Leveraging Kano and QFD for Requirements Management

The quality of a product or service is a key element in creating customer satisfaction. The level of satisfaction is ultimately dependent on the fulfilment of customer needs. The Kano survey is a valuable tool for capturing the voice of the customer (VOC), providing critical information on the importance of products and services and the level of satisfaction from the customer’s perspective. Quality function deployment (QFD) is an important tool in translating VOC into product specifications. It is the only comprehensive quality tool aimed specifically at translating and comparing customer satisfaction measures.

Read More: Lean Six Sigma Academy Certified Lean Six Sigma Green Belt (LSSA-GB)

Used in combination, the Kano survey and QFD tools provide companies with the ability to maximize customer satisfaction (positive quality) measured by metrics such as repeat business and market share. There are significant benefits in using the Kano method to capture client perception and the QFD model to understand the relationship between product features and customer satisfaction.

An example illustrates how the use of Kano and QFD improved a corporate quality function help desk.

The corporate quality function help desk is an intranet-based help desk tool used extensively by process improvement practitioners. The effectiveness of the help desk is measured against service-level agreements established by the help desk administrators. A turnaround time (TAT) metric was adopted for gauging internal customer satisfaction with the help desk. However, in spite of highly favorable TAT results, various qualitative comments captured in customer surveys indicated dissatisfaction. As a result, administrators of the help desk (referred to as the QDI help desk) needed to find an effective way to collect the exact requirements of customers and to identify an appropriate solution.

Kano Model and Kano Survey

The Kano model classifies product attributes based on how they are perceived by customers as well as the effect of the attributes on customer satisfaction. Since the impact on customer satisfaction is different for each customer requirement, it is important to determine which attributes of a product or service bring more satisfaction than others. The Kano classifications used to capture this information identify which attributes drive customer satisfaction, and indicate where a company should focus to retain market competitiveness. Meeting the customers’ basic quality needs provides the foundation for the elimination of dissatisfaction and complaints. Exceeding expectation creates a competitive advantage and leads to innovation.

In the example, a Kano questionnaire was designed to understand customer requirements and identify opportunities to improve the service provided by the help desk. First, key services offered through the help desk were analyzed to create a list of inputs for the questionnaire. These included:

◉ Response time

◉ Quality of reply

◉ Ease of use of the tool

◉ Relevance of the help desk in projects

◉ Clarity of communication

◉ Usefulness of the help desk-FAQ function

◉ Help desk discussion forum usage

◉ Usefulness of user manual

◉ Help desk facility value to software projects

The questionnaire design captured VOC relative to the importance of individual help desk services, current satisfaction level and ratings compared to other help desks used by the customer.

Collecting the Voice of the Customer

To capture VOC for the help desk, customers were asked to provide qualitative inputs on improving help desk performance and also rate each of the help desk features or attributes using the scale below.

◉ – Not used

◉ 1 – Not useful

◉ 2 – Useful to some extent

◉ 3 – Satisfactory

◉ 4 – Good

◉ 5 – Excellent

The survey sample targeted customers who utilized the help desk within the last three months and included a sample size of 10 percent to 20 percent of the total user community.

The Kano survey model measured customer perception of importance and satisfaction for specific help desk attributes. The attributes are classified in the following categories and plotted on the Kano importance/satisfaction grid (Figure 1):

1. Threshold/Basic attributes: Characteristics that must exist in order for the product to achieve success. The customer can remain neutral in attitude toward the product even with improved execution of the attributes.

2. One-dimensional attributes (performance/linear): Characteristics that directly correlate to customer satisfaction. Increased functionality or quality of execution will result in increased customer satisfaction. Conversely, decreased functionality will result in greater dissatisfaction.

3. Attractive attributes (exciters/delighters): Characteristics that give customers greater satisfaction and for which they are willing to pay a price premium. Satisfaction will not decrease below neutral if the product lacks the feature.

Figure 1: Kano Importance/Satisfaction Grid

Information collected through the Kano survey is analyzed to uncover specific response types. Indifferent responses represent attributes the customer generally ignores. If the attributes are present, the customer is generally satisfied. If they are not present, there is no impact on customer satisfaction. Questionable responses and reversals are client perceptions that contradict each other.

Stratification of Responses

To understand the VOC received through the Kano survey, an analysis of the information is required. Responses are interpreted using the following process:

Step 1: Obtain the importance of each feature by stratifying the responses into three categories:

◉ Percentage of responses with rating above 3

◉ Percentage of responses with rating equal to 3

◉ Percentage of responses with rating less than 3

Step 2: Match the importance data against each feature and determine a ranking from a scale of 1 to 10, where 10 is the highest rank. For example, importance data obtained for the help desk response time attribute reflected that 89.5 percent of users rated the feature above 4 on the scale of 1 to 5. Since this attribute received the highest percentage importance rating as compared to the other attributes, it was given a ranking of 10.

