LSSGB Lesson5 Improve

Lean Six Sigma Green Belt
Lesson 5Improve
Copyright 2014, Simplilearn, All rights reserved.

Objectives
After completing
this lesson, you will
be able to:
Describe the concepts of Design of Experiments (DOE)
Explain the uses of Residuals Analysis and Box and Cox Transformation
technique
Discuss the cause and effect matrix and the 5 Why tool in the root cause
analysis
Explain the Lean and Kaizen techniques
Improve
Topic 1Design of Experiments
Design of ExperimentsAn Introduction

Design of Experiments (DOE) is a
structured method that tests input
variables and their impact on the output

variable. DOE:
is used as a one-stop method for

analyzing all influencing factors;
is preferred over One Factor at a Time
Blocking
Trials
1
2
3
4
5
6
7
8
Factor A
1
1
1
1
2
2
2
2
Factor B
1
1
2
2
1
1
2
2
Factor C
1
2
1
2
1
2
1
2
Response
(OFAT) experiments; and
uses techniques such as blocking and

replication.
DOEPlastic Molding Example

The objective of the experiment is to achieve uniform dimensions for a part at a particular target
value to reduce variations.
Inputs(X)
Process
Output(Y)
Molding
Part
Hardness
Cycle Time
Mold Temp
Holding Pressure
Holding Time
Material Type
Factors
in the
experiment
Response
of the
experiment
5
Components of DOE in the Molding Example

The components of DOE are:
Output
Response
Part hardness that is measured as a result of the experiment and is used to judge
the effects of factors
Factors
Levels
Cycle time, mold temperature, holding pressure, holding time, and material type
Mold temperature (600 and 700) and Plastic type (Fillers and No Fillers)
Interactions
TimeTemp (the best level for time depends on the set temperature)
Full Factorial ExperimentAn Example

Full factorial experimental design:
contains all combinations of all levels of all
Factor B: Oven
Time (X2)
700
900
30 mins
Y1
Y2
Y5
Y6
60 mins
Y3
Y4
Y7
Y8
factors;
ensures no possible treatment combinations

get omitted; and
is preferred over other designs.
Factor A: Draw
Temperature (X1)
The table shown here is for a two-way heat

treatment experiment, where Y = Part Hardness.
Analysis of the Mean Effect

Based on the example, an analysis of the means helps
in understanding how:
hardness;
a change in oven time creates a difference in the
average part hardness; and
interaction between temperature and time affects
Factor A: Draw
Temperature (X1)
700
900
30 mins
Y1
Y2
Y5
Y6
60 mins
Y3
Y4
Y7
Y8
a change in temperature at which the material is

drawn creates a difference in the average part
Factor B: Oven
Time (X2)
The table shown here is for a two-way heat

treatment experiment, where Y = Part Hardness.
the average part hardness.
Main Effect
The calculation of main effect is shown below.
Factor B:
Oven Time
Factor A: Draw
Temperature
A1 = 700
A2 = 900
B1 = 30 mins
90
87
84
87
B2 = 60 mins
95
92
79
78
The table shown here is for a two-way

heat treatment experiment.
Results: We can see that changing the

draw temperature seems to change
the average hardness.
Results: We can see that changing

the oven time seems to have no
major change in the average
hardness.
9
Interaction Effect
Factor B: Oven
Time
Brinnell Hardness
The calculation of interaction effect is shown below.

Factor A: Draw
Temperature
A1 = 700
B1 = 30 mins
B2 = 60 mins
A2 = 900
90
87
84
87
95
92
79
78
The table on the right

shows the mean of
the factors.
A,B, =
A1
A2
B1
88.5
85.5
B2
93.5
78.5
90+87
= 88.5
2
95
90
700
85
900
80
30 min.
60 min.
Results: The interaction plot shows that low

temperature and high oven time should be
selected to achieve the highest desired output of
hardness. The parallel lines indicate the output if
no interactions occur between the main effects.
10
Design of ExperimentsRuns
The number of experiments in a DOE setting is known as Runs. The number of runs in a:
Full factorial experiment without replication on 5 factors and 2 levels are:
25 = 32
Full factorial experiment with 1 replication on 5 factors and 2 levels are:
32 + 32 = 64
Half fractional factorial experiment without replication on 5 factors and 2 levels are:
25-1 = 16
Half factorial experiment with 1 replication on 5 factors and 2 levels are:
16 + 16 = 32
The difference between a full factorial and half fractional factorial experiment can be seen through the
number of runs.
11
Improve
Topic 2Root Cause Analysis
Residuals Analysis
During regression analysis of linear or non-linear model, the value for Y at level X is predicted.
However, the actual value for Y observed at that level of X is different from the predicted value. This
difference is called Residual.

