NDIA Systems Engineering Supportability & Interoperability Conference
20-23 October 2003
Using Six Sigma to Improve Systems Engineering
Using Six Sigma to Improve Systems Engineering
Rick Hefner, Ph.D.Senior Manager, Process InitiativesNorthrop [email protected]
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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What is Six Sigma?
Six Sigma is a management philosophy based on meeting business objectives by striving for perfection– A disciplined, data-driven methodology for decision making and
process improvement
Six Sigma consists of several integrated methods: – Process Management– Voice of the Customer– Change Management– Tools for Measuring Variation and Change– Business Metrics
The focus is on understanding and reducing variation
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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DMAIC Steps
DEFINESet project goals and objectives
MEASURENarrow range of potential causes and establish baseline capability level
ANALYZEEvaluate data/information for trends, patterns, causal relationships and “root causes”
IMPROVEDevelop, implement and evaluate solutions targeted at identified root causes
CONTROLMake sure problem stays fixed and new methods can be further improved over time
Define
Measure
Analyze
Improve
Control
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Applying Six Sigma to Systems Engineering
Software and system processes are fuzzy– Production of software or systems engineering "parts" is less
predictable than manufacturing of physical parts– Greater variation in human cognitive processes can prevent
rigorous application of the Six Sigma methodology – Process variation can never be eliminated and may not even
reduced below a moderate level
Results often cannot be measured in clear $ savings returned to organization– Benefits are reduced risk, increased customer satisfaction, more
competitive bids, …
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Our Six Sigma Approach
Engaged with External Customers
•Visibility •Participation
Linked with Business Planning and Oversight
•Business planning•Project selection
Enabled byInfrastructure •Training•Tools•Awareness•Database
SPM
Minitab.lnk
Level 2 Self Assessment & Monitoring
Quality Goals
Performance
Objectives
Performance
Metrics
Relative Weight
Benchmark/Baseline
1
2
3
4
5
6
7
8
9
10
Quality Goals1 2 3 4 5 6 7 8 9 10
Sum=100
Inte
grat
ed P
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c t
Dev
elop
men
t
Em
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retr
ain
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ISO
90
00
Qu
ality
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stom
er
Sat
isfa
ctio
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Com
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ive
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is
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DT
eam
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arte
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Per
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Per
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r ie n
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eet
ing s
Per
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ion
Per
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ion
Com
plet
ed
Stu
dies
20 20 10 25 20 5
20 50% 100% 20% 10% 3
EXAMPLE OF TOOL USAGE
Level 2 Self Assessment & Monitoring
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Current Performance - Baseline
10
8
6
4
2
0
(circle current actual performance)
Potential Totals
1000_____ Goal Met
200____ No Gain
0_____ Worse
Improvement
Rating x weight
Previous Total
Current Total
Improvement Rating(0-10)
18 40% 100% 20% 10 2
15 35 80 17 8 1
12 30 60 14 6 0
9 25 40 11 4 0
20 20 8 2 0
3 15 0 5 1 0
80 120 80 150 160 10
480
600
EXAMPLE OF TOOL USAGE
Integrated with Quality Program
•Integrated Training, Awareness, & Policies
•Integrated CMMI & Six Sigma projects
•Integrated tracking and reporting via DB, PRA, etc.
Tied to Employee Performance
•Goals, awards•Job and career paths
Quantitatively Driven•Six Sigma improvements are quantified
Startit! – a NGMS product
Quantitative
Process Capability
Measurement and
Assessment Report
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Six Sigma Implementation
Starting implementing Six Sigma in 2001
Trained over 3000 Green Belts (80 hours), and over 200 Black Belts (160 hours)
Completed several hundred projects covering all functional areas– Customer involvement and award fee citations
About half of the projects are improving an engineering process
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Causal Analysis and ResolutionOrganizational Innovation and Deployment5 Optimizing
4 Quantitatively Managed
3 Defined
2 Managed
Continuous process improvement
Quantitativemanagement
Processstandardization
Basicprojectmanagement
Quantitative Project ManagementOrganizational Process Performance
Organizational Process FocusOrganizational Process DefinitionOrganizational Training Integrated Project ManagementRisk ManagementDecision Analysis and ResolutionRequirements DevelopmentTechnical SolutionProduct IntegrationVerificationValidation
Requirements Management Project PlanningProject Monitoring and ControlSupplier Agreement Management Measurement and AnalysisProcess and Product Quality AssuranceConfiguration Management
1 Performed
Process AreasLevel Focus
Level 5Focus is on preventing defects and innovation (addressing common causes of variation)
Level 4 Focus is on understanding and managing special causes of variation, at both the project and organizational levels
Capability Maturity Model Integrated
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Maturity Level 4
Organization Establishes organizational goals Establishes standard process Characterizes process performance
and quality of the standard process
Project Establishes project goals Tailors standard organizational
process to create project’s defined process
Selects critical subprocesses to quantitatively manage
Understanding and managing special causes of variation
RUN CHART
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Quantitative Management Example (not real data)
Peer Reviews – Understanding the Process
How many errors does the team typically find in reviewing an interface specification?
Useful in evaluating future reviews– Was the review effective?
– Was the process different?
– Is the product different?
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Quantitative Management Example (not real data)
Peer Reviews – Improving the Process
Reduce the variation– Train people on the process
– Create procedures/checklists
– Strengthen process audits
Increase the effectiveness (increase the mean)– Train people
– Create checklists
– Reduce waste and re-work
– Replicate best practices from other projects
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Maturity Level 5
Organization Identifies incremental and
innovative improvements Pilots improvements Deploys and measures
(quantitatively) the results
Project Identifies causes of defects and
other problems Takes actions to prevent them from
occurring in the future
Preventing defects and innovation (addressing common causes of variation)
RUN CHART
Copyright 2003 Northrop Grumman Space and Mission Systems Corp. All Rights Reserved.
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Results
Organizational-wide adoption and training has resulted in a workforce that understands variation– Common language– Common toolset– Common focus on reducing variation
Results have been seen in our rapid achievement of CMMI Levels 4 and 5– Transition from Level 3 to 5 typically takes about 18 months– Our organizations have been transitioning in 9 months!
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