2. ?
ďą(OPI), is all about reduce costs and continue to improve
performance and improve the bottom line (profit %).
ďąA systematic approach to help an organization optimize
its underlying processes to achieve more efficient results.
ďąReduce variation and/or waste in processes, so that the
desired outcome can be achieved with better utilization of
resources.
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3. Process Improvements, involve
ď Process managements
â˘Defining the organization's strategic
goals and purposes:
ď Measuring and Improving Who are we?
Performance what do we do?
ď Improvement Priorities why do we do it?
ď Approaches to improvement
â˘Determining the organization's
ď Techniques for process customers (or stakeholders)
improvement Who do we serve?
ď Managements Science
â˘Aligning the business processes to
ď Reengineering the organization's goals
How do we do it better?
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4. Process Improvement management
techniques
Process Process Process
Mapping Deployment Improvement
Discover Design Deploy Analyze Optimize
â˘Identify â˘Model â˘Integrate â˘Measure â˘Redesign
Key the participatin taken process to
Processes process g systems time remove
â˘Rules & with its â˘Train a) Per work bottle-
Roles for rules and stakeholde step, necks
each roles on rs of the b)Per Person
process to the process c) Per Process
system â˘Identify
bottlenecks
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5. Common techniques for process
analysis
Input/output analysis Flow charts Scatter diagrams
x x
Input Out put x x x
x
x x
x
x x
Cause-effect diagrams Pareto diagrams Why-why analysis
Why?
Why?
Why?
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6. Process Improvements approach
Breakthrough improvements Continues improvements
(Innovative) (Kaizen).
1. Short-term, dramatic 1. Long-term, un-dramatic
2. Big steps 2. Small steps
3. Intermittent 3. Continuous, incremental
4. Abrupt, volatile 4. Gradual and consistent
5. Few âchampionsâ
5. Everyone
6. Individual ideas & effort
7. New inventions/theories 6. Group efforts
8. Concentrated âall eggs in 1 7. Conventional know-how
basketâ 8. Spread
9. Large investment
9. Little investment
10. Technology
11. Results for profit 10. People
11. Process
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7. Process Improvement management
techniques
Define
Plan
Control Measure
Act Do DMAIC
Check
Improve Analyze
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9. 8-omega Implementation
D A D I I M C I
Strategy
Implement
Analyze
Integrate
Manage
Discover
Improve
Design
Control
People
Process
Technology
tm
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10. Six Sigma methodology for OPI
⢠A business management strategy, originally developed by Motorola,
USA in 1986.
⢠Seeks to improve the quality of process outputs by identifying and
removing the causes of defects (errors) and minimizing variability in
manufacturing and business processes.
⢠Uses a set of quality management methods, including statistical
methods, and creates a special infrastructure of people within the
organization ("Black Belts", "Green Belts", etc.) who are experts in
these methods.
⢠Each Six Sigma project carried out within an organization follows a
defined sequence of steps and has quantified financial targets (cost
reduction and/or profit increase).
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11. Six Sigma methodology for OPI
⢠Recognize an opportunity Six Sigma key roles for its successful
⢠Get to âgoldilocksâ size
⢠Develop the project plan implementation
D-Define ⢠Map the high level process Executive Leadership includes the CEO and
⢠Obtain VOC and identify drivers (CTQs)
other members of top management,
⢠Understand principles of variation responsible for setting up a vision for Six Sigma
⢠Analyze measurement system
⢠Establish process baseline implementation.
M-Measure ⢠Stratify data â˘Champions responsible for Six Sigma
⢠Set goals for outputs
implementation across the organization in an
⢠Focus problem statement
⢠Develop theories with data integrated manner, also act as mentors to Black
⢠Model cause and effect Belts.
A-Analyze ⢠Identify improvements
â˘Master Black Belts, identified by champions,
⢠Analyze cost and benefits
act as in-house coaches on Six Sigma. They
⢠Set improvement CTx goals
⢠Develop improvement plans
devote 100% of their time to Six Sigma.
⢠Assess improvement plan risks â˘Black Belts operate under Master Black Belts
I-Improve ⢠Develop contingency plans
to apply Six Sigma methodology to specific
projects.
⢠Develop new SOPs
⢠Implement full scale changes â˘Green Belts the employees who take up Six
C-Control
⢠Transfer ownership Sigma implementation along with their other
⢠Follow up to validate benefits
job responsibilities, operating under the
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