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Creating Lean Six Sigma organizations
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Dr. Gail Ferreira, SPC4, CSP, ACC, PMP, LSSBB
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Creating Lean Six Sigma organizations
1.
CREATING LEAN SIX
SIGMA ORGANIZATIONS DR. GAIL FERREIRA, DM, PMP, CSPO, LEAN SIX SIGMA BLACK BELT Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
2.
Introduction Dr. Gail Ferreira
is an Agilist who incorporates a variety of lean practices into organizations using Lean Six Sigma Black Belt tools and techniques. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
3.
Teaching: Agile Management Doctoral Research
Methods Multivariate Research Systems Analysis Doctoral Chair / Committee University Reviewer
4.
Learning Objectives Discuss:
Five Main Principles of Lean Thinking Overview of Lean Six Sigma Discuss: Lean Six Sigma tools and practices Hoshin Kanri Kaizen events Discuss: How these practices can be used in a variety of industries. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
5.
Five Main Principles
of Lean Thinking Value The Value Stream Flow Pull Perfection Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
6.
Value Value of
the product from the eyes of the customer. Also known as the “Voice of the Customer” VOC. Lean thinking always looks at the customers point of view. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
7.
The Value Stream
In the value stream (process flow), one can easily determine which areas to add or subtract first by deciding which items are adding value to the customer and which are not. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
8.
Flow The next
key principle in lean manufacturing is to ensure that all of the remaining steps in the process flow together. This principle can be interpreted as a recommendation to arrange the process steps in such a way that makes the most sense. The key to flow is to focus on the product and not on the methods for making the product. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
9.
Pull Do not
make a product until a customer orders it. The customer pulls the product from the manufacturer when they want it. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
10.
Perfection The process
is never entirely complete and that is essential that companies continuously work to improve processes. Because customer wants and needs are continuously changing, processes, can never be perfect, and companies must continuously improve the process so it is as perfect as possible. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
11.
Quiz What are
the five principles of lean thinking? Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
12.
Overview of Lean
Six Sigma Lean manufacturing originated with the Toyota Production System - developed by Taiichi Ohno in the early 1960’s to reduce waste (muda) at Toyota Goal was to reduce inventory and improve the quality and cost of Toyota automobiles Lean practices analyze all aspects of manufacturing cycle and find areas for improvement to reduce waste. Six Sigma reduces variation of processes. Copyright ©2013 – Dr. Gail Ferreira – All rights reserved
13.
Key Tenets of
Six Sigma Define Measure Analyze Improve Control Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
14.
Key Tenets of
Six Sigma The DMAIC Improvement Process DMAIC refers to a data-driven improvement cycle used for improving, optimizing and stabilizing business processes and designs. DMAIC is not exclusive to Six Sigma and can be used as the framework for other improvement applications. In many cases a much simplified DMAIC approach is more productive that a complex long term six sigma project, especially if it going to be used as part of a business leadership plan. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
15.
Define Write down
what you currently know. Clarify facts, set objectives and form the project team. Define the following: – A problem statement - The customer(s) involved - Critical to Quality, what are the critical process outputs? - The target process and other related business processes - Project targets - Project boundaries A project charter or a project plan is often created and agreed during the Define step. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
16.
Measure This is
the data collection step. The team decides on what should be measured and how to measure it. This forms a data collection plan. It is usual for teams to invest a lot of effort into assessing the suitability of the proposed measurement systems. Good data is critical to the DMAIC process: - Define the process critical (inputs & outputs) - Define the measurement plan - Test the measurement system - Collect the data A measurement system is performed at this stage. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
17.
Analyze The data
collected in the Measure step is analyzed to determine root causes of defects. Within Six Sigma, often complex tools are used. However, it is acceptable to use basic tools if these are appropriate: - Identify gaps between current performance and goal performance - Identify how the process inputs affect the process outputs - List and prioritize potential opportunities to improve - Identify sources of variation Data is analyzed to understand the location or distribution of the data collected. Histograms and box plots are often used to do this. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
18.
