1. Toll Gate Review: Define
Project has been confirmed as a valid improvement priority and is supported by management.
A business case has been prepared, showing the potential business impact of this project in financial terms.
A problem statement has been prepared and agreed.
Objectives defining the results we are expecting from this project have been stated in the form of measurable targets.
A full Project Charter has been prepared including a preliminary plan/schedule.
The charter has been reviewed with the project sponsor and their support has been confirmed.
The primary customer(s) and their key requirements have been identified.
The process concerned has been documented in the form of a SIPOC.
The process concerned has been documented in the form of a process map and/or value stream map.
© Max Zornada

2. Toll Gate Review: Measure
Determined what we need to know about the process and where in the process we can get the data.
Identified the types of measures we want to collect and have a balance of input, process, output and leading indicators.
Developed clear operational definitions of the things we want to measure.
Clarified stratification factors we need to identify to facilitate data analysis.
Identified what data needs to be collected as new data vs utilising data that is already recorded.
Identified appropriate sample sizes, subgroup quantities and sampling frequencies to ensure we get an adequate representation of the process.
Used our data to establish the process baselines - stability, capability, sigma level and yield.
© Max Zornada

3. Toll Gate Review: Analyse
Identified potential root causes and/or sources of variation using analysis phase tools and techniques such as Root Cause Analysis, 5 why’s, Fishbone analysis etc.?
Analysed data to look for evidence of events, time based behaviour and understand unique characteristics?
Analysed process features and their relationship to potential root causes and sources of variation?
Verified root causes/sources of variation using verification tools?
Used Lean tools and techniques to identify waste?
Constructed a Value Stream Map and conducted a Value Stream Analysis?
Explicitly stated what are the root causes and/or sources of variation to be addressed by this project?
Have you made any revisions to the charter? In particular, how have the objectives and scope changed?
Can you quantify and state the opportunity represented by continuing with this project? addressing the problem? Ie. Impact on customer satisfaction, revenues, costs, COQ etc.
© Max Zornada
Further reproduction is limited to internal company use only.

4. Toll Gate Review: Improve
Potential solutions have been generated and assessed.
A preferred solution has been selected and a back-up solution identified.
If the solution implementation timeframe is relatively long, some possible interim countermeasures that can be implemented quickly have been identified.
Solution has been verified with and is supported by our sponsor. Approval to proceed has been received.
A plan has been developed for piloting and testing the solution, including a pilot strategy, action plan, risk assessment, results assessment and schedule.
A test/pilot has been conducted. Results confirm that the proposed solution will be effective.
Refinements have been identified and implemented to the solution based on the lessons from the pilot
A plan has been developed to expand the solution to full implementation.
Potential problems and unintended consequences of the solution have been considered, preventive and contingent actions have been developed to address them.
© Max Zornada
Further reproduction is limited to internal company use only.

5. Toll Gate Review: Control
Compiled results data confirming that our improvement/design has achieved the goal define in our project charter.
Selected ongoing measures to monitor performance of the process and continued effectiveness of our solution/design.
Determined key graphs/charts for a process “scorecard” or “ dashboard”.
Prepared all required documentation of the revised process including key procedures and process maps.
Prepared a full Process Management Control Plan
Identified an “owner” of the process who will take over responsibility for the solution/design and ongoing process management.
Updated the storyboard and project documentation, recording the team’s work to and key learnings.
© Max Zornada
Further reproduction is limited to internal company use only.

6. Toll Gate Review: Control
Forwarded to senior management other issues/opportunities which we were not able to address as part of this project.
Documented a future plan based on learnings from this project identifying additional opportunities :
Identified as part of this project that would be logical extensions (upgraded non-pareto items);
To apply the solution/design and learnings of this project to other parts of the organisation experiencing similar problems.
Formal project close out and sponsor/process owner acceptance
Celebrate the hard work and conclusion of the project.
© Max Zornada
Further reproduction is limited to internal company use only.

