Step 2: Break Down the Problem

1. Step 2: Break Down the Problem Step 1. Clarify the Problem 8 STEPS PROCESSES 1. Clarify the Ultimate Goal of your responsibilities & work 2. Clarify the Ideal Situation and Current Situation of your work 3. Visualize the gap between the Current Situation and the Ideal Situation Step 2. Break Down the Problem 1. Break down the problem 2. Prioritize the broken down problems 3. Specify the Point of Occurrence by checking the process through GENCHI GENBUTSU 1. Make a commitment 2. Set measurable, concrete, and challenging targets Step 3.Target Setting 1. Examine the Point of Occurrence and think of possible causes without any prejudice 2. Gather facts through GENCHI GENBUTSU and keep asking “Why?” 3. Specify the root cause Step 4.Root Cause Analysis 1. Develop as many potential countermeasures as possible 2. Select the highest value-added countermeasures 3. Build consensus with others 4. Create a clear and concrete action-plan Step 5.Develop Countermeasures

2. Step 2: Break Down the Problem ～ Break down the problem and clarify the Point of Occurrence based on facts～ Large / Vague Problem Break down what? where? when? who? Problem Problem Problem Break down Prioritize Problem Problem Problem Problem Prioritized Problem Problem Problem the problem See the Process (GENCHI GENBUTSU) Point of Occurrence

3. Step 2: Break Down the Problem Step 2 (1). Break Down the Problem Large / Vague Problem Break down Think in what? where? when? who? Problem Problem Problem Break down Prioritize the problem Problem Problem Problem Problem Problem Problem Problem

4. Step 2: Break Down the Problem Example 1. Julie Case <Step2 (1)> WHERE are most of the scratches are found? WHAT type of scratches are found? At WHAT TIME are the cars with scratches made?

5. Narrow Down the Problem 3% increase in scratches found on vehicles <WHERE> Bonnet (0.02%) Front Bumper (0.06%) Roof (0.02%) Back (0.3%) L Front Door (top) (0.3%) L Front Door (bottom) (1.4%) L Rear Door (top) (0.3%) L Rear Door (bottom) (0.6%) <WHAT> Long Scratch (1.1%) Deep Scratch (0.1%) Shallow Scratch (0.2%) <WHEN> Morning Shift (0.1%) Afternoon Shift (1.0%)

6. Step 2: Break Down the Problem Level of Importance Priority Items Level of Urgency Potential for Expansion Step 2 (2). Select the Prioritized Problem Problem How to select the prioritized problem from this point? Problem Problem Problem No! Is this enough to proceed to the next step????

7. Narrow Down the Problem 3% increase in scratches found on vehicles <WHERE> Bonnet (0.02%) Front Bumper (0.06%) Roof (0.02%) Back (0.3%) L Front Door (top) (0.3%) L Front Door (bottom) (1.4%) L Rear Door (top) (0.3%) L Rear Door (bottom) (0.6%) <WHAT> Long Scratch (1.1%) Deep Scratch (0.1%) Shallow Scratch (0.2%) <WHEN> Morning Shift (0.1%) Afternoon Shift (1.0%)

8. Step 2: Break Down the Problem Point of Occurrence Step 2. (3) Specify the point of occurrence by checking the process through GENCHI GENBUTSU Where does the problem occur? Check the process throughGENCHI GENBUTSU

9. Step 2: Break Down the Problem No scratches scratches present scratches present scratches present No scratches Trace back Trace back Trace back Trace back Trace back Problem Perception Point of Occurrence Go & see the process. Which process? Where? Point of Occurrence Example 1. Julie Case <Step2 (3)> Julie found the scratches at Section 3 with Genchi Genbutsu Assembly (Job) Flow scratches discovered

10. Step 2: Break Down the Problem Example 1. Julie Case Prioritized Problem at the Point of Occurrence: Most (1/3) of the scratches found on the vehicles produced in the afternoon, that are found on the bottom part of the left doors, are made in the Section 3 in the assembly line.