Excelencia Operacional

ABS Operational Excellence ASAT
Table of Contents
Overview
To be the best company, we need to operate consistently across our businesses, with clear standards,
expectations, measurements, and accountabilities. Standards have helped us achieve success in environment,
health, safety (EHS) and financial reportingno matter where you go in Alcoa, these processes are consistent.
But in our operating practices, inconsistency is the norm. Until now there have been no global standards for Alcoa
operating practices.
We have all, for the last few years, been working and deploying several of our Alcoa Business System (ABS) tools
with varied success across businesses and plants. We are now ready to take the next step in institutionalizing the
whole process and unlocking all of the business potential that can be maximized through the Alcoa Business
System.
Successful ABS implementations are built on a foundation of people and stability. A cultural change is required
within Alcoa to develop our people at all levels to solve problems in the moment and drive improvements in
equipment reliability and process control/capability. Initially, assessments will focus on the two aspects of ABS
that are key to achieving stability within operations. In 2006, well hold businesses accountable for standardizing
Improvement (known as Rules in Use 4) and Activities (Rule 1). In 2007-2008, well expand to Connections
between suppliers and customers (Rule 2) and Pathways (Rule 3).
For the definition of any unfamiliar terms used in this ASAT, see the Glossary of Alcoa Terms, Abbreviations and
Acronyms. If you find a term in the Alcoa Self Assessment Tool (ASAT) you dont understand and it is not
included in the glossary, please complete an on-line request to have the term added to the glossary.
Rule 4 Improvement (Click here for more information ABS principles)

4.1 A3 Thinking
4.2 Leading Change
4.3 Problem Solving
4.4 Multi-day Kaizen Methodology
4.5 Help Chain
Rule 1 Activities
TPM (Total Productive Maintenance) (Click here for more information on TPM)
1.1 Work Environment: 5S
1.2 Maintenance Planning and Scheduling
1.3 Preventive and Predictive Maintenance
1.4 Autonomous Maintenance
1.5 Failure Elimination
Process Management (Click here for more information on Process Management)

1.6 Identification of Processes
1.7 Recipes
1.8 In-Control
1.9 Capability
1.10 Work Design

1.11 Daily Management
Rule 2 Connections
2.1 Customer First
2.2 Flow
2.3 Designed Inventory
2.4 Production Instructions
Rule 3 Pathways
3.1 Leveling
3.2 Pull
Final Page 1 of 71 Date: July 05, 2005

Table of Contents
Four Rules-in-Use Guide the Design

and Operation of..
Rule 1-The work
of one person
Rule 2 - Connections between

Suppliers and Customers
Rule 3 - Pathways
Rule 4 - Improvements

Scoring Summary
Major Area: Rule 4 - Improvements RATING

(P=Poor, F=Fair, G=Good, E=Excellent,
NR=Not Reviewed, and NA=Not Applicable)
P F G E NR NA
ABS A3 Thinking
4.1 Waste is systematically identified and eliminated
using a hypothesis based improvement approach
connected to business value. A3s are used at all
levels in the organization to quickly, succinctly and
visually communicate and reach a common
understanding on improvement needs, problems,
proposed solutions and action plans. The location
has a strategic A3 that reflects the locations
contribution to the business unit and corporate
goals.
ABS Leading Change
4.2 Leaders have a hypothesis about the markets they
serve that will achieve the business objectives and
a strategy for including all employees in achieving
these objectives. Leaders are role models for the
behaviors expected from each employee in their
daily work. There is constancy in purpose and
sustainability of improvements over time.
ABS Problem Solving
4.3 A common, structured, visual system is functioning
to restore flow and solve problems using the
scientific method. Problems are regularly solved to
the root cause, close in time and location to their
occurrence by people who do the work with built-in
tests embedded. An effort is made to coach each
person involved in problem solving.
ABS Multi-day Kaizen Methodology
4.4 Multi-day kaizens are regularly conducted, well
planned, with a defined business case and a
hypothesis that is tested with built in tests (Alcoa
Operations Management Consulting (AOMC)
prescribed methodology). The goal is to achieve
immediate improvement in the system and
processes. Kaizens are focused on customer and
business needs, conducted through observation
and learn-by-doing, and executed by the people
who do the work to ensure acceptance and foster
skill development.
ABS Help Chain
4.5 Organizational capability and structure is in place
to support problem solving efforts in a pre-specified
timeframe when called upon.

Scoring Summary
Major Area: Rule 1 - Activities RATING

P F G E NR NA
ABS TPM: Work Environment - 5S (Sort, Simplify,
1.1 Shine, Standardize and Sustain)
Employees maintain their work area in a state of
order and cleanliness, simplifying tasks, while
sustaining and continuously improving the work
environment.
ABS TPM: Maintenance Planning & Scheduling
1.2 Maintenance resources are allocated to optimize
job completion while minimizing its impact on the
pathway.
ABS TPM: Predictive/Preventive Maintenance
1.3 (PM/PdM)
The location has an effective system in place to
schedule and perform inspections, adjustments,
calibration, lubrication and condition monitoring to
prevent and predict failures.
ABS TPM: Autonomous Maintenance (AM)
1.4 Autonomous Maintenance up to Step 3 is used to
engage employees in ownership of their equipment
to sustain equipment health. They discover hidden
defects while involved in equipment cleaning,
inspections, preservation and minor maintenance
tasks.
ABS TPM: Failure Elimination
1.5 Equipment failure, malfunction or configuration that
results in injuries, environmental releases, process
variability, throughput interruption, or product
nonconformities are contained to minimize impact,
investigated to root cause and corrective actions
taken to prevent reoccurrence.

Scoring Summary
Major Area: Rule 1 - Activities RATING

P F G E NR NA
ABS Process Management: Identification of Processes
1.6 Processes, process variables and output measures are
identified and prioritized to drive achievement of
business goals and customer requirements. It is the
role of leadership to establish metrics and objectives by
linkage to the business plan and customer
requirements.
ABS Process Management: Recipes (Set Points)
1.7 Recipes are written containing target process settings
that state how to make a product or provide a service.
Operators and supervisors/group leaders run to recipe.
Inability to run to recipe is recognized as a problem
triggering a reaction plan or problem solving.
ABS Process Management: In-Control
1.8 Control assesses stability of the process over time.
Control of product characteristics and process
variables is assessed. Out of control conditions trigger
the reaction plan (restore flow) or problem solving
action. The organization is working to continually
eliminate out of control excursions, reduce variability,
and establish stability by deploying error proofing
methods and built-in tests.
ABS Process Management: Capability
1.9 Capability assesses the ability of the process or
product to meet expectations over time. Lack of
capability is a basis to initiate improvement
projects/kaizens. The organization is working to close
gaps in order to meet customer needs and business
goals by eliminating waste through deployment of error
proofing methods and built-in tests.
ABS Work Design (for Repeatable Work only)
1.10 Peoples work is predesigned so they recognize an
inability to follow the design as an indication of a
problem. The design is done to match customer
demand, simplify work flow, balance work for efficiency,
ensure quality procedures are followed, and facilitate
safe work practices.
ABS Daily Management
1.11 Business Goals have been translated and deployed to
daily activities on the floor. Work expectations have
been created based on measurable standards that
allow the activity to meet the business goals.
Operators are involved in measuring real time
performance, identifying problems in the moment and
contributing to solutions. Boards are used to make the
daily management process visible at the activity,
department, and location levels. Problems are
identified and solved at the appropriate levels in the
organization.

Scoring Summary
Major Area: Rule 2 - Connections RATING

P F G E NR NA
ABS Customer First
2.1 Internal and external customer needs are
communicated, understood, evaluated and
agreements documented. Opportunities for waste
elimination are continuously pursued.
ABS Flow
2.2 The flow of materials and information through and
between activities is continuous.
ABS Designed Inventory
2.3 Inventory (raw material, work-in-process, and
finished goods) is structured with a purpose to
serve customer demand, buffer variability in
demand or protect against unexpected production
downtime.
ABS Production Instructions
2.4 A process exists to bring external customer
information to the floor at a single location along
the pathway to achieve the desired customer lead
time.
Major Area: Rule 3 Pathways RATING

P F G E NR NA
ABS Leveling
3.1 Conveyance waste and fixed/working capital are
being reduced while delivery performance is being
improved. This is accomplished by smoothing
demand and providing a variety of parts and
internal services in a shorter time frame.
ABS Pull
3.2 Product is made based on a signal of use from the
customer.

Major Area: Rule 4 - Improvement
RULE 4: Improvement of Activities, Connections, Pathways

Towards the Ideal State
On Demand
Defect Free
1x1
No Waste
Immediate Response
Safe
Improvement
Scientific Method
Lowest Possible Level
Guided by a Teacher
PRE-SPECIFIED
INTERNAL TESTS

Name: Title: Test Date:
Rating Poor Fair Good Excellent Not Reviewed N/A

OBJECTIVE: :ABS A3 Thinking
4.1 Waste is systematically identified and eliminated using a hypothesis based
improvement approach connected to business value. A3s are used at all levels in the
organization to quickly, succinctly and visually communicate and reach a common
understanding on improvement needs, problems, proposed solutions and action plans.
The location has a strategic A3 that reflects the locations contribution to the business
unit and corporate goals.
Minimum Expectations
Mark Yes if in place today, No, Not Reviewed or Not Applicable
1. A strategic location A3 exists that is targeted at improving business performance and consistently
meeting customer requirements (See 2.1 - Customer First) and growing stable capacity (bottleneck
analysis).
2. A process exists to cascade the location A3 to the departments or pathways.
3. All levels in the organization understand and are involved in the development and use of proposal
and problem solving A3s to make improvements on a time scale (e.g., days, weeks, months). At least
40% of the locations employees are involved in continuous improvement activities.
4. A3s are constructed correctly and contain clear logic that connects quantifiable business
challenges to potential causes. These are addressed by a hypothesis, target condition and action plans
to overcome the challenges. Progress is verified by the use of metrics. If action plans and metrics do
not achieve the hypothesis, the A3 should be closed and a new A3 with a new hypothesis created.

Testing Suggestions
Mark Yes if test performed. If Not Reviewed, Not Applicable, or if performing a different test, then explain in gray box.
Testing Suggestion for Minimum Expectation #1
1. Ask to see the location strategic A3. Does the business case address understanding and meeting
customer requirements? Review the location A3 to verify it conforms to A3 requirements and is
regularly updated. Note: Some locations are part of multiple business units (B.U.). It is acceptable to
have an A3 for each B.U. at the location, instead of one overall Location A3.
1. Verify the location strategic A3 has been communicated to all employees. Ask to see the documentation
such as meeting notices, attendance records, etc. that proves the A3 was communicated through out
the location.
2. Have the cascaded A3s been posted in a visible locations for all employees? Are the posted A3s
current?

