Process Excellence Program - DDIM · Other reasons 73 % 27 % 15 % Productive activities Waste 55 %...

Process Excellence Program

Program introduction

www.capability.cz 2Capability s.r.o. – member of ICG / Innotiimi

Program „Process Excellence“

Our company ICG-Capability developed program „Process Excellence“ to focus on change of the entire

organization in view of the processes. Program establishes process management and continuous improvement,

but also teach employees to systematically work with processes. Program is based on combination of the Lean

Six Sigma approach, change management and leadership skillset, when soft and hard skills are combined to

deliver long-term result.

Program is unique for its modularity and can be tailored based on organization needs (it is possible to realize as

the whole program or select a single module).

Why to implement this program focusing on processes?

Process Excellence program

27 % of the working time in

administration are perceived

as unproductive

Source: Fraunhofer, Lean Office 2010 Studie

Waste caused by uncoordinated

processes

Waste on the work place

Other reasons

73 % 27 %

15 %

Productive

activities

Waste

55 %

30 %


The potential in service areas

Lack of efficiency in service industry can mostly be attributed to any of the four following problem areas:

Lack of customer orientation: the further away from the customer, the fewer attention is paid to this

area‘s customer satisfaction level and efficiency. While external customers receive a lot of attention,

the requests from internal customers are treated with low priority and less consideration during busy

times.

Lack of transparency of processes: controlling systems are mainly finance, production, and sales

oriented. Efficiency and quality ratios and reports for indirect areas are the exception, particularly as

these values are hard to measure. Thereby, waste in these areas is hardly visible, and if it is, only with

a lot of effort. The result is that historically grown structures stay untouched for years or even decades

– they are considered only in times of crises.

Erratic workload: often, key skills are concentrated on only a few persons. This sometimes results in

enormous peaks and bottlenecks.

Lack of quality understanding : further inquiries, i. e. rework, is a daily occurrence for most tasks in

indirect areas. This would be unthinkable in production nowadays.


Improvements that show effects quickly

We experience in our projects, that potentials pay off very quickly when using our approach. After the

implementation all parties involved are proud of the results they achieved. Employees are fully involved

from the start and are challenged intensively. Changes are thus experienced as being positive and

successes using the new working methods whet the employees’ appetite.

Our project experience shows following benefits:

Efficiency improvement and cost optimization

Optimization of process quality and interfaces

Prevention of load peaks and dependencies on key people

Mobilization of employees and leaders


Sales people spend only approx. 30 % of their time on customer visits, the rest of the time they are busy with documentation tasks, processing of requests, offers etc.

Restructuring of tasks in office work and field service so that sales people are free from administrative tasks.

The 15 people who work in procurement can hardly cope with handling operative orders. There is no time left for strategic supplier development.

80 % of order handling is automated or partly automated. The released time thereby is used for strategic supplier development.

Leaders receive more than 80 different reports but do not feel sufficiently informed. Through this, an expenditure of time of approx. 4 person/years arises.

Extensive revision, simplification and reduction of reports. Thereby reduction of effort for report preparation by almost 75 %.

The key know-how is spread among only a few people, so that these employees gather 700 hours overtime per year.

Restructuring of the distribution of tasks, structured know-how transfer, team development.

Before After

Almost 20 % of working hours in indirect areas involve tasks for product development.

Development process is aligned to the strategy including clear decision points. Reduction of efforts in product development by approx. 50 %, less disruption through test-drives in production.

Typical situations and results


Our approach: Process Excellence program

PROGRAM MODULARITY PRINCIPLES

− Our complete program consists of 6 modules.

− We individually select modules which are necessary

for the client. We start from the audit organization,

which from that the company has already

established.

− We implement changes in the organization during 3-6

months.

− We combine „soft“ & „hard“ techniques and tools to

deliver long-term outcome. Only this combination will

provide the best desired result.

− We don’t only realize changes, but teach you to do

them. We transfer know-how of our consultants to

clients.

− The combination of projects (Kaizen workshops),

coaching, training and strategic project activities.

Audit of Organization

Process Workshop (KAIZEN)

Process Audit

Process Organization

Training &Coaching

Process Mapping


KPIs of Program success

SET UP KEY PERFORMANCE INDICATORS OF SUCCESS

Success indicator (KPI) How do we measure?

The financial benefits from process improvement projects exceed the

price of the program in ratio min. 3:1

Financial statement – projects

benefits calculation

There are min. 5 trained and certified project leaders with capability to

systematic process improvement

Certification, which validate

practical knowledge of

methodology

The employees actively support process improvement and they know its

importance

People survey

The process management system is established and implemented to

business as usual of company

Standards and their controls

are set up

Organization actively looking for new opportunities in the processes Identifying of the projects

pipeline for 6 months


Modules in the program


− Analysis of the current position

− Develop a plan for the Process Excellence Program

Process Mapping

− Create the Process Model

− Process mapping to process cards and process maps

Process Audit

− Identifying opportunities for improvement (process analysis, productivity analysis)

− Evaluation and prioritization of opportunities and project definition

Process Workshop - KAIZEN

− Preparation and realization of process improvement workshops

− Improvement proposals and implementation

Training & Coaching

− Training of owners, process experts and project leaders

− Coaching of project leaders


− Process management and change of organization to process-oriented way

3

5

6

4

1

2

1

Process Excellence Modular System



Process Audit


Training &Coaching

Process Mapping


− Analysis of the current position

− Develop a plan for the Process Excellence Program


1 Audit of organization and Program plan

Audit

− Each program must be adapted to the needs and culture of the organization. We will audit the current

position of the organization, where we assess process maturity (level of the current process or improvement

management, evaluate how many processes are already documented and whether is realized regular

processes improvement or collection and evaluation of the process KPI).

