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European Students of Industrial Engineering and Management
www.estiem.org
Improve
for publication
1
European Students of Industrial Engineering and Management
www.estiem.org
It’s Feedback time!
2
Persons giving feedback
Link to the feedback form
(can be found on Schoology and
WhatsApp)
Instructor to give feedback toPersons giving feedback
INSTRUCTOR 1
INSTRUCTOR 2
European Students of Industrial Engineering and Management
www.estiem.org
“Improvement happens project by project
and in no other way”
-Joseph M. Juran
3
European Students of Industrial Engineering and Management
www.estiem.org
Today we talk about how to successfully
choose improvements and implement them
Improve Control
4
European Students of Industrial Engineering and Management
www.estiem.org
What is the purpose of the improve
phase?
Improvement Recommendations
based in objective data
European Students of Industrial Engineering and Management
www.estiem.org
Improve phase tends to follow a specific
chain of thinking
Filter the most
important X’s
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
?
6
European Students of Industrial Engineering and Management
www.estiem.org
Several tools link to the Improve phase, which
help you to structure your improvement work.
Your turn to try to name a few
improvement tools!
European Students of Industrial Engineering and Management
www.estiem.org
Now, let’s go through the improve model piece
by piece.
We’ll also link tools to the phases of the
improvement model
European Students of Industrial Engineering and Management
www.estiem.org
Improvement phase tends to follow a specific
phase of thinking
Filter the most
important X’s
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
?
9
European Students of Industrial Engineering and Management
www.estiem.org
First, where did we get the priorized X’s?
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
Filter the most
important X’s
11
European Students of Industrial Engineering and Management
www.estiem.org
First, where did we get the priorized X’s?
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
Filter the most
important X’s
PPA
12
European Students of Industrial Engineering and Management
www.estiem.org
Improvement phase tends to follow a specific
phase of thinking
Filter the most
important X’s
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
?
13
European Students of Industrial Engineering and Management
www.estiem.org
Identifying and prioritization tend to follow a
‘creative dialog’ process
TIME
NUMBEROF
OPTIONS
Opening Sorting Closing
14
European Students of Industrial Engineering and Management
www.estiem.org
Let’s go through an example of the ’creative dialog’ process.
We will walk you through a tool called
Affinity Mapping
European Students of Industrial Engineering and Management
www.estiem.org
First, remember that often you don’t start
the identification from scratch!
16
Fishbone
diagram
PPA
Deployment
Diagram
Several
others …
Prioritized sources
of variation from
the Analyze phase
Use to get ideas for the
improvement opportunities
European Students of Industrial Engineering and Management
www.estiem.org
Affinity mapping step 1 – Gathering ideas:
17
European Students of Industrial Engineering and Management
www.estiem.org
Affinity mapping step 2 – sorting ideas
18
European Students of Industrial Engineering and Management
www.estiem.org
Affinity mapping step 3 – Labeling groups
Red Ideas Yellow Ideas Blue Ideas Green Ideas
Grouping depend on the case, but can be e.g. linked to the process step
19
European Students of Industrial Engineering and Management
www.estiem.org
We have now identified ideas for improvement,
sorted them and labeled them
What kind of methods could we use to
prioritize the options?
European Students of Industrial Engineering and Management
www.estiem.org
The prioritization tools can take many forms,
and all methods have their pros and cons
Payoff-effort
matrix
Prioritization
matrix
Voting Gut feeling
21
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
Potential
payoff
Estimated effort
22
European Students of Industrial Engineering and Management
www.estiem.org
Potential
payoff
Estimated effort
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
23
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
Potential Project Potential
Benefit
Capital
Required?
Culture
Change?
Strategic
Priority?
Sponsor
Support?
Score Rank
Prioritization criteria can change case-by-case
Score can be calculated or be result of voting
24
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
Should everyone have an equal vote?
Should everyone have one vote?
25
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
Should everyone have an equal vote?
Voting is based on opinions, so equal vote might
not reflect the actual prioritization, while just
one vote might not reflect the weights.
Should everyone have one vote?
26
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
How would you consider voting fits to the
scale ranging from opinion-based to data-
driven decision making?
”Theory O”
Opinion-based
Data-based
Objective
27
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
Remember, the plural of opinions is NOT data
Voting is as good as the opinions of the participants
”Theory O”
Opinion-based
Data-based
Objective
28
European Students of Industrial Engineering and Management
www.estiem.org
Payoff-effort
matrix
Voting
Prioritization
matrix
Gut feeling
Surprisingly often happens when the
improvement prioritization is not structured
Choose a more structured way
whenever possible
29
European Students of Industrial Engineering and Management
www.estiem.org
Implementation Plan Example
Action Responsible Target Status/Date
Page: 1 of 1
Revision date:
Current state
Goal
Focus Area
30
European Students of Industrial Engineering and Management
www.estiem.org
Time to work…
31
European Students of Industrial Engineering and Management
www.estiem.org
SPONSOR MESSAGE
32
European Students of Industrial Engineering and Management
www.estiem.org
Improvement phase tends to follow a specific
phase of thinking
Filter the most
important X’s
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
?
