This document discusses problem solving methods for process manufacturers. It introduces a webinar on problem solving featuring two speakers: David Hicks, Vice President and Maintenance Excellence Practice Leader, and Tim Nickerson, Client Manager and Management System SME. The webinar will cover ensuring quality and compliance, maximizing throughput and yield, and optimizing labor and productivity using problem solving tools and the DMAIC methodology.

1. Beyond Compliance
Webinar & Podcast Series for Process Manufacturers
Fixing the Problems in Your
Operations Problem-Solving Methods
David Hicks
Vice President
Tim Nickerson
Client Manager

2. Ensure Quality and
Compliance
Maximize Throughput
and Yield
Optimize Labor and
Productivity
DIGITAL PLANT MANAGEMENT
PLATFORM
hello!

3. ✔Ask questions! (Q&A at end)
✔Only panelists are displayed
✔Recording link will be shared
✔Audio issues: use call-in number
BEYOND COMPLIANCE
// Before We Get Started

4. BEYOND COMPLIANCE
Today’s Speakers
• Leads large-scale client engagements
and operational diagnostics
• Strong background in analytics, quality,
asset utilization, management system,
and lean transformation
• Maintenance Excellence Practice
Leader
Tim Nickerson
Client Manager and
Management System SME
• Former Chief Operations Manager, Plant
Manager, Business Unit Manager, and
Director of Lean Manufacturing
• Designs, implements and installs
management systems at large, multi-site
organizations
• Regularly conducts operational
diagnostics, implements go-forward
plans, and leads turnarounds
David Hicks
Vice President,
Maintenance Excellence
Practice Leader

5. BEYOND COMPLIANCE
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6. BEYOND COMPLIANCE
● Workshop 1: Tiered Management System
● Workshop 2: Layered Audits, Gemba Walks, & Leader Standard Work
Fix Problems in Operations Problem-Solving Methods:
BEYOND COMPLIANCE
● Workshop 3: Approaches to Abnormality Management
● Problem-Solving Overview
● Problem-Solving Tools
Sustaining Lean Improvements
● Problem-Solving Methods
Today’s Workshop

7. Problem Solving:
Overview

8. BEYOND COMPLIANCE
Problem Solving Defined
Searching for the Root Cause will become a part of everyone’s job
Problem solving is the process of clearly defining the problem, identifying the root cause, and
implementing corrective and permanent actions which eliminate the root cause.
• The TBM Problem solving process utilizes the scientific method
• Is scalable from basic problem solving to advanced problem solving
►This allows the process to remain the same, while tool selection will be
dictated by problem complexity
We need root cause analysis if:
• A problem/issue occurs that prevents you from achieving your daily goals
• A problem exists, attempts to correct it are in place, but the problem reoccurs
• A problem exists and the reason is not known or is not understood

9. BEYOND COMPLIANCE
The Cost of Ineffective Problem Solving
The cost of a problem can be captured in many measures. Some of these are actual out-of-pocket costs
and others are the lost opportunity while a problem is being fixed.
• Lost Time: While a problem is being fixed, employees are idle and being paid.
• Additional Maintenance Staff: If problems become a way of life in a factory, the company may add
maintenance staff to fix the constant flow of problems that occur.
• Scrap: Usually no one knows there is a problem until bad product is being produced.
• Cost of the Fix: Fixes to problems often entail new parts and the labor to install the new parts. If the
problem was avoidable through proper machine operation and maintenance, these costs become part
of the cost of the problem.
• Value of Lost Production: Ultimately, a problem means lost production or lost opportunity to sell product.
• Lost Customers: This is very difficult to measure, but companies with high incidences of problems risk
losing customers because of unacceptable quality or missed deadlines.
• Incorrect Fixes: This measurement gets little attention but can cost manufacturers big money.

