The Secretary and I expect that every DoD organization is focused every day on improving the effectiveness of our support to the Warfighter
CPI has proven to be an important tool for improving the operating effectiveness of the DoD, not only within logistics and acquisition activities, but also across the full range of operational, administrative Science and Technology, and support functions.
DoD’s policy on the capture of benefits from improvement efforts is that the cost savings and expense reductions that result from improvements in overall operating effectiveness can be retained by the organizations that generate them
Presenter
Presentation Notes
General Mattis believes failure only exists when you choose to stop learning; when you tolerate shortcomings, errors or mishaps and take no corrective action--that's when you fail, when you accept the status quo and do nothing to question or improve it. True learning organizations do just that—they ingrain learning into their DNA by asking difficult questions that challenge previously held assumptions. They deliberately question whether they're doing things right and if they're doing the right things. If the answer isn’t a resounding “yes” to either of these (one doesn’t suffice), then the next question is, “How might we?” CPI is an integrated system of improvement that focuses on doing the rrght things, right. CPI is also :an enterprise-wide 11way of thinking·11 for achieving lower cost" shorter lead times, and higher quality. As a way of thinking, CPI is relevant to :any process, regardless of complexity or re[ative importance. The CPI .system has an ong·oing focus on enhancing the satisfaction of the Warfighter's needs.
CPI has proven to be an important tool for
improving the operating effectiveness
of the DoD
Gordon England, Deputy Secretary of DefenseGordon England, Deputy Secretary of Defense
“The Secretary and I expect that every DoD organization is
focused every day on improving the effectiveness
of our support to the Warfighter”
CPI – AN UMBRELLA TERM
Presenter
Presentation Notes
The words on the slide are from the cover letter for the original CPI Transformation Guidebook, which has since been revised and renamed the Continuous Process Improvement/Lean Six Sigma Guidebook,with Revision 1 dtd July 2008 CPI has proven to be an important tool for improving the operating effectiveness of the DoD, not only within logistics and acquisition activities, but also across the full range of operational, administrative, Science and Technology, and support functions. We should continue to broaden and accelerate use of these tools to further improve effectiveness. The guide is a resource for use by DoD and its various agencies and offices, in designing and managing CPI efforts. It standardizes terminology and incorporates best practices from leading industry and DoD experience. The latest version of the guide book is:
The goal of CPI is to continuously improve products and services. Essential to achieving this goal is knowing what the customer wants - the customer determines what is of value. Voice of the Customer {VOC) means actively listening and responding to the needs of the customer.
WHAT IS LEAN SIX SIGMA (LSS)?“Lean Six Sigma is a fact-based, data-drivenphilosophy of improvement that values defect prevention over defect detection. It drives customer satisfaction and bottom-line results by reducing variation, waste, and cycle time, while promoting the use of work standardization and flow, thereby creating a competitive advantage. It applies anywhere variation and waste exist, and every employee should be involved.”
American Society for Quality (ASQ)
Presenter
Presentation Notes
The demarcation between Six Sigma and Lean has blurred. Lean and Six Sigma have the same general purpose of providing the customer with the best possible quality, cost, delivery, and a newer attribute, nimbleness. There is a great deal of overlap, and disciples of both disagree as to which techniques belong where. Lean focuses on waste reduction, whereas Six Sigma emphasizes variation reduction. The most successful implementations have begun with the lean approach, making the workplace as efficient and effective as possible, reducing waste, and using value stream maps. When process problems remain, the more technical Six Sigma statistical tools may be applied. One thing they have in common is that both require strong management support to make them the standard way of doing business.
TWO GREAT TASTES . . .
• Focus on the customer.• Identify and understand how the work gets
done (the value stream).• Manage, improve and smooth the process
flow. • Remove Non-Value-Added steps and waste.• Manage by fact and reduce variation. • Involve and equip the people in the process.• Undertake improvement activity in a
systematic way.
THAT TASTE GREAT TOGETHER• Work for the customer - The primary goal should
be to deliver maximum benefit to the customer. • Find your problem and focus on it – Stay the
course and avoid distractions • Remove variation and bottlenecks - Once
you’ve identified the problem, it’s time to look for ways to decrease opportunities for defects.
• Communicate and train team members - Team members need to know the LSS methodology and tools, the goals of the project, and stay informed of progress made.
• Be flexible and responsive - Change and LSS go hand-in-hand.
