Sigma Test 13 (Define Phase/ Indiana Council Notes)
Juran's contribution to Japan's quality efforts
Juran's contribution to Japan's quality efforts 1. Japan adopted Juran's application of Quality control to management , rather than a specialist technique.
Juran---Awards
Juran---Awards 1. Edwards Medal, ASQ 2. Brumbaugh Award ASQ 3. ASQ Honorary Member 4. Second Order Medal of the Sacred Treasure 5. Plus 30 other awards and fellowships.
Juran---Books
Juran---Books 1. Juran on Planning for Quality 2. Juarn on Leadership for Quality 3. Juran on Quality by Design 4. Juran's Quality Control Handbook
Juran---Statement on Quality
Juran---Statement on Quality Adopt a revolutionary rate of improvement in quality, making quality improvement by the thousands, year after year
Juran--Basics for Success in Quality
Juran--Basics for Success in Quality *** Prime basic belief is that America had improved but needed to improve at revolutionary rate by doing: 1. CEO's must serve on quality council 2. Specific quality improvement goals must be in the business plan and include: a. Means to measure quality results against goals b. Review of results against goals c. Reward for superior quality control 3. Responsibility for improvements must be assigned to individuals 4. People must be trained for quality management & improvement 5. Workforce must be empowered to participate in the improvement process.
Juran--Triology
Juran--Triology Managing for quality requires the same attention that other functions obtains. 1. Quality planning 2. Quality control 3. Quality improvement Juran saw these items as keys to success. Top management can follow this sequence just as they would use one for financial budgeting, cost control, and profit improvement **Quality planning used to create the process that will enable one to meet the desired goals. ****Quality Control used to monitor and adjust the process. Chronic losses are normal in controlled state, while sporadic spike will initiate investigation. **Quality improvement reduces chronic losses and move the process to better and improved state and that's the "last award"
"The Goal" reminds readers that there are 3 basic measures to be used in the evaluation of a system---List them
"The Goal" reminds readers that there are 3 basic measures to be used in the evaluation of a system---List them 1. Throughput 2. Inventory 3. Operational expenses These measures are more reflective of the true system that impact: a) Machine Efficiency b) Equipment Utilization c) Downtime d) Balanced Plants
Theory of Constraints terms--Bottleneck
1. Bottleneck Resources= resources whose capacity is equal or less than the demand place upon it. a) To relive bottleneck---> offload the material to relieve bottle neck or can make bottleneck work only on needed parts. b) Beware of lost production at bottleneck, due to poor quality or rejects. If the bottleneck stops for 1 hour, you actually lost 1 hour of total plant capacity. 2) Nonbottleneck---> Resource whose capacity is greater than demand----->A non-bottleneck machine should not work faster than needed for immediate production, because that will just pile up inventory. If you have excess production capacity, you must waste it rather than use it.
2 Books by Deming
2 Books by Deming: 1. Quality, Productivity, and Competitive Position 2. Out of Crisis
3 Awards given to Deming
3 Awards given to Deming: 1. Shewart Medal, ASQ, 1955 2. Second Order Medal of the Sacred Treasure, First American to get this award (1960) 3. Honorary ASQ member
4 LEAN Principles that allow the firm to move toward perfection
4 LEAN Principles that allow the firm to move toward perfection: 1. Solving Customer Value Problems 2. Working the Value Stream 3. Converting To Flow 4. Making Pull Occur ***All of the above eliminate Muda
4 Metrics for measuring Cycle time
4 Metrics for measuring Cycle time" 1. Existing Cycle times 2. Internal Benchmarkts 3. Expternal Benchmarks 4. Reduction in Cycle times
5 Marketplace responses to the firm's and 8 events underdoing Deming's chain reaction
5 Marketplace responses to the firm's and 8 events underdoing Deming's chain reaction 1. Customer gets reduced prices 2. Increased cooperation 3. New products and services given to customer 4. Higher levels of customer satisfaction 5. Reduced competition for market share. ** Chain reaction of good things can occur through Deming's philosophy.
5 activities of the new product development
5 activities of the new product development: ***Multi-functional team activities involving all departments needed for effectiveness and speed to market (obsolete is the single function teams passing the product) 1) Concept Study= uncovers the unknowns about market/technology/ manufacturing process 2) Feasibility investigations---need to determine the limitation of the concept and find out if unknowns are resolvable and if new research improves project 3) New product Development---Includes specifications, customer needs, target markets, multi-functional teams, and key stage gates 4) Maintenance--post-delivery activities of product development 5) Continuous learning
6 Metrics for measuring resources
6 Metrics for measuring resources 1. Percent defects 2. Cost of Poor Quality 3. Variation in reduction 4. Process capability studies 5. Return on improvement projects 6. Number of improvement projects.
7 Metrics for measuring Marketplace
7 Metrics for measuring Marketplace respones 1. Market survey of customers 2. Analysis of returns 3. New product Development 4. Customer retention 5. Cutomer losses 6. Facilities ratings 7. Coursey ratings
7 categories of MUDA
7 categories of MUDA 1) Overproduction 2) Inventory 3) Motion 4) Repairs/ rejects 5) Transport 6) Waiting 7) Processing
8 reasons why six sigma works?
8 reasons why six sigma works? 1. Bottom line results 2. Senior management involved 3. Disciplined approac 4. Short project completion time (3 to 6 months) 5. Clearly defined measures of sucess 6. Infrastructure of trained individuals (green & black belts) 7. Customer and process focused. 8. Sound statistical approach
According to Juran, the devleopment of any measurement system should take onto account the following 5 factors
According to Juran, the development of any measurement system should take onto account the following 5 factors: 1. There should be standardized meaning of measurement 2. Data should help the decision-making process 3. It should provide worthwhile information 4. It should be easy to install 5. It can be benchmarked or used elsewhere. ***Any mechanical and electical instruments for data collection must undergo caliberation procedures. *** In many application, the appropriate metrics are qualitatiove based on customer, supplier, appraisal feedback forms
Armand Feigenbaum Key contribution
Armand Feigenbaum Key contribution 1. Concept of "Total Quality Control" in 1940 at GE. 2. His TQC statement was first published in 1961 but the concept was so new that no one listened
Armand Feigenbaum & Total Quality control
Armand Feigenbaum & Total Quality control 1. All areas of the company must be involved in the quality effort. 2. Quality effort has generally only affected the shop floor people but must extend to all company sections. 3. Products must be made quicker & faster but also sold faster. 4. Quality professional has opportunity to become more than functional specialist. ----opportunity is there to become a true businessman by providing valuable information and direction.
Armand Feigenbaum Famous Quailty phrases by him
Armand Feigenbaum --Famous Quailty phrases by him 1. Quality does not travel under an exclusive foreign passport 2. Quailty & costs are partners, not adversaries 3. Failure driven companies ..."If it breaks, we will service it" verses the quality excellence approach..."No defect, no problems, we are moving toward perfect work processes" 4. Quality is everybody's job, but because it is everybody's jobs, it can become nobody's job without proper leadership and organization.
