1. DHL Supply Chain
Continuous improvement projects in Supply
Chain HealthCare: The power of documented
process flows
Abstract
If you want to make a statement these days just talk about
continuous improvement. Indeed, about these powerful words a
lot can be said. Everyone agrees to work on continuous
improvement, but how to start if there is no basis or reference to
refer too. Every process, despite its complexity, should be
documented in a process flow chart as an overview, as a SIPOC
and including supportive tools – those need to be described in
detail. As outcome of measurements (Pareto), KPI can be used as
an instrument towards management involvement and eventually
towards continuous improvement. Article by
Geert Appeltans
Continuous improvement process steps and combine this with the
How difficult can it be, streamlining available knowledge the expectations are
logistics flows and satisfying the customer! high.
Well, it’s not difficult as long as we follow A basic question: What do we mean by a
some basic rules. We’ll come to them one process?
by one as we go through this white paper.
It starts with making good agreements with Well it is the way to come to the final
your customer in terms of input and product required by the customer. So it
responsibilities and outcome according the starts when parts are entering the process
made agreements. (goods reception – incoming inspection)
till packing the final goods as requested.
Quality Assurance Plan (Packaging/ stacking instruction - labeling
included) You are thinking, yeah, but
(QAP) that’s the content of the Quality manual as
What do we expect of a QAP? described according ISO. That’s partly
true, but with the difference it has a focus
• It to be a process oriented document that on continuous Quality improvement in a
identifies the process and that describes production/ logistic environment, that it
how the process is under control contains technical knowledge/ core
• It has a focus on ‘zero defect’ strategy competences and that it gives an
and on defect prevention immediate overview of problem areas.
• It strives for minimum process variability This you’ll not find in any Quality
and maximum process capability procedure.
The input of course must be the technical
As already stated in the introduction not all and functional requirements specification/
suppliers have their Quality process under Service Level Agreement (SLA).
control. Depending on the above-mentioned
By introducing QAP and making a detailed requirements the process is adapted
description and analyses of the different towards these needs and towards the
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agreed Quality level (price!). Therefore it • It is a detailed process flow description
is utmost important to have a mutual that describes the process steps, each step
understanding of what is expected. includes:
o A detailed process description
What is the purpose of a QAP? o Process step inputs and outputs (SIPOC
diagram)
• To increase customer satisfaction o Enablers and used tools
• To have a cohesive system of knowledge o Used documents; instructions and forms
that enables the supplier to strive to zero o Measuring tools and follow up
defects (Performance Indicators - PI)
• To have specific process targets and o Indication of a customer frozen process
tolerances that are used in and are in line (Critical Frozen Process - CFP)
with the customer requirements o Inline process verifications (IPV)
• To be used as a tool to continuous • It’s a description done as a process flow
improve when monitoring the product and step charting and contains linkage
process performance indicators (PIs) activities, looking for process and product
• To be a dynamic document that can be relationships (6M)
adapted towards customer needs or • It must contain following references:
requirements o A process reference
• To be used during the PPM management o A version number
discussions with customers o An initiation date/ validation date
• To be used to increase management o Internal process document references
involvement, in terms of necessary • Document trace ability must be in place,
investment to improve Quality so a QAP can be linked to several DHL
processes
The added value of a QAP is not only for • It must contain measuring tools that
the customer satisfaction (because it was provides an overview (PARETO chart) of
asked) but also for DHL to understand how problem areas
the process is under control, including
detailed technical knowledge (read: our Examples of a process flow: Which is
core competences), targets and to create more efficient?
transparency towards management. This?
The supplier is questioning why things are
done the way they are. A QAP must
stimulate to talk about quality and
continuous improvement, to ask process-
product related questions to create quality
awareness. It must help to keep focused
and it must serve as a reminder to do and
keep on doing in the process what is
agreed upon with the customer. Or this?
In the next chapter we’ll extensively look
to the content, the implementation and the
possible aids. To come to a QAP, we’ll go
through different steps and explain what
we mean in detail.
