lean six sigma maturity journey - fisher college of … six sigma maturity... · lean six sigma...

Lean Six Sigma Maturity Journey

Rick Guba

Executive in Residence

® All Rights reserved

2

Question:

What do you think of when you

hear the words “Lean Maturity”

Weight loss

program?Transformation

road map?

Getting

Older?

3

Misconception

• Its not about the tools…

• Its about the continuous

improvement journey.

4

Culture Change Flavor of the month EventsBenchmark other

Companies

DNA of the

Organization

Proactive Fire Fighting DFSSIT; Product Dev;

Marketing; HR

Strategy MaturingMaps, Goals

(Model lines)

Project Roll-up

(Hoshin Strategy)

Full Closed-Loop

(Full VSM linkage)

Software Excel Project Tracking Portfolio ManagementStrategy & Portfolio

Management

Reporting Anecdotal Measured StandardizedCross-organization,

Comparisons

Multi-year History

(Best in class)

Financial Impact Ad hoc Cost Reduction Consistency ValidationGeneral Ledger

Impact

Project Selection Burning Platform Low HangingModel lines & Value

Stream FocusIdea Pipeline Formalized Evaluation

PeopleDriven Few

(Green Belts)

More Believers

(Black Belts)

Career Development

(Master Black Belts)

Repatriated

(Internal Sensei)

Majority (fully

developed at all

levels)

Training Champion External External, Custom Internal, eLearning Internal, Specialty

Leadership 1 or 2 Visionaries Pockets of BelieversAcross Company

(Coaches)Expected (Mentors) Ingrained (Trainers)

Launch

Early Success

Scale

Replication

Institutionalization

Culture

TransformationA Lean Six Sigma Maturity Model

Adapted from The Six Sigma Maturity Model™ at www.isixsigma.com

http://www.isixsigma.com/

5

Exercise:

• In groups discuss where your business in on

the maturity model.

• Define what you see that supports your

analysis.

• Describe what steps you from progressing to

the next Level.

10 min

6GE Aviation

A global provider of engines, systems and services

Segments• Commercial

• Military

• Business &General Aviation

7GE Aviation

Powering the world’s airline fleets

Every 2 seconds, a GE, CFM, EA powered airplane is taking off somewhere in the world

At any given moment, more than 2,200 of these aircraft are in-flight, carrying between 50 and 500 passengers

That's more than 300,000people... right now... who are depending on our engines

*CFM International is a 50/50 JV between GE and Snecma

EA is a 50/50 JV between GE and PW

Engine fleet: 25,9007

GE Aviation

8GE Aviation

Commercial engines

*CFM, CFM56 and the CFM Logo are trademarks of CFM International, a 50/50 joint company of Snecma and GE**GE-P&W Engine Alliance is a 50/50 joint venture with Pratt & Whitney

EMBRAER 170/175/190/195Bombardier CRJ200/700/900 COMAC ARJ21

Regional jetsCF34® family

Single AisleCFM56* family

Twin AisleCF6 familyGEnx

Jumbo Twin AisleCFM56, CF6/GEnxGP7200**, GE90

Turboshaft & TurbopropCT7/T700 family

Airbus A320Boeing 737

Boeing 787Airbus A300/310/330Boeing 767

Airbus A380Airbus A340-200/-300 Boeing 777Boeing 747

S 92EH101 Saab 340 IPTN CN235

COMAC C919

Global Supply Chain– Over 80 Sites– Culturally Diverse Workforce– Broad Spectrum of Processes


Companies

DNA of the

Organization


Marketing; HR


(Model lines)

Project Roll-up

(Hoshin Strategy)

Full Closed-Loop

(Full VSM linkage)


Management


Comparisons

Multi-year History

(Best in class)


Impact



PeopleDriven Few

(Green Belts)

More Believers

(Black Belts)

Career Development


Repatriated

(Internal Sensei)

Majority (fully

developed at all

levels)




Launch

Early Success

Scale

Replication


Culture




25 years of Process Thinkingat GE Aviation

11

Work-Out™ / Town Meetings:Empowerment, action – Expert-Driven Decision-Making, Action Work-Outs™, Customized Work-Outs™

Process Improvement / Continuous Improvement:Process-mapping, re-engineering, Bullet Train

