Systematic optimization of resources: LESS IS MORE · presentation Evolution of Quality methodologies 1924 1950 1978 1984 1986 1988 ... SPK TQM JIT Taylor Ford Toyota Industrialization

Valenta Valentinova, Intertek Academy Director, Six Sigma MBB 22 Jan 2014

Systematic optimization of resources:

LESS IS MORE

* | Company presentation www.intertek.com

The path to perfection: Gradation of Quality

Kaizen

Quality methodologies

TQM

Quality Control

Quality Assurance

Quality Inspections


Evolution of Quality methodologies

1924 1950 1978 1984 1986 1988 Стюарт Деминг Оно Голдрат Моторола Крафчик

Six Sigma

Lean

SPC

TPS

SPK TQM

JIT

Taylor Ford Toyota

Industrialization

Mass production

Mass consumption

Wealth & credit

Market saturation

Emerging markets Internet

IT Biotech access to knowledge

social networks Resource depletion

Efficiency

Price

Competitiveness

Choice Product design Personalization Quality

Sustainable development Agility Product lifecycle

Integration

Globalization

QC


What is achieved by Lean?

Maximize customer value

Minimize waste

Simplicity

Flow


Which is the Lean approach?

Focus on the overall system efficiency rather than on

the efficiency of individual processes / workstations


What are the principles of Lean?

Value-added Waste

1. Overproduction

2. Overprocessing

3. Unnecessary motion

4. Rework, defects, scrap

5. Overstocking

6. Waiting

7. Transportation

8. TALENT

● Defined by the customer

● What the customer is willing

to pay for

● A capability of the highest

quality, delivered at the right

time at an appropriate price


Bright minds, big ideas - a retrospective

● Japanese inventor and industrialist, Toyota Industries founder

● Considered as the father of the Japanese industrial revolution

● Invented the automatic powerloom, establishing the principle of

Jidoka (autonomous automation)

● Developed the concept of 5 Why’s

Who was Sakichi Toyoda and

what was his contribution to

the development of Lean?

Sakichi Toyoda

1867 - 1930


A popular Lean tool

5 Why’s in

Root Cause Analysis

Example:


Another Lean tool - the Gemba walk

Jim Womack Lean Enterprise Institute

2011 Industryweek

Best Plants Conference

How to do a gemba walk:

Select a horizontal value stream, gather the people responsible for the

vertical functions of your organization and walk through the process to

grasp the situation

Questions to ask on the walk:

What is the purpose of the activity: what customer need is solved by it?

What is the actual state of the process: how good is it in solving the need?

How do you engage the people in continuous and sustainable

improvement?

Gemba:

Japanese term

for a place

where

value is

created: the

manufacturing

floor, the

office, virtual

space, etc.

http://youtube.com/v/M2lp1QDbXWE


Want to know more? Lean reading suggestions:

A Lean case

http://youtube.com/v/9dwqu7pRqGg


Bright minds, big ideas - a retrospective

● American industrialist, Ford Motor Company founder

● Revolutionized transportation and American industry

● Developed the assembly line technique of mass production

● Produced Model T car, the first affordable to the middle class

● Increased the minimum wage for workers, while cutting shift

lengths

Who was Henry Ford

and what was his

contribution to the

development of Six

Sigma?

1863 - 1947


A mindset change: COQ (cost of quality)

New thinking:

Quality

Cost

Old thinking:

Quality

Cost

• Scrap

• Rework

• Inspections

$

Q

• Cost for clients

• Complaints

• Returns

• DFSS

• DMAIC

• Training

$

Q


.

100s of organizations have implemented 6 Sigma


Which is the Six Sigma Approach?

DEFINE

MEASURE

ANALYZE IMPROVE

CONTROL


What is Six Sigma?

What is Six Sigma? What is a Six Sigma

company?

“variation is evil”

Jack Welch,

GE CEO 1982-2001

During his tenure, GE

increased its market

capitalization by over

$400 billion

http://youtube.com/v/aNMULFcLuIM


What is the result of a Six Sigma process?

The difference between a 3 sigma and a 6 sigma process


What is the difference between process control

and process capability?

Six Sigma project Phase I

Process control

Process capability

NOT connected to specs

(LSL/USL)

Connected to specs

(LSL/USL)

Six Sigma project Phase II

time

time

Under control –

Special cause variation is eliminated

Under control & capable –

Common cause variation is reduced

LSL USL


A statistical approach to problem solving

Informed decisions

Controlled process

Business problem

Statistical problem

Statistical solution

Business solution


What is the difference between special and

common cause variation?

Special cause Common cause

- defective part - accuracy of each machine

- pore in material - variation in material density


How can we see the causes of variation?


Business issues and solutions

A. Poor control, inadequate technology

B. Poor control, adequate technology

C. Strong control, inadequate technology

D. Strong control, adequate technology

Business problem

Statistical problem

Statistical solution

Business solution


Logic, common sense

Basic LSS tools

DMAIC

DFSS

Process entitlement

The fruit of Six Sigma


Lean and Six Sigma


Data-based decisions

The Future of

Decision

Making: Less

Intuition, More

Evidence

by A. McAfee

Thank you for the attention!

[email protected]

For contact:

mailto:[email protected]

Documents

Systematic optimization of resources: LESS IS MORE · presentation Evolution of Quality methodologies 1924 1950 1978 1984 1986 1988 ... SPK TQM JIT Taylor Ford Toyota Industrialization