− During the preparation of the plan will take into account the company's strategy and the expected goals of

the program.

− We are using data analysis, interview with management and understanding the culture of the organization.

Outputs

− Strategy and vision of the Process Excellence Program

− Selection from Process Excellence program modules

− Set program objectives (financial, customer, strategic, cultural)

− Stakeholder analysis, Communication plan, Change management plan

− The plan of required resources and nomination of candidates for the role of project leaders (process leaders)

− Project Plan

1


1 Audit of organization and tools

How to realize?

− Audit takes 1-3 days and collect information in particular by:

Individual meetings or workshop with the management of the company.

Individual meetings with representatives of the Department of Quality, Process Management and Lean

Six Sigma (BPI)

Data or process KPI analysis

Revision of process documentation (process maps, process model)

Used tool and techniques:

1

An

aly

se

Process Model and

documentation

Stakeholder

analysis

BenchmarkingInterviews and

questionnaires

Organization

analysis

OPERA

ABC – All Brains

Connected

Resource analysis

Workshops with

employees

A B C D E


1 Program Plan - example

WE PREPARE PROGRAM PLAN…

Team Management

Kick-Off

Discussion with key people

Inputs: Goals, Strategy, Customer requirements

Workshop: Create

Program plan

Data analysis

Project realization under ICG Capability consultant guidance with active participation of employees.

Presentation to Management or Steering committee

Training of Project leaders

Management training

Training of employees

Training of Project leaders

Program development

Coaching of leaders

Project

Project

Project

Coaching of leaders

Tra

inin

g

&C

oa

ch

ing

Pro

jec

ts a

nd

Pro

gra

m

Ma

na

ge

me

nt

Cu

ltu

ral

an

d

Ch

an

ge

Ma

na

ge

me

nt

Project

Project

Program strategy and plan

Training of employees

Create program

management

Project

Communication workshops

Communication workshops

Process audit and

workshopOverview of processes



Project benefits

calculations

2




Process Audit


Training &Coaching

Process Mapping

Process Mapping

− Create the Process Model

− Process mapping to process cards and process maps


2 Process Mapping

Process mapping

− For any work with processes, it is important to have an overview of the processes. The joint workshops with

the client create a structured overview of all processes, the Process Model. Model is always distributed to

several levels of detail.

− Process models can be developed in the process of Cards (SIPOC) or detailed level showing individual

activities (Process Maps). Process maps are drawed in a standardized form and we also add information

about customer requirements and process metrics.

− Process mapping is usually realized on a sample of processes. Furthermore, we will train process

specialists in the company, who continues in our way of work.

Why process mapping?

− Process maps help in process improvement.

− We can set the SLA and KPI on process activities.

− Maps help to train a new operator, worker on the process.

− Process maps are used as a communication tool between the teams.

− If mapped, faster then resolves disputed issues.


2

− Overview of key processes in the enterprise displayed in a structured form.

− Process Models is mapped in two to three levels of detail. Each process in the model must be decomposed.

− Process Model gives us an insight about all key processes in the company and helps us manage the

process (setting of process management, search for opportunities in the process)

Process Model – Level 1 Level 2 Level 3

− To the Process Model are linked process card (SIPOC) and process maps, or procedures (SOP).

Financial processes

Processing of AP

Processing of payroll

Processing of AR

Closing of General Ledger

Manage Travel expenses

Create Process Model

Proces 1 Proces 2 Proces 3 Proces 4 HR

Finance

IT

Strategie

Processing of AR

Process invoices with a PO

Process invoices without a PO

Invoice blocking and resolution

Manual payment run

Process Model - List of all

processes in the form of a table

on one A3


2 Create a process card - SIPOC

PROCESS DESCRIPTION

− We select processes from the Process Model which are within the scope and begin with more detailed

mapping. For technical documentation at this level, our consultants use SIPOC tool.

− Processes description is realized at the top of the level „Hi-level“ (SIPOC tool).

− SIPOC - a tool that shows the basic steps in the process (P), suppliers (S), inputs (I), outputs (O) and for

whom the process is performed - their clients (C).

− Typically, we select with the client pilot set (aprox. 10-20) of processes which are then mapped. This range

allows us to demonstrate the methodology and transfer know-how to the client.

S I P O C

Dodavatelé Vstupy Proces Výstupy Zákazníci

HR katalog školeníVyhledání aktuálních

školeníobjednávka Dodavatel školení

Finance Přístup do aplikací Zadat do aplikace

"školení"Evidence o školení HR

Schválení školení Info na

zaměstnanceZaměstnanec

Vystavení objednávky

Informování

účastníkaTraining order process

HR

Finance

Training

catalogue

Access to

applications

Order

HR

Employee

Supplier of

training

Info to

employees

Training

evidence

Suppliers Inputs Process Outputs Customers

Search for

training

Insert to training

application

Training approval

Create order

Inform attendees

about training


2

− Create detailed process maps for selected processes (using standardized characters).