Armand Feigenbaum 6 books
Armand Feigenbaum---6 books
Armand Feigenbaum---8 TQC Principles
Armand Feigenbaum---8 TQC Principles: 1. TQC is company wide process, all functions are involved 2. Quaility is what customer says it is 3. Quality and production costs are in partnership.....higher quality will equate with lower costs. 4. Both individual and team zeal are required 5. Quality is way of managing, providing a continuous and relentless emphasis on quality through leadership. 6. As a ethic, all of management must be involved in quality, not just the specialist. 7. Requires continuous improvement, the use of new and existing technologies 8. It is most cost-effective, least capital intensive route to productivity, and is implemented with both customers and suppliers.
Armand Feigenbaum Current employment
Armand Feigenbaum--Current employment 1. Founder of General Systems ---provides quality management & strategic planning worldwide 2. States that USA should strive to be strong on the marketplace domestically via proper design, production, selling & servicing to reach marketplace supermacy.
Armand Feigenbaum Statement on Quality
Armand Feigenbaum=------Statement on Quality An effective system for integrating the quality development, quality maintenance, and quality improvements of the various groups in an organization so as to enable production and service at the most economical levels allowing for full customer satisfaction.
Armand Feigenbaum 7 Key awards
Armand Feigenbaum==7 Key awards 1. Honorary ASQ member 2. E. Jack Lancaster award, ASQ 3. 2- time president of ASQ 4. Founding Chairman, International Academy of Quality 5. Fellow, American Association for the Advancement of Science.
What is the Sigma level of average American companies?
Average American company operates at 4 sigmas which is equivalent to 0.6% defective or 6,210 defects per million.
Theory of Constraint terms-- Balanced Plants
Balanced Plants & TOC: 1. According to TOC, it is good if non-constraint operations have a greater capacity and therefore have some nonproductive time during the workday 2. If this is not the case, the plant is "too balanced" and will not operate effectively---->. In other words, the plant should be unbalanced with greater capacity at all operations except at the designed constraint. Then the rest of the plant can be properly scheduled and raw materials fed into the process based on that schedule 3. If the plant is balanced, the constraint will appear to move around during the day. a) To properly operate, the plant must be unbalanced to the extent that the constraint is obvious and consistently located. b) Non-constraint should never be fed with work just to keep it busy. That does not increase throughput and only serves to add unneeded work-in-progress (WIP) inventory 4) Central idea of TOC----> Make flow through the bottleneck equal
Batching
Batching 1) Batch size is traditionally set to optimize the time of a single step of production against the time of setting up for production---> Local optimization does not relate to overall optimization. 2) If the machine in question is a non-bottleneck, then you have excesses capacity and excess time. a) Saving setup time by optimizing batch size, is an illusion---> Time for each batch is added at each step in the process. a) Half the batch size means it gets through the entire process twice as fast. ----> This means that smaller batch sizes can mean faster time to market, cutting lead times, and being more responsive.
Benefit of a Properly Performed FMEA
Benefit of a Properly Performed FMEA
Benefits of Pull System
Benefits of Pull System: 1. Cycle times decrease in areas of: a) Sales Delivery b)Concept to launch c) Raw material to customer 2. Reduced Finished Inventories 3. Reduced Work-in Progress (WIP) 4. Pricing is stabilized 5. Customer stabilizes their ordering
Who invented 6 sigma?
Bill Smith's Yeild Theory--Motorola--invented 6 sigms
Books by Crosby
Books by Crosby 1. Quality is Free 2. Art of getting out your own Sweet Way 3. Quality without tear--Hassle-free management 4. Running things: Art of Making things happpen 5. Quality & Me: lessons from an evolving life.
Bottleneck and location of Quality Control Check
Bottleneck and location of Quality Control Check 1. After bottleneck is identified , make sure that the bottleneck is always filled with materials from previous steps to make sure that the it is always running. I 2. It is critical to arrange things so that when a part gets to a bottleneck, it is likely to make it the rest of the way. 3. Avoid placing quality control check after the bottleneck that causes parts out of the bottleneck to be discarded. a) Do the QC before the bottleneck so that things going into it are as good as possible. b) Avoid using bottleneck to make things that are not immediately needed.
8 Building Steps of Using Balanced Scorecard
Building Steps of Using Balanced Scorecard: 1. Scope of balanced scorecard is defined. 2. Facilitator gathers information for the scorecard via interviews wit senior management 3. Facilitator distributes the information at an executive workshop designated to develop a draft of the balanced scorecard measures 4. Facilitator generates a new report and rough draft scorecards 5. Second workshop is held with senior and other management levels. Draft is refined and objectives are provided for proposed measures. 6. Third worksh0p finalizes the vision, objectives, and measures 7. New task team devel0ps an implementation plan 8. Periodic reviews of the balance scorecard are conducted.
Business Level Metrics
Business Level Metrics 1. Requires Balance Scorecard 2. Typically financial (external) and operational (internal) summaries of management and shareholders that are reported monthly/quarterly/ annually 3. Traditional end-of-period cutoff reports and comparing year-to-date totals to the same period last year are not enough for 6 sigma projects
Constraint Management
Constraint Management: 1. First introduced by Goldratt in book "The Goal"---speaks of the trials of a plant managers as he struggles to manage his plant & marriage. 2. Constraint Management-- removing the bottlenecks that limit production or throughput in the process. 3. For ongoing improvement, management must find the system constraint that is limiting production or throughput. 4. Process Chart or Value Stream Map can be used to find the system constraint.
Term: Material moves one piece at at-a-time, at rate determined by the customer needs, in sooth and uninterrupted sequence and without work-in-process
Continuous Flow Manufacturing
Contrasting Theory of Constraints and Lean Manufacturing
Contrasting Theory of Constraints and Lean Manufacturing Both methodologies have a strong customer focus and are capable of transforming companies to be faster, stronger, and more agile. Theory of Constraints Lean Manufacturing 1) Objective a) TOC =Increase throughput. b) LEAN =Eliminate Waste. 2) Focus A) TOC--Singular focus on the constraint (until it is no longer the constraint; B) LEAN = Broad focus on the elimination of waste from the manufacturing process. 3) Result A) TOC = Increased manufacturing capacity. B) LEAN =Reduced manufacturing cost. 4) Inventory Maintain--- TOC = sufficient inventory to maximize throughput at the constrainT; LEAN -Eliminate virtually all inventory. 5) Line Balancing TOC= Create imbalance to maximize throughput at the constraint. LEAN=Create balance to eliminate waste (excess capacity). 6) Pacing TOC = Constraint sets the pace (Drum-Buffer-Rope). LEAN = Customer sets the pace (Takt Time). ****From the perspective of the Theory of Constraints, it is more practical and less expensive to maintain a degree of excess capacity for non-constraints (i.e. an intentionally unbalanced line) than to try to eliminate all sources of variation (which is necessary to efficiently operate a balanced line). Eliminating variation is still desirable in TOC; it is simply given less attention than improving throughput.
Conversion of Batching to continuous flow layout
Conversion of Batching to continuous flow layout 1. Continuous Flow Layout= production steps for single piece flow, without weakness in process are arranged as follows: a) Arranged in Sequence b) Arranged as U- shaped c) Arranged in a cell ** Continuous Flow layout requires complete reliability of operator and work of each station.
What made Crosby different from other Quality philosophers?
Crosby was business man who applied quality to running businesses while others were academcians
Crosby credited his business training to this man
Crosby credited his business training to this man" Harold Gennen
Crosby---first job?
Crosby started as a technician B-47 fire control systems
Crosby's opionon of Quality?
Crosby stated that corporate management must make the cost of quality a part of the company's financial system.
