© 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

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© 2001 Six Sigma Academy © 2003 Six Sigma Academy 1 Champion Workshop Key Concepts

Transcript of © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

Page 1: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2001 Six Sigma Academy© 2003 Six Sigma Academy 1

Champion Workshop

Key Concepts

Page 2: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy2

Cash FlowReturn on Equity

Customer SatisfactionAsset Utilization

ProcessCapability

VARIABILITYVARIABILITY

FMEA CTQ

Multivariate Statistics

Mistake Proofing

Reliability

SPC

Process Mapping

DOE

C&E Matrix

Problem Solving

SystemsThinking

WASTEWASTE

Visual Controls

Linkages & Flow

Testing forValue

Value Stream Mapping

5S

Takt

Standardize

UnpredictableDemand

Balanced Work

JIT

GROWTHGROWTH

Supplier Capability QFD

Design From Ground Up

Predictive Modeling

ProductDevelopment

TRIZ

The Breakthrough StrategyThe Breakthrough Strategy

Page 3: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy3

Solve Difficult Business Problems for the Last Time… Using the Appropriate Tools

ProcessCapability

DMAICDMAIC

FMEA CTQ

Multivariate Statistics

Mistake Proofing

Reliability

SPC

Process Mapping

DOE

C&E Matrix

Problem Solving

SystemsThinking

LEANLEAN

Visual Controls

Linkages & Flow

Testing forValue

Value Stream Mapping

5S

Takt

Standardize

UnpredictableDemand

Balanced Work

JIT

DFSSDFSS

Supplier Capability QFD

Design From Ground Up

Predictive Modeling

ProductDevelopment

TRIZ

Cash FlowReturn on Equity

Customer SatisfactionAsset Utilization

The Breakthrough Strategy

Page 4: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy4

The Goal: Breakthrough Performance focused on things that matter

Time

Def

ects

and

Was

te

Six SigmaBreakthrough

Current State

Deliver Results

Improvement Period

Page 5: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy5

What Do We Know About Our Process?

We don't know what we don't know

We can't act on what we don't know

We won't know until we search

We won't search for what we don't question

We don't question what we don't measure

Hence, we just don't know

– Mikel Harry

Founder, Six Sigma Academy

Page 6: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy6

Process Focus of Six Sigma

Inputs (X1, X2 . . Xn)

Independent

Cause

Control

Output

Dependent on Input

Effect

Monitor

ProcessY = f(x)

X Y

Determining the critical X’s & controlling the X’s to guarantee the Y’s

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© 2002-2003 Six Sigma Academy7

DeliveringResults

Characterization

Optimization

Phase 1:Measure

Phase 2:Analyze

Phase 3:Improve

Phase 4:Control

determination of improvement opportunities

Process Characterization is concernedwith the identification and benchmarkingof key process characteristics, and the

and goals.

Process Optimizationis aimed at identifying,improving and controlling the keyprocess variables which exertundesirable influence over the keyprocess characteristics.

Phase 0:Define/Lean

Phase 0:Define/Lean

• Define the problem and agree on the objective. Define the metrics.

• Map Process. Validate measurement systems. Collect relevant data and begin basic analysis

• Identify the few key factors which are directly influencing the problem.

• Determine optimum values for the few key factors which resolve the problem.

• Determine long term control measures which will ensure that improvements are sustained.

Six Sigma Project Progression . . . DMAIC

Page 8: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy8

Val

ue

Performance

Satisfiers

Satisfier – Non-Smoking Room Available

Linear

Linear -- $10 Discount

Delighters

Delighter – Bellman greets by name, Correct Pillow, Shelled pistachio’s

Voice of the Customer

Kano Analysis…One of Many Tools

Page 9: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy9

Entitlement . . . Doing the best we have done – EVERYTIME

The focus should be to shift the overall performance to the Entitlement level. This drives dramatic short-term improvements in cost and quality with minimal investment in technology.

Only after the Entitlement level is achieved should an investment be made to redesign / reengineer the systems or infrastructure.

The optimum level that a process currently performs is the Entitlement.

This can be replicated once the variables are truly understood.

Output Variation

Days 1 5.5 11 18 38

MeanEntitlement

Performance Shift

Delivery of client Orders

Upper Specification Limit

Avoid Capital Investment Until Entitlement is Reached

Page 10: © 2001 Six Sigma Academy © 2003 Six Sigma Academy1 Champion Workshop Key Concepts.

© 2002-2003 Six Sigma Academy10

Variation . . . Results in Non Predictable Processes

• Average vs. Variation

• Average tells little about customer experience.

• To drive dramatic improvements in performance, the variance in a process must first be minimized

Days 10 40 80

Output Variation

Mean

Example #1

Example #2

Product Delivery Process

.

Customers Remember the Extremes (Variation), not the Average

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© 2002-2003 Six Sigma Academy11

Aspects of Control

AMOUNT OF CONTROL

Ver

bal I

nstr

uctio

ns

Writ

ten

Inst

ruct

ions

Vis

ual M

anag

emen

t

Sta

tistic

al P

roce

ss C

ontr

ol

Pok

a -

Yok

e(M

ista

ke P

roof

ing)

Des

ign

for

Six

Sig

ma

Amount of Effort of Process Owner

Aut

omat

ion

Desired Direction of Control

Systemic Change

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© 2002-2003 Six Sigma Academy12

Definition of a Black Belt

“Someone, who with their team, solves a difficult business problem for the last time.”

Control …. The Key Differentiator of Six Sigma

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A Critical “Unintended” Consequence

Leadership

Development