10. BEYOND COMPLIANCE
7 Basic Tools of Quality
Fundamental
Problem-solving Tools Hypothesis Testing DOE
Abnormality
Management
Blackbelt
(DMAIC)
8D
PDCA
Yellow Belt
(DMAIC)
Problem Solving Continuum (Tools vs. Methods)
Tools
Methodology

11. BEYOND COMPLIANCE
What To Get Out Of Today’s Presentation
Problems occur across a continuum
At the other end are the big, complicated problems that defy an easy fix.
● Imagine a complex assembly like the adjustable pedals in your vehicle.
● There are well over 40 components in a single assembly.
● Now, imagine trying to control the sonic properties of all these components to achieve a targeted value.
● This is a much different problem than the simple example above!
At one end are the simple, just fix it and move on types
● What sometimes happens to drill bits when running a drill press?
● They sometimes break!
● Do we shut down production and create a problem-solving team, spend weeks collecting data, test
various hypotheses…
● No! We change the bit and get back to work!

12. BEYOND COMPLIANCE
What To Get Out Of Today’s Presentation
There is no checklist to evaluate a problem for level of methodology or tools but we can
identify characteristics of simple and complex problems.
• Complex problem:
Solution unclear
Multiple potential root causes
Very difficult to recreate
• Simple problem:
Solution readily apparent
You can recreate the problem easily
Able to demonstrate the fix

13. BEYOND COMPLIANCE
What To Get Out Of Today’s Presentation
• Before beginning any methodology or tool, try to characterize the type/level
of the problem.
• Make sure the methodology is appropriate to the problem.
• Make sure tools are appropriate to the problem.
• Using incorrect methodology or tools will lead to:
Frustration
Wasted resources
Problem recurrence

14. BEYOND COMPLIANCE
Law of The Hammer
The law of the hammer is a cognitive bias that
involves an over-reliance on a familiar tool.
For example, when you learn a new problem-solving
tool or method you may apply it everywhere –
which may result in failure to seek out other
(potentially more efficient) alternatives.
“If the only tool you have is a hammer, you tend to see every problem as a nail.” This is a famous quote by
Abraham Maslow which refers to a concept commonly known as the 'law of instrument' or Maslow's Hammer.
It refers to an over-reliance on a familiar or favorite tool.

15. Problem Solving:
Basic Tools

16. BEYOND COMPLIANCE
7 Basic Tools of Quality
Fundamental
Problem-solving Tools Hypothesis Testing DOE
Abnormality
Management
Blackbelt
(DMAIC)
8D
PDCA
Yellow Belt
(DMAIC)
Problem Solving Continuum (Tools vs. Methods)
Tools
Methodology

17. BEYOND COMPLIANCE
Basic Problem Solving Tools
Common Tools
• Pareto Charts
• 5 Why
• Fishbone
Diagram
• Histograms
• Pareto Analysis
• Scatter
Diagrams
• Run charts
• SPC Control
Charts
• Check Sheets
• Solution
Testing
• Solution
Validation
• Performance
Tracking
Deliverables
• Controllable
causes
• Rapid
improvement
• Easy to reverse
• Identification
of process
interrupters
• Direct
correlation to
process
performance
• Easy to
interpret
• Refined
standard ops
• Documented
actions &
results
• Train operators
• Link
measurement
to mgmt.
system KPI’s
Two Types of Tools
in Basic Problem Solving
Info. Driven Data Driven
• Just Do It
• 5-Why
• Fishbone
• Pareto Chart
• Trend Line
• SPC
Great for
Engaging Everyone
Great for
Creating Focus
Deliverables
• Controllable causes
• Rapid improvement
• Easy to reverse
Deliverables
• Direct correlation to
process performance
• Easy to interpret
• Link measurement to
management system KPI’s

18. BEYOND COMPLIANCE
Five Why’s: The First Why
It is said that a defined problem
is a half-resolved problem;
hence, it is important to state
clearly and quantitatively the
problem description.
01.
Provide a clear statement
of the reason for the
abnormality and the failure to
detect the abnormality such
that even those who are not
familiar with the operation will
fully understand the issue
02.
Often this 1st Why must be a
short, concise sentence that
plainly explains the occurrence
and results. Do not try to justify
the abnormality but just to fully
capture the issue and the results
in terms of Safety, Quality, Cost
or Delivery costs.
03.
Asking the Right First Step is the Key

