Design For Six Sigma Process Workshop By Ramon Balisnomo

Objectives Provide opportunity to walk the DFSS One example for the process T1 through T2b Learn how to apply the DFSS methodology and tools with a working example Teach the following tools and process steps Context Model QFD and CTQ generation Concept Generation

Provide opportunity to walk the DFSS

One example for the process T1 through T2b

Learn how to apply the DFSS methodology and tools with a working example

Teach the following tools and process steps

Context Model

QFD and CTQ generation

Concept Generation

The Opportunity The Department of Tourism along with City Developers have decided that they want to build an major landmark for the purpose of: Generating more income for the City Observation tower for tourist to visit Prime real estate for shopping, restaurants, offices Relaying signals for televisions, radio, cell phones The Finance Departed has budgeted $45000(k) for the total cost of this structure. The City Planners want the structure to replace an existing clock tower a few miles from a municipal airport. According to a survey of the local population, when asked what structure they admired the most – the number one response (over 50%) was the Eiffel Tower in Paris, France.

The Department of Tourism along with City Developers have decided that they want to build an major landmark for the purpose of:

Generating more income for the City

Observation tower for tourist to visit

Prime real estate for shopping, restaurants, offices

Relaying signals for televisions, radio, cell phones

The Finance Departed has budgeted $45000(k) for the total cost of this structure.

The City Planners want the structure to replace an existing clock tower a few miles from a municipal airport.

According to a survey of the local population, when asked what structure they admired the most – the number one response (over 50%) was the Eiffel Tower in Paris, France.

The Objective Build the tallest tower possible for the least amount of money

Build the tallest tower possible for the least amount of money

Tower’s Value Chain Bldg. Development Committee City Planning Committee Municipal Org. Tourist City Population Contractor Budget Plan Contract Control City Plan Primary Decision Maker Budget Authorization Tax Payers (Voters) MOST IMPORTANT CUSTOMER 

Voice of the Customer (VOC) Bldg. Development Committee City Planning Committee Municipal Org. Tourist City Population Contractor Primary Decision Maker Budget Authorization Tax Payers (Voters) MOST IMPORTANT CUSTOMER Airport Transportation Utilities, etc. VOC VOC VOC VOC Constraints! Bill

Airport

Transportation

Utilities, etc.

Context Key Decision Maker’s Decision Criteria: Contract agreements: how well will the builder keep his/her promise? Lowest cost wins; raw materials & time to build Less real estate (square inches) is better The safer (quality & reliability) the design appears, the better the design The builder will pay a penalty for not adhering to the contract Most Important Customer’s Success Criteria: Taller is better “ I want to feel safe while I am there.” Unique feature; tourist attraction Constraints: The proposed site is located in the most expensive real estate in the City, and the City will not demolish neighboring structures to make room for it. Stability under windy conditions. The average wind speed is higher in this City than the Country’s national average. Height versus close proximity to the airport. The proposed site is in the direct path of the municipal airport’s main runway The stability of the ground Access to parking, hotels, shops, restaurant, etc.

Key Decision Maker’s Decision Criteria:

Contract agreements: how well will the builder keep his/her promise?

Lowest cost wins; raw materials & time to build

Less real estate (square inches) is better

The safer (quality & reliability) the design appears, the better the design

The builder will pay a penalty for not adhering to the contract

Most Important Customer’s Success Criteria:

Taller is better

“ I want to feel safe while I am there.”

Unique feature; tourist attraction

Constraints:

The proposed site is located in the most expensive real estate in the City, and the City will not demolish neighboring structures to make room for it.

Stability under windy conditions. The average wind speed is higher in this City than the Country’s national average.

Height versus close proximity to the airport. The proposed site is in the direct path of the municipal airport’s main runway

The stability of the ground

Access to parking, hotels, shops, restaurant, etc.

Voice-of-the-Customer Data: A Contextual Inquiry process generated the following observations: Survey results showed that the tower has to be taller than the tallest existing structure to justify its cost The tallest existing structure in the city is 24 stories * high The taller the tower, the higher the customer satisfaction level The customer’s perspective on safety is dependent on several factors There’s a certified test for rating the stability of a structure Building swaying / movement it makes people feel unsafe Perceived visible / obvious safety features Entertainment value Gift shop Observation deck Restaurant Thrill (e.g. glass floors, overhanging features, rotating floors) Attraction A function of height, unique features, and entertainment value Lots of random data; team will use competitive analysis to evaluate further * note: 1 inch = 12 feet

Survey results showed that the tower has to be taller than the tallest existing structure to justify its cost

The tallest existing structure in the city is 24 stories * high

The taller the tower, the higher the customer satisfaction level

The customer’s perspective on safety is dependent on several factors

There’s a certified test for rating the stability of a structure

Building swaying / movement it makes people feel unsafe

Perceived visible / obvious safety features

Entertainment value

Gift shop

Observation deck

Restaurant

Thrill (e.g. glass floors, overhanging features, rotating floors)

