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Lean Six Sigma




   Department of Defense
      Lean Six Sigma

            -Introduction-




                             UNCLASSIFIED
Learning Objectives
      Lean Six Sigma


 Class Introductions
 Review Training Materials and Software
 Establish Code of Conduct, Instructor
  Expectations, and Logistics
 Understand the Adult Learning Environment
 Use data to establish a Lean Six Sigma baseline
  for the class
 Review the Lean Six Sigma improvement process
  and topics to be covered in class




                           2                    UNCLASSIFIED
Class Introductions
        Lean Six Sigma


   Name
   Organization and location
   Years experience with DoD
   Hobby/interest
   Project problem statement
   Expectations




                            3         UNCLASSIFIED
Training Materials and Software
          Lean Six Sigma


 DEPMS: DoD Enterprise        MINITAB:
Performance Management System    Data Analysis
     Document Projects          Requires License
       Research Replicates
                                               www.minitab.com
       Gate Approvals
       DMAIC Templates                   EXCEL:
       Other tools                            Data Analysis
 https://psxl.psteering.com/DEPMS              Requires Data Analysis add-in
                                                    Choose Office-> EXCEL options; Select
Class Materials:                                    Add-ins; Select Analysis ToolPak; click Go.
                                                     Select Analysis ToolPak, click OK.
    Laptop with MINITAB & EXCEL
     Access to DEPMS
                                          Simulation:
     Print-out of Class Slides                Role Instructions
     Web-link to:                             Supply Store
        Student Participant Guide             Document Repository
        Minitab and EXCEL PEs
        DEPMS training (Prework)
        Glossary
                                     4                                        UNCLASSIFIED
Code of Conduct
          Lean Six Sigma


   Everyone participates with equal voice
   High level of participation needed for success
   Single discussions (respect the speaker)
   All ideas welcome
   Confidentiality - what happens here stays here!
   Respect our time together
       Return from breaks/lunch on time
       Use “parking lot” and “ELMO” to manage discussions
       Handle outside business on breaks
   Blackberries / Phones / electronics off or on vibrate
   Function as a team – everyone facilitates at least one
    exercise
   Have fun!
                                  5                          UNCLASSIFIED
Instructor Expectations
            Lean Six Sigma


 Instructors’ expectations are that you will:
      Come to class prepared
      Adhere to the Code of Conduct
      Ask questions and participate
      Practice team leadership and facilitation skills during class
            Teach-backs
            Simulation
            Class Exercises
      Keep an open mind
      Have fun!




                                    6                             UNCLASSIFIED
Classroom Logistics
          Lean Six Sigma


 Class Hours
 Safety
       Fire exits and where to congregate
       Trips and other hazards
   Restroom facilities
   Breaks
   Lunch accommodations
   Others?




                                   7         UNCLASSIFIED
Our Learning Environment
       Lean Six Sigma


   Prework
   Classroom concept lecture / discussion
   Classroom application – Instructor led
   Classroom application – Team lead
   Classroom team teach-back
   Homework assignments
   Homework debrief




                             8               UNCLASSIFIED
How Do We Learn?
   Lean Six Sigma


Retention Rate   Teaching Techniques          Characteristics
                                               Time Pressured
         5%              Presentation
                                               Content Focused
                                                Spray and Pray
        10%                Reading

        20%              Audio-Visual

        30%             Demonstration

        50%              Discussion

        75%         Practice with Feedback      Learner Focused
                                                   Interactive
        80%      Teach Others/Immediate Use     Time-Consuming




                             9                         UNCLASSIFIED
Class Baseline
       Lean Six Sigma



 Statistical Baseline - Our personal knowledge:
      1 – I have never used statistical methods
      3 – I use some data occasionally
      5 – I use data frequently
      7 – I almost always use data and know what to do with it
      9 – I should be teaching this stuff


 Lean Baseline – Our personal knowledge:
      1 – I have never used lean tools/techniques
      3 – I use lean tools sometimes
      5 – I use lean tools a lot
      7 – I always use lean, regardless of the process/environment
      9 – I should be teaching this stuff
                                 10                          UNCLASSIFIED
Course Schedule
                     Lean Six Sigma


    Monday                     Tuesday               Wednesday             Thursday            Friday
                25 Nov
1 – Introduction            Teachbacks               Teachbacks          Teachbacks             Review


