Document V3eqQgj61XG1d98o9o2gp0r5Z

41 To: c. J. McDonald, A. E. Bagwell Interoffice Communication From: Date: Subject: p. j. Kober January 18, 1989 MEETING NOTES - VCMEFFICIENCY/VARIABILITY VKIA Analyze the process used to arrive at the VCM efficiency, determine the primary influences and make recommendations on how to improve the process such that the control limits on the consumption can be narrowed by 33%. 2. Overall Process Diagram Efficiency | VCM Accounting] Physical Losses Vinyl Unit - U' L 'J'TV.- PVC Accounting 3. Causes Inherent to Each Part of the Process: 1. Railcar weights from LCVCM ______. billing weight ______ entered into system. 2. How does current billing method compare to an alternate method? 3. Step-by-step analysis of Aberdeen account ing of VCM . a. Railcars b. Sphere c. In-process inventory d. Month-end inventory procedures VAB.0001105382 C. J. McDonald, A. E. Bagwell 1/18/89 Meeting Notes - VCM Efficiency/Variability 1. Conversion to new technology - did it affect efficiency? 2. Leaks; leak survey, etc. 3. RVCM content of finished product (slurry) 4. Loading losses 5. PVC Leaks: a. Baghouse b. Scrubber c. Dryers d. Spills e. Etc. 6. Other: a. Culls - increased production with new technology but they are not counted as production. C. PVC Accounting 1. Plant and off-site storage: a. Silos b. Railcars c. Warehouse - bags, boxes d. Pond - seasonal production there fore it causes swings in control limits. e. Culls a. Compound b. Dry Blend 3. Transfer to outside customers 4. Step-by-step analysis of Aberdeen's methods. A VAB.0001105383 C. J. McDonald, A. E. Bagwell 1/18/89 Meeting Notes - VCM Efficiency/Variability 4. Action Steps: Note: It was decided to work on one section at a time. \J AiCcOUMTimG PJK: Analyze railcar building. AEB: Alternate method - local weighing of cars once per week for next four weeks to determine if overbilling is still a major problem. CJM: Step-by-step analysis of Aberdeen accounting system. PJK: Investigate culls accounting. CJM: Revise efficiency control chart when new technology conversion occurred. Next meeting: January 25, 1989 10:00 a.m. PJK's office P. J. Kober Vinyl Operations Superintendent rah cc: RWS, DCS * PJK disc #l/rah VAB.0001105384 EFFICENCY (#VCM/#PVC) 1.07 1.06 1.05 -UCb1.04 1.03 1.02 1.01 1 0.99 0.98 0.97 0.96 0.95 0.94 0CTB4 JUN85 MONTHLY VCM EFFICENCIES 1985 - 1989 FEB86 0CT86 JUN87 MONTH FEB88 0CT88 r VAB.OOOl105385 EFFICENCY (#V C M /#P V C ) MONTHLY VCM EFFICENCIES 1985 - 1989 1.07 1.06 1.05 1.04 1.03 1.02 1.01 1 0.99 0.98 0.97 0.96 0.95 ~LClr" 0.94 0CT84 n | i ri i i i | I JUN85 FEB86 0CT86 rTT"T JUN87 MONTH r ri | FEB88 0CT88 VAB.0001105386 >- # VAB.0001105387 i