it’s all about time • quality • results
TRANSCRIPT
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
1
Wyrick EnterprisesIt’s all about Time • Quality • Results.
[email protected] • www.WyrickEnterprises.com
Lean Six Sigma® Integration
Shorter • Simpler • Smoother • More StableShorter • Simpler • Smoother • More Stable
® Six Sigma is a registered trademark and service mark of Motorola, Inc.
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
2
The Old verses The New Six Sigma
The Old Six Sigma:
• A Standard Measure of Goodness
The New Six Sigma:
• An Overall Business Improvement Method
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
3
What We Need to Learn …
It’s all about
delivering business results!
Achieving sustainable business improvement
requires integrated team efforts linked to
business priorities.
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
4
The Leader’s Dilemma
How can I
drive weekly performance
and
build future capability . . .
simultaneously?
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
5
The Keys to Successful Business Improvement
• Six Sigma analytic tools and a disciplined, standardized methodology for their use.
• Six Sigma principles of leadership.
• Integrated approach to leading improvement efforts.
• Driving results through engaged teams.
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
6
Management
System
What is Six Sigma?
Methodology
LiteralDefinition
Philosophical Definition
Business Impact
Metric
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
7
The Definition of “Sigma” Is . . .
... a measure of “goodness”, using a universal
measurement scale.
34
56
7
66810
6210
233
3.4
.02
Sigma
DPMO
(Defects Per
Million
Opportunities)Metric
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
8
Six Sigma as a Metric
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
9
Our Six Sigma Methodology Is . . .
• An overall methodology that drives business
improvement.
• A proven tool set for driving and achieving
transformational change within an organization.
• A Business Improvement Process that focuses an
organization on
✓ Customer requirements,
✓ Process alignment,
✓ Analytical rigor,
✓ Timely execution.
Methodology
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
10
DMAIC and the Process Improvement
Roadmap
1.0 Define
Opportunities
2.0Measure
Performance
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
What is
important?
How are
we doing?
What is
wrong?
What
needs to
be done?
How do we
guarantee
performance?What are the
opportunities for
improvement that
will achieve the
organization’s
goals and provide
the largest payoff.
What is our current performance level (e.g. Sigma level
and/or Cpk)?
What are the true root causes for
gaps or problems in performance?
What are the possible solutions
and how do we implement the best
solution?
How do we maintain the gains we have achieved?
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
11
1.0 Define Opportunities
1.0 Define
Opportunities
2.0 Measure
Performance
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
• To identify and/or validate the improvement opportunity, develop the business processes, define critical customer requirements, and prepare themselves to be an effective project team.
• Team Charter• Action Plan• Process Maps• Quick Win
Opportunities• Critical Customer
Requirements• Prepared Team
• Validate/Identify Business Opportunity
• Validate/Develop Team Charter
• Identify and Map Processes
• Identify Quick Win and Refine Process
• Kaizen blitz opportunities
• Translate VOC into CCRs
• Develop Team Guidelines & Ground Rules
Business Case
Goal Statement
Project Plan
Opportunity Statement
Project Scope
Team Selection
Team Charter
TASKS ACTIVITIES RESP. START DUE STATUS &ACTIONS
TASKS ACTIVITIES RESP. START DUE STATUS &ACTIONS
Action Plan
Sigma Goal (CCR)
Gap
Project Focus
$$
CCRs
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
12
2.0 Measure Performance
1.0 Define
Opportunities
2.0Measure
Performance
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
Objective Main ActivitiesPotential Tools and
TechniquesKey Deliverables
• To identify critical measures that are necessary to evaluate the success, meeting critical customer requirements and begin developing a methodology to effectively collect data to measure process performance.
• To understand the elements of the Six Sigma calculation and establish baseline sigma for the processes the team is analyzing.
• Input, Process, and Output Indicators
• Operational Definitions
• Data Collection Formats and Plans
• Baseline Performance
• Productive Team Atmosphere
• Identify Input, Process, and Output Indicators
• Conduct value Stream Analysis
• Develop Operational Definition & Measurement Plan
• Plot and Analyze Data
• Determine if Special Cause Exists
• Determine Sigma Performance
• Collect Other Baseline Performance Data
Input Process Output CCR
Process Indicator
Process Indicator
Output Indicator
Input
Indicator
A B
A1
D1
D2
A2
A B
A1
D1
D2
A2
A B
A1
D1
D2
A2
Checksheets
CCR
Gap
Sigma=
X
UCL
LCL
Sigma=
X
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
13
3.0 Analyze Opportunity
1.0 Define
Opportunities
2.0 Measure
Performance
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
• To stratify and analyze the opportunity to identify a specific problem and define an easily understood problem statement.
• To identify and validate the root causes that assure the elimination of “real” root causes and thus the problem the team is focused on.
• To determine true sources of variation and potential failure modes that lead to customer dissatisfaction.