                            6 – Measure              6 – Measure         9 - Round 2       13 – OSD Final
2 –Performance
                            Phase                                3 Dec
                                                                         Simulation        Exam
Improvement                            1 Dec
Overview                                                                 10 – Improve
                                                     7– Analyze
                                                                         Phase Cont        14 - Project
                                                     Phase
3 – Management                                                                    10 Dec   Presentations
   Team
                                                                                                     17 Dec
   Change                                            8– Improve          11– Control
   Project                                           Phase               Phase               *Saturday
                                                                 8 Dec                     15 – DA Exam
4 – Define Phase                                                         12 – Class
                                                                                           Prep
                                                                         Review                      18 Dec
5 – Round 1
Simulation                                                                                 16 – DA Final
                                                                                  15 Dec
                                                                                           Exam
              28 Nov



* Optional: Required for the award of the ARMY LSS ASI      11                             UNCLASSIFIED
What We Have Covered
       Lean Six Sigma


 Introduction to class instructors and participants
 Necessary software and training materials
 Code of Conduct, Instructor Expectations, and Class
  Logistics
 An understanding of the learning process, learning
  environment, and LSS learning focus
 Appreciation of our baseline familiarity and comfort level
  working with statistical data and Lean
 Overview of the Lean Six Sigma Course Schedule




                              12                      UNCLASSIFIED
Lean Six Sigma




   Department of Defense
      Lean Six Sigma

                 -Overview-




                              UNCLASSIFIED
Learning Objectives
         Lean Six Sigma


 At the end of this training you will:
      Be aware of DoD policy regarding Lean Six Sigma deployment
      Be aware that Performance Improvement efforts should link to
       enterprise value streams, linking mission and vision
      Appreciate that different deployment models that exist
      Appreciate differences between various project implementation
       strategies and when to use each model
      Be aware of the history of Lean, Six Sigma and Theory of
       Constraints
      Be aware of OSD’s LSS certification requirements




                                  14                         UNCLASSIFIED
Foundation to Lean 6 Sigma
           Lean Six Sigma



Definitions of Insanity:

Doing the same thing over and over
and expecting a different outcome!

AND

Using the same logic to get out of the
trouble that got you there in the first
place!


                            -Albert Einstein

                                     15        UNCLASSIFIED
Policy Overview
        Lean Six Sigma


 Process Improvement Guidelines
 Principles and Tools
 OSD Performance Improvement / LSS Charter
      DepSecDef memo of 11 May 2006
      DepSecDef memo of 30 April 2007
      DoDD 5010.42 15 May 2008
      DoDI 5010.43 17 Jul 2009

 Performance Excellence… A Lean Six Sigma World-
  Class Methodology
 Where to Start…Voice of the Customer
                                  16          UNCLASSIFIED
Performance Improvement Cycle
        Lean Six Sigma

                                      PLANNING
                                    1. Develop Vision,
                                    Mission & Strategy

                                •    Who am I?
                                •    Where am I going?
                                •    What do I need to get
                                     done?


                                                   B.
                                              Implement
                                            Operational Plan                  2. Conduct a Value
RE-ENTRY                                       (Meet my
                                                                               Stream Analysis
                                             commitment)

                                                                              •   How will I get there?
                               A.                                 C.
                        Create & Refine                    Monitor Progress
                        Operational Plan    IMPLEMENTATION    (How am I
                          (What’s my                           doing?)
                            plan?)



                                           D.
                                           Focus D. PIPI
                                                    on (How
                                           Focus on CPI
                                           can I do it again?
                                       (How can can I it again?
                                           How I do do it
                                       How can I do it better?
          4. Align &                       better? How can I
                                          How can I kill it?)          3. Develop
                                           kill it?
         Deploy Goals                                             Structure & Behavior
    •    How will I get                                           •   What will I need?
         people to do it?


                                                      17                                        UNCLASSIFIED
Strategic Alignment
       Lean Six Sigma



 The Define Tollgate requires a linkage to how this
  project aligns to the organizational strategy.

     Include an organizational metric/metrics for which your
      project will help improve

     Refer to your organization’s Strategic Plan and/or other
      referenced documents




                                         Required Define
                                         Phase Deliverable
                                 18                              UNCLASSIFIED
Value Streams & DoD Enterprise
        Lean Six Sigma




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                                 Human Resource Management

                                                                                                    W
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                            Weapon System Lifecycle Management                                      R
                                                                                                    F
                                                                                                    I
                 Real Property & Installation Lifecycle Management
                                                                                                    G
                                                                                                    H
                                                                                                    T
                            Materiel Supply & Service Management
                                                                                                    E
                                                                                                    R
                                      Financial Management
                                                                                                    S