Crosby's 4 absolutes of Quality Management
Crosby's 4 absolutes of Quality Management: 1. Quality means conformance to requirements---customer based requirements and do-it-right-the first time 2. Quality comes from prevention ---- opportununities are present to correct problems 3. Quality performance standards is zero defects---- Without zero defect, you are making it okay to send out nonconforming parts. If non-conformance is present, then you must prevent and eliminate it. 4. Quality measurement is the price of non-conformance---- Measurement of quality is needed to get management's attention, prioritize problems, correct problems and measure progress
Two people connected Quaility with management
Crosby---14 step approach to quality improvement Deming---14 obligations of top management
DFSS Roadmap & Steps to determine an organization's readiness to deploy DFSS
DFSS Roadmap & Steps to determine an organization's readiness to deploy DFSS 1. Monitor Sigma Levels ----> a) Rising Sigma levels = Effective Program b) Sigma increases slowing down= existing process maximally improved so consider redesigning process 2. Written Schedule of Prioritized ideas a) Plan & prioritize projects by complexity b) If simpler improvement run-out--> Train Staff for DFSS applicaiton 3. Remain aware of marketplace changes that could obsolete product/process a) If customer requirements, market demand, or technology changes---> Use DFSS to develop new products/ processes 4. Gauge organizations capability for success with DFSS a) Evaluate if project deadlines are meeting b) Check if resources are sufficient and management team can more involved in the design process.
DFMEA & Product Classifications
DFMEA & Product Classifications: Characteristics of a Product can be Classified as: 1) Critical---> shall comply with safety/ government regulation or service requirements 2) Significant---> customer & supplier quality features 3) Key---> characteristics that provide prompt feedback on the product aiding in corrective action process ***AIAG FMEA has 2 design columns---one for prevention and one for detection a) Detection ranking for control used for RPN calculations b)Emphasis for recommended actions is placed on reducing those with high severity ranking followed by those with high RPN numbers
DFSS Roadmap & GE's Product Design Development Process
DFSS Roadmap & GE's Product Design Development Process 1) Understanding CTQ characteristics for external & internal customers 2) FMEA 3) Use Design of Experiments to find key variables 4) Benchmarking facilities using survey and competitive analysis
DFSS Roadmap & IDOV
DFSS Roadmap & IDOV 1) Design---> a) Transfer functions used to develop product's layout & geometry; Statistical Quality Approach used in this step b) Tools in this stage i. DOE ii. Computational Fluid Dynamics iii. Statistical Intfernce= ANOVA or Hypothesis testing iv. Finite Element analsysis (FEA) 2) Optimize---> a) Focuses on minimizing the new design's sensitivity to CTQ design features 3) Optimize---> PQS used as input to show the required level of quality has been achieved. Data from quality control and field studies confirm that the product satisfies the required specifications.
DFSS Roadmap & Sequence of development phases for new projects
DFSS Roadmap & Sequence of development phases for new projects: 1. Training & Launch a) Team learn DMAIC method and projects selected represent "Lowest hanging fruit) yeild gains from obvious improvement opportunities with easy solutions 2. Implementation a) Teams work on core business objecting using statistical tools to enhance process efficiency and predictability in improvement project 3) Design for Six Sigma a) Teams attach most complex projects with greatest potential gains. Solutions require more than improvement and become a matter of new process and product designs. ****DMAIC is easier & faster than design projects...DMAIC & DFSS projects are run concurrently.
DFSS Roadmap & Tollgates / Process
DFSS Roadmap & Tollgates / Process: 1) Stopping point within the flow of phases a) A thorough assessment of deliverables b) A thorough review of the project management plans for the next phase 2) Checklists---Summary statements of tools and best practices required to fulfill gate deliverable 3)Scorecards---Summary statements from specific application of tools and best practice
DFSS Roadmaps
DFSS Roadmaps 1. Method for bringing order to product design 2. 70-80% of quality problems are due to design 3. Design (front end) is cheaper to fix than manufacturing processes (back end) Example---NIST auto supply chain lost money due to poorly designed product's lack of interoperability.
DFSS Roadmaps & Denominator Management
DFSS Roadmaps & Denominator Management 1. Denominator Management= a short-term method of making the desired return on investment by altering factors in the ROI equation a) Can Reduce the Denominator (Investment)--eg. downsizing, restructuring, process redesign, cost containment, or investments in people/ materials/ resources b) Increase Numerator---Increasing sale by introducing more new products--40% of profits are from sales 2. ROI= Net income/ Investment
DFSS --- Systemic Design 4 main design phases
DFSS---- Systemic Design: a. German design process methodology that uses a rational approach and structure to produce valid solutions b. 4 main phases of Systemic Design: 1) Task Clarification ---> collect information , fomulate concepts, identify needs 2) Conceptual Design--->identification of essential problems 3) Embodiment design---->design concepts, layouts, refinements 4)Detail Design--->Finalize drawings & concepts and then generate documentation. *****Abstract concept is turned into concrete item shown by drawing. Synthesis needs the act of combining parts/element sto make a new form
DFSs & Stage Gate Process Clarification
DFSs & Stage Gate Process Clarification 1. Stage gate process--used to screen and pass projects as they progress through development stages and fulfill the project requirement 2. Gate= management review of the project at each stage to decide whether to kill or keep project going sot aht project team efforts are not diluted and company resources are not overloaded.
Defect Elimination & Detection Techniques used in TPM (total productive maintenance)
Defect Elimination & Detection Techniques used in TPM (total productive maintenance) 1. Poka-yoka (error prevention) 2. Source inspection (error detection & correction) 3. Self-check (Proof-reading and correction of errors) 4. Successive Checks (checks by next process and to correct the next process)
Define Pull Value
Define Pull Value 1. System where products are created in response to an estimated sales forecast and not based on customer demand
Define Value Flow
Define Value Flow 1. Production activities should be in continuous flow with: a) No wasted motions b) No batches c) No process weaknesses d) No flexibility to meet present needs 2. Work of people/functions/departments must be readjusted to make the value stream flow and to create value for customer.
Definition of Value--multicultural view
Definition of Value--Multicultural view 1. German idea---Engineers in control of business; product features & processes & enhancements are most important; German's explain customer disinterest in complex enhancements that customer is not smart enough to undersand new features. 2. Japanese view--Value is defined by where the value was created and stressed using Japanese suppliers. Customers are only concerned with getting their needs met --> therefore many weakened Japanese companies 3. Once values is define, the target cost of product can be determined 4. Target cost is more than market cost; Target cost is mixture of current selling prices by competitors and the cost of eliminating waste via lean methods; Target price should below the current selling prices. 5. Market price= Profit + selling prices+ manufacturing cost.
Deming & 7 deadly diseases that management must cure
Deming & 7 deadly diseases that management must cure: 1. Excess medical costs 2. Excess for to warranty, fueled by lawyers working on contingency fees 3. Use of visible figures for management, with little or no consideration of figures that are unknown or unknowable 4. Mobility of management: job-hopping 5. Personal evaluation appraisal, by whatever name, for people in management the effects are devestating 6. Emphasis on short-term profits 7. Lack of constancy of purpose to plan a marketable product and service to keep the company in business and provide jobs.
Deming and True Metrics
Deming and True Metrics: Deming stated" The problem with obtaining true value of measurements is the presence of variation in all meausrement and one must be septical of how data is collected. Must answer the when, where, and how the product will impact accuracy.