3. Interview operators to determine if they understand the location business case and how their
department can impact it.
4. Review several department/pathway A3s. Verify business case and current condition problems in
department/pathway A3s are clearly linked to those in location A3.
1. Verify that at least 40% of the locations population is involved in formal continuous improvement activity
(e.g., TPM, kaizen events, problem solving, A3 development and execution) annually.
2. Ask to be shown records of cell or work team process improvement activities. Determine whether A3s
are used at the cell or work team level to make improvements.
1. Review a sample of A3s to ensure the business challenge has been quantified using the ABS diamond
and that remaining elements of the A3 are sufficient to meet the business challenge.
2. Verify by looking at a sample of A3s that:
The business case clearly and succinctly defines the objectives, needs, or problems that need to be
solved.
The current condition describes the process as they operate today and clearly identifies the problems,
their causes that must be addressed to achieve the business case.
The target condition describes the future state of the processes as they will operate when the
experiment is done.
The hypothesis (reasoning) to achieve the business case is clear.
Ask to be shown the analysis and data (histograms, pareto charts, scatter plots, etc.) that lead to and
support the hypotheses on which the A3 is based. Determine if the data supports the hypotheses.

The action plans appear to be sufficient to close the gap between the current and target conditions.

The hypothesis is tested using specified metrics.
Verify the A3s are routinely updated and closed upon completion.


OBJECTIVE: :ABS Leading Change
4.2 Leaders have a hypothesis about the markets they serve that will achieve the business
objectives and a strategy for including all employees in achieving these objectives.
Leaders are role models for the behaviors expected from each employee in their daily
work. There is a constancy of purpose and sustainability of improvements over time.
1. The location manager and staff have established a sense of urgency for change based on the market
and competitive realities identifying and discussing crises, potential crises, or major opportunities.
2. A common agenda and purpose is evident throughout the location as a result of the leadership working
together to create a clear picture of the future that describes the strategies for achieving the vision as
well as the need and motivation for everyone to move in one direction.
3. The location manager understands and has identified the business units required outcomes, including
customer needs and trends and gaps between installed and demonstrated capacity, and has translated
them into a current year operating plan that states the locations required contribution towards meeting
business unit and corporate goals.
4. The location has deployed a structured communication plan that constantly communicates the
vision, strategies, and progress to everyone. The communication plan ensures goals are visible and
the entire organization has consistent understanding.
5. The location manager drives the expectation for meeting the standards ( EHS, ABS, TPM, 5S,
attendance, customer orientation, etc). People are expected to follow standards and are given
feedback on their performance to standards. Positive and negative deviations from standards results in
appropriate consequences.
6. Leaders model A3 Thinking as they solve problems, coach others on problem solving and lead
the improvement effort to develop the organizations skills. Direct observation at the activity level is a
core element of their coaching strategy.
7. The location has a reward and recognition system, with visible participation by Leaders, in place
to recognize individuals and teams working towards an improvement culture and for achieving early
wins and improvements in performance.
8. Leaders are actively engaged on the floor to connect people to how they fit into and relate to the
business case. Leaders have standard work for checking activity level performance which links them to
the change initiative and overall strategic plan.
9. The organizational structure is designed to enable the location to execute and achieve the
business case through engagement of the entire workforce (or all employees). Defined accountability,
responsibility and clear interfaces help accelerate what the location wants to accomplish.

Testing Suggestions
1. Interview the location manager. Ask to see the document describing their vision for the location. Ask
him/her to share their vision of the location.
2. Determine whether the vision explains why the urgent need to change exists and whether it directs the
change effort.
1. Determine if the location manager has a team in place and aligned to direct the change effort and
achieve the common goal.
1. Ask to see the documented strategic plan for the location. Determine if the strategic plan establishes
the milestones for the next 3-5 years to reach the vision.
2. Interview the Location Manager. Ask to see the locations annual operating plan. Determine if the plan
includes specific goals linked to B.U. requirements in the areas of profitability, EHS, quality, delivery
performance, customer returns/PPM (Parts per Million), etc.
1. Ask to see the location communication plan and review the methods to reach everyone.
2. Verify that the communication plan uses numerous different vehicles for communications, allows for two
way dialogue, and give and take between constituents to deliver simple and direct messages.
3. Verify that leaders behavior is consistent with the vision and reinforces messages communicated.

4. Ask to see evidence that the communication plan is being executed as planned and is reaching
everyone at the location on a regular basis. Look for evidence such as meeting agendas, meeting
attendance records, meeting notices, presentation, or other documentation that demonstrate how the
vision, specifics of the strategic plan and operating plan have been communicated to all levels of the
organization.
5. Interview people at various levels of the organization to determine if they can describe how their
activities are linked to the vision, strategic plan and operating plan. Determine if the explanations are
consistent with each other and the vision and plans.
1. Ask the location manager how he/she drives the expectations for meeting standards. Ask to see staff
meeting minutes, walk-around documentation, housekeeping audits, or other documentation to confirm
that the location manager is an active participant in monitoring conformance to standards.

2. Interview employees to verify that routine performance feedback is occurring. Does the feedback
address positive and negative deviations for the standards. Ask to see examples of where deviations
have resulted in positive or negative consequences.
3. Interview employees from various departments and levels in the organization. Ask them how the local
management demonstrates its commitment to meeting standards.
1. Interview the location leadership (plant manager, department/pathway ). Verify the leaders are using
A3s to drive improvements in their respective organizations.
2. Verify the leaders require their organizations to use problem solving and A3s.
3. Verify the leaders actively review their organizations A3s down to the activity level and coach the A3
owners on proper use of the A3 format and the quality of the A3 content/execution.
4. Verify that built-in-tests are part of the A3.
1. Interview the location Leadership. Review the written rewards and recognition program. Ask the
Leadership to explain their reward and recognition system.
2. Verify that the Leadership is actively involved in celebrating achievement of goals and recognition of
individuals and teams that contributed to the achievements.
1. Verify that each leader (department and location) has standard work that takes him/her to the activity
level on the shop floor. The leader should be checking daily management boards, observe work,
addresses issues, and helps people solve problems. The auditor should observe the leader performing
daily management checks. If that is not possible, ask the operators or supervisor/group leaders how
often their leadership is on the shop floor participating in the prior listed activities.
2. Ask to see the standardized work for checking and documenting progress for reaching operational and
strategic plan milestones.
1. Ask for the location manager to describe and show how the organization design changed to support the
change effort. Verify the location manager has identified the gaps in resources and skills and has a
plan to close those gaps.
2. Verify the location manager has a plausible organization design to achieve the desired culture and
outcomes.


OBJECTIVE: :
ABS Problem Solving
4.3 A common, structured, visual system is functioning to restore flow and solve problems
using the scientific method. Problems are regularly solved to the root cause, close in
time and location to the occurrence by people who do the work with built-in tests
embedded. An effort is made to coach each person involved in problem solving.
1. Standards have been developed for critical activities. The work group identifies problems by
recognizing deviations from standards associated with:
- people (standardized work, safe work instructions),
- processes (daily management, process management),
- equipment (autonomous maintenance),
- customer requirements and
- work environment (5S).
They gather data to define the problem.
2. The location has a standard problem solving process (e.g., problem solving A3s, corrective
action requests, improvement activities) which follows the scientific method and is used to document
problems and implement solutions. The process is used by the help chain and made visible to the work
group. Problems are solved to root cause.
3. At least one operator/person on each crew/ team and all first line supervisors/group leaders have
been trained in practical problem solving designed for solving problems on the floor.
4. Appropriate resources are assigned to the problem based on skill requirements and business
importance. Coaching is used to develop problem solving skills.
5. Nonconformance to any standard establishes the basis for a problem to be triggered. When
triggered, problems are recorded, and to the extent that problem solving resources are available, they
are investigated at 'Point of Cause, and systemically solved to the root with effective corrective action
measures.
6. Metrics are maintained and posted in the work area for the number of problems identified and
solved. The goal is most are solved in 30 days or less. Verification activities can be on-going, but
should be concluded with a specified time period.
7. Operators verify problem solving effectiveness whenever possible. Verification is accomplished

using data.
8. Work standards are updated to incorporate solutions.
Testing Suggestions

1 Verify that the location has developed standards for critical activities.
2. Interview a sample of people to verify that they understand when they do not meet a standard.
Problem equals not meeting standard
3. Verify that problem triggers have been defined and are posted (refer to daily management).
4. Verify that operators record problems or signal that a problem has occurred.
1. Review the problem solving process used at the location to assess its conformance to scientific
method.
2. Verify that Problem Solving or Daily Management Boards employing problem solving A3s or equivalent
are in active use in the operating areas and that problems are being solved and solutions implemented.

3. Sample problems to verify that root cause has been determined per the problem solving process.
1. Verify through works skills matrix, training matrix or Learning Management System that problem solving
training has been completed for at least one person on each crew/team and all first line
supervisors/group leaders.
2. Ask a sample of employees that have received the training to explain Point of Cause, Direct Cause and
Root Cause. This is to verify the training was effective.
1. Review a sample of problem solving A3s or equivalent to determine if adequate resources have been
assigned relative to the problem impact.
2. Verify problem solving skills are developed through coaching by asking people who are involved in
problem solving what coaching they have received.
3. Verify that help chains are in place for moving complex problems up the help chain.
4. Look for evidence that complex problems are moving up the help chain and are assigned to a Single
Point Accountable person (SPA) for root cause corrective action.
1. Ask a sample of employees that have received problem solving training to explain Point of Cause,
Direct Cause and Root Cause.
2. Ask a sample of employees how they know when to initiate problem solving. For example, what events
or recurrences of the same event trigger problem solving?

3. For a sample of active and/or solved problems, review the corrective action plans. Do the plans appear
to effectively address the root cause of the problem? For example, retrain the operators should be a
seldom used action plan.
1. Look for evidence in the workplace that 70% or more of the problems are closed in 30 days or less,
awaiting verification. Note: Understand the reasons why the 30% are beyond 30 days. Closed means
the root cause and corrective actions have been implemented.
1. Verify that at least one metric has been established for each solved problem to monitor non-
reoccurrence. Ask operators about who maintains the metrics and how often they are updated.
1. Review evidence that links solutions from problem solving A3s or the equivalent to updates in work
instructions.
2. Verify the integrity, efficiency and effectiveness of the problem solving system is reviewed at least twice
per year by the location leadership and improved.


OBJECTIVE: :ABS Multi-day Kaizen Methodology
4.4 Multi-day kaizens are regularly conducted, well planned, with a defined business case
and a hypothesis that is tested with built-in tests (Alcoa Operations Management
Consulting (AOMC) prescribed methodology). The goal is using the AOMC prescribed
methodology to achieve immediate and sustainable improvement in the system and
processes. Kaizens are focused on customer and business needs, conducted through
observation and learn-by-doing, and executed by the people who do the work to ensure
acceptance and foster skill development.
1. The location has an annual plan to conduct at least one multi-day kaizen event per 50 employees
focused on achieving business needs and developing peoples improvement skills.
2. Multi-day kaizens are conducted under the guidance of a coach using the prescribed
methodology and involving the people who do the work and supporting staff organizations (e.g.,
environmental, health, safety, quality, human resources, engineering, maintenance, etc.).
3. Follow-up reviews involving people who do the work in the improvement area are conducted to
ensure improvements have been implemented. Metrics are in place to ensure improvements are
sustained and impact the business case.
4. Change control mechanisms are in place to ensure that changes resulting from kaizens do not
result in unintended negative consequences for downstream processes or customers. Effects of
changes are evaluated with respect to EHS, time, cost and quality.
5. At least 10% of the locations employees are involved in multi-day kaizen events each year.