33
European Students of Industrial Engineering and Management
www.estiem.org
Piloting and validation can be done using
several methods
Demonstration
test
Process
laboratory
Simulation Benchmark
34
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Conduct physical experiments, which
aim demonstrate the effects of
the changes in the process with data
35
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Improvement team
proposed actions to
reduce cycle time in a
process.
Cycle time of process
can be compared e.g.
by observing boxplots
36
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Experiment the changes by observing
workers doing the actual routine operations
Often observations are done remotely,
e.g. through video camera
37
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Process laboratory
is one type of
demonstration test
38
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Use computer models to simulate
expected outcomes of the process
39
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
What should be simulated?
40
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Whenever you can use real-life data: Use It!
E.g. 1. Building a new production line
2. Optimize logistic roads
41
European Students of Industrial Engineering and Management
www.estiem.org
Demonstration
test
Simulation
Process
laboratory
Benchmark
Compare performance
to similar processes
either inside or outside of the company
42
European Students of Industrial Engineering and Management
www.estiem.org
Time to work…
43
European Students of Industrial Engineering and Management
www.estiem.org
SPONSOR MESSAGE
44
European Students of Industrial Engineering and Management
www.estiem.org
Improve phase tends to follow a specific
chain of thinking
Filter the most
important X’s
Recommendations for
improvement validated
Input
Output
Identify alternatives
for improvement
Prioritize the
improvement
opportunities
Pilot & validate the
improvements
with data
Decision to go
forward or continue
searching
?
45
European Students of Industrial Engineering and Management
www.estiem.org
It’s Feedback time!
46
Persons giving feedback
Link to the feedback form
(can be found on Schoology and
WhatsApp)
Instructor to give feedback toPersons giving feedback
INSTRUCTOR 1
INSTRUCTOR 2
European Students of Industrial Engineering and Management
www.estiem.org
It’s Feedback time!
Feedback box
47
European Students of Industrial Engineering and Management
www.estiem.org
Usage license of the
materials
https://creativecommons.org/licenses/by-nc/4.0/legalcode
Contact leansixsigma@estiem.org
for commercial usage of the materials
Materials of the trainings have been created based on the materials provided by
ESTIEM Summer Academy Professor Gregory H. Watson

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08 - Improve - ESTIEM Lean Six Sigma Green Belt Course

  • 1. European Students of Industrial Engineering and Management www.estiem.org Improve for publication 1
  • 2. European Students of Industrial Engineering and Management www.estiem.org It’s Feedback time! 2 Persons giving feedback Link to the feedback form (can be found on Schoology and WhatsApp) Instructor to give feedback toPersons giving feedback INSTRUCTOR 1 INSTRUCTOR 2
  • 3. European Students of Industrial Engineering and Management www.estiem.org “Improvement happens project by project and in no other way” -Joseph M. Juran 3
  • 4. European Students of Industrial Engineering and Management www.estiem.org Today we talk about how to successfully choose improvements and implement them Improve Control 4
  • 5. European Students of Industrial Engineering and Management www.estiem.org What is the purpose of the improve phase? Improvement Recommendations based in objective data
  • 6. European Students of Industrial Engineering and Management www.estiem.org Improve phase tends to follow a specific chain of thinking Filter the most important X’s Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching ? 6
  • 7. European Students of Industrial Engineering and Management www.estiem.org Several tools link to the Improve phase, which help you to structure your improvement work. Your turn to try to name a few improvement tools!
  • 8. European Students of Industrial Engineering and Management www.estiem.org Now, let’s go through the improve model piece by piece. We’ll also link tools to the phases of the improvement model
  • 9. European Students of Industrial Engineering and Management www.estiem.org Improvement phase tends to follow a specific phase of thinking Filter the most important X’s Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching ? 9
  • 10. European Students of Industrial Engineering and Management www.estiem.org First, where did we get the priorized X’s? Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching Filter the most important X’s 11
  • 11. European Students of Industrial Engineering and Management www.estiem.org First, where did we get the priorized X’s? Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching Filter the most important X’s PPA 12
  • 12. European Students of Industrial Engineering and Management www.estiem.org Improvement phase tends to follow a specific phase of thinking Filter the most important X’s Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching ? 13
  • 13. European Students of Industrial Engineering and Management www.estiem.org Identifying and prioritization tend to follow a ‘creative dialog’ process TIME NUMBEROF OPTIONS Opening Sorting Closing 14
  • 14. European Students of Industrial Engineering and Management www.estiem.org Let’s go through an example of the ’creative dialog’ process. We will walk you through a tool called Affinity Mapping
  • 15. European Students of Industrial Engineering and Management www.estiem.org First, remember that often you don’t start the identification from scratch! 16 Fishbone diagram PPA Deployment Diagram Several others … Prioritized sources of variation from the Analyze phase Use to get ideas for the improvement opportunities
  • 16. European Students of Industrial Engineering and Management www.estiem.org Affinity mapping step 1 – Gathering ideas: 17
  • 17. European Students of Industrial Engineering and Management www.estiem.org Affinity mapping step 2 – sorting ideas 18
  • 18. European Students of Industrial Engineering and Management www.estiem.org Affinity mapping step 3 – Labeling groups Red Ideas Yellow Ideas Blue Ideas Green Ideas Grouping depend on the case, but can be e.g. linked to the process step 19
  • 19. European Students of Industrial Engineering and Management www.estiem.org We have now identified ideas for improvement, sorted them and labeled them What kind of methods could we use to prioritize the options?
