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Define VOC, VOB and CTQ


       Deliverable 1D
Define Module Roadmap
               Define                                                 Measure
 1D – Define VOC, VOB, and CTQ’s                         5M – Document Process
 2D – Define Project Boundaries                          6M – Prioritize List of X’s
 3D – Quantify Project Value                             7M – Create Data Collection Plan
 4D – Develop Project Mgmt. Plan                         8M – Validate Measurement System
                                                         9M – Establish Baseline Process Cap.




              Control                                                      Analyze
14C – Create Control System
15C – Finalize Project Documentation                              10A – Determine Critical X’s



                        Improve                                   Green
            12I – Prioritized List of Solutions   11G – Identify Root Cause Relationships
            13I – Pilot Best Solution
Deliverables – Define
                                                                                            Primary          Secondary
# Deliverable Deliverable Concept & Tasks                                                   Tool(s)          Tool(s)

1D Define VOC,  A project is started because a customer needs some problem to be             •   VOC         •   Affinity Diagram
   VOB and CTQs solved. Deliverable 1D obtains customer input to understand the                  Worksheet   •   Stratification
                problem(s) that the customer is experiencing so that a project can                               tools (Pareto
                be started. In addition to defining the problem, we also need to                                 and other basic
                understand how the customer defines acceptability                                                graphs)
                (specifications).

2D Define Project    Once we understand the defect that needs to be improved (project        •   Project     •   Included /
   Boundaries        Y), define the project boundaries and components of the project.            charter         Excluded
                     This includes a well written problem statement, identifying what        •   SIPOC       •   Elevator Speech
                     process produces the defect, how much improvement we will
                     make, when it will be done, etc. This information is summarized in
                     the project charter. Portions of deliverables 3D and 4D will also be
                     on the charter.

3D Quantify Project Determine the benefit to the customer and to JEA for improving the       •   Project
   Value            process. Internal customer benefits are typically hard or soft $             Benefits
                    savings, productivity improvements, and employee satisfaction.
                    External customer benefits are typically customer satisfaction, and
                    price. Deliverable 3D documents these benefits.


4D Develop Project To effectively manage a project, the GB/BB needs to identify team         •   ARMI        •   Faces of
   Management      members, effectively interface with the project stakeholders, plus        •   Project         resistance
   Plan            develop and manage to a project plan (milestones and timelines).              plan        •   Stakeholder
                   This plan should be developed and shared with all stakeholders.                               analysis
                                                                                                             •   Influence
                                                                                                                 strategy
1D - Define VOC, VOB and CTQ
                                                                                 Primary        Secondary
 #   Deliverable Deliverable Concept & Tasks                                     Tool(s)        Tool(s)

1D Define             A project is started because a customer needs some          •   VOC        •   Affinity
   VOC, VOB           problem to be solved. Deliverable 1D obtains                    Worksh         Diagram
   and CTQs           customer input to understand the problem(s) that the            eet        •   Stratificati
                      customer is experiencing so that a project can be                              on tools
                      started. In addition to defining the problem, we also                          (Pareto
                      need to understand how the customer defines                                    and other
                      acceptability (specifications).                                                basic
                                                                                                     graphs)
Steps to Complete Deliverable:
 1. If a defect has not been already identified for improvement, obtain VOC and VOB to determine where
    process improvements are needed and to define the project defect.
 2. If historical data is present and if the project scope is not clear or appropriately sized, use the
    historical (baseline) data to stratify and/or segment the data (i.e.: Affinity Diagram, Pareto, etc) in an
    effort to better focus the defect, e.g.: Instead of “overtime” as a defect, stratifying the data may show
    that most of the overtime is in operations. In this case, “operations overtime” could be the project
    defect.
 3. Once defect has been clarified, obtain detailed VOC and VOB information to clarify the customer
    CTQs.
 4. Review the results of the above with the champion to confirm the project is supported by the business
    (placing this information in the project charter of deliverable 2M will usually facilitate this discussion).
Objectives – Define VOC, VOB
                                         and CTQ
Upon completing this module, students should be able to:
• Discuss why the Voice of the Customer (VOC) and Voice of the Business
  (VOB) is critical.
• Create a VOC Worksheet to identify customer/business Critical to Quality
  (CTQs).
• Demonstrate the use of stratification tools:
   o Pareto charts
   o Stratification & Segmentation of Customers
   o Affinity diagrams
• Identify gaps (potential Belt projects or improvement opportunities)
  between CTQs and current process performance.
VOC and VOB
  • The term Voice of the Customer (VOC) is used to describe
    customers’ needs and their perceptions of your product or service.
  • The term Voice of the Business (VOB) is used to describe business’
    needs and perceptions of your product or service.


VOC / VOB data helps an organization…
 • Decide where to focus improvement efforts
 • Get a baseline measure of customer satisfaction
to measure improvement against
 • Decide what products and services to offer
 • Identify critical features and specification for
those products and services
 • Identify key drivers of customer satisfaction




                                                                         6
Understanding the VOC

• The “Voice Of the Customer" is the term used to
  describe the stated and unstated needs or requirements
  of the customer.
• The “Voice Of the Customer" can be captured in a
  variety of ways: Direct discussion or
  interviews, surveys, focus groups, customer
  specifications, observation, warranty data, field
  reports, complaint logs, etc.
• This process is all about being proactive and constantly
  innovative to capture the changing requirements of the
  customers with time.
Voice of the Customer
Voice of the Customer is a disciplined, cyclical approach to
obtaining, understanding, and prioritizing customer wants
and needs (requirements). VOC is an element of, and
derives from Quality Function Deployment
When do you use it. Whenever there is a need to
identify, understand, and prioritize customer requirements.
Desired Outcome.
• Greater understanding of customer requirements.
• Increased/improved communication with customers.
• Identification of what your customer believes to be the most
  important, least satisfying attributes of your products/services.
Deliverable 1: Define
                                       Define VOC, VOB
• Voice of the customer

• Voice of the business


• Include any operating definition on this or a separate
  chart




         For this and all subsequent phases, add charts as appropriate
         to show “the story” for that phase. Example – a descriptive
         statistics chart is not listed with any specific deliverable, but it
         would probably be appropriate to show in the Define section.
Customer CTQ Tree
   Need             Drivers               CTQ’s
                             Q1=
• .               Driver 1
                             p1 =


                             Q2 =
                  Driver 2
                             p2 =

                             Q2 =
                  Driver 3
                             KPI =

        General                              Specific
Hard to measure                              Easy to measure
Voice of the Business
• Our business at JEA is about balance.
• Our mission is “To improve the quality of life in the
  communities we serve by being the best electric, water
  and wastewater utility in the nation.”
• Delighting the customer must be accomplished while
  operating a financially viable and stable utility.
• Often, the VOB and VOC may seem to be or may be at
  odds.
• Each project must focus on a MEASURABLE outcome
  (Y).
• We call those outcomes CTQ’s (Critical-to-Quality) or Q’s
  on a Process Map
Significant Few

