1. An Overview of the DMAIC Process at Work
The Team Based Problem Solving Process
© Max Zornada (2005)

2. Types of Teams Quality Circles Six Sigma Teams Quality Improvement
Issues specific
Localised
Permanent membership
Quality Circles
Six Sigma Teams
Quality Improvement
Process Improvement Teams
Problem Solving Teams
Task Forces
Project Teams
Cross-functional Teams
Issues specific
Forming & reforming
Temporary membership
© Max Zornada (2005)

3. Problem Solving
"If the only tool you have is a hammer, you tend to see every problem as a nail"
Abraham Maslow ( )
The DMAIC Team Based Problem Solving Process uses a suite of tools, applied within a structured framework to support the problem solving process using teams.
© Max Zornada (2005)

4. The Quality Problem Solving Tools
Ishikawa's 7 Tools of Quality
Flowcharts
Fishbone diagrams
Pareto charts
Histograms
Run charts and graphs
Control charts
Scatter diagrams
Other commonly used tools:
Brainstorming
Multi-voting
Check sheets
Dot plots
Box plots
© Max Zornada (2005)

5. Types of Problem Solving
Issues driven problem solving, where the focus is on solving a specific, clearly identifiable and obvious problem (or symptom). This is usually the case during the first few years of implementing a team based problem solving process where many long standing problems have been flushed out into the open;
Process Improvement driven problem solving, where the process improvement process provides the impetus to analyse the way things are done and seek out problems to be solved.
© Max Zornada (2005)

6. The Six Sigma Approach DMAIC
Define
Measure
Analyse
Improve
Control 6
Define the problem or opportunity.
Control by standardising solution and monitoring performance.
Measure the current performance and capability
Improve by implementing potential solutions.
Analyse to identify root causes.
© Max Zornada (2005)

7. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

8. South Eastern Food Packagers
Team Based Problem Solving
Case Study
© Max Zornada (2005)

9. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

10. Develop a Problem/Opportunity Theme Statement
The problem/opportunity theme statement provides the initial definition of the problem/opportunity area to be pursued;
It is on the basis of the problem/opportunity theme statement that management decide to allocate resources (the problem solving team) and time to develop a project team charter and determine whether the problem/opportunity is worth pursuing.
© Max Zornada (2005)

11. Problem/Opportunity Theme Statement
Project Title:
Cost of Waste Reduction Project
What is the area of concern? What first brought this problem or opportunity to the attention of your business?
The cost of waste in the box packaging operations. Now that we are packaging to fulfil 3rd party contracts, we are having to absorb the cost of waste in order to be cost competitive on price.
What impact has this problem already had? What evidence is there that it is a problem worthy of attention?
The impact of this problem is that 3rd party box packaging operations runs at a loss. Actual costs/box are 44c above recovery rate. This is $1.44 above target.
What will happen if the business does not address this problem?
The remainder of the business will have to continue to cross-subsidise the loss making box packaging operation or box packaging will have to be shutdown.
Summary problem statement (summarise the above in a concise statement).
The cost of waste in box packaging is excessive and causes box packaging operations to run at a loss. The cost of waste needs to be reduced to achieve target cost levels.
© Max Zornada (2005)

12. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

13. The Define Stage During the Define Stage, we:
Define our problem or opportunity and improvement objectives;
Define the customers and their requirements - the Critical-to-Quality issues (CTQ);
Define the process that will be affected;
Develop a plan for completing the project;
Key outputs of the Define Stage:
Team Project Charter and Work Plan
Measurable Customer Requirements - Customer Requirements Statement
Process Map/Process Analysis.
© Max Zornada (2005)