1989

1992

1996

1998

2012

2005

2011

Change Acceleration Process (CAP):Increase success and accelerate change

2013

Lean Manufacturing:TPS, Inventory reduction, Visual Management

1995

Six Sigma :Productivity, Span, Data-Driven Decision-Making

Design For Six Sigma (DFSS):

DFR, DFP, Modeling

2014

ACFC (At the Customer For the Customer):

Faster, Better, Closer to the Customer

1991

2000

Lean + Six Sigma + CAPSpeed & Quality, Transactional Lean

GE Advantage Six Sigma, Lean, CAP, WO, DAWO

Lean Six Sigma 2.0:

Simple, Process Thinking, Blended

Simplification/Fast Works:

Streamlining, Iterative

SimpleanEverybody Every day Everywhere

• Using Change as a Strategic andCompetitive Advantage

• Optimizing Change Effectiveness

• Building a Culture that Leads throughEffective Change

GE Production SystemDid you Have good day

2015

12

Right Tool at the Right Time

Set of Tools to Help Us Improve Our Processes

People (CAP,

Facilitation)

Is the change obvious?

Do we simply need to

implement?Just do

it

Does the process

have visible wastes

or X’s identified?

Lean

Do we have variation?

Are the Problems'

hidden ?Six

Sigma

13

Aviation Six Sigma

GB BB-DMAIC BB-DFSS MBB

Training GB class BB-DMAIC classBB-DMAIC class & BB-

DFSS classBB-DMAIC class

Test Corporate GB test Corporate DMAIC testCorporate DMAIC &

DFSS testsCorporate DMAIC test

LDC N/A Complete 5 classes Complete 5 classes Complete 5 classes

Personal DMAIC Projects

(DMAIC projects may include Six Sigma and/or Lean methods)

Participate in or lead a DMAIC project

Complete 2 DMAIC projects. Both projects approved by BB Cert

Board)

Complete 2 projects (either 2 DFSS or 1 DFSS & 1 DMAIC)

Complete 2 DMAIC projects. Both projects approved by MBB Cert

Board unless previously approved by BB Cert Board during

BB tenure.

Deployment Strategy

N/A N/A N/A

LSS deployment strategy with evidence of results. Approved by

MBB Cert Board.

Mentoring Projects N/A 1 GB project 3 GB projects10 GB/BB/MBB

projects

Time on Job N/A 18 months 18 months 18 months

Project approval BB/MBB QL/MBB/Cert Board MBB QL

Cert Approval BB/MBB QL/Business Leader QL/Business Leader QL/Business Leader

Aviation BB only: Must also complete

1 week Facilitation Skills & CAP course

14

The

Accomplishments The Challenges

Common

Language

YesSi

Oui

Improvements

made

Leadership

Trained

Certification

Focus

Focus on

tracking #

projects

Waiting

for BB

15

Customer feed back

I don’t feel it

16

What is Lean?

“A manufacturing philosophy that shortens

the time line between the customer order

and the shipment by eliminating waste.”

- John ShookToyota’s first ( and still

only) American “Kacho”

(manager) in Japan

17

Lean Progression ……

Green Belt

Black Belt / Master Black Belt / Site Lean Leader

Dedicated Lean Leader

18

The


Identify

Waste

Kaizen

Teams

Flow

Lines

End FinishWeldEnd FinishWeldOrbital

Weld

Hydro TestMarkMech.Clean

TorchBraze

Mech.Clean

Flex

End FinishWeldEnd FinishWeldOrbital

Weld

Hydro TestMarkMech.Clean

TorchBraze

Mech.Clean

Flex

Management

Owned

Changes only

done in events

Worked old

ways in new

locations

19

Customer feed back

Better, but….

20

But improvements did not always sustain…

TIME

IMP

RO

VE

ME

NT

K

KK

K

K

K

K

K

K

S

S

S

S

K = Kaizen

Standardize

S = Stick

Sustain

21


Companies

DNA of the

Organization


Marketing; HR


(Model lines)

Project Roll-up

(Hoshin Strategy)

Full Closed-Loop

(Full VSM linkage)


Management


Comparisons

Multi-year History

(Best in class)


Impact



PeopleDriven Few

(Green Belts)

More Believers

(Black Belts)

Career Development


Repatriated

(Internal Sensei)

Majority (fully

developed at all

levels)




