11/05/08 SJSU Bus 142 - David Bentley

402 views
304 views

Published on

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
402
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
8
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

11/05/08 SJSU Bus 142 - David Bentley

  1. 1. Week 11 – Six Sigma Roadmap Manufacturing vs. Service, “Roadmap” for establishing Six Sigma
  2. 2. Manufacturing vs. “Service” Difficult Fairly easy Quality improvement Difficult Easy Productivity measure Low High Output uniformity Low High Input uniformity Fairly high Fairly Low Labor content Fairly high Limited Customer interaction Intangible Tangible Output Service Manufacturing Factor
  3. 3. Employment by Economic Sector Adapted from: Metters, Service Operations Management , 2003 80% 55% 30% 20% 10% Service 15% 35% 25% 15% 7% Manufacturing 3% 10% 45% 60% 83% Extraction 2000 1950 1900 1850 1800
  4. 4. Employment by Economic Sector
  5. 5. Manufacturing <ul><li>Changing model </li></ul><ul><ul><li>Outsourcing </li></ul></ul><ul><ul><li>Assemblies </li></ul></ul><ul><ul><li>Technology </li></ul></ul><ul><ul><li>Customer preference changes </li></ul></ul><ul><ul><li>Shorter product life cycles </li></ul></ul><ul><ul><li>Fewer people </li></ul></ul>
  6. 6. Service <ul><li>High cost of “do-overs” </li></ul><ul><li>Greater amount of time spent on activities that add no value </li></ul><ul><li>Less visibility of “work” </li></ul><ul><li>Process change variability </li></ul><ul><li>Late start on quality focus </li></ul>
  7. 7. Service “Tips” for Six Sigma <ul><li>Investigate processes </li></ul><ul><li>Define problems in specific detail </li></ul><ul><li>Emphasize objectivity </li></ul><ul><ul><li>Identify facts and reliable data </li></ul></ul><ul><li>Build the use of statistics </li></ul>
  8. 8. Manufacturing Issues <ul><li>Consider entire processes and systems, not individual operations or departments </li></ul><ul><li>Keep continuous improvement in the forefront; eliminate excuses </li></ul><ul><li>Recognize operating environment differences when choosing and applying tools </li></ul>
  9. 9. Six Sigma Roadmap
  10. 10. Five Roadmap Steps <ul><li>Identify core processes and key customers </li></ul><ul><li>Define customer requirements </li></ul><ul><li>Measure current performance </li></ul><ul><li>Prioritize, analyze, and implement improvements </li></ul><ul><li>Expand and integrate the Six Sigma system </li></ul>
  11. 11. 1. Identify Core Processes and Key Customers <ul><li>What are your core processes? </li></ul><ul><ul><li>Central to the mission of the organization </li></ul></ul><ul><ul><li>May be multi-functional and/or multi-organizational </li></ul></ul><ul><ul><li>Where’s the value added? </li></ul></ul><ul><li>Define your desired customer base </li></ul><ul><ul><li>Who are you trying to serve or sell to? </li></ul></ul>
  12. 12. 2. Define Customer Requirements <ul><li>Customers are the reason for our existence </li></ul><ul><li>Capture the voice of the customer </li></ul><ul><li>Customers always define their own desired experience </li></ul>
  13. 13. 3. Measure Current Performance <ul><li>Assess each core process against customer requirements </li></ul><ul><li>Action </li></ul><ul><ul><li>Establish a measurement infrastructure system </li></ul></ul><ul><ul><li>Set priorities for resources (use Pareto Principle) </li></ul></ul><ul><ul><li>Evaluate and choose improvement strategies </li></ul></ul><ul><ul><li>Design and execute within capability </li></ul></ul>
  14. 14. 4. Prioritize, Analyze, and Implement Improvements <ul><li>Identify improvement activities with greatest opportunity for return </li></ul><ul><li>Address root causes </li></ul><ul><li>Replace or improve processes </li></ul>
  15. 15. 5. Expand and Integrate the Six Sigma System <ul><li>Change your way of doing business </li></ul><ul><li>No quick fixes, short term solutions, etc. </li></ul><ul><li>Monitor critical processes (SPC) </li></ul><ul><li>Establish process ownership and management </li></ul><ul><li>Develop response plan and mechanisms </li></ul><ul><li>Involve the entire company </li></ul><ul><li>Continue to listen to the customer </li></ul>
  16. 16. Five Roadmap Steps (Summary) <ul><li>Identify core processes and key customers </li></ul><ul><li>Define customer requirements </li></ul><ul><li>Measure current performance </li></ul><ul><li>Prioritize, analyze, and implement improvements </li></ul><ul><li>Expand and integrate the Six Sigma system </li></ul>

×