19. BEYOND COMPLIANCE
Five Why’s: Conclusion
1st Why How does 1 Create 2
2nd Why How does 2 create 3
3rd Why How does 3 Create 4
4th Why
Test the 5 Why
Conclusion by
Reverse Logic

20. BEYOND COMPLIANCE
Information Driven: Fishbone Diagrams
• Used to identify root causes of a problem
• Allows one to see the linkages between high
level, causal groups and detailed potential
root causes
• Uses 5 Why’s approach to drive analysis
• Simple to learn & use
• Involves the team in problem resolution
• Keeps the team focused
Drill down Until it is Actionable.

21. BEYOND COMPLIANCE
Data Driven: Trend Chart
• The team met and reviewed the collected data. The first
thought hypothesis was that the defect rate was driven by
the day of the week.
• The team plotted the trend “Defect Count by Day of the
Week” and presented it to their A3 problem solving coach.
• Through coaching questions, the team realized that day of
the week did not have an apparent impact on quality.
• The coach pointed out that they can use the data to build
a pareto chart. The leader was agreed and shared the
pareto's which the team created as part of the data
collection process.
Failure Does Not Stop Problem Solving-
It Refines the Team’s Approach.

22. BEYOND COMPLIANCE
Data Driven: Pareto Analysis
This graphical representation leads the
team to consider:
• Do we know enough about cracks to create
a known solution?
• Should we collect additional data
on “Cracks” ?
• Can we use an information driven tool to
understand cracking?
Can we Combine Data Driven Tools with Information Driven Tools?

23. BEYOND COMPLIANCE
Data Driven: Control Chart
The control chart is a graph used to study how a process
changes over time.
• Data are plotted in time order.
• A control chart always has a central line for the average,
an upper line for the upper control limit, and a lower line
for the lower control limit. These lines are determined
from historical data.
• By comparing current data to these lines, you can draw
conclusions about whether the process variation is
consistent (in control) or is unpredictable (out of control,
affected by special causes of variation).
Controlling ongoing processes by finding and
correcting problems as they occur

24. Problem Solving:
Methodology

25. BEYOND COMPLIANCE
7 Basic Tools of Quality
Fundamental
Problem-solving Tools Hypothesis Testing DOE
Abnormality
Management
Blackbelt
(DMAIC)
8D
PDCA
Yellow Belt
(DMAIC)
Problem Solving Continuum (Tools vs. Methods)
Tools
Methodology

26. BEYOND COMPLIANCE
Problem Solving Methods Defined
Define the
Problem
Clearly State Problem
Define KPIs Current State
Define KPI Targets
Form a Hypothesis
and Simplify
Common Tools: Pareto,
Fish Bone, 5 Why, etc.
Test Hypothesis
The Root Cause can
be turned on and off
Implement
Solution
Sustain using the
Management System
Other Modern Uses of the Scientific
Method include:
• PDCA: (Plan Do Check Act)
• 6 Sigma DMAIC: (Define Measure Analyze
Improve Control)
• 8D: (Identify Team, Define Problem,
Define Containment, identify Root Cause,
Develop Corrective Actions, Validate
Corrective Actions, Define Preventive
Actions, and Celebrate)
Follow the Scientific Method
and Utilize appropriate tools to Identify
and Eliminate the Root Cause
The scientific method is an approach to
problem solving which has been in use
since the 17th century.

