Alessandro Brun Six Sigma

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Six Sigma a way to reach Operational Excellence and get Out of the Crisis Alessandro Brun – Politecnico di Milano [email protected]

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gestão da qualidade

Transcript of Alessandro Brun Six Sigma

  • Six Sigma a way to reach Operational Excellence and get Out of the Crisis

    Alessandro Brun Politecnico di Milano

    [email protected]

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    About Myself

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Concorde

    One of the 20th century's great symbols of technological

    achievement

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Concorde

    One of the 20th century's great symbols of technological

    achievement

    perhaps the most famous passenger jetliner in history.

    But it was also commercially flawed. Its engines were

    dirty and painfully noisy. It was banned from flying

    supersonic over the United States because of the

    sonic boom.

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Concorde

    Concorde was effectively blocked from entering the

    crucial U.S. market when airlines in this country,

    including TWA and Pan American, canceled orders.

    "Looking back at the entire program, from beginning to

    end, if you knew then what you know now, then

    Concorde would never have been built," Bannister.

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Concorde

    On 25 July 2000, Air France Flight 4590 crashed in Gonesse, France, killing all 100 passengers and 9 crew members.

    According to the official investigation conducted by the French accident investigation bureau (BEA), the crash was caused by a titanium strip that fell from a Continental Airlines DC-10 that had taken off minutes earlier. The metal fragment punctured a tyre on Concordes left main wheel bogie during takeoff.

    Prior to the accident, Concorde had been arguably the safest operational passenger airliner in the world in terms of passenger deaths-per-kilometres travelled with zero.

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Operations and Supply Chain Excellence

    Today, competition is Supply Chain vs Supply Chain, no longer firm vs firm.

    Supply Chain Strategy should identify Critical Success factors to gain a competitive

    edge.

    EFFECTIVENESS

    In addressing

    market needs

    EFFICIENCY

    In resources

    utilization

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Out of the Crisis!

    A product, or service, possesses quality if it helps somebody and enjoys a good and sustainable market.

    We have learned to live in a world of mistakes and defective products as if they were necessary to life. It is time to adopt a new philosophy in America.

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Noteworthy approaches to solve the Efficiency-vs-effectiveness trade-off?

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis 10

    Noteworthy approaches to solve the Efficiency-vs-effectiveness trade-off?

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Noteworthy approaches to solve the Efficiency-vs-effectiveness trade-off?

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Noteworthy approaches to solve the Efficiency-vs-effectiveness trade-off?

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Noteworthy approaches to solve the Efficiency-vs-effectiveness trade-off?

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    In search of new paradigms?

    Quality Cheap Prices Service

    In this service centre we offer

    While-U-Wait service

    High quality repairs

    at the best price in town!

    Please pick two out of three.

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    What about the market?

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    The times they are a-changing

    Supply Chain performances are even more critical, due to some recent trends:

    Customer centric approaches Variety increases (explodes!)

    Shorter product life-cycles

    Shorter delivery Lead Times

    Trading Up lower sostituibility (cfr. Trading Up: The New American Luxury, di M.Silverstein e N.Fiske)

    Low Labour Cost Countries competition

    Increasing regulations

    Growing ethical/social responsibility

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Six Sigma

    WHAT IS SIX SIGMA? Six Sigma is a managerial approach aimed to create processes

    capable of delivering what the customer wants. It was developed by Motorola in the

    80s as a way to improve quality of manufacturing processes. A decade later, GE

    transformed Six Sigma into a powerful and pragmatic company-wide process

    improvement program, to obtain drastic improvements in both operations and business

    (transactional) processes.