What is the content of a QAP?
Or this?
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What is SIPOC?
A SIPOC diagram is a tool used to identify
all relevant elements of a process
improvement project. It helps you to define
a complex project, to get the right scope
and to get an overview of each process
step. The tool name prompts to consider
the Suppliers (S) of your process, the
No matter, how your process is build up,
inputs (I) to the process, the Process itself
the QAP vision is the same. The content
that needs to be improved (P), the Outputs
can be scheduled differently, but has
(O) of the process and the Customer (C)
always the same goal. See the basic
that receive the process output. This can be
question on page 1. To give you an idea of
done for each process step as you have
what must be the content, we’ll start with a
seen, but it can also be done for an entire
process flow example and gradually
process flow at ones. Further you have the
discuss – explain –‘the way we do things’.
‘requirements’ around the process, like
Example (DHL supply chain WHS OPG):
used tools, instructions, forms, etc... Also
here we will go more into detail to explain.
But first the question, why we use the
SIPOC diagram, for sure when things are
not clear.
E.g.:
• Who supplies inputs to the process?
• What specifications are placed on the
inputs?
• What is the real output of the process and
is this known?
• Who are the true customers of the
process?
• What are the requirements of the
customer?
• How effective are the used tools?
• Are instructions clear, well understood
and effective?
• Etc…
The SIPOC is typically used during the
measuring face of the Six Sigma DMAIC
methodology. SIPOC is similar and related
to process mapping and in/out of scope
tools, but SIPOC provides further details.
The template we have used can be adapted
as you require, but the 5 basic pillars
remain the same. It is important to
complete the SIPOC diagram in the
following steps:
1. Identify the process that you want to
map.
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2. Identify the output of the process.
3. Identify the customers that will receive With each category open questions are
the outputs of this process. asked to determine how the output will be
4. Identify the inputs required for the influenced.
process to function properly. Some examples:
5. Identify the suppliers of the inputs that
are required by the process. • How does Man negatively influence the
6. Identify the requirements of the process; defect?
used tools, instructions, what you want to • How do(es) the Machine(s) negatively
measure, etc... influence the defect?
7. Discuss this with all involved parties • How do(es) the Material(s) negatively
and come to a mutual agreement. influence the defect?
• How do(es) the Method(s) negatively
By doing this, already a lot of things influence the defect?
become clear. But when having questions, • How do(es) the Measurement(s)
you can ask the operators or experienced influence the defect?
persons how to handle, how to deal with • How does Mother Nature negatively
issues and/or solve these issues. influence the defect?
Quote: “Go to the Gemba and see with With doing this exercise it can help to
your own eyes.” (Taiichi Ohno – Toyota – determine the priorities and to focus on the
Founder of TPS – Toyota Production quick wins. It is not limited to the above-
System - Jaigunta) mentioned questions; also the input can
negatively influence the output, already in
a previous production process step. In this
way it is easy to pin point where the
problems occur and containment actions
can be put in place.
What is 5S?
5S is a Japanese Quality system that
focuses on 5 pillars to identify and check
how clean, orderly and efficiently a work
environment is. This is a basic condition to
What is 6M? produce Quality and to continuous
improve.
The 6M is a ‘fishbone’ diagram (Ishikawa)
that search for potentional failures that The 5 pillars are:
influence the output. It is a useful tool to 1. Seiri: to have order – make selections
detect in 6 main causes what reflects in or 2. Seiton: reorganize (focus on the visual
is influencing the effect (output). aspect) – bring structure
The six categories are: 3. Seiso: clean up
4. Seiketsu: standardize
• Man (people – operators) 5. Shitsuke: maintain
• Machine
• Material It’s easy to use and simple to implement
• Method and can be used together with our
• Measurement housekeeping standard to reduce waste and
• Mother nature
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work more efficient by e.g. doing the follow up system to measure customer
unpacking in a separate area. satisfaction, they have a well-organized
An example of a 5S audit can help to give continuous improvement program and
input, how to conduct such an audit. (maybe most important) they have
Also here a consensus must be reached management involvement/ support.
