bb wk1 200 contracting for success

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Black Belt Training Ford Proprietary

Copyright © 2005-2006, Ford Motor Company – All Rights Reserved

Contracting for Success




Black Belt Training Slide: 1

Module Objectives

Upon completion of this module, Black Belts will be able to: Contract for Success with Project Champion

• Describe the importance of contracting for success with the Project

Champion

• Utilize the Project Charter format to define the contract Deliver the Contract with Project Champion

• Utilize the Project Charter to maintain and execute the contract

• Describe the Toll Gate project review process, including critical

gate requirements and questions

Describe the roles and accountability of the Project Champion

and Black Belt in establishing and executing a successful

contract





Understanding How Projects Fail

Why do projects (6-Sigma or otherwise) fail?

• Low priority leads to lack of resource commitment

• Unclear vision of success

• Failure of sponsor and team to remain disciplined inapproach and check-adjust throughout the life of the

project

These are all controllable issues and, thus, can be

avoided!






A Project Charter is a contract between the management sponsor (Project Champion) and the 6-Sigma team that:

• Defines the problem and business case

• Scopes the project and establishes the expected outcome

• Identifies roadblocks and enablers for success. The process and outcomes of the creating the Project Charter are far

more important than the piece of paper itself.

The charter/contract should be completed prior to project start and

updated if items above are significantly impacted.

A weak Charter is a Red Flag for a poor contract

between the Project Champion and 6-Sigma team





Corporate Project Charter 6-Sigma Project Charter Docum ent

Instructions to Project Champion: The Project Champion must complete this

document prior to the start of a Black Belt project. This document is intended to clearly describe

the charter for a proposed project and to obtain agreement from key stakeholders. It must bean attachment to the Project Tracking System.

Project Title:

Problem Statement:

Linkage to Business: (Identify linkage to business plan/department objectives)

Defect Definition/CTQ (measurable):

Definition of Project Scope:

Project Deliverables/Objectives (Cost/Quality/Timing): (How will project be

assessed to determine success? What are the specific deliverables (project outputs)?

Enablers: (What resources/people/funds are available to assist with this project? Describe

any interactions with other projects or major initiatives.)

Performance Metric(s) Present Expected

Proj Champ/BB Meetings Scheduled: Y / N

Proj Champion Name/Signature/Date:

Process Owner /Customer Name/Signature/Date:

Black Belt Name/Signature/Date:

Master Black Belt Name/Signature/Date:

Project Expected Start Date: _____________ Expected Closure Date: _____

A blank Charter is

available on the 6-Sigma

Homepage under „BB

Resources‟





Key Summary Points for Project Charters:

State the problem in clear, concise, and measurableterms, i.e., a “Problem Statement”

Define the Business Case by providing justification for

conducting the project

Define initial project Scope and refine as the projectcontinues

State the Goal and desired results in measurable terms

Define Team roles and responsibilities

Identify and leverage Enablers – lessons learned and

potential resources





Delivering the Contract with the Project Champion





Supplemental Champion Project Reviews

Required for projects where the Black Belt needsassistance with the project or timing plan

Focus of reviews should be elimination of barriers and

identification of recovery plan

Ensure the project plans and project charters are reviewedand updated when necessary





Toll Gate Project Reviews

Communication required at each phase for the Black Belt toensure alignment (contract maintenance)

Review performed by Champion and Master Black Belt/Black Belt

Each Toll Gate review should cover:

• Goal/purpose

• Deliverables

• Key questions

The Toll Gate review information for each of the DMAIC phases is

included in the corresponding „Review ‟ module.





Roles and Accountability of the Project

Champion and Black Belt





Champion Role and Accountability

Identification, selection, definition, scoping, and prioritization of projects

Establishing and maintaining strong contracts with Black Belts

Overall management of 6-Sigma projects within their area,including providing resources and removing barriers

The Champion should also be held accountable for theeffectiveness of the 6-Sigma program in their areas.

This is usually performed through the development of a set of metricsindicating the effectiveness of the 6-Sigma effort.

The accountability is achieved by tying the 6-Sigma Metrics to the

Champion‟s performance and merit review.

The Champion is responsible, and should be heldaccountable for:





Black Belt Roles and Accountability

Establishing and maintaining a strong contract with

the Project Champion

Timely completion of their project in accordance withthe Project Charter

Identification of project barriers

Realizing the project benefits in terms of cost, timing,

quality, and/or customer satisfaction. Accountability isachieved by tying the 6-Sigma project benefits to the Black

Belt‟s performance and merit review.

The Black Belt is responsible, and should be heldaccountable for:





Objectives Review:

Black Belts should be able to:

Contract for Success with Project Champion

• Describe the importance of contracting for success with the Project

Champion

• Utilize the Project Charter format to define the contract

Deliver the Contract with Project Champion

• Utilize the Project Charter to maintain and execute the contract

• Describe the Toll Gate project review process, including critical

gate requirements and questions

Describe the roles and accountability of the Project Champion

and Black Belt in establishing and executing a successful

contract

bb wk1 200 contracting for success

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