• A project must focus on significant opportunities
• We must separate the significant few from the trivial
  many
• How many $100 bills do you have?
• How many pennies?
Pareto
• Vilfredo Federico Damaso Pareto
  (vēlfrĕ'dō pärĕ'tō) (b. July 15,
  1848, Paris -- d. August 19, 1923,
  Geneva) was an Italian sociologist,
  economist and philosopher. He
  made several important
  contributions especially in the
  study of income distribution and in
  the analysis of individuals'
  choices. He introduced the
  concept of Pareto efficiency and
  helped develop the field of
  microeconomics.
The Pareto Principle
 • The Pareto principle was actually popularized by Joe
   Juran in the 1950’s about 30 years after Pareto’s death.
   This rule says that, in many situations, roughly 80% of
   the problems are caused by only 20% of the
   contributors.




The Pareto principle implies that
we can frequently solve a problem
by identifying and attacking its
“vital few” sources.

                                                          14
OSHA Recordables at JEA
• Actual experiences summarized for a year


             Back 17
             Hand 6
             Feet 12
             Torso 5
             Head 3
A Bar Chart
A Pareto Chart
What to Look For:
                   Relative Heights of the Bars
If you see this…             Interpretation & Action

                           Pareto Principle applies:
                           one or a few categories
                           account for most of the
                           problem. Focus improvement
                           effort on top one or two bars


                           Pareto Principle does not hold:
                           bars are all about equal height. Not
                           worth it to investigate tallest bar.
                           Look for other ways to categorize
                           data, or look for different kind of
                           data on this problem.
Day of the Week
Cause Analysis
Case Study: Insurance Complaints
• In response to a corporate mandate to “improve customer satisfaction,”
  the senior manager at the state headquarters for an insurance agency
  decided to look at customer complaints from the previous year. The
  data are shown below in a table and a chart.
                                                                          Types of Complaints
                  Type of Complaint                                              1996
                        1996                              190              (193 complaints total)
                                                          180
           Service            Fire      Service           170
           Service            Service   Agent             160
           Fire               Service   School            150
                                                          140
           Underwriting       Agent     Service           130
           Agent              Service   Service           120
           Service            Fire      Service   Count   110
                •               •          •              100
                •               •          •               90
                •               •          •               80
                                                           70
                                                           60

• How does looking at data126 a chart aid your interpretation? What would
          Tally
          Service           in                             50
                                                           40
                                                           30
          Fire             42
  you do next?
          Agent            21
                                                           20
                                                           10
           School Insurance                2                0
           Underwriting                    2
                                                                           Fire
           TOTAL                         193                    Service           Agent
                                                                                          School Ins.
                                                                                                   Underwriting

                                                                                   Target
Pareto Chart
• A Pareto chart is a               Height of vertical axis
                                 should represent the sum of
                                                                    Grocery Store
  graphical tool that                  all occurrences
                                                                Spoilage by Department
  helps you break a                     25000
                                                                  October- December 1997

  big problem down                                                                          100

  into its parts and                                                                        90
                                        20000
  identify which parts                                                                      80

  are the most                                                             Bar height shows
                                                                          relative importance;
                                                                                              70
                                      15000
  important.             Amount of Spoilage ($$)
                                                                                arranged in 60
                                                                         descending order with
                                                                                              50
                                                                            tallest bar on left
                                        10000                                               40

                                                                                     “Other” category
                                                                                       is always last
                                            5000
                                                                                      even if not the
                                                                                            10
                                                                                          shortest
                                   Units
                                                                                            0
                                  clearly      0
                                 labeled
                                                           Meat Dairy
                                                   Produce            Bakery Other

                               Data are divided
                               into categories                   Category
Exercise: Creating &
                     Interpreting a Pareto Chart
Instructions:                   Department     Number of Complaints
Open Minitab (refer to the
following slide) and create a   Banquet                    8
Pareto Chart in Minitab using   Bell stand                 3
this data
Stat > Quality Tools > Pareto   Front desk                22
Chart
                                Health club                3

                                Housekeeping              14

                                Maintenance               12

                                Restaurant                 7

       5 Min                    Room service              67

                                Other                      8

                                Total                   144
To Create a Pareto
                       Chart in
                       Minitab, Select:
                       Stat > Quality Tools >
                       Pareto Chart




Enter your data categories and
number of defects here
Enter the label,
frequency
information, and
chart title, then
click on OK
Creating & Interpreting a Pareto
•   Look at the Pareto chart
                             Chart Exercise Answers
    you’ve just constructed
    and answer the following
    questions.
•   Which categories account for
    most of the problem?
         Complaints about room
         service and the front desk
•   What would you do next to
    solve this problem?
•   Choose one of these two areas
    to focus on (i.e.: room service).
    Make another Pareto chart to
    analyze the reasons that
    people call to complain about
    room service.
•   Be prepared to discuss your
    answers with the class.
Chi-Square Goodness of Fit


  Ho: Proportion of all groups are equal
  Ha: Proportion of at least one group is
                 different
Chi-Sq Goodness of Fit

• The Chi-square Goodness of Fit test is a one variable
  test that determines whether the proportion of counted
  items in each category fit a hypothesized distribution.
• This is the statistical test used with a Pareto chart to
  determine which groups are statistically different from
  others.
• The Goodness of Fit test is not available in Minitab, but
  is available in: Chi-sq GOF Calculator.xls
Chi-Sq Goodness of Fit Example

• Enter the following injury related data into the Goodness
  of Fit calculator
                     Back 17
                     Hand 6
                     Feet 12
                     Torso 5
• Is there a disproportionate number of injuries in any of
  the categories?    Head 3
   o   Assume that the proportion of injuries are equal for all categories
What’s Statistically Significant?

• Back injuries are statistically significant
What’s Statistically Significant?

• Everything else is statistically the same
Who Are Your Customers?

   S                                                             C
   U                                                             U
   P                                                             S
   P                                                             T
   L          Inputs           Process           Outputs         O
   I                                                             M
   E                                                             E
   R                                                             R
   S                                                             S

• What are the outputs of your process?
  Who are the customers of that output?
• Are there particular groups of customers whose needs are especially
  important to your organization?
• You’ll learn about the SIPOC in the upcoming D2 Module.
Market Stratification & Segmentation
• Often there is no single voice of the
  customer. Different customers or types of
  customers usually have different needs
  and priorities. The different types of
  customers are often referred to as                       Market
  market segments.

