L E A N

ENTERPRISE

Integrating Lean
& Six Sigma

L E A N

Lean & Six Sigma Models

ENTERPRISE

Lean Change Leadership & Global

Toolkit
MONITOR
MONITORPROGRESS
PROGRESS

SHAPE
SHAPEVISION
VISION
CREATE
CREATENEED
NEED

Flow

Intermediate

MAKE
MAKEIT
ITLAST
LAST
MOBILIZE
MOBILIZECOMMITMENT
COMMITMENT

Advanced
Kan Ban

Stop at Abnormalities

Standard Work

Foundation

Prod Prep Process

Material Presentation

5S
TAKT Time
Value Stream Mapping
Sort
Supermarket
Sweep
Standardize
Kitting
Self Discipline
Sustain
Level Loading

Pull Production

Line Stops Will

Create the Need
for Six Sigma
Projects

Time / Cultural Maturity

Six Sigma Improvement Process and Toolkit

Define

Measure

Analyze

MAKE THE CASE FOR ACTION

LEARN ABOUT THE Y

LEARN ABOUT THE Xs

Improv
e

PROVE THE SOLUTION

Control
SUSTAIN THE SOLUTION

Both About Choosing the Right Tool Set

L E A N

Where Do They Apply?

ENTERPRISE

Six Sigma
Order Fulfillment
Inventory
NPI
Cash/Revenue
Billing Accuracy
Service Delivery
Cycle Time
Sales Force Effectiveness
Installation

Lean
Order Fulfillment
Inventory
NPI
Cash/Revenue
Billing Accuracy
Service Delivery
Cycle Time
Sales Force
Effectiveness
Installation

Either or Both May be Necessary

L E A N

How Do They Apply?

ENTERPRISE

Define

Measure

Analyze

Improve

Control

MAKE THE CASE FOR ACTION

LEARN ABOUT THE Y

LEARN ABOUT THE Xs

PROVE THE SOLUTION

SUSTAIN THE SOLUTION

Value Stream Map

Link to Example

Define Project Scope

Area Waste Assessment
-Excess Travel Distance
-Multi Touch/Handoffs
-High Defect Rate
-High Costs
-Excessive Inventory
-Excessive Lead Time

Sub-Y Selection
-Distance Traveled (Ft)
-Floor Space (Ft2)
-# of Touches
-Mat. Handling/Ergo (#)
-Quality Defects (DPMO)
-RIP/WIP/FG Inv. (ICV$)
-Cycle Time (Minutes)
-Lead Time (Minutes)

EHS Review

Link to Example

FMEA

Link to Example

P-R Analysis

Link to Example

P-Q Analysis

Link to Example

Pre-work/Kick-off
Checklists Complete
Link to Checklist

Gage R&R

Link to Example

Takt/Cycle Time Bar

Chart

Pugh Matrix
Link to Template

Target Sheet
(New Process)

Link to Example

Before & After Photos

Link to Example

Standard Worksheet
(New Process)
Link to Example

Update/Close Project
In Six Sigma Works

Standard Worksheet
(Existing Process)

Create Action Item List

Std. Work Comb. Sheet

(Existing Process)

Pitchout Checklist
Complete

Link to Example

Obtain Pledge Contract

Link to Example

Enter Project Into

Six Sigma Works

Link to Example

Link to Example

Link to Example

Link to Example

Link to Checklist

Link to Works

Complete Before AWO

An Example

Link to Quickplace

List of Issues For Future

AWOs Created

Document Lessons
Learned

Define Project Team

Link to Example

Quickplace Updated With

Kick-off/Pitch-out Pages

SOPs/OMSs Updated

Link to Example

Target Sheet
(Existing Process)
Link to Example

All Action Items Closed

Std. Work Comb. Sheet

(New Process)

Define Project CTQs

(Goals & Objectives)
Link to Example

Solution Implemented
& Verified

AWO

Link to Works

L E A N

ENTERPRISE

AMX Base Container Improvement #63875

Six
SixSigma
SigmaProject
Project#63875
#63875
GSC
GSC--X-ray
X-ray--AMX
AMX
02/04/02
02/04/02 --10/13/02
10/13/02

TEAM MEMBERS:

Project
ProjectDescription:
Description:
Action
ActionWorkout
Workoutto
tomake
make
the
theAMX
AMXBase
BaseBox
Boxsetsetup
upeasier,
easier,quicker,
quicker,&
&
safer
saferall
allwhile
whilereducing
reducing
inventory.
inventory.

