patients’ electronic data are safe and confidential, and it will uphold patients’ privacy and rights.

The major components of an IT system that can best provide for the communication needs within and between health facility units

GAH will focus on the three components of the healthcare information infrastructure. These will include components for managing healthcare data, critical clinical packages, and information communication platforms (Reid, Compton, Grossman and Fanjiang, 2005). These components may support decision-making, act as sources of medical knowledge and transfer information on a real-time basis (Coiera, 2006).

GAH shall foster the delivery of quality healthcare by using information systems, particularly when handling highly fragmented units. These units require physicians and their patients to gain complete access to information and decision-support systems (Reid et al., 2005). Therefore, communication among stakeholders in GAH will be highly effective.

The IT system will allow patients and nurses to communicate effectively and improve service provisions. GAH will consider five critical factors when planning and implementing its IT components. These shall include high-speed Internet connection and availability; safety and privacy of the transferred information; reliability of the network systems; data confidentiality; and constant access of the network at any given location.

Conclusion and Recommendations

GAH’s core competencies and functions shall include professionalism, evidence-based practices, effective communication, patient safety, patient-centered approaches and quality improvement. These core competencies and functions will aim to promote healthy aging and offer safe and beneficial care to seniors. GAH shall review its performance to ensure that it realizes its main objective of promoting healthy aging and beneficial healthcare to older patients. Therefore, GAH will adopt IT systems and ethical standards as defined by HIPAA and meet JCAHO accreditation requirements to provide effective care for seniors.

References

Coiera, E. (2006). Communication Systems in Healthcare. Clinical Biochemist Reviews, 27(2), 89–98.

Greiner, A. C., and Knebel, E. (Eds). (2003). Agency for Healthcare Research and Quality. Washington, DC: Institute of Medicine.

Healy, J. (2011). Improving health care safety and quality: Reluctant regulators. Burlington, VT: Ashgate Publishing, Ltd.

Hughes, R. G. (2008). Patient Safety and Quality: An Evidence-Based Handbook for Nurses. Rockville, MD: Agency for Healthcare Research and Quality.

Jonsen, A.R., Siegler, M., & Winslade, W.J. (2010). Clinical Ethics: A Practical Approach to Ethical Decisions in Clinical Medicine (7th ed.). New York: McGraw-Hill.

Kalra, J. (2011). Medical errors and patient safety: Strategies to reduce and disclose medical errors and improve patient safety. New York, NY: Walter de Gruyter.

Kavaler, F. (2012). Risk management in health care institutions. Burlington, MA: Jones & Bartlett Publishers.

Kutsch, V. (2007). Caries risk assessment: Becoming the standard of care? Inside Dent, 4, 32-36.

Pozgar, G. (2012). Legal and ethical issues in healthcare (3rd ed.). Burlington, MA: Jones & Bartlett Learning.

Reid, P., Compton, D., Grossman, J., and Fanjiang, G. (Eds.). (2005). Building a Better Delivery System. Washington, DC: National Academies Press.

Schubert, F. A. (2011). Introduction to law and the legal system. Boston, MA: Wadsworth Cengage Learning.

Stiller, J., and Weinstock, J. L. (2006). Introduction to Health Law. Web.

Defend photolysis as an aspect of Photochemical oxidation and its impact on environmental air quality

Photochemical oxidant arrangement alludes to a phenomenon that happens under certain air conditions when toxins are available. A typical case is a photochemical exhaust cloud, which is brought on by hydrocarbons and NOx responding to the inducted UV light. The photochemical oxidation includes the utilization of intense yet moderately nonselective transient oxidizing species, essentially the hydroxyl radical (OH) and singlet oxygen, which can be created by photochemical means. Photochemical oxidation processes include vacuum bright (VUV) photolysis; which can be used as water, air, and solid treatment technique.

A decrease in air quality (from the nearness of contaminations in the air) plays a noteworthy part in both ecological and human well-being. Poor air quality can prompt numerous antagonistic results, for example, corrosive rain, and respiratory infection. Thus, it is perceived that increments in centralizations of tropospheric ozone and destructive substances produced from ozone have been a concern to human well-being and, also, to nature, especially on plants. Thus, photochemical oxidation has a huge impact on air quality as it provides the platform for pollution control. Photochemical oxidant arrangement alludes to a phenomenon that happens under certain air conditions when toxins are available. Photochemical oxidation is optional air contamination, otherwise called summer brown haze (Godish, Davis, & Fu, 2014).

Identify the four main categories of hydrocarbon pollutants and discuss their impact on air quality

Polycyclic sweet-smelling hydrocarbons (PAHs) are natural exacerbates that are drab, white, or light yellow solids. They are a pervasive gathering of related mixes, ecologically diligent with different structures and poisonous quality. They affect living beings through different activities. PAHs enter nature through different courses and are found as a blend containing at least two of these mixes. The mechanism of harmfulness is the impedance with the capacity of cell films and the protein frameworks, which are related to the membrane. Some PAHs in the earth start from regular sources, for example, open combustion, oil spills, or drainage of oil or coal stores, and volcanic exercises.