                                        Value Streams
                                           (red and yellow)

                                                      19                                 UNCLASSIFIED
DMAIC Model
Lean Six Sigma




                  20       UNCLASSIFIED
DMAIC Linkages
                        Lean Six Sigma

                                                                                                                                                                                                                                                       Gage R&R
                                                                                                                                                                                         Critical
 Suppliers     Inputs     Process        Outputs                             Customers                                                                                                  Customer
                                                                                                                                                                                      Requirements

                                                                                                                                                   CTQ
   Input, Process
      & Output                                                                                                                                       Defects
                                                                                                                                                                                                Fishbone - Potential X’s & Modes
     Indicators
                                                                                                                                                                                                            Process                         People       Measurement
 Operational
                          Step 3    Step 4
Definitions and                                                                            Data                                                                                                                X4                        X2
  Indicators                  Rework
                                       No                                                                                                                                            Y                                         X3
                                                                                                                                                                                                 X5                                               X1
                                             Yes
               Step 1     Step 2    Step 5           Step 6                                                 Step 7                                                                                     Environment                       Equipment        Materials




                                                                                         ProcessCapabilityofLength
                                             UCL
                                                                                                                                                                                                            XY MATRIX




                                                                                                                                                                                                                                OCC
                                                                                                                                                                                                                                                       Improved Process




                                                                                                                                                                                                             SEV




                                                                                                                                                                                                                                                 RP
                                                                                                                                                                                                                                                 ET
                                                                                                                                                                           Proces




                                                                                                                                                                                                                                                 N
                                                                                                                                                                                                                                                 D
                                                             Process Data
                                                                                                    LSL             USL
                                                                                                                                                  Within
                                                                                                                                                                                    Potential   Potential          Potential          Current
                                                       LSL             599                                                                        Overall
                                                                                                                                                                           s Step    Failure     Failure           Causes             Controls
                                                                                                                                                                                                                                                           Control &
                                                       Target          *

                                             X-bar     USL             601
                                                       Sample Mean 600.072
                                                                                                                                           Potential (Within) Capability
                                                                                                                                                   Cp 0.28
                                                                                                                                                                                     Modes       Effects
                                                       Sample N
                                                       StDev(W
                                                                       100
                                                                ithin) 1.17308
                                                       StDev(Overall) 1.33501
                                                                                                                                                   CPL 0.30
                                                                                                                                                   CPU 0.26
                                                                                                                                                   Cpk 0.26
                                                                                                                                                                           Step 1      M1          Y                  X1
                                             LCL                                                                                               Overall Capability
                                                                                                                                                   Pp 0.25
                                                                                                                                                   PPL 0.27
                                                                                                                                                   PPU 0.23
                                                                                                                                                   Ppk 0.23
                                                                                                                                                                           Step 2      M2          Y                  X2                                 Performance
                        Process Baseline
                                                                                                                                                   Cpm    *




      Pareto                                                                                                                                                               Step 3      M3          Y                  X3

                                                                                                                                                                                                        FMEA
                                                                                  597      598     599     600      601 602          603
                                                        ObservedPerformance
                                                       PPM <LSL 280000.00
                                                                                 Exp. WithinPerform
                                                                                 PPM <LSL 180401.78
                                                                                                   ance   Exp. Overall Perform
                                                                                                          PPM<LSL 210989.32
                                                                                                                              ance
                                                                                                                                                                           Step 4      M4          Y                  X4
Stratification
                                                       PPM >USL 350000.00        PPM >USL 214448.35       PPM>USL 243487.40
                                                       PPM Total 630000.00       PPM Total 394850.13      PPMTotal 454476.72


                                                                                                                                                                           Step 5      M5          Y                  X5
                                                              Baseline
                                                              Capability                                                                                                                                                                                      1



