1. 1 Chapter 13 Tools for ProcessImprovement

2. 2 The Deming Cycle Plan DoStudy Act

3. Plan (1 of 2) 1. 1. Define the process: its start, end, and what it does. 2. 2. Describe the process: list the key tasks performed and sequence of steps, people involved, equipment used, environmental conditions, work methods, and materials used. 3. 3. Describe the players: external and internal customers and suppliers, and process operators. 4. 4. Define customer expectations: what the customer wants, when, and where, for both external and internal customers. 5. 5. Determine what historical data are available on process performance, or what data need to be collected to better understand the process.

4. Plan (2 of 2) 6. Describe the perceived problems associated with the process; for instance, failure to meet customer expectations, excessive variation, long cycle times, and so on. 7. Identify the primary causes of the problems and their impacts on process performance. 8. Develop potential changes or solutions to the process, and evaluate how these changes or solutions will address the primary causes. 9. Select the most promising solution(s).

5. Do 1. Conduct a pilot study or experiment to test the impact of the potential solution(s). 2. Identify measures to understand how any changes or solutions are successful in addressing the perceived problems.

6. Study 1. Examine the results of the pilot study or experiment. 2. Determine whether process performance has improved. 3. Identify further experimentation that may be necessary.

7. Act 1. Select the best change or solution. 2. Develop an implementation plan: what needs to be done, who should be involved, and when the plan should be accomplished. 3. Standardize the solution, for example, by writing new standard operating procedures. 4. Establish a process to monitor and control process performance.

8. Key Idea Deming Cycle The Deming cycle focuses on both short-term continuous improvement and long-term organizational learning.

9. FADE Focus Focus Analyze Analyze Develop Develop Execute Execute

10. 10 Juran’s Breakthrough Sequence Proof of the need Proof of the need Project identification Project identification Organization for breakthrough Organization for breakthrough Diagnostic journey Diagnostic journey Remedial journey Remedial journey Holding the gains Holding the gains

11. Creative Problem Solving (CPS) Mess Finding – identify symptoms Mess Finding – identify symptoms Fact Finding – gather data; operational definitions Fact Finding – gather data; operational definitions Problem Finding – find the root cause Problem Finding – find the root cause Idea Finding – brainstorming Idea Finding – brainstorming Solution Finding – evaluate ideas and proposals Solution Finding – evaluate ideas and proposals Implementation – make the solution work Implementation – make the solution work

12. Key Idea Approaches to Problem Solving How one approaches problem solving is not as critical as doing it in a systematic fashion, whether one uses the Deming cycle, FADE, Juran’s approach, CPS, or some hybrid variation.

13. The Seven QC Tools 1. Flowcharts 2. Check sheets 3. Histograms 4. Cause-and-effect diagrams 5. Pareto diagrams 6. Scatter diagrams 7. Control charts

14. Key Idea Flowcharts A flowchart or process map identifies the sequence of activities or the flow of materials and information in a process. Flowcharts help the people involved in the process understand it much better and more objectively by providing a picture of the steps needed to accomplish a task.

15. Flowcharts Shows unexpected complexity, problem areas, redundancy, unnecessary loops, and where simplification may be possible Shows unexpected complexity, problem areas, redundancy, unnecessary loops, and where simplification may be possible Compares and contrasts actual versus ideal flow of a process Compares and contrasts actual versus ideal flow of a process Allows a team to reach agreement on process steps and identify activities that may impact performance Allows a team to reach agreement on process steps and identify activities that may impact performance Serves as a training tool Serves as a training tool

16. Seven Questions to Ask Are the steps in the process arranged in logical sequence? Are the steps in the process arranged in logical sequence? Do all steps add value? Do all steps add value? Are capacities of each step in balance? Any bottleneck? Are capacities of each step in balance? Any bottleneck? What skills, equipment, and tools are required? What skills, equipment, and tools are required? Where errors might occur? Where errors might occur? Where should quality be measured? Where should quality be measured? Where interactions with customers occur? Where interactions with customers occur?

17. Key Idea Run Charts Run charts show the performance and the variation of a process or some quality or productivity indicator over time in a graphical fashion that is easy to understand and interpret. They also identify process changes and trends over time and show the effects of corrective actions.

18. Run Chart Monitors performance of one or more processes over time to detect trends, shifts, or cycles Monitors performance of one or more processes over time to detect trends, shifts, or cycles Allows a team to compare performance before and after implementation of a solution to measure its impact Allows a team to compare performance before and after implementation of a solution to measure its impact Focuses attention on truly vital changes in the process Focuses attention on truly vital changes in the process * * * *

19. Control Chart Focuses attention on detecting and monitoring process variation over time Focuses attention on detecting and monitoring process variation over time Distinguishes special from common causes of variation Distinguishes special from common causes of variation Serves as a tool for on-going control Serves as a tool for on-going control Provides a common language for discussion process performance Provides a common language for discussion process performance * * * *

20. Key Idea Check Sheets Check sheets are special types of data collection forms in which the results may be interpreted on the form directly without additional processing.

21. Check Sheet Creates easy-to-understand data Creates easy-to-understand data Builds, with each observation, a clearer picture of the facts Builds, with each observation, a clearer picture of the facts Forces agreement on the definition of each condition or event of interest Forces agreement on the definition of each condition or event of interest Makes patterns in the data become obvious quickly Makes patterns in the data become obvious quickly xx xxxxxx x

24. Key Idea Histograms Histograms provide clues about the characteristics of the parent population from which a sample is taken. Patterns that would be difficult to see in an ordinary table of numbers become apparent.

