Linking Lean, Six Sigma and Finance

Overviewand Case StudyOverviewand Case StudyAline YoungSVP, Quality and Productivity

Linking Lean, Six Sigma and Finance

December 1-3, 2004

Confidential and Proprietary

View To ScopeView To Scope

5000+ Banking Centers Growing Hundreds More

16,000 ATM’s 2 Million+ Small Business Customers Process Over 11 Billion Checks Per Year Served 106 Million Phone Customers Processed 3.4 Million Customer E-mails Automated Telephone System Handled 482 Million Calls. Shifted from Acquisition Strategy to Organic Growth


Baseline Assessment

Goal Alignment &High Performance Teams

Process for Customer Focus

Improved Alignment & Focus

Assessment to International Standards

Financial Linkage

The Foundation

6 Variation Reduction

Start

Y2

Y3

Hoshin Planning

Lean Training

Process Excellence

Business Excellence

Communities of Practice

ABM

Lean2

Operational Excellence

Y5

Y4

Breakthrough Mngmt.Y7Best In IndustryIntegration & Acceleration

Y6

Continuous Improvement MaturityContinuous Improvement Maturity

Driving to Higher Standards within Our Products & Processes

Organizational Awareness

We are here.


ApproachApproach


Burning Platform

SalesFulfillm

ent

Service

Projects

Core Processes

Product 1

Product 2LOB’s

Customer Customer

How to Link the Product to the Value Chain and Financial Impact


The Solution The Solution

Operationalizing Process Excellence

DMCActivity-Based

Analysis:LeanOperational

Analysis:Project(s)Execution

MBF's

3 monthsLOB

MBF's

Baselining Standardizing Predictive Impacts $ & Metrics Project Execution

HOSHIN

Lean2

3 months3 months

Closed loop execution methodology.


Overview of Lean2Overview of Lean2

Pre-Define Define Measure Analyze Improve Control

Q&P Support LOB Execution

“As-Is” ProcessTotal Opportunity

“To Be” ProcessPlanned Impact

Resourced InitiativesImplementation Plans & Controls

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Planning Factors to Consider

•TurboLean National Rollout- develop LOB experts for

replication

•Significant Re-organizations may postpone Lean event

•Technology Alternative --Tech solution better (funding

allocated, <6 months away)

•LOB’s ability to support Lean event

Planning Factors to Consider

•TurboLean National Rollout- develop LOB experts for

replication

•Significant Re-organizations may postpone Lean event

•Technology Alternative --Tech solution better (funding

allocated, <6 months away)

•LOB’s ability to support Lean event

LOB Executive Review• Lean initiatives• Business model fit• Business plan• Business case• Other approaches

LOB Executive Review• Lean initiatives• Business model fit• Business plan• Business case• Other approaches


Critical Business CTQ Gap Closed Financially Linked Business Case.

Projects prioritized, benefits calculated,

launched and tracked!

Projects prioritized, benefits calculated,

launched and tracked!

Final 2-weeks:• Measure & Control completed in team conf. calls• Deck finalized, certification tollgate scheduled• Projects launched.

Final 2-weeks:• Measure & Control completed in team conf. calls• Deck finalized, certification tollgate scheduled• Projects launched.

Process Costing• 6-Sigma projects spawned• Implementation plan completed• Root cause feedback loop determined.•Business Case Linked to Roll-Out

Process Costing• 6-Sigma projects spawned• Implementation plan completed• Root cause feedback loop determined.•Business Case Linked to Roll-Out

Sixth week: 3-day offsite

Measure, AnalyzeCompleted.

Tollgate deck done.

Sixth week: 3-day offsite

Measure, AnalyzeCompleted.

Tollgate deck done.

Then . . .Two weeks

Team meetings & Prep for the “Blitz”

Then . . .Two weeks

Team meetings & Prep for the “Blitz”

Third week: 2-day offsite

for DefineFirst tollgate deck

Third week: 2-day offsite

for DefineFirst tollgate deck

First two weeks (14 days):

Team Pre-work

First two weeks (14 days):

Team Pre-work

It revs up . . .

