Six Sigma &ampamp; You

Slide Title,Body Text,Second Level,Third Level,Fourth Level,Fifth Level,1,Six Sigma&You,Ray Stark,Corporate VP,Quality and Six Sigma,PowerShift,Product Proliferation,SmallProduction Runs,ShortCycles,GlobalCompetition,Service Counts-Product is aGiven,Integrated Design,FewParts,Quality Designed-In,CreateMarkets,ChangingWorldRequiresNewSkills,Values,Tools,Limited ProductLine,LargeProduction Runs,ExtendedProduct Cycles,NorthAmericanCentric,Service as an Afterthought,Design,thenProduce,Non,-,-StandardParts,Inspect Quality,Late to Market,From TheProducer,.,.,ToTheCustomer,MarketCharacteristics,Manufacturing Process,What Is SixSigma?,2.0,3.4 DefectsPer Million,308,500 DefectsPer Million,30%CostofPoor Quality,High Warranty Cost,Poor Deliveries,HighInventories,Hard-To-Build Designs,Less than50,%,%RolledThroughput Yield,6,Past:ProducerModel,Future,:,:Customer Model,7%Cost of PoorQuality,Agile,&,&On-time,LowInventories,Integrated withCustomer,&,&Supplier,FewFacilities,Low Overheads,99.9%+Rolled ThroughputYield,Well DevelopedTechnologies,SecretIsInExecution,Systematic identification&eliminationofdefectsinallprocesses throughthe useofadvancedassessment&statisticaltools,.,.,SuccessfulCompaniesRespondByFundamentally Changing Their Approach.,.,.,TotalQuality,CycleTime Reduction,SupplierManagement,Process Re-Engineering,AdvancedTQ,Applied Statistics,Lean Manufacturing,SupplyChainManagement,High Performance WorkOrganizations,PlantClosures,NewTools,&,&Approaches,AlliedSignal,:,:A LeaderInChange,TQ/SixSigmaHas BeenEmbracedAsThe ChangeProcess BecauseItEmbodiesThreeFundamentals Of APremierCompany,Satisfying customersasa first priority,Continuouslyimproving allwork processes,Havinghighly motivatedandinvolvedemployees,PeopleDrivingToPerfect Processes,DelightedCustomers,Productivity,GreatPeople,Driving,SixSigmaProcesses,Results,Premier Company,AlliedSignalVision,Growth,GreatPeople,OurPeople AreTheKey To Being Premier,Know OurBusinessAndOur Customers,OrganizedInNaturalWork Teams,AccountableFor,AndCommittedTo,AchievingResults,EmpoweredToApplySix Sigma Tools To ContinuouslyImprove Performance,EmployeesManagingaProcess.,Dailyreviewofprocessperformance,Constantly improvingtheirprocesses,Empoweredtosatisfycustomers,requirements,EmployeesAccountablefor aProcess.,Engageemployees in obtainingunitresults,Individual performance based onteam performance,High Performance WorkTeams,(,(HPWO,),),BuildingBlocks,EmployeesOrganized AroundProcesses,.,.,Definebusinessprocesses,Alignemployeesaround processes,Broaden jobscopeandresponsibility,EmployeesImproving aProcess.,Employeeshavetoolstoimprove processes,Employeeshavetime to utilizetools,Employeeshaveresourcestohelpimplementtheirsuggestionsand ideas,EveryoneIsA ProcessOwner,.,.,EveryoneIsInvolvedInContinuous Improvement,SixSigmaProcesses,StrivingForPerfectionToDelight OurCustomers,Simplify,-,-Lean,EliminateDefects,ReduceVariation,Perfect Processes,IsA 99%YieldGood?,Ifeach activity hada yield of 99%,the“FirstTime,FirstQualityYield”wouldbeOnly 86%,Inotherwords,out of 100outcomes:,14badparts,14wrongpaychecks,14customercallsnotreturned,ActivityA,100,INPUT,OUTPUT,99,99%,AtFirstLook,This Might SeemOkay,but Consider aProcesswith 15 Activities,:,:,WastedTime,Higher Cost,&,&LowerCapacity,UnhappyCustomers,A 3,.,.85SigmaProcess,A,B,C,D,.,100,86,WhereCanWeApplySix Sigma Tools?,TargetKey Business Areas To Maximize Benefit,ProcurementCycle,ProductionCycle,ReplenishmentCycle,CustomerOrderCycle,SalesCycle,ProductDevelopmentCycle,EnablingProcesses,(,(Finance,HR,IS,etc.),AlliedSignalBusinessProcessFramework,RequisitionToCheck,RequirementToProduct,RequirementToStock,OrderToCash,ContactToOrder,Idea To Product,WhereverDefects Occur:,SixSigma,=,=Reliability,CustomerSatisfaction&Market Share,HigherAuxiliary PowerUnit Reliability,DesignOfExperiments,Failure Modeand EffectAnalysis,Process Maps,Lean Manufacturing,Tools:,80%ImprovementInAverageTime BetweenRemovals,ImprovedSparesFill Rate,&,&Inventory,92%FillRate,FasterRepair Turnaround&HigherMarketShares,29Days TAT,50%Share,Root Cause Analysis,Teamwork,Problem Solving,Goal Deployment,77%,37%,49Days,ImpactOnCustomerSatisfaction,96Days ofInventory,150Days,SixSigmaProcessImprovement,Broadening SixSigmaApplications,OrderPlacedToCashReceived,SalespersonMisquote,Error,SalesAcquisition,OrderFulfillment,Invoicing,AccountsReceivable,DiscrepancyManagement,Incomplete Shipment,IncorrectOrderFulfillment,Invoice Inaccuracy,Invoice MissingData,Past-DueReceivables,Misapplied Cash,Missing,Documentation,20%,15%,Past DueReceivables,$65M,Cash FlowImpact,FocusOnEntireRevenueChain,Measure Defects,Identify,&,&FlagDefective Invoices,Root Cause Analysis,Measure ResolutionCycleTime,WhereWeGoFrom Here,.,.,Results-Sigma,-Savings-Growth-Cycle Time,DepthOfTalent,Commitment Of Employees,CustomerImpact,Lots Of Progress,ButNeedToProliferate,Progress:,ToMove To TheNext Level:,BetterIntegration,Address AllProcesses,Broaden Talent,Completely AlignedGoals,Tighter Links To Customer,Tighter Links To Supplier Base,B