• Do You Have Market Segments?
   o   If your customers seem to have similar needs
       across the board, you don’t necessarily have to
       divide them into segments
   o   If you suspect that different groups will have
       significantly different needs and that these
       differences will influence how you structure your
       process, product, or service, then it will be
       worthwhile to think in terms of segments
Market Segment Examples
Common Market Segments include:
• Customer status: Former Customers, Current Customers
• Type of product or service they buy from you
• Quantity of product purchased: High, Medium, Low
• Geographic location
• Where they are in the “customer chain”
     Internal user   Distributor   End user
• Reason for buying
• Industry, Division or Department
• Demographics, such as gender or age
Customers as Bill Payers
•   A - Pay when bill is received
•   B - Pay one week after bill is received
•   C - Pay when payment is due
•   D - Pay to avoid late fee
•   E - Pay to avoid cutoff
•   F - Pay to restore service
•   Most customers' payment behavior can be predicted .
•   Customers whose behavior is changing warrant
    attention.
Customers as Financial Forces
• A - Top 700 or 40% of Revenue
• B - Next 1,300 or 10% of Revenue
• C - Balance or 50% of revenue
Customers as Political Voices
•   A - Elected officials and staff
•   B - Political activists
•   C - Vote in elections
•   D - Non-participants in political processes
•   E – Future Customers

• Most customers' political behavior can be predicted.
JEA Receivables History
Receivables Case Study:
                                    Introduction
• A company that sells both products and associated
  services is trying to improve its billing process and
  payment of accounts receivables.
• A study of how long it takes customers to pay their bills
  shows the average at about 48 days, but many are
  extending to 90 days and more.
                        Frequency Plot of Accounts
                           Receivable Payments
                   60

                   50

                   40
               count
                   30

                   20

                   10


                         -10 21-30 1-50 61-70 81-90
                                                  90+
                        0 11-20 31-40 51-60 71-80
                                                              39
                                  4
                                   (days to pay)
Receivables VOC Plan: Who
                                  Who
               Customers and Segments
Position in organization
Accts. Payable vs. Purchasing Agents
vs. End users
Type of business
Govt. & people who work with govt. vs.
Non-govt. vs. Foreign vs. Distributors
Type of payment
Credit card vs. Purchase order vs.
invoice vs. pre-pay by check
Payment history
on-time vs. late
Organizations vs. Individuals
Deciding the “What and Why”
• What is the purpose of your project?
• How does your purpose relate to customer and business
  needs?

  What do you need to know about the needs of the customers you’ve
  identified to make sure your project’s purpose stays on track?
Sample Questions
For all customers, you should ask questions such as:
  1. What is important to you about our product/service? (Ask them
  to rank each of these needs in order of importance.)
  2. What do you think of as a defect?
  3. How are we performing on the areas you consider important?
  4. What do you like about our product/service?
  5. What can we improve about our product/service?
  What can we do to make your job easier?
  6. What specific recommendations would you make to us?




                                                                     42
Receivables VOC Plan:
                             “What & Why”
                      WHAT & WHY
Indicate specifically what you want to know about your customers.
Develop customized versions of the following questions, which you can
ask during face-to-face interviews.
  •   What’s important to you?
  •   What’s a defect?
  •   How are we doing? How do we compare to our competitors?
  •   What do you like? What don’t you like?



What are your invoice requirements?
For each requirement, follow up with: Does that mean you won’t
pay if ______?
How well do our processes and policies currently meet your
requirements?
How do our processes and policies compare with other
vendors?
What do you like about our invoicing processes and policies?
What don’t you like?
What specific changes you would like to recommend?
Basic VOC Systems

1. Reactive systems               2. Proactive systems
• Information comes to you        • You need to put effort into
  whether you take action or        gathering the information
  not
Typical Reactive Systems
Typical Reactive Systems…
•   Customer complaints (phone or written)
•   Problem or service hot lines                Reactive systems
•   Customer service calls                  generally gather data on:
•   Claims, credits, contested payments • Current and former customer
•   Major Accounts reporting                 issues or problems
•   Web page activity                      • Current and former customers’
                                             unmet needs
                                           • Current and former customers’
                                             interest in particular products
                                             or services
Proactive VOC Systems
Proactive VOC Systems tend to focus on:
 1. Surveys
 2. Interviews
 3. Direct customer observation
 4. Data gathering during sales visits or calls
 5. Focus groups
 6. Market research, market monitoring
 7. Benchmarking
 8. Quality scorecards
 9. Comment cards
Face-to-Face Interaction
• Face-to-face interaction with customers can provide a
  wealth of data and knowledge that is unobtainable by
  other means.
• A good first step in proactive data collection is customer
  observation
   1. Get them to show you, in detail, how they use your product or
      service. Talk with them peer to peer, onsite.
   2. Ask “What are three things we could do to improve our product or
      service to you?” or conduct a lengthier interview if time permits.
• Ideally, you should have face-to-face interviews prior to
  any other data collection or extensive phone interviews.
Guidelines for Interviews
• Be clear about the purpose of the interview and write a standard
  introduction for all interviewers to use
• Organize your questions
• Ask simply worded questions open-ended, unbiased questions

                       Question Starters Example
           What “What _____?”
•   Avoid questionsdoes that work for “are” or “do” or “can”
           How “How that start with you?”                      since they can
    usuallyCould “Could you yes/no an example of ____?”
            be answered give me
• Test the guide before using it with actual customers
• Let the interviewee do most of the talking and listen actively




        Note: Prior to conducting any external interview or survey it’s
        required per MD140 “External Corporate Research” that JEA’s
        Research group review your questions.
Interview Flow

     1.             2.             3.              4.
  Describe      Establish         Ask         Summarize
background     the context     open-ended      and rank
and purpose                     questions     the issues




       5.              6.              7.
   Ask to be         Close       Summarize
   rated on           the            your
    a scale        interview      interview
                                   findings
VOC Plan: Final Touches
 • The last step to finishing your data collection is to decide specifically
   how you will obtain the information, within what time frame the data
   gathering should take place, and how you will record the data. You
   must train everyone who will be gathering the VOC data
 • Practice the interviews before talking to customers
 • Periodically monitor the data collection; make adjustments as
   necessary


                        SUMMARY: WHICH, HOW MANY, HOW & WHEN

On the back of this form or a separate sheet, summarize your plans to gather and use both reactive
and proactive sources. Indicate how much data you will get, how you will get it, and when. Include,
for instance, when you will start and end the data collection, how you will record the data, and so
on.
Receivables VOC Summary Plan
                         SUMMARY: WHICH, HOW MANY, HOW & WHEN

  On a separate sheet, summarize your plans to gather and use both reactive and proactive
  sources. Indicate how much data you will get, how you will get it, and when. Include, for
  instance, the number of interviews or surveys you plan to use, which customers you will contact,
  when you will start and end the data collection, and so on.