Deming's chain Reaction
Deming's chain Reaction Improve Quality --> Decrease costs (less rework, fewer delays)---> Productivity improves---> Capture the market with better quality and price---> Stay in business--> provide jobs
Deming's philosophy on people and economic benefits
Deming's philosophy on people and economic benefits: 1. Deming's philosphy focused on individuals as members of the system, which benefited the individuals of the firm 2. Economic benefits to the company : a. Reduction of economic burden b. Expansion of Markets c. Survival of organizations that serve customers
Deming's statement on quality
Deming's statement on quality: He was the founder of the 3rd wave of the industrial revolution.
Design FMEA
Design FMEA 1. Focused on reducing the risk failure modes caused by design deficiencies by examining the functional requirements and design alternatives. a) 76% of engineering changes are due to poor design and 24% due to improvement. 2. Conducted before the release of production drawings for tooling and to manufacturing (Manufacturing issues are part of process DFMEA, NOT DFMEA) a) Manufacturing process capabilities--- tolerance, tooling, finishes, & specifications 3. Design flaws are not corrected via process controls 4. Design team should be multidisciplinary--including design, test, materials, service, reliability, and manufacturing expertise.
Detection Methods used in Design FMEA
Detection Methods used in Design FMEA 1. Design intent comes from one of the following: a) QFD b) Feasibility study c) Risk-benefit Analysis. 2) Potential Causes of Failure are related to materials/ processes/ costs 3) Detection methods used with DFMEA: a) Simulation b) Mathematical modeling c) Prototype testing d) Design for Experiments e) Verification testing f) Product testing g) Tolerance Stack-up studies
Difference between Theory of Constainsts & Kanban
Difference between Theory of Constainsts & Kanban: 1. Toyota's Kanban is a way to prevent excess production, but most people think that preventing production is a waste. It is the opposite: using excess production is a waste. 2. A common mistake is trying to keep all the workers busy. Labor is a cost, it might seem intuitive that you should keep them busy. However, if they are busy on a non-bottleneck function, and that prevents them from getting to a bottleneck function quickly, it can decrease the total output. It may be worth having some people sitting, doing nothing, so that when they are needed for the critical function they are immediately available. Idle time has been considered a waste in the past, but that is an illusion. Making an employee work and profiting from that work are two different things. 3. There are two big lessons: a) If you design capacity to exactly meet the need, when you have a sequence of dependent steps, then any failure, and flaw anywhere will compound along the assembly line. To keep production stable, later steps may need higher production capacity than earlier steps. b) Measuring the productivity of a part of the process is flawed because you can meet the required production speed in one place, but it does not matter if this does not contribute to making a sale. The only thing that matters is the final output that is sold.
Educational techniques promoted by Deming?
Educational techniques promoted by Deming? Deming promoted: 1. Parable of the red beads 2. PDSA cycle 3. Concept of 94% management causes verse 6% special causes
FMEA Followup
FMEA Followup: Green-belt should followup on FMEA to verify that implementation actions completed Followup-Steps 1.) Review FMEA for function/purpose./ objectives 2 )Note high risk, high severity, high RPN values 3.) Identifying the critical, significant, and major characteristics of the process 4.) Seeing the control plan is in place 5) Conducting capability studies, if needed 6) Working on processes below Cpk of 1.33 7) Working on improving other process with Cpk of 1.33
FMEA Process Steps---Risk Assemssment & RPN
FMEA Process Steps---Risk Assemssment & RPN: 1. P= probability that failure mode will occur is ranked on index of 1 (least likely) to 10 (high risk) 2. S= Severity ranked on 1 (low risk) to 10 (high risk) 3. D= Design Weakness----> effectiveness of current control in place to identify failures prior to release to production which is ranked 1-10 4. RPN = P x S x D Actions are based on
FMEA
FMEA: 1) Deatiled analysis of the sytem down to the component level as either a) failure mode b) Effect of Failure c) Risk Priority Number. 2) Used to manage risk due to failures and it effects; tool that provides the probability of a failure modes occurring and the effect the failure will have on rest of the system 3) Allows the criticality function of the failure effect on the entire system be ranked
Goldratt's Definition of Theory of Constraints
Goldratt's Definition of Theory of Constraints: Goldratt describes the Theory of Constraints as intuitive framework for managing based on the desire to continually improve a company. Using Theory of Constraints, a definition of the goals of the company are established along with metrics for critical measures.
Green Belt's FEMA Role
Green Belt's FEMA Role 1. Common for Greenbelts to conduct and supervise FMEA 2. FMEA is a team effort so team of 10-15 used a) All team members must participate b) Multi-disciplinary expertise and input is beneficial Input from all engineering fields is desirable c ) Representatives from all areas (not just technical disciplines) are generally included as team members 3. After project completion, Greenbelt relinquishes control of the process documents, then the project is transferred and assigned to Process Owner to ensure that the processes continue to be supervised and monitored after project completion----> Process owner updates the process documents & FMEA documents + leads FMEA team. a) The DFMEA will be refined and evolve with the product--->Numerous revisions are required to obtain the full benefit of the DFMEA b) The DFMEA should include all systems, sub-systems, and components in the product design ***Without transfer of ownership, the monitor and control of the evolving DFMEA document would be lost.
Highly disciplined process that focuses on developing and delivering near-perfect product and services consistently
Highly disciplined process that focuses on developing and delivering near-perfect product and services consistently Six Sigma
How Are KPIVs Identified?
How Are KPIVs Identified? The variables which are important enough to control are selected Structured experiments are conducted to model process behaviour and understand the cause-and-effect relationships that are present (design of experiments) Processes have to satisfy customer requirements (e.g. price, quality, durability). Therefore, changes to input can have a negative impact on customer satisfaction These experiments find the balance between both input and output, and those that are key are ones which will not affect output
How are FMEAs Used?
How are FMEAs Used? 1. New designs and Technologies 2. Modification of existing design. process 3. New environments 4. New application of existing product ***Customer should be the end-user, other design teams, or internal operation. ***Pareto Analysis can be used to rank the potential Failure modes.
How was the West introduced to term " lean production"?
How was the West introduced to term " lean production"? 1. Womack introduced the term " lean production" to West in his publication of "The Machine that Changed the World" 2. This book descirbes basis of lean manufacturing as practiced in best companies.
Improvement through FMEA via 4-step process
Improvement through FMEA via 4 step process ** FMEA considered tedious and only good for quality audits. Bongio suggests 4-step process: 1. Measure current FMEA performance for a baseline. 2. Agree on a projected FMEA performance level 3. Develop a work plan to close the gaps 4. Implement the recommended methods to reach target
Inventory/ Muda
Inventory/ Muda 1. Inventory ---(eg. work-in-process, parts, raw materials, supplies, finished good)---------does not add value to the product and idle inventory at risk for damage, deterioration, & obselense
Juran--professional experiences
Juran--professional experiences 1. Inspection position at Western Electric's Hawthorne Plant in Chicago 2. 50 years in research, consulting, writing, teaching 3. Taught with the American Management Association
Father of Japanese Quality Control Efforts?
Kaoru Ishikawa
Kaoru Ishikawa & Concept "Next operation as Customer"
Kaoru Ishikawa & Concept "Next operation as Customer"" 1. Operator concerned about their own defects were considered spies when they traveled to the next department to view the original work. 2. Departments were defensive when outsiders toured-------Solution= Remove Sectionalism and concept "Next operation as customer"----The concept of internal customers in which every operation is both a receiver and a provider.