Step 3: Review the ranking for all features to identify metrics that are important for measuring customer critical-to-quality elements (CTQs).

Step 4: Define the degree of correlation between the VOC and the CTQ data to identify relational measures.

Correlation Between VOC and CTQ Data

Correlation	Rating
High	9
Medium	6
Low	3

Step 5: Review the relationship between individual metrics and eliminate any duplicate or irrelevant metrics.

Step 6: Perform a benchmark analysis using the competitive evaluation rating from the Kano questionnaire. The VOC data in the help desk example was used to compare customer perception of the corporate quality help desk to other help desk facilities used by customers participating in the survey.

Use of QFD for Help Desk Improvement

Once the VOC data was in-hand, the QFD tool, which many industries use to translate customer requirements to meaningful critical-to-quality attributes, was used to convert the VOC responses into technical requirements for the help desk.

The first level QFD/ first house of quality: The first step in developing the QFD is to consolidate and analyze customer responses and requirements. The requirements are segregated into categories based on the Kano survey model. The Kano survey results are used to create the first house of quality within the QFD tool (Figure 2).

Figure 2: First Level QFD

Based on the first level QFD, the top five metrics are:

1. Reply quality rating

2. Query turnaround time

3. Percentage repetitive queries

4. Discussion forum turnaround time

5. Hits on FAQs versus the number of queries received

The existing help desk processes were studied to determine the changes necessary to implement these metrics and a second house of quality was created (Figure 3).

Figure 3: Second Level QFD

 The second level QFD: Enabling the help desk to select the following features for implementation:

1. Feedback for the quality of reply.

2. Monthly data processing with analysis for repetitive queries.

3. Auto reminder mail to be sent from help desk for queries posted.

4. Monthly analysis of the metrics: Hits on FAQs versus number of queries.

The QFD results provided an understanding of customer priorities, customer perceptions and the metrics necessary to ensure that customer requirements are addressed. The composite metrics resulting from the QFD are reflected in Figure 4.

Figure 4: Composite Metrics Derived from QFD

As a result of the QFD process, the help desk implemented a number of enhancements to address customer-specified requirements. The help desk administrators monitor the composite metrics with the help of individual and moving range (I-MR) control charts allowing them to identify assignable causes quickly and effectively (Figure 5).

Figure 5: I-MR Control Charts

Continue reading

Manage IT Projects and Resources the Six Sigma Way

Best-practice companies have been using Lean Six Sigma to drive Information Technology (IT) improvements and better software designs for years. But broad acceptance, despite proven results in the sector, has been slow. This may be due to a lack of understanding about the processes and benefits of Lean Six Sigma. By exploring how Lean Six Sigma is used at these best-practice companies and learning the answers to some common questions, software and IT organizations not already using Lean Six Sigma can gain a greater understanding of what they are missing.

Software and IT: The Last Improvement Frontier

Underperforming and benchmark IT processes alike face many of the same issues. These problems have been well known to practitioners of Lean Six Sigma for years, and include the following traits of poor IT portfolio management practices:

◉ Poorly defined processes

◉ More projects than capacity

◉ Poor visibility of what is being worked on

◉ Poor or no alignment to strategic objectives

One research firm noted that 75 percent of IT organizations have “little oversight of their IT project portfolios and employ nonrepeatable, chaotic planning processes.” Other aspects of IT processes experience similar problems and results. Certainly, if this is the state of the front end of where fundamental IT work is allocated, budgeted and managed, the entire process is set up for downstream failure.

There have been many attempts, under many labels, to fix these problems and issues in IT. Some address the strategic alignment issues while others address specific tactical or functional issues. Although most of these solutions are adequate helpers within their individual spheres of influence, few methodologies have provided the holistic alignment and linkage needed from top to bottom the way a properly orchestrated Lean Six Sigma system does.

IT Best Practices Using Lean Six Sigma

The application of Lean Six Sigma in best-practice companies has consistently provided a roadmap toward higher performance levels in all aspects of IT. IT organizations and CIOs, including those at Bank of America Corp., Sara Lee Corp., National City Corp., Xerox Corp., GE and Seagate Technology LLC, have demonstrated that IT processes can be defined, measured, analyzed, improved and controlled in a way that helps align projects and assures business results – the Lean Six Sigma way.