Craig Wiedemeier (Leader)

Dave Hamers
Ashish Seth
Connie Peplinski
George Sadler
Project
ProjectSuccesses:
Successes:

GPS MBB
PET Mfg.
PET Mfg.
Gold Seal
CT Mfg.

Reduced
Reducedset-up
set-uptime
timefrom
from20
20minutes
minutesto
to30
30
seconds
seconds
Reduced
Reducedset-up
set-uptime
timevariation
variationfrom
from55minutes
minutesto
to55
seconds
seconds
Reduced
Reducedinventory
inventoryof
ofAMX
AMXBase
Base(2273441)
(2273441)by
by
$130K!
$130K!

L E A N

Define Phase

ENTERPRISE

Define
Define

Phase Completion Date:

2/12/02

Problem Statement: The AMX Base Box (2273441) is

delivered to Waukesha South in a collapsible container
in quantities varying from 1-3. The product is unloaded
from the container using an overhead crane and placed
on a cart (all non value-added time). In addition, there
are no constraints as to how many containers are in the
replenishment loop.
Project Goal Statement: Decrease the set-up time &
variation for the base box; eliminate potential EHS
safety issues & opportunities to damage the product all
while reducing inventory.
Business Case: Current process causes excessive
set-up time (20 minutes; goal is 2), potential EHS safety
issues (16 pinch points; goal is 0), & opportunities to
damage the product (5 opportunities; goal is 0). The
team is looking at ways to improve this process by
reducing the setup time and eliminating the pinch points
and product damage opportunities. In addition, by
implementing a standardized container, inventory in the
entire value stream will be reduced.

Project Start Date: 02/04/02

Project Team Members: Craig Wiedemeier, Dave
Hamers, Ashish Seth, Connie Peplinski, & George
Sadler

Tool Usage: Notes/Graphs:

Value Stream Map

See the next page for a visual map of the
material and people flow in the process
In Scope
- AMX Base Box (2273441)
- Station 1 of AMX line
Out of Scope
- Coakley Warehouse
- Other stations/parts on AMX Line
High Level Process Map
1. Containers sent from Waukesha South to
MMP-Chicago
2. Piece parts loader into container; sent to
Monterrey
3. Monterrey assembles unit; ships to Coakley
4. Coakley delivers to Waukesha South

L E A N

Define Phase Value Stream Map

ENTERPRISE

51 Bases On Hand

No Schedule
24 Bases en-route

Coakley
Waukesha

51 Bases On Hand
GEMSMM
Monterrey

3
5

Empty Container
Full Container

# # of Containers at Location

4
A

2
GEMS

No Schedule
30 Bases en-route

No Schedule
6 Bases en-route
MMP
Chicago

15 Bases On Hand

177 Total Bases in Cycle!

L E A N

Measure Phase

ENTERPRISE

Measure
Measure

Phase Completion Date:

02/13/02

Project Y: Set-up Cycle time in Minutes

Initial: 20 Minutes
Upper Spec: 2 Minutes
Lower Spec: -

Project Y Selection:
The focus of this project is on reducing the setup time of
the base box for the AMX line. The improvement of the
Big Y will positively affect inventory, quality, and EHS.

Measurement System Analysis on Y:

The measuring of the set-up time for the Base Box was
performed on the assembly line. The basic assumption
for the timing was that the set-up time began with the
base containers stored on the line and concluded when
the unit was ready to be assembled. We timed two
different operators performing the set-up on 6 units.

Tool Usage: Notes/Graphs:

Before Photos
See pages 6 & 7 for the before photos
documenting the current AMX Base Box Setup situation.
Standard Worksheet
See page 8 for the standard worksheets
displaying the flows of people and material
for the Base Box setup process.
Standard Work Combination Sheet
See page 9 for the Standard Work
Combination sheet detailing the specific steps
required to perform the AMX Base Box Setup.
Target Sheet
See page 10 for the target sheet for this
action workout detailing the baseline
measurements obtained in three key areas:
set-up time, EHS, and quality.

L E A N

Measure Phase Before Photos

ENTERPRISE

Operation

Unload Base

Problem
Actions Taken
Ergonomic & variable task time
issues
Material handling damage

TBD

Step 1

Results

TBD

Step 2

(Sketch)

(Sketch)

L E A N

Measure Phase Before Photos

ENTERPRISE

Operation

Unload Base

Problem
Actions Taken
Ergonomic & variable task time
issues
Material handling damage

TBD

Step 3

Results

TBD

Step 4

(Sketch)

(Sketch)

L E A N

ENTERPRISE

Measure Phase Standard Worksheet

L E A N

ENTERPRISE

Measure Phase Std. Work Combo. Sheet

L E A N

Measure Phase Target Sheet

ENTERPRISE

Date: 2/4/02

Takt Time: 94 Minutes

Team Name: Base Box

Cell/Product: X-Ray AMX

Start

Target

1st Day

Space (sq. ft.)

