Mod 17 Six Sigma 2008_09_18

Tyco Electronics Operating AdvantageLinking Operational Levers to Performance Improvements

Module 17: Six SigmaRevised 2008-09-18

Learning Objectives

At the end of this session you will be able to: Explain the purpose of the Six Sigma Describe the steps involved in implementing Six Sigma Understand how Six Sigma helps drive performance as part of TEOA

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Agenda

Six Sigma 1. What is Six Sigma? 2. Implementing Six Sigma 3. Linking Six Sigma to Performance 4. Conclusion

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What Is Six Sigma?Definition: A process model that systematically applies statistical tools to reduce process variation and thereby eliminate defects

Employer, Customer, Supplier and Investment of ChoiceProduction Preparation Process (3P) Total Productive Maintenance (TPM)

Cell Design

Six Sigma

Voice of the Customer (VOC)

Material Replenishment& Flow

Mistake Proofing

Quick Change Over (QCO) Quality Control Process Charts (QCPC)

Standard Work

Visual Factory

5S+1 Value Stream Mapping

Total Employee Involvement

Standards

Enterprise Quality System

Building the foundation for rapid, sustained continuous improvement

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Why Use Six Sigma?Lean and Six Sigma compliment each other; improvement efforts may require tools from either or both philosophies

Six Sigma deals with variation reduction

Lean deals with Value Added activities and waste eliminationOver - NVA Non-Value Production Processing Added Processing Defects Inventory Inventory Waste Muda Unused Underutilized Employee Talent Creativity

34.13%

13.6%

2.1% 3 2 1 1 2 3

Movement Motion of People Waiting

68.3% 95.5% 99.7%

TransporMaterial tation Handling

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Why Use Six Sigma?Lean Waste Elimination Standard Work Flow Customer PULL

Six Sigma Variation Reduction Scrap/Rework Elimination Process Optimization Process Control

SPEED

STABILITY AND ACCURACY

LEAN+ SIX SIGMA= A POWERFUL UNION

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When To Use Six Sigma?“I deployed the lean tools, but there is…” Still too much scrap Still too much rework Process is frequently out of control Excessive safety stock– WIP; Finished Goods Still too many“turnbacks” Still too many quality issues Still too many delays

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Agenda

Six Sigma 1. What is Six Sigma? 2. Implementing Six Sigma 3. Linking Six Sigma to Performance 4. Conclusion

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The Methodology– Two RoadmapsFor existing products and for existing processes, once projects are identified, the Six Sigma Methodology is applied to provide a structure to problem solving Methodology Define the Process/Problem Measure the Process/Problem Analyze the Process/Problem Improve the Process/Problem Control the Process/Problem For new products and for new processes, once projects are identified, the Six Sigma Methodology is applied to provide a

structure to the design process

The Methodology Define the Business Opportunity Conceptualize the Customer Requirements Design the Product and/or the Process Optimize the Product and/or the Process Verify the Capability

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The Basic Problem Solving ApproachPractical Problem Statistical Problem

Y= f(x 1, x 2, x 3,..., x k )Practical Solution Statistical Solution

Methodology

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The DMAIC Funnel EffectDEFINE MEASURE ANALYZE IMPROVE CONTROL

30+ Inputs 10-15 8-10 4-8 3-6

All X’s

1st“Hit List”

Screened List

Found Critical X’s

Controlling Critical X’s

Vital Few Input Variables (X’s)Mod 17, page 11/ 21

DefineSteps Tools Outputs Identify the Gap Gap Analysis (SWOT)

Define Identify the Gap Assign Belt and Establish Scope and Boundary Determine Customer Requirements Assign Team Establish the Project Charter

Assign Belt and Establish Scope and Boundary

Initial Project Charter

Project Charter Project Team Formed Clear Customer Requirements

Determine Customer Requirements

Brainstorming Affinity Diagramming Interviews/Surveys

Assign Team

Team Building Meeting Effectiveness

Define Key Process Output Variables

Project Charter KPOV’s

NOTE: The Champion has the primary responsibility for establishing the Project Charter