These companies and others have also successfully deployed the Lean Six Sigma design roadmap, Design for Lean Six Sigma or (DFLSS), to assure effective, efficient and robust designs of their IT solutions.

Sara Lee required all professionals within its IT organization (including strategic IT vendors) to become Lean Six Sigma certified prior to beginning a company-wide SAP AG software implementation. Sara Lee chief information officer (CIO) George Chappelle recently explained to Lean Six Sigma conference attendees that, “We needed to do this so we would be able to see measurable outcomes aligned to the needs of our company and our customers.” It was that data-driven aspect of Lean Six Sigma that enabled Sara Lee’s IT group to gain strategic alignment, quantitative understanding and a high probability of successful business outcomes related to the deployment. DFLSS concepts were used throughout the projects.

Seagate CIO Mark Brewer has relied on Lean Six Sigma since the early 2000s. In a CIO magazine interview, which cited millions of dollars of IT savings, he said, “If I view IT operations as a factory, then Six Sigma applies immediately.” In the same article he discussed a server response problem long thought to be an expensive bandwidth problem. Once Six Sigma was used to measure multiple server response times, and the causes of variation were understood, the problem was found to have nothing to do with bandwidth. The solution was basically free (other than the analysis and some tuning) and large savings were realized.

Further, these organizations have used DFLSS for everything from portfolio management to risk management to software development. By charging the process with better, faster and more-accurate requirements planning, prioritization and analytical tools; accurate measurement systems; and a management process to monitor and adjust their use, DFLSS brings a layer of efficiency, order and alignment to customer needs often missed by other tools and methods.

Some Common Questions

These cases and examples were, for the subject companies, significant breakthroughs from the reactive and chaotic state they were in before Lean Six Sigma brought some consistency, order and methods to the table. Going into Lean Six Sigma, they likely had many questions and concerns.

Q: Does Lean Six Sigma replace everything else going on in an organization?

A: Of course not. Other specific development tools and methods must remain in place to drive function-specific best practices and core work processes. Lean Six Sigma helps glue them together, keeps them data driven, and aligned to customer and company needs. By reducing and eliminating rework and eliminating mistakes and recurring problems, a new layer of efficiency will be realized. Project redundancy and overlap are often discovered through the use of prioritization tools such as analytic hierarchy process (AHP), cause-and-effect diagrams and FMEA (failure mode and effects analysis). The use of these tools is not often taught or advocated in conventional software development or IT standards.

Q: Are Lean Six Sigma resources necessarily incremental?

A: If they are, then something is wrong. Lean Six Sigma resources are supposed to be the “best and brightest” from their respective organizations. Lean Six Sigma projects should be related to the most important and strategic business issues in the organization. These two things should go together. If they do not, then an organization is doing a poor job of resource allocation. Lean Six Sigma helps organize teams, roles and responsibilities around specific projects and issues. Project-selection tools assure alignment and business cases that meet the needs of the company. The only incremental resource is the time required to put employees through training. But even at that, projects are “pulled through” the training process and completed as a function of an employee’s training, often saving more money than the training costs.

Organizational Evaluation

Remarkably, many IT groups argue that they “don’t have time for Lean Six Sigma” because they are working on various initiatives, such as portfolio management, security, information technology infrastructure library (ITIL), capability maturity model integration (CMMi), control objectives for integrated and related technology (COBIT) and project management body of knowledge (PMBoK). When assessing these organizations, findings indicate that the many initiatives often conflict, contend or duplicate each other. This drives them to a reactive state where emotionally charged executives and managers attempt to justify their projects over others on what is usually subjective or anecdotal information. Higher performing organizations, however, realize that Lean Six Sigma does not mean more work. It means doing the existing work in a more efficient, data-driven, planned and prioritized manner. If an IT organization is really interested in becoming more efficient and customer focused, it might help to start by looking inward and devising a plan to drive systemic change based on the organization’s character.

Organizations usually fall into one of three general categories:

1. “Short-sighted and reactive organizations” – Someone at this type of organization might simply say, “Everyone is already too busy with what they have on their plate; we do not have time. Lean Six Sigma is all about statistical methods.” Their methods and data are usually subjective, anecdotal and generalized.

2. “Early learning organizations” – Someone at this type of organization might say, “Our data shows that we have a miserable track record for completing value-added projects on time and on budget. We need to and will change.” They have some level of data use in their decision-making process but prioritization and analytical techniques are not used broadly and consistently. The data may exist but may be poorly organized and inaccurate. Thus, the data may drive invalid conclusions, even if good analytical tools are employed.