Kaoru Ishikawa---- 6 main characteristics that make CWQC different.
Kaoru Ishikawa---- 6 main characteristics that make CWQC different. *** To differentiate b/w Japaneese style and Western style of TQC, he called Japanese style- Company-wide Quality Control. 1. More education & training in quality control 2. Quality circles are only 20% of the CWQC activities 3. QC audits 4. All members participate in the company (top to bottom participation in the entire product life cycle and humanistic respect for workers with acknowledgement of their contributions and input) 5. Using 7 tools and advanced statistical methods 6. Nationwide quality control promotion activities
Kaoru Ishikawa----Training Tapes subjects
Kaoru Ishikawa----Training Tapes subjects 1. Elimination of selctionalism 2. Humanistic management of worker 3. Empowerment & Training of Workers 4. Operation as customer.
Kaoru Ishikawa---Awards
Kaoru Ishikawa---Awards 1. Deming Price (1952) 2. Nihon Keizai Press Prize 3. ASQ's Grant Award 4. Shewart Medal---1st Japanese to get this award 5. Establi
Kaoru Ishikawa---Books
Kaoru Ishikawa---Books 1. Author of the 1st japaneese book to describe TQC in Guide to Quality Control 2. What is Total Quality Control? The Japanese Way
Kaoru Ishikawa---Quality Circle
Kaoru Ishikawa---Quality Circle 1. 1st concept adopted by West 2. Quality circle= bottom up approach---originally they were study groups that workers formed to study quality concepts published in the book "Quality Control for Foreman" 3. Circles solve problems on continuous basis. and membership can change depending on project.
Kaoru Ishikawa---Statement on Quality
Kaoru Ishikawa---Statement on Quality To practice quality contro lis to develop, desing, produce, and service a quality product that is most economical, useful, and always satisfactory to the customer
Key challenge in implementation of Six sigma?
Key challenge in implementation of Six sigma? Assigning high skilled problem solvers who are valuable but need to pulled from other areas of the organization.
Liker & LEAN Thinking
Liker & LEAN Thinking: 1. Liker points out that if a company is not implementing LEAN to gain benefits, they should ask if their competitors are benefiting from LEAN
Measurement System Considerations
Measurement System Considerations 1. Select less than 20 metrics 2. Metrics should focus on past, present, and future 3. Metrics should be linked to the needs of shareholders on the business level , customers on operational , & employees on the process level. 4.
7 Metrics for measuring Profit
Metrics for measuring Profit 1. Stockholder value 2. Capital Investments 3. community comparision 4. ROI 5. Sales Dollars 6. Profit margin on sales 7.. Personnel Costs
Motion/ Muda
Motion/ Muda
New Product Term---Cost Reductions
New Product Term---Cost Reductions New Products designed to replace existing products but a lower price
New Product Term---Repositionings
New Product Term---Repositionings Product targeted fro new use because the original prupose too narrow--eg. baking soda for baking and for cleaning.
New Product Term--Additions to Product lines
New Product Term--Additions to Product lines New products that extensions of the existing products--eg Coke and Diet Coke
New Product Term: ---New-To-World Product
New Product Term: ---New-To-World Product Inventions and discoveries like printers
New Product Term:--New Category entries
New Product Term:--New Category entries Company product not new to the world but new to the company
Non-Bottle Neck Stage & Inventory of Intermediate parts
Non-Bottle Neck Stage & Inventory of Intermediate parts 1. Flawed old concept ---->High inventories of intermediate parts previous considered beneficial if each part made as efficiently as possible, and that would make the final manufactured good as efficient as possible. ---> Each station set up for long runs to produce an excess intermediate parts. 2. This harms the plant in several ways: a) Money is invested in these parts that are not immediately needed, b) Excess parts take up space, create costs of moving them around, are susceptible to theft loss, but most importantly, can cause steps to be unavailable when needed to make critical bottleneck parts. 3. Excess inventory of intermediate parts should be viewed as a cost, not an asset. 4) A non-bottleneck machine should not work faster than needed for immediate production, because that will just pile up inventory. If you have excess production capacity, you must waste it rather than use it.
PROCESS FMEA
PROCESS FMEA 1) Focuses on reducing failure modes by manufacturing processes or assembly operations 2) Accounts for all manufacturing process 3) Initiated before OR after feasibility stage, prior to tooling for production 4) Requires input from the flow chart of the process and the DFMEA document
Obstacles for Conversion of batch process to a continuous flow process
Obstacles for Conversion of batch process to a continuous flow process: 1. We always done it in batches 2. We live in world of departments and functions 3. Lot-based production plant 4. Lack of tools for quick change-over 5. High momentum machinery that is not flexible.
Operation Level Metrics
Operation Level Metrics 1. Business effectiveness measures a) Relate to the cost and time required to produce products. b) Provide key linkages between detailed process measures and summary business results c) Helps identify key relationships & root causes
Organizational performance goals and corresponding measurement are obtained the following 4 areas
Organizational performance goals and corresponding measurement are obtained the following 4 areas 1. Profit 2. Cycle time 3. Marketplace response 4. Resources.
Overproduction/ Muda
Overproduction/ Muda" 1. Overproduction due to making more, making product too early, or making product later than is needed by next process or customer are all waste---> eg. storage space, extra raw materials, extra transportation and scheduling costs 2. Just-in-time movement--producing early is bad because parts need to available at a certain location/time/time according to the customer's schedule
PDCA
PDCA 1. Every activity is part of a process 2. Flow diagrams divide wok into stages and stages together form a process. 3. Each stage has a customer 4. Improvement cyvle will send a superior product/service to ultimate customer
PDSA
PDSA 1. Deming's unhappiness with Japanese PDCA created the PDSA 2. Key difference is that PDSA is a team-oriented, problem solving technique. 3. Team objective= improve the output and input of every stage. 4. Team ideally made of people in one area or stage of the plant. 5. Advancement happens when team takes material learned from previous session and makes a fresh start.
PFMEA & Potential Cause of Failure
PFMEA & Potential Cause of Failure **PFMEA should not relay on product design changes to correct process weakness Potential Causes: 1) Little/ missing/ wrong elements of labor 2) machine 3) methods 4) measurement 5) environment
PFMEA & Product Classifications
PFMEA & Product Classifications: Characteristics of a Product can be Classified as: 1) Critical---> shall comply with safety/ government regulation or service requirements 2) Significant---> customer & supplier quality features 3) Key---> characteristics that provide prompt feedback on the product aiding in corrective action process ***AIAG FMEA has 2 design columns---one for prevention and one for detection a) Detection ranking for control used for RPN calculations b) AIAG FMEA---> consideration is for internal and external customers with 2 sides listed in the severity ranking tables.---> Emphasis on recommended action placed on reducing high severity rankings followed by high RPN
Pande states that a decision on six sigma may be negative if the following 3 conditions exist?
Pande states that a decision on six sigma may be negative if the following 3 conditions exist? 1. company alread has a strong, effective performance and process improvements in place 2. Current changes are already overshelming the company's people and resources 3. Potential gains aren't sufficient to finance the company's people and resources.