internal DHL (management involvement)
to be sure the ‘Shisuke’ is in place. (Why Now coming back to IPV, it is better to
not make a performance indicator – PI!) detect a failure as soon as possible in a
process flow to have less internal or
Inline Process Verifications (IPV) costumer failures, but also it is a good tool
to find inefficiencies (in general – look at
the 6M). The communication loop is short
and also very effective in terms of training
and keeps focused on doing thing first time
right. When this is done effectively and it
is measured (measuring one knows) a
performance indicator and targets can be
set. This can be used as a motivator
towards the involved persons.
Pareto principle
We see often failures occurring at our end
(customer) that could have been detected
in a very early stage of the DHL process.
The failure was not detected during the
outgoing Quality control – OQC – of the
DHL. Doing these controls is costing a lot
of money and effort and is not productive.
A fact is that when we see reoccurrence
failures in our process, it’s raining failures
at the customer side. So for us it’s no
excuse, when DHL is not detecting these
failures, something is wrong with our A pareto (principle) graph is also known as
Quality system. In most cases an immature the 80/20 rule, meaning that in anything a
Quality culture with no focus on few (20 percent) are vital and many (80
continuous improvement is likely to be the percent) are trivial. To give you an
root cause of troubles. Just like a example, how this is seen in a production
purchasing strategy, we have a Quality or process flow environment, you can say
strategy. We want to focus on continuous that 20% of the defects is causing 80% of
improvement. Nevertheless in most cases the problems. It describes an unequal
it’s going hand-in-hand. Why? Looking at distribution and is a very effective tool to
our experience this has 1) to do with a lack help you visualize and manage. Also we
of focus on Quality (as being not an see it, at DHL WHS OPG 20% of the
important customer) and 2) with a lack of problems is causing 80% of the customer
communication, meaning not complaints. So by focusing on this 20%
understanding what the customer wants. In you can solve 80% of the problems. If it
most cases this also temporally, because also applies on you personally, I leave it up
those customers have on along term a good to you; is 20% of your spend time, 80% of
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your results or visa versa!! When you also mentioned PI (Performance Indicator),
decided and agreed upon the SIPOC, you because this is the way how you can
also know which forms and registration is monitor. Without measuring and have an
made. From those results, it must be agreement with the people involvement on
possible to, not all information is necessary what is measured, you can never come to
to monitor, create a pareto graph and continuous improvement. On top of that it
distinguish what is important and valid to is equally important to set goals, to
monitor. When the graph shows that one introduce targets, meaning feasible targets.
problem is responsible for 60% of your What is the use of a target, when you can
rejects, it’s very obvious what to solve never reach it? When e.g. you have
first. When all problems are of the same measured a reject level of 3% every month
height (it can be all one offs), it’s very hard over the last year, you cannot put a target
to have a quick win or to have a focus of 0.1% for the next month. People
point in what to solve first. In this case it involved will immediately be demoralized
can help to combine failure of the same and not willing to support. Maybe
sort or origin, so when looking from it eventually you want to reach the 0.1%, but
from a different angle, one can come to you can do it gradually in steps and revise
surprising conclusions. Here the 6M the target every quarter. It is also not
exercise can be an input; e.g. combining realistic to ask something that is seen as
workmanship failures, machine failures, ridicules in the minds of many, you will
etc... get poor or even no support to achieve this.
Also in this don’t overlook the importance Implementation of the KPI (Key) on the
of good and well-documented instructions. business-balanced scorecard can be very
They must be understood and ‘workable’, useful in terms of management
too many instructions can have a negative involvement and support. Assume that you
impact on the Q performance of a process. need support from another department or
Maybe you have seen it, in the process that you need to do investments to come to
flow graph; ‘instructions’ is mentioned 2 improvements, you surely need the staff
times!!! members (director – stakeholders) support
in this. So don’t under estimate the
Quote: “When you see data, doubt them.” importance of talking about process
(Willy Vandenbrande – Amelior improvements with management and when
Consultant) you are backed up by scorecard, PIs,
targets and pareto charts it will help you to
Kaizen – Continuous improvement make you point and to get things done.