3. “High-performing organizations” – These organizations use a method and tools for aligning, prioritizing, measuring and managing project performance. Observations clearly show a common and consistently followed approach that can be quantitatively linked to auditable business results with strong and continuous cycles of evaluation, improvement and innovation (even in iterative, agile processes).

Take the Next Steps

Intuitively, most people know that change, especially when driving an organization from a reactive state to a proactive state, does not happen by mandating a new software tool or demanding everyone work harder. Change comes from a consistent, strategically aligned, rigorous process that is reinforced for the long haul as the organization’s operating system. Many existing standards and methods fall short on this front-end change mechanic. Lean Six Sigma was engineered to address those shortfalls by:

◉ Focusing on facts and data to prioritize and select projects and resources.

◉ Establishing roles, responsibilities and accountabilities driven by performance data.

◉ Linking and aligning business goals to project goals (driving the businesses closer to software and IT functions).

◉ Requiring frequent review of performance data and supporting analysis.

◉ Refusing to accept redundancy, overlap and poorly prioritized projects and resources.

Historically, Lean Six Sigma was created because attempts at using standards such as International Organization for Standard 9000, conventional quality assurance/quality control and other top-down, broad-based initiatives failed to drive the advertised performance results. In analyzing what worked and what did not in these systems, practitioners learned that problem-solving success comes from thinking a problem through and clearly defining it in quantitative terms from the beginning. In today’s fast-paced software and IT world there is tremendous pressure to deliver on time and on budget. This pressure can easily cause organizational behavior to short-circuit the front-end processes (planning, prioritization, requirements and design), resulting in poor resource-management decisions, missed requirements, and higher rework and support costs.

The following six steps may go a long way to help IT organizations avoid some of these problems:

1. Pay particular attention to the organization’s project selection process; make sure that it is data driven and utilizes some basic prioritization and alignment tools.

2. Be sure that project definition, selection and prioritization is a team sport, especially involving business and external customers.

3. Utilize a complete and common project charter template that clearly states a measurable project metric(s).

4. Follow a common roadmap (such as DMAIC) to assure that all critical success steps and tools are utilized to maximize efficiency and minimize project risk.

5. Conduct frequent data-driven tollgate reviews, focusing not only on milestones and cost, but also on performance data related to functional or specification requirements.

6. Learn form project performance by retaining and reviewing project history, particularly project successes and failures.

The Lean Six Sigma methodology, adopted for use in software and IT, has proven to be a valuable way to drive organizations from the reactive and chaotic state to a more desirable and efficient proactive state. When implemented properly, it helps to provide a much needed process discipline, while recognizing and leveraging other bodies of knowledge including agile, PMBoK, CMMi, ITIL and other important domain-specific processes.

Continue reading

Manage Control Limits When Implementing Statistical Process Control

Statistical process control (SPC) is the application of statistical methods to identify and control the special cause of variation in a process. Control charts, in theory, are used in product and process development to analyze processes. When a process is shown to be in control in both an average and range chart the process can be released for use in production. In practice, however, SPC is often introduced into a production environment where not all processes are in control and fully capable. This article will discuss how best to introduce SPC into such a production environment.

The Three Loops of SPC Implementation

When implementing SPC, activities and responsibilities should be clearly established. In the first loop (control loop, see Figure 1) of SPC, an operator will look at subgroups to address any items that are out of control in the process. When the operator is not able to handle the out-of-control variables in the first loop – or if preventive action is required – the second level should be activated (improve loop). At this stage, production management or engineering personnel can take appropriate actions to avoid recurrence of the problem.

In modern production systems there is not much overcapacity of operators and engineers; the time to work on action plans and improvement activities resulting from out-of-control variables is limited. Clear priorities need to be set by management so that operators, production management and engineers will address the correct problems. This is the third (and final) SPC loop – planning.

Figure 1: Organization of SPC

Out-of-control Variables

During the implementation of SPC, organizations may have problems managing the amount of items that are out of control in the early stages. The usual reasons for the large number of out-of-control factors include the following:

◉ Processes are, simply, out of control. In the early stages of an SPC implementation, control charts typically show a large percentage of subgroups are out of control. Examples of out-of-control variables are incorrect measurements and overadjustment of the process by operators.

◉ When SPC software is used in the SPC implementation, the number of control charts can quickly proliferate. Control limits are calculated automatically and, therefore, every disturbance in the process will lead to an out-of-control signal.

◉ Characteristics being monitored are often not classified, so all control charts get the same priority. But some charts are extremely important and other charts are used only as help for calculations and are of no real importance. Significance of factors, in order of priority, would come from a failure mode and effects analysis (FMEA).