6. Location capability to coach kaizens is developed while executing the plan for multi-day kaizen
events.
7. The location manager is present at the wrap up session for a majority of multi-day kaizen events.

8. Once a quarter, the location manager reviews multi-day kaizen activities with the business unit
leadership.

Testing Suggestions
1. Verify a location plan exists for multi-day kaizens that achieves employee engagement and business
improvement goals. The plan outlines the business needs to be closed along with the people
development plans targeted.
1. Review two kaizens held at the location within the past 6 months. Review the kaizen plan specifically
the structure of the teams. Was the kaizen led by a coach who has participated and been a team
leader on a previous kaizen?
2. Review the kaizen prep packet to understand the make-up of the team participants. Were the people
who do the work involved in changing their own work and developing their own improvement skills?
Verify that support organizations participated as required and supported the follow-up work required
capturing the opportunity identified in the kaizen.
1. Formal follow-up reviews occur 30 days post kaizen. They involve the entire kaizen team and location
leadership. Verify 30 day reviews have occurred for all kaizens to date and understand the
effectiveness in implementing to kaizen improvements post kaizen as planned.
2. Verify that small reviews are occurring between end of the kaizen and formal review to ensure area /
location is on track to meet agreements. Look for evidence of process to get back on plan when falling
behind.
1. Ask to see the locations change control procedure. Determine whether the procedure requires testing
to ensure that changes do not produce unintended downstream effects. Determine whether the
procedure requires sign-off by a knowledgeable and responsible party after tests are complete.
2. Ask to see the records of recent changes. Review a sample to determine whether both testing and
sign-off are occurring.
3. Ask to see the records of recent kaizens. Verify that changes resulting from the kaizens were subjected
to the change control procedure.
1. Verify that the location has a process for tracking employees who have participated in kaizens. Look for
this to be a visual metric tracked at the department and location level.
2. Verify that the location is achieving the plan of at least 10% of employees participating in a kaizen.

1. Location has a strategy and plan to build internal capability to conduct kaizens. This is evident in their
kaizen prep work. A pool of resources capable of conducting kaizens exists at the location.
1. Verify the participants of multi-day kaizen conduct a wrap up meeting by reviewing meeting notes. Does
the location manager participate in a majority of the kaizen wrap sessions?
1. Ask the location manager to describe how the location multi-day kaizen activities are reviewed with the
B.U. leadership. Is there evidence that it is done quarterly.


OBJECTIVE: :ABS Help Chain
4.5 Organizational ability and structure is in place to support problem solving efforts in a
pre-specified timeframe when called upon.
1. A predefined problem solving structure exists that supports immediate response to problems and
time has been built into the responders work for root cause problem solving. It captures the problem
when and where it occurs while quickly restoring flow.
2. Audio/visual signals to call for help are in place and functioning.
3. A documented list of responders with expected response time exists is posted in the work area.

4. Troubleshooting standards or standard countermeasures (e.g., guides or checklists) are used to

restore flow.
5. Help chain personnel use root cause investigation and problem solving techniques.
Testing Suggestions
Testing Suggestion for Testing Suggestion for Minimum Expectation #1
1. Interview operators working in various activities in the manufacturing or service pathway. Verify that
when they identify a problem has occurred (e.g., inability to run according to the recipe and make good
product), that they know who to call for help and the maximum time allowed for the helper to arrive.

2. Verify that if the first help chain person cannot solve the problem with a prespecified time period (e.g.,
30 minutes), they know who to call next for help and the maximum time allowed for the next helper to
arrive. Follow this line of help chain verification to the level within the organization at which the help
chain stops (e.g., possibly the Location Manager).
3. Determine if operators use the help chain and if it is effective in restoring the flow of the process.
4. Interview responders and ask if time has been built into the responders work for root cause problem
solving.
1. Verify that the operators have a way to signal that they need help to solve a problem. For example,
flashing or colored lights (andon lights), and audible alarm, an audible paging system, plant radio
systems, phones, mobile phones, etc.

2. Ask the operators if the signaling system works all the time and results in people coming to help.
1. Verify the help chain for each activity is documented and posted in the area with expected response
times.
2. For a sample of activities, ask the operators who their help chain is and where to find the posted list of
responders. Determine if the operator responses match the posted help chain.
1. Interview a sample of people in the help chain. Verify that standardized troubleshooting guides or
checklists are used to restore flow that has been interrupted by a problem.
2. Verify that standardized reaction plans are used to correct out of control conditions.
1. Interview help chain personnel. Verify that they are using the AOMC problem solving methodology or
an equivalent.
2. Ask to see records of problem solving activity. Review and assess whether the analysis is actually
determining root cause. For example, is WHY asked five times. Does the analysis support the
conclusion reached? Is testing done to reproduce the problem?
3. Review several corrective actions to verify that actions taken or planned address the root cause(s) of
problems.

Major Area: Rule 1 - Activities


OBJECTIVE: :ABS TPM: Work Environment - 5S (Sort, Simplify, Shine, Standardize and Sustain)
1.1 Employees maintain their work area in a state of order and cleanliness, to simplifying
their tasks, while sustaining and continuously improving the work environment.
1. The location has designed and deployed a 5S program plant-wide which covers operating areas,
maintenance shops, warehouses, common areas, storerooms and offices.
2. Initial and on-going 5S training is conducted for all employees involved in 5S and includes a
learn-by-doing practical exercise.
3. People in a work area have identified and documented (photos, lists, etc.) the tools, supplies,
inventory and other items that must be sorted to maintain the work area free of unnecessary
tools/items. Tools and supplies are evaluated to see that they are right for use. Unnecessary items are
segregated, tagged and removed from the area in accordance with prescribed procedures and times
(e.g. 30 days.)

4. In order to simplify their work, people in a work area have designated a location and quantity for
all tools, supplies, inventory and other items and have arranged them visually in-line with the physical
flow of the work.
5. People in a work area routinely sweep and shine the work area to keep the tools, supplies and
other items in order and identify problems and/or unacceptable conditions.
6. A formal 5S audit process is functioning to sustain and improve 5S results. The audit uses a
scored checklist and is conducted at least monthly by work teams who assess work areas other than
their own.
7. 5S audit deviations and corrections are documented for follow-up. Deviations are resolved in a
timely manner and a follow-up review is undertaken by the work group leader . 5S audit scores are
tracked by work group against a target. Trends are posted in the work area to demonstrate
improvement.
8. People in a work area have documented the procedures and guidelines for sorting, simplifying,
and sweeping. The schedule for completing and reviewing has been done in a standardized way in
order to standardize these activities. The location has developed standards for visual controls, such as
signboards, labeling and demarcation lines.
9. The location sustains all 5S standards in daily work to serve as a foundation for stability and
continuous quality improvements. Location leadership regularly reviews the 5S process and audit
results to foster employment engagement with the 5S program objectives.

Testing Suggestions
1. Verify a 5S program is formally implemented. Are areas of the plant accountable for 5S?Look for a
communications plan, location SPA, area SPAs.
2. Look for a 5S boundary map and ensure that all areas on the map have been assigned SPAs.
3. 5S is a requirement for ABS 1.4 Autonomous Maintenance. If 5S efforts are not plant wide, ensure 5S
efforts are at least active in the autonomous maintenance areas.
1. Review content of 5S training to ensure it includes classroom and learn-by-doing practical training.

2. Verify existence of a training process that delivers 5S training to new employees and refreshes 5S
training for existing employees already involved in the program.
1. Verify that only the tools, materials and inventory necessary for performing the current work is present in
the work area.
2. Verify unnecessary items are visually identified, segregated and removed from area in a timely manner
in accordance with written procedures.
3. All obsolete or unused documents are purged. Signs and posted documents in the area are current.

4. Verify that nothing is stacked on top of cabinets, machines or equipment, or against walls.
5. Verify that aisle ways and corners are clear and unobstructed.
1. Verify shadow boards for tools have been created at the point of use, are labeled and tools are returned
after use.
2. Verify that all items (e.g., gauges, tools, supplies, etc.) are in specified locations and the locations are
visually specified (e.g. labeling, shadow outlines, etc.).
3. Verify areas are specified for work in progress and supplies with visual controls for quantities of each.

1. Verify the work areas are clearly marked and free of material and obstructions.

2. The floors, machines, and cabinets and office areas are clean with no evidence of debris, oil, grease,
dirt, clutter and loose or scrap parts.
3. Walk the floor to verify the general appearance of the area is clean. There are no air/oil/coolant leaks,
loose bolts, rollers not operating, etc.
4. Storage of cleaning equipment, boxes, containers, and materials are neat and clearly labeled.
5. Painted lines, labels, signs, etc. are clean and unbroken.
1. Verify that a process is in place to conduct at least monthly area self-assessment, which includes a
schedule, standardized checklist with score sheet and instructions on how to conduct and assessment
and follow-up. Formal independent audits should be performed at least every six months for
consistency and 5S improvements sustaining.
2. Review completed 5S assessment checklists. Are the assessment checklists completed as required?
Interview persons who complete the checklists and verify there is a process for conducting 5S
reviews/inspections.
1. Verify if a process has been developed to address problems identified during 5S inspections.
2. Choose a few completed 5S audits and review the observed deviations to find visual evidence of
problems identified and closed since last assessment.
3. Are there repeated problems identified on the 5S inspection forms? How are repeated issues
addressed? Has a process been developed to address problems identified during 5S inspections?

4. Verify scores are tracked against a target and trends posted on the area communication board(s) to
demonstrate improvement. Typically this board would be near the Daily Management Board or be the
same board.
1. Verify procedures and work instructions have been written that standardize how employees should sort,
simplify and sweep. Verify the procedures include schedules for 5S activities and standards for
signage, labeling, etc.
1. Interview sample of operators to ascertain their understanding of 5S and their 5S responsibilities in

work area.
2. Review assessment scores over time to determine if improvements are being made.

3. Verify 5S refresher training is conducted periodically.
4. Verify that new equipment if incorporated into the 5S program.
5. Interview Location leadership to determine if they regularly review the 5S process, audits and results to
foster employee engagement with 5S program objectives.
6. Interview a sample of operators to determine if their location manager ever talks to them about their 5S
activities.


OBJECTIVE: :ABS TPM: Maintenance Planning & Scheduling
1.2 Maintenance resources are allocated to optimize job completion while minimizing its
impact on the pathway.
1. Equipment has been prioritized with respect to criticality considering the following aspects: health,
safety, environment, quality and production and high cost impact. A documented list of prioritization
criteria was used. A maintenance strategy (e.g., run to failure, preventive maintenance, predictive
maintenance, condition monitoring, detective checks, etc.) is identified for each piece of critical
equipment and updated based improvement and/or failure history.
2. Events or equipment that constrain process flow have been identified and its impact estimated. A
contingency plan exists to maintain production in the event of a catastrophic failure.
3. A predefined schedule exists for planned maintenance. Maintenance and operations work
together so that deviations from the schedule are for valid business reasons only. Schedule job start
time, finish time and crew assignments are communicated in advance. Adherence to schedule is
measure and reported.
4. For planned jobs that meet a predefined criteria (e.g., greater than 8 hours, on bottleneck
machinery, >$2000, etc.), a planning and scheduling process exists and provides a Job Kit in which all
requirements are collected before the job is executed (e.g., availability of people by expertise,
equipment downtime, spares, supplies, drawings, tools, etc.).
5. A work request/order system exists to properly document equipment maintenance and repair
needs, prioritize work and maintain equipment history.
6. Critical and immediate need parts are kept in the storeroom or organized in storage areas (i.e.,
cataloged, labeled) at the appropriate volume to reduce the repair time while minimizing inventory.
Immediate need parts are kept in the storeroom, organized in storage areas or kept organized with the
machine.
7. Critical outages (e.g., overhauls, turnarounds, shutdowns, rebuilds, new equipment commissioning)
are planned before the event and reviewed afterwards to maximize the amount of work safely
completed and minimize outage time.
8. Equipment specifications, drawings, Job Safety Analyses (JSA), Material Safety Data Sheets
(MSDS), etc., are maintained, accurate and can be easily retrieved by the employees.
9. Planning and execution of maintenance activities enable leveling of manufacturing to sustain

continuous flow.