(Continuous improvement)
Frozen Critical Process steps (FCP)
We already have mentioned this several
times. We often get the question, how to
implement this in an organization or in a
process flow. Therefore I deliberately have
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As we have seen in the past, suppliers suppliers on what needs to be measured,
changes their processes regularly, to adapt we can monitor the process performance
market demands, to reduce production (XR- chart). We make agreements in the
cost, to increase efficiency, etc… What QAP on what to measure, frequency to
often is forgotten is to look at the impact measure, what measuring tools need to be
on Quality, which can result in deviating used, how to register, document and/or
specifications or agreements. The procedure references, etc… A huge benefit
consequence can be huge if the outputs are is that we have an overview of processes
not well controlled and/or understood. and that we can immediately verify by
Therefore, we as DHL want to know when looking at the QAP. It is practical, fast and
critical processes are changed by the very effective. When looking at some
customer. For all others we don’t care, practical examples later on, you will see
because they are not influencing our this immediately.
performance and/or Quality. It is important
that the supplier is aware of his critical The importance of auditing
process steps, which can have influence on
the technical and/or functional
specification; therefore it is opportune to
mark every critical process step or part of
it by a flag (CFP). Also the use of tools can
be critical; another example can be the use
of scanning devices. In most cases it is the
core business of a customer or DHL, but
sometimes, we want us to perform a
process in such a way (our core
competence) to make sure our application
is working properly, by doing so we are
Once the QAP is finalized and agreed
certain of the outcome of the process.
upon, it can be used as a working
When coming to the practical
document during auditing, this can be a
implementation, we’ll give some examples
system audit, a process or a Quality audit.
how to visualize or highlight.
We have a checklist that contains out of
different chapters. During each one of
Zero Defect Strategy (ZDS) – defect
them the content of a QAP can be used to
prevention
inform you or to find evidence within the
process flow, starting from material
It is the aim to have no duplication of
income to finally packing and shipping of
efforts. In many cases in the past we were
goods, which can help you understand the
just double-checking the Quality
customer’s way of working. E.g. when you
parameters of what was already controlled
want to verify if continuous improvement
by the customer. We saw that the
programs are running, you can verify what
equipment used at DHL was not
will be the benefit by looking at the pareto.
comparable with the high tech equipment
When improvement programs are running
that sometimes is used at the supplier.
for processes that are not in the top 5 of
Looking at the internal investments that
worst problems, how effective will that be
need to be made (e.g. scanning, climatic
or what is the added value of such an
chambers, etc…) and looking what the
improvement program. You can ask to
benefits are, we had no business case
prove the output and what the target of the
whatsoever (ROI) towards management to
output must be. By doing so, this will tell
invest in such measuring equipment as
you a lot about the efficiency and lost of
DHL. By making good agreements with
effort. Choosing the right improvement
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projects is VERY important in order to • Define project boundaries; the stop and
maximize customer benefits. start of a project.
• Define the process to be improved by
Addendum mapping the process flow.
Customer complaint management Measure the performance of the core
business process involved.
The time that we send the warehouse • Develop a data collection plan for the
related complaints to the customer, without process
further discussion is history. Today, we • Collect data from many sources to
want to discuss the data that we are determine types of defects and metrics
sending to the customer. We call this • Compare the customer survey results to
customer complaint management. With our determine shortfall.
key customers we must have regular fixed
meetings with a fixed agenda to discuss the Analyze the data collected and process
Quality status, to discuss continuous map to determine root causes of defects
progress, to discuss targets and to and opportunities for improvement.
understand their process (discussion about • Identify gaps between current
the QAP content). When communicating performance and goal performance
on a regular base, we can solve problems, • Prioritize opportunities to improve.