27. BEYOND COMPLIANCE
Problem Solving Methods: Overview
Problem Solving
Method
Define Problem
Simplify and Form
Hypothesis
Test Hypothesis Implement Solution
PDCA Problem
Solving Method
Plan Do Check Act
DMAIC Problem
Solving Method
Define Measure + Analyze + Improve Control
8D Problem
Solving Method
Form Team + Define
Problem + Define
Containment
Identify Root Cause + Define Corrective Actions
Define Preventive
Actions + Celebrate

28. BEYOND COMPLIANCE
PDCA Methodology: The Engine of Execution
62%
of Your Time
(Execute the Plan)
10%
of Your Time
(Daily/Weekly/Monthly Review)
10%
of Your Time
(Countermeasures)
Plan
Do
Check
Act
18%
of Your Time
(Steps To The Future)

29. BEYOND COMPLIANCE
The DMAIC Problem Solving Methodology
Common Tools
• Just Do it
• 5 Why
• Fishbone diagram
• Quality mapping
• Pareto analysis
• Capability analysis
• Gage R&R
• Comparative analysis
• Histograms
• Box & whisker
• Matrix plots
• Run charts
• SPC control charts
• ANOVA
• DOE/Hypothesis Testing
• Risk assessment (improvement)
• Mistake proofing
(improvement)
• Statistical tolerancing
• Linear regression
• Multivariate regression
• Binary logistic regression
• Control plan (SPC)
• Mistake proofing (controls)
• Risk assessment (controls)
Deliverables
• Problem statement
• Financial & customer impact
• “Y” & defect definition
• Preliminary “X’s” identified
• Quality map
• Zst & Zlt
• MSA
• Root cause determination
• Correlation of vital few “X’s”
with “Y”
• Graphical & statistical analysis
of “X’s”
• Refined standard ops
• Mistake proof process
• Estimate of improved
performance
• Kaizen results & newspaper
• Train operators
• Results analysis & process
verification
• Develop control plan
• Identify leverage opportunities
Measure Analyze Improve Control
• Determine performance
• Verify measurement system
• Identify Y & preliminary “X’s”
• Narrow the field to the vital few
“X’s”
• Identify & implement Kaizen
improvements for vital few
• Verify improvements
• Optimize settings for vital few
• Control the process to maintain
the gains
• Establish a plan to control &
review the process

30. BEYOND COMPLIANCE
8D Methodology To Solving Problems
• 8D is a problem-solving methodology for product and process improvement
• It is structured into eight disciplines, emphasizing team synergy
• The team as whole is better and smarter than the quality sum of the
individuals
• Each discipline is supported by a checklist of assessment questions, such as
“what is wrong with what”, “what, when, where, how much”
The U.S. Government first standardized the 8D process during the Second World
War, referring to it as Military Standard 1520: “Corrective action and disposition
system for nonconforming material”.
Using the 8D Process to Find the Root Cause

31. BEYOND COMPLIANCE
Applying the 8D Methodology
8D
7D
6D
5D
4D
3D
1D & 2D
1D & 2D – Team formation, Project/kaizen charter (Problem Definition)
3D – Pinpoint potential root cause area - Quality map, Spaghetti map
4D – Identify & test root cause - Pareto analysis, 5Why’s, Fishbone Diagram
5D – Verify corrective actions - Comparative analysis
6D – Implement permanent solution - Poka Yoke/mistake proof
7D – Implement controls & standard work – SPC, Training & MDI
8D – Recognize the achievement & copy – Duplicate, Audit & Sustain
Process Steps

32. Case Studies

33. © TBM CONSULTING GROUP, INC │ ALL RIGHTS RESERVED │ CASE STUDY
Scholle Packaging, World Leader in Bag-in-box
Packaging for Food, Beverage and Industrial
Markets, Uses Sigma Kaizen to go Beyond Six
Sigma Quality
THE CHALLENGE
• Began to receive a few complaints in social media about leaking
boxes (30 complaints out of 30 million products)
• Company opted to proactively address the issue to minimizing
any negative perceptions and potential impact on their
customer’s reputation
THE SOLUTION
• Sigma Kaizen process to determine root cause of leaking boxes. Focused on an
injection molded component with characteristics that could change from facility
to facility and lot to lot due to variation in manufacturing parameters
• DMAIC process (Define-Measure-Analyze-Improve-Control) to develop a
repeatable measurement system that would predict the component’s future
performance and enable “optimal” production
• Design of Experiments (DOE) to control different injection molding parameters
and ultimately develop the optimal settings for the component
RESULTS
• Because of social media, Six Sigma quality level was insufficient in today’s
environment of instant communications:
– Standardized problem-solving approach implemented to ensure optimal
production of critical component part
– Standard work for design of experiments delivered to each site, enabling
production of the key component within a very tight tolerance band
– Satisfied customer with an even better product and fewer complaints
– Restored customer confidence and solidified Scholle Packaging’s relationship
as a strategic supplier
Leverage Sigma Kaizen process to problem solve
and sustain improvements
CASE STUDY