Example:
Will look at five different segmentation characteristics. Try to do at least
20 face-to-face interviews first, then follow up phone interviews and/or
surveys for additional data. Work with statistician to identify appropriate
sample size needed from base of 5,000 customer organizations.
• Carlos and LaShawn will pull together current reactive data we already have.
• Tina will work on the bookstore angle.
• Maury will work with customer service on adding info to customer contact
  calls.
• Work to begin this Friday and extend for three weeks. Deadline is July 26.




                                                                                                51
CTQ Definition and Elements
• CTQs are the translation of customer
  needs into quantified requirements     Product/Servic    Patient
                                               e          Wait Time
  for our product/service.
                                         Characteristic
• CTQs are critical requirements
  placed on the product/service            Measure        Arrival to
                                                          Departure
                                                          (Minutes)
         Customer
          Need                                            60 minutes
                           CTQ             Target/
                                         Nominal Value
           Quick
         Lab Tests
                                         Specification    90 minutes
                                            Limits
         Business
           Goal                            Allowable      <3.4 DPMO
                                          Defect Rate
         Six Sigma
        Performance
Translating VOC into CTQs

VOC                     CTQ Tree
                                CTQ

                                CTQ

I want                          CTQ




               need     CTQ


                                         CTQ

                                         CTQ
                                CTQ

                                CTQ




         • (CTQ = Critical to Quality)
                                               53
Why Create a CTQ tree?
• Translates broad customer requirements into specific
  critical-to-quality (CTQ) requirements
• Helps the team to move from high-level to detailed
  specifications
• Ensures that all aspects of the need are addressed




            • Use a CTQ Tree for…
              o   Unspecific customer requirements
              o   Complex, broad needs
Example: CTQ Tree
   Need            Drivers             CTQs

                                  Answers given by reps are
                                  correct
                  Knowledgeable
                                  Reps can answer questions
                  reps
                                  asked by customer without
                                  further research
                                  Researched information
                                  returned quickly
     Good
   Customer       Friendly reps   Customer greeted by name
    Service                       Customer not interrupted



                  Short wait      Time on hold
                                  Customer transferred
                                  immediately to the person
                                  who can help them



        General                        Specific

Hard to measure                        Easy to measure
How to Create a Tree Diagram
1. List the customer needs.
2. Identify the major drivers for these needs (major
means those which will ensure that the need is
addressed).
3. Break each driver into greater detail.
4. Stop the breakdown of each level when you have
reached the level of detail where you can measure
whether you meet the customer need or not.
Worksheet Exercise
                                    • Potential
• CTQ
   Answers are correct                Specification Method
   Reps can answer questions
   Information returned quickly
   Customer greeted by name
   Customer not interrupted
   Time on hold
   Transfers immediate
Worksheet Exercise: Answers
                               • Potential
• CTQ                            Specification Method
   Answers are correct             Customer answers “yes” to “Will that
   Reps can answer questions       solve the problem?”
   Information returned            Customer question answered on first
   quickly                         call
   Customer greeted by name        Calls completed within 3 minutes
   Customer not interrupted        Customer name used at least once in
   Time on hold                    conversation
   Transfers immediate             No interruptions of customer in calls
                                   monitored by supervisor
                                   No more than 30 seconds on hold
                                   No more than 15 seconds to connect
                                   to party
Project Worksheet Exercise:
                         Generating CTQs
Instructions:
Use the blank tree diagram to translate a customer need from your
project into a CTQ requirement.
Be prepared to discuss your work with the class.
Identify gaps between CTQs and current process performance.




                                                  5 Min
CTQ Tree Exercise
   Need           Drivers    CTQs




       General               Specific

Hard to measure              Easy to measure
Affinity Diagram
Affinitizing VOC

• VOC and VOB can come in several forms
  o   Complaints, about the defect
  o   Compliments about the service/product
  o   Solutions for how to fix the problem
• Regardless of what form the feedback comes in, it must
  be affinitized into common groups/topics in order to
  define the project correctly
  o   Service problem?
  o   Product quality problem?
  o   Cycle time problem?
  o   etc.
Affinity Diagram
Goal:
• Generate a list of key customer Statements
                                    written on
  needs in their language.       individual cards
                                     or notes                                 Notes are clustered
• Encourages breakthrough                                                    based on intuition, not
                                                                                     logic
  thinking                                          Timeliness

• Helps to gather and identify              Need 1             Need 2               Need 6
  patterns in mountains of data
• Can be used to organize
  ideas, issues, and opinions                                                                   Title notes identify
Use an Affinity Diagram when…                                                                          themes

• Analyzing qualitative customer                    Defect-free                        Need 7
                                                                                                       OK to have
  data                                                                                                 clusters of
                                                                                                        one note
• Dealing with complex problems              Need 3                     Need 4         Need 8
  or issues
• Organizing ideas, issues, and
  opinions
                                                                  Need 5                Can be several
                                                                                           layers of
                                                                                          clustering



                                                                                                               63
Affinity Diagrams

           Machine                                       Tools

 Access            Operation         Program          Spare         Maintenance
                                     Change           Parts
Different         Central control
screw sizes       panel             Not able to     15% of the      No
                                    change the      time no spare   maintenance
Clamping          Test program      program         parts are       plan
                  not integrated                    available
Missing                             No training                     Wrong intervals
rails                               in setting      Everybody
                                    parameters      has his own
                                                    supply
                                    Programs
                                    not available   Only first
                                                    operator can
           More Staff
                                                    order
How to Create an Affinity
                                          Diagram
1.   Prework: select theme
2.   Prework: collect verbal data; share with team
3.   Write the issue in clear view of all participants
4.   Generate and record ideas
5.   Transfer data onto index cards or self-stick notes
6.   Group the cards to find the “affinity”
7.   Label the groups of cards
8.   Optional: group the clusters
9.   Draw the diagram
Pizza Delivery Affinity
                                           Diagram Example

I want the pizza to have lots of toppings
                                                      They promised 45 minute delivery and
                                                      it got here in 35. I’m impressed!
                  Why is it the delivery person
                  never has correct change?


                                      They promised 30 minute delivery and
Our last pizza was hot                they were late. It was 35 minutes.

They always get my order mixed up with
the other Barnes family 2 blocks down               At least the delivery person was friendly.


  The last Pizza we got was great. Best ever!

                                                  The last time they mixed up our
                                                  order, they gave it to us for free.
Pizza Delivery Affinity
                               Diagram Example (cont’d)
                 Quality
  I want the pizza to have lots of toppings               Delivery
          Our last pizza was hot
                                              They promised 45 minute delivery and
The last Pizza we got was great. Best ever!   it got here in 35. I’m impressed!

