The owner company is developing the Phase II of the Jubail Industrial City in Saudi Arabia. Part of the Jubail Phase II development is to provide 405 villas for the community. Due to the speed and efficiency in production and installation, it was decided to construct the villas using precast wall and floor panels.

1. IMPLEMENTING LEAN SIX SIGMA
A CASE STUDY IN CONCRETE PANEL PRODUCTION
PRESENTED BY:
SANOBAR HANIF

2. ROAD MAP TO PRESENTATION
CASE BACKGROUND
SIX SIGMA
CASE STUDY

3. CASE BACKGROUND
The owner company is developing the
Phase II of the Jubail Industrial City in
Saudi Arabia. Part of the Jubail Phase II
development is to provide 405 villas for
the community. Due to the speed and
efficiency in production and installation,
it was decided to construct the villas
using precast wall and floor panels.

4. WHAT IS SIX SIGMA??????
Total Quality
Management
Zero
defects
Quality
Control
•Six sigma is a business statistical Strategy.
•The Six sigma was founded by Motorola in the
1970s.
•Bill Smith, “Father of six sigma” introduce this
quality improvement Methodology to Motorola.
Six Sigma Six Sigma

5. WHAT IS SIX SIGMA??????

6. WHAT IS SIX SIGMA??????
SIX SIGMA
METHODOLOGY

7. KINDS OF VARIATION
COMMON CAUSE VARIATION
SPECIAL CAUSE VARIATION
Y: output
f: Function
X: Variables that must be controlled to consistently predict Y
Xn PROCESS Y

8. SIX SIGMA PERFORMANCE
INDICATOR
In implementing Six Sigma principle, CTQ is a
main indicator in the phases of DMAIC.
Cp = (USL – LSL) / (6 x STDEV)
CP(PROCESS CAPABILITY INDEX)

9. CASE STUDY
PROBLEM STATEMENT
The contractor was 25% behind the
schedule.
SIX SIGMA TEAM
Bechtel’s Six Sigma Black Belt team.

10. CASE STUDY
PRIMARY METRIC
The ‘Number of Exterior Insulated Panels
Delivered to Construction Site per Day’. The
current state baseline production rate was 18
panels/day, and in order to recover the schedule,
75panels/day was targeted.
CTQ
The variation of panel production as a (CTQ) to
measure the performance indicator of Six Sigma
system.

11. CASE STUDY
GOALS
 Improve productivity
 Establish causes for delay
 Operate at takt time interval
Achieve all critical milestones per contract
terms and conditions

12. CASE STUDY
TOOLS AND CRITICAL X’s
VALUE STREAM
MAPPING
KAIZEN
TAKT TIME
CONTROL CHARTS
X1 X2 X3 X4 X5
LEADERSHIP
PROCESS FLOW
WASTE AND VISUAL
CONTROL
STANDARD WORK
LOGISTICS

13. CASE STUDY
VALUE STREAM MAPPING is a lean-management
method for analyzing the current state and designing a
future state for the series of events that take a product or
service from its beginning through to the customer
Takt time derived from the German word Taktzeit,
translated best as meter, is the average unit production
time needed to meet customer demand
Kaizen ( 改善?) for "good change“
Control charts, are tools used to determine if a
manufacturing process is in a state of statistical
control .

14. CASE STUDY
ACTIONS FOR CRITICAL X
IMPROVE LEADERSHIP
 Appoint general superintendent
 Hire full time Project Quality Engineer
PROCESS FLOW
 Dedicate two cranes for production area
 Start use of ready-mix trucks for grey concrete
 Add night shift to recover schedule
WASTE CONTROL
 Reconfigure stockyard for better access and control
 Reduce inventory level
 Status inventory and develop Electric Inventory Logs to track
storage and delivery
STANDARD WORK AND IMPROVE LOGISTIC
 Prepare a list of standard activities with clear roles,
responsibilities and accountabilities
 Measure cycle time and reduce lead time by eliminating waste

15. CASE STUDY
TACKLING OVER THE CRITICAL X’S
The Production rate 75 panel/day was achieved

16. CASE STUDY
Both Six Sigma and Lean are strong production
management tools and the combination
complements each other. Lean in principle eliminates
anything that doesn’t add value to the customer and
achieves reliable workflow. On the other hand Six
Sigma aims to control and reduce the variations by
understanding the root cause.
The methodology of Lean Six sigma was effective in
reducing variability of daily panel production rate.

17. Thank you !