25. Histogram Displays large amounts of data that are difficult to interpret in tabular form Displays large amounts of data that are difficult to interpret in tabular form Shows centering, variation, and shape Shows centering, variation, and shape Illustrates the underlying distribution of the data Illustrates the underlying distribution of the data Provides useful information for predicting future performance Provides useful information for predicting future performance Helps to answer “Is the process capable of meeting requirements? Helps to answer “Is the process capable of meeting requirements?

26. Key Idea Pareto Diagram A Pareto distribution is one in which the characteristics observed are ordered from largest frequency to smallest. A Pareto diagram is a histogram of the data from the largest frequency to the smallest.

27. Pareto Diagram Helps a team focus on causes that have the greatest impact Helps a team focus on causes that have the greatest impact Displays the relative importance of problems in a simple visual format Displays the relative importance of problems in a simple visual format Helps prevent “shifting the problem” where the solution removes some causes but worsens others Helps prevent “shifting the problem” where the solution removes some causes but worsens others

29. Key Idea Cause-and-Effect Diagram A cause-and-effect diagram is a simple graphical method for presenting a chain of causes and effects and for sorting out causes and organizing relationships between variables.

30. Cause and Effect Diagram Enables a team to focus on the content of a problem, not on the history of the problem or differing personal interests of team members Enables a team to focus on the content of a problem, not on the history of the problem or differing personal interests of team members Creates a snapshot of collective knowledge and consensus of a team; builds support for solutions Creates a snapshot of collective knowledge and consensus of a team; builds support for solutions Focuses the team on causes, not symptoms Focuses the team on causes, not symptoms Effect Cause

32. Scatter Diagram Supplies the data to confirm a hypothesis that two variables are related Supplies the data to confirm a hypothesis that two variables are related Provides both a visual and statistical means to test the strength of a relationship Provides both a visual and statistical means to test the strength of a relationship Provides a good follow-up to cause and effect diagrams Provides a good follow-up to cause and effect diagrams * * * *

33. Other Tools for Process Improvement Kaizen Blitz Kaizen Blitz Poka-Yoke Poka-Yoke Process Simulation Process Simulation

34. Key Idea Kaizen Blitz A kaizen blitz is an intense and rapid improvement process in which a team or a department throws all its resources into an improvement project over a short time period, as opposed to traditional kaizen applications, which are performed on a part-time basis.

35. 35 Poka-Yoke (Mistake-Proofing) An approach for mistake-proofing processes using automatic devices or methods to avoid simple human or machine error, such as forgetfulness, misunderstanding, errors in identification, lack of experience, absentmindedness, delays, or malfunctions An approach for mistake-proofing processes using automatic devices or methods to avoid simple human or machine error, such as forgetfulness, misunderstanding, errors in identification, lack of experience, absentmindedness, delays, or malfunctions

36. Three Levels of Mistake- Proofing Design potential errors out of the product or process – Eliminates any possibility that the error or defect might occur Identify potential defects and stopping a process before the defect is produced – Requires time to stop a process and take corrective action. Find defects that enter or leave a process – Eliminates wasted resources that would add value to nonconforming work, but clearly results in scrap or rework.

37. Common Poka-Yoke Examples (from John Grout’s Poka-Yoke Web Page)

38. Key Idea Process Simulation Process simulation is an approach to building a logical model of a real process, and experimenting with the model to obtain insight about the behavior of the process or to evaluate the impact of changes in assumptions or potential improvements to it.

39. Engaging the Workforce in Process Improvement Technical skills Technical skills Shared vision Shared vision Behavioral skills Behavioral skills

40. Key Idea Engaging the Workforce Compared to the technical tools for gathering and analyzing data, the “soft skills”—those that involve people—such as project management and team facilitation, are more difficult to teach and learn.

41. Skills for Team Leaders Conflict management and resolution Conflict management and resolution Team management Team management Leadership skills Leadership skills Decision making Decision making Communication Communication Negotiation Negotiation Cross-cultural training Cross-cultural training

42. Skills for Team Members Effective meetings Effective meetings Shared decision making Shared decision making

43. Rules for Effective Meetings Use agendas. Use agendas. Have a facilitator. Have a facilitator. Take minutes. Take minutes. Draft the next agenda. Draft the next agenda. Evaluate the meetings. Evaluate the meetings. Adhere to the “100-mile” rule. Adhere to the “100-mile” rule.

44. Variables Check Sheet for Length of Logs in a Sample of 95 Trees 400 but under 700 9 Specification =700 700 but under 1000 8 1000 but under 1300 20 1300 but under 1600 35 1600 but under 1900 18 Specification=1900 1900 but under 2200 5

45. (c) Bar Two 0 15 30 45 60 68 100.0 98.5 92.7 88.3 82.4 41.2 Number or defective cards due to major causes Transposed numbers Wrong Character Warped Card Off-punched card Data too light on card Torn card Illegible source document Cumulative percent of major causes of defective cards

46. Cause-and-Effect Diagram for Airline Ticket Errors Airline Ticket Errors Material (Ticket Stock) Method (printing) Personnel Machine Age Density Carbon Paper Age TypeFrequency Maintenance Tension adjustment Print quality Quality Speed Supervision Ability Attention to detail Training

47. SCATTER DIAGRAMS Various plot patterns in scatter diagrams yy y y y x xx x x Positive correlation Positive correlation may be present No correlation Negative correlation may be present Negative correlation