Launch

Early Success

Scale

Replication


Culture




GE – Aviation6/10/2016

D M A I

C

Transition from “Running the Business”

to “Improving the Business”

Sisyphus and his Rock- Leader Standard Work

Results

Improve

Pressures

Force of

HabitManagement Standard Work

23

2016 Supply Chain Priorities

• Achieve product

cost targets

• Meet LEAP cost

curve

• Improve

inventory, P&E,

and accounts

payable

COST & CASHDELIVERY QUALITY PEOPLE

Creating the world’s best Supply Chain through

the GE Aviation Production System, Analytics, and Lean

Get the waste out Right the first time Working together

• Grow great teams

• Simplify

• Drive culture of

performance

development and

compliance

• Reduce customer

disruptions, MRBs,

and losses

• Improve process

capability

• On time for the

customer… period

Today & tomorrow

It starts with Leadership

Imagination at work.

Control Center DeploymentJanuary 22, 2015

Production System Implementation

GE Proprietary Information—Class III (Confidential)

Export Controlled—U.S. Government approval is required

prior to export from the U.S., re-export from a third

country, or release to a foreign national wherever located.

Operational Excellence

25

Create a world class lean

production system roadmap that

exceeds customer &

shareholder needs in safety,

quality, delivery, cost &

inventory.

CTQ

Control

Levels

Quality

Framework

GE Aviation Production

System

Operational

excellence

GE Aviation Production SystemThe standardized infrastructure that integrates our LSS &

Teaming best practices with our processes to design, produce,

distribute and service our products. It’s a roadmap that sites will

use to determine where they are and where they are headed

for the next 5-7 years.

Fundamentals

(Daily)

Strategic

(Weekly+)

Lean & Cont.

Improvement

Focus

GE Aviation

Production System

Control Centers

Layered Process Reviews

Ops Mgmt

Review

GE Aviation Production System3 Elements

Site

leadership

engagement

Did you have a

good day?

Measure maturity

of Operations,

Quality &

Control

One Company, One Standard, One Process

GE PROPRIETARY INFORMATION | 2015 26GE Aviation Production System

What we are

focusing on

this event

Control CentersFlexibility within a framework

Daily

Cell Control

Center

(CCC)

Daily

Production

Control Center

(PCC)

Weekly Plant

Business

Control Center

(BCC)

Plant leadership on the floor… solving day-to-day problems

Driving longer term metric trends & strategies

Cell management owned by team … drives

performance and sense of urgency

Visual flow of key metrics for safety, quality,

production, problem solving … escalation process

Total plant view … simplified focus on last 24

hours and next 24 hours: manage by exception!

Weekly review of metrics (QMI), longer term issue

resolution and continuous improvement

“Teaming”

“Prioritized action”

GEAPS

CCs

LPROMR


Information flowing up and

down org

Focus

Create Control Center Fundamentals

28

• Physical boards to see, “Did we have a good day?”• Cell performance: (last shift actual, current shift by hour)

• Plant production: Holistic view (Last 24 hours)

• Response culture when we have problems• Visual management to highlight problems

• Team developed and owned actions

• Escalation process

• Leadership owned actions

• Report back closed-loop

Control Centers

Cell Control

Center (CCC)

Production

Control Center

(PCC)

Business

Control Center

(BCC)

Teaming Daily metrics & prioritizing actions

Key Strategic actions & plans for

the year

Daily by Shift Daily Weekly

#2

#3

#4

Cell #1

Future

GEAPS

CCs

LPROMR

How do you know, “Did you have a good day?”


Cell Specific (CCC) Quality and Safety

30

Projects

w/ Escalation

tag

History of

location of

quality issues

Safety

Current month

customer felt

escapes

Year trend

customer felt

escapes

Cell

Current

month

recordable

Year trend

location of

injuries

Quality

Cell Year

trend

recordable

Red = Escape (QEM)

Yellow = On ship hold (evaluating

possible QEM) or open QEM

Green = no hold or QEMRed – recordable

Yellow - Injury

Issues

Issues

Cell Production (CCC)

31

Daily Unit

Completion by shift

with Issues TrackerRed = actual less then plan

Green = meets plan)

•Each peg color indicates

start date

•Colored bands indicate

planned cycle (takt time,

day, week,…). Highlights

Std WIP & throughput.