                                                   Why is it the delivery person
                                                   never has correct change?
                 Service
                                              They promised 30 minute delivery and
 They always get my order mixed up with       they were late. It was 35 minutes.
 the other Barnes family 2 blocks down

    The last time they mixed up our
    order, they gave it to us for free.
 At least the delivery person was friendly.
Pizza Delivery Affinity
                         Diagram Example (cont’d)
                                                I want the pizza to have lots of toppings

                         Quality                Our last pizza was hot

                                                The last Pizza we got was great. Best ever!


          They always get my order mixed up with the other Barnes family 2 blocks down

Service   The last time they mixed up our order, they gave it to us for free.

          At least the delivery person was friendly.



                 They promised 45 minute delivery and it got here in 35. I’m impressed!

 Delivery        Why is it the delivery person never has correct change?

                 They promised 30 minute delivery and they were late. It was 35 minutes.
Pizza Delivery Affinity
                          Diagram Example (cont’d)
              I want the pizza to have lots of toppings

 Quality      Our last pizza was hot                       Pizza to be xxOF upon arrival

              The last Pizza we got was great. Best ever!


           They always get my order mixed up with the other Barnes family 2 blocks down

Service    The last time they mixed up our order, they gave it to us for free.

           At least the delivery person was friendly.
                                                            Order is correct or it is free.


                  They promised 45 minute delivery and it got here in 35. I’m impressed!

Delivery          Why is it the delivery person never has correct change?

                  They promised 30 minute delivery and they were late. It was 35 minutes.

                   All pizza’s delivered within 30 minutes of it’s order.
Learning Check – Define VOC,
                                    VOB and CTQ
Upon completing this module, students should be able to:
• Discuss why the Voice of the Customer (VOC) and Voice of the Business
  (VOB) is critical.
• Create a VOC Worksheet to identify customer/business Critical to Quality
  (CTQs) / Interview Forms.
• Demonstrate the use of stratification tools:
   o Pareto charts
   o Stratification & Segmentation of Customers
   o Affinity diagrams
• Identify gaps (potential Black Belt projects or improvement opportunities)
  between CTQs and current process performance.

