Presentation at the 2017 FRDA Footwear Production and Trade Summit in Shenzhen, Jun 2017

2. Institutionalizing a Sustainable Continuous Improvement Culture in
Footwear Manufacturing
在鞋品制造环节，营建持续改善的可持续发展文化
• Continuous Improvement : A Business Case
持续改善：商业案例
• Quality Management Principles
质量管理原则
• Processes that facilitate Continuous Improvement
推动持续改善的流程
• Beyond Factory Execution
不仅是工厂执行
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3. Continuous Improvement : A Business Case
持续改善：商业案例
• A Simple Analogy: 简单类比：
• 10-20% Defects Work-In-Process at Factory 工厂在生产过程中存在10到20%的次品率
= Rework + B/C-Grade Costs 返工 成本+ 返工后B/C级不良品的成本
= 10-20% Lost Productivity 丧失10到20%的生产效率
• 80% Ave. Inspection Effectiveness 80%的平均检验效率
= 20% Inspection Escapees 20%的产品逃过检验流出去
= 2-4% Defects Passed-on to Customers 2到4%的次品流到客户手中
• 50% Defect Reduction 减少50%的次品
= 5-10% Increased Productivity / Less Rework + B/C-Grade Costs 生产效率增加/返工率降低5到10% + B/C级
不良品的成本
= 1-2% Less Defects Passed-on to Customers 流到客户手中的次品减少1到2%
… Is this good enough??? ……这样够好啦？？？
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4. Today’s excellence is tomorrow’s standard
… and the future’s substandard TL
今天的卓越，明天还能作标准……未来则意味着不合格 TL
Continuous Improvement
持续改善

5. Lost Opportunities 丧失机会
Scrap 报废
Rework 返工
Inspections 检验
Product recalls 产品召回
Customer returns 客户退货
Lost sales, poor margins 销售额减少，毛利少
Late delivery 交货延迟
Too many product re-designs 过多的重新设计
Excessive Cycle Time 过长的周期
Extra Delivery Cost 多余的交货成本
Excessive inventory 库存过剩
Known Costs due to Poor Quality (easier to identify)
质量差带来的已知成本（容易确定）
Additional Costs due to Poor Quality (harder to measure)
质量差带来的其它成本（难以衡量）
Loss of credibility 丧失信誉
Wasted capacity 虚耗产能
Replacement 替代
The hidden problems can sink you!
隐藏的问题让船沉没！
Slow time to market 拖慢上市时间
Demotivated personnel 打击士气
Credit Notes 换货凭单
Insurance cost 保险费
Decreasing Margin 毛利减少

6. 6
Quality Management Principles
质量管理原则

7. Quality Management Principles
质量管理原则
• Customer-Supplier Relations :
客户和供应商的关系：
“ The Customer is the King… but the King is not Always Right !!! “ TL
”客户为王……但国王也不总对！！！” TL
Principle 1 : Shared Risk / Shared Accountability 原则1：共担风险/共担责任
- Factory pays sorting and F.O.B. costs for B/C-Grade 工厂支付分货费和B/C等级不良品的费用
- Brand pays everything else (shipping, warehousing, lost sales/marketing, etc.) 品牌承担其它一切成本（运输、仓储、销售/营
销业绩下滑等）
- Regardless if the Quality Issue is material, manufacturing or design-related 无论质量问题和材料、生产还是设计有关，都一样
- Even with Overrides / Waivers / Concessions 甚至是特许签收、弃权或让步的情况，也是如此
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8. Quality Management Principles
质量管理原则
• Manufacturing Quality :
生产质量：
Principle 2 : Preventing defects is more cost-effective than trying to screen them out TL
原则2：防止次品产生比把它们筛检出来更经济实惠 TL
- Direction : from QC to QA 方向：从品质控制过渡到品质保证
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一分预防胜过十分治疗。