Value Stream MapClear to Start

• Std WIP

• Takt Time

• Output

• Daily part output and

movement through VSM

for one cell

Cell DelinquencyRed = over 1 week delinquent,

Green= less then 1 week

delinquent

Cell Projects (CCC)

32

Team

identified pipe

line of

projects or

issues

Projects

started)

Projects in

process

Projects

completed

and being

verified

Projects team

needs to do

something

different or

escalation for

additional

support

Mini A3 Format:

Individual problems are written

up by team and posted. As

project progresses, the cards

are updated and moved to each

folder

Plant Safety (PCC)

33

Top -Standard

Bottom – Site Creative

Current

Month

Cross Deep dive projects with

PDCA tracking

Past Month

Crosses

Site specific X’s• Safety walks

• 5S Audits

• Ect

MTD & YTD on

Near Missed, First Aids,

Recordables (Gensuite)Issues

Plant Quality (PCC)

34

Standard

Creative

Red = Escape (QEM)

Yellow = On ship hold (evaluating

possible QEM) or open QEM

Green = no hold or QEM

PDCA project

tracking

Day an escape was identified

MTD & YTD on Non-conform, Escape,

and Internal escapes

Root cause deep dive projects

Internal quality focus (site specific/flexible)

• # Non-conformances

• Aged NCR/MRB WIP

• # MRB

Year trend (by month)

Plant Production (PCC)

35Daily summary for 10 cells

Daily output

requirement

for cell

Actual output

for cellGreen = Met goal

Red = Under goal

Short term, tactical issues

to be completed within the

week.

Longer term items belong

on Project Board.

PDCA Tracking

Plant Delinquency, Input, Output & Inventory (PCC)

36

Inventory Input / Output ModelRed = input greater then output

Green = input same as or less then output

Delinquency ($, QMI Definition)

Red = greater then 1 week

Green = less than 1 week

CMRRed = holding up PO

Yellow = holding up assembly

Raw Material IssuesBlack Flag= Shortage holding CMR item

Red = Shortage holding up WO Start

Yellow = PO late to stock (charting, pareto,…)

PDCA project

tracking

Root cause deep dive projects

Plant Maintenance (PCC)

37

• Machine Down

• Schedule PMs

• Machine moves

• P&E Activity

• Issues

Plant C.I. Projects (PCC): long term

38Plant escalated actions

Red = late

Green= achieved daily output

Problem

OwnerDate projected

to be complete

PDCA

Tracking

GEAPS Layered Process Review Guide

39

GE Aviation

Production System

Control Centers


Ops Mgmt

Review

Site

leadership

engagement

Did you have a

good day?

Measure maturity

of Operations,

Quality &

Control


Foundation of

the GEAPS

Purpose:• Drives Leadership

engagement in

areas not normally

visited

• Measure

performance of

production system

to ensure it is

working

• Ensures Quality

Framework is

working

• Enhances Operator

interaction

Layered Process Review (LPR)

40

GEAPS

CCs

LPROMR

Review Type • Area FW14 FW15 FW16 FW17 FW18 FW19 FW20 FW21 FW22 FW23 FW24 FW25 FW26 FW27

Plant Leader A • 1 F • 3 C • 5 F • 7 B • 9 D • 11 A • Multi E • 2 J • 4 I • 6 A • 8 F • 10 A • Multi F • 1

Business Leader B • 2 D • 4 F • 6 H • 8 J • 10 A • Multi C • 1 E • 3 G • 5 I • 7 B • 9 G • 11 F • Multi D • 2

Business Leader C • 3 H • 5 C • 7 H • 9 C • 11 H • Multi C • 2 H • 4 E • 6 B • 8 C • 10 A • Multi C • 1 H • 3

Quality Leader D • 4 I • 6 D • 8 I • 10 D • Multi I • 1 D • 3 I • 5 D • 7 I • 9 D • 11 I • Multi D • 2 I • 4

Materials Leader E • 5 J • 7 E • 9 J • 11 E • Multi J • 2 E • 4 J • 6 E • 8 J • 10 E • Multi J • 1 E • 3 J • 5

Engineering Leader F • 6 A • 8 F • 10 A • Multi F • 1 A • 3 F • 5 A • 7 F • 9 A • 11 F • Multi A • 2 F • 4 A • 6