when we don’t have communication we • Identify sources of variation
can’t solve problems, that’s a fact. It has
even a bigger advantage with global Improve - Implement the target process
customers, in terms of cultural differences. by designing creative solutions to fix and
It is opportune 1) to always look for prevent problems.
opportunities to do better and to improve • Create innovate solutions using
and 2) to strive to a ‘win – win’ situation technology and discipline.
on long term. Without direct and/or • Develop and deploy implementation plan
personal contact with your customer it’s
very hard to accomplish this. Control the improvements to keep the
process on the new course.
Six-sigma – DMAIC methodology • Prevent reverting back to the ‘old way’.
• Require the development, documentation
About Six sigma; a lot of information can and implementation of an ongoing
be found on the Internet or you can follow monitoring plan.
especial courses. So we don’t want to give • Institutionalize the improvements through
here a full overview of what Six-sigma the modification of systems and structures
mean or what the content is. Nevertheless (staffing, training, incentives)
we want to say something about DMAIC,
because it is a good approach –
methodology - on how to solve problems.
Input: DMAIC approach GE
Deliverables:
Define the customer, their critical to • Fully trained team is formed, supported
Quality (CTQ) issues, and the core and committed to work on improvement
business process involved. project.
• Define who customers are, what their • Customers identified and high impact
requirements are for products and services, characteristics (CTQs) defined, team
and what their expectations are. charter developed, business process
mapped.
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Checkpoint for completion: _ If substitutes have been appointed, have
• Team readiness they been briefed on the project charter and
_ Team is sponsored by a champion or goals and received regular communications
business leader as to the project’s progress to date?
_ Team formed and team leaders assigned _ Has the project work been fairly and/or
_ Improvement team members fully trained equitable divided and delegated among
on Six sigma and DMAIC team members who are qualified and
_ Full participation by members in capable to perform the work? Has
regularly held team meetings everyone contributed?
_ Team members perform project work _ Are there any constrains known that bear
when assigned and in a timely fashion on the ability to perform project work?
_ Team members regularly document their How is the team addressing them?
project work _ How is the team tracking and
_ Team is equipped with available and documenting its work?
reliable resources _ Is the team adequately staffed with the
• Customers (CTQs) desired cross-functionality? If not, what
_ Customer(s) identified and segmented additional resources are available to the
according to their different needs and team?
requirements • Customers (CTQs)
_ Data collected and displayed to better _ Has the customer(s) been identified?
understand customer(s) critical needs and _ Are there different segments of
requirements customers?
• Team charter _ Has the improvement team collected the
_ Project management charter, including ‘voice of the customer’ (obtained feedback
business case, problem and goal – qualitative and quantitative)?
statements, project scope, milestones, roles _ What customer feedback methods were
and responsibilities, communication plan used to solicit their input?
• Business process mapping _ Have the customer needs been translated
_ Completed, verified and validated high into specific, measurable requirements?
level ‘as is’ (not ‘should be’ or ‘could be’) How?
business process map • Team charter
_ Completed SIPOC representation, _ Has a team charter been developed and
describing the suppliers, inputs, process, communicated?
output and customers _ Has the charter changed at all during the
course of the project? If so, when did
Questions to determine appropriate it change and why?
application: _ Does the charter include the following?
• Team readiness _ Business case: What are the compelling
_ Who are the improvement team business reasons for embarking on this
members? project? Is the process linked to key
_ Has everyone on the team, including the business goals and objectives? What key
team leaders, been properly trained business process output measure(s) will the
(on DMAIC)? project leverage and how? What are the
_ Does the team have regular meetings? rough order estimates on cost savings/
_ How often are the team meetings? opportunities on the project?
_ Is there regularly 100% attendance at the _ Problem statement: What specifically is
team meetings? If not, have appointed the problem? Where does it occur? When
substitutes attended to preserve cross- does it occur? What is it’s extend?
functionality and full representation? _ Goal statement: What is the goal or
target for the improvement team’s project?
