lean sigma strategy key driver for continued cultural change and enhanced performance
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LeanSigma Strategy Key Driver for Continued Cultural
Change and Enhanced Performance
Tedd C. Simmons, Ph.D.
VP, LeanSigma and Chief Learning Officer
Beginning the Lean JourneyLean I
•Demand Triggers•Continuous Flow•Visual Control•5S Techniques•Pull Systems•Kanban Signals
•Kaizen - Continuous Improvement
•TAKT Time •Theory Of Constraints•Single Piece Flow•Setup Reduction•TPM•Mistake Proofing - Poka Yoke•Cellularization•Problem Solving Methods•Process / Value Stream Mapping
Introducing the basic lean tools
Starting LeanInitial Introduction
– Guest Speaker at Plant Managers Meeting (Oct 99)– 10 Participants in the Lean Mfg. Leadership Institute (Univ. of KY) (Nov
99)– 15 Participants in the Lean Mfg.. Trainer Certification Program (Nov 99)
• Altoona• Cass City• Jackson• Lawrenceburg• Monticello• Montoursville• Piedras Negras
Pilot Programs– Altoona - had done numerous Kaizen sessions and plant reorganization– Montoursville - test site for the 4-day implementation (Jan ‘00)
Introducing Lean to Operations
Phase 1 Lean Manufacturing Initiative– Management Overview (3 Days)– Facilitator Training (2 Days)
Phase 2 Plant Roll-outs– Beta Site– Plant Roll-out Schedule
Phase 3 Continuous Implementation– Additional Lean Training– Tools Training– Functional and Business Team Involvement
Lean I - Rollout Continuation
2000:– 2500 North American Operations associates trained
– Delivered 8 sessions at HH to “Train the Trainer”
– Facilitators in turn delivered 152 rollouts at the plants
2001:– Goal is 100% of Operations associates exposed to Lean rollout
– Goal all facilities complete – All operations associates trained
Expanding the Lean JourneyLean II
Purposes of Lean II
• Leverage successes• Improve focus on purposeful projects
– Data driven– More top down– Impact the business NOW e.g.
• Reduce scrap• Reduce rejections/improve first pass yield• Improve OEE• Improve usage control• Reduce indirect labor
• Increase Lean skillset
Purposes of Lean II
• Better understand the manufacturing strategy– Stage 4 Manufacturing Excellence– In an OLPC environment– Cellularization as a primary means
• Tie to specific plant / business team objectives
– Learn lessons well– Apply with high energy– Teach with enthusiasm– Implement with urgency
Purposes of Lean II
• Looking for “Jonah’s”
Expanding the Lean JourneySix Sigma
•Process Capability•CP / CPK
•Box Plots•Factorial Analysis•ANOM•ANOVA•FMEA•Histograms•Taguchi
•Voice of the Customer•Quality Function Deployment
•House of Quality•Measurement System Analysis
•Gage R&R•Five Points of View•Trend Analysis•Hypothesis Testing
•t and Z tests•Correlation Analysis•Shewhart Charts•Design of Experiments•Cause & Effect Matrices•Interaction Charts
Process Variability
Basic Lean tools eliminate unnecessary processes…but additional tools were required to radically improve reliability of the remaining value add processes
The Toolset
Six Sigma Tools Added - 2002
Six Sigma training launched April, 2002
LeanSigma has delivered: Total training costs $1.07 Million Total Savings over $12 Million for the initial projects
– 6 Sigma/process variation tools added to the Lean toolbox• DMAIC process is the approved framework to be used - ALWAYS!
Begin use of the term LeanSigma
– Drive radical improvement through… Focus on eliminating costs of poor quality
High energy and commitment
Use of full toolset
Use of Lean Teams
Data driven problem elimination
20
Why LeanSigma?
It’s time now to put the Process Control into OLPC!