Presenter
Presentation Notes
Establish a clear standard of quality early on that’s defined by what the customer or market demands. Don’t get caught up in a whirlwind of desired changes. Gather data that shows you where your specific problem area lies and concentrate on refining only that area of your business. Any attempt to broadly alter the company or change the product will likely derail the LSS process. These openings often come in the form of long, intricate processes that leave significant room for mistakes and waste. Streamlining or removing these functions is an excellent way to achieve quality control and efficiency. Six Sigma methodology can cause tremendous change and requires specialized focus on the part of management. Advanced certifications in Six Sigma are critically important for reducing the risk of project failure and ensuring that the entire process run smoothly. A process or function that is identified as faulty or inefficient, must be refined or removed. Clinging to a failing approach is not an option with LSS. Change and change management can be challenging and painful, but it’s a small price to pay for what every business leader strives for: a leaner, stronger, more competitive company.
COMPLEMENTARY TO . . .
• Agile• Risk /Opportunity Management• Should Cost• Reduction in Total ownership Cost• Theory of Constraints• Business Process Re-engineering• Total Quality Management• Other methodologies and processes
• Interactions• Time lags• Non-linearities• People• Conflicting Goals
• Leverage Effects
• Short-term vs. Long-term benefits
• Effect of uncontrollable external forces
Presenter
Presentation Notes
Why are manufacturing systems so difficult to manage? Because of classic systems behavior! They are a complex, tightly coupled network.
11
LEAN PRINCIPLES
• Specify “value” - the customer’s perspective
• Map and analyze the “value stream” end to end/across organizational boundaries
• Make the value stream “flow” – no stops, piles, or back-ups
• Enable the customer to “pull” value from the value stream
• Seek “perfection”
CustomerWhat does my customer need?
How are we performing
from the customer’s
perspective?
How does my customer
measure my process?
How would my customer like
for our process to perform?
What can we do better?
How does my customer view my process?
Presenter
Presentation Notes
Lean’s focus is clear: Focus on the customer – that’s why you are in this business! Eliminate waste so that more of your productive capacity goes to something a customer wants Improve throughput – if you eliminate waste, you improve throughput Make efficient use of your resources – bigger bang for the buck And, most of all, SPEED! Speed to market with increased capabilities Speed to support that improves readiness THAT’S LEAN. Are there any questions about lean?
LEAN MANUFACTURINGBest of Craft and Mass• High volume (M)• Low cost/price (M)• Great variety (C)• Low inventories (C)• Flexible Workers, Tools, Machines (C)• Quality: Process insures first time perfect product (C)• Suppliers: Establish, keep good relationships (C)• Workers: Key resources – Keep if possible (C)• Metrics Focus: meeting customer requirements (C)
12Lean Intent: Use the best of Craft & Mass, lose the rest
C = Craft Mfg.M = Mass Mfg.
Presenter
Presentation Notes
Student Examples of Lean Manufacturing (besides Toyota)?
VALUE-ADDED
13
Value-Added Transforms or shapes material or information Customer wants it Done right the first timeNon-Value Added But Required No value created but required by current
technology No value created but required by current thinking No value created but required by process
limitationsWaste Consume resources but create no value for the
customer Pure waste
Presenter
Presentation Notes
As a customer, what are you willing to pay for? If you wouldn’t pay for it, can you eliminate it? That’s the test. Toyota: Anything that is not value to the customer is “Muda” = WASTE Type 1 Waste = WASTE Type 2 Waste = Non Value Added, but required for the process
VALUE STREAM• The sequence of activities required to
design, develop, manufacture, and sustain a specific product:
• concept to launch • order to delivery • raw materials to finished product
–Map each value stream–Critically assess “value-added” at each
step–Work to eliminate non-value added
activity (waste) 14
Presenter
Presentation Notes
The second principle of lean is value stream. The Value Stream consists of the sequence of activities required to design, develop, manufacture, and sustain a specific product to customers. Dr. James Womack, in his book “Lean thinking” identifies three separate value streams for each product: · concept to launch PROBLEM SOLVING LOOP = R&D · order to delivery INFORMATION MANAGEMENT LOOP = Marketing · raw materials to customer PHYSICAL TRANSFORMATION LOOP = Manufacturing Concept to launch refers to all the steps required from the identification of the threat, through the decision to pursue a material solution, through the design of that solution, and testing, or launching a prototype. This is often referred to as the Problem-Solving Loop. Order to delivery refers to all the steps required in taking customer orders for products, ordering materials to make the products, translating the customer orders and material deliveries into the production schedule, tracking customer orders to delivery, and the payment cycle. This is often called the Information Management Loop. Raw materials to customer refers to all the steps required in the fabrication, assembly, and testing of the product. This is often called the Physical Transformation Loop. Value stream tasks for lean thinkers include: § Mapping each value stream § Critically assessing “value-add” at each step. That is, checking to see that the focus is from the customers’ perspective and that the process step conforms to lean ideals (zero inventory, continuous flow, and continuous improvement.) § Working to eliminate non-value added activities
VALUE STREAM MAPPING
15
This is what you THINK your process is…
Value Stream Mapping will help you see what your process
ACTUALLY is…
… and help you plan what it SHOULD BE.