9. ROSS - Noe Alvarez – Dec 30, 2005
 Pilot Factory :
试点工厂：
Initiate Improvement projects to reduce defects at the Source (Stitching / Moulding / Assembly / etc.) 发起改善
项目，从源头（针车/注塑/装配等）上减少次品
= Less defects to be screened-out by inspection. 筛检出的次品数减少。
= Free-up Engineering & Quality resources downstream to further improve quality upstream. 释放下游的工程
和质量资源，继而提升上游质量。
Transforming NB QC => QA
从NB品质控制过渡到品质保证

10. ROSS - Noe Alvarez – Dec 30, 2005
Suppliers 供应商 Manufacturing Process
生产过程
Customers 客户
Factory Incoming QC 鞋
厂来料的品质控制
NB Shipping Inspection
鞋厂出货前New Balance抽验
Manufacturing Process 生产流程
3rd Party Shipping
Inspection 第三方运
输检验
NB Audits &
Improvement
Projects NB审核
和改善项目
NB + Factory Supplier
Audits & Dev/Comm
Projects NB + 鞋厂对
材料供应商稽查和
推进产品开发/产品
量产的改善项目
Transforming NB QC => QA
从NB品质控制过渡到品质保证
NB Improvement
Projects NB改善项目
(As Needed 按需进行)
ENGINEERING & 工程制造和
RE-WORK / 返工/
RE-SCREEN 重新筛选
RESOURCES 资源
ENGINEERING & 工程制造和
RE-WORK / 返工/
RE-SCREEN 重新筛选
RESOURCES 资源

11. Quality Management Principles
质量管理原则
• People Management :
人员管理：
“ 99% of the time, the worker is the victim and not the root cause !!! “ TL
”绝大多数时候，员工是受害方，不是造成问题的根本原因！！！“ TL
Principle 3 : The Workers’ success is Management’s success TL 原则3：员工的成功意味着管理层的成功 TL
- Not Acceptable : “Operator Negligence” as Root Cause & “Training” as Corrective Action
不接受：把“操作员粗心大意”当作根本原因，把“培训”当作整改行动
- Enhance Management & Engineering Problem Solving Capability thru training-workshops
采用培训研讨会，提升管理能力和工程改善能力
- Objective : Help workers do their job better (productivity with quality)
目标：帮员工把他们的工作做得更好（生产效率高，品质也高）
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12. Analyse 分析Improve 改善
Define 定义 Measure 测量
Control 控制
Recurring Problems are mainly due to excessive variation
which can only be addressed with Statistical Solutions or
costly Design changes 问题反复发生主要是变化过多引起
的。解决它，只能依靠统计型解决方案，或作成本高昂
的设计修改。
Methods of Attacking Problems
解决问题的方式
NEXT
PROBLEM
PRACTICAL
SOLUTION
实际解决方案
PRACTICAL
PROBLEM
实际问题
STATISTICAL
SOLUTION
统计型解决方案
STATISTICAL
PROBLEM
统计问题
PROCESS
UNDER CONTROL
管控的流程

13. Are we looking at the variation?
我们有看制程中的变异吗？
Don’t worry,
That rope is
one inch thick
on average.
别担心。
那根绳的平均直径
有一英寸。
“If I had to reduce my message to management to just a few words,
I’d say it all had to do with reducing variation”
“一定要把我对管理层说的话缩成几个字，我会说，一切都要和
减少过程变异挂钩。”
W. Edwards Deming

14. Typical Example of Process Control Improvement
流程控制改善的范例
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Quick wins from practical solutions
按实际解决方案，迅速取胜
After modifications from statistical studies
根据统计研究修正之后

15. Quality Management Principles
质量管理原则
• People Management (2) :
人员管理（2）：
“ Sustainable Solutions are Best Built by the Responsible Team“ TL
”负责任的团队才能拟定最棒的可持续解决方案”TL
Principle 4 : No one has a monopoly of ideas and solutions TL
原则4：没人垄断意见和解决方案 TL
- Build Cross-functional / Shopfloor (Kaizen) Teams to solve recurring problems
组建跨功能/车间（改善）团队，解决反复出现的问题
- Training-workshops to enhance Problem-Solving capability (7QC tools, G8D, D/PFMEA, etc.)
培训研讨会能提升问题解决能力（品管7大工具、8D报告、设计/过程失效模式与后果分析等）
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16. 16
Processes That Facilitate Continuous Improvement
推动持续改善的流程