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Do the problem and goal statements meet think it is vs. what is actually is vs. what it
the SMART criteria (specific, measurable, should be vs. what it could be?
attainable, relevant, and time-bound)? Has _ Is the current ‘as is’ process being
anyone else (internal or external to the followed? If not, what are the
organization) attempted to solve this discrepancies?
problem or a similar one before? If so, _ Are different versions of process maps
what knowledge can be leveraged from needed to account for the different types of
these previous efforts? How will the inputs?
project team and the organization measure _ How was the ‘as is’ process map
complete success for this project? developed, reviewed, verified and
_ Roles and responsibilities: What are they validated?
for each team member and its leadership? _ What tools and roadmaps did you use for
Where is this documented? getting through the Define phase?
_ Project scope: What are the boundaries
of the scope? What is in bounds and what
is not? What is the start point? What is the
stop point? How does the project manager
ensure against scope creep? Is the project Deliverables:
scope manageable? What constraints exist • Key measures identified, data collection
that might impact the team? planned and executed, process variation
_ Milestones: When was the project start displayed and communicated, performance
date? When is the estimated completion base lined, sigma level calculated.
date? Is the project currently on schedule
according to the plan? Has a project plan, Checkpoints for completion:
Gantt chart, or similar been developed/ • Key measures identified
completed? How did the project manager _ Key measures identified and agreed upon
receive input to the development of the _ High impact defects defined and
plan and the estimated completion dates/ identified in the business process
times of each activity? Is there a critical • Data collection planned and executed
path to complete the project? How will _ Solid data collection plan established that
variation on the actual durations of each includes measurement systems analysis
activity be dealt with to ensure that the _ Data collected on key measures that were
expected project completion date is met? identified
_ Communication plan: What are the • Process variation displayed/
dynamics of the communication plan? Communicated
What critical content must be _ Process variation components displayed/
communicated – who, what, when, where communicated using suitable charts,
and how? When are meetings minutes sent graphs, plots
out? Who is on the distribution list? How _ Long term and short-term variability
do you keep key subject matter experts in accounted for
the loop? • Performance baseline/ Sigma calculation
• Business process mapping _ Measure base line process performance
_ Has a high level ‘as is’ process map been (capability, yield, sigma level)
completed, verified and validated?
_ Has a SIPOC diagram been produced Questions to determine appropriate
describing the suppliers, inputs, process, application:
output and customers? • Key measures identified
_ Is the improvement team aware of the _ What are the key input variables? What
different versions of a process: what they are the key process variables? What are the
key output variables?
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_ What key measures identified indicate _ Identify gaps between current
the performance of the business process? performance and the goal performance
_ What are the agreed upon definitions of • Root cause analysis
the high impact characteristics _ Generate list of possible causes (sources
(CTQs), defect(s), unit(s) and opportunities of variation)
that will figure into the sigma calculations _ Segment and stratify possible causes
and process capability metrics? (sources of variation)
• Data collection planning and execution _ Prioritize the list of ‘vital few’ causes
_ Was a data collection plan established? (key sources of variation)
_ What data was collected (past, present, _ Verify and quantify the root causes of
future/ ongoing)? variation
_ Who participated in the data collection? • Quantifying the gap/ opportunity
_ How did the team select a sample? _ Determine the performance gap
_ What has the team done to assure the _ Display and communicate the gap/
stability and accuracy of the measurement opportunity in financial terms
process?
_ Was a gauge R&R conducted? Questions to determine appropriate
_ Was stratification needed in the data application:
collection and analysis? • Data and process analysis
• Process variation displayed/ _ What does the data say about the
communicated performance of the business process?
