ima webinar_ppt_ 03mar2016_final_w_bio
TRANSCRIPT
March 3, 2016
Linking Business Strategies to
Quality and Lean Management
Systems (QLMS)
Jd Marhevko
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Moderator
Jennifer Ashkenazy, CPA
Research Development Director
IMA
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7
Featured Presenter
Jd Marhevko, MBB, CSSBB,
CMQ/OE, CQE, ASQ Fellow
2016 ASQ Shainin Medalist
Vice President
Quality/Lean Management Systems & EHS
Accuride Corporation
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Jd Marhevko’s Biography
8
• Jd Marhevko is currently the VP of Quality, Lean and EHS for AccurideCorporation. Three (3) Accuride sites have won the prestigious Manufacturing Excellence Award (in 2014-2015). She has been involved in Operations and Lean/Six Sigma efforts for almost 30 years across a variety of industries.
• Jd will be honored in 2016 as one of the top 100 women in manufacturing by the National Association of Manufacturers (NAM) via the STEP Ahead Award. Jd is an ASQ Fellow, holds the CMQ/OE, CQE, CSSBB, and is also an ASQ Certified Trainer for a variety of Quality Tools. She is an MBB and has held various Baldrige Assessor roles.
• Ms. Marhevko is a Past-Chair of the ASQ Quality Management Division (QMD), a 24,000 member organization, and supports several ASQ divisions in a variety of capacities. She was recently awarded the QMD’s Howard Jones Award, the QMD’s highest honor.
• Jd holds a BSE from Oakland University in MI and an MSA from Central Michigan University.
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9
Learning Objectives
Upon completing this webinar, you will be able to:
1. Explain how the Hoshin Kanri method can be used to
tailor a plan that will meet your business needs.
2. Apply a “lessons learned” sharing of tools and
techniques that have effectively served multiple
organization types.
3. Describe an approach that enables cross-functional
team alignment both horizontally and vertically.
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Define
Change is not needed. It is not necessary to survive.
Charles Darwin
10
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Lean is an enterprise-wide
set of concepts and tools
aimed at strengthening
competitive advantages
realized from operating
your processes.
A Definition of Lean…
11
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QLMS & DMAIC: Strategically
Define
Measure
Analyze
Improve
Control
External/Internal customer needs are identified.
Determine performance baselines. Identify necessary target levels.
Investigate causes for gaps from performance to target. Create a plan.
Execute the improvements identified. Use tools to fit the problem.
Monitor the results. Hold gains via accountability.
12
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Elements for QLMS Success
1. Lean “Operations”, Effective (quality), Efficient (lean) flow of Product
2. Transactional systems: Effective, Efficient flow of Data/Information
3. Align Product & Transactional Value Streams across the Enterprise
4. Incorporate External Partners: Customers, Supply Chain, Compliance Organizations, Contract Services
13
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Define
14
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A process to convert Strategy to Reality by using both horizontal and vertical alignment in the organization
CEO’s 3-5 year Strategic Vision
Planning across Division(s).
Vertically supports CEO and Sites
Site planning. One year tactics to
support and execute the strategy
The “X-Matrix”
aka…Hoshin Kanri15
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16
Polling Question 1
a) 50%
b) 25%
c) 10%
d) Less than 5%
How many businesses in North America typically share their strategies with their personnel?
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Polling Question 1 Results (Placeholder)
17
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Bottom: Key strategies. Use a “SMART” format
Left: Initiatives on HOW to achieve the objectives
Top: TACTICAL actions to execute the initiatives
Right: Key METRICS used to monitor results
Far Right: WHO has tactic line item responsibility
Sample “X-Matrix” Format
Tactical Actions
Main Key
Initiatives Metrics
Key Strategies
Reso
urc
es
18
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People that use the end product/service
Personnel that invest in the organization (stockholders, investors)
Personnel that run the organization. May be paid or voluntary
Businesses/donors that provide goods and services usually for a fee
Local organizational. Surroundings. Environment, tax-base…
Strategies for Whom*…
Customer
Stakeholder
Employee
Supplier
Community
*Interested Parties to Consider…
*Identified in ISO 9001:2015 for Risk-
Based Thinking and consideration of
impact to business
19
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QCD: Quality (PPM), Cost (CI), Delivery (OTD)
Margin, Revenue, Cash Conversion, Growth
Engagement, Turnover, Satisfaction, EHS
QCD, Growth
Social Responsibility, Compliance, EHS
Sample Strategies
20
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Define “SMART” Strategies
Improve Margin by 5% points by 4Q
Increase of $250K
~6-8 Key Strategies
While developing the Key Strategies, multiple tools may be used such as SWOT, VOC, etc. Consider the inclusion of all “interested parties” in the evaluation to support organizational robustness.