• Identify all material and information flow• Identify value added and non-value added steps to identify potential wastes
• Value Stream Mapping emphasizes process flow versus physical representation
EACH GRAPHIC BUILDS WITH HEADER ON CLICK BOTTOM RIGHT BULLETS BUILD ONE AT A TIME Map your AS IS process first – you will be surprised it may not be as you think it is. Start with your AS IS knowledge before trying to make changes. Follows with a discussion of our Seven Plus One Wastes…
• Creativity (Unused)16Consume resources but creates no value for the customer
Presenter
Presentation Notes
The Japanese compiled a list they call “The Seven Wastes”. These are the most likely places to find and eliminate waste in manufacturing processes. The Center for Robotics and Manufacturing Excellence at the University of Kentucky has added the eighth. Over-production ahead of demand Inventory more than the absolute minimum Unnecessary Transportation of materials Unnecessary Movement by employees Waiting for the next processing step Production of Defective Parts Over-Processing of parts Failure to use creative power of workers Why bother? You’ll probably end up your first year or so having done maybe 25 or 30 Kaizen events that will make a significant difference in your productivity. But what would happen if the Lean Champion had a goal of 1,000? Or 5,000? How’s that going to happen? Is it possible? In 1999, 5,048 of TMMK’s 7,800 employees submitted 151,328 suggestions. 98% were implemented with the employees receiving $5.08 million in award money (about $1,000 each.) Toyota realized a cost savings of $41.5 million as a result of those ideas. They also supported 266 quality circles, which generated ideas saving the company another $10.2 million. From 1989 to 1999, savings resulting from suggestion program ideas total over $379 million.
Roof, shelter, is in customers continuing to buy our products. Satisfy them by delivering the highest quality at the lowest cost, in the shortest amount of time. All plans must be considered from the customers perspective before you implement. If I spend money on this, will the customer benefit? If I cut this function, will the customer benefit? These are the basic elements of a Lean company. This little run through has given you some of the language and some of the intent. Let’s take a closer look, now at the principles and some of the practices.
SUSTAIN
ConsistentlyApplying 6S
Methods In A UniformAnd Disciplined Manner
Clearly Distinguish
Needed Items From Unneeded Items And EliminateThe Latter
Keep Needed ItemsIn The Correct Place
To Allow ForEasy And
ImmediateRetrieval
Keep TheWorkshopSwept And
Clean
STANDARDIZE
MaintainingEstablishedProcedures
SERI = SortIDENTIFY/SEPARATE NECESSARY FROM UNNECESSARY
SEITON = StraightenPLACEMENT / IDENTIFICATION OF NEEDED WORK ITEMS
SEISON = ShineMAINTAINING A
CLEAN WORK PLACE
SEIKETSU = StandardizeSTANDARDIZATION FOR EASE OF USE
SHITSUKE = SustainNOTATIONAL METHOD FOR THE CONFORMANCE TO RULES
5S AND 6S
18
SAFETY
Presenter
Presentation Notes
Toyota does not have SAFETY – its in everything they do Lockheed-Martin added the sixth S for SAFETY
5-S EXERCISE
Page 19
Task is to find in order numbers 1-49 in 20
seconds
20
Page 20
5-S EXERCISE
Page 21
Task is to find in order numbers 1-49 in 20
seconds
22
Page 22
5-S EXERCISE
Page 23
Task is to find in order numbers 1-49 in 20
seconds
24
Page 24
5-S EXERCISE
Page 25
Task is to find in order numbers 1-49 in 20
seconds
Page 26
Page 27
Find two numbers missing between 1-49
28
Page 28
Page 29
Task is to find in order numbers 1-49 in 20
seconds
Page 30
Process A Process B Process C End UserFLOW: BATCH AND QUEUE
Elapsed time:33 seconds
Process A Process B Process C End User
SINGLE-PIECE FLOW
Elapsed time:15 seconds!
Presenter
Presentation Notes
Batching is not always bad! The answer to the question of when to apply the concepts is…it depends on your need If batching speeds things up, and doesn’t cause waiting, or excess cost, then don’t switch just because “lean says batching is bad.” But if throughput velocity is important, batching will slow thing down Inventory may not need to be reduced if it isn’t costing you to store it (managing it, floor-space, etc.), shelf-life isn’t an issue, etc.
