Brief Introduction of Company X
Company X is one of the world’s 20 largest suppliers and a development partner to the automotive
industry. It offers innovative mobility solutions that stand for clean air, fuel efficiency, and driving
pleasure. Company X is now present on five continents, 170 production locations and 16 major research
and development centers employing 77,000 people around the world.
Brief Introduction of YYAN
YYAN is a hub for quality management softwares which strengthens methodical adherence to processes
in manufacturing & automotive industry. It reduces human dependence in process adherence and
provides real time management reporting. YYAN uses 8D methodology to reach the root cause and find
solution. YYAN has successfully provided its software expertise in Defect Management, Supplier
Management & Rating, Audit Management and various other areas.
Challenges faced by Company X
Company X is a large organization with its presence worldwide and across multiple cities in India. When
an organization grows it needs to set processes & procedures to ensure standardization in its products
supplied to the customers. Company X was also facing similar challenges as others in automotive
manufacturing sector while ensuring the processes are followed rigorously by all its employees &
suppliers. There were challenges in following methodologies to proactive communication to managing
a) Inconsistent problem solving process: The organization followed 8D methodology in handling defects
and finding root cause for ensuring their proper resolution. But the following questions arose every now
1. Is 8D methodology being followed for ALL defects religiously?
2. Are all the 8 steps of 8D methodology followed for each defect especially “Actions taken to
3. Are we recording all the defects for knowledge management and future use?
b) Lack of accountability: The defects were recorded in excel and responsibilities were assigned
manually. Nobody else apart from the assignee and the person assigned the responsibility of resolving
defect knew who was working on a particular defect. If the accountable person is not available, things used to go on slow track until the person is back. Defects used to linger on making customers unhappy
and senior management jittery. Accountability was missing as there was no visibility.
c) Reactive communication & status update: The communication happened only after certain milestone
is achieved or whenever someone asked for the status. The organization was following a reactive
approach in resolving customer problems. Senior management used to rely on weekly/monthly updates
and there was no channel to keep them on top of high severity defects and customer issues.
d) Repeat Defects: As most other organizations, Company X was also facing a situation where it was
spending lot of precious time and efforts in resolving defects which were a repeat of defects resolved
earlier. Sometimes the team missed out on following the “Action taken to prevent reoccurrence” step
and the defect reoccurred. Across industry, repeat defects are a big concern. It relates to attrition too
and creates a void if the previous expert has left the organization without leaving details on what all he
did to resolve some key defects and the defect reoccurred. Organisation has to spend same time and
effort in resolving it again.
e) Localized problem solving: Sometimes it happened that similar defect was resolved in some other
part of the organization by some other team in some other plant but nobody outside of the team knew
about it. Big organizations have their operations spread across different parts of the world. Different
plants are manufacturing products, facing defects and resolving them locally without any information
outside their team or plant. Company X was also going through this challenge and was not utilizing its
own knowledge in resolving defects across multiple locations. Time and effort was spent in resolving
same problem again and again at different plants in different cities across different countries.
f) Manual monthly Management Reporting: Company X has multiple plants across India itself. The
Quality Head sitting at India Head Office every month asks for a monthly defects report from all the
plants in India. The respective plant’s Quality Manager prepares/maintains an 8D report of defects in
excel sheet and sends it across to Quality Head sitting in Head Office. The Quality Head coordinates with
all the plants and get similar excel reports from all the plants every month. After receiving all the
reports, he collates the data together, prepares graphical representations & charts for senior
management view and sends it across to the leadership. It takes multiple days in this process of getting
reports from all the plants, collating the data together, preparing charts and presenting it to the senior management. By the time it reaches leadership, the data is atleast few days (mostly weeks) old and
there was no mechanism to view real-time status in this era of quickly changing world. Time gap and effort spent in this process
takes us back to the time when information technology did not exist and speed of change was slow.
Organisations could have afforded this speed at that time but now the world is changing every moment
and we need to keep pace with it to keep ourselves in business.
g) Supplier Defects: Organisations procure various raw materials and finished goods from its suppliers. It
performs its due diligence on these goods and sends across to its customers. Company X was also
undergoing similar process and noticed that the big chunk of defects it get from its customers have
aroused from its suppliers. The defect was passed on to the supplier but there was no proper
mechanism to see what steps were taken to resolve it and ensure it doesn’t reoccur.
h) Supplier Ratings: Company X has a vast number of suppliers and it was difficult to manage and rate
their services. Managing a big number of suppliers in excel reports based on manual
inputs/interference, it was not possible to provide a fair and unbiased rating to its suppliers. It usually
leads to incorrect assessments and result in wrong decisions which are not in the interest of the
Solutions Provided by YYAN
a) Systematic approach to problem solving: YYAN provided a software solution to 8D methodology. For
each defect, every step needs to be followed. A defect can’t be moved to next step unless the previous
step is closed or updated. Company X has also fixed a timeline to each step failing which the defect will be escalated to the higher up in hierarchy. All the defects are now logged into the software which is
building a strong “Past Trouble Database” for knowledge management.