14. Six Sigma Project Team Charter
Cost of Waste Reduction Project
Project Title
Process
Box Packaging
Expected Financial Impact
$253,000
Green Belt
Jane Verde
Telephone Number
John Briggs
Champion
Organization/Function
Packaging Operations
1- October
Start Date
1-April
Target Completion Date
Problem/Opportunity Definition
The cost of waste in box packaging is excessive and causes box packaging operations to run at a loss. The cost of waste needs to be reduced to achieve target cost levels.
What is the Problem to be solved or the opportunity this project will exploit.
Objective
Improvement target, impact on Sigma, COQ/COPQ and Customer Satisfaction
Reduce net spoilage rate by 50% from 6% to 3%. Estimated Sigma level improvement from 3 to 3.4
Business Case
What improvement in business performance is expected. $ impact and by when.
Reduction in cost of waste of $253,000 p.a. from a baseline of $506,000. Will result in target processing cost/box being achieved.
Team Members
Who are the team members and key experts to be consulted.
Jane Verde (Team Leader), Paul Black, Rachel Cintura, Roland Thompson, Sdravo Krysevic, Giovanni Nero (Black Belt)
Project Scope
Which part of the process will be investigated
Box packaging from start of box filling through to placement of product on buyer shelves.
Customer Benefit
Who are the final customers. What benefits will they see and what are their most critical requirements.
The packaging contractees for whom we package and deliver product to buyers such as supermarkets and wholesalers. Benefits: competitive costs and more accurate schedule compliance.
Define completion
Measure completion
Analyse completion
Improve completion
Control completion
Project Completion
What are key milestone dates for completion of each stage.
20-April
Schedule
1-June
1-August
1-September
15-September
1-October
© Max Zornada (2005)

15. Example: SEFP’s Customer Requirements Statement
What is this customer’s major complaint? What issue would they want us to work on?
Outputs:
Customer:
Customer Requirements
Measure
Importance to Customer
Customer Satisfaction
Priority
Rating
1. Cost competitiveness
Boxed product delivered to buyers according to customer manifest.
Contract Box Packaging Customers
(Importance x Satisfaction)
Target
2. Schedule compliance
2.1. On-time delivery/right day/right time.
2.2. Right product delivered
2.3. Product quality to specification
2.4. Right amount/ amount as per manifest.
Processing cost $/Box
% On time
Returns: wrong product %
Returns: off-spec product %
Order shortfall %
Ranking Scheme
Importance to customer: 1 = Nice to Have, 2 = Important, 3 = Critical, Must Have
Customer Satisfaction: 1 = Very Satisfied, 2 = OK. Could be better, 3 = Unhappy, Must be improved
$22.50
97%
95%
99% 3 3* 9* 2 1 6 9
*Note: customer has not complained about price because we are absorbing difference between market price and actual costs. If customer were charged actual cost we would lose the business.
In addition to price, getting the delivery amount right is a Critical-to-Quality issue for the customer.
© Max Zornada (2005)

16. Process Mapping Symbols
Name
Brief Definition
Operation or
process step
Depending on the level of detail being developed, can be used to denote anything from a simple task, major activity or a whole sub-processes.
Decision Point
Point where a decision must be made before any further action can be taken.
Document
Generated
Point at which a form or report is generated by the process.
Continuation
Point
Used to indicate the process is continued elsewhere on the flow diagram or on another sheet.
Input/Output
Block
Optionally used to describe an input or output from a processing block.
Flow lines
Use to connect all blocks to display the sequence in which operations are performed.
Termination point
Used to indicate the start and end of a process.
© Max Zornada (2005)

17. SEFP’s Box Packing & Fulfilment Process Process Map
Start
Customer Unload & Check No
Load flat into Flat Feeder
Pallet OK?
Return to SEFP
Yes
Box Folding
Restart the Process
Unpack & receive boxes
Yes No
Box Jam?
Stop and Clear
Boxes OK?
Return to SEFP No
Yes
Box Filling
Place on shelf in Warehouse
Yes
Underweight?
Remove & Recycle
Unpack Box when required No
Yes No
Overweight?
Remove Excess
Contents OK?
Return to SEFP No
Yes
Lid sealing and close
Place on shelf for sale
Printing Bar Code & Date
End
Stack and Wrap
Truck Loading and Shipping
© Max Zornada (2005)

18. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

19. SEFP’s Box Packing & Fulfilment Process Determining What to Measure
Start
Customer Unload & Check No
Load flat into Flat Feeder
Pallet OK?
Return to SEFP
Yes
Box Folding
Restart the Process
Unpack & receive boxes
Yes No
Box Jam?
Stop and Clear
Boxes OK?
Return to SEFP No
Yes
Box Filling
Place on shelf in Warehouse
Yes
Underweight?
Remove & Recycle
Unpack Box when required No
Yes No
Overweight?
Remove Excess
Contents OK?
Return to SEFP No
Yes
Lid sealing and close
Place on shelf for sale
Printing Bar Code & Date
End
Stack and Wrap
Truck Loading and Shipping
© Max Zornada (2005)