                                                                                                                                                                           21                                                                            UNCLASSIFIED

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OSDGB1

  • 1. Lean Six Sigma Department of Defense Lean Six Sigma -Introduction- UNCLASSIFIED
  • 2. Learning Objectives Lean Six Sigma  Class Introductions  Review Training Materials and Software  Establish Code of Conduct, Instructor Expectations, and Logistics  Understand the Adult Learning Environment  Use data to establish a Lean Six Sigma baseline for the class  Review the Lean Six Sigma improvement process and topics to be covered in class 2 UNCLASSIFIED
  • 3. Class Introductions Lean Six Sigma  Name  Organization and location  Years experience with DoD  Hobby/interest  Project problem statement  Expectations 3 UNCLASSIFIED
  • 4. Training Materials and Software Lean Six Sigma  DEPMS: DoD Enterprise  MINITAB: Performance Management System  Data Analysis  Document Projects  Requires License  Research Replicates  www.minitab.com  Gate Approvals  DMAIC Templates  EXCEL:  Other tools  Data Analysis https://psxl.psteering.com/DEPMS  Requires Data Analysis add-in  Choose Office-> EXCEL options; Select Class Materials: Add-ins; Select Analysis ToolPak; click Go. Select Analysis ToolPak, click OK.  Laptop with MINITAB & EXCEL  Access to DEPMS  Simulation:  Print-out of Class Slides  Role Instructions  Web-link to:  Supply Store  Student Participant Guide  Document Repository  Minitab and EXCEL PEs  DEPMS training (Prework)  Glossary 4 UNCLASSIFIED
  • 5. Code of Conduct Lean Six Sigma  Everyone participates with equal voice  High level of participation needed for success  Single discussions (respect the speaker)  All ideas welcome  Confidentiality - what happens here stays here!  Respect our time together  Return from breaks/lunch on time  Use “parking lot” and “ELMO” to manage discussions  Handle outside business on breaks  Blackberries / Phones / electronics off or on vibrate  Function as a team – everyone facilitates at least one exercise  Have fun! 5 UNCLASSIFIED
  • 6. Instructor Expectations Lean Six Sigma  Instructors’ expectations are that you will:  Come to class prepared  Adhere to the Code of Conduct  Ask questions and participate  Practice team leadership and facilitation skills during class  Teach-backs  Simulation  Class Exercises  Keep an open mind  Have fun! 6 UNCLASSIFIED
  • 7. Classroom Logistics Lean Six Sigma  Class Hours  Safety  Fire exits and where to congregate  Trips and other hazards  Restroom facilities  Breaks  Lunch accommodations  Others? 7 UNCLASSIFIED
  • 8. Our Learning Environment Lean Six Sigma  Prework  Classroom concept lecture / discussion  Classroom application – Instructor led  Classroom application – Team lead  Classroom team teach-back  Homework assignments  Homework debrief 8 UNCLASSIFIED
  • 9. How Do We Learn? Lean Six Sigma Retention Rate Teaching Techniques Characteristics Time Pressured 5% Presentation Content Focused Spray and Pray 10% Reading 20% Audio-Visual 30% Demonstration 50% Discussion 75% Practice with Feedback Learner Focused Interactive 80% Teach Others/Immediate Use Time-Consuming 9 UNCLASSIFIED
  • 10. Class Baseline Lean Six Sigma  Statistical Baseline - Our personal knowledge:  1 – I have never used statistical methods  3 – I use some data occasionally  5 – I use data frequently  7 – I almost always use data and know what to do with it  9 – I should be teaching this stuff  Lean Baseline – Our personal knowledge:  1 – I have never used lean tools/techniques  3 – I use lean tools sometimes  5 – I use lean tools a lot  7 – I always use lean, regardless of the process/environment  9 – I should be teaching this stuff 10 UNCLASSIFIED
  • 11. Course Schedule Lean Six Sigma Monday Tuesday Wednesday Thursday Friday 25 Nov 1 – Introduction Teachbacks Teachbacks Teachbacks Review 6 – Measure 6 – Measure 9 - Round 2 13 – OSD Final 2 –Performance Phase 3 Dec Simulation Exam Improvement 1 Dec Overview 10 – Improve 7– Analyze Phase Cont 14 - Project Phase 3 – Management 10 Dec Presentations Team 17 Dec Change 8– Improve 11– Control Project Phase Phase *Saturday 8 Dec 15 – DA Exam 4 – Define Phase 12 – Class Prep Review 18 Dec 5 – Round 1 Simulation 16 – DA Final 15 Dec Exam 28 Nov * Optional: Required for the award of the ARMY LSS ASI 11 UNCLASSIFIED