7. Lean Six Sigma Improvement Project Charter
Project Title
Process
Expected Financial Impact
Green Belt
Telephone Number
Champion
Organization/Function
Start Date
Target Completion Date
Problem/Opportunity
What is the Problem to be solved or the opportunity this project will exploit.
Definition
Improvement target, impact on Sigma, COQ/COPQ and Customer Satisfaction.
Objective
Primary Metric
Current:
Target:
Metrics
Secondary Metric
Current:
Target:
Business Case
What improvement in business performance is expected. $ impact and by when.
Who are the team members and key experts to be consulted.
Team Members
Project Scope
Which part of the process will be investigated
Who are the customers.What benefits will they see,what are the most critical requirements.
Customer Benefit
Define completion
Schedule
What are key milestone dates for completion of each stage.
Measure completion
Analyse
completion
Improve completion
Control completion
Project Completion
© Max Zornada

8. Gantt Chart Working Plan Development
People
Task 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27
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9. Process Flow Analysis Chart
Date
Process Name
Page of
Operation
Inspection
Transport
Estimated Time
Quantity
Distance
Description
Delay
Store
Notes D D D D D D D D D D D D D D D D D D D D
© Max Zornada D

10. Sample Data Collection Plan Format
Other data to collect at same time
Measure
Operational Definition
Data Source
Sample Size
Who will collect
When to collect
How to Collect
How will data be used?
How will data be displayed?
e.g.
Calculate process capability
Determine if process is stable
Assess if normally distributed
Determine Correlations
e.g.
Box plot
Histogram
Control chart
Scatter plot
© Max Zornada

11. Sample Size Selection – Daily Data
Daily Processing Quantity
Minimum Daily Sample Size
Peter S. Pande, Robert P. Neuman, Roland R. Cavanagh, “The Six Sigma Way: Team Fieldbook”
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12. Sample Size Selection – Weekly Data
Weekly Processing Quantity
Minimum Weekly Sample Size
Peter S. Pande, Robert P. Neuman, Roland R. Cavanagh, “The Six Sigma Way: Team Fieldbook”
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13. Sigma Conversion Table
Note: Assumes 1 defect = 1 defective with a 1.5 Sigma Shift
From Pande et al, “The Six Sigma Way Field Book”
© Max Zornada
© Max Zornada
Slide 13
Further reproduction is limited to internal company use only.
Further reproduction is limited to internal company use only.

14. Calculating Sigma Level
Select the process, unit and requirements:
Identify the process you want to evaluate?
What is the “thing” produced by the process?
What are the customer requirements for the thing?
Define what a “defect” is and the number of opportunities:
Possible defects:
How many defects could be found on a single unit?
Collect Data and Calculate DPMO
Collect end-of-process data:
No. of Units counted Total defects counted
Determine total opportunities in data collected:
Units counted x Opportunities/Unit = Total Opportunities
Calculate DPMO:
DPMO = (Defects/Total Opportunities) x 106 = DPMO
Convert to a Sigma Level using a conversion table.
Estimated Sigma Level =
(Process)
(Unit)
© Max Zornada
© Max Zornada
Slide 14
Further reproduction is limited to internal company use only.
Further reproduction is limited to internal company use only.

15. Exercise: Yields in Process Operations
© Max Zornada
© Max Zornada
Slide 15

16. Kepner – Tregoe Methods: Is – Is Not AnalysisSO
THEN
Performance Deviation
Closest Logical Comparison
What is distinctive about ….
Does this suggest a change?
Specific Questions
Identity
Location
Timing
Magnitude
What is the unit with the problem?
What is the problem?
Where is the problem observed? (geographically)
Where is the problem observed on the unit?
When was the problem first observed?
When has it been observed since?
When in the operating cycle of the unit is the problem observed?
What is the extent of the problem?
How many units are affected? (scope of effect)
How much of any one unit affected?
WHAT?
WHERE?
WHEN?
HOW MUCH?
© Max Zornada

17. Wastes in a Hospital Environment
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18. Wastes in a Hospital Environment (cont.)
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19. © Max Zornada