Residual = Observed value Predicted value
The assumptions on random errors can be validated, as they:
are independent,
exhibit normal distribution,
have a constant variance (2) for all the settings of the independent variables, and
have zero mean.
13
Residuals Analysis (contd.)

As the linear regression model is not always appropriate for the data, the appropriateness of the
model should be assessed by defining residuals and examining the residual plots.
If all the assumptions are satisfied, residuals is zero and no systematic patterns are observed.
In residuals analysis, the values of both sum and the mean of the residuals are zero.
Residuals and diagnostic statistics help in identifying the patterns that:

o
either poorly fits in the model with strong influence upon the estimated parameters, or
have a high leverage.
Interpret these diagnostics together to understand any potential problems with the model.
14
Data Transformation using Box Cox

Box and Cox is a procedure used for estimating the best transformation to normality, within the
family of power transformation. It works by taking the current Y data and raising it to a power ().
Y =
(Y 1)
where 0
Y = log (Y) where = 0
The family of power transformations can be used for the following:
Converting a dataset so that parametric statistics can be used.
Any continuous data > 0 (This will not work when the values zero, transforming specs).
The use of the transformation does NOT guarantee normality.
15
Data Transformation using Box Cox (contd.)

The table shows how the data can be transformed using Lambda.
Lambda Value
Transformed Value
-2
Y-2 = 1/Y2
-1
Y-1 = 1/Y1
-0.5
Y0.5 = 1/Y0.5 = 1/Y
Log(Y)
0.5
Y0.5 = Y
Y1 = Y (i.e., no transformation)
Y2
16
Data Transformation using Box CoxExample

The difference between original data and the data transformed using Box Cox is shown.
Abnormal
Normal
Max = 0.3
Figure 1: Original data plotted on histogram
Figure 2: Transformed data plotted on histogram
17
Process Input and Output Variables

To improve a process, the steps to assess the level
of improvement are as follows:
Process Output Variables
Check for the relationship between the input

and output variables.
Prioritization Number
11
Measure key process variables through metrics.

Identify critical variables by the process owners.
2
Process Input
Variables
3
4
Multiply process output priority with the input
variables.
8
6
Results
117
33
96
27
46
13
32
65
18
Totals
356
100
2
7
5
3
Add the values to determine the results for each

input variable.
18
Cause and Effect Matrix Template

The Cause and Effect Matrix gives the correlation between input and output variables.
Rating of Importance to
Customer
1
10
11
12
13
14
15
Process Inputs
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
Total
19
Cause and Effect MatrixSteps to Update

The steps for updating the Cause and Effect Matrix are:
List the input

variables vertically.
List the output

variables
horizontally.
Rank the output

variables based on
customer priority.
The input variables with the highest score become the point of focus.
20
Cause and Effect Diagram

The Cause and Effect diagram is used to find the root cause and the potential solutions to a problem.
It breaks down a problem into bite-sized pieces and also displays the possible causes in a graphic
manner.
The four steps to construct a Cause and Effect diagram are:
1
Brainstorm
possible causes
of the problem.
Classify the
major causes
under various
headings.
Draw a Cause
and Effect
diagram with the
problem at the
point of the
central axis line.
Write the causes

on the diagram
under the
classifications
chosen.
21
Cause and Effect DiagramExample

The figure shows the Cause and Effect diagram for solder defects on a reflow soldering line. This
diagram helps in collecting data and discovering the root cause.
Training
Manpower
Materials
Operator
Type of Solder Paste

Size
Components
Components Packaging
Preventive Maintenance
Methods
Knowledge
Self-sufficiency
Shape
Thickness
Schedule
Shifts
Weekends
Full reflow
Technology
Skill
Batch size
Types of Screen
Tools
Component density
Fine pitch
Reflow
Defect
Feeder
Speed
Oven
Temperature
Machinery
22
The 5 Why Technique

