Improvement Project: Lecture 1

AGENDA

1. Types of Companys Activities 2. Types of Improvement Project 3. Phases in Improvement Project 4. DMAIC Improvement Model 5. Improvement Project Report 6. Improvement Project Tools

Type of Companys Activities

1. Trouble shooting activity / Day to day activity
- Back to as is condition - Fast is the major concern

2. Improvement activity
- Better than as is condition - Success, Faster and Right is a must

Type of Improvement Projects (1)

Focus Change
Gradual Internal to the Firm External to the Firm

Kaizen Process Reengineering

Radical

Benchmarking

Type of Improvement Projects (2)

Quality Circles is a small group of employees doing similar or related work who meets regularly to identify, analyse, and solve product-quality and production problems and to improve general operations.

Suggestion System is a formal system that encourages everyone in the organization to suggest improvements to their area of work. Quality Improvement Team is a cross-functional team that involves managers and professionals to improve the management systems of organization.

A CONTINUOUS SYSTEMATIC PROCESS FOR EVALUATING THE

BM

PRODUCTS, SERVICES AND WORK PROCESSES OF ORGANIZATION THAT ARE RECOGNIZED AS REPRESENTING BEST PRACTICES FOR THE PURPOSE ORGANISATIONAL IMPROVEMENT

THE FUNDAMENTAL RETHINKING AND RADICAL REDESIGN OF BUSINESS

PR

PROCESSES TO ACHIEVE DRAMATIC IMPROVEMENT IN PERFORMANCE SUCH AS COST, QUALITY, SERVICE AND SPEED

Improvement Project:
Design and Implementation

Improvement Project Implementation Design Phase Phase

100 Improvement projects
Yes

Success?

30 ?

No DP IP

10 ?

Where is the failure?

60 ?

The DMAIC improvement model

1.

DEFINE
2.

5.

CONTROL
4.

MEASURE

IMPROVE

3.

ANALYZE

Improvement Project Report and Presentation (1) 1. Define

Background information from business perspective Provide data to support What are the problems? Why is it important for the company? Scope of the Improvement Project Provide as is condition Provide SMART target

2. Measure

Improvement Project Report and Presentation (2) 3. Analyze

Prioritize the problem Find the root-cause of the problem Analyze the root-cause in more detail Find alternatives to solve the problem. Alternatives must be derived from Analyze Show advantage and disadvantage of each alternative Choose the best alternative

4. Improve

AMMP NS

Improvement Project Report and Presentation (3) 5. Control

Show the business process before and after project improvement Compare the target of improvement project and the result of the improvement project What is the lesson learned? Show Problem Identification and Corrective Action (PICA) if the target is not achieved Show Cost-Benefit analysis of the improvement project
AMMP NS

Improvement Project Tools

DMAIC cycle D M A I C Tools SIPOC, Pareto, Prob. Severity Analysis V o P, V o C, Sigma Level Fishbone, SWOT analysis, Relation diag Process flowchart, ICOM, SWOT strategy Gantt chart, PICA, SPC