21
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Develop Initiatives
Reduce Warranty losses. $150K
Reorganize Product Portfolios.
$100K
~1-3 Main Initiativesper Strategy
Improve Margin by 5% points by 4Q
Increase of $250K
22
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Develop Tactics
Improve Margin by 5% points by 4Q: Increase of $250K
~1-3 Tactical Plans per InitiativeImplement Warranty Team. Conduct CA/PA.
Conduct FMEA/CP Reviews on loss leaders
Conduct VSM on Portfolio. Rationalize
Reduce Warranty losses. $150K
Reorganize Product Portfolios.
$100K
23
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Develop Metrics
Reduce Warranty losses. 150K
Reorganize Product Portfolios. $100K
Improve Margin by 5% points by 4Q: Increase of $250K
Key Metrics
Implement Warranty Team. Conduct CA/PA Who: Joe
Conduct FMEA/CP Reviews on loss leaders Who: Tom
Conduct VSM on Portfolio. Rationalize Who: Sue
Margin
Warranty
Family Portfolio Margins
24
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Leading & Lagging Metrics
Leading
Metrics
Lagging Metrics
OTD PPM COPQ $Conversion
OEE: Operational Equipment Effectiveness + + + +
RTY: Rolled Throughput Yield + + + +
%Cpk: Processes Capable of Meeting >=1.33 + + + +
MTBF: Mean Time Between Failure + + +
C/A %Repeat: Repeating Complaints + +
Training Depth: Personnel Skill Levels + +
Linearity: Production Schedule Attainment + + +
C/A TTC: Time to Close Corrective Actions + + +
If you watch your pennies, your dollars will take care of themselves – Benjamin Franklin
Lagging metrics are usually upper management results. Identify and manage leading metrics that will affect these results.
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26
Polling Question 2
a) Rework
b) Overtime
c) Premium freight
d) All of the above
What are some potential leading indicator metrics to margin?
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Polling Question 2 Results (Placeholder)
27
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“X-Matrix” How it looksX-Matrix: Organization, Year
l 1.2a Conduct Portfolion Analysis. Rationalize l l l
l 1.1b Conduct FMEA/CP Reviews on loss leaders l l l l
l 1.1a Implement Warranty Team. Conduct CA/PA l l l l
1.2
Reo
rgan
ize P
rod
uct
Po
rtfo
lio
s. $
100K
1.1
Red
uce W
arr
an
ty L
osses. $
150K
Marg
in
Warr
an
ty
Po
rtfo
lio
Marg
in
Jo
e
To
m
Su
e
l l 1 Improve Margin by 5% Points by 4Q08 l l l
2 xxx l Primary
m Support
Resources
Key Tactics
"HOW 2"
Key Objectives
"WHAT"
Main
Initiatives
"HOW 1"
Key
Metrics
"BSC"
28
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29
Polling Question 3
a) They help to identify the critical metrics.
b) They help to maximize the amount of initiatives needed to meet
the strategies.
c) They help to minimize the potential for redundancy in the setting
of the initiatives.
d) They help to identify who owns which initiatives.
In the correlation section between the strategies and functional
initiatives, the correlation points help to show alignment between the
strategies and the functional initiatives. What is at least one other
purpose that they serve?