◉ In many production environments, the process average is unstable. Reasons for this may include tool wear, setup differences, differences in raw material and machine warm-up times. All of these situations will show out-of-control points on the average (e.g., x-bar) control chart, but for some of these situations, it is not possible to bring the process average into control. For example, it may not be financially feasible. The instability of the process average will be visible with a large difference between Cp and Pp (e.g., Pp/Cp > 1.25).

But what is more important in terms of this reason is that the out-of-control variables on the control chart monitoring the process average will place the emphasis on the wrong chart. The more important control chart is the one monitoring process dispersion (commonly the range or sigma chart) and, in general, this chart should be in control first before attention is given to the average chart.

How to Reduce the Number of Out-of-control Variables

Too many out-of-control points is one of the most common reasons why SPC implementations fail. If there are 30 out-of-control points in a shift and there is only time to address three or four points, then it seems futile to make the effort as progress can never be made. With such dismal prospects for addressing all the problems, operators essentially throw their hands up in defeat. There should never be more out-of-control points than can be addressed.

There are two ways to address the problem of too many out-of-control factors at the early stages of an SPC implementation:

1. Reduce the amount of control charts and only use charts for a few critical quality characteristics.

2. Use control charts for all quality characteristics but widen the control limits of the average chart for non-critical quality characteristics.

The advantage of the first option is that SPC will be used as it is intended to address critical variables. The disadvantage of this option is that severe quality problems can appear on quality characteristics that are not being monitored, in which case limited data would be available for further analysis of the process and for reporting to customers and management.

The advantage of the second option is that all quality data is monitored and can be used for analysis and reporting. The disadvantage of this option is that more effort and knowledge is required to manage the control charts and the calculation of the control limits.

The next section describes an approach to managing control charts during SPC implementation when dealing with the second option.

Calculating Control Limits

At the start of an SPC implementation all efforts must be aimed at controlling the variation of the dispersion (via a range or sigma control chart). When the dispersion of the process is out of control, the average of the process is likely also out of control. This is because there is a relation between the variation in the dispersion and the variation of the average as shown in this equation:

Problems on the dispersion chart should be addressed first. When control limits on the average chart are calculated in the standard way (three sigma from the average), out-of-control variables on the dispersion chart will also lead to out-of-control factors on the average chart. These out-of-control factors on the average chart are not an indication of changes in the process average, however, but are a logical result of changes in the dispersion. When operators without adequate knowledge of SPC see out-of-control variables on both average and dispersion charts they will likely start working on the “problem” on the average chart because such problems are easier to address – just adjust the process.

The way to avoid this issue is to begin charting without putting the limits of the average chart at three sigma. There are three options:

1. Do not use control limits for the average – only show the target. This is sometimes called a run chart.

2. Fix the limits at a level which will rarely lead to out-of-control variables.

3. When the process average is unstable use modified control limits to minimize the actions, but make sure that process averages that are abnormal are signaled.

When the Cp value is high enough, the third method is preferred because the limits are still calculated based on the process variation. This method still gives an early warning when a disturbance of the process average will lead to defective products.

How to Calculate Modified Control Limits

When the process average fluctuates, a certain amount of fluctuation can be allowed before starting to look for the cause – as long as a required (as determined by the customer or industry) Cpk value is achieved. The control limits may be set at a level such that the Cpk is higher than a required value. In other words, the distance between upper specified limit (USL) and the process average should be higher than:

where

is the estimated standard deviation of the population

In Figure 2 the dotted red lines are the control limits. The solid red lines are the modified control limits based on a required Cpk value of 1.67 (used in the automotive industry). The yellow lines reflect the upper and lower specification limits although normally these are not shown.

Figure 2: Example of Modified Control Limits for the Average Chart

The modified control limits can be calculated as follows. The process average is allowed to shift to a level where the distance between the USL and the process average is

The distance between the average and the control limit is

This means that the distance  between the USL and the modified upper control limit is as follows:

or

The requirement for using this formula is that the Cp value of the process is higher than the required Cpk. If that is not the case, then the modified control limits will be too close to the process average and result in false alarms.

Using Modified Control Limits

Modified control limits are not recommended for every situation. If it is desirable to find special causes of variation, calculate the control limits in the standard way. Use modified control limits as a method to distinguish between priorities among the different process characteristics being monitored.

Continue reading

Leveraging Lean Six Sigma to Be Remarkable

Lean is critical to TestOil’s culture and everything we do. It is also key to the profitability of our business.