The Methodology FlowThe Methodology Flow

Productivity Realized Sooner


DeploymentDeployment


Define a SMART project to address the business gap identified by your champion

Map the activity of the product to identify ideas for improving flow and eliminating waste

Complete detailed analyses on select opportunities to develop an improved future state

Finalize and pilot solutions; analyze results and improve; plan for deployment

Implement improvements (within project scope) and validate results.• Project Charter

• Project Metrics• Customer Value (VOC)• Obstacles/Enablers• Stakeholder Analysis• Communication Plan• Voice of Associate• E2E Process Map• Project Timeline • Project FMEA• Project Skills Matrix• NIKU Number

• Product/Process Families• Monument Assessment• Demand Profile/Takt• Organizational

Alignment• Detailed E2E Process

Map• Time Value Map • MUDA Costing• Spaghetti/Inventory Map• RTY Analysis • Financial Assessment • List of Current Potential

Improvements• Project Prioritization

Matrix

• Activity of the Associate• Activity of the

Equipment• 5S Analysis• ICE• Risk Assessment (e.g.

FMEA)• Refined Project

Prioritization Matrix• Future State Map • WIIFM Validation• Operational Efficiency

Model• Business Case (COPPO)• Design Approval Process

• Metrics Defined• 5S Implementation• Visual Management• Standard Work• Material Strategy • Demand Profile/Takt • Staffing Requirements• Updated Risk Assmnt• E2E Value Stream Map• Pilot (as required)• Final Cost/Benefit

Analysis • Deployment Plan• Multi Gen Plan (MGP)

• Visual Displays/Controls• Error-proofing• Risk Control Plan• Kaizen Strategy• New Process

Implemented (per project scope)

• Results Documented• Validated Financial

Impact• Process Certification

Timeline linked to MGP• Lessons Learned• Replication Plan

DEFINE MEASURE ANALYZE IMPROVE CONTROL

Launch Project

Focus on Critical Opportunities

Pilot Process Changes

Deploy Improvements

Validate Benefits

ID Business Need

Executible RoadmapExecutible Roadmap


Example: Tools and TemplatesExample: Tools and Templates

Phases ActivitiesPre-Work

Present Overview Presentation on Lean Assessment Template

6 Distinguishing elements of Lean2: 1) Focus on Associate & Customer needs through WIIFM 2) Links to financial impacts 3) Operating efficiency linked to metrics 4) Root cause feedback

Explain Lean steps; certification requirements if Lean Leaders will be certified.

Explain the tools: Closed loop productivity link to Hoshin & Turbo Lean Schedule

Do Skills Assessment on team. WARNING: Team members should all be Lean-trained, and it's especially nice if they are green belt trained.

Do Stakeholder Analysis. Draft Huddle document & MGP Enterprise

Collect Organization Chart & Facility Layout

Team contact list, Sample Workplan

Distribute and discuss six interview questions for fishbone (VOA)

Logistics of on-site visit discussed and determined.

Rework is in: Huddle document reviewed and ready; skills assessment, org/facilities/contact list in.

How and when to Link the Tools is Critical To Quality


“Attain profitable growth through innovative products backed by unparalleled service”Strategy:

Value Chain:

Core Process

BuildProduct

Marketing/Sales

Product Researchand Development

Distribution CustomerService

Repair andOverhaul

• Customer focus• Speed

CoreCompetencies:

• Leading edge products

• Cost effectivemanufacturing

• International focus• Market knowledge

• Flexibility• Low cost

• Effective services• Innovation

CriticalSuccessFactors:

• Application of leading edge technology

• Focus on product niches• Understanding of global

product requirements

• Effective factorycapacity

• Customer perceived product innovation

• Entry into global marketing

• Responsiveness to complaints

• Quality of problem support

• Effective use of space and locations

• Low cost effective repair

• Operations Integration

MeasurementCategories:

• Developmental efficiency

• Innovation

• Capacity• Cost effectiveness

• Efficiency of shipping and warehousing

• Advertising effectiveness

• Market penetration• Sales force coverage

• Response time• Quality

• Quality• Cost • Flexibility

PossibleMeasures:

• Market share• Product contribution• Promotion spending

• Cost of and % of unused capacity

• Process Costs (set-up, planning, moving material)

• Development lead time• Development cost• Beta test dates• Availability dates• No. of New products• Customer satisfaction

• Cost per type of shipment• Inventory turns• # of incorrect shipments

• Turnaround time• Cost• Number of defects

• % of customer calls handled in 24 hours

• Time to resolve problems• Customer value added• Warranty cost• No. of maintenance calls

Identifies $ Predictive Impact By Process Step

Example: Activity Based Process Costing


Customer Weight 2 2 2 2 2 2 2 2 2 2

Business Weight 1 1 1 1 1 1 1 1 1 5

Rating Factors

Cost of Project

DurationHuman

Resources Required

Impact to % Unresolved

Impact to C Sat

Competitive Position

Community

Sort Number Project Name

Revenue Enhanceme

ntSavings

Cost Avoidance

3 Project C 3 1 1 1 1 1 1 1 1 1

6 Project D 3 1 1 1 1 1 1 1 1 15 Project A 3 1 1 5 1 1 1 1 1 54 Project B 5 1 1 1 1 1 1 1 1 12 Project E 1 1 1 4 1 1 1 1 1 11 Project F 1 1 1 1 1 1 1 1 1 17

Cost to Serve/Cost Per Problem

Project Prioritization Matrix

Initiatives Prioritized by Risk/RewardInitiatives Prioritized by Risk/Reward

Initiatives are prioritized according to Impact on LOB MBF’s and Objectives.


Predictive Impact ModelingPredictive Impact Modeling

Begininning Inventory (B) 10396

Inventory or Backlog (I) 10368

Average Daily Progress Against Backlog 1 (RR) 1058

Number of Days in Period (D) 19

(V) in Avg Daily Volume 1056

10386Event Volume (EV) 0 0.98

10178

51.67%

Skill Level A Skill Level B Skill Level C

FTE 125 0 0 125

CP = Capability 8.46 12 2 8.46

Complexity Level Easy Medium Hard

Complexity Mix 1 0 0

Per day 1058 0 0 1058

"What If Scenario"

Scenario Analysis

Linked To Metrics


ResultsResults


Closed-Loop ProductivityClosed-Loop Productivity

Reduce $ COPQ ($XMM)

# of New Incidence 2

2

OperatingEfficiency

Reduce Unresolved Problem Incidence Rate by X%

Level 3 Performance Measures

Level 2 Detailed Measures

= New Measures

Initiative’sLevel 1Business Outcomes

HoshinBusiness

Objectives

Aged Cases

Productivity Per FTE

# of Research Cases

Number of Stepsfor a Given Activity

DecreaseCost

1.2.2 ProblemResolution

1.2.3 Lean E2E Completion Time

Total $ COPQ

Total $ Cost Per FTE

Total $ Cost Per Problem

Cycle Timeto Complete Activity

# of Times ActivityRequired a Handoff

Takt Time

# of Cases Resolved Per Day

# of Cases Processed Per FTE Per Day

Current “As Is” Metrics

Gap “To Be” Metrics$ Losses Per FTE

1

3

4

5

79

10

7

11

6

12


Business Case Proof of ConceptBusiness Case Proof of Concept

As is Process Steps As is Costs To Be Process Steps To Be CostsTo be Savings Opportunity

Intiative Groups

Open Mail Open Mail $0.00 1,2,5,10

Sort Mail Sort Mail $0.00 1,2,5,10

Transport Transport $0.00 1,2,5,10,11

Data Entry Data Entry $0.00 1,2,5,10,11,12

Assign Cases $0.00 2,3,5,10

Print Trip Tickets $0.00 2,3,5,10

Sort Work $0.00 2,3,5,10

Transport $0.00 2,3,5,10

Prioritize Prioritize $0.00 2,5,10

Research Research $0.00 1,2,3,4,5,10

Create Documentation Create Documentation $0.00 2,4,5,7,10

Update Case Update Case $0.00 2,5,6,10

Batch $0.00 2,5,7,10

Close Case Close Case $0.00 2,5,7,10

Sort $0.00 2,5,6,10,11

Recon output $0.00Management Information

Management Information

$0.00 2,5

Root Cause / FeedbackRoot Cause / Feedback

$0.00

Total Opportunity $0.00

$ Predictive Impacts

Of “To Be” Linked to

Initiatives.


