process improvement workshop
TRANSCRIPT
Process Improvement Process Improvement WorkshopWorkshop
Scott [email protected]
937-781-1068
937-781-1061
Defense Acquisition University
Learn.Perform.Succeed.
Defense Acquisition University
Learn.Perform.Succeed.
Learn.Perform.Succeed.
Workshop Objectives
• Philosophies• Tools • Applications• Soft Skills
Process ImprovementMany complementary philosophies.
• Lean emphasizes minimizing waste and adding value for the customer
• Six Sigma emphasizes minimizing variation and eliminating defects
• Theory of Constraints emphasizes identifying and removing bottlenecks
Keys to Successful Implementation
• Journey Mindset• Visible Leadership Support• Mutual Trust• Aligned Reward System
This is a Culture Change
Process Defined• Any activity that takes inputs, performs
actions on the inputs, and results in outputs
Process
Action
Inputs• Materials• People• Equipment• Data
Outputs• Product• Service
Three Views of a Process
1. Policy (documented)2. Leadership View as applied3. What is really happening
Value Stream Analysis(a useful tool)
Define the Boundaries• What is the process?
–Where does it start?–Where does it end?
• What do you control?• What can you influence?• What do you need to adapt to?
Depends on your perspective
Value Stream Mapping
• Define the boundaries• “Walk” the process
•Identify tasks and flows of material and information between them
• Gather data•Identify resources for each task and flow
• Create the “Current State” map
Analyze Current Conditions
• Identify value added • Identify waste
Voice of the Customer
• What does the customer want?• What will the customer trade
resources to get?– Money– Time– People
• Not what we say we can deliver because of our current approach
Value-Added Activities
Transforms or shapes material or information
Customer wants it
Done right the first time
Non-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 limitations
Waste Consume resources but create no value for the customer Pure waste
Value Defined
Eliminate Waste Types of Waste• Defects• Over Production• Transportation• Movement• Waiting• Inventory• Over Processing• Lost Creativity
Value WasteInitialProcess
Resource distribution
Opportunity for improvement by reducing waste and creating additional value
Lean Emphases
Value WasteGeneralProcess
Reduction
Reduce all processes by 25%
Waste and Value Both Decrease
Waste Only Reduction Value Waste
Target & Reduce Waste Maintain Value
Value MaintainedResources Decrease
ValueCreation Value Waste
Apply Resources to Create More Value
Value IncreasedResources Focused
Visualize “Ideal State”
• What if there were no restrictions?
Doing what you’ve always done and expecting
different results
The MindShift Model
DoDifferent
Different Different ResultsResults
ThinkDifferent
ThinkAbout
Thinking
Extracted from The 7 Levels of Change by Rolf Smith1997
Create “Future State” Map
Change the process • Eliminate waste • Maximize value
Change• Up ‘Til Now…. • From Now On….
Value Stream Mapping
• Define the boundaries• “Walk” the process
•Identify tasks and flows of material and information between them
• Gather data•Identify resources for each task and flow
• Create the “Current State” map• Define the value
• Analyze current conditions•Identify value added •Identify waste
• Visualize “Ideal State”• Create the “Future State” map
•Change process to eliminate waste and maximize value
• Develop action plans and tracking
ositive
nteresting
hallenges
PI
C
LEVELS OF CHANGE
• LEVEL 7: Breakthrough-Doing things that can’t be done
• LEVEL 6: Different-Doing things not done before
• LEVEL 5: Adapting-Doing things other people are doing
• LEVEL 4: Cutting-Doing away with things
• LEVEL 3: Improving-Doing things better
• LEVEL 2: Efficiency-Doing things right
• LEVEL 1: Effectiveness-Doing the right things
Extracted from The 7 Levels of Change by Rolf Smith1997
Lean and Six Sigma• Lean and Six Sigma are complementary
process improvement philosophies.
– Lean emphasizes minimizing waste and adding value for the customer
– Six Sigma emphasizes minimizing variation and eliminating defects
Statistically Speaking…
• Variation is the difference between the actual value and what that value was expected (or desired) to be.
• The Standard Deviation (Sigma (σ)) is a quantitative measure of the variation of individual data items about the mean (expected value) of those items.
• People notice variation.
1 part per billion falls outside limits
1,350,000 parts per billion fall outside limits
In this example, the same number of occurrences are measured.The top curve represents a 6σ process, the lower curve represents a 3σ process
The lower curve (red) represents a process with a standard deviation of 8 units.
The specification limits for this represent a 3σ process
The upper curve (blue) represents a process with a standard deviation of 4 units.
Since variation is reduced compared to the lower curve, within the same specification limits, this is a 6σ process
Specification limits(the values defining the range
of acceptable quality)
σ = 4
-24
+24
σ = 8
2σ1σ 3σ 4σ 5σ 6σ-5σ-6σ -4σ -3σ -2σ -1σ
2σ1σ 3σ 4σ 5σ 6σ-5σ-6σ -4σ-3σ-2σ-1σ
-24
+24
Mean
5S Overview
• Simplify• Shine• Sort• Standardize• Sustain• Safety
DAU Continuous Learning Center
https://learn.dau.mil/html/clc/Clc.jsp
select the "Course Information & Access" link.
CLE 004, Introduction to Lean Enterprise Concepts
CLE 008, Six Sigma: Concepts and Process
CLE 007, Lean-Six Sigma
CLE 001, Value Engineering.
CLE 015, Continuous Process Improvement Familiarization.
Defense Acquisition University
Learn.Perform.Succeed.
Defense Acquisition University
Learn.Perform.Succeed.
Learn.Perform.Succeed.
Defense Acquisition University
Learn.Perform.Succeed.
Defense Acquisition University
Learn.Perform.Succeed.
Learn.Perform.Succeed.
Thank you for Participating
Scott [email protected]
937-781-1068
937-781-1061
Defense Acquisition University
Learn.Perform.Succeed.
Defense Acquisition University
Learn.Perform.Succeed.
Learn.Perform.Succeed.