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Lean Six Sigma

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Antonio Lara

on 14 May 2014

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Transcript of Lean Six Sigma

Lean Six Sigma
The name “six sigma” refers to the variation that exists within plus or minus six standard deviations of the process outputs
Six Sigma
Originally developed
by Motorola, adopted and enhanced by Honeywell and GE
Am improvement of just one sigma can result in ten-fold reduction in the number of defects.
Six sigma projects are selected based to contribute to and enhance an organization's financial performance.
Eight essential tools of Six Sigma Methodology
A point to consider
Six Sigma is about results
Loan Six Sigma Road Map (DMAIC)
Through the Time
Seeks to reduce variation in the processes that lead to product defects
A philosophy and set of methods companies use to eliminate defects in their products and processes
Highly structured approach to process improvement
- A strategy
- A discipline - DMAIC
Meaning:

Statistical definition of a process that is 99.9997% capable, 3.4 defects per million opportunities (DPMO)
A program designed to reduce defects, lower costs, and improve customer satisfaction
at three sigma, 66, 800 defects per mllion costing $10/piece to fix
= $668,000
At four sigma, $6, 210 defects per million costing $10/piece to fix = $62,000
seek out sources of waste (over time, warranty claims, production backlogs, customer issues)
Six sigma Projects
Identify the problem / project
Define the requirements
Establish the goals to be achieved
Gather infomation about the current process.
-Define and measure key
process, steps and inputs.

Refine the problem statement and goals.
Identify potencial root causes of the problem
Validate the cause and effect relationship
Identify the vital fex root causes
Evaluate and monitor improvements
-Make adjustments as needed
Stablish Standard procedures
Implement solution to address root causes of problem
Test solutions
Measuere results
-Used within DMAIC process Process Maps
Cause and effect diagrams
Failure Modes and Effects Analysis
Measurement System Analysis
Process Capability Studies
Multi-variate Studies
Design of Experiments
Process Control Plans
Six sigma focuses on
defects
while other quality
improvement methodologies emphasize
non- conformances

-A subtle, yet important distinction, especially in the legal sense.
Enhancing
profitability
through
improved quality and efficiency
Back ground on Lean
Lean comes out of the industrial engineering world
Taichii Onho-Toyota production system
1940-1950 company was on verge of bank ruptcy
Dynamics of industry were changing-moving from mass production to more flexlibe, shorter, varied bath runs (people wanted more colors, different features, more models, etc.)
Onho was inspired by 3 observations in a trip to America
the Indy 500-Rapid changeover
Henry Ford's assembly line inspired the principle of flow (keep products moving because no value is added while it is sitting still)
The American Grocery Store -led to the Pull system -material use signals when and how stock needs to be replenished.
Lean methods
Kaizen events (or Score events)
-Planed and structured process that enables to a small group of people to improve some aspect to their business in a quick, focused manner.
-
Select, Clarify, Organize, Run, Evaluate
-
5S

- This methodology reduces waste through improved workplace organization and visual management.

-Sort, Store, Shine, Standardize and Sustain-
Kanban


- Most often a physical signal (paper card or
plastic bin), that indicates when it is time to
order more from whom and in what
quantity.
(a Japanese term that can be translated as "signal", "card" or "sign")
Lean Vs. Six Sigma
Lean tends to be used for shorter, less complex problems. Often time driven. Focus is on eliminating wasteful steps and practices

Six Sigma is a bigger more analytical approach – often quality driven – it tends to have a statistical approach. Focus on optimizing the important steps – reducing defects.

Some argue Lean moves the mean, Six Sigma moves the variance. But they are often used together and should not be viewed as having different objectives.
-Waste elimination eliminates an opportunity
to make a defect
-Less rework means faster cycle times

Six Sigma training might be specialized to the “quality” department, but everyone in the organization should be trained in Lean
Discipline Overview
Lean
Six Sigma
Lean six Sigma
Eliminate waste.
Simple tools like VSM, 5s.
Quick results.
Can be dramatic
Reduce variation.
Advanced tools like FMEA,
DOE, control charts.
Dramatic results.
Benefits of Lean
and Six Sigma.
Goals of Lean Six Sigma
Prevent defects by reducing variation
Prevent defects by centering process
Meet customer requirements
Anatomy of a control chart
Costumer, values problem Statement
Scope, Timeline, team
Primary/secondary & OpEX Metrics
Current Value Stream Map
Voice of customer
Assess specification / Demand
Measurement Capability (Gage R&R)
Correct the measurement system
Process map, Spaghetti, Time obs.
Measure OVs & IVs / Queues
Root Cause (Pareto, C&E, brainstorm)
Find all KPOVs & KPIVs
FMEA, DOE, critical Xs, VA/NVA
Graphical Analysis, ANOVA
Future Value Stream Map
Optimize KPOVs & test the KPIVs
Redesign process, set pacemaker
5S, Cell design, MRS
Visual controls
Value Stream Plan
Document process (WIs, Std Work)
Mistake proof, TT sheet, CI List
Analyze change in metrics
Value Stream Review
Prepare final report
1950
1980
2000
1990
1930
1900
Deming




Toyota Production System

SCP TQM





Just in TIme
Motorola Introduces Six Sigma





Lean Mfg
AlliedSIgnal



GE Adapt LSS to Business Processes
Guinness Brewery




Ford Assembly Line


Shewhart Introduces SPC




Gilbreth, Inc.
-Management Theory
-Industrial Engineering
-14 Points
-7 Deadly Diseases
Lean Six Sigma
Full transcript