Term: Complete elimination of muda so that all activities along the value stream create value
Perfection
Perfection is accomplished via 4 activities
Perfection is accomplished via 4 activities: 1. New product Development 2. Product teams working with customer feedback on specifying value, enhance flow, and achieve pull 3. Using technology to eliminate muda 4. Joint Collaboration between Value Stream Partners (suppliers, subcontractors, distributors, customers, employees to reduce Muda)
First ASQ president
Philip Crosby
First VP of quality in the country
Philip Crosby
Term: Inventory is delivered to location where it will be consumed
Point of Use Inventory Inventory is delivered to location where it will be consumed
Process Metrics
Process Metrics 1. Information ---data from production, people, and machinery ---that operators & supervisors need to run normal operations 2. Central focus of the MAIC phses of 6 sigma after the improvement project defined.
Processing/ Muda
Processing/ Muda Addition steps in manufacturing process such as: 1. Having to remove burrs from manufacturing process 2. Reshaping a piece due to poor dies 3. Adding extra handing process due to lack of space 4. Performing inspection step since all inspection is NVA 5. Keeping extra copies of information.
Term: Systems of cascading production and delivery instructions from downstream to upstream activities in which nothing is produced by the upstream supplier until the downstream customer signals a need
Pull System Systems of cascading production and delivery instructions from downstream to upstream activities in which nothing is produced by the upstream supplier until the downstream customer signals a need
Pull Value & Throughput Reductions
Pull Value & Throughput Reductions: 1. 50% reduction in cycle time of product development 2. 75% reduction in cycle time of order processing 3. 90% reduction in cycle time of physical production.
Purpose of 6 sigma academy?
Purpose of 6 sigma academy? To accelerate the efforts of corporations to achieve world class standards.
Push Production
Push Production: 1. Most mass production in push production. 2. Goal is to maximize machine efficiency with maximum amount of "in-process" inventory. 3. Customer's demand initiates activities 4. Each operation produces parts as needed in response to a downstream signal (No inventory kept) 5. Minimal Work-in-progress enables continuous flow based on LEAN 6. Problems in any area are corrected immediately and process are stopped till solution found.
Ratio of one black belt per 100 employees can provide ___% cost reduction per year
Ratio of one black belt per 100 employees can provide ___% cost reduction per year 6%
Relationship between DPMO & Sigma
Relationship between DPMO & Sigma: 1. Motorola noted that operations tended to shifted 1.5 sigma over time 2. Process, with normal distributions and normal variation of the mean, need to have specification limits of +/- 6 sigma in order to produce less than 3.4 DPMO. 3. Companies with less than 3 sigma capability and with +/- 1.5 sigma shifts won't be around long enough to take on a six sigma improvement effort.
Repair/ Reject Muda
Repair/ Reject Muda 1. Rejects involve scrapping the whole part and waste resources 2. Rejects on a continuous flow line defeats its purpose. 3) Non-conforming product forms filled out by suppliers for rework/reject waste paper 4) Takt time wasted due to line operators and maintenance to fix the rework/repair.
Results of Lean Thinking
Results of Lean Thinking 1. 100% Greater Labor productivity 2. 90% reduction in inventory & Throughput times 3. 50% reduction in: a) Customer errors b) Safety Injuries c) Product Development time d) In-house Scrap
Risk Assessment & FMEA
Risk Assessment & FMEA Risk Assemsnet = comibintion of the probability of a event/ failure to the system's operators/ users/ enviroment. Two measures of Failure: a) Severity of Failure b) Proability of Failure
SERVICE FMEA
SERVICE FMEA/ Healthcare FMEA 1) Focused on investigating failure modes (tasks, errors, mistakes) caused by system or process deficiencies before the first service. a) Covers non-manufacturing aspects 2) Involvement of financial services, legal, hospitalilty services, government, educational institutions, & healthcare 3) Input come from: a) QFD b) Benchmarking c)Marketing Research d) Focus Groups
SFMEA & Potential Cause of Failure
SFMEA & Potential Cause of Failure 1) LABOR 2) MACHINES 3) METHODS 4) MATERIALS 5) MEASUREMENT 6) ENVIRONMENT
Shewart & Statistical Control Charts
Shewart & Statistical Control Charts 1. Used to monitor processes and to determine when process changes occur. 2. Process changes are only made when points on the control chart are outside the specification limits.
Shewart Cycle
Shewart Cycle ---Design cycle using the PCDA 1. Design product 2. Test product in lab and production 3. Put product on market 4. Test product in service through market research 5. Redesign product in light of consumer reaction.
Shewart Professional Background
Shewart Professional Background 1. Bell South Laboratories entire life 2. Introduced control charts and differentiated special and common cause variation in project to reduce frequency of failures and repairs 3. Control charts used in WWII to improve production in the form of American War Standards Z1.1--Z1.3
Shewart---Awards
Shewart---Awards 1. Holley Medal, ASME 2. Honorary Fellowship of Royla Statistical Society 3. FIRST ASQ Honrary member 4. Rutegars University Professor of Statistical Quality Control
Shewart--Books
Shewart--Books 1. Bell System Techical Journal 2. Economic Control of Quality of Manufactured Product 3. Statistical Method from Viewpoint of Quality Control
Shewart--Quote
Shewart--Quote Both pure and applied science have gradually pushed further and futher the requirements for accuracy and precision. However, applied science, particularly in the mass production of interchangeable parts, is even more exacting than pure science in certain matters of accuracy and precision.
Steps for documenting Value Stream Mapping
Steps for documenting Value Stream Mapping: 1. Product development --->Id customer requirements, delivery methods, and typical quantities 2. Process Design---> Note machine times, cycle times, operators, changover times, WIP, available time, scrap rate, machine reliability. 3. Record Current Status .4 Create Future State Map
Term: Techniques for rapid changeovers of production machinery. Long-term objective is zero setup time so that changeovers do not interfere with continuous flow. Ten minutes is the common intial objective
Single Minute Exchange of Dies (SMED) Techniques for rapid changeovers of production machinery. Long-term objective is zero setup time so that changeovers do not interfere with continuous flow. Ten minutes is the common intial objective
Term: One complete product proceed through various operations without interruptions, backflows, or scrap. (opposite of batch flow)
Single Piece Flow One complete product proceed through various operations without interruptions, backflows, or scrap. (opposite of batch flow)
Term: Work cell visual control depicting all work activities. Used to cross-train team members
Skills Matrix: Work cell visual control depicting all work activities. Used to cross-train team members
Term: Effectively reducing lot size until the optimum of one piece flow is realized.
Small Lot Principles Effectively reducing lot size until the optimum of one piece flow is realized.
Term: Precise description of each work activity, specifying cycle time, takt time, work sequence, and minimum inventory of parts needed to conduct activity
Standard Work Precise description of each work activity, specifying cycle time, takt time, work sequence, and minimum inventory of parts needed to conduct activity
Summary of 8 events occuring in Deming's Chain reaction (Delavigne and Robertson)
Summary 8 of events occuring in Deming's Chain reaction (Delavigne and Robertson) 1. Quality and productivity rise 2. Costs decrease 3. Time required for development and production reduced 4. Management begins to know their cost, "they have a system" 5. Increased division of labor and specialization occurs 6. Near-term future is more predictable 7. Standard of living rises 8. System has a future and can provide "jobs and more jobs"
System FMEA
System FMEA 1. Deals with systems, components and the interaction between systems and the elements of the system---via a balanced approach to performance, costs, and effectiveness. 2. Inputs derived from Quality Function Deployment---Voice of Customer a) QFD translates the "voice of the customer" (VOC) into functional requirements for the product. b) QFD helps transform customer needs into engineering characteristics for a product or service, prioritizing each product or service characteristic while simultaneously setting development targets for a product or service. c) Through a planning matrix named the "House of Quality" (HoQ), QFD transforms customers wants into designs, manufacturing processes and production control requirements. The transformation of customer requirements will help develop part characteristics, process requirements and product standards necessary for the product development phase 3. Potential cause of failure can be gleaned from: a) Warranty claims b) Customer Complaints c) Field Service Data d) Reliability Data e) Feasibility Studies.