▪ Data Analysis▪ Validated Root Causes▪ Sources of Variation▪ FMEA▪ Problem Statement▪ Potential Solutions
• Stratify Process• Stratify Data &
Identify Specific Problem
• Develop Problem Statement
• Identify Root Causes• Design Root Cause
Verification Analysis• Validate Root Causes• Comparative Analysis• Sources of Variation
Studies• Failure Modes &
Effects Analysis• Regression Analysis• Process Control• Process Capability• Design of
Experiments
Indicators &
Problem
Statement
(effect)
Problem
Statement
Quantified Root Causes
25%
50%
Total Risk Priority Resulting Risk Priority
Process/Product: FMEA Date: (original)
FMEA Team: (Revised)
Black Belt: Page: of
Process Actions Results
Item
Process
Steps
Potential
Failure
Mode
Potential
Effects of
Failure
Sev
erit
y
Potential
Cause(s)
of Failure
Occ
urr
ence Current
Controls
Det
ecti
on
Ris
k P
rio
rity
Recom-
mended
Action
Responsibility
and Target
Completion
Date
Action
Taken
Sev
erit
y
Occ
urr
ence
Det
ecti
on
Ris
k P
rio
rity
Total Risk Priority Resulting Risk Priority
Process/Product: FMEA Date: (original)
FMEA Team: (Revised)
Black Belt: Page: of
Process Actions Results
Item
Process
Steps
Potential
Failure
Mode
Potential
Effects of
Failure
Sev
erit
y
Potential
Cause(s)
of Failure
Occ
urr
ence Current
Controls
Det
ecti
on
Ris
k P
rio
rity
Recom-
mended
Action
Responsibility
and Target
Completion
Date
Action
Taken
Sev
erit
y
Occ
urr
ence
Det
ecti
on
Ris
k P
rio
rity
Process/Product: FMEA Date: (original)
FMEA Team: (Revised)
Black Belt: Page: of
Process Actions Results
Item
Process
Steps
Potential
Failure
Mode
Potential
Effects of
Failure
Sev
erit
y
Potential
Cause(s)
of Failure
Occ
urr
ence Current
Controls
Det
ecti
on
Ris
k P
rio
rity
Recom-
mended
Action
Responsibility
and Target
Completion
Date
Action
Taken
Sev
erit
y
Occ
urr
ence
Det
ecti
on
Ris
k P
rio
rity
0 5 10 15
0
10
20
30
Approval Time
Cycl
e T
ime
0 5 10 15
0
10
20
30
Approval Time
Cycl
e T
ime
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
14
4.0 Improve Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
1.0 Define
Opportunities
2.0 Measure
Performance
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
• To identify, evaluate, and select the right improvement solutions. To develop a change management approach to assist the organization in adapting to the changes introduced through solution implementation.
• Solutions• Lean practices• Process Maps
and Documentation
• Implementation Milestones
• Improvement Impacts and Benefits
• Storyboard• Change Maps
• Response Surface Methods
• Generate Solution Ideas
• Determine Solution Impacts: Benefits
• Evaluate and Select Solutions
• Develop Process Maps & High Level Plan
• Develop and Present Storyboard
• Communicate Solutions to all Stakeholders
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
15
5.0 Control Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
1.0 Define
Opportunities
2.0 Measure
Performance
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
• To understand the importance of planning and executing against the plan and determine the approach to be taken to assure achievement of the targeted results. To understand how to disseminate lessons learned, identify replication and standardization opportunities/processes, and develop related plans.
• Process Control Systems
• Standards and Procedures
• Training• Team Evaluation• Change
Implementation Plans
• Potential Problem Analysis
• Pilot and Solution Results
• Implement lean practices
• Success Stories• Trained Associates• Replication
Opportunities• Standardization
Opportunities
• Develop Pilot Plan & Pilot Solution
• Verify Reduction in Root Cause Sigma Improvement Resulted from Solution
• Identify if Additional Solutions are Necessary to Achieve Goal
• Identify and Develop Replication & Standardization Opportunities
• Integrate and Manage Solutions in Daily Work Processes
• Integrate Lessons Learned
• Identify Teams Next Steps & Plans for Remaining Opportunities
Error Modes and Effects Analysis
Error Mode Effect Analysis
(EMEA)
Description:
Degree of Effect
Ste
p# Process
StepError Cause Effect
Fre
quen
cy
Sev
erit
y
Det
ecti
on
Tot
al
Occurrence Prevention
(Countermeasure)
4.2.1
Assemble all
outbound
containers in
staging area
• Back injury
during lift
• Foot and toe
injury from
dropped
cont.