Process: Platební proces – AS IS Process

1 x kvartálně Každý týden, běžné období – Kontrola a platba nájmu a služeb

Sp

ecia

lista

pla

teb

Da

tab

áze

AP

k

on

tro

laA

Pzá

ka

zn

ík

ANO

přidat „platební

řádek“ na

každou kartu

Požadované

nájemné

Vyhledat nájmy

(dle splatnosti) v

daném týdnu

Projít všechny

„Karty“, zda

bude platba

Vyhledat fa a

zkontrolovat

KONEC

Všechny nájmy v

měsíci zaplaceny

Je platba v

daném měsíci

?

Vytisknout

všechny

zákaznické

karty s platbou

NE - Jdi na další

kartu

Vygenerovat

Platby v násl

kvartálu

Poslat fakturu

Zpracování

faktury AP

Zkontrolovat

splatnost dle

tabulky

Někdy splatnost je

nutné opravit

Transport do

OF

Připojím scan (tabulka nebo

faktura)

naskenovat

karty pro

následující

měsíc

Uvolním

platbuke dni

splatnosti

Transport do

OF

Způsob platby

nájmu a služebfakturou

smlouvou

Tabulka slouží

jako faktura

Zaznamenat

číslo platby na

kartu klienta

Je fa v

databázi?

ANO - Platba jako přes smlouvu - vše v databázi Contracts

NE - jako ostatní fa na vyjímku

Platby přes

smlouvu

xls tabulka xls tabulka

Contracts

Vygenerovat

dávku

„nanečisto“ a

zkontrolovat

Vyhledám a

zaplatím

Zkontrolovat

všechny

„Karty“, zda

proběhly platby

xls tabulka

Vše OK, ale zbývají nájmy na zaplacení v měsíci

system

Všechny

platby

proběhly ?

NE

Vš

e O

K a

pla

tby

v m

ěs

íci již n

ezb

ýv

ají

xls tabulka

Payment process

(invoices)

Create detailed process map


2 Process Model – output form

− Process Models and individual processes are mapped in the form that is the most acceptable to the

customer. We typically offer the output in the combination of:

− Excel - Process Model with detailed information and filtering options, search function.

− PowerPoint - the final set of outputs (Visio is used in case of detailed process map).

Sample of Process Model in Excel:

Unit Coding Process Domain Process Name Process Description Frequency

AR 1.1 Credit Management 1.1.1 Change Customer Credit Limit Change of customer credit limit with authorities approval. Daily

AR 1.2 Orders 1.2.1 Manage blocked ordersCustomer order amount or credit limit were exceeded and is

needed to evaluate order in SSC (release or reject).Daily

AR 1.3 Collection 1.3.1 Dunning by lettersIdentification of overdue payments and active dunning

approach by letters (reminders).Monthly

AR 1.3 Collection 1.3.2 Dunning by email / phonedentification of overdue payments and active dunning

approach by telephone or emails.Adhoc

AR 1.3 Collection 1.3.3 Lawyer and Colections AgencyCompletion of documents and information and sending

them to a lawyer or collection agency.Yearly

AR 1.3 Collection 1.3.4 Blocking CustomersBlocking of customers before / after dunning of overdue

payments.Adhoc

AR 1.3 Collection 1.3.4 Customer InsolvencyBlocking of customers in bankruptcy and sign-off to

insolvency process.Quarterly

AR 1.3 Collection 1.3.4 Write-off bad debt management Write-off of uncollectable bad debts (e.g. Insolvency). Yearly

AR 1.4 Payments 1.4.1 Bank Statement PostingCheck payments on bank account and enter into the system

and match to customer invoice.Daily

AR 1.4 Payments 1.4.2 Payment MatchingProcessing of unmatched payment during the bank

statement posting process.Adhoc

AR 1.5 Claims 1.5.1 Dispute ManagementResolution of complaints or claims requested by customer

for overdue payments.Monthly

3




Process Audit


Training &Coaching

Process Mapping

− Identifying opportunities for improvement

− Evaluation and prioritization of opportunities, project definition

Process Audit


3 Process Audit

Process audit

− For the selected processes (from the Process Model), we perform diagnostics to identify waste, poor quality

and therefore more potential for improvement. These areas, respectively opportunities are prioritized and the

list of projects that is then created to achieve increase of the quality provided to customers, reduce costs and

speed up the whole process.

− Audit is performed mostly in terms of process flow (flow) or in terms of productivity and effectiveness of

people:

1. Process analysis / VSM

2. Process KPI analysis

3. Analysis of people productivity

4. Analysis of customer demand (variability of inputs)

5. Analysis of workplace layout

Outputs

− Created a list of projects, respectively opportunities for optimization.

− Overview of all key processes in the organization and their structure.

− Analysis of the current process performance.

− Transferred know-how, how to carry out regular process audits.


3 Process Audit techniques

Technique Principle Output How realized

Process Analysis –Value

analysis

Identification of non-value added

activities (waste) that can be removed.

Identification of non-value activities in

the process map.Workshop

Value Stream Map (VSM)Displaying of the total process flow,

material flow and waste in one process

map.

Identification of the longest time and

process waste.Workshop

Process KPI analysisAnalysis of aprox. 8-12 KPIs about the

process which are displayed in radar

chart.

Quantification of potential and

definitions, by which we want to

influence certain KPI.

Reporting, interviews

Analysis of people

productivity

Snapshot of a day for individual

employees to determine their working

time at each individual operation.

Graph showing breakdown of a typical

day of employee in terms of activities.

Source for standardization of work .