_ What charts has the team used to display _ Did any value added analysis or ‘lean
the components of variation in the process? thinking’ takes place to identify some of
_ What does the chart tell us in terms of the gaps shown on the ‘as is’ process map?
variation? _ Was a detailed process amp created to
• Performance baseline/ Sigma calculation amplify critical steps of the ‘as is’ business
_ What is the current process performance process?
in terms of it capability indices? _ How was the map generated, verified and
_ What is the current process performance validated?
in terms of its yield or sigma level(s)? _ What did the team gain from developing
_ How large is the gap between current a sub-process map?
performance and the customer-specified _ What were the crucial ‘moments of truth’
(goal) performance? on the map?
_ Have you found any ‘ground fruit’ or _ Were there any cycle time improvement
‘low hanging fruit’ for immediate remedies opportunities identified from the process
to the gap in performance? analysis?
_ What particular quality tools did the team _ Were any designed experiments used to
find helpful in getting through the measure generate additional insight into the data
phase? analysis?
_ Did any additional data need to be
collected?
_ What model would best explain the
behavior of output variables in relation to
Deliverables: input variables?
• Data and process analysis, root cause • Root cause analysis
analysis, quantifying the gap/ opportunity _ What tools were used to generate the list
of possible causes?
Checkpoints for completion: _ Was a cause and effect diagram used to
• Data and process analysis explore the different types of causes
(or sources of variation)
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_ What tools were used to narrow the list _ Small-scale pilot for proposed
of possible causes? improvement(s)
_ Were Pareto charts (or similar) used to _ Pilot data collected and analyzed
portray the ‘heavy hitters’ (or key sources _ Improved process (‘should be’) maps
of variation)? modified based on pilot data and analysis
_ What conclusions were drawn from the _ Project impact on utilizing the best
team’s data collection and analysis? solution(s)
_ How did the team reach these • Designing implementation plan
conclusions? _ Solution implementation plan
• Quantifying the gap/ opportunity established, including schedule/ work
_ What is the cost of poor Quality as breakdown structure, resources, risk
supported by the team’s analysis? management plan, cost/ budget and control
_ Is the process severely broken such that a plan
re-design is necessary? _ Contingency plan established
_ Would this project lend itself to a DFSS
projects? Questions to determine appropriate
_ What are the revised rough order application:
estimates of the financial savings/ • Generating (and testing) possible
opportunity for the improvement project? solutions
_ Have the problem and goal statements _ How did the team generate the list of
been updated to reflect the additional possible solutions?
knowledge gained from the analyze phase? _ What tools were used to tap into the
_ Have any additional benefits been creativity and encourage ‘outside the box’
identified that will result from closing all thinking?
or most of the gaps? • Selecting the best solution(s)
_ What were the financial benefits _ What tools were used to evaluate the
resulting from any ‘ground fruit or low potential solutions?
hanging fruit’ (quick fixes)? _ Were any criteria developed to assist the
_ What Quality tools were used to get team in testing and evaluating potential
through the analyze phase? solutions?
_ What were the underlying assumptions
on the cost-benefit analysis?
_ Are there any constrains (technical,
political, cultural or otherwise) that would
Deliverables: inhibit certain solutions?
• Generate (and test) possible solutions, _ Was a pilot designed for the proposed
select the best solutions, design solution(s)?
implementation plan _ Describe the design of the pilot and what
tests were conducted, if any?
Checkpoints for completion: _ What conclusions were drawn from the
• Generating (and testing) possible outcome of the pilot?
solutions _ What lessons, if any, from the pilot were
_ Possible solutions generated and tested incorporated into the design of the full-
• Selecting the best solution(s) scale solution?
_ Optimal solution selected based on • Designing the implementation plan
testing and analysis _ Is the improvement plan best served by
_ New and improved process (‘should be’) using the DFSS approach?
maps developed _ What is the implementation plan?
_ Cost/ benefit analysis of optimal
solution(s)
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13. DHL Supply Chain
_ What poka-yoke or error proofing will be _ Transfer ownership and knowledge to
done to address some of the discrepancies process owner and process team tasked
observed in the ‘as is’ process? with the responsibilities
_ What does the ‘should be’ process map/
design look like? Questions to determine appropriate
_ How does the solution remove the key application:
sources of variation discovered in the • Monitoring plan
analysis phase? _ What is the control/ monitoring plan?
