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10/28/2020 Case Analysis Performance Lawn Equipment Background and Database: DATA ANAL YTICS FOR BUSINESS

https://stu.instructure.com/courses/22009/pages/case-analysis-performance-lawn-equipment-background-and-database 1/2

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Case Analysis Performance Lawn

Equipment Background and Database

Case A naly sis P erfo rm an ce L a w n E q uip m en t

Perfo rm an ce L a w n E q uip m en t D ata b ase .x ls x

R efe re n ce :

B usin ess A naly cs ( 2 e). – J a m es R . E va n s.

P e a rs o n 2 013 – I S B N : 9 780132950619.

C ase A naly sis B ack gro und

33 T h e c a se s c e n ario w as b ase d o n G ate w ay Es ta te L a w n E q uip m en t C o. C ase S tu d y , u se d f o r t h e 1 997 M alc o lm B ald rig e

N a onal Q ualit y A w ard Ex am in er T ra in in g c o urs e . T h is m ate ria l i s i n t h e p ublic d o m ain . T h e d ata b ase , h ow eve r, w as

d eve lo ped b y t h e a u th o r.

P LE, h ead quarte re d i n S t. L o uis , M is so uri, i s a p riv a te ly o w ned d esig n er a n d p ro duce r o f tra d i onal l a w n m ow ers u se d b y

h o m eo w ners . I n t h e p ast 1 0 y e ars , P LE has a d ded a n o th er k e y p ro duct, a m ed iu m -s iz e d ie se l p ow er l a w n t ra cto r w it h

fr ont a n d r e ar p ow er t a ke o ff s, C la ss I t h re e-p o in t h it c h es, f o ur-w heel d riv e , p ow er s te erin g, a n d fu ll h yd ra u li c s. T h is

e q uip m en t i s b uilt p rim arily f o r a n ic h e m ark e t c o nsis ng o f la rg e e sta te s, i n clu din g g o lf an d c o untr y c lu bs, r e so rts ,

p riv a te e sta te s, c it y p ark s, l a rg e c o m merc ia l c o m ple xe s, l a w n c a re s e rvi ce p ro vi ders , p riv a te h o m eo w ners w it h fi ve o r

m ore a cre s, a n d g o ve rn m en t ( fe d era l, s ta te , a n d l o ca l) p ark s, b uild in g c o m ple xe s, a n d m ilit a ry b ase s. P LE pro vi des m ost o f

th e p ro ducts t o d eale rs h ip s, w hic h , i n t u rn , s e ll d ir e ctly t o e n d u se rs . P LE em plo ys 1 ,6 60 p eo ple w orld w id e. A bo ut h alf th e

w ork fo rc e i s b ase d i n S t. L o uis ; t h e r e m ain d er i s s p lit a m ong t h eir m an ufa ctu rin g p la n ts .

In t h e U nit e d S ta te s, t h e f o cu s o f sa le s i s o n t h e e aste rn s e ab o ard , C alif o rn ia , t h e S o uth east, a n d t h e so uth c e n tra l s ta te s,

w hic h h ave t h e g re ate st c o nce n tra on o f cu sto m ers . O uts id e t h e U nit e d S ta te s, P LE’ s s a le s i n clu de a Eu ro pean m ark e t, a

g ro w in g S o uth A m eric a n m ark e t, a n d d eve lo pin g m ark e ts i n t h e P acifi c R im a n d C hin a. T h e m ark e t i s c y cli c a l, b ut t h e

d iff ere n t p ro ducts a n d r e gio ns b ala n ce s o m e o f th is , w it h j u st l e ss t h an 3 0% o f to ta l s a le s i n t h e s p rin g a n d s u m mer ( in

t h e U nit e d S ta te s), a b o ut 2 5% i n t h e f a ll, a n d a b o ut 2 0% i n t h e w in te r. A nnual s a le s a re a p pro xim ate ly $ 180 m illio n.

B oth e n d u se rs a n d d eale rs h ave b een e sta b lis h ed a s i m po rta n t c u sto m ers f o r P LE. C olle c on a n d a n aly sis o f en d-u se r

d ata s h ow ed t h at s a sfa c on w it h t h e p ro ducts d ep en ds o n h ig h q ualit y , e asy a ach m en t/ d is m ount o f im ple m en ts , l o w

m ain te n an ce , p ric e v a lu e, a n d s e rvi ce . F o r d eale rs , k e y r e q uir e m en ts a re h ig h q ualit y , p arts a n d f e atu re a va ila b il it y , r a p id

r e sto ck , d is c o unts , a n d m elin ess o f su ppo rt.