Improve Identify creative
solutions to fix and prevent process problems. Some projects can utilize complex analysis tools like DOE (Design of Experiments), but try to focus on obvious solutions if these are apparent: - Create innovative solutions - Focus on the simplest and easiest solutions - Test solutions using Failure Mode Effects Analysis (FMEA) - Create a detailed implementation plan - Deploy improvements Fishbone type Diagrams can be used throughout all DMAIC stages. Within the Improve step, we can use these to help brainstorm potential solutions. Copyright ©2013 – Dr. Gail Ferreira – All rights reserved
19.
Control Monitor the
improvements to ensure continued success. Create a control plan. Update documents, business process and training records as required. Control charts can be useful during the control stage. Copyright ©2013 – Dr. Gail Ferreira – All rights reserved
20.
Lean Six Sigma
Application for Software Products and Services Lean Six Sigma can achieve combined benefits of cycle time reduction and defects reduction. Six Sigma focuses on defect reduction by reducing process variations. Identifying vision (VOC), problems, defining goals, and conducting root cause analysis. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
21.
Lean Six Sigma
Application for Software Products and Services Overproduction in manufacturing = development of additional software features. Wait in assembly line production = waiting for code integration from multiple teams. Non value items in software deployment could be approval delays, rework efforts, and over engineering of the software product. Muda (waste) in software development: Misunderstanding of software product requirements from the customer can result in software defects. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
22.
Case Study: Global
Physician Polling Application Define Draft a project charter Identify the voice of the customer Translate voice of the customer into measurable components Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
23.
Case Study: Global
Physician Polling Application Measure Create a data collection plan Construct a current state value stream map Construct a future state value stream map Develop a detailed process map Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
24.
Case Study: Global
Physician Polling Application Analyze Construct data and process analysis Determine the root cause of non value added steps Determine the significant root causes Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
25.
Case Study: Global
Physician Polling Application Improve Eliminate the significant root causes Develop a pull system Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
26.
Case Study: Global
Physician Polling Application Control Develop the control plan Implement the control plan Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
27.
Case Study: Global
Physician Polling Application Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
28.
Case Study: Global
Physician Polling Application – Value Stream Map Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
29.
Case Study: Global
Physician Polling Application – Value Stream Map Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
30.
Case Study: Global
Physician Billing System Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
31.
Defining Value and
Vision- Hoshin Kanri Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
32.
Hoshin Kanri Copyright ©2014
– Dr. Gail Ferreira – All rights reserved
33.
Hoshin Kanri Copyright ©2014
– Dr. Gail Ferreira – All rights reserved
34.
Hoshin Kanri Copyright ©2014
– Dr. Gail Ferreira – All rights reserved
35.
Hoshin Kanri Improve Margin
by 5% points by 4Q: Increase of $250 k Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
36.
Hoshin Kanri Improve Margin
by 5% points by 4Q, Increase of $250k. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
37.
Hoshin Kanri Copyright ©2014
– Dr. Gail Ferreira – All rights reserved
38.
Strategic X Matrix
Example Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
39.
Kaizen Companies move
closer to perfection by continuous improvement, also known as Kaizen. Kaizen is the Japanese idea that great improvement comes from a series of small incremental gains. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
40.
Kaizen - Keys
to Success Need commitment from leadership (Chief Executives) Lean champion and a governing committee Need Lean SME to lead Kaizen events Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
41.
Types of Kaizen
Kaizen events (can last for weeks) Kaizen Blitz (short focused workshop) Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
42.
Kaizen Blitz –
Process to Improve Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
43.
Conclusion Lean Six
Sigma Tools can be used to optimize software lifecycles. Creating vision and strategy by using Hoshin Kanri can be used to start a Kaizen event. Kaizen events can be modified to provide short bursts of productivity by evaluating current states of value stream maps. Copyright ©2014 – Dr. Gail Ferreira – All rights reserved
44.
Copyright ©2013 –
Dr. Gail Ferreira – All rights reserved
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