Other sources of PAHs incorporate private warming, coal gasification, condensing plants, carbon dark, coal-tar pitch, aluminum, reactant breaking towers, related exercises in oil refineries, vehicle and engine fumes. Other categories of hydrocarbon pollutants include unsaturated, saturated, and aliphatic hydrocarbons. VOCs are chemicals containing hydrogen, carbon, and potentially different components that dissipate effortlessly. VOCs are natural substances whose configuration makes it feasible for them to vanish under typical indoor climatic conditions of temperature and pressure. Hydrocarbons and different VOCs add to the development of ozone by expanding the measure of nitric dioxide noticeable all around, which then joins with oxygen particles to create nitrogen and ozone.

Explain how the natural pollutants of radon and biological contaminants could potentially be found in residential dwellings or business buildings in rural portions of the United States, as well as under-developed third-world countries

Radon is a thick, boring, unscented gas that happens actually in the dirt as the result of the radioactive rot of radium. Radon is a rotten result of uranium and thorium, which are found in the Earth’s covering. Radon has an assortment of sources, including uranium, and contains rocks like stone, shale, phosphate shake, and pitchblende. The odorless pollutant moves from one location to another using air and water as transport agents. The sources of the pollutant include residential buildings and organizations. Because of its overwhelming thickness, radon glides from a higher elevation and is found in the cellars of structures (Godish et al., 2014). Houses without cross-ventilation are sources of indoor pollution because the atmospheric conditions support gaseous reactions that affect air quality. Some indoor air contaminations cause hypersensitive responses and respiratory diseases. Others can be deadly and are imperceptible and hard to identify without unique tests and gear. Radon levels can be tried through various access measures. Radon causes the lungs to decay, discharging alpha, and beta particles that can harm the cell DNA and result in malignancy. By implication, the substance contaminates air and water concentrations, thereby affecting air quality and ecosystems (Godish et al., 2014).

Explain VOC and SVOC and discuss their potential sources as related to indoor air quality

VOCs are natural substances whose configuration makes it feasible for them to vanish under typical indoor climatic conditions of temperature and pressure. Semi-volatile natural mixes (SVOCs) are a subdivision of VOCs that tend to have a higher sub-atomic weight and higher breaking point temperature than different VOCs. Individuals are presented to SVOCs using numerous courses. The higher the unpredictability (bring down the breaking point), the more probable the compound will be discharged from an item or surface into the air. Exceptionally unstable natural mixes are volatile to the point that they are hard to gauge and are discovered completely as gasses noticeable all around as opposed to surface materials. VOCs are chemicals containing hydrogen, carbon, and potentially different components that dissipate effortlessly. Hydrocarbons and different VOCs add to the development of ozone by expanding the measure of nitric dioxide noticeable all around, which then joins with oxygen particles to create nitrogen and ozone. Thus, hydrocarbons and their constituents affect air quality in various ways. The emission of gasses from combustion engines, oil spillage, and waste materials from industrial plans affects the atmospheric quality of a particular location (Godish et al., 2014). By implication, an effective dispersion technique will improve air quality.

Explain the phenomena of Phyototoxicity as it relates to poor air quality

Phototoxicity is a harmful impact of a compound on plant growth. Such harm might be brought about by a wide assortment of mixes, including following metals, saltiness, pesticides, and phytotoxins. Certain bug spray cause plant harm called the phytotoxic response. Pesticide names typically specify delicate plant species and cultivars. Nonetheless, most plant postings with item names are not authoritative and take into account these items to be utilized on plants. Plants are more delicate to pesticides after fruiting, and foliar showers ought to maintain a strategic distance from during flowering.

Amid blossom, the cautious utilization of smokes or certain airborne items might be ideal in the nursery. Air contaminations, for example, ozone, sulfur dioxide, nitrogen mixes, influence air quality in various forms. Vaporous air contaminations enter plants primarily through the stomata. The phenomena of phototoxicity rely on their successful measurement that corresponds to the contamination of encompassing fixation and plant conductance. Instruments of air contamination quality are overwhelming and rely on different physiological and biochemical properties of plants. Physiological reactions of woodland plants to air contamination stress can be changed by different biotic and abiotic variables. Herbicides are intended to execute plants and are utilized to control undesirable plants, for example, rural weeds.

Summarize the published ecological impacts of atmospheric deposition on affected ecological systems

Extensive progress has been made in diminishing the release of barometrical contaminations from effluent funnels. A more troublesome test includes distinguishing and controlling ecological contaminants produced by scattered or nonpoint sources, for example, car fumes, pesticide applications, and mechanical procedures. Nonpoint contaminations can travel from their sources when they are released into waterways or enter the air. While waterborne toxins have established rising consideration, little acknowledgment has been accorded to the environmental consequences of dangerous substances and supplements that are transported through the air. Barometrically kept contaminants are created by human exercises, and diminishing the degree and effects of this ecological contamination will require more prominent acknowledgment, observing, and, direction.

The poisons that exhibit environmental dangers are those that are bio-accumulative, developing to abnormal states in plant tissues. Atmosphere-water connections that control the information of industrious natural contaminations in amphibian frameworks are vital in deciding the cycling and living arrangement times of these mixes and the degree of pollution of nourishment networks. Although the impacts of different sorts of poisons are generally assessed autonomously, numerous locations are liable to various contaminations, and their destiny and effects are interwoven. The impacts of supplement deposition on beachfront waters can modify how different natural contaminants and mercury are handled and bio-accumulated, and how they influence ecological systems.