Attraction

A function of height, unique features, and entertainment value

Lots of random data; team will use competitive analysis to evaluate further

QFD: What’s Important to the Customer? City Population Tourists Consolidated Unique Features 10 10 10 Dominates Skyline 8 8 8 Safety 9 2 7 Attractive Appearance 6 6 6 Accommodates existing structures 7 4 5

Phase 1: Investing Money Before the Project Begins You may invest up to $25K on voice-of-the-customer information by clicking on check-box next to the item(s) you want Spending money will reduce your chances of winning; thus, you don’t have to buy anything When you’re done, click on the brown command button entitled Invest the Money. Please note: you can’t go back and change your mind once you’ve made your selection

You may invest up to $25K on voice-of-the-customer information by clicking on check-box next to the item(s) you want

Spending money will reduce your chances of winning; thus, you don’t have to buy anything

When you’re done, click on the brown command button entitled Invest the Money. Please note: you can’t go back and change your mind once you’ve made your selection

Team Exercise Roles & Responsibilities Project Mgr / Team Leader Makes presentations Facilitates discussion to make sure time constraints are met Finance / Accountant Keeps track of material costs and time Operates the laptop computer Reliability Engineer Validates that the design can pass environmental test Operates the measuring tape (e.g. Height) Construction / Assembly Manager (Optional) Rebuilds the tower from scratch CANNOT be the person who designed the tower

Project Mgr / Team Leader

Makes presentations

Facilitates discussion to make sure time constraints are met

Finance / Accountant

Keeps track of material costs and time

Operates the laptop computer

Reliability Engineer

Validates that the design can pass environmental test

Operates the measuring tape (e.g. Height)

Construction / Assembly Manager (Optional)

Rebuilds the tower from scratch

CANNOT be the person who designed the tower

Phase 1: What Are You Buying for $25K? Voice of the Customer : Success criteria for choosing which tower will win. This contains the mathematical formula for choosing the winning tower. Quality Report on Tower Components : First-pass yield information (% Good) regarding the wooden & plastic parts. Competitive Information : A look at the size and cost of towers made in the past. A good source of information if you are creatively challenged. Verification Test: Minimum Reliability Requirements. Specifications on an environmental test the tower must pass. Marketing Report: What’s the Demand for Towers? Specification on tower attributes customers want. Manufacturing Process Requirements: Information on the cost versus the time it takes build a tower.

Voice of the Customer : Success criteria for choosing which tower will win. This contains the mathematical formula for choosing the winning tower.

Quality Report on Tower Components : First-pass yield information (% Good) regarding the wooden & plastic parts.

Competitive Information : A look at the size and cost of towers made in the past. A good source of information if you are creatively challenged.

Verification Test: Minimum Reliability Requirements. Specifications on an environmental test the tower must pass.

Marketing Report: What’s the Demand for Towers? Specification on tower attributes customers want.

Manufacturing Process Requirements: Information on the cost versus the time it takes build a tower.

Phase 2: What the Kit Includes 102 pieces

Phase 2: Out-Bid Your Competitors Look but Don’t Touch! Just by looking at the building pieces or components, estimate the: Number of components you’ll use (i.e., material cost) The height of the tower you’ll build with the parts you’ve estimated. The group with the Lowest Cost Per Inch will become the preferred tower contractor. Click the Approve Bid button when you’re ready to submit your contract.

Look but Don’t Touch! Just by looking at the building pieces or components, estimate the:

Number of components you’ll use (i.e., material cost)

The height of the tower you’ll build with the parts you’ve estimated.

The group with the Lowest Cost Per Inch will become the preferred tower contractor.

Click the Approve Bid button when you’re ready to submit your contract.

Phase 3: Develop Initial Tower Design Create a bill of materials by entering the quantity next to each component. The total cost should update automatically. The maximum number of components (Max Qty) is in the far-right column. Click the green button to approve the design.

Create a bill of materials by entering the quantity next to each component.

The total cost should update automatically.

The maximum number of components (Max Qty) is in the far-right column.

Click the green button to approve the design.

Verification Test: Minimum Requirements Before the design can go into production, it must pass the Golf Ball Test. The Golf Ball must at least be 2 feet above the ground The Golf Ball must not fall off despite the effect of the Cantilever The Cantilever must support a minimum of 1 Washer. You can adjust the position of the Ball & Cantilever to take advantage of the Tower’s most stable position. Cantilever Bungee Cord Eye Bolt Steel Washer Golf Ball

Before the design can go into production, it must pass the Golf Ball Test.

The Golf Ball must at least be 2 feet above the ground

The Golf Ball must not fall off despite the effect of the Cantilever

The Cantilever must support a minimum of 1 Washer.

You can adjust the position of the Ball & Cantilever to take advantage of the Tower’s most stable position.