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Polling Question 3 Results (Placeholder)
30
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The QMD’s Sample X-MatrixC:\Documents and Settings\marhevjd\My Documents\ASQ\QMD Strat Plan & BSC Data\[QMD Strat Plan 08 Q2 QMP 08 09 v1.xls]Succession Plan
l 6.1e Develop/Execute go-forward functional conference committee structure -- Chair, F2F l l l l l l m m
l 6.1d Develop/Execute plan to better utilize volunteers -- Mmbrshp l l l
l l l 6.1c Share Lessons Learned across ASQ (Ex. DMA, X-Matrix…) -- Chair, Chair-Elect l l l l m
l 6.1b Manage and facilitate attainment of budgeted plan -- Treasurer l l l l l l m
l 6.1a Develop/Utilize succession planning, strategic management of board, and key measures -- Chair, Chair-Elect l l l l l l m
l 5.1a Develop a Strategy to Collaborate w/ASQ on EoQ/Social Responsibility (Mason) -- TC l l
l 4.1c Develop/Execute effective Web-site in which to grow exposure and customer support, and delivery mechanisms -- e-based l l l l l l l m l
l 4.1b Select organizations/venues w/in ASQ (Div's, Sections, HQ, etc.) and tailor service or product offerings and interaction methods -- Mktg l l l l l l l
l 4.1a Identify Opportunities and Leverage QMD offerings into non-ASQ/alternative venues (ie. State Award Program Offices, etc) -- Mktg l l l l l l l
l l l l 3.1a Develop Feedback/Feed Forward Loops, Review VOC data, Summarize results, Develop Next Steps and Feed into QMD Strategies -- Mktg l l l l l l l l l l m
l l l 2.1.c Execute to a defined Touchpoint Plan (Tradeshows, Conferences, Forums, Courses, etc.) include Lisa Bray (ASQ) l l l l l l l l l m m l
l l l l 2.1b Develop Partnership Plan w/ASQ on non-US Growth (China/India, ROW) -- Mktg l l l l l
l l l l 2.1a Develop Marketing Plan to grow Membership Base -- Mktg l l l l l l
l 1.2b Deliver CMQ/OE, CQE, CQIA Refresher Courses and Cost of Quality Courses as needed -- F2F l l l l l l l l m l
l l 1.2a Support the CMQ/OE Certification (BOK, Exam Review, Item Writing) - Ops l l l l l l l
l l l 1.1f Manage a project that utilizes F2F, Web & Print to bring pertinant information/training to QMD Members -- Print, F2F, e-Base l l l l l l
l l l 1.1e Grow QMD membership of certification holders (CMQ/OE, CQE, …) and conference attendees that are non-QMD members -- Mktg l l l l l l l l m
l l l l1.1d Determine web-content (search engine, articles, courses, skills training webinars, forums, etc.) to be provided through the e-based market
channel based on VOC criteria with Tech Cmte input - e-based l l l l l l l l m m l
l l l l 1.1c Determine offerings (articles, courses, skills training, tracks) to be provided at relevant events based on VOC criteria -- F2F , e-based l l l l l l m l l
l l l l 1.1b Manage the annual QMC -- F2F l l l l l m l l
l 1.1a Publish/Maintain the Quality Management Forum -- Print l l l l l l
6.2
Use
Str
ate
gic
Pla
nn
ing m
eth
od
s &
Actio
n P
lan
form
ats
6.1
Fo
llow
thro
ug
h o
n k
ey p
lans a
nd
ob
jective
s
5.1
Co
ntin
ue
to
de
ve
lop a
nd
de
live
r E
oQ
re
so
urc
es
(multip
le)
4.1
Identify
sponsoring p
art
ners
and d
evelo
p s
erv
ice
or
pro
du
ct
off
erin
g m
od
el
3.1
De