  • 20. European Students of Industrial Engineering and Management www.estiem.org The prioritization tools can take many forms, and all methods have their pros and cons Payoff-effort matrix Prioritization matrix Voting Gut feeling 21
  • 21. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling Potential payoff Estimated effort 22
  • 22. European Students of Industrial Engineering and Management www.estiem.org Potential payoff Estimated effort Payoff-effort matrix Voting Prioritization matrix Gut feeling 23
  • 23. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling Potential Project Potential Benefit Capital Required? Culture Change? Strategic Priority? Sponsor Support? Score Rank Prioritization criteria can change case-by-case Score can be calculated or be result of voting 24
  • 24. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling Should everyone have an equal vote? Should everyone have one vote? 25
  • 25. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling Should everyone have an equal vote? Voting is based on opinions, so equal vote might not reflect the actual prioritization, while just one vote might not reflect the weights. Should everyone have one vote? 26
  • 26. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling How would you consider voting fits to the scale ranging from opinion-based to data- driven decision making? ”Theory O” Opinion-based Data-based Objective 27
  • 27. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling Remember, the plural of opinions is NOT data Voting is as good as the opinions of the participants ”Theory O” Opinion-based Data-based Objective 28
  • 28. European Students of Industrial Engineering and Management www.estiem.org Payoff-effort matrix Voting Prioritization matrix Gut feeling Surprisingly often happens when the improvement prioritization is not structured Choose a more structured way whenever possible 29
  • 29. European Students of Industrial Engineering and Management www.estiem.org Implementation Plan Example Action Responsible Target Status/Date Page: 1 of 1 Revision date: Current state Goal Focus Area 30
  • 30. European Students of Industrial Engineering and Management www.estiem.org Time to work… 31
  • 31. European Students of Industrial Engineering and Management www.estiem.org SPONSOR MESSAGE 32
  • 32. European Students of Industrial Engineering and Management www.estiem.org Improvement phase tends to follow a specific phase of thinking Filter the most important X’s Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching ? 33
  • 33. European Students of Industrial Engineering and Management www.estiem.org Piloting and validation can be done using several methods Demonstration test Process laboratory Simulation Benchmark 34
  • 34. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Conduct physical experiments, which aim demonstrate the effects of the changes in the process with data 35
  • 35. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Improvement team proposed actions to reduce cycle time in a process. Cycle time of process can be compared e.g. by observing boxplots 36
  • 36. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Experiment the changes by observing workers doing the actual routine operations Often observations are done remotely, e.g. through video camera 37
  • 37. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Process laboratory is one type of demonstration test 38
  • 38. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Use computer models to simulate expected outcomes of the process 39
  • 39. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark What should be simulated? 40
  • 40. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Whenever you can use real-life data: Use It! E.g. 1. Building a new production line 2. Optimize logistic roads 41
  • 41. European Students of Industrial Engineering and Management www.estiem.org Demonstration test Simulation Process laboratory Benchmark Compare performance to similar processes either inside or outside of the company 42
  • 42. European Students of Industrial Engineering and Management www.estiem.org Time to work… 43
  • 43. European Students of Industrial Engineering and Management www.estiem.org SPONSOR MESSAGE 44
  • 44. European Students of Industrial Engineering and Management www.estiem.org Improve phase tends to follow a specific chain of thinking Filter the most important X’s Recommendations for improvement validated Input Output Identify alternatives for improvement Prioritize the improvement opportunities Pilot & validate the improvements with data Decision to go forward or continue searching ? 45
  • 45. European Students of Industrial Engineering and Management www.estiem.org It’s Feedback time! 46 Persons giving feedback Link to the feedback form (can be found on Schoology and WhatsApp) Instructor to give feedback toPersons giving feedback INSTRUCTOR 1 INSTRUCTOR 2
  • 46. European Students of Industrial Engineering and Management www.estiem.org It’s Feedback time! Feedback box 47
  • 47. European Students of Industrial Engineering and Management www.estiem.org Usage license of the materials https://creativecommons.org/licenses/by-nc/4.0/legalcode Contact leansixsigma@estiem.org for commercial usage of the materials Materials of the trainings have been created based on the materials provided by ESTIEM Summer Academy Professor Gregory H. Watson