System FMECA
System FMECA 1) Uses only 2 probability components---D= Design Weakness & P= probability that failure mode will occur
System of Business Process Performance Metrics
System of Business Process Performance Metrics 1. Effective business process management requires integrated system of metrics to reach 6sigma 2. Peason states a system of metrics should link all 3 levels of the enterprise---process, operations, & business with KPOV at each level of process. 3. System should monitor and control each metric at each level as well as find the key linkages of KPIV and KPOV in entire system.
Systemic Design---Process Structure of Modern German Design Thinking
Systemic Design---Process Structure of Modern German Design Thinking 1. Determine design requirements 2. Select appropriate process elements 3. Step-by-step transforms qualitative items into quantitative items. 4. Deliberate combination of elements of differing complexities is used.
Systemic Design--Main Conceptual phase steps
Systemic Design--Main Conceptual phase steps: 1. Clarify task + Id. essential problems 2. Establish function structures 3. Find solutions via brainstorming & intuition 4. Combine solution principles & select qualitatively 5. Firm up concept variants: preliminary calculation and layouts 6. Evaluate concept variants.
Taguchi Awards
Taguchi Awards 1. Deming Price 2. Rockwell Award 3. MITI Purple Ribbon Award 4. Indigo Award 5 ASME award
Taguchi Books
Taguchi Books 1. System of Experimental Designs 2. Introduction to Quality Engineering 3. Off-line Quality Control
Taguchi's influence on American Quality Efforts
Taguchi's influence on American Quality Efforts 1. First to develop quality engineering techniques which allowed products and processes to be made quicker 2. Appealing to USA because it was a complete system that started with the product concept and continued to product design, and into the manufacturing operations. It is a system to optimize the design or product and processes in cost-effective manner.
Taguch---Statement of Quality
Taguchi---Statement of Quality Quality is related to the financial loss to society caused by a product during its life cyvle
Taguchi--Concept of Robustness
Taguchi--Concept of Robustness 1. Robustness derived from consistency ---products with robustenss are resistant to variations from process that are either ill-controlled or uncontrolled. 2. Building parts to target is key to scucess. 3. Produce designs that can be made consistently
Taguchi---Design of Experiments
Taguchi--Design of Experiments 1. Unlike other statistical techniques that tell what has happened, Taguchi tools tell how to make something happen 2. His quality concepts are more technical in nature and made for technicians. (Juran's QC aimed at management and not technicians) 3. Unlike Juran, Taguchi does not call on internal revolution and feels that management's role should be limited to simply provide training and promote use of QC throughout organization.
Taguchi--View of Product Quality
Taguchi--View of Product Quality 1. Evaluation of Quality -----> a) Costs that fails to meet targets can be evaluated with loss function and signal-to-noise ratio. b) Quality loss increases parabolically as the product strays from single target value (traditional view is the product is or isn't in control limits) 2. Improvement of Quality & Cost Factors a) Statistical methods---QFD, signal-to-noise characteristics, and DOE---can be used for system design, parameter design, and tolerance design of the product. 3. Monitoring & maintaining quality a) Reduce production line variability ---> Stress Consistency on the floor---> Measure the quality characteristics from the floor and use the feedback
Theory of Constraints & Modified Operations
Theory of Constraints & Modified Operations: 1) If the operations are modified so that each station requires the same amount time, the sequence of operations is "balanced"---> Any delay in Station 2 will effect the subsequent station. 2) Best to have plant unbalanced with greater capacity at all operations except at the designed constraint. ---keep available capacity at the end of the production sequence. 3) Economically, it is better to have operating unit that allows improvement to other stations---It is acceptable to have a machine wait on an operator if the overall customer objective is achieved. if total productivity maintenance (TPM) and human motivation are 100% levels and process variability is low
Theory of Constraints terms ---Dependent events & Statistical Fluctuations
Theory of Constraints terms ---Dependent events & Statistical Fluctuations: 1. Dependent events and statistical fluctuations in manufacturing plants are difficult to manage so the organization achieves its goal. 3. Drum-buffer-rope scheduling (DBR) is a plant scheduling approach, incorporating the inevitable dependent events and statistical fluctuations, used to maximize/ manage the productivity of a manufacturing facility. a) Differs from other manufacturing techniques---> Focuses on finding the relationships among resources to resolve conflicts and create a smooth flow of product b) Applicable to all types of process- es whether they are repetitive, process, or job shop. c)Drum-buffer-rope = protects/ minimizes impact of disturbances on smooth production flow
Theory of Constraints terms---Inventory, Throughput, & Operational Expenses
Theory of Constraints terms---Inventory, Throughput, & Operational Expenses 1. Inventory= (aka sold patents or sold investments)---money that is stuck in the system with the intention of being sold 2. Throughput- "rate at which the system generates money via sales; incoming money"--finished goods must be sold to get money 3. Operational expenses--" money going out; money spent to turn inventory into throughput"---includes depreciation, lubricating oil, scrap, carrying cost, ect.
Theory of Constraints terms--5 Step Method
Theory of Constraints terms--5 Step Method 1) Identify system constraints that limit limit throughput or progress towards goals 2) Exploit the System's Constraints by taking advantage of the existing capacity at the constraint-- ( often wasted by making & selling the wrong products, and by improper policies and procedures for scheduling/ controlling the constraint) a) Manage non-constraints so that resources are provided to feed the constraints. 3)Subordinate everything else to the above decisions--->Constraint may have a limit, so look for ways to reduce the effects of the constraint, or look to expand the capacities of the constraint----management directs its efforts toward improving the performance of the constraining task or activity and any other task or activity that directly affects the constraining task or activity 4) Elevate the system's constraints-->Eliminate the problems of the constraint by either adding capacity so that there will be an increase in the overall output of the constraints activity or otherwise change the status of the original resources so that the dominating a) This differs from Step 2 in that added output comes from additional purchased capacity (eg. buying second machine/tool or implementing new technology) 5) Return to Step 1 and look for new constraints. ---> As a result of the focusing process, the improvement of the original constraining task or activity may cause a different task to become a constraining task or activity. Inertia could blind management to additional steps necessary to improve the system's output now limited by a new constraint.
