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RLM & Associates LLC Your Lean Six Sigma & Project Management Trainers

RLM & Associates LLC Your Lean Six Sigma & Project Management Trainers. Lean Six Sigma DMAIC Workshop Green Belt Part 3. 6 σ Green Belt. Building Effective Teams. Building Effective Teams. Why Teams?. Improves productivity Better results (products, processes, services)

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RLM & Associates LLC Your Lean Six Sigma & Project Management Trainers

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  1. RLM & Associates LLCYour Lean Six Sigma & Project Management Trainers Lean Six Sigma DMAIC Workshop Green Belt Part 3 6 σ Green Belt Kraft Foods Green Belt

  2. Building Effective Teams Building Effective Teams Kraft Foods Green Belt

  3. Why Teams? • Improves productivity • Better results (products, processes, services) • Better able to handle complex problems • Can handle many aspects of the business • Differentiation through diversity of thoughts • Improves morale, enthusiasm and creativity Teams succeed over the work of the lone genius! Kraft Foods Green Belt

  4. High Performing Teams Blanchard’s Model Teams have a sense of Purpose, they are Empowered, they practice good Relationships& Communication, they exhibit Flexibility, then try for Optimal Performance, they Recognize & Appreciate others and have high Morale. When all components are strong, location or product becomes irrelevant Kraft Foods Green Belt

  5. Characteristics of Effective Teams • Effective teamwork encompasses: • – Developing a charter • – Defining team members’/leader’s roles • – Establishing procedures and ground rules • – Establishing relationships Effective Teams What do we do, intend to do, and why?(Purpose, Scope, Goals, Selection) Which individuals do which activities or tasks? How do we feel about each other, talk with each other, and affect each other? How do we do what we do? What processes and systematic approaches do we use? Kraft Foods Green Belt

  6. Team Growth Stages All effective teams move though stages of growth. A team must work through four developmental stages to be successful. Team leader and members must understand the different stages and adapt their behavior to maximize team effectiveness. Team Growth Stages Forming Performing Storming Norming Kraft Foods Green Belt

  7. Conflict Resolution • In order for teams to move forward from Storm to Norm, teams must understand: • – How to identify conflict and how to resolve it • – How to identify blockages and how to unblock • – How team blockages affect progress and how to unblock them When managed correctly, conflict produces new ideas, solves problems, expands capabilities, and improves creativity Kraft Foods Green Belt

  8. Helping Teams with Conflict Listed below are some key steps for helping a team work through conflict. This is a suggested approach, but team leaders may use different steps. Team leaders may have to alternate between these steps as they work through conflict with the team. • Clarify and summarize different points of view • Ask for points of agreement and disagreement • Look at situation from customers points of view • Get data • Place yourself in the other person‘s position • Ask how to resolve differences Kraft Foods Green Belt

  9. Define Phase Checklist • Is the project charter complete, accurate, and SMART? • Is the as-is process mapped appropriately? • Are Critical Customer Requirements documented? • Have any quick wins been identified? • –If so, implemented? Kraft Foods Green Belt

  10. Measure Measure Kraft Foods Green Belt

  11. Measure Phase Process Flow Identify Measurement and Variation Perform Measurement System Analysis Determine Data Type Perform Data Collection Develop Data Collection Plan Perform Capability Analysis Kraft Foods Green Belt

  12. Measure Phase Objectives • Define the process measures • Identify the types, sources, and causes of variation in the process • Determine data requirements • Develop a data collection plan • Perform Measurement System Analysis • Conduct data collection • Determine baseline capability of the project as SQL • –(Sigma Quality Level) Kraft Foods Green Belt

  13. Why Measure? • Measurement allows teams to… • – Establish baseline performance • – Isolate sources of variation • – Identify areas in which improvements can • be made Kraft Foods Green Belt

  14. Value Performance Measures –Customer Value Achieved? Critical Customer Requirements Market Suppliers Process Inputs Business Processes Process Outputs Process Measures Input Measures Output Performance Measures Important Decisions Based on Linking Customer Expectations to Process Performance Customer Value Kraft Foods Green Belt

  15. Input, Process and Output Indicators Input Indicators Process Indicators Output Performance Indicators • # of customer inquiries • Type of customer inquiries • # of orders • # of positions open • Type of position open • Accuracy of the credit analysis • Timeliness of the contract submitted for review • Cost per transaction • Time per activity • Amount of rework • Turnaround time • Variability of an activity • Percent defective • Number of errors • Total response time • Invoice/billing accuracy • Revenue These should all appear on your process map Critical Customer Requirements Critical to the Process Kraft Foods Green Belt

  16. Process Elements/Indicator Relationships Start Boundary __________ End Boundary ____________ Process Kraft Foods Green Belt