Lean Leader G • 7 B • 9 G • 11 B • Multi G • 2 B • 4 G • 6 B • 8 G • 10 B • Multi G • 1 B • 3 G • 5 B • 7

EHS Leader H • 8 C • 10 H • Multi C • 1 H • 3 C • 5 H • 7 C • 9 H • 11 C • Multi H • 2 C • 4 H • 6 C • 8

Finance Leader I • 9 D • 11 I • Multi D • 2 I • 4 D • 6 I • 8 D • 10 I • Multi D • 1 I • 3 D • 5 I • 7 D • 9

Sourcing Leader J • 10 E • Multi J • 1 E • 3 J • 5 E • 7 J • 9 E • 11 J • Multi E • 2 J • 4 E • 6 J • 8 E • 10

Vendor Programs A • 11 F • Multi A • 2 F • 4 A • 6 F • 8 A • 10 F • Multi A • 1 F • 3 A • 5 F • 7 A • 9 F • 11

Customer Service B • Multi G • 1 B • 3 G • 5 B • 7 G • 9 B • 11 G • Multi B • 2 G • 4 B • 6 G • 8 B • 10 G • Multi

HR Leader C • Multi H • 2 C • 4 H • 6 C • 8 H • 10 C • Multi H • 1 C • 3 H • 5 C • 7 H • 9 C • 11 H • Multi

IT Leader D • 1 I • 3 D • 5 I • 7 D • 9 I • 11 D • Multi I • 2 D • 4 I • 6 D • 8 I • 10 D • Multi I • 1

Maintinence Leader E • 2 J • 4 E • 6 J • 8 E • 10 J • Multi E • 1 J • 3 E • 5 J • 7 E • 9 J • 11 E • Multi J • 2

Ontime Completion

G=>90, Y>80, R<7087% 93% 87% 73% 93% 93% % % % % % % % %

10Review Types Table

Team

Count 15 13Review Areas Table

*This list should have an odd number of areas

Rweview name Area

A 1

B 2

C 3

D 4

E 5

F 6

G 7

H 8

I 9

J 10

11

Deep Dives Multi

Muliti Cell Multi

Review Description Description

Cell Management (Deep Dive)

Required

Turbine Center Frame

Plant Management & PCC (Deep Dive) Hot Section

Mfg Quality (Deep dive) Combustors

Quality Framework Tubes & Ducts

QIP Execution Sumps & Seals

EHS (Deep Dive) Rotating

Nonconforming Material (Multi Cell)

Added by

Site

Chem Room

Gages (Multi Cell) FPI

Workstation Audit (Deep Dive) Metal Spray

Cell Management (Multi Cell) Shot Peen

Central Services

Random (2-5 Cells)

Random (2-5 Cells)

Red Slash / = reviewnot completed Yellow = Review completed late Green = Review completed on time

L a y e r e d P r o c e s s R e v i e w S c h e d u l e - ASCS

Template is available at GEAPS Colab

Rweview name

A

B

C

D

E

F

G

H

I

Quality Framework &QIP (Deep Dive) - Monthly

5S Review (Deep Dive)

Gages (Multi Cell)

Cell Management (Multi Cell)

Mfg Quality (Deep dive)

Review Description

Cell Management (Deep Dive)

Plant Management & PCC (Deep Dive)

Nonconforming Material (Multi Cell)

EHS (Deep Dive)

LPR Road Map

Site Quality or Lean leader

• Owns schedule (can use template)

• The SITE owns the Questions

• Some go deep

• Some go wide

• See all areas of plant

• Customize to fit your

organization’s needs

• Tracks % Reviews completed on time

Reviewers

• Site determines list of Reviewers

(should be lead staff at minimum)

• Own completing reviews

• Own updating CCC with findings

• Own escalating improvement actions

to PCC

• Own immediate action if appropriate

41

Area

1

2

3

4

5

6

7

8

9

10

11

12

Commercial Blade - One Force

Commercial Blade - Elite Fleet

Military Blade - Blade Runners

Comm Vane - AVanegers

Comm Vane - Team Tig/ Radial Grinders

C/S - Hot Zone, F/X Ready to Inspect, Codep

PCC Board

Quality Office

T700 S1 Vane - Innovators

T700 S2 Vane - Synergy

F414 Vane - 414 Vanes

LM Vane - Lminators

Description

GEAPS

CCs

LPROMR

Process

• Each leadership team member to complete 1 review per

week, per assignment matrix.

