Primary: Value-added work directly related to what the customer pays for. Support: Purchasing, maintenance, transportation to point-of-sale, moving and tracking material between value-added steps, administration, etc. Developmental: Design, assessment, and marketing efforts to provide new services or products, training new job skills.
Comment on the flow of information as a separate process. How could it be done differently?
Follow up on the flow of information process. What inefficiencies are exhibited here? What is required for second tier suppliers to see the OEM needs directly?
Comment on how exceptions might be handled – separate process? What about having a set of processes represented by a single step that can be expanded if that step is the one that appears to need the most improvement?
Pages 50 through 52 in the text.
Pages 50 through 52 in the text.
Review differences between value-added and other activities. Good place to point out that unnecessary movement between value-added steps often requires tracking, counting, and storing of inventories. Decision points do not add value, take time
Loops take time, do not add value. Work to eliminate them, particularly if they occur frequently.
“ Underperformers” that have poor yields, take too long, use unnecessary resources, etc.
Symptomatic – exist because of problems that shouldn’t be there.
Car X: 0.2 cars/hour Car Y: 0.2 cars/hour
Car X: 133.33 Car Y: 135.714
Here the actual and standard values represent output or output rate.
Called “takt” time in Germany. Can be considered as the “pulse” or “heartbeat” of the process. Throughput is controlled by the cycle time, but is also affected by how many units can be processed together.
J. Womack, D. Jones, and D. Roos, The Machine That Changed the World: How Japan’s Secret Weapon in the Global Auto Wars Will Revolutionize Western Industry , New York, HarperPerennial, 1991.
Harbour Report North America 1999, http://www.harbourinc.com Note changes since 1998 discussed in the text on page 61.
The core value defect level is based on allowing the mean of a process to drift to within about 4.5 standard deviations of either specification limit. A true six sigma variation around a mean centered within specifications would correspond to a defect level of 2 parts per billion.
DMAIC is an updated version of the PDSA (Plan-Do-Study-Act) process developed by Walter Shewhart and later promoted by W. Edwards Deming as the PDCA (Plan-Do-Check-Act) process for improvement