    Basically, Six Sigma consists in:

    focusing characteristics of the product/service that are critical to customers (CTQ)

    defining adequate technical specifications for CTQs in order to achieve customer

    satisfaction

    improving capability of the processes whose output is a CTQ reducing their

    variability and other causes of errors or defects in order to meet technical

    specifications

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    Six Sigma and the quest for more capable processes

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Process out-of-Target Excess variability

    Low-variability,

    Centered process

    Six Sigma and the quest for more capable processes

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Six Sigma quality levels an analogy

    Increasing the s level of a process requires exponential

    improvements in terms of quality

    Sweet Fruits

    Process Redesign

    Process Entitlement

    Bulk Fruits

    Process

    characterization and

    improvement Low-hanging Fruits

    Seven basic tools

    Ground Fruits

    Logic and intuition

    Sigma Level of a

    process

    DPMO (Defects per Million Opportunities)

    6 3.4

    5 233

    4 6,210

    3 66,800

    2 308,000

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    - Lost Opportunities

    - The Hidden Factory

    - More Setups

    - Expediting Costs

    - Lost Sales

    - Late Delivery

    - Lost Customer Loyalty

    - Excess Inventory

    - Long Cycle Times

    - Costly Engineering Changes

    For most companies, COPQ can be as high as 15% of total sales

    Hidden Costs:

    - Intangible

    - Difficult to Measure

    Traditional Quality Costs:

    - Tangible

    - Easy to Measure

    - Inspection

    - Warranty

    - Scrap

    - Rework

    - Rejects

    Costs of Poor Quality (COPQ)

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    0%

    5%

    10%

    15%

    20%

    25%

    30%

    35%

    40%

    45%

    50%

    2 3 4 5 6

    Co

    st o

    f Q

    ua

    lity

    % S

    ale

    s

    Sigma Level

    Costs of Poor Quality (COPQ) vs Sigma Level

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Tools Organization

    Methodology

    Process variation

    LSL USL

    Upper/Lower specification

    limits

    Regression

    Driven by

    customer

    needs

    Enabled by quality team

    Led by Senior Mgmt

    Define Measure

    Analyze Improve Control

    VendorVendorProcess BProcess BProcess AProcess ACustomerCustomer VendorVendorProcess BProcess BProcess AProcess ACustomerCustomer

    Process Map Analysis

    0

    5

    10

    15

    20

    25

    30

    35

    L K A F B C G R D

    0%

    20%

    40%

    60%

    80%

    100%

    Frequency Cumulative Frequency

    Pareto Chart

    Six Sigma dimensions

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis 24

    Champions

    Black Belts

    Executive sponsorships

    Master Black Belts

    Quality Management

    Mario Cappetta

    Roles of Six Sigma expert

    They identify key business issues and assist

    the champions in identifying critical projects

    that are tied to the key business issues

    They define the projects and keep track of

    the team's progress

    They provide coaching, training and statistical

    expertise to Black Belts

    They are responsible for implementing the Six

    Sigma projects

    Green Belts

    They are team members who maintain their

    regular jobs but are assigned to one or more

    teams given their know-how or background on

    the selected projects

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis 25

    Project Phases

    Focusing the process object of improving D

    Define

    M

    Measure

    A

    Analyze

    I

    Improve

    C

    Control

    Measuring current processs performances

    Identifying the causes of the problem

    Removing the causes of the problem

    Verifying that the results of the project have been

    realized

  • SIX SIGMA a way to reach Operational Excellence and get Out of the Crisis

    Six Sigma and Lean are two complementary approaches

    Lean and Six Sigma integrate each other, making Lean Six Sigma a powerful general

    purpose process improvement methodology to reach Operational Excellence

    SIX SIGMA LEAN THINKING

    Main focus of the methodology Improving process quality - create

    processes capable of delivering what the

    customer wants.

    Improving process quality

    the right process will bring to the right

    results

    Goal Reducing variation and aligning

    processes to target

    Reducing variation, eliminating wastes

    and avoiding overburden

    Cultural context in which it was

    originated

    Western (USA) Eastern (Japan)

    Type of improvements sought after Project-by-Project Day-by-Day

    Organization and roles Strongly formalised hierarchy of highly

    qualified improvement experts (GB, BB,

    MBB, )

    Informal organization everybody

    should contribute

    Approach to improvement actions

    identification and implementation

    Top-Down Bottom-Up

    Tools Abundant use of sophisticated statistical

    tools

    Mainly relies on simple visual tools