TestOil’s Lean History

We began our Lean initiative in 2015 with the encouragement of founder and CEO Dan Richards. The initial goal was to reduce waste and improve efficiency. For the next three years, TestOil used, but never fully leveraged, the power of Lean. In 2018, Mary Messuti joined as COO; she is now president.

Mary came to TestOil with a strong Lean background. She embraced and promoted Lean as a top-level executive at global organizations for more than 20 years. At each company, she provided employees with the opportunity to achieve Black Belt certification. Working with these employees has been one way she keeps her Six Sigma skills fresh.

One of Mary’s primary goals at TestOil was to revitalize our Lean initiative. When she first arrived, TestOil was in the process of doubling the size of its oil analysis lab. We were growing and wanted to increase the quality and speed of throughput. To do that, we needed to improve efficiency not just in the lab, but also in other areas including IT, shipping and logistics – always with the primary goal of providing better value to customers. Building Lean into the process meant that everyone would have a say in how their new workplace would be designed.

Training

Lean training is part of the onboarding process. We also provide coaching and invite employees to participate at all levels and attend Lean events. Regular Lean activities include design of experiments (DOE), rapid PDCA (plan, do, check, act) cycles, going on gemba walks, Kaizen events every quarter, and identifying and analyzing the key performance indicators (KPIs) and countermeasures that will promote improvement.

TestOil introduces people in all job functions to Lean Six Sigma (LSS) during their first week of onboarding. As of the end of 2020, there are five Six Sigma Green Belts at TestOil representing a range of job functions; all are encouraged to pursue additional certifications.

Ongoing training has occurred through a variety of programs including universities, online classes and internal employee programs. Our membership in the AME (Association for Manufacturing Excellence) Cleveland Consortium is also a key component to our ability to continuously improve with Lean.

How LSS Works at TestOil

In February 2020, TestOil brought me onboard to take its Lean program to the next level. I have been working with Lean initiatives since 2016. Before joining TestOil, I was developing value stream maps and implementing Lean operations in a plastic molding manufacturing company. At TestOil, my job is to eliminate waste, tighten the communication loop and deliver value to customers as quickly as possible. To accomplish this, I mentor staff, drive continuous improvement efforts, and implement the Lean strategic plan including Kaizen events and operational excellence meetings.

TestOil’s core values include customer is king, continuous improvement, learning, energy and responsibility. All of these are embodied in Lean. Lean is one of the reasons our employees feel heard and know they have a say in making the company better. As a process is streamlined, the seven Lean wastes are reduced and work output increases.

While TestOil respects different approaches taken by other organizations to institute improvements and solve issues, Lean allows us to clearly see waste along the process, identify future improvement plans and develop a streamlined implementation plan to reduce non-value-added activities.

Lean has given us a culture of continuous improvement that enables us to strive for and initiate positive change. Our culture of adopting change without hesitation and simplifying processes creates a culture of dynamic enthusiasm.

Our Lean department has defined “customer” as everyone working at TestOil, which ultimately translates to the service we provide to external customers. Through Lean, we have improved our service to clients by minimizing and eliminating unnecessary processes in the lab that affect timely completion of oil sample testing. Integration of Lean in all departments lets us strive toward one common goal: Be Remarkable in Every Way.

The Difference LSS Continues to Make at TestOil

Lean continues to help us mistake-proof our processes as well as introduce automation with human involvement and institute quality checks at the source to eliminate errors in the beginning of a process. In addition, it shows us how to continually eliminate waste.

Our Lean vision is to have fully optimized processes with all their values defined by a flow that is mistake proofed. We will continue to fully support the total production management (TPM) pillars along with jidoka (autonomation) and just-in-time (JIT). In addition to those already mentioned, we are using the following LSS tools routinely to accomplish our goals:

◉ A matrix to identify the six big losses in production

◉ Voice of the customers

◉ Continuous 5S

◉ Introduction of single minute exchange of die (SMED) wherever possible

◉ Implementation of the DMAIC (Define, Measure, Analyze, Improve, Control) process

◉ One Kaizen event per quarter

As we keep growing, every new workspace will be designed with Lean principles. For TestOil, being Lean is a continuous journey of adopting changes and pursuing perfection – a relentless effort toward improving people and process. As Mary Messuti says, “Anytime you implement Lean you are building quality into everything you do.”

TestOil continues to approach issues by removing non-value-added activities, reducing variation in steps and ensuring there is no room for error between each step. The integration of all eight pillars of TPM is a goal we are working on. This will ensure each process is well defined and documented. It will also guarantee flawless knowledge management and instill a sense of responsibility for equipment with each team member.

