Supermarvelex Inc. offers an after-sales and maintenance service that is second to none. The trouble is that its customers have to use that service a lot because the products break down so often.

Then there's Gizco Inc. , which makes great gizmos. Its problem is that the gizmos aren't checked until they reach the shipping department. That means a lot of work can be wasted on a faulty gizmo.

Dwight shows that both companies are reactive - fixing the product after it goes wrong. Instead, he suggests that they should aim for 100 percent quality the first time by applying process management. This means that every department or process, from sales to shipping, becomes directly responsible for product quality. They treat the other departments as they would a supplier or customer. Because a customer or supplier would not accept less than 100 percent, this prevents faulty goods from being handed down the line.

Once that is accomplished, Dwight explains the final stage of process management - streamlining the entire process to attain maximum efficiency.