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D05 Define VOC, VOB and CTQ

  • 1. Define VOC, VOB and CTQ Deliverable 1D
  • 2. Define Module Roadmap Define Measure 1D – Define VOC, VOB, and CTQ’s 5M – Document Process 2D – Define Project Boundaries 6M – Prioritize List of X’s 3D – Quantify Project Value 7M – Create Data Collection Plan 4D – Develop Project Mgmt. Plan 8M – Validate Measurement System 9M – Establish Baseline Process Cap. Control Analyze 14C – Create Control System 15C – Finalize Project Documentation 10A – Determine Critical X’s Improve Green 12I – Prioritized List of Solutions 11G – Identify Root Cause Relationships 13I – Pilot Best Solution
  • 3. Deliverables – Define Primary Secondary # Deliverable Deliverable Concept & Tasks Tool(s) Tool(s) 1D Define VOC, A project is started because a customer needs some problem to be • VOC • Affinity Diagram VOB and CTQs solved. Deliverable 1D obtains customer input to understand the Worksheet • Stratification problem(s) that the customer is experiencing so that a project can tools (Pareto be started. In addition to defining the problem, we also need to and other basic understand how the customer defines acceptability graphs) (specifications). 2D Define Project Once we understand the defect that needs to be improved (project • Project • Included / Boundaries Y), define the project boundaries and components of the project. charter Excluded This includes a well written problem statement, identifying what • SIPOC • Elevator Speech process produces the defect, how much improvement we will make, when it will be done, etc. This information is summarized in the project charter. Portions of deliverables 3D and 4D will also be on the charter. 3D Quantify Project Determine the benefit to the customer and to JEA for improving the • Project Value process. Internal customer benefits are typically hard or soft $ Benefits savings, productivity improvements, and employee satisfaction. External customer benefits are typically customer satisfaction, and price. Deliverable 3D documents these benefits. 4D Develop Project To effectively manage a project, the GB/BB needs to identify team • ARMI • Faces of Management members, effectively interface with the project stakeholders, plus • Project resistance Plan develop and manage to a project plan (milestones and timelines). plan • Stakeholder This plan should be developed and shared with all stakeholders. analysis • Influence strategy
  • 4. 1D - Define VOC, VOB and CTQ Primary Secondary # Deliverable Deliverable Concept & Tasks Tool(s) Tool(s) 1D Define A project is started because a customer needs some • VOC • Affinity VOC, VOB problem to be solved. Deliverable 1D obtains Worksh Diagram and CTQs customer input to understand the problem(s) that the eet • Stratificati customer is experiencing so that a project can be on tools started. In addition to defining the problem, we also (Pareto need to understand how the customer defines and other acceptability (specifications). basic graphs) Steps to Complete Deliverable: 1. If a defect has not been already identified for improvement, obtain VOC and VOB to determine where process improvements are needed and to define the project defect. 2. If historical data is present and if the project scope is not clear or appropriately sized, use the historical (baseline) data to stratify and/or segment the data (i.e.: Affinity Diagram, Pareto, etc) in an effort to better focus the defect, e.g.: Instead of “overtime” as a defect, stratifying the data may show that most of the overtime is in operations. In this case, “operations overtime” could be the project defect. 3. Once defect has been clarified, obtain detailed VOC and VOB information to clarify the customer CTQs. 4. Review the results of the above with the champion to confirm the project is supported by the business (placing this information in the project charter of deliverable 2M will usually facilitate this discussion).
  • 5. Objectives – Define VOC, VOB and CTQ Upon completing this module, students should be able to: • Discuss why the Voice of the Customer (VOC) and Voice of the Business (VOB) is critical. • Create a VOC Worksheet to identify customer/business Critical to Quality (CTQs). • Demonstrate the use of stratification tools: o Pareto charts o Stratification & Segmentation of Customers o Affinity diagrams • Identify gaps (potential Belt projects or improvement opportunities) between CTQs and current process performance.
  • 6. VOC and VOB • The term Voice of the Customer (VOC) is used to describe customers’ needs and their perceptions of your product or service. • The term Voice of the Business (VOB) is used to describe business’ needs and perceptions of your product or service. VOC / VOB data helps an organization… • Decide where to focus improvement efforts • Get a baseline measure of customer satisfaction to measure improvement against • Decide what products and services to offer • Identify critical features and specification for those products and services • Identify key drivers of customer satisfaction 6
  • 7. Understanding the VOC • The “Voice Of the Customer" is the term used to describe the stated and unstated needs or requirements of the customer. • The “Voice Of the Customer" can be captured in a variety of ways: Direct discussion or interviews, surveys, focus groups, customer specifications, observation, warranty data, field reports, complaint logs, etc. • This process is all about being proactive and constantly innovative to capture the changing requirements of the customers with time.
  • 8. Voice of the Customer Voice of the Customer is a disciplined, cyclical approach to obtaining, understanding, and prioritizing customer wants and needs (requirements). VOC is an element of, and derives from Quality Function Deployment When do you use it. Whenever there is a need to identify, understand, and prioritize customer requirements. Desired Outcome. • Greater understanding of customer requirements. • Increased/improved communication with customers. • Identification of what your customer believes to be the most important, least satisfying attributes of your products/services.
  • 9. Deliverable 1: Define Define VOC, VOB • Voice of the customer • Voice of the business • Include any operating definition on this or a separate chart For this and all subsequent phases, add charts as appropriate to show “the story” for that phase. Example – a descriptive statistics chart is not listed with any specific deliverable, but it would probably be appropriate to show in the Define section.
  • 10. Customer CTQ Tree Need Drivers CTQ’s Q1= • . Driver 1 p1 = Q2 = Driver 2 p2 = Q2 = Driver 3 KPI = General Specific Hard to measure Easy to measure
  • 11. Voice of the Business • Our business at JEA is about balance. • Our mission is “To improve the quality of life in the communities we serve by being the best electric, water and wastewater utility in the nation.” • Delighting the customer must be accomplished while operating a financially viable and stable utility. • Often, the VOB and VOC may seem to be or may be at odds. • Each project must focus on a MEASURABLE outcome (Y). • We call those outcomes CTQ’s (Critical-to-Quality) or Q’s on a Process Map
  • 12. Significant Few • A project must focus on significant opportunities • We must separate the significant few from the trivial many • How many $100 bills do you have? • How many pennies?
  • 13. Pareto • Vilfredo Federico Damaso Pareto (vēlfrĕ'dō pärĕ'tō) (b. July 15, 1848, Paris -- d. August 19, 1923, Geneva) was an Italian sociologist, economist and philosopher. He made several important contributions especially in the study of income distribution and in the analysis of individuals' choices. He introduced the concept of Pareto efficiency and helped develop the field of microeconomics.
  • 14. The Pareto Principle • The Pareto principle was actually popularized by Joe Juran in the 1950’s about 30 years after Pareto’s death. This rule says that, in many situations, roughly 80% of the problems are caused by only 20% of the contributors. The Pareto principle implies that we can frequently solve a problem by identifying and attacking its “vital few” sources. 14
  • 15. OSHA Recordables at JEA • Actual experiences summarized for a year Back 17 Hand 6 Feet 12 Torso 5 Head 3
  • 18. What to Look For: Relative Heights of the Bars If you see this… Interpretation & Action Pareto Principle applies: one or a few categories account for most of the problem. Focus improvement effort on top one or two bars Pareto Principle does not hold: bars are all about equal height. Not worth it to investigate tallest bar. Look for other ways to categorize data, or look for different kind of data on this problem.
  • 19. Day of the Week
  • 21. Case Study: Insurance Complaints • In response to a corporate mandate to “improve customer satisfaction,” the senior manager at the state headquarters for an insurance agency decided to look at customer complaints from the previous year. The data are shown below in a table and a chart. Types of Complaints Type of Complaint 1996 1996 190 (193 complaints total) 180 Service Fire Service 170 Service Service Agent 160 Fire Service School 150 140 Underwriting Agent Service 130 Agent Service Service 120 Service Fire Service Count 110 • • • 100 • • • 90 • • • 80 70 60 • How does looking at data126 a chart aid your interpretation? What would Tally Service in 50 40 30 Fire 42 you do next? Agent 21 20 10 School Insurance 2 0 Underwriting 2 Fire TOTAL 193 Service Agent School Ins. Underwriting Target