Discuss the six featured dispersion models and the structural basis for each. Select one dispersion model to fully describe in detail while including an appropriate scenario for using that select dispersion model in the industry

The six dispersion models include the Box model, Gaussian model, Lagrangian model, Computational fluid model, AURORA, and OSPM models. Box models depend on the preservation of mass. The site is treated as a crate into which contaminations are radiated and experience synthetic and physical procedures. It requires the contribution of basic meteorology, discharges, and the development of contaminations within the confined box. Gaussian dispersion models are utilized as a part of the environmental dispersion procedure for administrative purposes. The model depends on a Gaussian dispersion of the tuft in the vertical and level headings under relentless conditions. The circulation of the tuft is changed at separations because of the impacts of turbulent reflection from the surface of the earth and at the limit layer when the blending stature is low. Lagrangian models characterize an area of air as a box containing an underlying group of toxins. Computational liquid dynamic (CFD) models give a complex investigation of the liquid stream given the protection of mass and energy by settling the Navier-Stokes condition utilizing a limited distinction and limited volume techniques in three measurements.

AURORA is an incorporated air quality model that has been utilized to show the convergence of dormant and receptive gasses and particles in an urban condition. The model uses an unfaltering state box to compute the poison concentration inside a road gorge. OSPM is a semi-experimental model that uses a Gaussian crest condition to infer the coordinate commitment from the source and a crate model to ascertain the impact of turbulence on the concentrations.

Summarize the role that atmosphere conditions of wind speed, temperature, and stability potentially impact plume modeling activities with a Gaussian model

The convergence of air contamination at a given place is a component of various factors, including the outflow rate, the separation of the receptor from the source, and the climatic conditions. If the temperature diminishes with stature at a rate higher than the adiabatic pass rate, the air is in temperamental harmony, and vertical movements are improved (Godish et al., 2014). As a result, it maintains the contamination status or powerless at ground level. Nevertheless, if the temperature diminishes with stature at a rate lower than the adiabatic pass rate (stable climate) or increments with tallness (reversal), vertical movements are diminished or damped. This will prompt a high contamination level (Godish et al., 2014).

Climatic air quality models are used to evaluate exactly how much decrease has happened amid the vehicle of contamination from a source and contamination fixation at ground level. Dispersion models generally join meteorological, landscape, physical, and synthetic qualities of the source configuration to reproduce the development and transport of poison tufts. Gaussian dispersion models are utilized as a part of the environmental dispersion procedure for administrative purposes. The model depends on a Gaussian dispersion of the tuft in the vertical and level headings under relentless conditions (Godish et al., 2014).

References

Godish, T., Davis, W. T., & Fu, J. S. (2015). Air quality (5th ed.). Boca Raton, FL: CRC Press.

Abstract

In the present city life, the quality of air in the indoor setting has a substantial effect on individual’s fitness and well-being. Conventionally, determinations to manage air quality in the indoor setting have focused on the deterrence of work-related illnesses in industrial constructions. The connection between precise air contaminants like as asbestos and the occurrence of specific illnesses is well documented. In the non- manufacturing interior setting, the health hazards related to some definite contaminants like formaldehyde and smoking are also established. The article below focuses on indoor air quality control.

Introduction

Unlike in the past centuries, most people spend most of their time in the indoor environment (Pepper & Carrington, 2009). In this respect, poor indoor air quality may cause uneasiness, health problems, nonattendance, and reduced output. On the other hand, enhanced indoor air quality protects the health of the residents and adds value to their well-being. Compared with out-of-door air pollution, indoor air pollution has not received the much-needed attention. However, with increased urbanization the issue has now become a subject of growing public distress. The issue has been provoked partially by the appearance of new indoor air contaminants and the separation of the indoor setting from the usual outdoor setting in well-closed office structures.

With respect to an administrative perspective, indoor air quality is a multifaceted issue. The available options to be taken into deliberation and approaches necessary to uphold decent indoor air quality traverse a range of disciplines. The disciplines include community health, work-related hygiene, work practice, engineering principles, and government departmental accountabilities. Air circulation systems and a number of other aspects influencing indoor air quality are now subject to regulation. Equally, indoor air quality is focused on community health requirements of guidelines and decrees covering specific kinds of public structures. In the UAE, the necessary authorities have introduced statutes to address the subject (Pepper & Carrington, 2009). Nevertheless, it is widely accepted that self-regulation is the best and operative approach of addressing the above issues given the intricacies and reservations that surround the legislations.