ve
lop F
ee
dba
ck L
oo
ps a
nd
Revie
w V
OC
inpu
t/d
ata
2.1
De
ve
lop M
ark
et S
tra
teg
y t
o G
row
Me
mb
ers
hip
base
1.2
Su
pp
ort
the
CM
Q/O
E c
ert
ific
atio
n p
roce
ss
1.1
Leve
rag
e o
ur
org
aniz
atio
na
l str
uctu
re t
o d
eve
lop
and
de
live
r p
rodu
cts
and
se
rvic
es
Qty
of
Le
arn
ing
Do
cu
me
nts
/Eve
nts
(O
O 3
, 5
)
Att
en
da
nce
at
QM
D a
ctivitie
s/s
essio
ns (
OO
2,
3,
4,
5,
6)
We
b-S
ite
Hits (
OO
1,
3,
4,
5)
Qty
of
CM
Q/O
E's
& T
ren
d (
OO
1,
2,
4,
5)
Che
ckin
g a
nd
Sa
vin
gs B
ala
nce
, L
iqu
idity (
OO
4,
5)
Pe
rio
d R
eve
nu
e &
Exp
en
se
Co
mp
ari
so
ns (
OO
4,
5)
Fo
rum
Un
it C
ost/
Me
mb
er
(OO
4,
5)
Me
mb
ers
hip
Ra
te (
Inclu
de
In
tl G
row
th)
(O
O 1
, 2
, 3
, 4
, 5
,
6)
Rete
ntio
n R
ate
(O
O 1
, 2
, 4
, 5
, 6
)
New
Me
mb
ers
hip
Ra
te (
OO
1,
2,
4,
5,
6)
Me
mb
ers
w/A
SQ
Ce
rtific
atio
n(s
) (O
O 1
, 2
, 3
, 4
, 5
)
Me
mb
ers
by S
tate
/Co
un
try (
OO
1,
2,
3)
%O
bje
ctive
s A
ch
ieve
d (
OO
5,
6)
Su
cce
ssio
n P
lan
nin
g D
ep
th (
OO
5,
6)
Cha
ir:
Hea
the
r M
cC
ain
Cha
ir E
lect:
Jd
Ma
rhe
vko
Tre
asu
rer:
Ka
trin
a H
arr
is
VC
Pri
nt
Initia
tive
s:
Fre
d W
alk
er
VC
Ma
rke
tin
g:
Milt
Kri
vo
ku
ca
VC
Me
mb
ers
hip
: J
oh
n S
ha
rp
VC
Fa
ce
to
Fa
ce
: D
avid
Little
VC
e-B
ase
d I
ntiia
tive
s:
Ron
Me
ier
VC
Te
ch
nic
al C
mte
: S
teve
Ba
bb
VC
Op
era
tio
ns:
Caro
l K
urt
z
Con
fere
nce
Cm
te:
Tre
pa
nie
r/D
en
ne
y/B
an
e
l l l l l
1. (1, 2, 3) Membership Expertise: Provide products/services that develop continuous improvement and enhance our memberships'
skills l l l l l l
l l l 2. (1, 4) Membership Growth: Continue to grow the Membership base and improve upon retention l l l l l l l l l l l
l l l 3. (1, 2) Determine VOC: Get feedback so that the QMD can define the product and services that are needed l l l l l
l l l l l l4. (1, 2, 3, 4, 5, 6) Define Markets: Develop/execute a cross-market strategy and delivery mechanisms utilizing current technologies
l l l l
l l 5. (2, 6) EoQ: Insure that the Economics of Quality (EoQ) are within the context of our products and services l l l
l l l
6. (4, 5) Infrastructure: Improve the management of the QMD…IT, Volunteer Utilization, Succession Planning, Budgeting, Follow
Through… l l l l l l l l l
Strategic X-Matrix: 2Q08 Quality Management Division v2
QMD Vision
Engage people, organizations, and communities in continual improvement
QMD Mission
Convey lifelong quality related knowledge through information, methods and
tools that add value to Organizations, Society and Individuals
1-2 Year Strategic Objectives
Top Level
Improvement
Priorities
2nd Level Tactical Improvement Plans
Key Success
Indicators
(KSI's)
and Outcomes
Resources
Primary Responsibillity
Secondary Responsibility
31
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ASQ QMD Result
• Largest division in ASQ…24,000 global members
• In the top 5 of all divisions for member growth and retention
• Most touch points (member-valued interactions) of any
division. >300/year
• Have completed >90% of all goals and objectives for the
past 5 years
A Non-profit Organization
32
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A For-profit X-Matrix Sample
14