  • 22. Pareto Chart • A Pareto chart is a Height of vertical axis should represent the sum of Grocery Store graphical tool that all occurrences Spoilage by Department helps you break a 25000 October- December 1997 big problem down 100 into its parts and 90 20000 identify which parts 80 are the most Bar height shows relative importance; 70 15000 important. Amount of Spoilage ($$) arranged in 60 descending order with 50 tallest bar on left 10000 40 “Other” category is always last 5000 even if not the 10 shortest Units 0 clearly 0 labeled Meat Dairy Produce Bakery Other Data are divided into categories Category
  • 23. Exercise: Creating & Interpreting a Pareto Chart Instructions: Department Number of Complaints Open Minitab (refer to the following slide) and create a Banquet 8 Pareto Chart in Minitab using Bell stand 3 this data Stat > Quality Tools > Pareto Front desk 22 Chart Health club 3 Housekeeping 14 Maintenance 12 Restaurant 7 5 Min Room service 67 Other 8 Total 144
  • 24. To Create a Pareto Chart in Minitab, Select: Stat > Quality Tools > Pareto Chart Enter your data categories and number of defects here
  • 25. Enter the label, frequency information, and chart title, then click on OK
  • 26. Creating & Interpreting a Pareto • Look at the Pareto chart Chart Exercise Answers you’ve just constructed and answer the following questions. • Which categories account for most of the problem? Complaints about room service and the front desk • What would you do next to solve this problem? • Choose one of these two areas to focus on (i.e.: room service). Make another Pareto chart to analyze the reasons that people call to complain about room service. • Be prepared to discuss your answers with the class.
  • 27. Chi-Square Goodness of Fit Ho: Proportion of all groups are equal Ha: Proportion of at least one group is different
  • 28. Chi-Sq Goodness of Fit • The Chi-square Goodness of Fit test is a one variable test that determines whether the proportion of counted items in each category fit a hypothesized distribution. • This is the statistical test used with a Pareto chart to determine which groups are statistically different from others. • The Goodness of Fit test is not available in Minitab, but is available in: Chi-sq GOF Calculator.xls
  • 29. Chi-Sq Goodness of Fit Example • Enter the following injury related data into the Goodness of Fit calculator Back 17 Hand 6 Feet 12 Torso 5 • Is there a disproportionate number of injuries in any of the categories? Head 3 o Assume that the proportion of injuries are equal for all categories
  • 30. What’s Statistically Significant? • Back injuries are statistically significant
  • 31. What’s Statistically Significant? • Everything else is statistically the same
  • 32. Who Are Your Customers? S C U U P S P T L Inputs Process Outputs O I M E E R R S S • What are the outputs of your process? Who are the customers of that output? • Are there particular groups of customers whose needs are especially important to your organization? • You’ll learn about the SIPOC in the upcoming D2 Module.
  • 33. Market Stratification & Segmentation • Often there is no single voice of the customer. Different customers or types of customers usually have different needs and priorities. The different types of customers are often referred to as Market market segments. • Do You Have Market Segments? o If your customers seem to have similar needs across the board, you don’t necessarily have to divide them into segments o If you suspect that different groups will have significantly different needs and that these differences will influence how you structure your process, product, or service, then it will be worthwhile to think in terms of segments
  • 34. Market Segment Examples Common Market Segments include: • Customer status: Former Customers, Current Customers • Type of product or service they buy from you • Quantity of product purchased: High, Medium, Low • Geographic location • Where they are in the “customer chain” Internal user Distributor End user • Reason for buying • Industry, Division or Department • Demographics, such as gender or age
  • 35. Customers as Bill Payers • A - Pay when bill is received • B - Pay one week after bill is received • C - Pay when payment is due • D - Pay to avoid late fee • E - Pay to avoid cutoff • F - Pay to restore service • Most customers' payment behavior can be predicted . • Customers whose behavior is changing warrant attention.
  • 36. Customers as Financial Forces • A - Top 700 or 40% of Revenue • B - Next 1,300 or 10% of Revenue • C - Balance or 50% of revenue
  • 37. Customers as Political Voices • A - Elected officials and staff • B - Political activists • C - Vote in elections • D - Non-participants in political processes • E – Future Customers • Most customers' political behavior can be predicted.
  • 39. Receivables Case Study: Introduction • A company that sells both products and associated services is trying to improve its billing process and payment of accounts receivables. • A study of how long it takes customers to pay their bills shows the average at about 48 days, but many are extending to 90 days and more. Frequency Plot of Accounts Receivable Payments 60 50 40 count 30 20 10 -10 21-30 1-50 61-70 81-90 90+ 0 11-20 31-40 51-60 71-80 39 4 (days to pay)
  • 40. Receivables VOC Plan: Who Who Customers and Segments Position in organization Accts. Payable vs. Purchasing Agents vs. End users Type of business Govt. & people who work with govt. vs. Non-govt. vs. Foreign vs. Distributors Type of payment Credit card vs. Purchase order vs. invoice vs. pre-pay by check Payment history on-time vs. late Organizations vs. Individuals
  • 41. Deciding the “What and Why” • What is the purpose of your project? • How does your purpose relate to customer and business needs? What do you need to know about the needs of the customers you’ve identified to make sure your project’s purpose stays on track?
  • 42. Sample Questions For all customers, you should ask questions such as: 1. What is important to you about our product/service? (Ask them to rank each of these needs in order of importance.) 2. What do you think of as a defect? 3. How are we performing on the areas you consider important? 4. What do you like about our product/service? 5. What can we improve about our product/service? What can we do to make your job easier? 6. What specific recommendations would you make to us? 42
  • 43. Receivables VOC Plan: “What & Why” WHAT & WHY Indicate specifically what you want to know about your customers. Develop customized versions of the following questions, which you can ask during face-to-face interviews. • What’s important to you? • What’s a defect? • How are we doing? How do we compare to our competitors? • What do you like? What don’t you like? What are your invoice requirements? For each requirement, follow up with: Does that mean you won’t pay if ______? How well do our processes and policies currently meet your requirements? How do our processes and policies compare with other vendors? What do you like about our invoicing processes and policies? What don’t you like? What specific changes you would like to recommend?
  • 44. Basic VOC Systems 1. Reactive systems 2. Proactive systems • Information comes to you • You need to put effort into whether you take action or gathering the information not
  • 45. Typical Reactive Systems Typical Reactive Systems… • Customer complaints (phone or written) • Problem or service hot lines Reactive systems • Customer service calls generally gather data on: • Claims, credits, contested payments • Current and former customer • Major Accounts reporting issues or problems • Web page activity • Current and former customers’ unmet needs • Current and former customers’ interest in particular products or services
  • 46. Proactive VOC Systems Proactive VOC Systems tend to focus on: 1. Surveys 2. Interviews 3. Direct customer observation 4. Data gathering during sales visits or calls 5. Focus groups 6. Market research, market monitoring 7. Benchmarking 8. Quality scorecards 9. Comment cards
  • 47. Face-to-Face Interaction • Face-to-face interaction with customers can provide a wealth of data and knowledge that is unobtainable by other means. • A good first step in proactive data collection is customer observation 1. Get them to show you, in detail, how they use your product or service. Talk with them peer to peer, onsite. 2. Ask “What are three things we could do to improve our product or service to you?” or conduct a lengthier interview if time permits. • Ideally, you should have face-to-face interviews prior to any other data collection or extensive phone interviews.
  • 48. Guidelines for Interviews • Be clear about the purpose of the interview and write a standard introduction for all interviewers to use • Organize your questions • Ask simply worded questions open-ended, unbiased questions Question Starters Example What “What _____?” • Avoid questionsdoes that work for “are” or “do” or “can” How “How that start with you?” since they can usuallyCould “Could you yes/no an example of ____?” be answered give me • Test the guide before using it with actual customers • Let the interviewee do most of the talking and listen actively Note: Prior to conducting any external interview or survey it’s required per MD140 “External Corporate Research” that JEA’s Research group review your questions.