Reporting, daily work

snapshot

Analysis of customer

demandAnalysis of variability of demand in time. Capacity plans in time. Reporting

Analysis of workplace

layoutDisplaying of the physical product flow

Spaghetti diagram displaying physical

flow.

Spaghetti diagram –

drawing


3

Process: Platební proces – AS IS Process

1 x kvartálně Každý týden, běžné období – Kontrola a platba nájmu a služeb

Sp

ecia

lista

pla

teb

Da

tab

áze

AP

k

on

tro

laA

Pzá

ka

zn

ík

ANO

přidat „platební

řádek“ na

každou kartu

Požadované

nájemné

Vyhledat nájmy

(dle splatnosti) v

daném týdnu

Projít všechny

„Karty“, zda

bude platba

Vyhledat fa a

zkontrolovat

KONEC

Všechny nájmy v

měsíci zaplaceny

Je platba v

daném měsíci

?

Vytisknout

všechny

zákaznické

karty s platbou

NE - Jdi na další

kartu

Vygenerovat

Platby v násl

kvartálu

Poslat fakturu

Zpracování

faktury AP

Zkontrolovat

splatnost dle

tabulky

Někdy splatnost je

nutné opravit

Transport do

OF

Připojím scan (tabulka nebo

faktura)

naskenovat

karty pro

následující

měsíc

Uvolním

platbuke dni

splatnosti

Transport do

OF

Způsob platby

nájmu a služebfakturou

smlouvou

Tabulka slouží

jako faktura

Zaznamenat

číslo platby na

kartu klienta

Je fa v

databázi?

ANO - Platba jako přes smlouvu - vše v databázi Contracts

NE - jako ostatní fa na vyjímku

Platby přes

smlouvu

xls tabulka xls tabulka

Contracts

Vygenerovat

dávku

„nanečisto“ a

zkontrolovat

Vyhledám a

zaplatím

Zkontrolovat

všechny

„Karty“, zda

proběhly platby

xls tabulka

Vše OK, ale zbývají nájmy na zaplacení v měsíci

system

Všechny

platby

proběhly ?

NE

Vš

e O

K a

pla

tby

v m

ěs

íci již n

ezb

ýv

ají

xls tabulka

Process analysis – Looking for opportunities…

− We draw ideas and opportunities for improvement to the map and immediately solve (Kaizen workshop).

− Highlight "NVA - Non Value Added" - the possibility to eliminate or shorten.

2 payment

ways

Expensive

printing

Check of 700

cards =

difficult

Double check,

not at the end

of the process

Check of 700

cards = difficult

Doesn’t serve

as invoice

Manual

error

NVA

NVA

NVA

NVA

NVA

NVA

NVA

NVA NVA

NVA

NVA

NVA

Payment process

(invoices)


3

22

Prijmout

Cycle Time 15 min

Kontrola

Cycle Time 25 min

Zpracovani

Cycle Time 6 min

Platba

Cycle Time 15 min

130 9

SSC

Operators 1

zákazník

Operators 1

faktura

Operators 1

plán

Operators 1

Tisk

Cycle Time 2 min

kontrola

Cycle Time 6 min

Zauctovani

Cycle Time 11 min9

faktura

Operators 1info

Operators 1

15 min 25 min 6 min 11 min 6 min 2 min 15 min

Total Cycle Time = 1,3333 hr

Total VA Cycle Time = 1,3333 hr

Total NVA Cycle Time =

Lead Time = 2,1264 days

WIP Time = 1,7826 days

Total Distance =

2,75 hr 9,0278 hr 99 min 2,25 hr

80 pieces per day

(Takt Time 6 minutes)

Customer Demand

VSM – Looking for opportunities…

VALUE STREAM MAP

− VSM helps to show the total lead time of the process, including inefficient waiting. It also shows backlogs

(WIP) and places where to focus.

− Helping tool for capacity planning.

Backlogs before „Control“

are causing prolongations

of 9 hours.


3 KPI analysis- Looking for opportunities…

Collect process data, such as:

− For selected processes we can collect process data (KPI) and visualize them. This analysis can be used to

compare the performance and cost of processes and then help to choose the appropriate process to

process improvement.

− We combine data collection in Operational, Financial, Strategic and KPI relating to people areas.

KPI analysis samples:

− Examples of collected information:

o Frequency of process being done (weekly, monthly).

o Customer requirements for process step, KPI, SLA.

o Number of complaints

o Costs of the process

o Get information about capacity

o Get information on the status of completion

o Time of process and activities

o Quality (scrap, reworks, errors…)

Documentation

Capacity

Work in process

Measureability

Time

Quality

Complexity

Costs

Claims


3

470

169

56

30

84

131

0

100

200

300

400

500

kapacitatýmu

Kontrola Zadávání Tisk Připrava OpravyPreparation Corrections

People productivity – Looking for opportunities…

- We look on the wasting from the perspective of productivity of people (monitor activities of individual employees).

- We execute a snapshot of the working day. Then build a minute list, measure and let the people on the minute

list highlight the time when they start work and when it ends.

- The output is a snapshot of the working day and identified waste.

Sample of detailed work load / day Number of work vs. individual employees

5,0I

6,0H

8,3G

8,5F

9,5E

D 12,1

C

B

A

15,9

15,1

19,6

If all employees reach 15, it

will increase team

productivity by 40 %.

Almost 50 % is according to

plan, but the activity doesn’t

bring added value.