• Carry-all
not available
• Lifting
guidelines
not followed
• Back
injuries,
lost time,
insurance
expense
0
+
2
2 4 3 9
• Purchase two new carry-alls for
mailroom
• Include topic in new safety film
4.2.2
Determine
correct
pallet size
• Non-standard
pallet used
• Vendor
pallets kept
• Container
stack over
end of
pallet and
fall when
being lifted
2
+
2
4 1 1 6
• Inspect for non-standard pallets and
return to vendors
4.2.3
Position
empty pallet
in marked
area of
loading dock
• Full pallets
are rotated
90° by hand
• Pallet set 90°
off when
positioned -
lift truck
can’t access
• Back and
hand injuries,
lost time,
insurance
expense and
rework
2
+
3
5 4 1 10
• Update and clarify pallet placement
procedures
• Include topic in new safety film
4.2.4
Stack
outbound
containers on
pallet not to
exceed two
high
• First layer
not
completed
before
starting
second layer
• Stack
guidelines
not used
• Containers
fall while
being lifted
0
+
1
1 1 1 3
• Update and clarify loading guidelines
4.2.5
Load pallets in
vehicle with
lift truck and
secure
• Tie down
lines
damage bulk
mail when
tightened
• Tie down
guidelines
not clear
• Injured
fingers,
damaged
outbound
0
+
1
1 2 1 4
• Update and clarify loading guidelines
Error Modes and Effects Analysis
Sigma Goal (CCR)
Gap
Implemented Solution
CCR
Gap
X
Process Control
System
Project Workplan
CCR
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
16
What’s Missing?
All of this is powerful . . .
. . . so why isn’t it always successful?
Why aren’t companies able to sustain their improvement efforts?
More than 70%
of all
improvement
initiatives FAIL
to achieve
desired results
in time to make
a difference.
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
17
Management Issues in Six Sigma
Six Sigma, in particular, raises strategic issues and
opportunities which need to be addressed.
These issues include:
• Human Resources Considerations
• Organizational Issues
• Financial/Accounting Concerns
• Infrastructure Needs
• Communication Strategies
Our task is to identify the innovative management
strategies that will ensure success.
Management
System
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
18
Six Sigma as a Management System
• A top-down solution designed to help
organizations:– Align – link their strategy to Six Sigma efforts
– Mobilize -- organize project teams and deliver just-in-time
training)
– Accelerate – apply Action Learning principles and manage
timely execution
– Govern – apply management processes to ensure
sustainable results
Focus on the Vital Few
vs.
the Trivial Many
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
19
Six Sigma – Key Outcomes
• Focus on the Customer
• Integrate Data into the Decision-Making Process
• Identify Problems at the Root Cause Level
• Build Infrastructure to Support Process Improvement
• Drive Cross Functional Teamwork
• Build Sustainability
• Integrate Functions and Disciplines
• Prioritize Work and Resources
• Drive Out Cost
• Accelerate Product Development
• Drive Growth
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
20
Link Projects, Processes and Results
through an Integrated Review Process
1.0 CUSTOMER AND MARKET
2.0 FINANCIAL
3.0 INTERNAL
4.0 LEARNING & GROWING
Corporate Business Result Status Report – Q1 ‘03
Sigma Goal (CCR)
Gap CCR
Gap
Sigma=
X
UCL
LCL
Sigma=
X
0 5 10 15
0
10
20
30
Approval Time
Cyc
le T
ime
0 5 10 15
0
10
20
30
Approval Time
Cyc
le T
ime
UCL
LCL
Sigma=XCCR
Gap
Sigma=
X
Product Development Supply Chain Customer Acquisition Order To Cash
D
M
A
I
C
Scorecard Metric
Metric
Goal:Actual:
Achievements This Week:
Key Findings:
Issues & Obstacles:
Next Steps:
Champions Comments:
Sigma Goal (CCR)
Gap
D
M
A
I
C
Scorecard Metric
Metric
Goal:Actual:
Achievements This Week:
Key Findings:
Issues & Obstacles:
Next Steps:
Champions Comments:
Sigma Goal (CCR)
Gap
D
M
A
I
C
Scorecard Metric
Metric
Goal:Actual:
Achievements This Week:
Key Findings:
Issues & Obstacles:
Next Steps:
Champions Comments:
Sigma Goal (CCR)
Gap
D
M
A
I
C
Scorecard Metric
Metric
Goal:Actual:
Achievements This Week:
Key Findings:
Issues & Obstacles:
Next Steps:
Champions Comments:
Sigma Goal (CCR)
Gap
Project A Project B Project C Project D
Wyrick Enterprises, Authorized Motorola University Six Sigma Business Partner
www.wyrickenterprises.com 949-461-0279
21
Thank you for your time!
For more information contact: Wyrick Enterprises
Wyrick EnterprisesIt’s all about Time • Quality • Results.
Lean Six Sigma® Integration
Shorter • Simpler • Smoother • More StableShorter • Simpler • Smoother • More Stable
® Six Sigma is a registered trademark and service mark of Motoro la, Inc.
WYRICK ENTERPRISES
It is all about Reliability, Sustainability, & Repeatability