Testing Suggestions
1. Verify through interviews and process map the consistency of applying the defined criteria (e.g. health,
safety, environment, quality and production and high cost impact) when prioritizing the equipment
criticality.
2. Check for the existence of a prioritized equipment list that includes the assigned criticality for each item,
along with the specific maintenance strategy.
3. Verify frequency and method for updating the criticality list, verify that customer is involved in the
decision and is aware of the agreed equipment criticality.
1. Review for constrained or bottleneck process centers (e.g. any pathway activity, work center, machinery,
cell, operation that limits manufacturing) that a reliability evaluation and back-up plan exist and is
tested to be used when needed.
2. If applicable, back up or stand-by equipment is kept in good condition ensuring it can be operated when
required.
3. For unique critical systems, verify the existence of a catastrophic recovery, contingency plans or risk
assessment that justifies another strategy.
1. Verify that production and maintenance have agreed on a predefined maintenance schedule and work
diligently together towards its completion. Cases of deviation are determined and addressed, as
needed.
2. Determine what metrics are tracked to measure how effectively scheduled work is completed as
planned.
3. Verify most work is submitted and agreed with sufficient lead-time to allow effective planning and
scheduling. Production notifies maintenance in advance of an unscheduled downtime period where a
repair could be performed.
4. Verify that countermeasures are established whenever the agreed schedule cannot be followed to
ensure the total hours of planned maintenance are not compromised.
1. Verify that predefined criteria (e.g., greater than 8 man-hours, work on bottleneck machinery, >$2000
material costs) exists to determine if Job Kits are required.
2. Verify resources are planned and/or materials are pre-staged before maintenance or repair work on
critical equipment is executed (e.g., availability of people by expertise, equipment downtime, spares,
supplies, drawings, tools, etc.).

3. Look at examples of completed job packages. Verify that preplanning criteria were met resulting in
efficient and effective execution of the maintenance job. Review examples of standard maintenance
jobs with pre-defined procedures.
1. Confirm that a consistent and clear process is in place for requesting maintenance work. Requested
maintenance work is clearly linked to the equipment and describes the task to be performed. Verify that
people are knowledgeable about the process for requesting maintenance work.
2. Verify that work orders include at least the following parameters: equipment identification, task
description, job estimate duration, execution priority, work category and craft type.
3. Verify that details of maintenance and repair work are available in the equipment record history to
provide a factual basis for decision on future equipment maintenance strategies.
4. Verify that >80% of the maintenance work is performed against individual work orders specifically
created to document the activity as opposed to standing or blanket orders. Verify standing work orders
(generic, multi-equipment, multi-task jobs) are being used properly.
1. Verify the number of maintenance job delayed due to lack of spare parts availability or suitability is
tracked. Verify that corrective actions are taken to prevent recurrence.
2. Verify also that non-stores areas for critical spare parts are organized, labeled and inventoried to ensure
parts will be ready for use when needed.
3. Verify that rebuild programs exist for repairable components (e.g. motors, valves, cylinders, pumps,
circuit boards etc). Repairs are tested and/or certified prior to placing back in storage.
1. Verify that critical outages are planned to maximize the amount of work completed safely and minimizes
outage time. The schedule is firmed sufficiently in advance to permit effective allocation or procurement
of manpower, materials, and tools.
2. Critical outage progress is tracked and status is displayed or otherwise communicated to those
involved.
3. Verify the execution of critical outages are analyzed (plan vs. actual) with the involvement of
representatives from each craft to document lessons learned. Action plans are developed to reduce the
costs, frequency and durations of future outages.
1. Verify that retrieval of these documents is easy and quick to facilitate quick troubleshooting (e.g. list of
drawings, central drawing cabinets scanned drawings, shared directory).

2. Observe examples of planned jobs packages. Do they contain equipment specifications, drawings,
Safe Work Instructions, MSDS, etc. that can be read by users prior to the work execution.
3. A process for document management and recording the change history of as-built drawings exists (e.g.,
electronic drawings catalog).
1. Verify ability and actions taken by maintenance to level and synchronize their routines and activities to
match customer use rate and demand (e.g., work on small lot sizes and/or single piece flow).
2. Verify changes on maintenance routines as examples:

- Modifying outages and Preventive Maintenance (PM) inspections to small events in alignment with the
expected takt time.

- Creating a rapid response team to restore production flow resulted from equipment failure.
3. Verify a work backlog is regularly developed, prioritized and monitored. The work backlog is used to fill
unexpected opportunity time (non-productive windows) and to ensure efficient use of maintenance
resources.
4. Verify the workload of each skill groups is prepared to permit early identification of shortfalls, excesses
and imbalances in time to take appropriate corrective actions.
1. Check for continuous improvement and/or kaizen events that resulted in waste elimination and
improvement actions within the maintenance disciplines.
2. Verify that a process is in place to solicit, implement, and measure maintenance process improvement
ideas.


OBJECTIVE: :ABS TPM: Predictive/Preventive Maintenance (PM/PdM)
1.3 The location has an effective system in place to schedule and perform inspections,
adjustments, calibration, lubrication and condition monitoring to prevent and predict
failures.
1. A defined preventive maintenance schedule (inspections, servicing, adjustments, calibration and

lubrication) exists with frequencies, tasks and responsibilities pre-specified. Frequencies may be
specified in terms of elapsed time, run time or specific conditions such as wear tolerances.
2. A defined predictive maintenance program exists, inspection methods are properly implemented,
and appropriate technologies (e.g. vibration, thermograph, ultrasound, oil analysis, etc.) are used.

3. At least 90% of the PM/PdM activities are completed when scheduled. 100% of the PM/PdM
activities required to meet regulatory standards are completed when scheduled and documented.

4 Routine testing of equipment, process protective devices and property loss prevention systems
(safety, environmental and equipment interlocks) are in place to prevent catastrophic failures.
5. The content of each PM/PdM activity is clearly written, thorough, and contains all information
necessary to accomplish the tasks, including an estimated elapsed time.
6. Unsatisfactory conditions found during PM/PdM work are recorded and follow-up repairs are
completed within the agreed upon time frame. SPAs are defined and effectiveness of the solutions are
verified.
7. The content and frequency requirement for each PM/PdM is evaluated at least annually. For
PMs/PdMs where the interval is greater than annually, a revision should occur every time the inspection
is executed.
Testing Suggestions
1. Sample ten critical pieces of equipment verifying existence of a defined PM schedule.
2. With the sample above, verify that the steps for execution are clear with respect to tasks and resources
required and an estimate of time to complete.

3. Verify the PM program includes maintaining the condition of the facilities and plant infrastructure (e.g.,
roads, drains, buildings, roofs, pipes, electrical system, structures, etc).
4. Review gauging and instrumentation for unique identification numbers and historical records that
document location, its last calibration, next calibration and (if applicable) installation dates.
1. Verify condition and performance monitoring techniques (e.g., vibration analysis, thermograph, magnetic
particle testing, x-ray testing, thickness measurements, ultrasonic, motor testing, oil analysis, etc.) are
evaluated for applicability and used to assess equipment health, predict potential problems, and
develop actions to avoid failures.
2. Verify the people or external vendors executing the predictive maintenance activities have been trained
and, if applicable, certified to do the work.
3. Verify the PdM inspections follow predefined routes and results are reported to the responsible persons
for action.
4. Verify that alert and danger limits are established and are used and exception reports (reports of
unsatisfactory conditions) to prioritize the work based of the severity and the problem is resolved timely.

5. Verify that sensory techniques (smell, touch, sight, sound) and/or quick response devices and other
monitoring techniques (i.e. vibration pen, infrared thermometer, ultrasound leak detector, gauges, PMs
or operational checks) are used for troubleshooting diagnosing equipment malfunctions or
productivity/quality improvement.
1. Verify that a sample of PM/PdMs are completed per instructions and on schedule. Verify the location
tracks the % of PM/PdM completed on time.
2. Verify that location tracks the completion of regulatory PM/PdMs, 100% are complete and
documentation is available as proof of timely inspection.
3. Overdue PM/PdM routines are reported and corrective actions are taken. For example, look for an
exception report of preventive and predictive routines that were not performed.
1. Review the list of protective devices and loss prevention system, its recommended inspection plan and
records (internal, government and insurance). Typically protective devices are flame detection units,
automated machine guarding, equipment interlocks, pressure relief devices, protective relaying in
electrical distribution systems).
1. Verify that each PM/PdM activity is documented with a written checklist defining what, where and when
a preventive/predictive inspection should occur.

2. Verify the acceptable conditions and failure criteria are defined in the PM content or procedure.
3. Verify that PM/PdM inspections include meaningful measurements and as applicable targets and
upper/lower limits (e.g., belt tightness 1-2, bearing temperature 100-150 F, oil contamination <10
ppm).
1. Verify evidence exists showing minor repairs actions identified during the PM/PdM inspections are
corrected on-the-spot by the inspectors.
2. Verify that corrective work orders stemming from the PM/PdM routine inspection are documented,
planned and scheduled in a prioritized manner.
3. Verify existence of a list of corrective actions generated as consequence of the PM/PdM inspections.

1. Verify a plan exists to review the PM/PdM program effectiveness and make adjustments on time,
content and/or methods as appropriate.
2. Ask to see the records of the last review of PM/PdM program effectiveness, including the list of
PM/PdM changes made as a result of the review.
3. Verify that recurring breakdowns are used to trigger a PM/PdM frequency on content update and/or
corrective actions.


OBJECTIVE: :ABS TPM: Autonomous Maintenance (AM)
1.4 Autonomous Maintenance up to Step 3 is used to engage employees in ownership
of their equipment to sustain equipment health. They discover hidden defects while
involved in equipment cleaning, inspections, preservation and minor maintenance
tasks.
1. Location has developed and executed a communication plan that informs all stakeholders of the
goals and nature of the Autonomous Maintenance process. An implementation committee has been
establishing to guide implementation using a standardized approach. Target areas/equipment based on
a business case and organizational development considerations have been defined and work teams
assigned.
2. During the planning phase, the location has prepared a plan for cleaning and tagging which
includes tools, materials, task list and EHS issues. In addition, AM awareness and get ready training
based on the 7-step process was provided to all involved operators, crafts people and their supervision.