Roof, shelter, is in customers continuing to buy our products. Satisfy them by delivering the highest quality at the lowest cost, in the shortest amount of time. All plans must be considered from the customers perspective before you implement. If I spend money on this, will the customer benefit? If I cut this function, will the customer benefit? These are the basic elements of a Lean company. This little run through has given you some of the language and some of the intent. Let’s take a closer look, now at the principles and some of the practices.
PERFECTIONWhat is “good enough”? 99.9%?
• 20,000 wrong drug prescriptions a year• 107 incorrect medical procedures a day• 18,322 pieces of mishandled mail an
hour• 2,000,000 documents lost by the IRS a
year• 2 long or short landing at any major
airport each day
Can we achieve perfection?74
Presenter
Presentation Notes
Definitions from Lean Thinking, by Womak and Jones Perfection, p.287 Lean Enterprise, pp.12, 276, 282 Lean Enterprise = a continuing conference of all the concerned parties to create a channel for the entire value stream, dredging away all of the waste Cannot truly optimize your stretch of the value stream for any extended period without seeking to optimize the whole
WHAT IS SIX SIGMA?The founders of Motorola’s “Six
Sigma” program, say it is:• First, a statistical measurement (6σ)
• 3.4 defects per million opportunities
• Second, a business strategy
• Structured problem solving roadmap
• Third, a philosophy for breakthrough thinking• Reduce variation• Customer focused• Data driven decisions
Presenter
Presentation Notes
Six Sigma was founded by Motorola Sigma is the Greek letter for standard deviation It is a statistical measurement, business strategy, as well a way of thinking Just as Lean does, Six Sigma says to focus on who the customer is and what they want; however, six sigma focuses on the more technical ways to achieve that
WHAT ELSE IS SIX SIGMA?
Traditional ApproachFixing symptomsReactiveExperience-basedTweakingIf time permitsHierarchyFirefighting
Six Sigma ApproachPreventing causesProactiveData-basedControllingMandatedEmpowered teamsBenchmarking & Metrics
Organizational IssueProblem resolutionBehaviorDecision MakingProcess AdjustmentEmployee trainingChain of CommandDirection
Cultural Change
6σ - 99.99966% Good
• 20,000 lost articles of mail per hour
• 5,000 incorrect surgical operations per week
• 200,000 wrong drug prescriptions each year
• No electricity for almost 7 hours each month
• 7 lost articles of mail per hour
• 1.7 incorrect surgical operations per week
• 68 wrong drug prescriptions each year
• 1 hour without electricity every 34 yrs
3.8σ - 99% Good
6 SIGMA PERFORMANCE
WHICH WORLD DO YOU WANT TO LIVE IN?
VARIATION REDUCTION
Unpredictable
CenterProcess Reduce
SpreadXXXXX
XXXXX
X XXX
On-Target
XXXXX
XXXXX
X XXX
Off-TargetX
XX
XX
XX
X
X
XXX
XX
X
INSPECTION EXERCISE The Necessity of Training Farm Hands for First Class Farms in
the Fatherly Handling of Farm Livestock is Foremost in the
Eyes of Farm Owners. Since the Forefathers of the Farm
Owners Trained the Farm Hands for First Class Farms in the
Fatherly Handling of Farm Live Stock, the Farm Owners Feel
they should carry on with the Family Tradition of Training
Farm Hands of First Class Farmers in the Fatherly Handling of
Farm Livestock Because they Believe it is the Basis of Good
Fundamental Farm Management.
Presenter
Presentation Notes
This chart is not included in the student’s handouts as it provides the answers to the inspection exercise. Active learning exercise: Ask students to take out the “F” Exercise from their student folders. You will time them – students will have 30 seconds. When you say “go” or give the signal, students must search the document and circle as many Fs as they can find! You will then use the excel spreadsheet described on the next page to find out how many Fs the students found. There are actually 36 Fs on this page. It is expected that many students will not finish during this time. Discuss the point that visual inspection is often flawed. As we saw during the exercise, many people missed at least some of the Fs on this page. So, we can’t rely only on inspection as a way to verify quality.
INSPECTION EXERCISE The Necessity of Training Farm Hands for First Class Farms
in the Fatherly Handling of Farm Livestock is Foremost in the
Eyes of Farm Owners. Since the Forefathers of the Farm
Owners Trained the Farm Hands for First Class Farms in the
Fatherly Handling of Farm Live Stock, the Farm Owners Feel
they should carry on with the Family Tradition of Training
Farm Hands of First Class Farmers in the Fatherly Handling of
Farm Livestock Because they Believe it is the Basis of Good
Fundamental Farm Management.