Linkage of Lean, Six Sigma and FinanceLinkage of Lean, Six Sigma and Finance

Operationalizing Business Excellence

DMCActivity-Based

Analysis:Lean

Operational Analysis:

Project(s)Execution

MBF's

3 monthsLOB

MBF's

Baselining Standardizing Predictive Impacts $ & Metrics Project Execution

HOSHIN

Lean2

3 months3 months

Repeatable as a methodology, drives standardized Processes, prioritizes at all levels, modeling and VISIBLE Financial Benefits!


How to Embed DNAHow to Embed DNA


Team Structure

Purpose: LOB/ Process team associates assigned to Lean2 event for data collection,

tool usage, solution design. Allocated for percent of time to the event.

Basic Functions: Process Owner Change Manager Finance Technical Lead

• Basic Skills: Lean operational analysis Target area design Target area implementation Owns Launch area refinement Project result tracking


Process governed by toll gate reviews (face-to-face meetings on site or via conference call with web meeting)

Business leaders and tool experts to participate in reviews Executive review after Analyze commits resources and timetable for

projects Flow review at Improve for proofing and funding decision

“Pain point” generated activities priority for planning LOB pull for an event. Event Driven by Management issue

“Well Visit Check-up” activities driven by Annual assessment scheduled between Hoshin and Goals setting. Actions triggered by Assessor scorecard monitoring

Event Management System


Training structured and experiential: Classroom OJT training prior to and during the event at the site

Maturity through experiential path: A Candidate progresses through certification and leadership by

participating in an experiential “New Flight” program. As “Shadow-Apprentice”, a representative from another LOB, joins

the candidates who are helping lead a Lean2 event in their business, and “shadows” them.

As a “Co-Pilot”, the LOB member assists the Lean Expert or Leader in conducting the event.

As a “Pilot” the LOB member now leads the event “solo” as a certified Lean Leader.

Communities of Practice: Cross-sharing and leveraging value streams

Training and Certification - Example


Lessons LearnedLessons Learned


Lessons Learned: People & DeliverablesLessons Learned: People & Deliverables

People:

Process Owner is an active team member (driving all work products).

• Two Lean Facilitators

Training at the event allows for optimal learning.

• Involve Lean candidates in activities to drive results

Finance partner on extended team from Day 1

Deliverables:Review on Day 1 of each site visit.

•Assumptions about what materials to use and how they link must be challenged for each audience, ex. Takt, WIIFM.

Pre-plan and Pre-schedule all interviews and associate activity monitoring


. Communication: Hold tollgates with Executives Onsite

Lessons Learned:Communication & ToolsLessons Learned:Communication & Tools

Tools:•Plan logistics well.

Use the WIIFM-WIIFT. It’s a very good VOA tool.

•Provide a clear understanding of each tool, its use and how the tools

interrelate both intra- and inter-phase.

Walk the process (visit the business site). Especially for AOA, AOP, & AOE.

•Keep the agenda flexible, and use check off boxes as requirements are

accomplished.


Case StudyCase Study


Case Study LOBCase Study LOB

Business Case: The functions are predominately manual in nature and account for a combined FTE of 190. These FTE process approximately 729,174 customer requests per month using different processes. These requests are currently organized into 166 functions. In addition, it is estimated that the combination of dissimilar processes and reporting between the three sites has created Non-Value Added activities and waste within the processes.