P LE has s e ve ra l k e y s u pplie rs : M it s it s iu , I n c., t h e s o le s o urc e o f all d ie se l e n gin es; L A N TO A xle s, I n c., w hic h p ro vi des

tra cto r a xle s; S ch o rs t F a b ric a on, w hic h p ro vi des s u basse m blie s; C uberillo , I n c, s u pplie r o f tra n sm is sio ns; a n d S p ecia lt y

M ach in in g, I n c., a s u pplie r o f pre cis io n m ach in e p arts .

T o h elp m an age t h e c o m pan y, P LE m an age rs h ave d eve lo ped a “ b ala n ce d s c o re ca rd ” o f m easu re s. T h ese d ata , w hic h a re

s u m mariz e d s h o rtly , a re s to re d i n t h e f o rm o f a M ic ro so Ex ce l w ork b o ok ( P erfo rm ance L a w n E q uip m en t ) a cco m pan yin g

th is b o ok. T h e d ata b ase c o nta in s v a rio us m easu re s c a p tu re d o n a m onth ly o r q uarte rly b asis a n d u se d b y v a rio us

m an age rs t o e va lu ate b usin ess p erfo rm an ce . D ata f o r e ach o f th e k e y m easu re s a re s to re d i n a s e p ara te w ork sh eet. A

s u m mary o f th ese w ork sh eets i s g iv e n n ext:

D eale r S a sfa c on , m easu re d o n a s c a le o f 1–5 ( 1 = p o or, 2 = l e ss t h an a ve ra ge , 3 = a ve ra ge , 4 = a b ove a ve ra ge ,

an d 5 = e xc e lle n t). E a ch y e ar, d eale rs i n e ach r e gio n a re s u rv e ye d a b o ut t h eir o ve ra ll s a sfa c on w it h P LE. T h e

w ork sh eet c o nta in s s u m mary d ata fr om s u rv e ys f o r t h e p ast 5 y e ars .

E n d-U se r S a sfa c on , m easu re d o n t h e s a m e s c a le a s d eale rs . E a ch y e ar, 1 00 u se rs fr om e ach r e gio n a re

s u rv e ye d . T h e w ork sh eet c o nta in s s u m mary d ata f o r t h e p ast 5 y e ars .

2 014 C usto m er S u rv e y , r e su lt s fr om a s u rv e y f o r c u sto m er r a ngs o f sp ecifi c a rib ute s o f PLE tra cto rs : q ualit y ,

e ase o f use , p ric e , a n d s e rvi ce o n t h e s a m e 1 –5 s c a le . T h is s h eet c o nta in s 2 00 o bse rv a ons o f cu sto m er r a ngs.

C o m pla in ts , w hic h s h ow s t h e n um ber o f co m pla in ts r e gis te re d b y a ll c u sto m ers e ach m onth i n e ach o f PLE’ s

five r e gio ns ( N orth A m eric a , S o uth A m eric a , Eu ro pe, t h e P acifi c, a n d C hin a).

M ow er U nit S a le s an d Tra cto r U nit S a le s , w hic h p ro vi de s a le s b y p ro duct b y r e gio n o n a m onth ly b asis . U nit

s a le s f o r e ach r e gio n a re a g gre ga te d t o o bta in w orld s a le s fi gu re s.

I n dustr y M ow er T o ta l S a le s an d In dustr y T ra cto r T o ta l S a le s , w hic h l is t t h e n um ber o f unit s s o ld b y a ll

p ro duce rs b y r e gio n.

10/28/2020 Case Analysis Performance Lawn Equipment Background and Database: DATA ANAL YTICS FOR BUSINESS

https://stu.instructure.com/courses/22009/pages/case-analysis-performance-lawn-equipment-background-and-database 2/2

U nit P ro duc on C o sts , w hic h p ro vi des m onth ly a cco un ng e s m ate s o f th e v a ria b le c o st p er u nit f o r

m an ufa ctu rin g t ra cto rs a n d m ow ers o ve r t h e p ast 5 y e ars .