Presenter
Presentation Notes
This chart is not included in the student’s handouts as it provides the answers to the inspection exercise. Active learning exercise: Ask students to take out the “F” Exercise from their student folders. You will time them – students will have 30 seconds. When you say “go” or give the signal, students must search the document and circle as many Fs as they can find! You will then use the excel spreadsheet described on the next page to find out how many Fs the students found. There are actually 36 Fs on this page. It is expected that many students will not finish during this time. Discuss the point that visual inspection is often flawed. As we saw during the exercise, many people missed at least some of the Fs on this page. So, we can’t rely only on inspection as a way to verify quality.
MeasureDefine ImproveAnalyze Control
What is important to the customer:Project SelectionTeam FormationEstablish Goal
The Process Gains:Ensure Solution
is Sustained
The Process Performance Measures:Prioritize Root Causes
Innovate Pilot SolutionsValidate ImprovementHow well we are doing:
Collect DataConstruct Process Flow
Validate Measurement System
The Process:Analyze Data
Identify Root Causes
DMAIC METHODOLOGY
DMAIC
• Review Project Charter • Validate Problem Statement
and Goals• Validate Voice of the
Customer and Voice of the Business
• Validate Financial Benefits• Validate High-Level Value
Stream Map and Scope• Create Communication Plan• Select and Launch Team• Develop Project Schedule• Complete Define Gate
• Identify Potential Root Causes
• Reduce List of Potential Root Causes
• Confirm Root Cause to Output Relationship
• Estimate Impact of Root Causes on Key Outputs
• Prioritize Root Causes• Complete Analyze
Gate
• Develop Potential Solutions
• Evaluate, Select, and Optimize Best Solutions
• Develop ‘To-Be’ Value Stream Map(s)
• Develop and Implement Pilot Solution
• Confirm Attainment of Project Goals
• Develop Full Scale Implementation Plan
• Complete Improve Gate
• Implement Mistake Proofing
• Develop SOP’s, Training Plan and Process Controls
• Implement Solution and Ongoing Process Measurements
• Identify Project Replication Opportunities
• Complete Control Gate• Transition Project to
Process Owner
• Project Charter• Voice of the Customer
and Kano Analysis• SIPOC Map• Project Valuation / ROIC
Analysis Tools• RACI and Quad Charts• Stakeholder Analysis• Communication Plan• Effective Meeting Tools• Inquiry and Advocacy
Skills• Time Lines, Milestones,
and Gantt Charting• Pareto Analysis• Belbin Analysis
• Value Stream Mapping• Value of Speed (Process
Cycle Efficiency / Little’s Law)
• Operational Definitions• Data Collection Plan• Statistical Sampling• Measurement System
Analysis (MSA) • Gage R&R• Kappa Studies• Control Charts• Histograms• Normality Test• Process Capability
Analysis
• Process Constraint ID and Takt Time Analysis
• Cause and Effect Analysis
• FMEA• Hypothesis Tests/Conf.
Intervals• Simple and Multiple
Regression• ANOVA• Components of
Variation• Conquering Product and
Process Complexity• Queuing Theory
• Replenishment Pull/Kanban
• Stocking Strategy• Process Flow
Improvement • Process Balancing• Analytical Batch Sizing• Total Productive
Maintenance• Design of Experiments
(DOE)• Solution Selection Matrix• Piloting and Simulation
• Mistake-Proofing/Zero Defects
• Standard Operating Procedures (SOP’s)
• Process Control Plans• Visual Process Control
Tools• Statistical Process
Controls (SPC)• Solution Replication• Project Transition Model• Team Feedback Session
• Value Stream Map for Deeper Understanding and Focus
• Identify Key Input, Process and Output Metrics
• Develop Operational Definitions
• Develop Data Collection Plan• Validate Measurement
System• Collect Baseline Data• Determine Process Capability• Complete Measure Gate
Tools
Activities
ImproveAnalyze ControlMeasureDefine
Presenter
Presentation Notes
From George Group – DMAIC Road Map ?? Say “This slide again highlights the activities and tools the team should be using in each phase of the DMAIC process. This is a good reference check for gate reviews.”
HENRY FORD - 1926• “To standardize a method is to choose out of
the many methods, the best one, and use it.
• Today’s standardization, instead of being a barricade against improvement, is the necessary foundation on which tomorrow’s improvement will be based.