5 Why is one of the tools used to analyze the root cause of a problem. In this technique:
the responsibility of the root cause analysis lies with the team;
the why question is asked for every problem till the root cause is obtained;
the interrogation is not restricted to five questions.
The 5 Why technique can be used along with the Cause and Effect diagram.
23
The 5 Why Process

The process for the 5 Why technique is given here:
2
Identify the problem and the

problem statement.
Arrange for a team

brainstorming session.
Analyze the problem and

brainstorm backwards.
Explain the purpose.
Ask why for the answers

obtained.
If a problem occurs, it is usually due to the process and not because of a person or team.
24
5 WhyExample
Nutri Worldwide Inc. investigated erroneous deliveries by the Delivery Management team using the 5
Why technique.
PROBLEM STATEMENT: Delivery of parcels to incorrect addresses
Incomplete addresses given on the parcel.
Why?
Complete addresses were not collected from the customers.
Why?
The addresses were given to the operators over phone calls.
Why?
Why?
Why?
The operators were unable to gage if the addresses were incomplete.

An official format for capturing delivery addresses from customers was unavailable.
COUNTER MEASURE: Prepare a template capturing details such as flat number, street name and number, region, city,
and zip code along with the customers contact number.
25
Improve
Topic 3Lean Tools
Lean Techniques
The first four Lean techniques are:
Techniques
Description
Kaizen
(Continuous Improvement)
All incremental changes routinely applied and sustained over a

long period of time result in significant improvement.
Poka Yoke
(Mistake Proofing)
It is good to do it right the first time and even better to make it

impossible to do it wrong the first time.
5S
(Sort, Set in order, Shine, Standardize, and
Sustain)
Sorting items according to a rule, setting them in order, cleaning

the area, forming and circulating a set of written standards, and
sustaining the process.
Just in Time (JIT)
Producing the necessary units, in the necessary quantity, at the

necessary time, with the required quality.
27
Lean Techniques (contd.)

The last four Lean techniques are:
Techniques
Description
Kanban
(Signboard)
Utilizing visual display cards to signal movement of material

between steps of a product process.
Jidoka
(Autonomation)
Implementing supervisory function in production line and stopping

the process as soon as a defect is encountered. The process does
not start again till the root cause of the defect is eliminated.
Takt time
(TAKT Time = Time Available/Demand)
The maximum time in which the customer demands his needs to

be met.
Heijunka
Reducing waste occurring due to fluctuation in customer demand.
28
Cycle Time Reduction

Cycle time reduction refers to the reduction in the time taken for a complete process. Low cycle time:
increases productivity and throughput;
releases resources early;
reduces internal and external waste;
simplifies the operational process; and
decreases product damage.
Low cycle time indirectly helps in satisfying the customer and staying ahead of competition.
29
Cycle Time ReductionExample

The changes brought by implementing Lean techniques on an existing process are illustrated in the
diagram below.
Old process
Improved process
In
In
Process 1
Process 1
Operator 1
Process 4
Process 5
Operator 4
Process 3
Process 2
Operator 3
Operator 2
Operator 3
Process 5
Operator 5
out
Process 2
Lean Techniques
Operator 1
Process 4
Operator 2
Process 3
out
30
Kaizen and Kaizen BlitzIntroduction

Kaizen is a continuous improvement method to improve the functions of an organization. The
improvements could be in process, productivity, quality, technology, and safety.
Kaizen Blitz is known as Kaizen event or Kaizen workshop. Teams improve processes through
structured workshops.
31
Kaizen and Kaizen BlitzDifferences

The differences between Kaizen and Kaizen Blitz are given here:
Kaizen
Kaizen Blitz
Is a method
Is a workshop or an event
Brings in incremental change
Brings rapid solutions when required
Standardizes, measures, and compares the

process
Plans, executes the event, decides a solution,

and follows it through
Is lead by the management and the team
Is lead by the management
Relatively delays the process of decision making
Accelerates the process of decision making
Is an improvement process
Is a part of improving the process
32
Kaizen and Kaizen BlitzExamples