  17. More on Measurement Considerations • One rule holds regardless of the measures you select; try to use as few indicators as possible • There is a cost/benefit and relevance relationship to measuring. Too many measures are costly, unproductive, and may divert attention from critical areas. • Not enough or incorrect process indicators will not allow you to identify defects before they occur Kraft Foods Green Belt

  18. CCRs and Multiple Output Indicators Some CCRs may be measured in terms of one specific expectation a customer has. Others may require several output indicators. The table shows how one CCR can have one or several associated output indicators. This table lists the second CCR from the above table, but shows it as three different critical customer requirements associated with the delivery of a vehicle. Regardless of how the CCR is stated, teams must be sure to identify all of the CCRs associated with a process production service and make sure that the CCRs are measured by the output indicator. Kraft Foods Green Belt

  19. Indicators Kraft Foods Green Belt

  20. Measurement Planning Measurement Planning Kraft Foods Green Belt

  21. Variation • Variation means that a process does not produce exactly the same result every time the product or service is delivered • Variation exists in all processes • Measuring and understanding variation in our business processes helps identify specifically what the current level of performance is and what needs to change in order to reduce the variability and therefore reduce the defects delivered to customers Kraft Foods Green Belt

  22. Two Basic Types of Data • Attribute Data • –Go/No Go • –Good/Bad • –Pass/Fail • Whether something is happening or not • Variable Data • –Time • –Temperature • –Size • Information about what is happening Kraft Foods Green Belt

  23. Two Basic Types of Data • Before data collections starts, classify the data into different types: continuous or discrete. This is important because it will: • – Provide a choice of data display and analysis tools • – Dictate sample size calculation • – Provide performance or cause information • – Determine the appropriate control chart to use • – Determine the appropriate method for calculation of Sigma Discrete, categorical or attribute Continuous or variable Count or categories Measured on a continuum • Subjective • Yes/No • Categories • Service performance rating (good, poor) • Satisfaction • Agreement • Objective • Time • Money • Weight • Length • Objective • Count defects • # approved • # of errors • Type of document • Subjective • Satisfaction • Agreement • Extent • Type of error Kraft Foods Green Belt

  24. Obtaining the Measurements • Data collected will only be as good as the collection system itself. In order to assure timely and accurate data, the collection method should be simple to use and understand. There are several methods. The most common are: • – Checksheet - a simple log of ―tick marks‖ representing the volume • and type of work • – Time stamps - a recording of the time that each activity begins and • ends Example: Checksheet Applications Returned for Missing Data All data can be collected manually (writing in the log, recording the time, etc.) or automatically. Automatic data collection assures accurate and timely data, and removes the burden of collection from the operator of the process. But, it can be very expensive to set up. It usually involves computer programming and/or hardware. For most initial efforts, a paper log is the most cost effective form of data collection Kraft Foods Green Belt

  25. Data Collection Identity Measures Step 1 Develop Operational Definitions for Measure Measurement management starts with a data collection methodology. Step 2 Develop Measurement Plan Step 3 Collect Data Step 4 Display and Evaluate Data Kraft Foods Green Belt

  26. Step 1: Develop Operational Definitions • Step 1: Operational Definition • An operational definition is a concept that helps guide the team‘s thinking on what they need to measure as well as the key attributes of the measure: what, how, and who. It provides the foundation for the team to reach agreement and build consistency and reliability into data collection. This helps ensure any person using the definition will be measuring the same thing. • Provides everybody with the same meaning • Ensures that consistency and reliability are built in up front • Describes the scope of the measure (what is included and what is not included) Kraft Foods Green Belt

  27. Step 2: Develop a Measurement Plan • Step 2: Measurement Plan • Determining current process performance usually requires the collection of data. When developing a measurement plan ensure that: • The data collected is meaningful • The data collected is valid • All relevant data is collected concurrently • Questions to Answer • What precise data will be collected? • Performance measurement? Causes of process deficiencies? • Do we analyze all relevant data or a sample? • What is the right sample size? What is the right frequency? • What will be the sample selection method? • What tools are necessary? What formats will be used? • What logs will be kept? Do we need a computer? Kraft Foods Green Belt

  28. Step 2: Develop a Measurement Plan • Questions to Answer • What logistical issues are relevant? • Who will collect data? • Where is the data located? • When will it be collected? • What additional assistance is required? • What you want to do with the data? • Used daily, weekly, etc. • Identify trends in the process data • Identify deficiencies in the process • Demonstrate current process performance • Identify variation in a process • Identify a cause and effect relationship Kraft Foods Green Belt

  29. Step 2: Develop a Measurement Plan Example: Cycle time - loan application processing • Considerations for other data that should be collected at the same time: • How will you display the data? • What do you want to do with the data after it is collected? • How do you want to stratify the data? • What data might you need to identify and verify root cause? • Data collection is a balance between time, money and accuracy (getting the data you need). Kraft Foods Green Belt