Theory of Constraints terms--Key Principles
Theory of Constraints terms--Key Principles 1. Many key principles, according to Goldratt, have significance because of the management approach used in adopting organizations. The principles include: 1) Processes/organizations as chains--->If processes % organizations function as chains/ flows, possible to find & strengthen the weakest links --weak links can be present a) Between the different steps b) In activities in a process c)Between diverse organizations within a supply chain. 2) Local versus system optima---> Interdependence and variation cause the optimum performance of a system as a whole to be different from the sum of all the local optima. In other words, an organization that maximizes the output of every machine will not perform as well as one that ensures optimization of the flow of materials and value created through its linked set of activities. 3) Cause and effect---> All systems operate in an environment of cause and effect. Capturing the essence of cause and effect within the system and identifying measurements that emulate these relationships are the keys to optimizing system performance 4) Physical versus policy constraints----> Most of the constraints faced in systems originate from policies, not physical things. a) Unlike the easily identifiable and repairable physical constraints, Policy constraints (e.g behavior patterns, attitudes, lack of information, and assumptions) hard to identify & more damaging than physical constraints--> Example or Policy Constraint=The belief that producing in large batches is optimal can hinder in implementation TOC. 5) Total system impact---->All organizations are system of interdependent activities, each with its own level and type of variability In order to optimize performance, management needs to understand and focus on the total system impact of a decision or event, not just
Theory of Constraints terms--Techniques used in TOC
Theory of Constraints terms--Techniques used in TOC: 1) Effect-cause-Effect---> Brainstorming used to gain intuitive sense of problems & causes. Make assumptions about each effects & speculate the causes. If the cause is a constraint, then eliminate. 2) Evaporating Clouds---> By re-examining the basic foundation of the problem, a simple solution may be found to complex problem. After changes made, problem evaporates. 3) Prerequisite trees---Something must occur before something else can occur. TOC is a transition tool from old way of doing things to the new way.
Transport/ Muda
Transport/ Muda 1. Poor plant layout, poor cell design 2. Batch processing 3. Long lead times 4. Large storage areas 5. Scheduling problems
Two reasons why it is difficult to implement an improvement program
Two reasons why it is difficult to implement an improvement program: 1. Bad times when low resources, strategic plan in survival mode, and resources costrained. 2. Good times because high profitability and resources focused on current cash flow lower the importance of improvement programs
Types of Constraints
Types of Constraints 1) Physical Constraints----Typically equipment or tangible items, (eg. material shortages, lack of people, or lack of space). 2) Policy Constraints--- Required or recommended ways of working. May be informal (e.g. described to new employees as "how things are done here"). Examples include company procedures (e.g. how lot sizes are calculated, bonus plans, overtime policy), union contracts (e.g. a contract that prohibits cross-training), or government regulations (e.g. mandated breaks). 3)Paradigm Constraints----Deeply engrained beliefs or habits. For example, the belief that "we must always keep our equipment running to lower the manufacturing cost per piece". A close relative of the policy constraint. 4) Market Constraints----Occurs when production capacity exceeds sales (the external marketplace is constraining throughput). If there is an effective ongoing application of the Theory of Constraints, eventually the constraint is likely to move to the marketplace.
Types of FMEA
Types of FMEA 1. System FMEA 2. Design FMEA 3. Process FMEA 4. Service FMEA
Typical DFSS Roadmap Steps
Typical DFSS Design Process Steps followed by Design team: 1. Need---> Analysis of problem--> Statement of problem--> Conceptual Design (combines engineering, science, practical knowledge, production methods, practices to generate solutions)---> Embodiment of schemes----> Detailing Step (consolidates the fine points of producing product) ----> Working Drawing
Use of Metrics & Business plan
Use of Metrics & Business plan: 1. Measures are developed to measure achievement of organizational goals and must be implemented 2. Each team assigned a portion of metrics to achieve. 3. Strategic plan will have strategic goals which are then deployed into smaller tactical goals
Value Chain & Porter
Value Chain & Porter 1. Porter states that value chain is at higher operating level 2. Generic value chain involves these components: a) Human Resources b) Technology c) Marketing & Sales d) Inbound and Outbound Logistics e) Operations.
Value Flow & Batching
Value Flow & Batching: 1. Batching technique--used in mass production to produce many units of a specific part at a given time to maintain efficiency 2. LEAN requires conversion of batch process to a continuous flow process
Value Stream & Competitive Advantage
Value Stream & Competitive Advantage 1. Competitive advantage is gained by performing activities better or at lower cost than competitors. 2.Value stream in lean manufacturing involves analysis of a single product stream for : a) reduction of waste b) reduction in cycle time c) improvement in quality.
Value Stream & Muda
Value Stream & Muda: 1. Womack described application of value stream beyond the boundaries of a typical plan, involving suppliers, organizations, and customers. 2. Must eliminate Muda from value stream 3. Risk of price concession requests cause firms in the value stream to be reluctant to disclose information--> Solution= voluntary alliance of value stream member to eliminate Muda hidden the value stream.
Value Stream (Value Chain)
Value Stream (Value Chain) 1. Kaizen will create islands of improvements; Real improvement is hard to identify 2. For product or business, there are 3 required value streams: a) Problem Solving Stream--->solve concept, design, develop prototype, plan review and determine mechanism of product launch b) Information Management Stream---> order taking from customer, raw material sequencing from suppliers, in-house scheduling, and delivery to the customer. c) Physical Transformation Stream--->Product realization in ISO 9001 ; conversion of raw material to customer finished goods
Term: Tool that describes all actions (both value-added & NVA) required to take a product from raw materials and deliver to the customer
Value Stream Map Tool that describes all actions (both value-added & NVA) required to take a product from raw materials and deliver to the customer
Value Stream Map
Value Stream Map 1. Identifies all activities in the product 2. Includes suppliers, production activities, and final customer 3. Activities are viewed in terms of 3 criteria. a) Adds values as perceived by the customer b) Adds no value but is required by the process c) Adds no value and can be eliminated.
Term: Placement in plain view of all tools, parts, production activities, and indicators of production system performance, such that the system status is easily understood
Visual Control Placement in plain view of all tools, parts, production activities, and indicators of production system performance, such that the system status is easily understood
Waiting/ Muda
Waiting/ Muda: 1. Operator is idle due to machine downtime, lack of parts, unwarranted monitoring activities or line stoppages. 2. Maintenance operator waiting at a tool bin for parts 3. Long changeover times, uneven scheduling of work, and long/unnecessary meetings
What Are KPIVs? Difference between KPIV and KPOV?
What Are KPIVs? Key Performance Input Variables Input that significantly impacts the variation found in KPOV (Key Performance Output Variables) When the input variable (e.g. fabric quality) is held constant and controlled, the process should produce consistent output results (e.g. satisfied customers) Key Process Output Variable (KPOV) ---The process outputs and/or metrics that are most closely linked to customer CTQs. CTQ trees, fishbone diagrams and affinity diagrams are typically used to link CTQs to KPOVs in the late Define and early Measure phases....a.k.a the big 'Ys'. Key Process Input Variable (KPIV) ---The process variables that have the most influence on KPOV performance. The purpose of the Analyze phase is to determine and validate process KPIVs....a.k.a the big 'Xs'.
When is DMADV used?
When is DMADV used? 1. Product being developed 2. Product/ Process exists but fails to meet customer specifications or six sigma level
Womack's 5 guiding principles
Womack's 5 guiding principles ** "Lean Thinking : Banish Waste and Create Wealth" --book that tells how to convert mass
Term: Layout of machines or business processes of different types, performing different operations in tight sequence, typically a U or L shape, to permit single-piece flow and flexible deployment of human effort
Work Cell Layout of machines or business processes of different types, performing different operations in tight sequence, typically a U or L shape, to permit single-piece flow and flexible deployment of human effort
