a winning strategy for improvement adwadej

Si l H ?Singles or Homeruns?

A Winning Strategy for ImprovementImprovement

Jeanie WadeProgram DirectorProgram Director

Northrop Grumman Corporation

The beginning

Opportunity

Deliveries behind

schedule (in Customer Customersschedule (in one case by hundreds of

units)

wants more if we can deliver

Customers unhappy

units)

Opportunity

Individual Playing defense

Many sitting on Moralestar

players

defense only

(reactive)

gthe bench

(dis-engaged)

Morale Low

e gaged)

Opportunity

Strategy Variable Minimal Work Strategy unclear

Variable outcomes

Minimal controls harder

culture

Improvement Strategy

Improvement Strategy

Major Project 1

Initial Performance

40 units per month required 12 units per month delivered (~300 units behind)

Continuous Improvement Process

Value-Stream Map Analysis of takt time

Continuous Improvement People Engagement

p y

Today’s Performance

Solutions identified by floor personnel Resources provided by management

Today s Performance

>70 units delivered consistently for the last 12 months

Today’s People Engagement

Management sees benefit of improvement activities Employees are empowered

Major Project 1 Continuous Improvement Efforts

TechniciansTechniciansAssemblersAssemblersDesign EngineersDesign EngineersMission AssuranceMission Assurance

Identify Parts Identify Parts with Preferred with Preferred CharacteristicsCharacteristics

Design Design ImprovementsImprovements=

ValueValue--Stream Stream MapMap

Process Process ImprovementsImprovements=

100

M1A2 Deliveries

Mission AssuranceMission AssuranceManufacturing EngineersManufacturing EngineersProgram ManagementProgram Management

Identify Supplier Identify Supplier IssuesIssues

Supply Chain Supply Chain ImprovementsImprovements=

60

70

80

90

100

ered

20

30

40

50

60

Uni

ts D

eliv

e

~700% increase in throughput

0

10

20

Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08

Actual Contract Forecast

Employee Involvement = Month

p yEmpowerment and Improvement

Major Project 2

Initial Performance

Impacting customer with late deliveries High customer return rate

Continuous Improvement Process

Step-by-step failure analysis and corrective action Clean room and handling contamination

Continuous Improvement People Engagement E l d i k

p y p y g

Today’s Performance

Daily Failure Review Board Meetings Design Changes Employees redesign work areas/processes

Today s PerformanceExceeded contract required deliveries consistently for the

last 12 months Customer returns significantly reduced

Today’s People Engagement

Management sees improvement benefits Employees are empowered

Major Project 2 – Data-Driven Improvements

Focused Actions Based on Data = Permanent Improvement

Major Project 3

Initial Performance

>90% First time through test yield required 51% first time through test yield seen

Continuous Improvement Process

Product Characterization Key Test failure analysis

Continuous Improvement People Engagement

y y

Today’s Performance

Value Stream Map Design changes Clean room improvements

Today s Performance

Contract deliveries met consistently

Today’s People Engagement

CI tools used to solve complex problems Employees are empowered

Continuous Improvement Culture

Belief and Understanding through Demonstration and Participation

QA-Driven~90 Champions

Culture-Driven~1000

Champions

A Continuous Improvement Culture is a Force Multiplier

Results

Deliveries meeting Customers Customersmeeting contract

requirements

want to buy more

Customers happy

Results

Teamwork (

Playing Everyone Mo ale(>40 projects in

work)

Playing offense

(proactive)

Everyone involved

(engaged)

Morale Improving

Results

Strategy Predictable Improved Work gyclearly defined

Predictable outcomes

Improved controls smarter

culture

Bottom Line

18