l m 4.3.b. Conduct annual rev iews and training updates on ISO/TS Core Tools by 2Q l l l l l l m m m m l
l m m 4.3.a. Increase QA personnel understanding & interpretation of product specs by 3Q l l l l l l l l l
l m m 4.2.a. Consolidate all sites to one registrar by 4Q l l l l l
m l m m m 4.1.b. Grow Quality /Lean skills and benchstrength by 15% YOY l l l l l m l l l l l l l l m l
m m l m 4.1.a. Upgrade corporated-wide APQP processes to achieve 95% compliance on TS System score by 2Q l l l l l m l l l l l l
m m l m 3.1.a. Leverage sub-teams to implement MRP conversion l l l m l l l l
m l m 2.2.c. Participate in monthly Council rev iews l l l l l l l l l
m m l m 2.2.a. Implement Kanban flow plans to reduce DIOH by 20% by 4Q l l l l m l l l l
l 2.1.b. Create action plan to close customer feedback gaps by 3Q l l l m l
l 2.1.a. Review and upgrade ex isting Customer Feedback Process by 1Q l l m l
m m m m l m 1.2.c. Plan, develop, manage and implement automated SPC at appropriate processes l l l l l l l
m m m l m 1.2.b. Enable accurate SPC formats to meet 80% audit scores l l l m m l l l l m
m m m m m l m 1.2.a. Monthly Management to increase Capable Processes to >85% KPIs l l l l l l l l l
m m l 1.1.a. Reduce scrap/rework losses by 50% 4Q l l l m l l l l m
1 3 2 9 9 7 10 2 2 2 2 2 7 3 03 5 1 1 1 1 1 0 0 0 0 1 2 0 0
4.3
En
gin
ee
rin
g A
lign
me
nt
4.2
QM
S E
xe
cu
tio
n:
TS
Syste
ms
4.1
QM
S E
xe
cu
tio
n:
AP
QP
3.1
Ne
w M
RP
Im
ple
me
nta
tio
n
2.2
Le
an
/Co
ntin
ua
l Im
pro
ve
me
nt
Inte
gra
tio
n
2.1
Cu
sto
me
r S
atisfa
ctio
n
1.2
Pro
ce
ss C
on
tro
l (S
PC
/KP
I)
1.1
Scra
p/D
efe
ct
Re
du
ctio
n
CO
PQ
%C
OG
S
OE
E
OT
D
PP
M
Ro
lled
Th
rou
gh
pu
t Y
ield
(R
TY
)
Le
an
Sa
vin
gs
Lin
ea
rity
DIO
H
8D
TT
C
%K
PIs
th
at
me
et
ca
pa
bili
ty
MT
BF
TS
/IS
O S
tatu
s
QM
S/L
ea
n S
co
re
Skill
s A
sse
ssm
en
t L
eve
l
xx
xx
xx
xx
xx
xx
xx
xx
xx
xx
xx
xx
xx
xx
xx
l l l l l 1. Exceed financial income targets: Margin, Cash Conversion, etc. l l l l l l
l l l l l l 2. Increase production/process capacity l l l l l Responsible/Accountable m Consulting/Support
l l l l l 3. Reduce business costs in SGA and Supply Chain l l l l
l l l l l l l l 4. Improve customer satisfaction v ia quality /warranty and OTD performance l l l l l l
l l l l l l l 5. Grow team skills and talent levels l l l l
l l l l l l 6. Exceed safety /environmental standards l
l l l l l l l l 7. Enable competitive costing v ia lean processes l l l l l l
Level II Matrix - YEAR 20XX
Resources
Three (3) QMS Strategies1. Improve upon what we do (reduce PPM/COPE, grow KPIV)
2. Deliver new products/processes well
(APQP/OTD/TS/DIOH/RTY)
3. Grow our skills to enable 1 & 2 (Blooms, QMS, TS)
2nd LevelTactics
(To achieve the initiatives)
YEAR 20xx-xx Strategic PrioritiesBusinessStrategy
Top Level
Initiatives(To Achieve Priorities)
KPIsto Improve
Strategies
Metrics
Tactics
Initiatives
4.3 Engineering Alignment
4.2 QMS Execution: TS Systems
4.1 QMS Execution: APQP
3.1 New MRP Implementation
2.2 Lean/Continual Improvement Integration
2.1 Customer Satisfaction
1.2 Process Control (SPC/KPI)
1.1 Scrap/Defect Reduction
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Product Portfolio…5% Margin?