Phase 4: Verify Tower Design Perform verification test. Make adjustments to your tower until it passes verification test. Re-enter you bills-of-material under the heading Adjusted Qty . If you’ve added more material, it will cost you twice as much at this phase. Note the quality or percent yield of your tower. The higher the quality, the better your chances of winning Do not approve design changes or freeze the design unless your tower has passed the minimum verification test.

Perform verification test. Make adjustments to your tower until it passes verification test.

Re-enter you bills-of-material under the heading Adjusted Qty . If you’ve added more material, it will cost you twice as much at this phase.

Note the quality or percent yield of your tower. The higher the quality, the better your chances of winning

Do not approve design changes or freeze the design unless your tower has passed the minimum verification test.

Too High (unsafe) = 60 inches Too Low (un-inspiring) = 36 inches The ideal tower will be between 36 inches to 60 inches tall. Marketing analysis shows the product becomes significantly harder to sell (much less demand) when outside of these spec limits. The height of the tower should fall within this range Marketing Info: What’s the demand for towers?

The ideal tower will be between 36 inches to 60 inches tall.

Marketing analysis shows the product becomes significantly harder to sell (much less demand) when outside of these spec limits.

Reliability Test: More Is Better How many washers can you hang on the 18” Cantilever? More Washers = More Design Points The test ends when the tower falls over or if a structure breaks off The Golf Ball is NOT required for this test You can adjust the position of the Cantilever to take advantage of the Tower’s most stable position.

How many washers can you hang on the 18” Cantilever? More Washers = More Design Points

The test ends when the tower falls over or if a structure breaks off

The Golf Ball is NOT required for this test

You can adjust the position of the Cantilever to take advantage of the Tower’s most stable position.

Manufacturing Process Requirements The project manager has budgeted 6 min. ± 2 min. for the assembly of the tower. If you finish before 4 minutes, there’s a 10% deduction from the cost of the tower due to efficiency. If you finish after 8 minutes, there’s a 15% penalty for going over the manufacturing budget (see Figure 1). At 10 minutes, the clock is stopped. There will be a 25% penalty if the tower has not been completely assembled. The assembly is finished when the Golf Ball does not roll off the tower within 5 seconds (see Figure 2). The Cantilever is not required. The person who manufactures the tower cannot be the same person who designed the tower. Figure 2 Figure 1 4 min 8 min 10 min -10% +15% +25% Time Freq.

The project manager has budgeted 6 min. ± 2 min. for the assembly of the tower. If you finish before 4 minutes, there’s a 10% deduction from the cost of the tower due to efficiency. If you finish after 8 minutes, there’s a 15% penalty for going over the manufacturing budget (see Figure 1).

At 10 minutes, the clock is stopped. There will be a 25% penalty if the tower has not been completely assembled.

The assembly is finished when the Golf Ball does not roll off the tower within 5 seconds (see Figure 2). The Cantilever is not required.

The person who manufactures the tower cannot be the same person who designed the tower.

Phase 5: Assemble & Verify Finished Tower Measure the height of your tower Measure the base width & length Measure the height from the floor to the bottom of the eye-bolt in the test fixture Take your tower completely apart after performing the “reliability test” Pick a person other than “the designer” to assemble the tower back together. The assembly time won’t be complete until the golf ball is stationary on the tower Record the time to the nearest minute and click the button Review Final Results 18” Cantilever Bungee Cord Eye Bolt Steel Washer T O W E R Measure the height from the floor to the bottom of the eye-bolt in the test fixture Step 3

Measure the height of your tower

Measure the base width & length

Measure the height from the floor to the bottom of the eye-bolt in the test fixture

Take your tower completely apart after performing the “reliability test”

Pick a person other than “the designer” to assemble the tower back together. The assembly time won’t be complete until the golf ball is stationary on the tower

Record the time to the nearest minute and click the button Review Final Results

How Customers Pick Which Tower To Buy The tower with the best over-all score wins the competition. The lower the score, the better the design The overall score is calculated as follows: Overall Score = Cost Per Inch, CPI Design Points, DP

The tower with the best over-all score wins the competition.

The lower the score, the better the design

The overall score is calculated as follows:

Cost Per Inch (CPI)  Note: There are penalties for: Bad cost planning (budgeting) Not delivering on contractual agreements Design changes Total Cost = Investment + Material (variable) + Manufacturing + Penalties  CPI = Total Cost / Height of the Tower Design Points (DP) DP = [ Height of Tower + Height Observation Deck – Base Length x Base Width ] x Quality x Reliability 2

 Note: There are penalties for:

Bad cost planning (budgeting)

Not delivering on contractual agreements

Design changes

Examples of Towers Size Versus Cost

Tower α Height = 49 inches Base = 6 in. x 3.25 in. Cost = $31,870

Tower β Height = 63 inches Base = 12 in. x 5 in. Cost = $31,610

Tower δ Height = 55 inches Base = 8 in. x 5 in. Cost = $27,610

Nicol-Sargent Tower: $18,400 Height= 57.5” Base=5”x11”