20. Identifying Measures using a CTQ Tree Y = f(x)
Brainstorm things that could affect the outcome. Refer previous analysis.
Number & %
Box Jams in Process
Identify measures for each of the things that can affect the outcome (the x’s)
Underweight Boxes
Number & %
Box Packaging Cost of Waste
Returned Pallets
The Outcome Measure (Y)
Number & %
Packed Boxes
Number & %
Returned Boxes
Unpacked Boxes
Number & %
© Max Zornada (2005)

21. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Key Steps:-
Key Steps:-
Team charter
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
Key Steps:-
(Fishbone)
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Checksheet
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 2
Step 4
Step 3
Pareto Chart
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

22. The categories in which the data occurs
The Anatomy of a Check Sheet Example: Lost Time Injury Data for a Security Firm
Progressive “Tally” count of each occurrence, collected from raw data or directly from the field
Note: = 1, = 5
Numerical frequency count or summary of the “tally” or occurrences in each category
The categories in which the data occurs
Category
Tally
Frequency 1 2 3 4 5 6 7 8
Allergy
Broken limb
Back/Neck
Concussion
Contusion
Heart Attack
Sprains
Other 8 12 6 14 7 1 23 3 78
Total
Overall Total
© Max Zornada (2005)

23. 20% of the causes account for 80% of the effect!
The Pareto Principle (Also know as the 80/20 Rule): “A few causes account for most of the effect”
Trivial Many
20% of the causes account for 80% of the effect!
Critical Few
Causes
Effect
© Max Zornada (2005)

24. Pareto Analysis Example: Pareto Analysis for SEFP Numbers of Boxes
Critical few towards the Y-Axis
Trivial many trail away from Y-axis
© Max Zornada (2005)

25. Example: Fishbone Diagram (Cause and Effect Analysis)
Brainstorm possible causes and show as feeding into the most appropriate spine.
Example: Fishbone Diagram (Cause and Effect Analysis)
People
Procedures
No communication with warehouse
Credit check takes too long
No procedure for guaranteeing tech and transport
No communication with Sales
No communication with techs
Order entered incorrectly
Unrealistic delivery data quoted
Incorrect item picked
When items come up related to ones already on the diagram. Show as feeding into the appropriate item
Late order delivery
Too many truck out for maintenance
Stock damaged
Truck breakdowns
Out of Stock
Not enough trucks
Item not in stock
Problem of focus placed at the head of the fish
Computer system down
Item ordered not a stocked item
Equipment/Systems
Materials/Environment
© Max Zornada (2005)

26. Fishbone Diagram SEFP Case
People
Procedures
Bar code in wrong place
Equipment/Systems
Materials/Environment
© Max Zornada (2005)

27. Assessing the Cause & Effect Analysis and preparing to collect data
People
Procedures
Check out each potential cause and eliminate ones that can be verified as not happening
Possibly use List Reduction or Multivoting.
Credit check takes too long
No communication with warehouse
No procedure for guaranteeing tech and transport
No communication with Sales
No communication with techs
Order entered incorrectly
Unrealistic delivery data quoted
Incorrect item picked
Late order delivery
Too many truck out for maintenance
Stock damaged
Truck breakdowns
Out of Stock
Data Collection Instrument:
Check Sheet
Not enough trucks
Item not in stock
Computer system down
Item ordered not a stocked item
Category
Tally
Frequency 1 2 3 4 5 6 7 8
Equipment/Systems
Materials/Environment
© Max Zornada (2005)

28. SEPF Pareto Chart of Bar Code Wrong Place Causes10 20
Frequency/ Number of Occurrences 30 40 50 44 27 15 9 5 2
Cause Codes
1. Trip lever sticking
2. Box askew on belt
3. Operator accidental lever trip
4. Box misfeed
5. Print head loose
6. Other
© Max Zornada (2005)

29. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

30. Potential Solutions Matrix
Cost Ranking
Ease of Implementation
% of problem it fixes
Overall Ranking
Potential Solutions
Scale: 0 = None, 1 = Low, 3 = Moderate, 9 = Strong
© Max Zornada (2005)

31. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Key Steps:-
Key Steps:-
Team charter
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 2
Step 3
Step 6
Step 5
Step 4
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Key Steps:-
Define, Measure, Analyse, Improve, Control
After
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

32. Improve: Implement and Check
Implement preferred solution;
Verify effectiveness by checking current performance against original baselines;
Apply statistical comparative methods if necessary.
Before Pareto Chart
After Pareto Chart
© Max Zornada (2005)

33. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Key Steps:-
Team charter
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 2
Step 3
Step 5
Step 4
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
procedure
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

34. Control
Standardise the solution by making it part of the standard procedure for the process;
Update the performance measurement scorecard for the process;
Implement control charts;
Document the project.
© Max Zornada (2005)

35. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

36. Future Plans
Review the previous non-pareto causes to see which ones have upgraded themselves and assess whether these are worth going after;
Review any obvious opportunities to apply the solution in other areas;
Communicate the solution to other parts of the organisation where it may also apply;
Review and document lessons learnt and institutionalise the learning.
© Max Zornada (2005)

37. SEPF Epilogue
The benefit generated by this project was $208,000 per annum. This is $45,000 short of target;
Addressing the next two highest causes could potentially yield the following benefits:
Incorrect coding of contents: $39,000 p.a.
Box not sealed: $34,000 p.a.
I.e. a total of $73,000 p.a. if both eliminated. This would exceed the original target.
Note: The second CTQ characteristic of concern to customers - schedule compliance - amount delivered benefited as a side-effect. The main contributor to incomplete orders was the rejected & returned boxes.
© Max Zornada (2005)

38. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
Objective: Identify and implement the measures required to establish baseline performance and quantify the opportunity.
Objective: Select problem/ opportunity theme, select team members
Objective: Define the Problem/Opportunity, Customers, Customer Requirements, and Process.
Team charter
Key Steps:-
Key Steps:-
Cause and Effect Diagram
Run chart or control chart
Flowchart
Determine what to measure
Understand the measures
Understand Variation
Assess measurement system
Assess process performance
Develop business case
Develop project team charter
Understand Customer Requirements
Understand the Process.
Output: Problem/Opportunity selected, Team members selected.
Output: Team Project Charter, Work Plan, Measurable Customer Requirements, Process Map/Process Analysis
Output: A quantified picture of the current process performance, problem impact. The process sigma rating.
ANALYSE
IMPROVE - I : Generate Potential Solutions
Objective: Identify and verify the root cause(s) of the problem.
Objective: Determine possible solutions that will address the identified root cause(s) of the problem.
Key Steps:-
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
Key Steps:-
Analyse data
Analyse process
Determine potential root causes
Hypothesis Testing
Verify root causes
Potential Solutions
Action Plan
Generate potential solutions
Assess potential solutions
Select preferred solution
Test/Pilot preferred solution
Develop implementation plan
Step 1
Step 3
Step 2
Step 4
Step 5
Step 6
Output: Root cause(s) identified.
Output: Preferred solution or countermeasures
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
Objective: Implement the preferred solution. Confirm that the problem and its root cause(s) have been reduced or eliminated.
Objective: Prevent the problem and its root cause from recurring.
Objectives: Review team effectiveness, plan to address remaining issues and institutionalise the learning.
Key steps:-
Key steps:-
Flowchart
Standard
procedure D M A C I
Before
After
Key Steps:-
Implement preferred solution
Verify effectiveness
Apply comparative methods if necessary.
Standardise the solution (standards & procedures)
Document project
Implement scorecard
Implement controls
Define, Measure, Analyse, Improve, Control
Review remaining project opportunities
Review other applications
Review learnings
Output: Recommendations for future projects and improvements to team processes. Project documentation and learnings “pack”
Output: Confirmation that the best solution to eliminate the problem & its root cause(s) has been implemented.
Output: Solution embedded and “routinised” in relevant process, procedures and standards.
© Max Zornada (2005)