_ What attendant changes need to be made _ How will the process owner and team be
to ensure that the solution is successful? able to hold the gains?
_ What communications are necessary to _ What key input and outputs are being
support the implementation of the measured on an ongoing basis?
solution? _ How will input, process, and output
_ How will the team or the process variables be checked to detect for sub
owner(s) monitor the implementation plan optimal conditions?
to see that it is working as intended? _ How will new or emerging customer
_ What is the team’s contingency plan for needs/ requirements be checked/
potential problems occurring in communicated to orient the process toward
implementation? meeting the new specifications and
_ How will the organization know that the continually reducing variation?
solution worked? _ Are control charts being used or needed?
_ What tools were most useful during the _ How will control chart readings and
improve phase? control chart limits be checked to
effectively monitor performance?
_ Will any special training be provided for
control chart interpretation?
_ Is this knowledge imbedded in the
Deliverables: response plan?
• Documented and implemented _ What is the most recent process yield (or
monitoring plan, standardized process, sigma calculation)?
documented procedures, response plan _ Does the process performance meet the
established and deployed, transfer of customer’s requirements?
ownership (project closure). • Process standardization
_ Has the improved process and its steps
Checkpoints for completion: been standardized?
• Monitoring plan • Documented procedures
_ Control plan in place for sustaining _ Is there documentation that will support
improvements (short and long term) the successful operation of the
• Process standardization improvement?
_ New process steps, standards, and _ Does job training on the documented
documentation are ingrained into normal procedures need to be part of the process
operations team’s education and training?
• Documented procedures _ Have new or revised work instructions
_ Operating procedures are consistent resulted?
_ Knowledge gained on process is shared _ Are they clear and easy to follow for the
and institutionalized operators?
• Response plan • Response plan
_ Response plans established, understood, _ Is a response plan in place for when the
and deployed input, process, or output measures indicate
• Transfer of ownership (Project closure) an ‘out of control’ condition?
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14. DHL Supply Chain
_ What are the critical parameters to References
watch?
_ Does the response plan contain a definite
closed loop continual improvement scheme
(e.g. PDCA – plan-do-check-act)
_ Are suggested corrective/ restorative
actions indicated on the response plan for Author
known causes to problems that might Geert Appeltans is working as a
surface? Continuous Improvement Manager at DHL
_ Does a troubleshooting guide exist or is Supply Chain business line HealthCare in
it needed? Opglabbeek (B). Geert started his career in
• Transfer of ownership (Project closure) 1985 and has 25 years of experience in
_ Who is the process owner? operations, logistics and supply chain
_ How will the day-to-day responsibilities management in different industries. ‘The
for monitoring and continual improvement variety of business experience helps me to
be transferred from the improvement team better understand the need to improve on
to the process owner? all levels throughout an organization.’
_ How will the process owner verify ‘Feeling the business and customers needs
improvement in present and future sigma is as important as looking at figures,
levels, process capabilities? anyway I doubt them.’
_ Is there a recommended audit plan for This document might serve as a primary
routine surveillance inspections of the input, but does not aim to be a complete
DMAIC project’s gains? study.
_ What is the recommended frequency of geert.appeltans@dhl.com
auditing?
_ What should the next improvement
project be that is related to the process?
_ What Quality tools were useful in the
control phase?
• Integrating and institutionalizing
improvements, knowledge and learning’s
_ What other areas of the organization
might benefit from the project team’s
improvements, knowledge and learning?
_ How might the organization capture best
practices and lessons learned so as to
leverage improvements across the
business?
_ What other systems, operations,
processes, and infrastructures (hiring
practices, staffing, training, incentives/
rewards, metrics/ dashboards/ scorecards,
etc..) need updates, additions, changes, or
deletions in order to facilitate knowledge
transfer and improvements?
14 HealthCare 2010