  • 12. What We Have Covered Lean Six Sigma  Introduction to class instructors and participants  Necessary software and training materials  Code of Conduct, Instructor Expectations, and Class Logistics  An understanding of the learning process, learning environment, and LSS learning focus  Appreciation of our baseline familiarity and comfort level working with statistical data and Lean  Overview of the Lean Six Sigma Course Schedule 12 UNCLASSIFIED
  • 13. Lean Six Sigma Department of Defense Lean Six Sigma -Overview- UNCLASSIFIED
  • 14. Learning Objectives Lean Six Sigma  At the end of this training you will:  Be aware of DoD policy regarding Lean Six Sigma deployment  Be aware that Performance Improvement efforts should link to enterprise value streams, linking mission and vision  Appreciate that different deployment models that exist  Appreciate differences between various project implementation strategies and when to use each model  Be aware of the history of Lean, Six Sigma and Theory of Constraints  Be aware of OSD’s LSS certification requirements 14 UNCLASSIFIED
  • 15. Foundation to Lean 6 Sigma Lean Six Sigma Definitions of Insanity: Doing the same thing over and over and expecting a different outcome! AND Using the same logic to get out of the trouble that got you there in the first place! -Albert Einstein 15 UNCLASSIFIED
  • 16. Policy Overview Lean Six Sigma  Process Improvement Guidelines  Principles and Tools  OSD Performance Improvement / LSS Charter  DepSecDef memo of 11 May 2006  DepSecDef memo of 30 April 2007  DoDD 5010.42 15 May 2008  DoDI 5010.43 17 Jul 2009  Performance Excellence… A Lean Six Sigma World- Class Methodology  Where to Start…Voice of the Customer 16 UNCLASSIFIED
  • 17. Performance Improvement Cycle Lean Six Sigma PLANNING 1. Develop Vision, Mission & Strategy • Who am I? • Where am I going? • What do I need to get done? B. Implement Operational Plan 2. Conduct a Value RE-ENTRY (Meet my Stream Analysis commitment) • How will I get there? A. C. Create & Refine Monitor Progress Operational Plan IMPLEMENTATION (How am I (What’s my doing?) plan?) D. Focus D. PIPI on (How Focus on CPI can I do it again? (How can can I it again? How I do do it How can I do it better? 4. Align & better? How can I How can I kill it?) 3. Develop kill it? Deploy Goals Structure & Behavior • How will I get • What will I need? people to do it? 17 UNCLASSIFIED
  • 18. Strategic Alignment Lean Six Sigma  The Define Tollgate requires a linkage to how this project aligns to the organizational strategy.  Include an organizational metric/metrics for which your project will help improve  Refer to your organization’s Strategic Plan and/or other referenced documents Required Define Phase Deliverable 18 UNCLASSIFIED
  • 19. Value Streams & DoD Enterprise Lean Six Sigma g in et g re in g on u n d ct t ce t n u ti en or & en u B la ta op & an el tr sp e m m P , g an ag n el n as n re on in n ev ig te Tr tor fr so n cu al es si n In n er g ai is S D ro la Le M M P IT P D P Human Resource Management W A Weapon System Lifecycle Management R F I Real Property & Installation Lifecycle Management G H T Materiel Supply & Service Management E R Financial Management S Value Streams (red and yellow) 19 UNCLASSIFIED
  • 20. DMAIC Model Lean Six Sigma 20 UNCLASSIFIED
  • 21. DMAIC Linkages Lean Six Sigma Gage R&R Critical Suppliers Inputs Process Outputs Customers Customer Requirements CTQ Input, Process & Output Defects Fishbone - Potential X’s & Modes Indicators Process People Measurement Operational Step 3 Step 4 Definitions and Data X4 X2 Indicators Rework No Y X3 X5 X1 Yes Step 1 Step 2 Step 5 Step 6 Step 7 Environment Equipment Materials ProcessCapabilityofLength UCL XY MATRIX OCC Improved Process SEV RP ET Proces N D Process Data LSL USL Within Potential Potential Potential Current LSL 599 Overall s Step Failure Failure Causes Controls Control & Target * X-bar USL 601 Sample Mean 600.072 Potential (Within) Capability Cp 0.28 Modes Effects Sample N StDev(W 100 ithin) 1.17308 StDev(Overall) 1.33501 CPL 0.30 CPU 0.26 Cpk 0.26 Step 1 M1 Y X1 LCL Overall Capability Pp 0.25 PPL 0.27 PPU 0.23 Ppk 0.23 Step 2 M2 Y X2 Performance Process Baseline Cpm * Pareto Step 3 M3 Y X3 FMEA 597 598 599 600 601 602 603 ObservedPerformance PPM <LSL 280000.00 Exp. WithinPerform PPM <LSL 180401.78 ance Exp. Overall Perform PPM<LSL 210989.32 ance Step 4 M4 Y X4 Stratification PPM >USL 350000.00 PPM >USL 214448.35 PPM>USL 243487.40 PPM Total 630000.00 PPM Total 394850.13 PPMTotal 454476.72 Step 5 M5 Y X5 Baseline Capability 1 21 UNCLASSIFIED