Background

The use of the word IAQ is comparatively new (Parker, 2009). However, it should be noted that the issues linked with deprived indoor air quality have been witnessed from time immemorial. It is estimated that the issue arose when human beings began constructing accommodations to guard themselves from wild animals and severe climate conditions. Unlike it is today, in the past funds and considerations have been centered on managing air pollution in the outdoor setting. The expansion of investigation into indoor air quality only arose in the 1970s. The investigations were prompted by the necessity to comprehend and avert work-related illnesses in the industrial workstations. Ever since then, an increasing communal concern has been witnessed with respect to the effect of indoor contaminants in non-industrial constructions. The concern follows an increase in public exposure to indoor air in workplaces and alterations in construction expertise and design. In non-industrial buildings, the possible causes of such air contaminants have increased. Constituents and entities that may release air-polluting matters include:

• Contemporary office tools like computers, high-capacity photocopiers, laser printers, photographic processing kit
• Synthetic building materials like formaldehyde emitting particle boards, glues using organic solvents
• A wide range of plastic constituents
• Chemical based cleaning agents
• Sources outdoor like vehicle exhausts and chimneys

Nevertheless, alterations in construction design, tools, and office disposable only offer a part of the clarification why workplace air quality has turned into such an important public subject. The additional clarification is the growth of office working in the UAE. Because of progress in the service segment, a bulk of our labor force is currently working indoors. The above development and the huge amount of time that individuals consume indoors have augmented the societal and economic significance of decent indoor air quality.

Inquiries have indicated that if deprived indoor setting jeopardizes fitness and comfort of employees their output will also be compromised (Nathanson, 2013). Increased nonattendance, more sick leaves being booked, poor employee efficiency, and increased turnover will be common in an office with the deprived indoor setting. It is projected that corporations lose 13 to 16 minutes for each worker everyday owing to deprived indoor air quality (Nathanson, 2013). Other than expenses to individual companies through misplaced output, deprived indoor air quality causes needless expenses on the society through direct health expenditures.

A different research averaged that the entire financial expenses, comprising of direct health expenditures and output losses owing to major diseases, of deprived indoor air quality ranges from $ 4.70 to 5.40 billion yearly (Nathanson, 2013). The above is likely to be an underrated value because the estimate does not factor in the price of any harm to construction resources and tools owing to poor air quality. For the property executives, enlarged energy expenditures from indoor air quality enhancements are counterbalanced by less nonattendance and enhanced output. The increased cost is also compensated by less liability contact and enhanced competitiveness in the property market. As indicated in the appendix, below is a graph of cities with very bad and very good indoor air quality.

Approaches and methodologies

To attain satisfactory indoor air quality, certain conditions must be considered at each phase of a construction’s life. The conditions range from design and erection to operation and repairs. A suitable design and selection of building resources and merchandise, which have little releases of contaminants are one of the best operative means to guarantee acceptable indoor air quality. Thus, architects have a vital and direct influence on indoor air quality by enhancing the design of buildings. Design of a construction plays an important part in decreasing the probability for vapor buildup and decreasing air penetration. In warm and humid regions, there are higher chances that air and vapor incoming through gaps in the structure envelopes will enhance condensation and bacterial growth. From an indoor air quality viewpoint, it is vital to have a firmly closed structure with an unbroken and robust air barricade system. Entrances facing automobile parks or other springs of contamination could pollute the interior air. Thus, it is prudent to encompass lift foyers in car parks in the workplace or other constructions with self-closing, well- closed entrances. In addition, water source, water pipes, effluent systems, and supplementary fittings should be properly installed to reduce the risk of seepages.

Construction and furnishing tools may be causes of indoor air contaminants. To realize indoor air quality objectives, construction designers should restrict the usage of high discharging construction and furnishing tools. Materials with the lesser emission amounts should be used so long as they satisfy all pertinent legal requirements. When selecting and mounting tools such as a photographic processing kit and gas appliances, construction managers should ensure that detailed contamination controls like fitted gas filters are installed properly. Similarly, they should ensure that the appliances conform to suitable emission standards as stipulated by the regulations. The endorsed emission proportions for office appliances in accordance with the regulations are captured in the table below.

Table 1: endorsed emission proportions for office appliances

Decent arrangement of building uses and interior design may also aid in stopping numerous needless indoor air quality difficulties. For instance, mixed-use constructions characterized by increased pollutant emissions should be situated in places far away from residential areas. Likewise, accomplishments like voluminous photocopying ought to be situated in areas distant from busy offices to lessen the effect of particles and chemicals on the occupiers. The apportioning of the design might influence the efficiency of air circulation leading to stationary zones with deprived air quality.

With respect to mechanical ventilation and air-conditioning system, MVAC, installations of suitable and accurately designed air circulation systems are the best operative approaches for realizing decent indoor air quality. Constructions are usually fitted with mechanical ventilation systems to bring in and diffuse fresh air. In these constructions, several aspects influence the suitability and the worth of the air delivered by the system. Some of the facets are as follows:

• The worth of outdoor air
• The fresh air intake
• Air filters, and cleaners
• Siting on ventilation equipment
• Recirculation
• Variable air volume system controls
• Ventilation controls
• Ventilation of pollution-emitting activities
• Ventilation rates

To enhance indoor air quality and protect the ventilation apparatus, out-of-doors air and re-circulated inside air needs to be sifted to eliminate filth, microorganisms, pollens, flies, smoke, and other contaminant elements prior the air entering the MVAC system. Therefore, air-cleaning apparatuses should be assimilated into the system. Equally, MVAC systems of exact zone ought to be on as long as the zone is occupied. It is also a decent habit to power the system before the occupiers arrive to reduce the impacts of accrued contaminants over vacant periods. For office block or capacities that are predominantly susceptible to condensation and bacterial growth ventilation apparatuses may need to stay in operation throughout prolonged uninhabited periods. An inclusive maintenance regime should be instituted to guarantee that the ventilation system operates as it is intended. The above will require regular review of the numerous mechanisms, confirmation of pressure relations, and regulation of tools as necessary.