Team

capacity

Check Inserting Print


3 Analysis of customer demand

− Variability in inputs can result in wastage. We are trying to determine the yearly, weekly and daily fluctuation

of client demand and to estimate the corresponding variation in capacity.

Sample of results:

Roční průběh

Týdenní průběh

• The biggest demand is in January and February, we will require doubled capacity.

• In the summer months it is possible to reduce the number of employees to almost zero (potential savings).

• On Mondays and Fridays must be involved the flexible workforce.

2 000

200 150

1 200

900 800

1 000 1 000950900

1 500

950

L Ú B D K Č Č S Z Ř L P

100

50

30

120

30

Po Út St Čt Pá

Weekly running

Yearly running


3 Analysis of workplace layout

− The goal of analysis is to show and to identify opportunities in the field of transport and excessive movement

and consequently organize a workplace in an effort to secure the flow of work and minimum wastage.

− We use the „Spaghetti diagram“ for visualization of motion.

Ensure on the workplace:

Minimal movements

Smaller inventory between individual steps

Visual overview of the workplace

More flexibility of operators

START

KONECEND

START


3 Evaluation of opportunities

Why do we evaluate opportunities?

− The goal of the module is to compare identified opportunities among themselves and select the most

appropriate ones.

− The actual process opportunity (process waste) doesn’t mean a success in improvement. By using of the

evaluation questionnaires we are comparing processes and their parameters

Selection criteria – questionnaire :

1. Time aspect of the project - can be the project completed within a reasonable short period of time?

2. Investments – do we expect a need of high financial expenditures or capital investment?

3. Problem definition - is the process error well defined? Do you have defined a process problem?

4. Data availability – is data available? If not, is data easily achievable?

5. Financial benefits - relevant cost-revenue analysis should show the value of the project, potential which is

expressed in terms of money.

6. Team availability - can I assemble the project team?

7. Impact on customers and their requirements - will customers be influenced by a project?

4




Process Audit


Training &Coaching

Process Mapping

Process workshops - KAIZEN

Preparation and realization of workshops

Improvement proposals and implementation


4 Process workshops - KAIZEN

Kaizen workshop

− We will improve selected processes using small sub-projects, so-called Kaizen workshops.

− They usually take 1-5 days depending on the extent of the problem and process.

− The output of the KAIZEN workshop is a solution of the process problem in the form of an implementation

plan.

− The participants of process workshops use simple tools, which help to find a solution quickly.

Typical approach

− We use a standardized procedure based on Lean principles during the workshops.

− For more complex projects, we use the DMAIC methodology (Lean Six Sigma - extent of 14 weeks)

Define the

problem and

set a goal

Analyze the

problem

Generate a

solutionImplement the

solution

Evaluate

the solution

1-5 DAYS

www.capability.cz 31Capability s.r.o. – člen skupiny ICG / Innotiimi

4

Speed

Minimum

Maximum

Productivity

and costs

3515

60

30

50

20

Reduction in staff costs

• More investments in new products and

higher profitability

Improvement in quality

• Higher level of client satisfaction

• Limited checking

• Higher level of employees’ satisfaction

• Better risk management

Reduction in processing time

• Higher market share

• Increased influx of clients (less “drop-

outs”)

Quality

of

service

What does the Kaizen workshop yield?


4 Why to use process workshops?

The benefits of KAIZEN workshops for customers

− Reduction of costs / higher productivity

− Focus on customer satisfaction

− Higher quality of delivered products or services

− Faster delivery times and flexibility

− Employee satisfaction

The benefits of KAIZEN workshops for the company

− They are aimed at rapid implementation. Results are visible immediately.

− It systematically improves process KPI, reduces costs and improves quality.

− Focusing on one particular area that is immediately resolved

− They involve people at all levels. They support team solutions.

− It promotes a new way of thinking. It builds the awareness of wasting.

− It helps to create process changes in corporate culture.


4 Typical tools of the Kaizen workshop

What...Tool When to use ...

Fishbone +

5x Why

• Cause and effect analysis

• Disintegration of the problem using

a fishbone diagram

• Looking for root causes - i.e. sources of defects and

wasting. We want to ensure all the possible causes to

be considered, e.g. identification of the cause of

recurrent defects

Machine Methods

ManMaterial

CAUSE AND EFFECT DIAGRAM(ISHIKAWA DIAGRAM)

EFFECT

%

IMPACT EFFORT

• Choosing solution proposals in

terms of time and benefits

• In deciding which solution will have the greatest

financial benefits and how difficult it will be to

implement it

HISTOGRAMS

• Activities following a number of

occurrences of a specific problem

• To measure the occurrence for each day (summary)

• Group creative designing of

improvement proposals

• Looking for as much solutions to the root causes as

possible

25

50

75

100

FREQ.

ISSUES IN ORDER

PARETO DIAGRAM

• Identification of the biggest problem • To focus on the problems by the rule 80/20

UCL

LCL

CONTROL CHART

• Variability of the process towards its

possibilities

• To identify the risks of defect development in the

process

A

SCATTER DIAGRAM

• Correlation analysis • To analyze the correlation between the two

parameters in order to establish the root cause

Impact &

Effort matrix

Histogram

Brainstorming

Pareto

Control chart

Scatter plot


4 Process workshops - teamwork

− It is our firm belief that the combination of workshop work and

individual processing of outputs brings more efficient results.

Moreover, the methodological know-how of how to manage and

improve processes remains in the client company. Selected

representatives can then improve processes without the help of

consultants.