The bottom line is that being Lean is a continuous journey of adopting changes and pursuing perfection. This journey of pursuing perfection is all about having synergy within our organization to improve by understanding the customers’ needs, company goals, process flow and opportunities to eliminate waste.

Successes

In 2020, we achieved cost savings of $200,000 compared to $89,000 in 2019. We also saved approximately 70 miles in motion by reducing footprints in the lab and the office area. Apart from that, we held four Kaizen events in 2020 to resolve issues and streamline new product development process.

Continue reading

Best Way to Learn IIBA Business Analysis Entry (ECBA) | Tips & Guidance

An Entry Certificate in Business Analysis (ECBA) is level one in the business analysis certification framework from the International Institute of Business Analysis (IIBA). The Entry Certificate in Business Analysis certification recognizes individuals entering the business analysis profession or those who manage business analysts and want to understand a business analysis practitioner's required knowledge and competencies.

Business analysis is achieving global recognition as a profession in its own right. The Entry Certificate in Business Analysis does not require any experience to apply for the exam but needs 21 hours of professional training approved/endorsed by the IIBA.

Entry-Level business analysts assist and work with senior analysts. They give support in enhancing the process of documentation for improving methods and operations. They collect and document business requirements. Further, their role is to present inputs for the implementation of technology for business solutions.

Moreover, assistance in business planning, analysis, evaluation, minimizing business risk, and streamlining business requirements are also a part of their job. If you are planning to attempt a business analyst career, these are the skills you will need.

Who Can Apply for Entry Certificate in Business Analysis Certification?

If you are an aspirant who requires to make a Business Analysis career, then the ECBA exam is the right choice for you.

Getting ECBA certified can be recognized but not limited to the professionals across the following roles:

• Candidates enter the business analysis profession, including fresh graduates and individuals registered in Business Analysis academic programs.
• Professionals are looking for a career shift in Business Analysis.
• Functional managers who manage Business Analysts.

Key Features of ECBA Certification Exam

ECBA certification comes with several innovative features that make it aspirants easy to get their hands on this Entry Certificate in Business Analysis certification.

Some essential features of the Entry Certificate in Business Analysis exam are:

• One who requires to appear in the Entry Certificate in Business Analysis exam does not require any Business Analysis experience. So, if you are interested in learning business analysis and making a career in business analysis, ECBA is the perfect certification for you.
• One need not go anywhere to take the ECBA exam, and you can take it even from your home. All you want is a computer/laptop, microphone, webcam, and an internet connection.
• There is not any requirement or recertification associated with Entry Certificate in Business Analysis certification like other business analysis certification exams.
• The ECBA certification cost is relatively lower than that of the other business analysis certification exams. So, if you are new in the business analysis domain and desire to prove your business analysis knowledge, ECBA is a go-to-certification for you.
• There are two essential components to pass and master ECBA - clarifying BABOK concepts and attempting the right ECBA practice questions.
• The aspirants do not need to take instructor-led training for the Entry Certificate in Business Analysis exam. Preparing through BABOK is sufficient to cover the exam objectives of the ECBA exam.
• The questions that arrive in the ECBA certification exam are not so typical. These are the direct questions that come from the BABOK guide.

Expertise Tips to Succeed During ECBA Exam Preparation

• Go through FAQs for the ECBA certification exam given on the IIBA website.
• Become a member of Business Analysis study groups and discussion forums.
• Join local IIBA meetings to make sure you have got and reviewed all the available study material.
• Ensure that the Entry Certificate in Business Analysis tests' questions is not expected to be application-based, perspective-based, or techniques-based.
• Concentrate on BABOK and go through it multiple times as the maximum of the ECBA exam questions are BABOK based.
• Set your preparation plan and prioritize the preparation structure based on the weight of the exam objectives.
• Read each chapter of the BABOK one by one, reading every line, and prepare notes so that you can take a revision day before the exam.
• Begin your practice by following the knowledge areas first, score well, and then move to the full-length practice tests.
• By following the Entry Certificate in Business Analysis as mentioned above exam preparation guide and tips, you will be confident sufficient to pass the ECBA certification exam in your first take.

Final Words

To cover-up, the Entry Certificate in Business Analysis (ECBA) exam helps entry-level business analysts to validate and prove their business analysis experience and skills. If you are an aspirant to pass the ECBA certification, this Entry Certificate in Business Analysis preparation guide will help you reach the goal.

At ProcessExam, they are strived to help professionals to get their career one level up. And thus, they bring ECBA mock tests for you to practice through these mock tests and check your current preparation level.

Continue reading

Making Sense of Attribute Gage R&R Calculations

Measurement error is unavoidable. There will always be some measurement variation that is due to the measurement system itself.