Inventory (pcs./$'s)
Part Distance (ft.)
Walk Distance (ft.)
Lead Time (hr,min,sec)
Cycle Time (hr,min,sec)
Volume (pcs/hr)
Crew Size (# of people)
Productivity (Output per day/# of people)

Changeover/set up (hr,min,sec)

20 Minutes 2 Minutes

# of Internal Steps
# of External Steps
Total # of Steps

# of Potential Pinch Points

Handling Damage (Straps & Studs)

16
5

0
0

2nd Day

3rd Day

4th Day

Result

Total Change

L E A N

Analyze Phase

ENTERPRISE

Analyze
Analyze

Phase Completion Date:

02/14/02

Baseline Process Capability:

Z st: -6

DPMO: 1,000,000

Comments: Current process constraints does not allow

set-up to ever be below 2 minutes. Sigma is negative
because average set-up time is out of spec range.

Tool Usage: Notes/Graphs:

Cause & Effect Diagram

See page 10 for the Cause & Effect Diagram
displaying the potential Xs driving the Y of
Set-up time of the AMX Base Box.

Performance Objective:
Z st: 6

DPMO: 3

Rationale: A fundamental redesign of the entire value

stream process will enable set-up times of < 2 minutes
every time.
Sources of Variation:
Utilize the seven wastes of GPS. (Defective Parts,
Overproduction, Inventory, Motion, Processing
Transactions, Transportation, Waiting)
Critical Xs
Container configuration
Oracle Set-ups
Trucking Schedules
Material Handling Techniques
Usage of a crane

7 Ways Form
See page 11 for the 7 ways form detailing
seven different ways to solve the high set-up
time problem for the AMX Base Box.

L E A N

ENTERPRISE

Analyze Phase 7 Ways Form

L E A N

Improve Phase

ENTERPRISE

Improve
Improve

Phase Completion Date:

Tool Usage: Notes/Graphs:

05/31/02

Pugh Matrix
Vital Few Xs: Material Handling techniques; Use of
Crane; Configuration of Container; Internal vs. External
Set-up.
Comments: The Action Workout setting was utilized to
drive solutions in the Improve phase.

Action Workout Team

Craig Wiedemeier GPS Master Black Belt
David Hamers Production Engineer PET (OMLP)
Ashish Seth Production Engineer PET (OMLP)
Connie Peplinski Black Belt - GoldSeal
George Sadler Materials Logistics Specialist - CT

See page 13 for the Pugh Matrix. After

determining the CTQs for the project, the
team was able to give each an importance
level (1-5); and then assess the ability of each
option we created during the analyze phase
to address the CTQ. The team decided on the
best two options, and then created mock-ups
to test the solutions.
Target Sheet
See page 14 for the Target Sheet. This target
sheet shows how the team progressed
throughout the week, and how the final
solution measured up for Set-up time; Quality,
and EHS.
Video of Solution
See page 15 for a video displaying the
solution.

L E A N

ENTERPRISE

Improve Phase Pugh Matrix

CTQs
Importance Option 1 Option 2 Option 3 Option 4 Option 5 Option 6 Option 7
20 sec
5
1/5
3/15
3/15
1/5
9/45
3/15
3/15
Ergonomics
5
3/15
9/45
3/15
3/15
9/45
3/15
3/15
NO Crane
5
9/45
9/45
9/45
9/45
9/45
9/45
9/45
Std Height
2
1/2
3/6
3/6
3/6
3/6
3/6
3/6
Safety
5
1/5
3/15
3/15
1/5
9/45
3/15
3/15
Cost
4
3/12
3/12
3/12
1/4
9/36
3/12
1/4
Maintenance
4
3/12
1/4
1/4
1/4
9/36
1/4
3/12
TOTAL
96
142
112
84
258
112
112

L E A N

Improve Phase Target Sheet

ENTERPRISE

Date: 2/4/02

Takt Time: 94 Minutes

Team Name: Base Box

Cell/Product: X-Ray AMX

Start

Target

20 Min

1st Day

2nd Day

3rd Day

4th Day

Result

2 Minutes Same

1 Min

30 Sec 30 Sec

0 Same

Same

Same

0 Same

Same

Same

Total Change

Space (sq. ft.)

