Eliminate any over-dues in payment to Mazda Japan to achieve a maximum of

14 days between the document dispatching date and the TTR date.

By: 1- Asmaa Metwally 2- Islam Abu Elelaa3- Ahmed El Komy4- Abdelfattah Elghawaby5- Mohamed Amr6- Hend Hesham

1-Define:

1.1 - Identify Project:1.1.1 -Nominate:

Nominated Projectsa Decrease the variation of lead time for sea orders from 9 months to 3 months b Eliminate any over-dues in payment to Mazda Japan

b

Enhance order processing time from the day of receiving the order to be 3 days maximum, instead of 7 days.

1-Define:

1.1 - Identify Project:1.1.2 – Evaluate :

b c a0123456789

10

051015202530354045

Project Evaluation

Importance to Partner Satsfaction from 10percentage

1- Define1.2 Establish The Project1.2.1 Mission Statement: Eliminate any over-dues in payment to Mazda Japan to achieve a maximum of 14 days between the document dispatching date and the TTR date. 1.2.2 Select TeamAsmaa Metwally Islam Abu ElelaaAhmed El KomyAbdelfattah ElghawabyMohamed AmrHend Hesham

1- Define

6 8 10 12 14 16 18 20 22 240

0.02

0.04

0.06

0.08

0.1

0.12

Bell Chart – Days from docs received to TTR

1-Define1.3 Project Charter:

Business caseThis project support Ghabour goal to achieve

supplier and customers satisfaction.

Opportunity StatementAn opportunity to enhance payment to Mazda Japan not to exceed the 14 days payment facility, as the current situation is exceeding the due date in 66.6% of the invoices, to avoid orders delays, enhance credibility, and to enhance customer satisfaction through product availability. Current Sigma Level 1.12

Goal StatementEliminate any over-dues in payment to Mazda Japan

to achieve a maximum of 14 days between the document dispatching date and the TTR date.

To enhance sigma level from 1.12 to 3

Project ScopeFrom document dispatching date to the due of TTR

date

Project Plan Team Selection1- Asmaa Metwally Champion2- Islam Abu Elelaa 3- Ahmed El Komy4- Abdelfattah Elghawaby5- Mohamed Amr6- Hend Hesham

Activity Start EndDefine 1-Feb 8-FebMeasure 8-Feb 15-FebAnalyze 15-Feb 22-FebImprove 22-Feb 27-FebControl

2- Measure: 2.1 SIPOC

Suppliers Inputs Process Outputs CustomersMazda -Soft Copy of

Invoice.-Software

Receive Documents by email

Bank Transfer Mazda

TNTMazda

- Courier - Hardcopy

Receive hardcopy after 2 days

Ghabour - Planning & Stock Control

Revise P.O ,P.R and Amount

Ghabour Admin Deliver to accounting For Approvals

Ghabour Accounting Deliver to treasury for approvals

Ghabour Treasury Bank transfer

2- Measure:

2.2 VOC2.2.1 Critical customer requirements (CCR): To Pay within the 14 days2.2.2 Critical to process: Accuracy of documents

2- Measure:2.3 Define Boundaries2.3.1 Process map2.3.1.1 High Level Flow Diagram

Process

Receive Documents by email

Receive hardcopy after 2 days

Revise P.O ,P.R and Amount

Deliver to accounting For Approvals

Deliver to treasury for approvals

Bank transfer

2- Measure:2.3 Define Boundaries2.3.1 Process map2.3.1.2 Detailed Flow Diagram

Mail

Soft Copy Of Invoice

Hard Copy By

TNT

S.P. Revie

w

Bank Transfer Docume

nt

Invoice value

Cash In Advance Docume

nt

S.P. SignReview P.R & P.O

Admin

Account Approva

lAdmin

Treasury dept

review

Treasury Signatur

eAdmin

Acc Dep

Review amountBank

SWIFT Treasury Customer

2- Measure

Value Added Non-Value AddedReceive Documents Spare Parts Department Invoice

decisionsBank Transfer Review PR & POSend Bank SWIFT Print PR & PO

Approvals by S.P.Dept.Review and approvals by Accounting Dept.Review and approvals by Treasury Dept.

Send Documents to Bank

2.3.3 Value Added & Non-Value Added

2- Measure

Bank Acount dep Dhl treasure dep S.part0

20

40

60

80

100

120

0123456789

50

6981

94100

Pareto Diagram

days percentage

2.4 Concentrate on the vital few: (Pareto)

2.Measure

• Focus problem statementDecrease the lead time of the banking and the accounting steps which represent around 70 % of the whole time of the process.

3.Analyze

• Brainstorming• 1- Accounting: • a- long approval cycle (2-5 days)• B- using original document (2days)• C- poor document tracking (no tracking system)• D- no Software available for approvals • E- The KPIs do no reflect the presence of the delay

3.Analyze

• 2-Banking• a- only one bank available (QNB)• B- No credit available (No Letter of credit)• C- Currency constraint (Only Yen)• D-Swift Delay

3.Analyze

• 5 whys tools:• 1-currency availability:

a-need yens b-low flow of this currency in bank

3.Analyze

0 2 4 6 8 10 12 140

5

10

15

20

25

18

1516

8

17

20

1615

13

23

1413

Days To Pay

3.Analyze

• 5 why’s tools:• 1-long approval cycle:• A-Depend on people• B-These people are not available all the time in the building• C- All approvals are done in a hard copy

5.Improve

5.Improve

Item Potential Failure

Potential Effect

Severity

Potential cause of failure

concurrency

current controls

detection

RPN

Recommended action

Target date and resp.

1

Internet connection

problemDelay in

approvals 10 Server problems 3 UPS 3 90

No Mail Follow up Delay in approvals 10 So many mails 5 no 8 40

0Deputy System by first of May

Vacancies Delay in approvals 8 no backup 4 no 8 25

6 Delegation by first of May

2

Vacations Egypt

Wrong counting

from Mazda for the 14

days

8

No communication with Mazda with

the official vacations in

Egypt

5 no 6 240

Communicating annual official

vacations with Mazda

Immediately after getting

Mazda approvals

3

Send documents to Wrong Bank

Delay in Transfer 8

No visual indication on the

bank name8 no 5 32

0

Printing 2 different colors of

envelops with clear big Bank

name

Directly after signing the

contract with the new bank

FMEA

5.Controle

Item Potential Failure

Potential Effect

Severity

Potential cause of failure

concurrency

current controls

detection

RPN

Recommended action

Target date and resp.

1

Internet connection

problemDelay in

approvals 10 Server problems 3 UPS 3 90

No Mail Follow up Delay in approvals 10 So many mails 5 no 8 40

0Deputy System by first of May

Vacancies Delay in approvals 8 no backup 4 no 8 25

6 Delegation by first of May

2

Vacations Egypt

Wrong counting

from Mazda for the 14

days

8

No communication with Mazda with

the official vacations in

Egypt

5 no 6 240

Communicating annual official

vacations with Mazda

Immediately after getting

Mazda approvals

3

Send documents to Wrong Bank

Delay in Transfer 8

No visual indication on the

bank name8 no 5 32

0

Printing 2 different colors of

envelops with clear big Bank

name

Directly after signing the

contract with the new bank

FMEA