3. A hands-on clean and tag event(s) focused on targeted equipment has been conducted to
develop an ability to recognize and tag defects.
4. An inspection and tagging process is used to report and correct abnormalities. The process tracks
numbers of tags identified, pending and corrected. Maintenance and operations work jointly to discover
hidden defects found during cleaning and inspection, and then tag and correct the problems in a timely
manner.
5. A cleaning checklist is established for sustaining the original level of cleanliness, and improving
results over time, Appropriate cleaning tools and materials are available convenient to the work area.

6. An AM board is used in the work area to communicate AM implementation status and describes
progress against the business goals (e.g. team plans, results, problem tagging and learning).
7. Sources of contamination are identified and posted (using maps and other visual displays) at the
equipment. These sources are progressively being eliminated through root cause solutions.
8. Issues of safer or easier and quicker access for cleaning and inspection are illustrated and posted.
Difficult access areas are clearly identified and improved or eliminated.
9. A plant wide lubrication control program is in place covering labeling, storage, greasing and lubrication
tasks. Greasing and lubrication tasks are pre-specified, lubrication points, including type and quantity
are identified and a visual map of all such points is located at the equipment.
10. There is a process for identifying, marking and removing obsolete and redundant equipment.

11. Training is provided by maintenance to operators and is sustained though One Point Lessons on:
- how to identify abnormalities,
- how to lubricate the equipment,
- how the machine should function and
- how to perform inspections.
12. Clear standards and schedules (e.g. daily routines, shift routes) for cleaning, tightening, inspecting and
lubrication are developed, posted at the equipment and used by operators.
13. A standard exists for applying visual controls to support operator inspections, problem identification and
equipment diagnosis. Visual controls are progressively applied to the equipment. These include
painting, range marks on instruments, match-marking bolts, color-coding, inspection footprints,
transparent machine covers, labels and markings.
14. A formal AM audit process is functioning to sustain and improve AM results. The audit uses a scored
checklist and is conducted at the end of each AM step by the work teams as a self-assessment and
followed by certification of the step by the AM committee.
Testing Suggestions
1. Review AM communication plan with respect to coverage, completeness and awareness and alignment
with business plan.
2. Review AM implementation committee membership, agenda and strategy.
3. According to the Locations business case, verify the location has defined targeted areas or equipment
for AM implementation.
1. Verify existence of pre-cleaning checklist for all selected areas/equipment.
2. Review content and participants in the AM awareness training
1. Verify that the level of equipment cleanliness is sufficient to spot leaks, the collection of dirt and grime
and/or the collection of other contaminants (saw chips, alumina, etc) in the work area.
2. Verify planning, participation and results of the hands-on clean/tag event.
3. Observe that essential areas are visible to identify minor defects.
4. Interview operators to verify

a. that the initial cleaning event developed operator understanding and ownership of the equipment,

b. that the level of cleanliness during the hands-on event(s) was sufficient to spot leaks and identify
problems,
c. that the events were planned and executed efficiently.
1. Verify that procedures exist and are used to register, tag and correct the abnormalities; and a follow-up
process is effective used if the problem cannot be corrected immediately.
2. Verify the number of problems that were identified, pending and corrected are tracked.
3. Review the problem tagging process for sustainability over time and confirm that maintenance and
operations are cooperating to improve equipment reliability.
1. Collect samples of the cleaning plans being used in the AM areas reviewing them for operators
participation, deviations identified and schedule compliance.
1. Verify that the problem tagging process is managed through the AM board.
2. Verify that AM boards are displayed close to the AM areas and are used to communicate plans, results
and learnings.
1. There is a process in place to reduce or eliminate buildup contamination and sources of contamination
to sustain cleanliness standards.
2. Review a plan/form to record and eliminated contamination sources and verify that proposed solutions
are addressing the root cause.
1. Observe for visual evidence of all difficult access points identified, improved or eliminated.
2. Review a plan/form to record difficult access and verify that proposed solutions are effective and
implemented.
1. Review the lubrication control program and verify that it includes labeling, replenishment, storage and
withdrawal requirements.

2. Observe for a lubrication map posted in the machines and verify that they visually display all the
lubrication points and specify type and quantities.
1. Ask to see the process for removal of redundant systems, controls and equipment.
2. Verify that obsolete and redundant equipment has been identified, marked for removal and removed
which results in reduced clutter and improved diagnostics.
1. Verify that AM equipment specific training (classroom and practical) was conducted to all involved
operators.
2. Look at the list of existing One Point Lessons that covers the main equipment functionality. Select
operators to review a few One Point Lessons to check their understanding of content.
1. Verify that AM standards are visual and includes schedule, timing, frequency, tools, boundaries
responsibilities and equipment photo or drawing.
2. Visual and easy to use inspection schedules are displayed in the workplace. Verify the schedule
adherence and compliance results.
3. Verify existence of an AM equipment inspection checklist to verify equipment health and cleaning and
lube standards.
4. Verify that the clean/lube standards are incorporated into the operators work design, standardized work
and daily routines so it can be executed in the path of the work or during AM routes.
5. Verify that the equipment inspections consider eliminating defective components and deterioration (e.g.
damage, misuse, abuse).
6. Verify when operators cannot fix identified problems in the moment, that maintenance work orders are
generated to repair defective or deteriorated equipment.
1. Confirm existence of written standards for all applicable visuals controls.
2. Verify that visual controls are being widely applied into the AM area/equipment.

1. Verify the audit process determines that operators are conducting the equipment cleaning, lubrication
and preservation and is designed to certify that AM implementation step Levels (i.e., 0, 1, 2, 3) have
been achieved.
2. Review the AM committee certification process and current AM certified areas to ensure consistency
and alignment with AM standards.


OBJECTIVE: :ABS TPM: Failure Elimination
1.5 Equipment failure, malfunction or configuration that results in injuries, environmental
releases, process variability, throughput interruption, or product nonconformities are
contained to minimize impact, investigated to root cause and corrective actions taken to
prevent reoccurrence.
1. Core skill competencies are assessed and developed for maintenance crafts in order to move
from breakdown maintenance to failure prevention (e.g. maintenance technicians are troubleshooters
and problem solvers not just restoring flow and changing parts).
2. To complete repairs of chronic failures faster, the location uses standardized instructions with
good work designs and staged materials and tools (e.g. crash carts).
3. Pre-job reviews and post-job critiques for non-routine tasks and all major equipment repairs are
held with crafts, engineers and operators. Pre-job review and post-job critique learnings are analyzed
and improvements are incorporated into maintenance planning and activities.
4. Documented start-up and shutdown procedures are incorporated into operational procedures and
used to prevent machinery damage or minimize problems that impact safety, environment, throughput
or quality.
5. The location demonstrates that equipment failures and unscheduled downtime are minimized and
show continual improvement over time.
6. Based on pre-specified criteria (e.g. hours of downtime, volume of scrapped material, lost
production, cumulative costs, etc.), a practical problem solving method is used to prevent recurrence of
critical equipment failures.
7. There is a continuous improvement focus on maintenance activities (e.g. kaizen events, work
design, crash carts, work sampling, reliability excellence) that promotes and measures maintenance
proactivity, prevention and efficiency.
Testing Suggestions
1. Maintenance leadership has defined the core competencies and promotes development of crafts people
in order to move from breakdown maintenance to failure prevention.

2. Verify that skills needs for each type of maintenance technician have been determined. Verify the
current competency levels of each crafts person has been assessed against the skill level
requirements.
3. Verify a training plan exists to close the identified gaps for crafts personnel.

4. A training module exists for the new appointments/hires to positions in the maintenance organization.

1. Ask for a list of routine repairs that occur at the facility. Verify that standardized instructions including
work designs are used to complete these routine repairs.
1. Determine what non-routine tasks (including critical equipment repairs) have occurred in the last six
months. Review a sample of the pre-job reviews and post-job critiques for these tasks.
2. For the non-routine tasks and critical equipment repairs verify that pre-job review and post-job critique
learnings are analyzed. Ask to see how the learnings have been incorporated into maintenance
planning and activities.
1. Verify start-up and shutdown procedures for critical equipment exist. Verify the operators are familiar
with the procedures.
2. Review how equipment damage is investigated and reported.
3. Review examples of identification and analysis of equipment damage. There is a notification process to
appropriate supervisory personnel.
1. Check for evidence that urgent and emergency work orders account for a small percentage of total
maintenance man-hours.
2. Verify that unscheduled downtime and emergency maintenance work is measured. Can the facility
provide a chart of unscheduled downtime per month verse time and demonstrate improvement?
1. Verify the facility uses practical problem solving to prevent recurrence of critical equipment failures.

2. Verify the minimum expectations of the Problem Solving objective are being met when this approach

is used to prevent recurrence of critical equipment failures.
1. Check for continuous improvement and/or kaizen events that resulted in waste elimination and
improvement actions within the maintenance disciplines.
2. Verify that a process is in place to solicit, implement, and measure maintenance process improvement
ideas.
3. Verify the location focuses on maintenance prevention, while seeking methods to make it easier to
maintain and operate the equipment.

Rating: Poor Fair Good Excellent Not Reviewed N/A

OBJECTIVE: ABS Process Management: Identification Of Processes
1.6 Processes, process variables and output measures are identified and prioritized to
drive achievement of business goals and customer requirements. It is the role of
leadership to establish metrics and objectives by linkage to the business plan and
customer requirements.
1. Customer required product attributes are understood and converted to process variables and
product characteristics which are linked to the location in the process where the attributes are
generated.
2. Internal business requirements have been translated into measurable business metrics (e.g.,
scrap, recovery/yield, rework, internal rejects, etc.).
3. Goals and objectives (e.g., reduce scrap to 2%, increase production rate by 10%) for the
organization have been established for each measurable business metric.
4. Processes have been identified and prioritized based on their impact on business metrics and
customer required product attributes. Note: Quality Function Deployment is a good tool for prioritization
of processes.
5. Process variables and product characteristics are chosen, measured and monitored at a specified
frequency (e.g., hourly, once/shift, daily, monthly) and close to the activity that generates the variable or
characteristic.
6. Process managers/owners have been assigned to each process, starting with high priority
processes and expanding to other processes as business needs require.
7. Flowcharts, process maps, or control plans, etc., are used to document each process, sub-
process and the sequence of steps in each.
8. The location leadership reviews at a specified frequency the progress of the process
management effort. Improvement actions are requested when needed. The location leadership also at
a specified frequency determines if the business metrics and goals, process parameters and product
characteristics should be revised.

Testing Suggestions
Examine a sample of the locations customers to:
1. Verify that the location has identified the customer required critical product attributes for each product
they produce. If appropriate, determine if there has been direct interaction with the customers to arrive
at these determinations. (Note: in the case of stock or industry standard products, it is acceptable for
the location with product design responsibility to define the critical product attributes.)
2. Verify that the location has documented where in the manufacturing process each critical product
attribute is generated and which process variables and product characteristics must be controlled to
achieve the critical product attributes.
1. Interview one or more of the leaders at the location. Verify the location has established a list of
measurable business metrics and can explain the linkages to internal business needs.
1. Verify that goals have been established for each business metric. Goals should exist for the location
level metrics and the flowed down departmental or process level metrics.
2. Verify that the goal is evident on each performance metric chart.
1. Verify that the processes which affect the organizations ability to meet the business goals, objectives
and departmental metrics have been identified and prioritized. Look for an extensive list of processes
that exist at the location and that a systemic prioritization process was used.
1. Sample 5-10 process metrics. Verify that each metric is measured and monitored by people close to
the activity at the specified frequency (e.g., hourly, once/shift, daily, monthly, etc.).
1. Verify that process managers/owners have been identified for each high priority process. Verify the
goals and objectives have been clearly communicated to the process managers/owners.
2. Verify that the process managers/owners have been trained in techniques for managing processes (e.g.
the basic concepts of ABS, process management, statistical techniques, and problem solving
techniques).