17. Processes that facilitate Continuous Improvement
推动持续改善的流程
• Effective Containment
有效隔离
“ Protect Your Customers at all costs “ TL
”不惜一切，保护客户” TL
Principle 5 : Stop the Bleeding as soon as it starts !!! TL
原则5：一开始就止损！！！ TL
− Define Early Warning Triggers (i.e. 5 or more of the same defect on a model within one month)
定义早期预警触发因素（即：相同鞋型在一个月内有5个或5个以上相同的缺陷不良）
− Clean-up the Supply Pipeline with minimal or no disruption
清理供应渠道，把干扰降到最小甚至是零
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18. Processes that facilitate Continuous Improvement
协助持续改善的流程
• Factory Accountability & Recognition
工厂责任和认可
“ Quality Improvement Recipe : 80% Carrots and 20% Sticks !!! “ TL
”品质改善配方：80%的胡萝卜加20%的大棒！！！” TL
Principle 6 : Factories act on what they feel in their pockets and how they get recognized TL
原则6：工厂按照效益和认可自己的方式，采取行动
- Carrots: 胡萝卜：
- Factory Quality Awards / Ranking 工厂质量奖励/评级
- More business… and more business… 生意越来越多……
- Sticks: 大棒：
- Factory pays sorting and replacement or F.O.B. costs for B/C-Grade 工厂承担分货和替换成本，或是B/C级不良产品的费用
- Any quality issues found after factory shipment 工厂运货后出现的各类质量问题
- Stop Production lines when major audit deviations are found (as needed) 审核发现重大差异，（必要时，）暂停生产线
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19. Processes that facilitate Continuous Improvement
协助持续改善的流程
• Audit Programs
审核项目
“ Tell us what we need to know, and not what we want to hear !!! “
”告诉我们该知道的，而不是我们想听的！！！”
Principle 7 : Factories need a regular “Fresh Pair of Product Eyes” TL
原则7：工厂需要定期用新眼光看问题 TL
- Product Launch Audits
产品发布审核
- Monthly cross-factory Brand (NB) team audits
NB品牌团队相互跨厂的月度稽查
- Key T2 suppliers
关键的二级供应商
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20. Processes that facilitate Continuous Improvement
协助持续改善的流程
• Key Performance Indicators
关键绩效指标
“ You can only be as good as what you measure !!! “
”你只能做到和衡量的一样好！！！”
Principle 8 : Data that does not point where to take action is useless TL
原则8：数据指不出要在哪里采取行动，就没用 TL
- Increase data sensitivity : use Defective Parts Per Million (DPPM) instead of Percentage (%) 提高数据敏感性：采用每百万单位
不良零件数，不用百分比（%）
- Define meaningful Leading and Lagging Indicators that can be correlated 界定出有意义且相互关联的具有指示和反馈的指标
- “Let the data do the talking” “让数据开口·说话”
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21. Example of Shoe Factory KPI’s
鞋厂关键绩效指标的范例

23. 23
Beyond Factory Execution
不仅是工厂执行

24. Beyond Factory Execution
不仅是工厂执行
• Product & Process Designs
产品和流程设计
• Majority of Quality Issues are from Product Launches
多数质量问题出在产品发布阶段
• Transform Key Learnings into Manufacturing Standards and Audit Checklists
将学到的主要内容转换为生产标准和审核清单
• T2 Suppliers
二级供应商
• Cascade Continuous Improvement Culture
瀑布式持续改善文化
• Automation
自动化
• Reduce Human Variability
减少人工操作上的变动
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25. What It Is
它是什么样子
What We Think It Is
我们认为它是什么样子
What It Should Be 它该是什么样子
Manufacturing Process
生产流程
What it Could Be … with Automation 自
动化后的它，是什么样子

26. THANK YOU!