− Our consultants are also professional facilitators.

− The first series of workshops is done by our consultants. The

second series is only coached by them.

5




Process Audit


Training &Coaching

Process Mapping

Trainings and coaching

Trainings of owners, process experts and project leaders

Coaching of project leaders


5 Trainings and coaching

Training goals and characteristics:

− To train project leaders in process improvement methodology.

− To train the management in the field of management of the Process Excellence program, identification of

opportunities and also suitable project leaders.

− To train employees in the field of change management so that they can actively promote process

improvement and remove obstacles or reduce change resistance.

Coaching goals and characteristics:

− We move on to coaching of project leaders after the training and in the course of project work. This will

ensure the transfer of know-how in the organization. Review of all projects is done usually once a month (90-

240 min./project)

− Checking the project status and the compliance with the project plan.

− Drawing up an action plan for the next period.

− Preparing for the workshop (detailed agenda, selection of tools, work with participants).

− Assistance with data analysis (data analysis, statistical tool selection).

− "On-the job" training (increasing knowledge, explanation of the topic using a real project).


5 Training - how are we different?

OUR APPROACH

− Process improvement and management are one of our main consulting activities (we have experience and

background).

− We combine trainings, audits, benchmarks and coaching.

− We adjust the methodology individually for each client.

− Ensuring international Lean Six Sigma certification (European or American).

− Combination of LEAN, Six Sigma and change management approaches.

− Training quality guaranteed

− More than 90 trainings in the past 24 months.

− Partner of Minitab and Quality Companion

− Partner of ASQ

− Trainings in 9 languages (16 consultants)


5 Lean Six Sigma Yellow Belt Training

“Ideal entry to the world of process improvement and quality

improvement of processes, products and services with the help of Lean

and Six Sigma methodology. The training presents a basic set of tools

and techniques to solve (not only) process problems with the aim of

doing things more simply, to a higher standard and always to the

customer’s satisfaction”

1 day of training

Up to 13 participants

After the training, you will receive a certificate of completion.

Understand the importance of process improvement in every organization.

Use problem solving tools in a right way.

Learn approaches of process improvement of Lean and Six Sigma.

Acquire DMAIC methodology (a method how to manage projects).

Define the opportunity (wasting) in everyday work.

Training goals:

You will

learn to:

Organization:

Combination of methodological interpretation and team exercises in which

participants try out 4 quality tools.

Training

methodology:


5 Lean Six Sigma Green Belt Training

“The training provides trainees with integral knowledge of Lean and Six

Sigma methodology for process improvement. Trainees are able to

indicate good opportunities for quality improvement of outputs and

reduction in waste after completing this course. They can subsequently

manage medium to large process-improvement projects..”

6 days of training (3+3 days)

Up to 14 participants

The training is completed with a preparation for certification and granting Lean

Six Sigma Green Belt diploma

Manage a medium process project using Lean Six Sigma methodology (DMAIC).

Define the project scope and be able to map processes.

Measure process capability.

Analyze a process using data, graphic and process analysis.

Design process improvement and implement it.

Training goals:

You will

learn to:

Organization:

The training presents all phases of the DMAIC cycle (a structured approach for

managing projects in 5 stages) focusing on the practical application of key tools

from each stage. Simulation game, case studies and practical exercises

guarantee understanding of individual tools and their subsequent application.

Training

methodology:


5 Lean Six Sigma Green Belt - agenda

Choose a

suitable

project

Assemble

a project teamPlan

the project

Analyze

stakeholders

Define the

project scope

Collect the

voice of the

customer

Set CTQ and

the project

goal

Identify project

risks

Determine

project

benefits

Draw up a

Project

Charter

DEFINE

Map the

process

Generate root

causes

Reduce the

root causes

Plan data

collection

(sample)

Create VSM,

reveal

wasting

Verify the

measuring

system

Collect data

about the

process

Calculate

capability

Identify quick

wins

Problem

?

Wasting,

time

Variability

defects

MEASURE

We make a process analysis

We make a statistical analysis

Hypothesis

testingCorrelation

Regression

analysis

Time analysis Value analysisProcess flow

analysis

Analysis of

productivity of

people and

equipment

Workplace

analysis

We make a

graphical

analysis

Problem

?

ANALYZE

Wasting

Variability

defects

Look for

solutions

Prioritize the

solutions

Plan DOE

(Design of

Experiments)

Perform an

improvement

pilot and revise

the risks

Implement

changes into

the process

Ensure the

adoption of

the change

Streamline the

process

Problem

?

Wasting,

time

Variability

defects

IMPROVE

CONTROL

Set process

KPI

Plan process

control

Confirm

improvements

(control charts)

Deliver it to

the owner

Celebrate

success

D M A I C


5 Project coaching

“Coaching which will develop the knowledge of process leaders

individually using real practical tasks (of a selected project) and also

implementation of the entire program. Coaching is always designed as

an individual meeting of a ICG Capability consultant and a project leader

(usually 120-140 minutes).”

Checking project status and the compliance with the project plan.

Monitoring of the entire project.

Drawing up an action plan for the next period.

Preparing for the workshop (detailed agenda, selection of tools, work with

participants).

Active participation in the workshop (co-realization).

Assistance with process or data analysis.

"On-the job" training (increasing knowledge, explanation of the topic using a real

project).

Coaching

goals:

Content:

Coaching on projects (e.g. for project leaders, Green Belts) and assitance with

data analysis, workshop agenda preparation, explanation of tools in a practical

way, project plan scope and timeline compliance etc.