1. Verify that each high priority process has been mapped, flowcharted or has a control plan. Verify that
key process variables have been identified.
1. Verify that location management conducts periodic reviews (e.g., monthly, quarterly, during scheduled
management reviews) of all business metrics, process variables and product characteristics.
2. Verify that goals and objectives associated with each business metric are reviewed and revised at a
specified frequency.
3. Verify that the list of prioritized processes is reviewed and updated periodically by the location
management team


OBJECTIVE: :ABS Process Management: Recipes (Set Points)
1.7 Recipes are written containing target process settings that state how to make a product
or provide a service. Operators and supervisors/group leaders run to recipe. Inability
to run to recipe is recognized as a problem triggering a reaction plan or problem
solving.
1. Target process settings for each process and product combination are documented in recipes. If
deviations from the targets are acceptable, the operating range is also documented.
2. The organization has a process for managing and improving controlled recipes or control plan.
Revisions to controlled recipes are approved by the appropriate persons prior to issuance as with all
controlled documents.
3. The operators have been trained in the content of the current recipes.
4. Current versions of recipes are used by the operators.
5. All operators run the process to recipe. Inability to follow the recipe to make quality product is
recognized by the operators and triggers a reaction plan or andon pull for problem solving.
6. Nonconforming product is identified, dispositioned (e.g., rework, scrap, use as-is, etc.), and
controlled to prevent unintended use. The help chain is triggered and/or problem solving is initiated to
prevent recurrence.
Testing Suggestions
1. Verify there are recipes listing the target process settings for each process and product combination.
Verify that upper and/or lower limits are documented for process settings that the location allows the
operators to adjust the target within a given range. Upper/lower limits can be specified for both
automatically and manually controlled process parameters.
Testing Suggestion for Minimum Expectation #2 & #4
1. Obtain a list of controlled recipes for the location. Select a random, representative sample of controlled
recipes. Using this representative sample, verify that the current controlled versions are available to the
operators that need access to them to perform their work. Focus on shop floor level documents.
2. If recipes are distributed electronically, verify that operators know how to access the recipes.

3. Verify that new recipes or revised recipes are reviewed and approved by the appropriate persons prior
to being issued for use.
4. Verify that the organization ensures that their process for managing controlled recipes is reviewed,
monitored and/or audited at least yearly.
1. Verify that operators have been trained on the content of the recipes. For example, ask them when and
how they were trained on a specific recipe. Ask them how they are informed of changes to recipes.
Look for training records that prove when, where and to whom the training was delivered.
1 Verify that employees know what to do if they cannot make acceptable quality product while following
the recipe. Does inability to follow the recipe trigger execution of steps in the reaction plan or help
chain problem solving activities?
2. Does the location monitor the frequency of times the process or activity does not run to recipe? For
example, on a Daily Management Board.
1. Verify the people authorized to disposition nonconforming material is documented.
2. Interview the people responsible (i.e., operators and management) for identifying, controlling and
dispositioning nonconforming work in process and finished product. Verify that nonconforming material
disposition requirements are being met utilizing authorized personnel.
3. Determine the type of segregation or isolation the location requires for nonconforming material (e.g.,
electronic classification within Oracle or physical isolation in a marked section of the plant floor). Verify
the requirements are being met.
4. Verify the location uses problem solving to determine the root cause of nonconforming material
production, initiates corrective actions to prevent recurrence and shows continuous improvement in
recurrences.


OBJECTIVE: ABS Process Management: In-Control
1.8 Control assesses stability of the process over time. Control of product characteristics
and process variables is assessed. Out of control conditions trigger the reaction plan
(restore flow) or problem solving action. The organization is working to continually
eliminate out of control excursions, reduce variability, and establish stability by
deploying error proofing methods and built-in tests.
1. For each critical process variable and product characteristic, product and process control plans
have been established that address work activities, target process settings, product specifications, built-
in tests, sampling frequencies, inspection activities and reaction plans. (Note: Process or product
control plans are related to recipes, but are generally broader in scope.)
2. Product and process control plans, and other documents associated with these control plans (i.e.,
standardized work charts, sampling plans, reaction plans, recipes, etc.), are controlled documents and
current versions are used by the operators.
3. An initial control (current condition) assessment for the business metrics, process variables and
product characteristics has been conducted for each process.
4. For any process where the initial control (current condition) assessment indicates that the
business metric, process variable and product characteristic is out of control, an improvement plan has
been developed. Critical outputs are evaluated by the operator in the moment for short-term special
cause problems. Reaction plans and help chains are used to respond to out of control events.
5. For any process where the initial control (current condition) assessment indicates that the
business metric, process variable and product characteristic is in control, a plan to monitor the on-going
control of the process has been developed and deployed. Operator expectations have been
communicated and operators are engaged in the real time management of their processes. These real
time activities may include using control charts, mistake proofing methods and built-in tests.
6. Key measuring systems for business metrics, product characteristics and process variables have
been identified and documented. Measurement assurance plans have been established for the key
measuring systems and documented on control plans.
7. Key incoming materials and/or services have been identified and documented. Control plans for
key incoming materials and services have been established. The key incoming materials and services
are monitored at the specified frequency.
8. Critical process outputs are evaluated by the process owner or departmental management for
long-term state of control at the specified frequency, (e.g., daily, weekly, monthly, etc.). Improvement
plans are developed and deployed as needed.

9. 75% of critical process variables and product characteristics are in control.
Testing Suggestions
1. Verify that the sampling frequencies and sample sizes have been defined in the recipes and/or control
plans.
2. Verify that the critical process variables and their desired targets and tolerances have been defined in
the recipes and/or control plans.
3. Verify that recipes and/or control plans have defined reaction plans.
1. Select a random, representative sample of product and process control plans, or the standardized work,
sampling plans, recipes and/or reaction plans associated with these plans. Using this representative
sample, verify that the current controlled versions are available to the operators that need access to
them to perform their work. Focus on shop floor level documents.
2. If process and product control plans, or other associated documents, are distributed electronically, verify
that operators know how to access them.
3. Verify that new or revised process and product control plans, or other associated documents, are
reviewed and approved by the appropriate persons prior to being issued for use.
4. Verify that the organization ensures that their process for managing controlled process and product
control plans, or other associated documents, is reviewed, monitored and/or audited at least yearly.

1. Verify that all high priority processes have been assessed for control (stability).
2. Verify that the assessments were done using the specified sample sizes and sample frequencies shown
on the control plan.
3. Verify that the data was analyzed using the specified statistical techniques shown in the control plans
and/or recipes.
4. Verify that the results of the control analysis have been documented.
1. For processes that are out of control, verify that an improvement plan has been developed and
deployed.
2. Verify that out of control conditions (special causes of variation) are investigated to determine root
cause and eliminate recurrence.

3. Verify that reaction plans and/or help chains for each process are available and are being followed by
the people involved in responding to out of control conditions.
4. Verify that the deployment of the improvement plan includes all people involved in the operation of the
out of control process.
5. Verify that the problem solving tools, direct on-the-floor observations and statistical tools are being used
to identify the reasons for lack of stability.
6. Verify that the expectations of managing this out of control process have defined and communicated to
all the people involved in this process.
7. Verify that built-in tests are being use to prevent out of specification product from being sent
downstream to the next customer.
1. Verify that an on-going monitoring plan has been established. This plan should include where to
sample, when to sample, sample sizes, how to monitor when out of control, a reaction plan for out of
control and out of specification, etc.
2. Verify that control is monitored real time by the people who run the processes/equipment.
3. When statistical techniques are used, verify that the statistical techniques are being used appropriately
(e.g., correct statistical tool being used, statistical tool being used correctly).
4. Verify that the reaction plans, built-in tests and error proofing techniques are being used properly.

5. Verify that the process variables and product characteristics are being measured and evaluated at the
specified frequencies shown in the control plans.
1. Verify that key measuring systems for performance metrics, product characteristics and process
variables have been identified and documented.
2. Verify that the measurement assurance control plan is complete and current. Look at a sample of the
measurement assurance control plans and verify that all the columns are filled in and the date is
current.
3. Verify that the measuring systems are calibrated according to the specified frequencies. For a sample
of measuring systems, ask how often each is supposed to be calibrated and then ask to see the records
proving the calibrations were performed.
4. Verify that gage capability studies have been conducted on all key measuring systems using statistical
techniques.
5. Verify that the results of the gage capability studies and analysis have been documented.
6. Verify the gages are capable of meeting the measurement need (e.g., the 10X rule is met for
dimensional measurements).

1. Select a sample of key incoming materials. Verify that an incoming material control plan has been
established for each material and that it is being followed by responsible persons to verify material
acceptance prior to use. Note: Some processes may be insensitive to existing incoming material
variability and therefore no key incoming material requirements have been established. Also, in some
cases, no critical services maybe used by the location.
1. Verify that the critical process outputs are reviewed for long term control (stability) by the process
owners or departmental management.
2. Verify that if critical process outputs are not in control long term that an improvement plan has been
developed.
3. Verify that the improvement plan has been assigned to someone with goals and objectives.
4. Verify that the departmental management team reviews improvement progress.
Testing Suggestions for Minimum Expectation #9
1. Ask to see the list of critical process variables and product characteristics. Ask for the documentation
that shows which are in control. Determine if 75% are in control.
2. Select a sample of the critical process variables and product characteristics that are listed as in control.
Go to the appropriate process areas and view the process measurements to determine of they are
actually in control.


OBJECTIVE: ABS Process Management: Capability
1.9 Capability assesses the ability of the process or product to meet expectations over
time. Lack of capability is a basis to initiate improvement projects/kaizens. The
organization is working to close gaps in order to meet customer and business goals
by eliminating waste through deployment of error proofing methods and built-in tests.
1. The capability index requirement for each critical product characteristic and/or process variable
has been determined based on a customer requirement or business need and documented by the
Leadership (i.e., Cpk >= 1.0, Cpk >= 1.33, etc.). If required, the method of determining capability for
business metrics has also been determined (e.g., better than goal for 7 consecutive months).
2. An initial capability assessment for the critical business metrics, process variables and product
characteristics has been conducted for each process. For process variables and product
characteristics, capability is assessed only if the variable or characteristic has been verified to be
statistically in control.
3. For any process where the initial capability assessment indicates that the critical business metric,
process variable and product characteristic is not capable, an improvement plan has been developed.
Improvement plans are based on learnings from problem solving, kaizen events, or other help chain
resources.
4. For any process where the initial capability assessment indicates that the critical business metric,
process variable and product characteristic is capable, a plan to monitor the on-going control and
capability of the process has been developed and deployed.
5. Critical process outputs are evaluated at the specified frequency (at least once per year) to
determine the state of capability and improvement.
6. 50% of critical process variables and product characteristics are capable.
Testing Suggestions
1. Verify that the organization has defined the desired capability index for each customer requirement and
the method of determining capability for each business metric.
1. Verify that all high priority processes have been assessed for capability, but only if the process variables
or product characteristics are in control.

