SPC, process improvement, and the Deming PDCA circle in freight administration

The principles of total quality management, statistical analysis, and statistical process control (SPC) offer significant opportunities for improvement to freight administration and distribution in general. In this article, an experience at Digital Equipment Corporation which improved the administrative process of freight payment is described. The methods and approach of this case study illustrate a powerful model for examining and improving any large complex process.
The application of total quality management, continuous improvement, data analysis,statistical process control and the Deming Plan, Do, Check, Act circle at Digital Equipment Corp to improve the freight management process is described. The direct and indirect benefits gained from the application of these management principles in the freight payment process are also discussed.