Kaizen and Kaizen Blitz are practiced in many organizations. The examples are as follows:
Kaizen
In Toyota, the production
cycle is resumed after the
problem is identified and
solved.
Kiazen Blitz
In a wood window company,
scraps are eliminated, work
areas are reorganized, and
inventory is reduced.
33
Quiz
QUIZ
1
How many runs are there in a full factorial experiment with 3 factors, each at 2 levels?
a.
b. 6
c.
12
d.
35
QUIZ
1
How many runs are there in a full factorial experiment with 3 factors, each at 2 levels?
a.
b. 6
c.
12
d.
Answer: d.
Explanation: The answer is given by the total no. of levels for each factor to the power of
no. of factors, which is equal to 23 = 8.
Copyright 2012-2014,Simplilearn,All rights reserved
36
QUIZ
2
The input categories for a classical cause and effect diagram would not include:
a.
maintenance.
b. manpower.
c.
machine.
d.
material.
37
QUIZ
2
The input categories for a classical cause and effect diagram would not include:
a.
maintenance.
b. manpower.
c.
machine.
d.
material.
Answer: a.
Explanation: The 4M of the cause and effect diagram includes categories like machine,
material, method, and manpower, but not maintenance.
38
QUIZ
3
Cause and Effect diagram is also known as:
a.
Pareto chart.
b. Gantt chart.
c.
Ishikawa diagram.
d.
Tree diagram.
39
QUIZ
3
Cause and Effect diagram is also known as:
a.
Pareto chart.
b. Gantt chart.
c.
Ishikawa diagram.
d.
Tree diagram.
Answer: c.
Explanation: The Cause and Effect diagram was developed by Dr. Ishikawa and therefore
also called the Ishikawa diagram.
40
QUIZ
4
The 5 Why analysis can be used as a part of:
a.
Cause and Effect matrix.
b. Fishbone diagram.
c.
DOE.
d.
OFAT.
41
QUIZ
4
The 5 Why analysis can be used as a part of:
a.
Cause and Effect matrix.
b. Fishbone diagram.
c.
DOE.
d.
OFAT.
Answer: b.
Explanation: The 5 Why analysis can be used along with the Cause and Effect diagram,
which is also known as a fishbone diagram.
42
QUIZ
5
What is the benefit of using cycle time reduction?
a.
Increase in resources
b. Reduction in managerial control

c.
Streamlining of process
d.
Effective risk management
43
QUIZ
5
What is the benefit of using cycle time reduction?
a.
Increase in resources
b. Reduction in managerial control

c.
Streamlining of process
d.
Effective risk management
Answer: c.
Explanation: Cycle time reduction decreases the time taken for the entire process by
streamlining it. It reduces waste using Lean methodology and thereby reduces cost and
increases productivity.
44
QUIZ
6
A production line uses signs at specific points on the line to indicate when components
or raw materials need to be replenished. This practice is an example of:
a.
Kanban.
b. Kaizen.
c.
Poka Yoke.
d.
FMEA.
45
QUIZ
6
A production line uses signs at specific points on the line to indicate when components
or raw materials need to be replenished. This practice is an example of:
a.
Kanban.
b. Kaizen.
c.
Poka Yoke.
d.
FMEA.
Answer: a.
Explanation: Kanban literally means signboards. Kanban uses display cards to signal
movement of material.
46
QUIZ
7
Kaizen Blitz is:
a.
an eliminating variation.
b. a methodology.
c.
an event.
d.
a part of the control plan.
47
QUIZ
7
Kaizen Blitz is:
a.
an eliminating variation.
b. a methodology.
c.
an event.
d.
a part of the control plan.
Answer: c.
Explanation: Kaizen Blitz is known as Kaizen event or Kaizen workshop. It is part of Kaizen.
48
QUIZ
8
Which of the following statement is true for residuals analysis?
a.
When the sum of all the residuals is greater than zero, the data set is nonlinear.
b. A random pattern of residuals exhibits a linear model.

c.
A random pattern of residuals exhibits a non-linear model.
d.
When the sum of all the residuals is less than zero, the data set is nonlinear.
49
QUIZ
8
Which of the following statement is true for residuals analysis?
a.
When the sum of all the residuals is greater than zero, the data set is nonlinear.
b. A random pattern of residuals exhibits a linear model.

