4 DEFINE Project Charter should contain Project Title: It should include clearly the name of the process to be improvedBusiness CaseWhat is the “Pain” issue? (Problem symptoms)How long it has been there? (Historical trends)Current financial and non-financial impacts of the issueFuture impacts if improvement is not made nowHow is the issue related to strategy?
5 DEFINE Project Charter should contain (contd..) Goals and objectivesSMART Objective for improvementStage targets (if long-term stage by stage improvement is required)Expected Benefits from the projectInvolve Finance in quantifying the expected benefits (quantify reduction in Cost of Poor Quality)For stage-by-stage improvement, what are short, medium, long term objectivesTeam members/Leader, Project Sponsor,Project Timeframe (initial)Project plan in Gantt chart /network diagram form
6 DEFINE “SIPOC” or “COPIS” Diagram “VOC” CTQs and related Big Ys Correctly identify SIPOC/COPIS (supplier, input, process, output, customer)Make a high level block diagram of the process relating to the issue“VOC”Understand “Voice of Customer” based on available data (customer SLA, specification, feedback) orGenerate a VOC data collection plan including MSA.CTQs and related Big YsIdentify the “Critical to Quality” parameters of deliverables to customer . Define Big Y(s) of the processClassify “Y”s as per Kano Model – Hygiene, Higher the better, Delight factorsMake CTQ Tree to cascade Big Ys into smaller deliverables (Y1, Y2…)Prepare CTQ Specification Table to clearly define all Ys.Defect Definition – Define what is not acceptable
7 DEFINE E. Stratification & Prioritization of Ys Collect historical / current data regarding the YsStratify data for smaller YsAnalyse historical / collected data e.g. by applying Regression Analysis to identify significant smaller Ys (e.g. Y = f(Y1, Y2….,Yn),F. Project Scope / BoundaryMake Pareto Chart and identify major Ys to focus uponDefine Project Scope/Boundary using SIPOCDefine the boundary of the project in terms of which Ys will be included in the project and what will be done with the remaining Ys. (e.g. plan another project, consider it in the next “6σ projects wave”)Set BaselineDefine baseline performance for all Ys in the project scope based on historical / collected dataWork out process capability (Sigma Level) for selected Ys based on historical /collected data.Summarize the “as is” process performance with comments
8 DEFINE Approval of the Charter Set Targets Obtain benchmark data for selected Y based on VOC / SLA and/or competitive / best-in-class performance benchmarksDefine SMART targets for selected Ys and target process capabilities (Sigma Levels) for themTest the targets statistically to verify if they are significantly different from the current performance level (Hypothesis test)Review and re-define “defects” and their project targetsReview and re-define the project timeframe and milestones with due datesApproval of the CharterDocument the Project CharterChampion and Sponsor review and approve the CharterCharter is registered with Program Management Office for follow up.
9 DEFINE – Key PointsDefine phase is all about Ys, don’t bring in Xs (causal factors) at this stageDon’t propose solutions in “Define” phase.The purpose of data analysis is only to clearly define the project scope and set SMART targets for Ys based on VOC (and other considerations).
11 MEASURE Data Collection Plan It is preferable to collect current data from the process however in some cases historical data may be utilized (if the reliability of data is well established)Use Prioritisation matrix or FMEA (if existing) to identify critical data to be collected.Prepare Data Collection Plan specifying:Parameter to be measuredWhether discrete or continuousWhich locationMeasurement method (procedure/code/standard)Sample Size and Sampling method : How was determined?How will the data be summarizedConfirmation of calibration of measuring devices and calibration plan if necessary.
12 MEASURE Measurement System Analysis (MSA) Verify calibration status and accuracy of measuring devices used in the process. Calibration error should be zero.Demonstrate MSA (if applicable):Gauge R&R for continuous variables measurementStatistical Test for attribute Ys
13 MEASURE Actual Measurement Show sample of raw data in tabulated form Summarise dataGive comments on the process performance based on data
14 MEASURE – Assess Process Capability Process Capability AssessmentCarry out Process Capability Analysis and determineCp, Cpk &Pp, PpkCurrent defect ppm and process Sigma Levels of the processEstimate Process Sigma LevelNote: Assessment of Process Capability and Measurement of Process Sigma level may be carried out in define phase, in case reliable historical data is available.
16 ANALYZE – Process Detailed Process Map in appropriate ways Flowchart orSpaghetti DiagramFunction diagram of the process system (TRIZ)Any otherIdentify (for lean)Value Adding activities,Non-value Adding but necessary activitiesWasteful activitiesIdentify constraints / bottlenecks in the flowMake Value Stream MapsAs is VSM“Should be” or target VSM
17 ANALYZE - DataUse PFMEA or Cause and Effect diagram to identify all “Potential” causesPrepare a Cause Validation Table, and apply the appropriate validation methods:Classify each potential cause into “Strong”, “Weak” and “Insignificant/Irrelevant” CategoriesList the “possible” causes separately for further validation.Prepare validation plan for the possible causes.
18 ANALYZE - DataValidate “possible” cause by using appropriate tests/tools as needed:Apply deep analysis to further drill down validated causes to reach “root causes”Conclude Analysis by clearly identifying validated possible causes and their Root causes.If DOE / Regression is carried out, predict optimum settings and validate them.
20 IMPROVE-Based on the identified and validate root causes, generate possible solutions.Use creative / innovative thinking to explore solutionsTry to incorporate mistake proofing measures.Prioritize solutions using appropriate methods/criteria
21 IMPROVE E. Plan for implementation Trial runs / pilot implementation Trial / pilot implementation planRisk analysis of the pilot / trial planPlan for MSA and data collectionMethod to evidence improvementFinalize full scale implementation plan, with phases as appropriateCarry out thorough risk analysis of the agreed solution for full scale implementationDefine stage gates including handing over the process to the process owner.
23 CONTROLDocument / amend Procedures, standards, work instructions incorporating the improvements in the processDefine control plan for XsInstall appropriate control charts (SPC) for Ys and critical Xs.Document “Out of Control Guidelines” for the operators
24 CONTROLEvaluate Process Sigma Level and compare with pre-improvement Sigma levelUpdate Process FMEA and recalculate RPNs, which should go down.Carry out cost-benefit analysis, include non-financial benefitsIdentify opportunities for further improvementIn the same process andHorizontal deployment opportunities (other similar processes)Give details of Reward and Recognition within the company.Share knowledge by publishing / presenting the case study
25 Lessons LearntIdentify what lessons were learnt regarding problem solving method, project management, teamwork etc