Lead TimeInitiative: Improve margin by 5%
Action: Conduct error-proofing
VSM review on portfolio mix.
Rationalize products. Continue to
prune
Results: Improvement in
margin base
Qty of Items at Targeted Margin
0
2
4
6
8
10
12
14
-10
0%
-75
%
-50
%
-25
%
0%
25
%
50
%
75
%
10
0%
12
5%
15
0%
Qty of Items at Targeted Margin
0
2
4
6
8
10
12
14
16
-100%
-75%
-50%
-25%
0%
25%
50%
75%
100%
125%
150%
Portfolio Review Results
0%
10%
20%
30%
40%
50%
60%
70%
Reduction in Portfolio Change in Margin
Ex: If targeted margin is 5%, then 8+ Items were meeting the 5% objective before and 14+ were meeting the objective after
22%
Original Process Improved Process
Visual Results
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Measure
What gets measured gets done.
Who knows, it works…
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Warranty %COGS
0
1
2
3
4
5
Yr
1
Yr
2
Yr
3
Com
p
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
History Performance Compare Goal
Sample BSC Format
Performance Goal
History (2-3 yrs)
Current Performance
Arrow for desired direction
Point of Comparison36
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37
Polling Question 4
a) It is better to have more metrics.
b) It better controls the corresponding lagging indicator(s).
c) It is easier to measure.
d) It helps to understand the overall data impact.
What is the key benefit of including Leading Indicators in the KPI process?
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Polling Question 4 Results (Placeholder)
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Analyze
To know and not to do is not to know.
Chinese Proverb
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A VSM defines an existing process. A Future Stream Map (FSM) is the planned process after improvements are made. An action plan (or bridge) on how to close the gaps between the VSM and FSM is generated for implementation.
Value Stream Map (VSM)
What you
THINK it is
What it
ACTUALLY isWhat it
SHOULD be
VSM
FSM
What you
THINK it is
What you
THINK it is
What it
ACTUALLY is
What it
ACTUALLY isWhat it
SHOULD be
What it
SHOULD be
VSM
FSM
"Desk Top"
What we THINK it is
"Reality"
What it ACTUALLY is
"Future"
What it SHOULD be
Mgmt Trap VSM FSM
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Sample VSM: NPI
40 Days
170 Days
Original Process
Initiative: Reduce New
Product Introduction Lead
Time
Action: Conduct value stream
map review. Implement fixes
Results: 70% Lead time
reduction. Team able to
increase NPI output
Day 0 5 10 15 20 25 30 35 40 45 50 55 60 Total
HR HR Comm
Plan & ee
relations
Hiring Training
1 1 5 7
Mfg Eng,
Prod
Create Std
Rtg's
Make L/O.
Takt, Env,
Safety
Order
equip
Test E
quip Validate
Prod Line,
1st article
Manpower
in place
Run
production
Ship
5 4 2 1 0.5 1 1 3 18
Mfg Eng,
Eng
Modify
Facility
Install
Equip
12 5 2 19
Purch Vendor
notification
PO Valid &
change-
over
Issue POs
based on
gaps
5 5 15 25
Matl Create
bridge
schedule
Present
bridge
schedule
At sister loc,
valid inv:
qty, qa
Forecast
loaded,
history
1 5 5 1 12Build bridge
send
w/parts
Ship
it
Receive,
unload
Put away
goods
3 3 1 1 8
QA Supplier
record
review
Yield review,
cust
complaint
data
ID approval
bodies &
audit
Inform
bodies of
change of
mfgr
Valid rec'd
inv. Write
insp plan
4 3 2 1 33 43
Eng Proj review
Sched &
temp req's
David
Groh
approval
Design
process of
dox xfer
Impl
BOM's, IM
etc
5 3 10 15 10 43
Sales Cust info
history
Review
bridge. Do
SIOP
Create
accts
Cust notif
of change
5 1 5 5 16
IT Go live Reporting,
tweaking
15 5 5 3 1
Fin Approve all
fin data.
