Case Study Latino Engineering Company

LATINO ENGINEERING COMPANY 1
Case Study Continuous Improvement Plan
Author’s Name
Institutional Affiliation
Tutor
Course
City and State

LATINO ENGINEERING COMPANY 2
Case Study: Continuous Improvement
Latino Engineering Company
Introduction
Latino Engineering company is facing a plethora of problems most of which can be
attributed to change of proprietorship. Changing the organization ahead ushered in a radical
change in the modus operandi since the decision-making system was no longer on one
individual’s shoulders. Apparently, when Dominic Latino was in charge be used to be the
sole decision maker in the company thus all actions were prompt and swift. He also enjoyed
a better working relationship with his workers no wonders the exceptional efficiency that was
being recorded by the company at the time. Naturally, he was passionate about his enterprise
since he loved designing and developing engineering equipment. Therefore, he did not need
extrinsic motivation to perform his duties better. For him, job excellence was the first
priority. However, since the change of ownership, the company has experienced a turn for
the worst in fortunes with clients raising numerous complaints about the services they
receive. This calls for an argent address of the problems failure to which the company will
lose its invaluable market share (Limwichitr, Broady-Preston and Ellis, 2015. P.480) This
paper will examine the root cause of the problem using the appropriate tools and recommend
the way forward to achieving continuous quality improvement. Its aim is to provide the way
forward for the company.
I will apply the total quality management approach since it is more suited to the context
of the company than any other methodology. This is because it caters to customer needs, the
involvement of all organizational employees, it is process centered, strategic approach to

LATINO ENGINEERING COMPANY 3
organizational efficiency among many others. In totality, the total quality management
approach is focused on ensuring customer satisfaction (Paliska, Pavletic and Sokovic, 2017,
P 80).
Strategies to Detecting the Problem
Use of tools and Techniques
To being with, to detect the source of the problem in the organization needs to apply the
fittest tools if the problem is to be correctly identified. For the case on point, the 7QCs tools
are the most appropriate. The entail, the Pareto diagram, check sheet, the Scanner plot, the
control chart, cause, and effect as well as the histogram. Choosing the correct tools is
essential in identifying the problem and will lead to choosing the beats way to arrest it. I
chose cause and effect and the Pareto diagram as the best tools to detect Latino Company’s
problems (Doggett, 2015. P.34)
Pareto diagram
Despite the fact the remaining six tools are equally effective, the Pareto diagram seems to
me to be the most applicable tool. Its application entails arranging elements in a decreasing
order in order to find out how each leads to the problem. This approach is normally used o
detect a problem and subsequently coming up with a way forward to solving it. In the context
of the Latino Engineering Company, the Pareto tool can be applied as follows.
Change of proprietorship. This can be seen from the case that Dominic Latino-its owner-who
founded it decided to sell it. Until this time the company was doing exceptionally well since
he was the sole decision maker and he always aimed at achieving the best performance all the
time (Limwichitr, Broady-Preston and Ellis, 2015. P.480)

LATINO ENGINEERING COMPANY 4
Deteriorating quality. After the takeover, the quality of the designs started deteriorating. The
equipment became defective. Apparently, those in charge of the designs were no longer
living up to the standards that Mr. Latino had set. This was huge blow to the enterprise as
well as the customers since they started complaining (Paliska, Pavletic and Sokovic, 2017, P
80).
Poor links with customers. Initially, the clientele used to enjoy a healthy working relationship
with the company’s administration. This was no longer the case after the new investment
company took over. The high-quality services that they were accustomed to were a thing of
the past with longer lead times as well a sluggish response system, a nonresponsive customer
care department and also, sometimes packing of wrong equipment and designs (Tannock,
Krasachol and Ruangpermpool, 2012 P. 385).
Fundamentally, change of proprietorship is a normal aspect in the corporate world and it
can be done for various reasons. For the Latino Engineering Company the decision to sell by
done individually by the owner which was within his discretion. This change of guard cannot
be deemed to be a wrong action for any business enterprise. However, the problem majorly is
on the side of the new management because, since the takeover, they have not recorded
anything positive apart from dwindling outcomes in terms of the company’s economic
fortunes. Therefore, it can be concluded that the new administration-Investment Group- is
the root cause of all problems that are bedeviling the enterprise at the moment (Tannock,
Krasachol and Ruangpermpool, 2012 P. 385).
When he was in charge, he met the customer demands by guaranteeing excellent
services thus enabling the company to enjoy increased patronage and an ever-expanding
customer base. However, this situation turned for the worst after the new investors took over