  30. Measurement Planning Kraft Foods Green Belt

  31. Team Exercise • Complete Process Indicators Template • Complete Measurement Plan Kraft Foods Green Belt

  32. Measurement Planning Kraft Foods Green Belt

  33. Step 3: Collect Data • Follow the plan —note any deviations from • the plan • Consistency —avoid bias • Observe data collection Kraft Foods Green Belt

  34. Data Collection Kraft Foods Green Belt

  35. Measurement System Analysis/Gage R&R Measurement System Analysis/Gage R&R Kraft Foods Green Belt

  36. The Importance of Measurement System Analysis (MSA) • Is the importance of conducting an MSA being overlooked? • – Many resources can be wasted trying to improve a process when a major source of variability is the measurement system • – More consideration needs to be given to the measurement system before beginning process improvement work • The measurement system is only one source of variability when measuring a product or process • The purpose of a measurement system is to better understand the sources of variation that can influence the results produced by the process under investigation Kraft Foods Green Belt

  37. Repeatability (Precision) The variation between successive measurements of the same part, same characteristic, by the same person using the same instrument. Also known as test/re-test error, used as an estimate of short-term variation. Kraft Foods Green Belt

  38. Reproducibility Reproducibility is the variation in the average of the measurements made by different appraisers using the same measuring instrument when measuring the identical characteristics on the same part. Kraft Foods Green Belt

  39. Bias Effects • Average of measurements are different by a fixed amount. Bias effects include: • – Operator Bias–Different operators get • detectable different averages for the same thing • – Machine Bias–Different machines get detectable • different averages for the same thing, etc. • – Others–Day-to-day (environment), fixtures, • customer and supplier (sites) Instrument 1 Kraft Foods Green Belt

  40. Stability The absence of assignable causes of variation; the property of being in statistical control. The consistency of measurements over time. Kraft Foods Green Belt

  41. Discrimination • Discrimination is the capability of detecting even small changes in the characteristic • If unacceptable may not be appropriate to identify process variation or quantify individual part characteristic values • Cannot detect variation of process and special cause variation Kraft Foods Green Belt

  42. Process Capability and Sigma Quality Level Process Capability and Sigma Quality Level (SQL) Kraft Foods Green Belt

  43. Process Capability – What is it? Quantifiable comparison of Voice of Customer (spec limits) to Voice of the Process (control limits). • Most measures have some target value and • acceptable limits of variation around the target • The extent to which the “expected” values fall within these limits determines how capable the process is of meeting its requirements Kraft Foods Green Belt

  44. Learning Objectives • Learn prerequisites for conducting process capability studies • Learn how Cp and C pk are calculated Kraft Foods Green Belt

  45. Process Capability Ratio – C p • Ratio of total variation allowed by the specification to the total variation actually measured from the process • Typical goals for Cp are greater than 1.33 (or 1.67 for safety items) If Cp< 1, then the variability of the process is greater than the specification limits Kraft Foods Green Belt

  46. Process Capability Ratio – C p Kraft Foods Green Belt

  47. Process Capability Ratio – C pk This index accounts for the dynamic mean shift in the process – the amount that the process is off target Ratio of 1/2 total variation allowed by spec. to the actual variation, with only the portion closest to a spec. limit being counted Kraft Foods Green Belt

  48. Uses of Capability Analysis • Performed on new equipment as part of the qualification and approval process • Performed on existing processes as a means of establishing a baseline of current operations (so it‘s possible to tell when improvement has occurred) • When done periodically, is a means of monitoring wear and tear on equipment, and deterioration of a process for whatever reason (material, personnel, environment, etc.) • Can be done on any process with a spec established, manufacturing or transactional (spec. is needed for the values in numerator), and has a capable measuring system (needed valid denominator value) Kraft Foods Green Belt

  49. Capability Action Plan • Give highest priority to parameters with Cpk‘ s of less than 1.0 (center the dimension, reduce the variation or both) • – If possible, get tolerance relief. (If product/process is mature, and there have been no customer problems, what is the need for this formal spec when another ―de facto‖ spec has been used historically?) • – 100% inspect, measure and sort • – Chart using the data from the measurements • Use SPC on parameters with Cpk‘ s between 1.0 and 1.33 (or 1.67 if safety related) • Consider transitioning to First Piece checks for parameters over 1.33 (or 1.67 if applicable), and SPC charting of First Piece and audit data Kraft Foods Green Belt

  50. Sigma Quality Level – Attribute Data • Key Terms Required • – Unit (N) • – Defect (D) • – Opportunity (O) • – DPMO Kraft Foods Green Belt

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