Lean Objectives:Decrease End to End Completion Time Reduction in Operating CostSustained Process Quality

Timeline:DM: 1 monthAI: 1 month Pilot: 1 month Implement/C: 1 month

Gross Benefits:

Total 40% of Opportunity

Net Benefits:

Total 20% of Opportunity

4 Months Total


Voice Of Associate - WIIFMVoice Of Associate - WIIFM

Efficient Resolution of Customer Inquiries

Card Holder Education (+)

Duplicate Requests (-)

Incomplete Customer Info (-)

Good Work Distribution (+)

Sharing Printers (-)

More Automation (+)

Onsite Storage (+)

Culture Improving (+)Flex Time (+)

Manual Filing (-)

SLA (-)

Volume Reporting (-)

Teamwork (+)

Communication (+)

External Partners (-)

Rumor Mill (-)System Stability (-) Tracking Pending (-)

Standards To High (-)

Policy & Procedure MethodsMother Nature

Technology People Measurements

What are the Pain Points?


0%

46%53%

0%

1%

Store Trans Inspect NV Process VA Process

Time Value MapTime Value Map

Muda Costing Template utilized to link in the Financials.


High Level Process Map/ScopeHigh Level Process Map/ScopePhoenix Correspondence

Support Functions

Associate

2 Review MIS

9 DocumentAction

1 AccessSystem

10 GenerateResponse

4 Sort WorkIs Prioritization

Necessary7 ProcessRequest

12 TransportWork

11 Prepare toMail

5 PrioritizeWork

6 AnalyzeWork

3 ReceiveWork

Business ValueAdd

Value Add

Non Value Add

InformationSystems

Product Flow

Metric Alignment

Mgmt Interaction

13 Wrap UpEnd of Day

14 InspectOutput

8 AuthorizeTransaction

ManageInformation

MonitorEquipment

CoachAssociates

105655 70207 41332 18375 16943 13290 9510 4536

37.8 25.1 14.8 6.6 6.1 4.7 3.4 1.6

37.8 62.8 77.6 84.2 90.2 95.0 98.4 100.0

0

100000

200000

0

20

40

60

80

100

Defect

CountPercentCum %

Perc

ent

Cou

nt

Pareto Chart for CategoryDemand Profile

Mail Sort 37.8%

Acct Maint - Simple 25.1%

Acct Maint - Complex 14.8%

Monetary Adj 6.6%

Letters 6.1%

Prod Change/Consol 4.7%

Rewards Prod 3.4%

Information Req 1.6%

17 Steps 4 VA


Process/Product FamiliesProcess/Product Families

Centers process similar work through different processes

Site I

3 Primary Teams

9 sub groupings

Grouped by Request Type

28 Total Functions Performed

Site II

4 Primary Teams

9 sub groupings

Grouped by Request Type


Site III

4 Primary Teams

11 sub groupings

Grouped by Request Difficulty and Flow


Pilot To Be Product / Process Alignment

Functions Grouped in 3 categories: Primary (80 Functions), Exceptions (28 Functions), Specialty (57 Functions)

2 types of teams: Primary/Exceptions Teams, and Specialty Teams

Designed to reduce processing time, counting, sorting, and transportation.

AS-ISAS-IS

TO-BETO-BE


Phoenix Correspondence

Su

pp

ort

Fu

nct

ion

sA

sso

cia

te

2 Review MIS

9 DocumentAction

1 AccessSystem

10 GenerateResponse

4 Sort WorkIs Prioritization

Necessary7 ProcessRequest

12 TransportWork

11 Prepare toMail

5 PrioritizeWork

6 AnalyzeWork

3 ReceiveWork

13 Wrap UpEnd of Day

14 InspectOutput

8 AuthorizeTransaction

ManageInformation

MonitorEquipment

CoachAssociates

Site I As-IsE2E Map

Site II As-IsE2E Map

Site III As-IsE2E MapNorfolk Correspondence

Su

ppo

rtF

un

ctio

ns

Ass

oci

ate

9 Store Work

6 ProcessWork

10 PrintDocuments

5 Sort Work

11 DocumentMIS

Back Up Editor

8 Batch Work

DatabaseManagement

4 AnalyzeWork

2 Review MIS1 Log On to

System

12 Log offSystem

Assign Work

7 Read Email /Scoop

3 ReceiveWork

CoachAssociates

QualityAssurance

ImplementProjects

Christiana Correspondence

Su

ppo

rt F

unct

ion

sA

ssoc

iate

2 TransportWork

1 Log OnSystem

4 ProcessRequest

7 Update MIS5 Sort / Store

Work6 Validate

Work3 Analyze

Work8 Log OffSystem

ManageInformation

MonitorEquipment

CoachAssociates

Pilot To Be E2E Map

Improvement Impacts Transportation is reduced by over 80% per day Counting and Sorting will be reduced to one time per day from an average of 4 times per day Grouping of functions based on difficulty allows for processing with a maximum of 2 handoffs. E2E completion time is projected to reach 1 day with all possible functions.