Likewise, key renovation works ought to be banned during usual working hours if possible. Through this approach, the chances of the occupants being exposed to the contaminants will be reduced. If the above is not practicable, the area to be refurbished should be well secluded to ensure that cross pollution of the working areas by filth and other poisonous matters is reduced. If needed, supply air to the refurbished and working areas should be detached. Usage of noxious materials such paints should be undertaken after the end of the usual working hours.

The use of pesticides in buildings is another source of poor indoor air quality. Pesticides comprise of substances that can have severe impacts on human health. As such, misapplication of insecticides is a common source of indoor air quality grievances. The necessity to apply pesticides in constructions should be reduced whenever possible. Sealing and covering fissures and enhancing hygiene and waste management will prevent pest infestation. If it is essential to use insecticides, administrators must abide by the rule of conduct issued by the pest control regulators in the UAE. Pesticide application should be undertaken outside usual working hours. Dwellers in parts to be fumigated must be informed earlier to shun any needless contact. Pesticides must be sprayed in directed locations. Similarly, the building administrator or other individual who is in charge of the pest control operations should have knowledge of the chemical characteristics and the possible health threats of all pesticide merchandises used.

Housekeeping is another significant aspect in avoiding indoor air quality glitches. The approach keeps dust intensities down and eliminates dust that could otherwise become causes of pollution. The cleaning program should be organized based on residence patterns and movement levels. Everyday washing of surfaces and vacuuming of floorings is prudent for parts experiencing great traffic. The above areas comprise of most workplace areas and public spaces. Mostly, cleaning agents releasing fumes with strong smells should be avoided. If necessary, the chemicals should be used outside usual occupied hours.

Lastly, tobacco smoking should be prohibited in offices and other public spaces. In offices and public spaces, special smoking zones should be created. The smoking zones should not face directly at the building entrances to achieve minimum indoor air contamination.

Conclusion

In conclusion, it should be noted that in the present city life the quality of air in the indoor setting has a substantial effect on individuals’ fitness and well-being. Unlike in the past centuries, most people spend most of their time in the indoor environment. In this respect, poor indoor air quality may cause uneasiness, health problems, nonattendance, and reduced output. On the other hand, enhanced indoor air quality protects the health of the residents and adds value to their well-being. Related to out-of-door air pollution, indoor air pollution has not been taken with seriousness in the past.. Conventionally, determinations to manage air quality in the indoor setting have focused on the deterrence of work-related illnesses in industrial constructions. To attain satisfactory indoor air quality, certain conditions must be considered at each phase of a construction’s life.

The conditions range from design and erection to operation and repairs. Approaches to endorse decent air quality and stop indoor air contamination hitches should be created and executed in the following areas, building design and construction, building uses and layout mechanical ventilation & air-conditioning, renovation works, pest control, housekeeping and cleaning, and tobacco smoking. All of the above factors combined will influence indoor air quality. In this respect, it is imperative that none of them is disregarded. Usually, it is difficult and occasionally impossible to recompense for deprived indoor air quality operation in one area through refining other areas. The above imply that all the areas should be given adequate attention to attain good indoor air quality.

Appendix

Cities with very bad indoor air quality

• Delhi, India: Delhi is the leading city with bad indoor air quality. The numerous old automobiles on roads, use of biomass, increased industry releases, increase reliance on coal-powered power stations the city is the top city with bad indoor air quality.
• Dhaka, Bangladesh: known for being the second city with bad indoor air quality. The city’s huge population is blamed for unembellished air pollution and waste management glitches.

Cities with very good indoor air quality

• Oslo, Norway: this is the number one city with good indoor air quality. The city has remained constantly clean for the reason that city administrators are eager to spend much of their subsidy on substitute energy sources and green practices in general.
• Bern, Switzerland: this is the second city with very good indoor air quality. Known for its pristine natural beauty, the city one of the cleanest cities in the world.

References

Nathanson, T. (2013). Indoor air quality in office buildings: A technical guide : A report of the Federal-Provincial Advisory Committee on Environmental and Occupational Health. (4th ed.). Ottawa: The Committee.

Parker, G. (2009). Environmental engineering: Air Polution. Hoboken, N.J.: Wiley.

Pepper, D., & Carrington, D. (2009). Modeling indoor air pollution. London: Imperial College Press.

Introduction

Contract financing is a funding package that is tailor-made for a particular government contract or business (Defense Contract Audit Agency [DCAA]). Contract financing depends on the nature of the contractor’s business (services, supply) or project (infrastructure, civil). It offers financial support for every phase of a project as specified in the contract. When selecting a contractor, the client (government) must evaluate the financial strength of the potential contractors based on the scope of the project. While a contractor is obligated to reveal the project’s details, including the financial resources required, the client must assess the contractor’s financial strength before entering into a contract.