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MeasureSteps Tools SIPOC/VSM Input/Output Analysis Current State Process Maps Identified and Measured X’s (KPIV’s) Measurement System Verified Current Capability of Y’s (KPOV’s) Outputs Process Maps

Measure Process Maps: Level 0 (SIPOC) and VSM Determine KPIV’s; KPOV’s and Baseline Develop and Evaluate Measurement Systems C&E Matrix FMEA

Determine KPIV’s; KPOV’s and Baseline

Data Collection Plans Data Integrity Audits Detailed Process Maps Continuous MSA (Gage R&R) Attribute MSA (Kappa Studies) Customer Requirements Process Maps

Develop and Evaluate Measurement Systems

C&E Matrix

FMEA

C&E Matrix

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AnalyzeSteps Tools Basic Statistics Basic Graphs Statistical Process Control Outputs Analyze Data to Prioritize Key Input Variables

Analyze Root Cause Analysis to Prioritize Key Input Variables Analysis Tools Waste Identification Spaghetti Diagrams VA/NVA Analysis Takt Time 5S+1 Multi-Vari t-Tests ANOVA Chi-Square Correlation and Regression

Root Causes of Defects Identified and Reduced to Vital Few Prioritized List of Potential Key Inputs Waste Identified

Analysis Tools

Waste Identification

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ImproveSteps Tools 5S+ 1 Kaizen Event Quick Changeover Kanban/Pull Finalized List of KPIV’s Action Plan for Improvement Future State Process Maps, FMEA, Control Plans New Process Design/ Documentation Outputs Imple

ment Process Optimization

Improve Implement Process Optimization DOE Pilot New Process Update VSM Pilot New Process DOE

Full Factorial Fractional Factorial Centerpoints and Blocking EVOP Training Plans SPC FMEA Control Plans

Update VSM

VSM

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ControlSteps Implement Error Proofing and SPC Tools Error Proofing Assessment Control Charts Process Capability Study PPK Outputs Control System in Place Improvements Validated Long Term Continuous Improvement Opportunities Identified New Process“Handed Off” Team Recognition

Control Implement Error Proofing and SPC Verify Long Term Capability Update the Control Plan Update all Documentation Return to Process Owner

Verify Long Term Capability

Update the Control Plan

Control Plan Roadmap Training

Update all Documentation

Industry Standards (ISO)

Return to the Process Owner

Project Notebook Team Meeting

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Agenda

Six Sigma 1. What is Six Sigma? 2. Implementing Six Sigma 3. Linking Six Sigma to Performance 4. Conclusion

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TEOA Tools Link To Performance MetricsTEOA/ Performance Metric RelationshipTool link to metric

Metric Value Stream Mapping 5S+ 1 Visual Factory (Go Meetings) Standard Work QCPC Tools TPM Mistake Proofing Quick Change Over (QCO) Material Replenishment and Flow Cell Design 3P Six Sigma Voice of the Customer

Safety (TRIR)

Customer Complaints

On-Time Delivery

Productivity Improvement

Inventory Turns

Strong Medium Limited or none

The implementation of The implementation of the TEOA Tools is the TEOA Tools is directly linked to directly linked to improving performance improving performance by varying degrees and by varying degrees and with varying impacts with varying impacts

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Agenda

Six Sigma 1. What is Six Sigma? 2. Implementing Six Sigma 3. Linking Six Sigma to Performance 4. Conclusion

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Key Takeaways Six Sigma is a statistics-driven approach to reducing process variability Implementing Six Sigma consists of five (5) steps: Define Measure Analyze Improve Control Six Sigma is an integral part of TEOA and compliments existing lean tools

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Six Sigma Is An Integral Part Of TEOAService Design

Admin. Six Sigma Methods Quality

Purch.

Mfg.

Maintenance

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