20. Value Stream Map: HTLC Case Study
© Max Zornada
Further reproduction is limited to internal company use only.

21. © Max Zornada

22. Practical Problem Solving - A3 Storyboard
I. Background
V. Proposed Countermeasures
Problem statement
Background of the problem/ Context for understanding
Importance of problem
What is your proposal to achieve the future state or target condition.
Diagram of proposed new procedures
What are the Countermeasures
How will the Countermeasures effect the root cause(s)
II. Current Conditions
Diagram of current situation (or process)
Clarify the problem
Measure
Actions taken to contain the problem
Show visually with graphs, charts, proces maps etc.
VI. Implementation Plan
III. Goals/Targets or Target Condition
What activities will be required for implementation?
Who, What, When, Where. How?
Develop Gantt chart of tabular form.
What are the indicators of progress?
What will is cost and what will the benefits be?
Step 1
Step 2
Step 3
Step 4
Step 5
Step 6
What is the goal or target?
What does “good” or “success” look like?
What measures to determine whether we got success?
What specific outcomes are required?
IV. Analysis
List potential causes
Identify most likely direct (or root) cause
Use 5 Why’s
Problem
Apparent cause
Root cause
Countermeasure
VII. Follow-up
Cause and Effect Diagram
(Fishbone)
Pareto Chart
Checksheet
How will you check the effects/results?
When will you check them?
What issues can be anticipated, are they as predicted?
Capture and share the learning. P D C A
© Max Zornada

23. Practical Problem Solving - A3 Storyboard
I. Background
V. Proposed Countermeasures
II. Current Conditions
VI. Implementation Plan
III. Goals/Targets or Target Condition
IV. Analysis
VII. Follow-up P D C A
© Max Zornada

24. SEFP - Re-imagined using the A3 PPS Storyboard
I. Background
V. Proposed Countermeasures
Cost of Box Packaging operations are too high at $3.09/box vs target of $2.75 and not sustainable in the long term.
Potential Solutions Matrix
Assessment of potential solutions. Selection of preferred solution.
Identification of potential “containment” measures.
II. Current Conditions
Process Map
Customer Requirements
Pareto Analysis of Waste
VI. Implementation Plan
Gantt Chart/Implementation Plan
III. Goals/Targets or Target Condition
Update Standardise Work
Update Visual Management if required
Deliver training if required.
The objective of this project is to reduce the cost of waste to 50% of the current level, from 25% of total cost to 14% of total cost.
IV. Analysis
Pareto Analysis
Final Pareto Chart
VII. Follow-up
Fishbone Analysis
Verification of Solution Effectiveness
Future Plans
Document the project to capture learning
Post and display completed A3.
Root Cause Found
© Max Zornada

25. © Max Zornada

26. © Max Zornada Process Management & Control System Process Name:
Primary Customer of Process:
Customer’s
CTQs :
Outcome Indicators ( Ys ):
Outcome Indicators (Ys)
Upstream Indicators (Xs)
Misc. Information
Process Map
Capturing Data
- Indicator Formula
- Procedures
- Abbreviations
- Comments
Name
Numerator & Denominator or Description
Position
Name
Numerator & Denominator or Description
Indicator Chart Type
Physical Item to Check
When to
check
Who performs check
Recovery Action
Step/
Time
Rev #
Date
Change Log –
Describe Revisions By
© Max Zornada

27. © Max Zornada Process Management & Control System Process Name:
Primary Customer of Process:
Customer’s
CTQs :
Outcome Indicators ( Ys ):
Outcome Indicators (Ys)
Upstream Indicators (Xs)
Misc. Information
Process Map
Capturing Data
- Indicator Formula
- Procedures
- Abbreviations
- Comments
Name
Numerator & Denominator or Description
Position
Name
Numerator & Denominator or Description
Indicator Chart Type
Physical Item to Check
When to
check
Who performs check
Recovery Action
Step/
Time
Rev #
Date
Change Log –
Describe Revisions By
© Max Zornada

28. © Max Zornada

29. Each data point is based on a sample of 3
The average of each sample – plotted on the x-bar chart
The Range of each sample. Plotted on the R-chart
ie. Largest value in the sample minus the smallest value
64-43 = 21
Special Cause
UCL
LCL
UCL
© Max Zornada
LCL = 0

30. Nomograph of the cumulative binomial distribution
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31. © Max Zornada

32. © Max Zornada

33. © Max Zornada

34. © Max Zornada