Coaching

methodology:

6




Process Audit


Training &Coaching

Process Mapping

Process organization

− Building an organization supporting process improvement

− Developing a process management model


6 Process infrastructure and management (BPM)

Purpose of the change

− To change the corporate culture in order to perceive processes as a management tool.

− To change the perception and attitude of people to processes.

− To optimize processes in the long term - choose best opportunities.

− To develop a tool for long-term process management for management and operators.

− To keep the track of processes, process steps and all process KPI.

Outputs

− BPI Strategy - Implementation of process improvement (Lean Six Sigma) to the organization.

− Process management model (BPMM).


6 Building an organization supporting process

improvement

Long-term results are determined by building a process-oriented

organization. We are talking about BPI infrastructure.

1. Management of programs and

processes

3. Selection of processes

and prioritization

2. Selection of people &

motivation

4. Regular trainings

DELIVERY OF THE ACTIVITY

6. Calculation

of benefits

5. Support

(coaching & mentoring)

7. Sharing

experience

and communication

of results


6 Risks related to building of a process

organization− When realizing a project, individual projects may be stopped or attenuated. There is a risk that the

implementation of process management fails.

RISKS DescriptionHow to eliminate the

risk?

Low involvement of TOP

management

Process improvement is not

a part of the strategy, personal goalsTrainings, Setting KPIs

Team capacity for process

improvementPart-time working, which causes delay Motivational and training plan

Improperly selected projectProjects cannot be completed

within allotted time (too wide in scope)

Execute process audits.

Devote your time to

choosing.

Low participation and support of

team members

Team members are too busy

to work on the project

Obtain permission from

managers

Unrealistic financial benefitsFinancial benefits are miscalculated, no

tangible impacts

Involve finances from the

beginning of the project


COMPREHENSIVE APPROACH

We interconnect project work, methodology training with

soft skills aimed at working with people.

INVOLVING PEOPLE

Our work is based on the participation of people. In

projects, we use team workshops in which we engage

participants in order to take the responsibility for change

JOINT WORK

We implement projects and solutions together with clients.

This approach ensures easier adoption of the proposed

changes and helps to transfer the knowledge and

methodology to the client organization.

ADAPTED TO THE SITUATION

Each organization is different and requires a different

model. We always adjust our program to the culture,

situation and needs of the company.

What is the program based on?

3 pillars of Process Excellence program

Our consultans for the project

Introduction


Business Process Improvement projects

Lean Six Sigma deployment

Certified trainings (Black Belt, Green Belt, Innovation)

Process Audits

Innovation strategy and workshops

Change Management workouts

Process Design - DFSS

Panasonic, ČEZ, Memco, Continental, Telefonica O2, Vodafone, Panasonic, Home Credit, GE

Money, VUB Bank, Slovenská armáda, Accenture, RWE, CSOB, KB, Continental,

Mondelez,Atalian, OKIN …

Milan Gazdík, [email protected]

«We teach our clients look for the right way with use of smart

optimization and innovation»

Your

consultant for:

Projects:

Professional experience

2005 MBA, DePaul University - Charles H. Kellstadt Graduate School of Business(USA Chicago)

2000 – 2006 Global Blue - Business Development Manager / Marketing Manager

2006 – 2008 Vodafone - Black Belt / Six Sigma Consultant

2008 – 2009 Home Credit International - Group Process Improvement Manager

2009 – present ICG – Capability – Partner, Member of ICG Group Extended Board


Business Process Improvement projects

Lean Six Sigma deployment

Certified trainings (Black Belt, Green Belt, Innovation)

BPM – Business Process management

Innovation strategy

TRIZ projects and trainings

Lean manufacturing, KAIZEN

Panasonic, Magna, Assa Abloy, Doosan, Dongwon, ZF Automotive, Bombardier, Vodafone,

GE Money, VÚB Banka, Armáda Slovenské republiky, Accenture, Deloitte, UniCredit bank,

ČSOB, KB, Continental

Over 100 trainings and coachings in Czech Republic and Slovakia.

Libor Čadek, 1977

[email protected]

«Great consultancy is about the right blend of tools and approach. We

blend flexibility, diligence and empathy in building long lasting

relationships with clients.»

Your

consultant for:

Projects:

Professional experience

2003 Master degree in system engineering and information science at the Faculty of Economics and Administration at the University of Pardubice

2003–2005 Accenture / Process managment consultant, SOX application

2005–2007 Vodafone Czech Republic / PMO consultant

2007–2010 Vodafone Czech Republic / Black Belt / Six Sigma Consultant

2009–present ICG – Capability – Partner


- Business Process Improvement projects

Process audits and scorings

Operational Excellence programmes

Process models for companies

Coaching

Lean Six Sigma implementations

Change Management

Vodafone, SSC Bodycote, GE Money, T-Mobile, Atalian CZ

Václav Jiránek, 1980

[email protected]

«Process management with simplicity and brain. We prefer team work

during process mapping or improvement instead of individual analysis.»

Your

consultant for:

Projects:

Professional experience:

2011 Master of Science, University of Economics, Praha

2000–2007 Teleflex Medical – Quality Assurance Manager

2007–2009 T-Mobile – Lean Six Sigma Project Manager

2010–2013 Vodafone - Six Sigma Black Belt / Quality Manager

2013–now ICG – Capability – Consultant

ICG-Capability

Company Introduction


Innotiimi

IntegratedConsultingGroup

130consultants

12countries

30years of experience

ICG Capability s.r.o.