• Reviews should only take 10-15 minutes to complete.

• Action items to be added to CCC or PCC project list by

reviewer as appropriate.

• Review schedule to be posted at PCC and reviewers to mark

off reviews as complete.(Green out square when complete within week, yellow if late)

• Closure rate to be reviewed Monday at PCC review. (red if

missed)

• Completed reviews to be turned into Lean Leader.

• Lean Leader to analyze and review trends.

42

GE Aviation

Production System

Control Centers


Ops Mgmt

Review

GE Aviation Production System3 Elements

Site

leadership

engagement

Did you have a

good day?

Measure maturity

of Operations,

Quality &

Control



Production

System Tour

Ops Management Review (OMR)

44

8 categories

5 elements per

category

100 available points

Detailed elements

45

The


Engagement

Multiple

Base hits

Common way in 87

shops to identify “did

you have a good day”

and get a response

New

behaviors of

leadership

Escalation

Process

Speed of

developing

change

agents

46

Before AWO

After AWO

Results

• 87% Lead Time Reduction

• 98% Internal Set Up Reduction

• 54% External Set up Reduction

• 54% Machining Reduction…Free

Capacity

• 92% Part Travel Reduction

Part Traveled 1713 ft.

Part Traveled 133 ft.

Product Flow Example...Creating a Bucket Cell

Bangor, Energy

Yes it works…

47

Insurance Example…RE Equity Release Process

P50 = 7d

Customer

• GE Life

• Estate

Surveyor

Inform

GE

7d

0s

C/T

P/T

L/T

Supplier

• Estate

• Executor

Agents Solicitor

Property

Access

&

Valuation

Appraisal

Agreed

Price

and

Agent

Approval Offer

Agreed

Approval Completion Approval

2d

2hr 20min

5d

20min

4hr

5min

1mth

5min

4hr

5min

5wk*

1hr

4hr

5min

P50 = 7d P50 = 2mth P50 = 10dP50 = 4hr P50 = 2mth P50 = 4hr P50 = 2mth P50

=

4hr

W

5 15 40

W W W

Finance

30

min

(10

m/w

k)

P50 = 7d

Customer

• GE Life

• Estate

Surveyor

Inform

GE

7d

0s

W

5

C/T

P/T

L/T

Supplier

• Estate

• Executor

Agents Solicitor

Reply Property

Access

&

Valuation

Appraisal

Agreed

Price

and

Agent

Approval Offer

Agreed

Approval Completion Approval

7d

2hr

2mth

20min

10d

20min

4hr

5min

2mth

5min

4hr

5min

2mth

1hr

4hr

5min

P50 = 7d P50 = 2mth P50 = 10d P50 = 4hr P50 = 2mth P50 = 4hr P50 = 2mth P50 =

4hr

W W W

I = Inventory

80 10 30 65

W W W W

Finance

40

min

(10m/

2wk)

30

min

(10m/

2wk)

30

min

(10m/

4wk)

5 min

(after

10d)Delay Delay Delay

21d notice

Delay

Before AWO

After AWO

Results

• Simplified Process

• Standardized Process

• 70% Cycle Red (27 to 8 wks)

• $15M Cash

• $2M Net Income

Yes it works…

48

61 $

77 $

86 $

100 $

65 $70 $

57 $ 55 $ 51 $

40

65

90

115

1996 1997 1998 1999 2000 2001 2002 2003 2004

Est

18.1

14.3

10.111.8

5.1 5.1

7.7

12.7

4

8

12

16

20

1997 1998 1999 2000 2001 2002 2003 2004

Est

4.0 $3.9 $

6.6 $ 6.0 $

12.0 $ 11.8 $

7.9 $

4.7 $

0

4

8

12

16

1997 1998 1999 2000 2001 2002 2003 2004

Est

1.0

2.31.8

4.83.84.3

6.5

7.8

10.1

0

4

8

12

1996 1997 1998 1999 2000 2001 2002 2003 2004

Est

Lean Leadership . . . Sustained Results

Accident Rate Inventory Balance

Cost Improvement Inventory Turns

Yes it works…

49

Customer

feed back

Team feed

back

We feel itI feel it

50

Lean as a foundation

51

Questions

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