• If you think of ‘standardization’ as the best that you know today, but which is to be improved tomorrow, you get somewhere. But if you think of standards as confining, then progress stops.”
Presenter
Presentation Notes
Using this philosophy, Henry Ford was able to take the assembly time per car from 13 hours to 2.5 hours. Stress that best possible means “the best which the current circumstances will allow” -- don’t let “best” become the enemy of “better”!
SEVEN QUALITY TOOLS
• Flowchart• Check Sheet• Run Chart• Pareto Chart
44
• Cause and Effect Diagram
• Histogram• Control Charts
Presenter
Presentation Notes
Tools for continuous improvement: These seven tools were originally presented in The Memory Jogger – tools that were found to be good for ALL workers to know and apply. Translate data into information through statistics and graphics Instant replay analogy: Different camera angles some of them lead to conclusions some do not. SHAPE: HistogramPareto Chart CENTER: Measure of Central Tendency TREND: Run Chart SPREAD: Measure of Variance / Variation Tools help us to: Decide which problem to address first, develop a complete picture of all the possible causes of a problem, agree on the basic causes of a problem, develop a solution and action plan, implement the solution and monitor progress of the solution.
FLOW CHART
45
Example Flow Chart and Basic Symbol Definitions
Presenter
Presentation Notes
Looking for consistent use of symbols CIRCLES are entrance and exit nodes RECTANGLES are process steps DIAMONDS are decision steps PENTAGON are next page connectors CLOUD represents an unknown or out of scope activity
SWIM LANE CHART
46
Presenter
Presentation Notes
Aligns PROCESS to STAKEHOLDERS
CAUSE AND EFFECT
• Fishbone – Ishikawa diagram
• Helps to identify, explore, explain possible “causes” of a problem/effect
• Provides framework to ask why variation / deviation occurs.
• Major categories / causes – 5/6Ms
47
Presenter
Presentation Notes
Fishbone Diagram; Also Called: Cause-and-Effect Diagram, Ishikawa DiagramVariations: cause enumeration diagram, process fishbone, time-delay fishbone, CEDAC (cause-and-effect diagram with the addition of cards), desired-result fishbone, reverse fishbone diagram Description The fishbone diagram identifies many possible causes for an effect or problem. It can be used to structure a brainstorming session. It immediately sorts ideas into useful categories. When to Use When identifying possible causes for a problem. Especially when a team’s thinking tends to fall into ruts. Procedure Materials needed: flipchart or whiteboard, marking pens. Agree on a problem statement (effect). Write it at the center right of the flipchart or whiteboard. Draw a box around it and draw a horizontal arrow running to it. Brainstorm the major categories of causes of the problem. If this is difficult use generic headings: Methods Machines (equipment) People (manpower) Materials Measurement Environment (Milieu) Write the categories of causes as branches from the main arrow. Brainstorm all the possible causes of the problem. Ask: “Why does this happen?” As each idea is given, the facilitator writes it as a branch from the appropriate category. Causes can be written in several places if they relate to several categories. Again ask “why does this happen?” about each cause. Write sub-causes branching off the causes. Continue to ask “Why?” and generate deeper levels of causes. Layers of branches indicate causal relationships. When the group runs out of ideas, focus attention to places on the chart where ideas are few. Example This fishbone diagram was drawn by a manufacturing team to try to understand the source of periodic iron contamination. The team used the six generic headings to prompt ideas. Layers of branches show thorough thinking about the causes of the problem. For example, under the heading “Machines,” the idea “materials of construction” shows four kinds of equipment and then several specific machine numbers. Note that some ideas appear in two different places. “Calibration” shows up under “Methods” as a factor in the analytical procedure, and also under “Measurement” as a cause of lab error. “Iron tools” can be considered a “Methods” problem when taking samples or a “Manpower” problem with maintenance
CHECK SHEET• Logical starting point in problem solving
cycle• Translates “opinions” into “facts”• Gather data based on sample observations• Detect patterns/shapes/and distributions
48
Presenter
Presentation Notes
Check Sheet Also called: defect concentration diagram Description A check sheet is a structured, prepared form for collecting and analyzing data. This is a generic tool that can be adapted for a wide variety of purposes. When to Use When data can be observed and collected repeatedly by the same person or at the same location. When collecting data on the frequency or patterns of events, problems, defects, defect location, defect causes, etc. When collecting data from a production process. Procedure Decide what event or problem will be observed. Develop operational definitions. Decide when data will be collected and for how long. Design the form. Set it up so that data can be recorded simply by making check marks or Xs or similar symbols and so that data do not have to be recopied for analysis. Label all spaces on the form. Test the check sheet for a short trial period to be sure it collects the appropriate data and is easy to use. Each time the targeted event or problem occurs, record data on the check sheet. Example The figure shows a check sheet used to collect data on telephone interruptions. The tick marks were added as data was collected over several weeks. Excerpted from Nancy R. Tague’s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004, pages 141-142.