O pera ng a n d I n te re st E xp en se s , w hic h p ro vi des m onth ly a d m in is tra ve , d ep re cia on, a n d i n te re st e xp en se s

at t h e c o rp o ra te l e ve l.

O n-T im e D eliv e ry , w hic h p ro vi des t h e n um ber o f deliv e rie s m ad e e ach m onth fr om e ach o f PLE’ s m ajo r

su pplie rs , n um ber o n m e, a n d t h e p erc e n t o n m e.

D efe cts A er D eliv e ry , w hic h s h ow s t h e n um ber o f defe cts i n s u p plie r-p ro vi ded m ate ria l f o und i n a ll s h ip m en ts

r e ce iv e d fr om s u pplie rs .

T im e t o P ay S u pplie rs , w hic h p ro vi des m easu re m en ts i n d ays fr om t h e m e t h e i n vo ic e i s r e ce iv e d u n l

paym en t i s s e n t.

R esp o nse T im e , w hic h g iv e s s a m ple s o f th e m es t a ke n b y P LE cu sto m er-s e rvi ce p ers o nnel t o r e sp o nd t o

s e rvi ce c a lls b y q uarte r o ve r t h e p ast 2 y e ars .

E m plo ye e S a sfa c on , w hic h p ro vi des d ata f o r t h e p ast 4 y e ars o f in te rn al s u rv e ys o f em plo ye es t o d ete rm in e

th eir o ve ra ll s a sfa c on w it h t h eir j o bs, u sin g t h e s a m e s c a le u se d f o r c u sto m ers . Em plo ye es a re s u rv e ye d q uarte rly ,

a n d r e su lt s a re s tra fied b y e m plo ye e c a te go ry : d esig n a n d p ro duc on, m an age ria l, a n d s a le s/a d m in is tra ve s u ppo rt.

In a d di on t o t h ese b usin ess m easu re s, t h e P LE data b ase c o nta in s w ork sh eets w it h d ata fr om s p ecia l s tu die s:

E n gin es , w hic h l is ts 5 0 s a m ple s o f th e m e r e q uir e d t o p ro duce a l a w n-m ow er b la d e u sin g a n ew t e ch no lo gy.

T ra n sm is sio n C o sts , w hic h p ro vi des t h e r e su lt s o f 30 s a m ple s e ach f o r t h e c u rre n t p ro ce ss u se d t o p ro duce

tra cto r t ra n sm is sio ns a n d t w o p ro po se d n ew p ro ce sse s.

B la d e W eig h t , w hic h p ro vi des s a m ple s o f m ow er-b la d e w eig h ts t o e va lu ate t h e c o nsis te n cy o f th e p ro duc on

pro ce ss.

M ow er T e st , w hic h l is ts t e st r e su lt s o f m ow er fu nc onal p erfo rm an ce a er a sse m bly f o r 3 0 s a m ple s o f 100

u nit s e ach .

E m plo ye e R ete n on , d ata fr om a s tu dy o f em plo ye e d ura on ( le n gth o f hir e ) w it h P LE. T h e 4 0 s u bje cts w ere

id en fied b y r e vi ew in g h ir e s fr om 1 0 y e ars p rio r a n d i d en fy in g t h o se w ho w ere in vo lv e d i n m an age ria l p o si ons

(e it h er h ir e d i n to m an age m en t o r p ro m ote d i n to m an age m en t) a t s o m e m e i n t h is 1 0-y e ar p erio d.

S h ip pin g C o st , w hic h g iv e s t h e u nit s h ip pin g c o st f o r m ow ers a n d t ra cto rs fr om e xis ng a n d p ro po se d p la n ts f o r

a s u pply -c h ain -d esig n s tu dy.

F ix e d C o st , w hic h l is ts t h e fi xe d c o st t o e xp an d e xis ng p la n ts o r b uild n ew f a cili es, a ls o a s p art o f th e s u pply –

ch ain -d esig n s tu dy.

P u rc h asin g S u rv e y , w hic h p ro vi des d ata o bta in ed fr om a t h ir d -p arty s u rv e y o f purc h asin g m an age rs o f

cu sto m ers o f Pe rfo rm an ce L a w n C are .

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