c.
A random pattern of residuals exhibits a non-linear model.
d.
When the sum of all the residuals is less than zero, the data set is nonlinear.
Answer: b.
Explanation: A random pattern of residuals will always exhibit a linear model. If you have a
non-random pattern it will always exhibit a non-linear model. In Residuals Analysis, the sum
of residuals is always zero.
50
QUIZ
9
The Box Cox Transformation is used for:
a.
plotting Box Cox.
b. fixing the data issues.

c.
estimating the best transformation to normality.
d.
analyzing if the data is normal.
51
QUIZ
9
The Box Cox Transformation is used for:
a.
plotting Box Cox.
b. fixing the data issues.

c.
estimating the best transformation to normality.
d.
analyzing if the data is normal.
Answer: c.
Explanation: Box and Cox developed a procedure for estimating the best transformation to
normality, within the family of power transformation.
52
Summary
Here is a quick
recap of what we
have learned in this
lesson:
DOE are a series of planned and scientific experiments that test the impact
of independent variables on dependent variables.
During regression analysis of linear or non-linear model, the value for Y at

level X is predicted.
Residuals Analysis helps you understand the accuracy of the analysis of

linear or non-linear model.
Box and Cox procedure is used for estimating the best transformation to
normality within the family of power transformation.
The 5 Why tool is used to analyze the root cause of a problem.
Cycle time reduction, Kaizen, and Kaizen Blitz help in improving processes.
53
THANK YOU


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Lean Six Sigma Green Belt

Copyright 2014, Simplilearn, All rights reserved.

Describe the concepts of Design of Experiments (DOE)

Copyright 2014, Simplilearn, All rights reserved.

Explain the Lean and Kaizen techniques

Copyright 2014, Simplilearn, All rights reserved.

Design of ExperimentsAn Introduction

variables and their impact on the output

is used as a one-stop method for

is preferred over One Factor at a Time

(OFAT) experiments; and

uses techniques such as blocking and

Copyright 2014, Simplilearn, All rights reserved.

DOEPlastic Molding Example

Components of DOE in the Molding Example

Copyright 2014, Simplilearn, All rights reserved.

Full Factorial ExperimentAn Example

contains all combinations of all levels of all

ensures no possible treatment combinations

is preferred over other designs.

The table shown here is for a two-way heat

Copyright 2014, Simplilearn, All rights reserved.

Analysis of the Mean Effect

interaction between temperature and time affects

a change in temperature at which the material is

The table shown here is for a two-way heat

the average part hardness.

Copyright 2014, Simplilearn, All rights reserved.

The table shown here is for a two-way

Copyright 2014, Simplilearn, All rights reserved.

Results: We can see that changing the

Results: We can see that changing

The calculation of interaction effect is shown below.

The table on the right

Copyright 2014, Simplilearn, All rights reserved.

Results: The interaction plot shows that low

Full factorial experiment without replication on 5 factors and 2 levels are:

Full factorial experiment with 1 replication on 5 factors and 2 levels are:

Half factorial experiment with 1 replication on 5 factors and 2 levels are:

Copyright 2014, Simplilearn, All rights reserved.

Copyright 2014, Simplilearn, All rights reserved.

difference is called Residual.

The assumptions on random errors can be validated, as they:

exhibit normal distribution,

have zero mean.

Copyright 2014, Simplilearn, All rights reserved.

Residuals Analysis (contd.)

Residuals and diagnostic statistics help in identifying the patterns that:

have a high leverage.

Copyright 2014, Simplilearn, All rights reserved.

Data Transformation using Box Cox

Y = log (Y) where = 0

The family of power transformations can be used for the following:

Converting a dataset so that parametric statistics can be used.

The use of the transformation does NOT guarantee normality.

Copyright 2014, Simplilearn, All rights reserved.

Data Transformation using Box Cox (contd.)

Copyright 2014, Simplilearn, All rights reserved.

Y0.5 = 1/Y0.5 = 1/Y

Data Transformation using Box CoxExample

Figure 1: Original data plotted on histogram

Copyright 2014, Simplilearn, All rights reserved.

Figure 2: Transformed data plotted on histogram

Process Input and Output Variables