Kaizen Process 3.1.1

1. Kaizen Process 3.1.1 Nick Sykes Lean Six Sigma Black Belt 01/21/13

2. Company Overview • Hixson has been servicing the military, aerospace, and commercial aircraft industry for over 50 years. • 135 Full-time Employees • SEA Stage 1 Certified (2010) • Nadcap Accredited • AS9100/AS9110/ • ISO9001 Certified • Awarded SEA’s Leadership & Culture, Leadership Excellence, Supply Chain Innovation, and Operational Excellence Awards

3. Hixson’s Capabilities • Anodize • Chem Film • Cad Plating • Nickel Plating • Tin Plating • Chrome Plating • Copper Plating • Gold Plating • Silver Plating • Black Oxide • Vacuum Cad • Shot Peen • Passivate • NDT • Phosphate • Painting • Grind • More…

4. Kaizen Process 3.1.1 Champion: Greg Gannon Process Owner: Nick Sykes Master Trainer: Jennifer Kent Key Steps in Process: Ongoing Ongoing Ongoing Annual Annual Assessment Inputs Preparation Planning Implement Outputs Communicate • Details • Improvement Results • Report Out Presentation • Standard Work Instructions • Training • Details • Strategic Goals • Continuous Improvement Management Plan • Leadership Communication Process • Value Stream Maps • Details • Review collected data • Select Kaizen events • Select Champion, Process Owner, and Kaizen Leader/Team • Schedule Kaizen event • Obtain Champion approval and resources • Details • Monitor and assess implemented improvement initiatives • Adjust and improve process initiatives as needed • Details • Review collected data • Brainstorming • Select improvement initiatives • Implement improvement initiatives • Create standard work • Implement training • Details • Create report outs • Communicate results (ref-1.1.2) • Details • Develop Kaizen Process Plan • Strategic Goals • Continuous Improvement Objectives • Value Stream Maps REFDOC://VSM_3.1.1_Kaizen Process_RevB.pptx/NSykes

5. Kaizen Selection Process • Criteria for Kaizen Event • Problem is identified, but solution is unknown • Small in scale with urgency needed for process improvement • Kaizen Selection Committee • Meets prior to annual Strategic Planning Meeting • Representative of all areas of the company • Drafts proposal for Kaizen Schedule • Strategic Planning Team reviews and approves Kaizen Events

6. Kaizen Team • Team Leader – Facilitates event and ensure action items are assigned and completed • Co-leader – Training to be a future Kaizen Team Leader • Event Coordinator – Liaison with all stakeholders and responsible for preparing final report out presentation • Process Champion – Management representative responsible for attaining necessary resources for team • Process Owner – Process user responsible for sustaining change • Subject Matter Experts (SME’s) – Experienced process users • Outsider – Usually supplier and/or customer to process

7. Team Photo

8. Pre-Work • Occurs at least one week prior to kaizen event • Kaizen refresher training • Review/create value stream map • Create kaizen scope sheet • Estimate budget and submit for pre-approval

11. Preparation for Kaizen • Occurs during the week prior to kaizen event • Purchase pre-identified equipment and supplies • Ensure that maintenance crew will be on call during event • Coordinate with Production to ensure that all kaizen team members’ job duties are covered if necessary

12. Day 1- Kaizen Rules • One person=one vote • There are no bad ideas • No ideas are criticized! • Keep an open mind to change • Keep a positive attitude • No blame for anything • Respect each other • Ask questions • Plans must be sustainable to be successful • Work hard • Have fun!

13. Day 1 - Planning • Begin brainstorming in dedicated kaizen room • Use spaghetti diagram flowchart, document suggestions, etc. • Move to work area to discuss ideas and continue brainstorming • Rate ideas according to impact on business and difficulty to implement

14. Implement Changes • Select improvement initiatives • Assign tasks to each person • No “normal work” is allowed • Team leader assigns new tasks and monitors progress • Organize action items list for any outstanding items to be completed

15. Implement Changes

16. Assessment & Follow-up • Debrief team • Identify most valuable and least valuable changes • Solicit ideas to improve kaizen process • Update department dashboard to measure results • Meet at least once per week for the following month to review results, change ineffective items, and audit process • 30 day, 90 day, 1 year follow-up for sustainability

17. Document Results

18. Standard Work & Training • Update/create standard work instructions • Train all process users to follow new process

19. Report Out • Present kaizen event’s success to executive leadership • Occurs approximately one month after kaizen event • All team members participate in presentation (not just team leader or management) • Executive leadership is not allowed to criticize improvements • Executive leadership should ask, “what else do you need from me to continue successfully?”

20. Before & After • Post before and after photos in work area Before After

21. Kaizen Improvement Wall

22. Thank You! Contact Information: Nick Sykes Quality/Continuous Improvement Lean Six Sigma Black Belt (949) 645-4800 ext. 4641 Nick@hixsonmetalfinishing.com www.hixsonmetalfinishing.com