Inventory (pcs./$'s)
Part Distance (ft.)
Walk Distance (ft.)
Lead Time (hr,min,sec)
Cycle Time (hr,min,sec)
Volume (pcs/hr)
Crew Size (# of people)

Changeover/set up (Min)

30 Sec

97% Red.

0
0

100% Red.
100% Red.

# of Internal Steps
# of External Steps
Total # of Steps

# of Potential Pinch Points

Handling Damage (Studs)

16
5

L E A N

ENTERPRISE

Improve Phase Video of Solution

L E A N

Control Phase

ENTERPRISE

Control
Control

Phase Completion Date:

10/11/02

Process Capability:
Z st: 6

DPMO: 0

Comments: Reduced Set-up time from 20 minutes to

30 seconds; Reduced # of pinch-points from 16 to 1;
Eliminated 5 opportunities to damage the unit during the
set-up; and by creating a returnable container, reduced
raw material inventory by ~$130K.

Tool Usage: Notes/Graphs:

Value Stream Map

See page 17 for a value stream map of the
new process.
Action Item List
See page 18 for the open action items that
came out of the Action Workout.
Kaizen Process Review

Process Control Plan: The entire replenishment cycle

for the AMX Base Container was revised. With the
introduction of a new, returnable container, the new
process needed to be documented specifying delivery
timing, quantities, and locations. This document is the
value stream map. In addition, at the conclusion of the
workout week, there were several open action items that
needed to be addressed. We handled these during a
weekly review meeting with the GPS team. Once these
items were closed, and the process fully implemented
and running at a steady state for 3 months, this project
was closed. As part of the learning process, I also
created a sheet documenting the kaizen process the
team went through over the past few months.

See page 19 showing the Kaizen of the base

container. Many changes were required in
order to deliver a viable, working solution.
# of Containers Improvement
See page 20 showing the distribution of the
177 containers that were in the replenishment
loop at the beginning of this project. This
project resulted in the use of only 75
containers creating a poke-yoked process.
Inventory $ Savings
See page 21 for inventory reduction savings.

L E A N

Control Phase Value Stream Map

ENTERPRISE

GEMSMM (Leg 3)

Day

Monday
Thursday

Coakley
Waukesha

Arrive Depart
?
?

?
?

Coakley (4&5)

Empty Container
Full Container

# # of Containers at Location

4
1

GEMSMM
Monterrey

GEMS (4&5)

Arrive Depart Arrive Depart

5:35am
6:45am
7:05am
8:15am
9:05am
10:15am 11:05am
12:15pm 1:05pm
2:15pm
-

6:00am
7:30am
9:30am
11:30am
1:30pm
-

6:20am
7:50am
9:50am
11:50am
1:50pm
-

2
GEMS
MMP (Leg 2)

Day

Legs 1&A

Day

MMP

Monday
Thursday

Coakley

Arrive Depart Arrive Depart

Monday 7:00am
Tuesday 7:00am
Wednesday7:00am
Thursday 7:00am
Friday 7:00am

8:00am
8:00am
8:00am
8:00am
8:00am

12:00pm
12:00pm
12:00pm
12:00pm
12:00pm

2:00pm
2:00pm
2:00pm
2:00pm
2:00pm

MMP
Chicago

Arrive Depart
-

4:00pm
4:00pm

75 Total Bases in Cycle

Reduction of 102 Bases in Cycle66%

Improvement!

L E A N

8-Feb
8-Feb
8-Feb
8-Feb
8-Feb
8-Feb

TARGET
% COMPLETE
COMPLETION

FW 7
FW 7
FW 7
FW 7
FW 7
FW 7

75%

Calculate Cost of Building Containers

D. Malner/D. Hamers
Calculate # of Containers Required
D. Malner/C. Peplinski
Container Implementation Plan
D. Malner/C. Wiedemeier
Operator Training/OMS Updates
S. Evran
Complete Engineering Prints of New Container
A. Seth/G. Sadler
Verify Design With Customers
Hamers/Wiedemeier/Seth

DATE
ASSIGNED

50%

OWNER

25%

ACTION ITEM

X
X

X
X

X
X

Keep to a MinimumAssign Owners

100%

Control Phase Action Item List

ENTERPRISE

L E A N

ENTERPRISE

Measure:
EHS
Setup Time
Quality
Inventory

Summary of Results
Improvement
Eliminated 16 Pinch Points
Reduced 20 Min. Setup
(~30 Sec)
Eliminated Handling Damage
Eliminated 102 Bases in Cycle
(~$130K)