As Is and To Be E2E Process MapAs Is and To Be E2E Process Map


Spaghetti Chart As Is and To BeSpaghetti Chart As Is and To Be

Site To Be 91 miles per yr.

Site As-Is 624 miles per yr.


5S Strategy

Kanban/Bus Route work delivery plan

Work mix change from functional to skill-based

Elimination of up-front counting and sorting

Alignment of function names across all sites

Automated MIS tracking

Implementation of ImprovementsImplementation of Improvements

Primary/Completed

Exception/Completed

SpecialtyReroutes


2010Subgroup 0

6

5

4

3

2

1

0

Indiv

idual

Val

ue

1

Mean=1.538

UCL=2.868

LCL=0.2087

Standard Practice LEAN Practice

2

1

0

Mov

ing R

ange

1

R=0.5

UCL=1.634

LCL=0

Standard Practice LEAN Practice

I and MR Chart for Days to Reso by Time Period

Pilot Results ImmediatePilot Results Immediate


Baseline Data: Average 5.8 Days to resolve “end-to-end completion time”

Improvement results:

•Productivity increased from 25 pieces /hr to 28 pieces /hr

•Call center savings in reduced follow up calls (7% of daily volume = approx 890 calls/day)

•Reduced the average days to resolve (ADR) from 5.8 to 1.5 (74% reduction)

Baseline Data: Average 5.8 Days to resolve “end-to-end completion time”

Improvement results:

•Productivity increased from 25 pieces /hr to 28 pieces /hr

•Call center savings in reduced follow up calls (7% of daily volume = approx 890 calls/day)

•Reduced the average days to resolve (ADR) from 5.8 to 1.5 (74% reduction)

Productivity

0.0

2.0

4.0

6.0

8.0

Pre-Lean 5.8

Post Lean 1.50

Days to Resolve

Summary of Improvements -Example Summary of Improvements -Example


Attendance/Meeting Name

Exec Business Review (Exec, UL, TL)

Exec Business Review Practice (UL's, TL's)

Dashboard Meeting (UL's, TL's, Sups) Town Hall Sessions

Coaching Sessions Floor Meeting Team Meetings

Frequency: Formal Meeting Quarterly Quarterly Monthly Quarterly Monthly Monthly Monthly

Frequency: Informal Meeting Quarterly

2 weeks prior to Exec BR N/A 2 days prior

Frequency may increased based on need

Frequency may increased based on need N/A

Meeting Method Video Conf Video Conf Video Conf Conference RoomsManager Office Work area

Conference Room

Review consists of: 1, 1,2,4,5 1,2,4,5 2 4,5 3 1,2,3,5Follow-up (Yes/No) Y Y N N Y N NPrior Meeting Review Y Y N Y N N N

Meeting Ownership

Rotate between site leaders

Rotate between site leaders

Site Team Leaders Site Unit Leaders

Team Leaders and Supervisors

Vary depending on message

Site Team Leaders

Documentation

Change Management Review ProcessChange Management Review Process


3. Average Processing Volume measured by Department, Team & Associate

2. Variance to Forecasted Volumes Totals:• Weekly by Function Type

• Daily by Total Department Volume

1. Average Processing Time per:

• Department

• Team

• Associate

• Functional Department

• Functional Team

• Functional Associate

Control Plan MetricsControl Plan MetricsControl Plan MetricsControl Plan Metrics

Control Plan monitors three major metric areas monitor the “health” of the process as it happens :


Leveraging the ImprovementsLeveraging the Improvements

ID Task Name Duration Start Finish Successors Predecessors Resource Names

1 CSS Full Lean Implementation 10 days Thu 9/16/04 Wed 9/29/04

2 1. All associates will be categorized as a AMR 1,2,3 10 days Thu 9/16/04 Wed 9/29/04