ICG-Capability

Capability s.r.o. is a member of ICG-Innotiimi Group


ICG-Capability

We are a consulting company operating in 12 European countries with more than 30 years of experience. We

focus on process improvement using methodology of Lean Six Sigma, business innovations and change

management. We deliver particular projects, trainings and combined programs to our clients in both service and

manufacturing organizations. We understand our contribution as the delivery of concrete results and the transfer

of our knowledge to the client's side.

7 VALUES ICG – CAPABILITY

1. The customer is always our top priority. We build long-term relationship based on trust.

2. We deliver more than the customer expects.

3. We are committed to results. We are rewarded for the supplied value.

4. We fully adapt to specific needs and requirements of the client.

5. Positive feedback from the customer is the main indicator of success for us.

6. Whatever we do, we want to do it as the best one in our field.

7. We do, what we enjoy, and we want you to enjoy it as well.


Green / Black / Yellow Belt

Lean Professional

Design For Six Sigma

Champions Training

Our complete portfolio of services

Innovation Process

Strategy of Innovation

TRIZ

Creative Problem Solving

Change Management

Project Management

Tra

inin

gs

Processes

Process Improvement Projects

Process Audit

KAIZEN Workshops

Coaching of project leaders

Lean Management

Data Analysis

Innovation

Product Innovation

Service Innovation

Strategy of Innovation

Marketing Innovation

Innovation Workshops

Change

Change communication

Workshops Facilitation

Cultural Change

Project Management

Co

nsu

ltan

cy


Our consultations focus on 5 key areas

Controlling

Process Excellence

Innovations

Strategy

Personal, Team

and Leadership

Development


Remove obstacles

Develop an attractive future

Lead to sustainable success

Our Consultancy group

We are experienced professionals who work in partnership with people to create solutions.

Our

goal


Why ICG?

Integration of lean skillset with change management competence

We believe in diversity in our team (Lean & Change management

specialist in one ICG team)

Involve team and teamwork, results are based on cooperation

Respecting the company culture

Lean Leadership

Sustaining energy after the project work - we handle resistance


IntegratedConnect professional and psycho-social competences

Integrated management model

Consulting, training and coaching

InvolvedDialogue processes, which turn those affected into involved

Develop people and teams

In workshops, large groups and conversations

Co-CreativeDesign cooperative change work

On equal terms – with clear own opinion

Give impulses and change perspectives

Impact drivenLead to fast results and sustainable learning

Profound concepts and implementation – „hands-on“

Full commitment for the task

Our style of work

References

Our Experience with Process Management


Selection from our references…

Process Audit and process standardization - create the Process Model of all organization.

Mapping of more than 300 processes in Shared Services Centre, Prague, searching for

opportunities and improvements.

Create the Process Model in HR are and set up all process flows, roles and

responsibilities.

Design of the Process Model for newly established company.

Workshops to perform a quick audit process and improve processes in mortgages. Trained

30 people on a comprehensive methodology of process management and optimization.

More than 100 employees trained for process mapping methodology and following

optimization by Six Sigma Green and Black Belts.

More than 100 employees trained for process mapping methodology and following

optimization by Six Sigma Green and Black Belts.

Supporting Lean Operational Excellence with focus on Russia branch, project deliveries

and Lean program implementation.

http://www.homecredit.cz/cs/index.shtml

http://www.homecredit.cz/cs/index.shtml



Lean Management and Change Management

Lean Management, process optimization at several locations

Support of the management, corporate development, redirection/organization of the production basis chemicals worldwide

Organizational development, Lean implementation, Six Sigma qualification and reorganization at several locations

New organization of business units in Europe incl. designs of business processes

Change Management with a focus on lean processes

Organizational development and change support for the transformation of Supply Chain organization, Six Sigma Black Belt-

trainings and leadership development programs in the EMEA-region

Increase of efficiency and Lean Management at several locations

Reorganization, Lean Management and continuous improvement

Lean Management and employee trainings

Support of the management, Lean Administration



Support of the project-team to improve processes (Lean, Six Sigma and Change Management method)

Merger of several locations, benchmarking in IT-outsourcing-projects, coaching, support of virtual teams

Organizational development of production and market units

Lean Management and change processes for developing innovation-fitness for European locations

Optimization and organization of processes within the SAP-migration, Change Management-/Change Agent-trainings, team

development in the area of production, Change Management during the integration of business processes

Comprehensive efficiency-benchmark between two different factories

Company development (strategy, organization, leadership), teamwork in production, innovation management

Redirection and implementation in process-oriented organization service unit

Turnaround at a production location, change processes with the management, workshops

Support of the management and AVOR in developing a process-model

New organization of the BU oncology

Organization and support of the project management office restructuring and team development in R&D


Contact

ICG - Capability

Capability s.r.o.

Křižíkova 35, Praha 8,180 00

T +420-775 012 859

[email protected]

www.capability.cz

mailto:[email protected]

http://www.capability.cz/


Titel der Präsentation, Integrated Consulting

Group, 03.04.2011, v1.065 www.capability.cz

Process Excellence Program - DDIM · Other reasons 73 % 27 % 15 % Productive activities Waste 55 %...

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Transcript of Process Excellence Program - DDIM · Other reasons 73 % 27 % 15 % Productive activities Waste 55 %...