For commercial acquisitions, the contractor is often responsible for financing the entire project. However, in some commercial contracts, the government is responsible for contract financing. In contrast, for non-commercial projects, as a standard practice, financing is the responsibility of the contractor (DCAA). Such projects have unique requirements; hence, their financing must be both reliable and long-term.

The Federal Acquisition Regulation (FAR) provides a set of rules that govern contract financing under customary market conditions. It specifies the financing choices available to organizations. Each contract financing option is governed by specific terms and conditions that are drawn from customary market practices. Thus, it is important for a contractor (organization) to understand the contracting environment and analyze the customary market practices before selecting an appropriate financing option.

Contract Financing Approaches

Several contract financing options are available for commercial and non-commercial acquisitions. For non-commercial acquisitions, the payment methods include installment, commercial interim, and commercial advance payments (FAR). The FAR stipulates that contractors must meet certain conditions before they can use advance and commercial interim financing. It dictates that the project must involve a commercial service, and its contract price should meet the simplified acquisition threshold (SAT). Moreover, the contract must have security, be approved by the contracting officer, and cost below 15% of the contract price (FAR, Para. 3).

Installment contract financing refers to the “purchase of retail installment contracts from factoring companies that offer terms to their customers” (FAR, Para. 14). This approach not only provides value-added and accounting services to organizations, but it also eliminates contract-related overhead costs. Installment contract financing generates a reliable working capital (cash flow) for financing the project, which eliminates the need to sell account receivables (FAR). Installment contract financing also serves as a tool for generating funds for financing urgent project needs. It requires a business owner to contact a potential contract buyer, negotiate the price with a customer, and seek the buyer’s approval before the organization can enter into an installment contract. The contract buyer then channels funds to the customer’s account.

Installment contract financing can greatly increase sales, as it allows organizations to offer better payment terms (installments) to clients. However, installment payments spread over a long time have many administrative challenges to organizations compared to lump-sum payments. These challenges prevent firms from reaching their full profit potential. Nevertheless, this approach allows customers to purchase more products and pay in installments. This may give an organization a competitive advantage, especially if the rival companies do not use installment contract financing.

Commercial interim and advance payments are the other types of contract financing approaches for commercial acquisitions. An interim contract financing, payments are made to the contractor after a specified proportion of the project has been completed (FAR). In contrast, advance payment contracts dictate that the company pays the contractor upfront before any work, as specified in the contract, is done. The FAR stipulates that interim and advance payment can be used when the financed project involves a commercial service, the contract price is higher than the SAT, and the advance payments are less than 15% of the contract price (Para. 7). These payments are excluded from the interest penalty stipulated in the Prompt Payment Act (FAR). The liquidation of these payments is achieved through the deductions made on delivery payments, which is the amount paid for the supplies or services delivered.

Although interim and advance payments provide efficient contract financing options for commercial items, the risks involved can affect an organization. For the contracting approaches, the delivery terms are not clear, which exposes the contractor to financial risks. Furthermore, the contractor may be unable to mitigate these risks, as they arise from industry-wide fluctuations in prices. For instance, the cost of labor and supplies may fall in the course of the project. As a result, the contractor may incur extra costs due to unstable prices.

Noncommercial acquisitions involve different contract financing approaches. These methods help contractors undertaking large government projects. However, the FAR has stipulated certain regulations that contractors must follow when using these methods. For non-commercial contracts, the government shoulders the risks associated with non-performance and repayment (FAR). The financing approaches available for non-commercial acquisitions include advance payments, loan guarantees, progress payments, and performance-based financing (FAR). For this approach, organizations can only provide finance up to the maximum amount needed.

Moreover, the government can monitor the financial strength of the contractor during the project. Performance-based payments are suited for government agencies because they focus on outcomes, not the process. They also have fewer risks, enhance competition, and allow for meaningful contractor surveillance.

Appropriate Contract Financing Approaches

Contractors prefer contract-financing approaches that enhance accountability, increase returns, and minimize risks. They consider several factors when selecting a contract financing approach to engage the government. An appropriate contract financing approach should facilitate the item acquisition, avoid a monetary loss to the organization or government, allow monitoring of the contractor’s financial condition, and ensure that the financial conditions are in the government’s best interests (FAR).

It should also allow the government to evaluate the contractor’s financial strength as the project progresses (FAR). The conditions for contract financing also differ depending on the size of the business. The contract value is usually $100,000 for small businesses and $2.5 million for large businesses with a lead-time of four and six months respectively (FAR, Para. 10). Performance-based payment (PBP), unlike other customary contracting approaches, has minimal risks, which makes it suited for organizations.

Performance-based financing brings about changes in the assignment of roles among different stakeholders, accountability, and verification of performance (FAR, Para. 4), as it requires new structures and mechanisms to facilitate organizational operations. In this approach, payment is made based on the results or outcomes of the project. In PBP, contractors are paid based on two factors: attainment of specified measurable objectives and performance. This approach enhances an organization’s focus on the schedule of the project, strengthens the duties of stakeholders, and promotes oversight, which may reduce costs.