3 1 Define Skill Criteria 1 day Fri 9/17/04 Fri 9/17/04 4

4 1 Review and Update Function List by AMR Title 1 day Thu 9/16/04 Thu 9/16/04 5SS,3

5 1 Associate Skill Assessment 1 day Thu 9/16/04 Thu 9/16/04 6SS 4SS

6 1 Assign Associate to AMR Categories 1 day Thu 9/16/04 Thu 9/16/04 7SS 5SS

7 1 Assign Associates to Manager 1 day Thu 9/16/04 Thu 9/16/04 8SS 6SS

8 1 Train associates based on skills assessment 10 days Thu 9/16/04 Wed 9/29/04 7SS

9 2. Physical Layout changes will be complete for AMR associates 3 days Thu 9/16/04 Mon 9/20/04

10 2 Identify Associate Locations 1 day Thu 9/16/04 Thu 9/16/04

14 2 Physical move of associates 1 day Thu 9/16/04 Thu 9/16/04

15 2 Purchase/Locate Kanban materials 3 days Thu 9/16/04 Mon 9/20/04

16 2 Purchase/Locate Carts 3 days Thu 9/16/04 Mon 9/20/04

17 2 Implement 5S strategy 1 day Thu 9/16/04 Thu 9/16/04

18 3. Consistent MIS tracking and reporting system 10 days Thu 9/16/04 Wed 9/29/04

19 3 Develop Training for associates 1 day Thu 9/16/04 Thu 9/16/04

20 3 Deliver MIS training for associates 1 day Thu 9/16/04 Thu 9/16/04 Elaine Womack

21 3 Develop Reports 10 days Thu 9/16/04 Wed 9/29/04 Elaine Womack

22 3 Create standard formulas for all three sites 10 days Thu 9/16/04 Wed 9/29/04 Elaine Womack

23 3 Identify metrics required to monitor implementation success 1 day Thu 9/16/04 Thu 9/16/04

24 4. Define Department roles 1 day Thu 9/16/04 Thu 9/16/04

25 4 Create Consistent Lean Procedures for AMR 1,2,3, TL, Supervisor, Cart Person1 day Thu 9/16/04 Thu 9/16/04 Teree Brennan,Elaine Womack,Kathy Ervin

26 4 Identify MIS 1 day Thu 9/16/04 Thu 9/16/04

27 4 Identify Quality Owner 1 day Thu 9/16/04 Thu 9/16/04

28 4 Identify/Assign Project Management Resource 1 day Thu 9/16/04 Thu 9/16/04

29 4 Identify/Assign Communications Specialist 1 day Thu 9/16/04 Thu 9/16/04

30 5. Determine Staffing Requirements 1 day Thu 9/16/04 Thu 9/16/04

31 5 Define Cart Staffing Requirements 1 day Thu 9/16/04 Thu 9/16/04

32 5 Define Volumes per AMR associate type 1 day Thu 9/16/04 Thu 9/16/04

33 5 Determine TAKT for Cart Distribution 1 day Thu 9/16/04 Thu 9/16/04

ID

1

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14

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6%

0%

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0%

0%

0%

0%

0%

0%

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0%

0%

0%

0%

0%

0%

0%

0%

0%

0%

80%

0%

100%

100%

100%

100%

0%

0%

0%

0%

S M T W T F S S M T W T F S S M T W T F S S M T W T F S S M T W T F S S M T W T FSep 12, '04 Sep 19, '04 Sep 26, '04 Oct 3, '04 Oct 10, '04 Oct 17, '04


Increase associate satisfaction/ownership due to increased knowledge/skills

Increased responsiveness to customer demand by managing to volumes rather than functions

Facilitates forecasting/planning based on data Development/advancement opportunities Three Other Solution Services sites are

implementing approach

Pilot WinsPilot Wins


QuestionsQuestions

Linking Lean, Six Sigma and Finance

Documents

Transcript of Linking Lean, Six Sigma and Finance