34. © TBM CONSULTING GROUP, INC │ ALL RIGHTS RESERVED │ CASE STUDY
Robust Management System Helps Rapidly-
Growing Food Manufacturer (Minority-Owned
by Private Equity) Return to Profitability
THE CHALLENGE
• Plant operating efficiencies in the mid 60% range were
hurting delivery dates and undermining margins
• High levels of ingredient waste—losing 2,200 lbs. of
flavoring ingredients per day at a cost of $50K/month
• Two facilities located in rural locations had an engaged
employee base that was struggling but committed to
helping with a successful turnaround
THE SOLUTION
• Focus on areas of the business that would have the greatest impact on
financial success
• Reintroduce lean practices and apply a structured problem solving approach
using a more robust production management system
• Use employee interviews and data analysis to identify three major CI
focal points:
– Leader standard work
– 8-step problems solving and A3 reporting
– Structured & tiered daily management system
RESULTS
• Elimination of raw material waste and production efficiency improvement to
70% (the original target) made a significant contribution to the company’s
return to profitability
• The company was able to support ongoing sales growth while setting
performance records never before achieved
• Overall success attributed to the willingness to share and the predominant
learning culture that was cultivated
Improvements focused
on financial impact & disciplined management
system accelerate turn-around in two food plants
CASE STUDY

35. Closing Notes

36. BEYOND COMPLIANCE
Selecting a Lean Six Sigma Methodology
Is the process
performance
understood?
Is the solution
to the problem
simple &
known?
Can the
problem be
solved in less
than 5 days?
Is it a process
flow / cycle time
problem?
Is it a variation /
defect driven
problem?
Is a new
process or
redesign
required?
Start
Management
System
No
Yes Yes
No
Just Do It
Yes
Kaizen
Explore Other Methodologies
No
No
Yes
Lean
No
Yes
DMAIC
DFSS
Yes
No

37. BEYOND COMPLIANCE
Types of Improvement Methodologies
DMAIC
• Process
performance is
unknown or not
understood
• Implement a
process monitoring
dashboard to decide
what to do next
DFSS
Process
Management
Just Do It Kaizen Lean
• Problem identified
and solution is
known
• Implement a fix
and establish a
dashboard to
continuously
monitor process
• Problem identified
and solution is
unknown
• Small in scale or
urgency needed for
process
improvement
• Initiate 2 to 5 day
Kaizen event to
analyze the process
and implement
improvements
• Process is
inefficient and
contains wasteful
activities
• Initiate a Lean
project to identify
non-value-add
activities and
remove waste from
the process
• Existing process is
not meeting
customer
requirements or
business objective
• Initiate a DMAIC
project to identify
root causes of the
problem and initiate
breakthrough
improvements
• New process needs
to be designed or
significant
problems to current
process exist
• Initiate DFSS
project to design
processes to meet
customer
requirements

38. Questions?
BEYOND COMPLIANCE
Tim Nickerson
Client Manager
David Hicks
Vice President

39. White Papers & Surveys
Webinars & Videos
Product & Partner Info
Solution Consultation
BEYOND COMPLIANCE
More Resources
safetychain.com/resources/webinar-replays
• Part 1: How to Use a Tiered Management System for
Effective Daily Execution
• Part 2: Transition from Fire Fighting Mode Using
Leader Standard Work and Layered Audits
• Part 3: Proven Methods to Abnormality Management
and Error Proofing
• Part 4: Fixing the Problems in Your Operations
Problem-Solving Methods
Replay the Series
P: 919.471.5535
E: tbm@tbmcg.com