PARETO CHART
49
• Special form of vertical bar graph with bars arranged in descending order
• Helps prioritize problems to solve – which to solve first• Highest, most critical, most costly defect• 80/20 rule
Presenter
Presentation Notes
Pareto Chart Also called: Pareto diagram, Pareto analysis 80/20 rule: 20% of the sources cause 80% of any problems. Pareto Chart A Pareto Chart is a special type of bar chart where the values being plotted are arranged in descending order. It is named for Vilfredo Pareto. Typically the left axis is frequency, but can also be cost, or other unit of measure. The goal (and usage) of a Pareto Chart is to highlight the biggest factor for a set of factors. In a quality analysis this can be the largest defect, or can be used to represent the top half of problems. Description A Pareto chart is a bar graph. The lengths of the bars represent frequency or cost (time or money), and are arranged with longest bars on the left and the shortest to the right. In this way the chart visually depicts which situations are more significant. When to Use When analyzing data about the frequency of problems or causes in a process. When there are many problems or causes and you want to focus on the most significant. When analyzing broad causes by looking at their specific components. When communicating with others about your data. Procedure Decide what categories you will use to group items. Decide what measurement is appropriate. Common measurements are frequency, quantity, cost and time. Decide what period of time the chart will cover: One work cycle? One full day? A week? Collect the data, recording the category each time. (Or assemble data that already exist.) Subtotal the measurements for each category. Determine the appropriate scale for the measurements you have collected. The maximum value will be the largest subtotal from step 5. (If you will do optional steps 8 and 9 below, the maximum value will be the sum of all subtotals from step 5.) Mark the scale on the left side of the chart. Construct and label bars for each category. Place the tallest at the far left, then the next tallest to its right and so on. If there are many categories with small measurements, they can be grouped as “other.” Steps 8 and 9 are optional but are useful for analysis and communication. Calculate the percentage for each category: the subtotal for that category divided by the total for all categories. Draw a right vertical axis and label it with percentages. Be sure the two scales match: For example, the left measurement that corresponds to one-half should be exactly opposite 50% on the right scale. Calculate and draw cumulative sums: Add the subtotals for the first and second categories, and place a dot above the second bar indicating that sum. To that sum add the subtotal for the third category, and place a dot above the third bar for that new sum. Continue the process for all the bars. Connect the dots, starting at the top of the first bar. The last dot should reach 100 percent on the right scale. Examples Figure 1 shows how many customer complaints were received in each of five categories.
RUN CHART• Data points plotted on graph in sequence over
time• Displays trends or shifts in average• Useful for: machine downtime, yield rate, scrap,
errors variance over time
50
Presenter
Presentation Notes
Trends in raw data that were previously obscure are readily apparent when data points are plotted. These charts are useful to identify where and when problems exist. A.K.A. “Time Plots” – data taken over time
X-BAR AND R CHARTS
10987654321
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48
42
36
30
Sample
Sam
ple
Mea
n
__X=42.56
UC L=55.87
LC L=29.25
10987654321
48
36
24
12
0
Sample
Sam
ple
Ran
ge
_R=23.08
UC L=48.80
LC L=0
Xbar-R Chart of Doc 1, ..., Doc 5
51
UCL = 56.64
LCL = 28.48
24.4
Control Charts of continuous data will have 2 charts:• 1 for Central Tendency (X Bar Chart)• 1 for Dispersion (R Chart)
𝑈𝑈𝑈𝑈𝑈𝑈 = �𝑋𝑋+ 𝐴𝐴2 ∗ �𝑅𝑅
𝑈𝑈𝑈𝑈𝑈𝑈 = �𝑋𝑋− 𝐴𝐴2 ∗ �𝑅𝑅
𝑈𝑈𝑈𝑈𝑈𝑈 = 𝐷𝐷4 ∗ �𝑅𝑅
𝑈𝑈𝑈𝑈𝑈𝑈 = 𝐷𝐷3 ∗ �𝑅𝑅
𝑈𝑈𝑈𝑈 = �𝑅𝑅
𝑈𝑈𝑈𝑈 = �𝑋𝑋
Presenter
Presentation Notes
What are we seeing? X-Bar is trending upwards R-chart is showing a fairly consistent range Equations for computing UCL and LCL of X-Bar Chart UCL = X-DblBar + (A2 * R-Bar) LCL = X-DblBar – (A2 * R-Bar) Equations for computing UCL and LCL of R-Chart UCL = D4 * R-Bar LCL = D3 * R-Bar Difference between CONTROL LIMIT and SPECIFICATION LIMIT? Specification Limit comes from the CUSTOMER – and may or may not be based on reality Control Limit is based on the PROCESS
THE 5 WHY’S
Why?The Jefferson Memorial is deteriorating
Too much washing
Excess bird droppings
Lots of spiders to eat
Lots of gnats to eat
The lights are on all the time
Why?