There are organisations where defects are logged in excel, there are organisations where some of the
defects are resolved on whatsapp and there are organisations where some of the defects resolution are
provided on phone itself without recording anything for future use. Knowledge management using YYAN
software can be extremely helpful in recording resolutions of the defects and using them whenever
b)Accountability & Visibility: We are all aware how good an organisation becomes when people start
taking accountability of the work they do and how worse that can go if people don’t own up to the work
they have handled. Have we ever wondered why does this happen? This occurs due to the lack of
visibility and clarity in the ownership of a task/problem.
In YYAN, at Step D1 itself, you are asked to assign a team/individual to a defect who will be working on
the resolution of that defect. As you assign the team, an email gets triggered to the people that defect
has been assigned. There is full clarity on what role those individuals will be playing while resolving that
defect and anyone can log on to the software and check who all are working on which defect.
Company X resolved all its ambiguities and issues of accountability by clear assignment of
responsibilities at the outset of the arrival of a problem/defect. The benefits are realized by people
handling the defects before the software was installed. They only understand how difficult was their job
earlier when accountabilities were not fixed and how easy that has become when they clearly know
whom they need to approach for what.
Screenshots: D1 Stage - Assign Team
c) Proactive communication & status update: When Information Technology has reached its pinnacle,
Indian manufacturing is still regarded as “laggards” when it comes to adopting technological
innovations. Proactivity is the need of the hour. Communication channels should be such that they can
provide live updates of every moment to the leadership. Those are the things of past now when leaders
used to be happy getting monthly/weekly/daily updates. The world is changing so fast that if they are
not getting real time status of what’s going in their organisation and outside they may end up taking
their organisation backwards rather than taking it forward. It’s not only about leadership, it’s also about
the customer. A customer would feel satisfied if he gets real time updates on the progress of the issue
he has raised. This bridges the gap between the organisation and its customers.
After YYAN came into picture, leadership at Company X doesn’t need to rely on one of its employees to
chase and spend time getting updates on any high severity defect. Whatever is being done on any defect
it is being logged regularly into the software and is visible real time to every authorized person in
Company X. There are n number of management reports prepared real time by the YYAN software
which helps the senior management at Company X get a big picture view and also charts which helps
them drill down deeper into it.
d) Repeat Defects: Repeat defects could be handled by effective data management & performing Step
D7: Action taken to Prevent Reoccurrence rigorously.
YYAN provides a PTDB (Past Troubles DataBase) for storing all completed problems with their solutions
for future usage. Old defects could be accessed and checked what solution was provided when the
same/similar problem occurred earlier may be in some other part of the organisation. This helps in
reducing efforts in resolving similar defects. Even if a person has left the organisation, his knowledge
could be leveraged by seeing the PTDB.
Completing Step D7 of 8D methodology rigorously can proactively help an organisation reduce its
Repeat Defects by reviewing similar processes and updating relevant documents such as PFMEA,
DFMEA, Control Plan etc. Updation of related documents will help the process correction and help in
reducing the defects.
Company X has also started on to the process of reducing its Repeat defects and it will take some time
to develop a strong Past Troubles Database and use it as a knowledge base. Measures to implement
actions for preventing reoccurrence in Company X is taken up with more rigor and intensity as it is a
mandatory step before one can proceed on to the next step for concluding the defect.
Screenshots: D7 Stage - Action to Prevent Recurrence
e) Localized problem solving: YYAN has implemented horizontal deployment with the help of our
software and encourages sharing of related defects across locations wherever related process is
deployed. With the help of horizontal deployment, Company X is enabled to proactively propagate the
defects’ resolutions to other plants using same processes. This not only resolves issues proactively but
also support in improving quality of the products.
f) Real-time Management Reporting: YYAN provides access to multiple management reports which keep
building up as soon as the defects data is entered into the system. As soon as the Quality Managers or
any other Point of Contact punches the defects data into the system, it starts reflecting all across the
organisation. Earlier Quality Head needed to wait for him to send across the data but now that time gap
has been reduced to zero as he can go to the YYAN system and download the real-time report to present
it to the leadership. There are ‘n’ number of reports available in the software and shows data with
respect to different plants, segments, defects, complaint type, customer-wise, root cause type etc.
g) Supplier Management System: YYAN has developed Supplier Management System which takes care
of defects passed on to the suppliers and assesses them to provide supplier ratings based on multiple
parameters. The defect management software finds out the cause of defect and if the defect has
originated from a supplier, it will be passed on to the supplier using Supplier Management System to
follow the 8D methodology.
Screenshots: Management Reports
Key Observations from 2017:
After implementation of YYAN at Company X, the organisation has reduced its Annual Target of Defects
by 50%. On analysis it was found that around 45% of defects were caused by only 5 suppliers. It was also
found that more than 50% of defects at Company X originated from only one type of product. One plant
contributed to 49% of defects in 2017 and the best performing plant contributed just 9% defects.
Moreover, the table below shows the number of complaints, the organization has received in the past.
Data before 2015 was not available. We tried to find out what other measures were taken in the last
year to improve quality but quality team replied that other factors remained same. Their senior
management made sure that every complaint is analyzed systematically and they have made it
mandatory to log the complaint in the tool.
No. of Defects
2019 (Till Oct 31)
These are few observations which could be quickly analysed from YYAN and there are various other such
things which could be derived from the software at the click of a button.