2. Verify that the assessments are done using the control plan specified tools, sample sizes and sample
frequencies.
3. Verify that the data was analyzed using the control plan specified statistical techniques.
4. Verify that the results of the analysis have been documented.
1. For processes not capable, verify that an improvement plan has been developed and deployed. Verify
the plan was developed using problem solving, kaizen events or other formal or informal help chain
resources.
2. Verify that the deployment of the improvement plan includes all people involved in the operation of that
process.
3. Verify that the expectations of managing this non-capable process have been defined and
communicated to all the people involved in this process.
1. Verify that an on-going monitoring plan has been established. This plan should include where to
sample, when to sample, sample sizes, countermeasures when not capable, a reaction plan for not
capable and out of specification, etc.
1. Verify that the high priority process outputs are reviewed for long term capability by the appropriate
people.
2. If high priority process outputs are not capable long term, verify that an improvement plan has been
developed.
3. Verify that the improvement plan has been assigned to someone with goals and objectives.
4. Verify that the departmental management team reviews improvement progress.


OBJECTIVE: :ABS Work Design (for Repeatable Work only)
1.10 Peoples work is predesigned so they recognize an inability to follow the design as an
indication of a problem. The design is done to match customer demand, simplify work
flow, balance work for efficiency, ensure quality procedures are followed, and facilitate
safe work practices.
1. Leadership has identified the need for standardized work and prioritized the needs based on their
impact on business goals.
2. A standardized work process is used by the operators to design their work, facilitated by a coach,
with the goals of safety, quality, productivity and time.
3. Standardized work charts are posted at the activity. The standardized work charts are
understood by supervisors/group leaders. Supervisors/group leaders check daily through observation
that standardized work is followed.
4. Continued work design improvements demonstrate reductions in motion, geography, flow of

materials, cycle or change over times resulting in improvements in ergonomics, safety, productivity and
quality.
5. A process exists to resolve situations where work rules are in conflict with work design
improvements.
6. Opportunities to flex output by varying the number of operators are recognized and captured.
The productivity of operators is maximized by the ability to flex operators to different assignments.
There is a work design that allows the activity to catch up when it gets behind on output.
7. Operators are trained to be multi-skilled to support the business needs. Only people who are
trained/certified are performing work in each activity.

Testing Suggestions
1. Verify the location leadership has a plan for the development and application of standardized work.

1. Verify that a standardized work document(s) is used by operators and supervisor/group leaders to
capture and document at a minimum the content, sequence and expected outcomes of safety, quality,
productivity and time. Ideally, work element timing and location should also be included.
2. Observe the operation and verify that operators are following standardized work.
3. Verify other related standardized Work documents such as combination tables, balance charts, data
collection/observation forms, etc., were used to develop standardized work.
1. Verify that standardized work charts are posted at the activity and include at a minimum content,
sequence and expected outcomes of safety, quality, productivity and time.
2. Verify that supervisors/group leaders can explain standardized work charts posted in their area.
3. Interview a sample of operators to verify the frequency they are observed by someone to determine if
standardized work requirements are followed. Verify that actions are taken if they are not able to follow
standardized work requirements. Also, go observe first-hand to see if standardized work requirements
are being followed.
4. Does the observer help the operator understand why they are unable to follow standardized work
requirements.
5. Interview the supervisor/group leader to ensure he/she understands his/her role in verifying standardized
work requirements are followed and that they need to coach operators that are deviating from the
requirements.
1. Verify that operators are involved in the review and improvement of their standardized work designs and
that they are revised routinely to keep them current.
2. Verify the standardized work revision dates confirm a process exists for improving and updating
standardized work on a regular basis. If the standardized work charts are dated more than a year old,
question if modifications or updates are needed based on the business case.

1. Verify a policy review process exists at the location to negotiate or otherwise address work rule
conflicts, is designed to involve operators in the modification and/or alignment of work policies with work
design improvements to align work rules with work design improvements.
2. Review notes of prior policy review or union/management meetings held to review or modify work rules.

1. Discuss with operators and/or supervisor/group leaders the actions for increasing/decreasing output to
match fluctuations in customer demand rates.
2. Where available, review standardized work for various staffing configurations.
3. Verify with operators and/or supervisor/group leaders that action plans exist which allows for the
segmentation of work assignments to facilitate a temporary increase in production at a bottleneck
activity.
1. Review training records or other documents proving that operators are multi-skilled and capable of
performing multiple roles on the work team.
2. Where available, verify pay-for-skill plan documents and correlate hourly pay rates with assessed skill
levels.
3. Review the operator skills matrix. Verify the operators working in a sample of activities meet the current
skills requirements. Note: A good practice is to visually post the matrix in the operator work area.



OBJECTIVE: :ABS Daily Management
1.11 Business goals have been translated and deployed to daily activities on the floor. Work
expectations have been created based on measurable standards that allow the activity
to meet the business goals. Operators are involved in measuring real time
performance, identifying problems in the moment and contributing to solutions. Boards
are used to make the daily management process visible at the activity, department, and
location levels. Problems are identified and solved at the appropriate levels in the
organization.
1. Activities targeted for daily management implementation have been identified and prioritized based on
their impact on business metrics. A visual daily management board(s) at the activity level displays the
details of the business need statement, performance standards, actual performance metrics and problem
solving actions. These activity level boards are in the path of the operators work. The business need
statement identifies why the control and improvement of production measures at this activity are
important to the success of the business.
2. Work expectations are defined based on standards for measures such as cycle time for particular
parts, how much to produce, changeover times and/or quality standards. Performance against these
standards is charted real time by the operators/team leaders.
3. Operators are measuring and plotting their achievement against standards by collecting data at
the specified intervals.
4. Alcoa defined OEE (Overall Equipment Effectiveness) is used to measure the ability of the activity
to perform to standard by comparing a planned schedule with the actual performance. OEE targets to
meet customer demand have been established for each critical activity. Actual OEE versus OEE goal is
tracked on the visual management boards. Inability to meet goal initiates problem solving.
5. At least weekly, members of location leadership review the activity level daily management
boards and uses these reviews to expose issues that lead to coaching.
6. At least one higher level daily management board exists at the location that aggregates the
metrics from the activity level daily management boards. This board(s) is displayed in a location that is
easily accessed by location employees.
7. Location leadership knows on a daily basis if plant is ahead or behind business plan by reviewing
the department and/or location level daily management board(s). This higher level daily management
board(s) contains aggregated activity level metrics, shows progress against the business plan and
initiates problem solving to get back on plan.
Testing Suggestions

1. Ask the location leadership how they decided which activities to start with for daily management .

2. Verify that at business need statement is posted on each daily management board. Interview operators
to verify their understanding of the need to improve the process metrics for their activity.
3. Verify the help chain, actual performance against standards, built in tests/triggers for initiation of
problem solving, open and closed problem solving A3s, and possibly a chart tracking the number of
problems identified and solved to root cause are posted on the daily management board. Also verify
that the board(s) are located as close as possible to where the operators work occurs.
1. Verify standards and performance against those standards are charted real time by the operators or
team leaders on the daily management board. For example, look for charts that show actual versus
plan for OEE, problem solving closure within 30 days, % of time running to recipe, changeover time,
pounds/parts produced, %scrap, etc.
1. Verify the data on the daily management boards is current and updating is done by the operators/team
leaders.
1. Verify that actual OEE is tracked against target for critical/bottleneck pieces of equipment on the daily
management board.
2. Verify that OEE targets are set based on customer demand.
3. Verify that OEE is calculated properly using the Alcoa definition.
4. If actual OEE is lower than target, verify that problem solving has been initiated.
1. Verify the operators or ream leaders that location leadership is involved at least weekly in daily
management reviews. Ask them if the location leadership asks questions about metrics that are not
meeting plan and what problem solving activities have been initiated to get back on plan.
1. Verify there is at least one daily management board higher than the activity level located in an area that
employees walks by on a daily or weekly basis. Verify the data on the board is current.

1. Observe the location leadership conducting a daily management review at the higher level daily
management board(s) or activity level daily management boards. Verify the location leaders direct
reports participate in the reviews. Verify that questions are asked about metrics that are not meeting
plan and that problem solving activities are initiated to get back on plan.

Major Area: Rule 2 - Connections


OBJECTIVE: :ABS Customer First
2.1 Internal and external customer needs are communicated, understood, evaluated and
agreements documented. Opportunities for waste elimination are continuously
pursued.
1. Ability to meet external customer needs is verified and tested before agreements are established.
A process exists to resolve customer needs that do not match current production system capability.

2. External customer requirements for special orders, engineered type products (vs. repeat catalog
items), new product offerings are understood and translated into product/service requirements and
documented.
3. Internal customer requirements are understood, translated into product/service requirements and
documented.
4. A process exists to develop and exploit opportunities to offer a better value proposition to the
customer and reduce cost for issues such as demand variability, quantity, packaging specifications,
delivery requirements, etc.
5. The impact of new or changing customer needs is evaluated with respect to its effect on safety,
quality, cost, and delivery capability of the production system.
6. A process exists to frequently seek and act upon both positive and negative customer feedback.

Testing Suggestions
1. Review the procedure or process to ensure external customer requirements are being met before
orders are accepted. If typical production is out of a catalog or standard repetitive items and thus not
applicable, then pursue how non-standard or special items are handled in this manner.
2. Review a sample of orders from a variety of customers and products. Verify that documentation exists
for Alcoas agreements and disagreements with customer requirements.
3. Interview a sample of people to determine if they understand the process for resolving customer needs
when problems occur.

1. Verify a process exists to test whether external customer requirements can be met for special orders or
new products.
2. Interview operators to ensure they understand external customer requirements.
3. Where possible observe on the floor and validate the external requirements are being met.
4. Interview a sample of people to determine if they understand the process for resolving external
customer-supplier requirements when product is produced that doesnt meet requirements.
Testing Suggestions for Minimum Expectations #3
1. Review the procedure or process of how internal customer requirements are communicated and
committed to between departments and/or operations. Observe whether or not the procedure is being
followed.
2. Interview operators to ensure they understand internal customer requirements.
3. Where possible observe on the floor and validate the internal requirements are being met.
4. Interview a sample of people to determine if they understand the process for resolving internal
customer-supplier requirements when product is produced that doesnt meet requirements.
1. Ask to see any customer connection work that has been done to better understand ordering patterns, lead
time requirements, and/or use rate. Observe where evidence of simplification or consolidation of
specifications has been evaluated for removing waste across the system.
2. Ask to see customer connection work that resulted in an improved value proposition for a subset of
the locations customers.
1. Verify that a process exists to evaluate the impact of changing customer needs on production system
performance.
2. Contact a process owner for an example of a recent change and the evaluation of the effect on the
system.
1. Obtain the procedure for handling customer feedback. Seek examples where negative feedback was
received and see what was done with it. Was it: Communicated appropriately? Investigated?
Problem solved to root cause? Response time and accountability as committed to (and in agreement
with procedure)? Verification activities of the corrective action performed? Closed loop communication
to customers and operators?