39. Analysing for Root Causes - Revisited
© Max Zornada (2005)

40. Observed Problem - Symptom
Causes and Root Causes
Observed Problem - Symptom
Cause
Not Actionable
The Problem Solving Process
Cause
Not Actionable
Cause
Not Actionable
Root Cause
Actionable
© Max Zornada (2005)

41. South Eastern Food Processors
High level objective:
Reduce costs of box packaging process
Cost of waste
Box Returns
Boxes Underweight
Bar Code Wrong Place
Root Cause
Trigger lever sticking
Solution
Light beam printer trigger
© Max Zornada (2005)

42. South Eastern Food Processors
High level objective:
Reduce costs of box packaging process
Cost of waste
Box Returns
Boxes Underweight
Bar Code Wrong Place
Root Cause
Trigger lever sticking
Solution
Light beam printer trigger
© Max Zornada (2005)

43. South Eastern Food Processors
High level objective:
Reduce costs of box packaging process
Cost of waste
Level 1
Box Returns
Level 2
Boxes Underweight
Bar Code Wrong Place
Level 3
Root Cause
Trigger lever sticking
Level 4
Solution
Light beam printer trigger
Level 5
© Max Zornada (2005)

44. Analysing for Root Causes
Define the problem
Cause & Effect Analysis (Fishbone diagram). Brainstorm possible causes. Vote on most likely.
Collect Data. Outcomes of Fishbone used to design Checksheet or other appropriate data gathering proforma.
Analyse Data using Pareto chart, determine most likely cause.
If cause not actionable, redefine problem to determine causes of this cause. No
Is cause actionable?
Yes
© Max Zornada (2005)

45. Flushing out root causes vs reacting to symptoms
Observed symptom - "The Problem"
Apply problem solving process
Cause found NO
Not a root cause
Is cause actionable ?
YES NO
Does action(s) fix problem ?
Not the right cause
YES
Problem Solved
© Max Zornada (2005)

46. The Root Cause Analysis Process
Define/ Redefine the Problem
Select Pareto Cause as the Problem of Focus
Brainstorm Possible Causes
Root Cause Analysis No
Actionability Test
Collect Data on Possible Causes
Is the Pareto Cause Actionable?
Yes
Apply Pareto Analysis to the Data Collected
Root Cause Found
© Max Zornada (2005)

47. Reference Sheets
© Max Zornada (2005)

48. Generating Improvement Opportunities
Present
Reason
Alternatives
Selection
Improvement
Concerning
Purpose
Place
Sequence
Person
Means
What is done ?
done ?
Can it be
Should it be
Eliminate
Combine or Change
Simplify
done in the
it ?
done there ?
could it be
Where should
done then ?
done by that
done that
When should it
Who should it
How should it
Method
Means of
Questions
Aspects Examined
Why is it
eliminated ?
Where is it
When is it
sequence ?
Who does
How is it
Where else
it be done ?
person ?
way ?
When else
Who else
done by ?
How else
be done ?
be done by ?
© Max Zornada (2005)

49. The 5W2H Questions Who What Where Who does it ? Who is doing it ?
Who should be doing it ?
Who else can do it ?
Who else should do it ?
What to do ?
What is being done ?
What should be done ?
What else should be done ?
Where to do it ?
Where is it done ?
Where should it be done ?
Where else can it be done ?
Where else should it be done ?
When
Why
How
How much?
When to do it ?
When is it done ?
When should it be done ?
What other time can it be done ?
What other time should it be done ?
Why does he/she do it ?
Why do it ?
Why do it there ?
Why do it then ?
Why do it that way ?
How to do it ?
How is it done ?
How should it be done ?
Can this method be used in other areas ?
Is there any other way to do it ?
How much does it cost now ?
What will the cost be after the improvement ?
© Max Zornada (2005)

50. DMAIC Process Storyboard
TEAM FORMATION
DEFINE
MEASURE
ANALYSE
IMPROVE - I : Generate Potential Solutions
IMPROVE - II: Implement and Check
CONTROL - Standardise
FUTURE PLANS
© Max Zornada (2005)

51. Conclusion of Team Based Problem Solving Module
© Max Zornada (2005)