PBP has three main benefits to the contractor: it enhances cash flow to the company; cuts down costs associated with oversight; and ensures that the project progresses according to the agreed schedule. Moreover, often, the government assumes the risks associated with damage or loss of property.

The Defense Contract Audit Agency (DCAA) Requirements

The DCAA focuses on the following five main aspects of organizational performance when evaluating contractors: “(1) management procedures; (2) business systems; (3) accuracy of the contractor’s pricing and incurred costs; (4) reliability of the accounting systems; and (5) contractor compliance with FAR regulations” (Para. 8). The DCAA audits an organization’s financial status and pricing of the contract, as specified under the FAR regulations, to identify any signs of financial distress. To comply with the DCAA’s requirements, organizations must implement policies that entrench quality standards and quality in their operations and processes.

One of the systems that the DCAA evaluates is the organization’s accounting systems. The aim is to determine the contractor’s financial capacity to undertake the contract. Besides the accounting systems, the DCAA evaluates an organization’s quality assurance and technical systems and furnishes the evaluation report to the government. In light of this, an organization should implement policies that enhance information access by the agencies such as the DCAA. It should provide detailed information about its accounting procedures and practices electronically to help DCAA to audit the contract. Online submissions of information are fast, accurate, and allow easy retrieval of data.

The DCAA also evaluates an organization’s accounting system to determine its capability to accumulate costs in the entire life of the contract. Therefore, the contractor (organization) should implement an accounting system that can track cost information as specified under the contract. Furthermore, organizations should ensure that their accounting system is operable concerning ledger control procedures that are characteristic of government contracts. It should distinguish costs that are directly related to the contract from those that are not. Under the FAR regulations, direct costs refer to the expenses that can be directly linked to the contract, such as labor (FAR, Para. 2). Thus, the organization’s accounting system must distinguish between direct and indirect costs to facilitate auditing.

DCAA’s Defense Contract Management Agency (DCMA) also performs a risk assessment to determine the nonperformance contingencies associated with the project (Para. 14). As such, the organization must adopt risk mitigation policies because if there are risks associated with the contract, the DCAA will consider the contractor unable to perform on the project. A labor charging system is another method a prospective contractor should implement. The DCAA lays strong emphasis on labor costs and working procedures. Thus, a prospective contractor should implement a policy that requires employees to record their charges on an internal labor charging system. This internal control mechanism would allow stakeholders (creditors, managers, and customers) to protect the company from losses associated with ineffective labor charging systems.

The organization can also adopt timekeeping policies, which minimize costs and waste associated with employee absenteeism or inefficiency. In such a policy, employees are required to complete a timesheet indicating their work hours or charges and return it to a supervisor (DCAA, Para. 11). The nature of the contract determines each employee’s responsibilities and roles. Supervisors use employee worksheets to ensure that each employee is present at his or her workstation. They also ensure that each worker is performing the assigned tasks, and the charges reflect the employee’s job classification.

Quality Assurance

The government requires contractors to provide services that meet particular quality standards as part of the contract agreement. Often, the government relies on industry-specific quality standards to assess the quality of the contractor’s services or supplies. A quality control system is one of the approaches a business organization can use to improve the quality of its services (DCAA, Para. 8). A good quality control system improves a company’s reputation, attracts more customers, and reduces operational costs. Industry-specific ISO certification is an international quality assurance program, which a company can use to bolster its reputation.

A quality control program also enhances the reliability of a company’s products or services in the market. Firms that enter into contractual agreements with the government often have strong quality control systems, which enhance the reliability of their supplies. Reliability is essential since the government often requires assurances for the products bought. Moreover, a quality control system will ensure that the supplies or products meet the minimum standards set.

They ensure that the contractor’s suppliers meet high-quality standards as they allow the government to evaluate the quality control program and inspect the contractor’s systems to determine whether the company complies with the contract demands. Thus, the contractor is obligated to provide supplies that meet high-quality standards, as stipulated in the contract agreement. The common approaches that contractors employ to ensure the quality of commercial items include quality assurance system, contractor inspection, standard inspection (safety), and international quality standards such as ISO and ANSI.

References

Defense Contract Audit Agency [DCAA]. (2012). Information for Contractors. Web.

Federal Acquisition Regulation [FAR]. (2009). Part 32 – Contract Financing. Web.

Effects of Eight Components on Quality of Services and Products to Consumers

Consumers usually go for quality services and products. According to Montgomery, knowing how to improve quality is crucial in growth of business enterprise (9). Improved quality has great reward to business owners. Indeed, there are eight various components of quality (Montgomery 11). Customers normally analyze goods and services in order to know whether such products will perform particular functions. In fact, consumers normally go for products that preformed best. Secondly, complex goods like automobile products need to be repaired to improve their performance. Moreover, goods that needs frequent repairs are unreliable. Thirdly, costumers normally like goods and services that are durable. For example, customers are interested to go for durable automobile products that can serve them for longer service life. Fourth, many consumers also consider how economical and easily would it take to repair and maintain such goods. Fifth, customers are interested in products which appeal visually (aesthetics). In addition, manufacturing industries normally like to make products that appeal in terms of sensory features to distinguish their goods from other competing firms. This is done to attract customers. Sixth, consumers normally look for products that posses extra features beyond essential specification. Costumers usually like products made of superior quality which other competing products lack. Seventh, consumers usually purchase products from reputation manufacturing companies. Such reputations would be determined by quality of goods manufactured, and how customers are handled by various companies. Lastly, consumers usually go for products that are designed exactly to meet intention of a manufacturing company. Indeed, goods of high quality have to fulfill labeled requirements of various products. For example, Automobile parts which do not fulfill expectations of the maker thus will cause difficulties to consumers. Moreover, when automobile parts are designed slightly smaller or bigger, several components of motor vehicle will not function and perform what is it intended for.