OBJECTIVE: :ABS Flow
2.2 The flow of materials and information through and between activities is continuous.
1. Movement and conveyance wastes are identified using a map of the physical (geography)
product/service flow through the plant.
2. Projects are on-going to reduce motion and conveyance waste. There is evidence of savings
captured.
3. Problems that cause complex decisions about what to process next are identified using a drawing
of the material/information flow through the sequential activities of the pathway (logical flow/Shikumi).
Examples including crossing or looping of product flow.
4. Projects that simplify flow and fix paths of material/information flow are on-going. There is
evidence of flow simplification.
5. Problems that prevent processes from producing to the needs of the downstream customers are
identified (batching, patterns, sequencing rules, etc.).
6. Projects that reduce lots sizes to achieve continuous flow which allow production lots to more
closely match to customer needs are on-going. There is evidence of lot size reduction.
Testing Suggestions
1. Obtain and review the geographic map for material and information flow for all product pathways where
main movement and conveyance wastes are identified. Verify that map by direct observation on the
floor draw your own map and compare.
2. Can plant leadership identify key movement and conveyance opportunities in the plant? Verify by direct
observation on the floor.
1. Verify the action plans have been developed and are being executed to minimize the highest priority
movement and conveyance wastes. Action plans have an associated hypothesis that describes the
business value.
2. Verify the resultant savings associated with the executed action plans are being captured (is progress
being made). For example, fewer fork trucks needed to support the location, reductions in product
damage caused by moving it around the factory floor, etc.

1. Obtain and review the logical flow / Shikumi diagram for the pathways in the plant. Verify by direct
observation on the floor - draw your own and compare.
2. The highest priority logical flow problems are identified on the drawing.
3. Can plant leaders identify key logical flow opportunities in the plant? Verify by direct observation on the
floor.
1. Verify that there is evidence the action plans are being executed and that material/information logical
flow through the location is being simplified. Action plans have a hypothesis that has business value.
Look for examples like before/after pictures or improvement descriptions.
1. Test that key production inefficiencies have been identified which prevent making to customer use rate.
These include patterned production, large runs, excessive scrap generated by changeover, etc. Verify
by direct observation on the floor.
1. Verify that the action plans have been developed and are being executed to minimize the highest
priority production inefficiencies. Action plans have a hypothesis that describes business value.
2. Verify through observation that there is evidence of lot sizes are being reduced to meet customer needs
without increasing wastes (e.g. scrap, rework, down-time due to changeovers, etc.).


OBJECTIVE: :ABS Designed Inventory
2.3 Inventory (raw material, work-in-process, and finished goods) is structured with a
purpose to serve customer demand, buffer variability in demand or protect against
unexpected production downtime.
1. Inventory is sized based on replenishment time or customer demand (stores) and its variability
(buffer), and equipment reliability/process stability (safety stock).
2. Inventory is positioned at pre-determined locations with visual controls (e.g., how much, what
kind).
3. Inventory is segregated by purpose (type) stores, safety and buffer queues
4. Inventory between activities/processes is maintained within pre-designed levels.
5. Reductions in inventory are an integral part of the improvement strategy. Inventory reduction
plans exist for each activity/process and are visible. The data show a downward trend in total days
supply of inventory.
6. All types of inventory are tagged with identification cards or marked appropriately based on
customer needs. Tags should contain information such as quantity, type, and identification name.

Testing Suggestions
1. Verify that the inventories maintained between activities or processes are sized based on data. The
inventories should be sized based on stores/buffer/safety stock requirements. Ask the location to share
and assess their calculations for each inventory point.
1. Verify by direct observation that inventory is stored only in the pre-specified locations. For example, in
painted areas on the shop floor, beneath signs indicating the inventory type or in the specified
warehouse.

1. Walk the plant floor to understand the purpose of the inventory.
2. Observe operators to confirm their understanding of the types and uses of the inventory and how it is
replenished form their process.
1. Where flow between two subsequent activities is not 100% continuous, verify that the maximum and
minimum inventory levels between the two activities has been specified.
2. Verify the operators understand the minimum/maximum levels and what is to be done when either limit
is exceeded. Do the operators understand the corrective action to be taken when limits are exceeded?

1 Verify that an inventory reduction plan exists and is being executed.
2. Verify that inventory levels are tracked over time and demonstrate a downward trend in the total days of
supply on hand.
1. Select a sample of all three inventory types at the location. Verify that raw materials; work in process;
and finished goods are identified with respect to type, quantity, product name, customer (if applicable).

2. Verify all inventory identifications are legible and complete.


OBJECTIVE: :ABS Production Instructions
2.4 A process exists to bring external customer information to the floor at a single location
along the pathway to achieve the desired customer lead time.
1. The external customer information is delivered to only one location along the path way.
2. The production instruction (e.g., work order, router, daily plan, etc.) contains the following
information: type of part/product, quantity and timing (e.g. when to produce).
3. The production instruction is followed. The ability to follow production instruction is measured
and exceptions are captured as problems and acted upon
4. The customer lead time requirement (order entry to shipment) is determined based on market
understanding.
5. The production system achieves the customer lead time.
Testing Suggestions
1. Verify the signal sent to the manufacturing floor to produce material for a customer order is
communicated at only one location along the pathway (bringing the arrow down once). Look for
instances of conflicting production instructions.
1. Verify the signal includes all the required information (i.e., product name/part number, quantity, quality
requirements, by when, etc.). Interview the operators to determine if all the required information is
included.
1. Verify production instructions are followed with respect to sequence in time, quantity, quality, etc. Ask
the operators if there are ever instances where they cannot do this. Ask them what they do when these
events occur. They should reply that they call the help chain and problem solving is initiated.
2. Verify that the inability to follow production instructions is noted as a problem and logged in a problem
solving system.

1. Verify the location understands the lead time required by their customers. The lead time for products
manufactured by the location is set based on an understanding of the market requirements (e.g., siding
must be delivered to installation contractors within 1 week of order or the contractor will not get the job,
wheels must be delivered just-in-time or the location will lose the supply contract) and/or the
competitors ability to supply within a certain lead time.
1. Verify that the location tracks the percentage of time that product is manufactured and ready to ship on
the required date.
2. If this percentage is <100%, failures are captured and a system exists to improve.

Major Area: Rule 3 Pathways


OBJECTIVE: :ABS Leveling
3.1 Conveyance waste and fixed/working capital are being reduced while delivery
performance is being improved. This is accomplished by smoothing demand and
providing a variety of parts and internal services in a shorter time frame.
1. Product volume is leveled by using a high volume buffer or by smoothing the order book by taking
advantage of the difference between lead time and flow time.
2. A current condition study has been done to identify batch operations along the path way and what
determines the current batch size.
3. Batch size and changeover reduction improvements are done if required by the business plan to
improve delivery performance and reduce working capital. Batches sizes that increase flow time due to
the size and quantity of the batch (variety leveling) are identified.
4. Processes operate at a pre-defined rate (takt time) based on a level demand rate of the
downstream internal or external customer.
Testing Suggestions
1. Sample production centers to check whether or not they are producing to a level quantity.
2. If a high volume buffer is used, review the design for effectiveness. Design choices include number of
products in the buffer and the amount of each. Check to see what is assumed about demand variability
and what situations the buffer will be able to handle.
3. If leveling is accomplished by leveling the order book, review the smoothing process for specific
examples which show how well a targeted level can be reached.
1. Ask for a list of key operations that batch and what determines the batch size. Observe the batch
production at those key operations to assess the understanding of the causes of batching.
1. Ask if the reduction of batch size on any key operation is a targeted opportunity. Ask for the estimated
business value. Evaluate potential opportunities that might be overlooked.

1. Verify the location has worked with their major customers to understand the customers consumption
rates and patterns. Verify that efforts have been made to reduce the variability in the consumption rates
and patterns.
2. Verify that required manufacturing rate for each product family has been determined based on the
customers consumption rates (takt time) and implemented on the factory floor.
3. Verify the location attempts to match the manufacturing rate of each product family to the customers
consumption rates.


OBJECTIVE: :ABS Pull
3.2 Product is made based on a signal of use from the customer.
1. There is a system design that utilizes pull only if the production system is stable enough to
support it.
2. Material production and movement throughout the pathway is based on replenishment signals
(kanbans). Without a replenishment signal, production stops.
3. Replenishment signals that start the manufacturing process or trigger the movement of material
and information are moved at a multiple of the takt time (pitch). Out-of-stock conditions are made visible
on the floor and lead to problem solving.
4. Pull system connections are utilized to strengthen strategic customer relationships and eliminate
waste. They provide an accurate signal of use and a clear delivery response.
5. Production signal maintenance is reviewed on a regular basis to account for market changes.

Testing Suggestions
1. Verify the location has determined if a pull system should be built. What stability criteria were used to
decide if a pull system should be built? If it was decided to build a pull system, proceed with the
remaining testing suggestions. If the location is not ready for a pull system, this objective is not
applicable.
1. Verify by direct observation on the floor the need to manufacture product is signaled by downstream
activities/processes to upstream activities/processes via the use of kanban cards.
2. Verify by direct observation on the floor the kanban cards are visually stored/arranged in the work area
such that it is evident to the operators what needs to be manufactured and in what order.
3. Verify by direct observation that production stops when there are no kanbans.

1. Verify the movement of kanban cards is done at a multiple of the takt time.
2. Verify that out of stock conditions are signaled in a visible way in the work area and then initiates the
problem solving process.
1. Ask whether the pull system connection has created a better value proposition with those customer
connections. If not, what was the business case for the original design. If yes, can this be spread to
other customers.
2. Determine if there are pull connections to customers. If there are, check to determine if the pull signals
are the only signals used to supply those products to those customers. That is, those signals are an
accurate representation of what the customers need and nobody has to modify the pull request.
3. Verify that delivery performance is measured against the pull signals.
1. Verify that there is a process to maintain the number of kanbans in each pull system loop.
2. Verify the kanban maintenance system audits the number of kanbans circulating.
3. Verify the kanban maintenance system changes the number of kanbans based on changes in customer
demand or production lead time or batch size.

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ABS Operational Excellence ASAT

Rule 4 Improvement (Click here for more information ABS principles)

Process Management (Click here for more information on Process Management)

1.10 Work Design

Final Page 1 of 71 Date: July 05, 2005

Four Rules-in-Use Guide the Design

Rule 2 - Connections between

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Major Area: Rule 4 - Improvements RATING

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Major Area: Rule 1 - Activities RATING

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Major Area: Rule 1 - Activities RATING

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Major Area: Rule 2 - Connections RATING

Major Area: Rule 3 Pathways RATING

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RULE 4: Improvement of Activities, Connections, Pathways

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2. A process exists to cascade the location A3 to the departments or pathways.

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2. Verify by looking at a sample of A3s that:

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4. Verify that built-in-tests are part of the A3.

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Name: Title: Test Date:

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7. Operators verify problem solving effectiveness whenever possible. Verification is accomplished

8. Work standards are updated to incorporate solutions.

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