Why?
Why?
Why?
Source: Lockheed Martin
Presenter
Presentation Notes
Turned off lights for three hours every night 90% reduction in number of gnats within 2 weeks.
DESIGN OF EXPERIMENTS
• DOE is a formal method of analyzing how factors, components or ingredients in a manufactured product affect its quality, performance or other attributes.
• Seven step controlled process to understand how multiple independent variables influence a dependent variable.
53
Presenter
Presentation Notes
In a manufacturing context, DOE helps us identify what variables drive the performance or attributes of our product. Using DOE we will be also able to quantify that impact and measure the interaction between the input variables. Importantly, we can use this info to designate key characteristics whose variability we want to carefully control. Also, perhaps we could widen the tolerances for those unimportant variables. A picture here drawn by the instructor describing inputs and outputs may be helpful for providing an overview of this topic.
DAMAIC AND DMADVDMAIC• Define the opportunity for improvement (project goal).• Measure the performance of your existing process.• Analyze the process to find any defects and their root causes.• Improve the process by addressing the root causes you found.• Control the improved process and future process performance to correct
any deviations before they result in defects.
DMADV • Define the process goal, keeping in line with the overall company strategy
and customer needs.• Measure the factors that are critical to quality (called CTQs).• Analyze various design and development options.• Design the process.• Verify that the design meets process goals and customer needs. Pilot the
process and, if successful, implement the process. 54
Presenter
Presentation Notes
Within Six Sigma, process engineers use two sub-methodologies, DMAIC for improving existing processes and DMADV for creating new processes. The more widely used of the two, DMAIC follows these steps: DMADV follows similar steps, though users will look at different factors since a process does not exist yet:
CONCEPT COMPARISONProgram Six Sigma Lean Thinking Theory of
Guidelines1. Define2. Measure3. Analyze4. Improve5. Control
1. Identify value2. Identify value
stream3. Flow4. Pull5. Perfection
1. Identify constraint2. Exploit constraint3. Subordinate the
process4. Elevate constraint5. Repeat cycle
Focus Problem focused Flow focused System constraintsAssumptions A problem exists
Figures and numbers are valued
System output improves if process variation is reduced
Waste removal will improve
business performance
Many small improvements
are better than system analysis
Emphasis on speed and volume
Uses existing systems
Process interdependence
Primary Effect Uniform process output
Reduced flow time Fast throughput
55
Presenter
Presentation Notes
Some “sects” insist that these CPI elements have no affiliation. Other activities (NAVAIR AIRSpeed, AF21) embrace the benefits of each used in conjunction with the others.
WHAT IS LEAN SIX SIGMA?• The demarcation between Six Sigma and
Lean has blurred.• Lean and Six Sigma have the same general
purpose of providing the customer with the best possible quality, cost, delivery, and a newer attribute, nimbleness.
• There is a great deal of overlap, and disciples of both disagree as to which techniques belong where.
• Lean focuses on waste reduction, whereas Six Sigma emphasizes variation reduction.
American Society for Quality (ASQ)
Presenter
Presentation Notes
The demarcation between Six Sigma and Lean has blurred. Lean and Six Sigma have the same general purpose of providing the customer with the best possible quality, cost, delivery, and a newer attribute, nimbleness. There is a great deal of overlap, and disciples of both disagree as to which techniques belong where. Lean focuses on waste reduction, whereas Six Sigma emphasizes variation reduction.
WHAT IS LEAN SIX SIGMA?• The most successful implementations have
begun with the lean approach, making the workplace as efficient and effective as possible, reducing waste, and using value stream maps.
• When process problems remain, the more technical Six Sigma statistical tools may be applied.
• One thing they have in common is that both require strong management support to make them the standard way of doing business.
American Society for Quality (ASQ)
L/SS LEARNING ASSETS
• CLM’s– CLE 004: Intro to Lean Enterprise
Concepts– CLE 007: Lean 6 Sigma– CLE 008: Six Sigma Concepts and
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