Differentiate between quality improvement and control, quality planning and quality assurance

According to Montgomery, quality improvement is focused to reduce products wastage (22). Indeed, this is vital in business managements. Quality planning is an important policy that aims to promote long term success in business objectives. Furthermore, quality planning is focused to enhance financial strategy, effective exploitation of human resources, marketing policy and goods development strategy (Montgomery 22). “Ineffective quality planning will lead to wastage of finance, expertise skill and time of a business organization” (Montgomery 22). Ineffective business determination encounters consumer complaints, making defective products and failure in field tasks (Montgomery 11). In fact, quality planning aims at satisfying consumers’ need. Quality planning must adopt eight components (listed in section 1) that promote quality of services and products. Actually, business organizations need to engage in quality improvement.

On the other hand, Quality assurance refers to activities which are employed to promote and maintain quality of services and goods. Actually, quality assurance is aimed at handling customer-supplier quality issues (Montgomery 23). Indeed, “quality assurance normally practices documentation of: records, procedures, task specification, and policy focused to enhance quality of products” (Montgomery 23). In fact, Montgomery viewed that business records are important since it can be used to tracks reports about consumers’ complaints and to provide corrective measures in business management (23). Indeed, quality assurance ensures that all business procedures, and policies, records and task specifications are followed in management of business (Montgomery 23). Actually, “such documentation will develop work specifications in personnel management of a business organization”.

According to Montgomery, quality improvement and control refers to business activities which are focused to fulfill satisfying expectation of consumers (24). In this case, quality improvement and control is aimed to improve quality of goods and services. Actually, Montgomery explained that quality improvement is achieved through use of personnel management which adopts specialized insight in business experience and statistical skills (24). Such strategies are adopted need to instill positive impacts in the current business operations.

Significance of Sigma-Six in Business Operation

According to Montgomery, Six-Sigma is an experience of business management that is used to develop business operations in the modern world (52). Six-Sigma is adopted to attain significant effects of business transactions. Actually, Six-Sigma is a sequence of business events which delivers positive outputs which develop business organizations. Indeed, every business activity is interconnected with other activities in business organizations. Moreover, Six-Sigma ensures that business processes are necessary and thus has to be improved. Initially, six-sigma was used manufacturing industries, but later it was adopted in public sectors, banking, finance and various services in business operation (Montgomery 56). In fact, Six-Sigma is aimed to reduce wastage of business resources that can be experience in long queues and ineffective task outputs.

In fact, a business company can achieve Sigma-six much faster if its business operation eradicates wastage of business resources. Actually, Montgomery viewed that most business organizations normally operate at the level of Sigma three. These show that such business organizations undergo losses because of poor quality of their business operations. Indeed, business firms that operate at Sigma six are more efficient in terms of profit and saving gains in business engagement (60).

Quality control is commonly utilized to promote quality of business products. Indeed, six sigma has capability to develop highest quality of products by reducing defects. Actually, six sigma produce high quality (99.9%) of manufactured goods with little 3.4 defects. While business projects that operate at three sigma normally achieve 50% accuracy rate due to 66810 defects. Furthermore, six sigma minimizes cost by promoting accuracy rate (99.9). Six sigma usually integrate employees to provide highest quality of products. Indeed, defects that exist in three sigma normally hinder production of high quality products. Six sigma is convenient to attain high quality objectives while three sigma is suitable to carry out a certain business process.

Suppose that a certain business company operate at level of three sigma. In addition, such business project achieves 50% annual improvement rate. The question behind this to determine how such business operation will take to attain six sigma. It is important to note that three sigma is rated at 66807 ppm. In addition, when a business attains 50% improvement rate means that such business rates at 3404 ppm to attain six sigma. Relying on such calculation, a business firm that improves 50% yearly will take a period of 14.5 years in order to attain six sigma.

Calculations

The DPMO values of three and six sigma are:

• Three sigma = 66, 800 DPMO = 99.73% efficiency
• Six sigma = 3.4 DPMO = 99.9997% efficiency

The following instructions should be used to get numbers of years that three sigma have to take in order to attain six sigma:

• Get units numbers delivered, quantity of defects and defects per unit.
• Calculate DPMO units.
• Make use of DPMO to calculate quantity of defects.

Calculate quantity of units produced:

• Units produced = DPMO ÷ quantity of defects.
• Units produced = 66, 800 ÷ 0.408

In order to calculate number of years, use: Y = YFF = e (66, 800) ÷ 3 = 14.5 years.

Works Cited

Montgomery, Diana. Introduction to Statistical Quality Control. New York: John Wiley & Sons, Inc, 2009. Print.