  • 49. Interview Flow 1. 2. 3. 4. Describe Establish Ask Summarize background the context open-ended and rank and purpose questions the issues 5. 6. 7. Ask to be Close Summarize rated on the your a scale interview interview findings
  • 50. VOC Plan: Final Touches • The last step to finishing your data collection is to decide specifically how you will obtain the information, within what time frame the data gathering should take place, and how you will record the data. You must train everyone who will be gathering the VOC data • Practice the interviews before talking to customers • Periodically monitor the data collection; make adjustments as necessary SUMMARY: WHICH, HOW MANY, HOW & WHEN On the back of this form or a separate sheet, summarize your plans to gather and use both reactive and proactive sources. Indicate how much data you will get, how you will get it, and when. Include, for instance, when you will start and end the data collection, how you will record the data, and so on.
  • 51. Receivables VOC Summary Plan SUMMARY: WHICH, HOW MANY, HOW & WHEN On a separate sheet, summarize your plans to gather and use both reactive and proactive sources. Indicate how much data you will get, how you will get it, and when. Include, for instance, the number of interviews or surveys you plan to use, which customers you will contact, when you will start and end the data collection, and so on. Example: Will look at five different segmentation characteristics. Try to do at least 20 face-to-face interviews first, then follow up phone interviews and/or surveys for additional data. Work with statistician to identify appropriate sample size needed from base of 5,000 customer organizations. • Carlos and LaShawn will pull together current reactive data we already have. • Tina will work on the bookstore angle. • Maury will work with customer service on adding info to customer contact calls. • Work to begin this Friday and extend for three weeks. Deadline is July 26. 51
  • 52. CTQ Definition and Elements • CTQs are the translation of customer needs into quantified requirements Product/Servic Patient e Wait Time for our product/service. Characteristic • CTQs are critical requirements placed on the product/service Measure Arrival to Departure (Minutes) Customer Need 60 minutes CTQ Target/ Nominal Value Quick Lab Tests Specification 90 minutes Limits Business Goal Allowable <3.4 DPMO Defect Rate Six Sigma Performance
  • 53. Translating VOC into CTQs VOC CTQ Tree CTQ CTQ I want CTQ need CTQ CTQ CTQ CTQ CTQ • (CTQ = Critical to Quality) 53
  • 54. Why Create a CTQ tree? • Translates broad customer requirements into specific critical-to-quality (CTQ) requirements • Helps the team to move from high-level to detailed specifications • Ensures that all aspects of the need are addressed • Use a CTQ Tree for… o Unspecific customer requirements o Complex, broad needs
  • 55. Example: CTQ Tree Need Drivers CTQs Answers given by reps are correct Knowledgeable Reps can answer questions reps asked by customer without further research Researched information returned quickly Good Customer Friendly reps Customer greeted by name Service Customer not interrupted Short wait Time on hold Customer transferred immediately to the person who can help them General Specific Hard to measure Easy to measure
  • 56. How to Create a Tree Diagram 1. List the customer needs. 2. Identify the major drivers for these needs (major means those which will ensure that the need is addressed). 3. Break each driver into greater detail. 4. Stop the breakdown of each level when you have reached the level of detail where you can measure whether you meet the customer need or not.
  • 57. Worksheet Exercise • Potential • CTQ Answers are correct Specification Method Reps can answer questions Information returned quickly Customer greeted by name Customer not interrupted Time on hold Transfers immediate
  • 58. Worksheet Exercise: Answers • Potential • CTQ Specification Method Answers are correct Customer answers “yes” to “Will that Reps can answer questions solve the problem?” Information returned Customer question answered on first quickly call Customer greeted by name Calls completed within 3 minutes Customer not interrupted Customer name used at least once in Time on hold conversation Transfers immediate No interruptions of customer in calls monitored by supervisor No more than 30 seconds on hold No more than 15 seconds to connect to party
  • 59. Project Worksheet Exercise: Generating CTQs Instructions: Use the blank tree diagram to translate a customer need from your project into a CTQ requirement. Be prepared to discuss your work with the class. Identify gaps between CTQs and current process performance. 5 Min
  • 60. CTQ Tree Exercise Need Drivers CTQs General Specific Hard to measure Easy to measure
  • 62. Affinitizing VOC • VOC and VOB can come in several forms o Complaints, about the defect o Compliments about the service/product o Solutions for how to fix the problem • Regardless of what form the feedback comes in, it must be affinitized into common groups/topics in order to define the project correctly o Service problem? o Product quality problem? o Cycle time problem? o etc.
  • 63. Affinity Diagram Goal: • Generate a list of key customer Statements written on needs in their language. individual cards or notes Notes are clustered • Encourages breakthrough based on intuition, not logic thinking Timeliness • Helps to gather and identify Need 1 Need 2 Need 6 patterns in mountains of data • Can be used to organize ideas, issues, and opinions Title notes identify Use an Affinity Diagram when… themes • Analyzing qualitative customer Defect-free Need 7 OK to have data clusters of one note • Dealing with complex problems Need 3 Need 4 Need 8 or issues • Organizing ideas, issues, and opinions Need 5 Can be several layers of clustering 63
  • 64. Affinity Diagrams Machine Tools Access Operation Program Spare Maintenance Change Parts Different Central control screw sizes panel Not able to 15% of the No change the time no spare maintenance Clamping Test program program parts are plan not integrated available Missing No training Wrong intervals rails in setting Everybody parameters has his own supply Programs not available Only first operator can More Staff order
  • 65. How to Create an Affinity Diagram 1. Prework: select theme 2. Prework: collect verbal data; share with team 3. Write the issue in clear view of all participants 4. Generate and record ideas 5. Transfer data onto index cards or self-stick notes 6. Group the cards to find the “affinity” 7. Label the groups of cards 8. Optional: group the clusters 9. Draw the diagram
  • 66. Pizza Delivery Affinity Diagram Example I want the pizza to have lots of toppings They promised 45 minute delivery and it got here in 35. I’m impressed! Why is it the delivery person never has correct change? They promised 30 minute delivery and Our last pizza was hot they were late. It was 35 minutes. They always get my order mixed up with the other Barnes family 2 blocks down At least the delivery person was friendly. The last Pizza we got was great. Best ever! The last time they mixed up our order, they gave it to us for free.
  • 67. Pizza Delivery Affinity Diagram Example (cont’d) Quality I want the pizza to have lots of toppings Delivery Our last pizza was hot They promised 45 minute delivery and The last Pizza we got was great. Best ever! it got here in 35. I’m impressed! Why is it the delivery person never has correct change? Service They promised 30 minute delivery and They always get my order mixed up with they were late. It was 35 minutes. the other Barnes family 2 blocks down The last time they mixed up our order, they gave it to us for free. At least the delivery person was friendly.
  • 68. Pizza Delivery Affinity Diagram Example (cont’d) I want the pizza to have lots of toppings Quality Our last pizza was hot The last Pizza we got was great. Best ever! They always get my order mixed up with the other Barnes family 2 blocks down Service The last time they mixed up our order, they gave it to us for free. At least the delivery person was friendly. They promised 45 minute delivery and it got here in 35. I’m impressed! Delivery Why is it the delivery person never has correct change? They promised 30 minute delivery and they were late. It was 35 minutes.
  • 69. Pizza Delivery Affinity Diagram Example (cont’d) I want the pizza to have lots of toppings Quality Our last pizza was hot Pizza to be xxOF upon arrival The last Pizza we got was great. Best ever! They always get my order mixed up with the other Barnes family 2 blocks down Service The last time they mixed up our order, they gave it to us for free. At least the delivery person was friendly. Order is correct or it is free. They promised 45 minute delivery and it got here in 35. I’m impressed! Delivery Why is it the delivery person never has correct change? They promised 30 minute delivery and they were late. It was 35 minutes. All pizza’s delivered within 30 minutes of it’s order.
  • 70. Learning Check – Define VOC, VOB and CTQ Upon completing this module, students should be able to: • Discuss why the Voice of the Customer (VOC) and Voice of the Business (VOB) is critical. • Create a VOC Worksheet to identify customer/business Critical to Quality (CTQs) / Interview Forms. • Demonstrate the use of stratification tools: o Pareto charts o Stratification & Segmentation of Customers o Affinity diagrams • Identify gaps (potential Black Belt projects or improvement opportunities) between CTQs and current process performance.