Inv, Std
cost
Mo review:
Outlook,
E201 spend
Mo review:
Outlook,
E201 spend
3 3 3
Queue Time 30 30
Max Time 15 5 5 10 12 15 33 5 1 3 10 1 0 3 103
VA 5 5
Map all data. Get cust tax data. Run
customer EDI's (test box). Load data.
Future Stream Map: New Product Introduction (Sister Site Transfer). 02/2006
Create WI's, FMEA/CP
ECO's (off-site coord.
Need on site approval)
Improved Process
Lead Time (Days)
0
20
40
60
80
100
120
140
160
180
Before Proj 1 Proj 2 Proj 3
Visual Results
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Improve
Even if you’re on the right track, you’ll still get run over if
you just sit there.
Will Rogers
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Hoshin Kanri is not the same as Management by Objectives (MBOs) Source: Toyota Culture – Jeffrey Liker and Michael Hoseus (2008)
Management by Objectives (MBOs) Hoshin Kanri
Results-oriented evaluation of effort Concerned with both results and
process of getting those results
Top-down communication Top-down direction setting and bottom-
up flow of information and means
Directive Participative
Linear (no feedback, no second
chance, just start over from scratch
each time)
Circular (adds feedback loops (aka
Catchball) and cycles of improvement)
Leveraging Hoshin Kanri…
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Control
There is nothing as useless as doing something efficiently
that which should not be done at all…
Peter Drucker
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We Strategically Applied DMAIC
Define
Measure
Analyze
Improve
Control
We used an X-Matrix to define our customer needs (internal/external).
We used a BSC to determine baselines and set our target performance levels.
We used VSM to investigate causes for gaps and created a plan of attack.
We executed improvements and used tools to fit the problem (VSM, TPM, SUR, EP…).
We used the BSC and HR systems to enable accountability.
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Learning Objectives
In our time together, we have…
• Seen how to apply Define, Measure, Analyze, Improve and Control (DMAIC) to the strategic planning process
• Tactically learned how to link strategic planning and the Quality/Lean Management (QLMS) via the X-Matrix process
• Seen how this lean tool can be applied to several types of organizations
• Increased your understanding of how to develop, manage and execute a strategic plan
[email protected] 419-704-5603
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There are hundreds of excellent books/tools/sites, etc. Here are few that I have used as recent references:
• ASQ.org
• AME.org
• Lean Enterprise Institute (LEI) at Lean.org
• Superfactory.com
• Hoshin Kanri for the Lean Enterprise. Developing Competitive Capabilities and Managing Profit. Thomas L. Jackson
• The Lean Pocket Guide: National Association of Job Shops and Small Manufacturers (NAJS)
• From Good to Great. Jim Collins
• The Tipping Point. How Little Things can make a big Difference. Malcolm Gladwell
• Blink. The Power of Thinking without Thinking. Malcolm Gladwell
• Toyota Production System. Beyond Large Scale Production. Taichii Ohno
• The Toyota Way. Jeffrey Liker
• The Executive Guide to Understanding and Implementing the Baldrige Criteria. Leonard & McGuire
• The Executive Guide to Understanding and Implementing Lean Six Sigma. Meisel, Babb, Marsh, Schlichting
Sources/Ideas
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Questions & Answers
Use the Q & A Panel to send your questions to our panelists.
Jd Marhevko, MBB, CSSBB, CMQ/OE, CQE,
ASQ Fellow, 2016 Shainin Medalist
Vice President
Quality/Lean Management Systems & EHS
Accuride Corporation
Jennifer Ashkenazy, CPA
Research Development Director
IMA
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Thank You to Our Presenter!
Jd Marhevko, MBB, CSSBB,
CMQ/OE, CQE, ASQ Fellow
2016 ASQ Shainin Medalist
Vice President
Quality/Lean Management Systems & EHS
Accuride Corporation
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• Click the “CPE” icon at the bottom of your console
or
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► Please print a copy of the CPE certificate for your records.
► Your CPE credit will be automatically recorded in your transcript.
Final Reminders
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• Rethink the Finance Function to Become a Trusted Business Partner
Wednesday, March 30, 2016 1 p.m. Eastern Daylight Time
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Thank You!