Doesn’t make sense to increase velocity of unnecessary or unreliable processes
Doesn’t make sense to drive six sigma process control on unnecessary processes
Eliminating causes of delays / STOPS on the shop floor is critical to Lean Thinking…
And requires additional tools
Initiative Timeline
200120001999 2003 2004 2005
Introduction of Lean ToolsAsia Pacific
Six SigmaTools Added
Second Europe Benchmarking trip
to US
North America Benchmarking trip to Europe
LeanSigma e-Learning Launched
First Europe Benchmarking
to US
Green Belt Training Launched
in Asia Pacific
Introduction of Lean Tools
Europe
Lean IICells
Lean I begins in
Asia PAcific
Lean IRollout
2002
First NA Black Belts Certified
First NAGreen Belt Certified
Transforming the Way We Work
Our LeanSigma Culture
Critical levers• Common Language• Consistent Metrics• Committed Leadership• Certified Black Belts• Certified Green Belts• Actively use DMAIC Process
LeanSigma Business Focus• Simplification of internal processes• Radically improve productivity• Proactive and systematically solve problems• Excellence in customer satisfaction• Positively Impact the entire value stream including suppliers and customers
LeanSigma Culture• Priority focus on the customer• Take pride in your work• Exhibit ethical behavior at all times• Always look for safer and better ways• Be a good steward of company assets
LeanSigma culture begins with how we treat each other ---
• mutual respect• OLPC• Collaborative Problem Solving• shared success
--- and manifests itself in what our customers experience, our customer being...
• Fellow associates• End users• Shareholders
The Culture: Operator-Led Process Control
Hourly Associates…
Involved and take accountability for their work
All salaried and indirect labor associates understand their role is to support the direct labor operator!
Fewer supervisors who coach and facilitate
Quality at the source
Work in teams, mostly self-directed
Are proactive and data-driven problem solvers
OLPCOLPC
Understanding Stage 4 Manufacturing Excellence
Stage 1 Minimize manufacturing’s negative potential: “internally neutral”
Stage 2 Achieve parity with competitors: “externally neutral”
Stage 3 Provide credible support to the business strategy: “internally supportive”
Stage 4 Pursue a manufacturing-based
competitive advantage: “externally supportive”
The Path:
Excellence built on the 12 Manufacturing
Principles... which are enabled with
Lean tools... applied with purpose and
with urgency.
OLPC Environment - what does the shop floor look like?
Manufacturing Principles
1.) Safety
2.) Housekeeping
3.) Manufacturing Systems
4.) Preventive Maintenance
5.) Process Capability
6.) Product Quality
7.) Delivery Performance
8.) Visual Management
9.) Productivity
10.) Communications
11.) Training
LeanSigma LeadershipBlack Belt
The Mentoring Process
BB Goal – Support the ongoing development of LeanSigma Leaders
Define development needsMeasure establish critical criteriaAnalyze development progressImplement mentoring process regularlyControl skills learned
Better Trained LeanSigma Leaders
LeanSigma LeadershipLeanSigma Council
Plant LeanSigma Council• Champion – “Driver”
– Conduct monthly LeanSigma Council meeting
– Assign designated, Certified Blackbelt(s) to Council
– Assign Designated Council Contact to AME/Master Blackbelt(s)
• Blackbelt – “Engine”
– Manage Projects
– Mentor Blackbelt Candidates & Greenbelts
– Communicate with AME/Master Blackbelt(s)
• Greenbelt – “Drive-Train”
– Support BB’s and Lead Projects
TAKE OWNERSHIP!
LeanSigma Council(Structure to How Council Work)
3 BoldObjectives
TheoreticalUniverse ofOpportunity
Key BusinessObjectives
ProficiencyDatabase to
Match Resources
BB’s, GB’s andEngineering Staff
Projects
Track ProgressDMAIC & Using Tools
Expect Results
Provide SupportEliminate Roadblocks
DRIVE PROJECTS TO COMPLETION!
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