Most problematic measurement system issues come from measuring attribute data in terms that rely on human judgment such as good/bad, pass/fail, etc. This is because it is very difficult for all testers to apply the same operational definition of what is “good” and what is “bad.”

However, such measurement systems are seen throughout industries. One example is quality control inspectors using a high-powered microscope to determine whether a pair of contact lens is defect free. Hence, it is important to quantify how well such measurement systems are working.

The tool used for this kind of analysis is called attribute gage R&R. The R&R stands for repeatability and reproducibility. Repeatability means that the same operator, measuring the same thing, using the same gage, should get the same reading every time. Reproducibility means that different operators, measuring the same thing, using the same gage, should get the same reading every time.

Attribute gage R&R reveals two important findings – percentage of repeatability and percentage of reproducibility. Ideally, both percentages should be 100 percent, but generally, the rule of thumb is anything above 90 percent is quite adequate.

Obtaining these percentages can be done using simple mathematics, and there is really no need for sophisticated software. Nevertheless, Minitab has a module called Attribute Agreement Analysis (in Minitab 13, it was called Attribute Gage R&R) that does the same and much more, and this makes analysts’ lives easier.

Having said that, it is important for analysts to understand what the statistical software is doing to make good sense of the report. In this article, the steps are reproduced using spreadsheet software with a case study as an example.

Steps to Calculate Gage R&R

Step 1: Select between 20 to 30 test samples that represent the full range of variation encountered in actual production runs. Practically speaking, if “clearly good” parts and “clearly bad” parts are chosen, the ability of the measurement system to accurately categorize the ones in between will not be tested. For maximum confidence, a 50-50 mix of good/bad parts is recommended. A 30:70 ratio is acceptable.

Step 2: Have a master appraiser categorize each test sample into its true attribute category.

Figure 1: Master Appraiser Categorizations

Step 3: Select two to three inspectors and have them categorize each test sample without knowing what the master appraiser has rated them.

Step 4: Place the test samples in a new random order and have the inspectors repeat their assessments.

Figure 2: Test Samples

Step 5: For each inspector, count the number of times his or her two readings agree. Divide this number with the total inspected to obtain the percentage of agreement. This is the individual repeatability of that inspector (Minitab calls this “Within Appraiser”).

To obtain the overall repeatability, obtain the average of all individual repeatability percentages for all inspectors. In this case study, the overall repeatability is 95.56 percent, which means if the measurements are repeated on the same set of items, there is a 95.56 percent chance of getting the same results, which is not bad but not perfect.

Figure 3: Individual Repeatability

In this case, the individual repeatability of Operator 1 is only 90 percent. This means that Operator 1 is only consistent with himself 90 percent of the time. He needs retraining.

Step 6: Compute the number of times each inspector’s two assessments agree with each other and also the standard produced by the master appraiser in Step 2.

Figure 4: Individual Effectiveness

This percentage is called the individual effectiveness (Minitab calls this “Each Appraiser vs. Standard”). In this case, Operator 1 is in agreement with the standard only 80 percent of the time. He needs retraining.

Step 7: Compute the percentage of times all the inspectors’ assessments agree for the first and second measurement for each sample item.

Figure 5: Reproducibility of the Measurement System

This percentage is the reproducibility of the measurement system (Minitab calls this “Between Appraiser”). All three inspectors agree with each other only 83.3 percent of the time. They may not be all using exactly the same operational definition for pass/fail all the time or may have a very slight difference in interpretation of what constitutes a pass and a failure.

Step 8: Compute the percentage of the time all the inspectors’ assessments agree with each other and with the standard.

Figure 6: Overall Effectiveness of the Measurement System

This percentage gives the overall effectiveness of the measurement system (Minitab calls this “All Appraiser vs. Standard”). It is the percent of time all inspectors agree and their agreement matches with the standard.

Minitab produces a lot more statistics in the output of the attribute agreement analysis, but for most cases and use, the analysis outlined in this article should suffice.

So What If the Gage R&R Is Not Good?

The key in all measurement systems is having a clear test method and clear criteria for what to accept and what to reject. The steps are as follows:

1. Identify what is to be measured.

2. Select the measurement instrument.

3. Develop the test method and criteria for pass or fail.

4. Test the test method and criteria (the operational definition) with some test samples (perform a gage R&R study).

5. Confirm that the gage R&R in the study is close to 100 percent.

6. Document the test method and criteria.

7. Train all inspectors on the test method and criteria.

8. Pilot run the new test method and criteria and perform periodic gage R&Rs to check if the measurement system is good.

9. Launch the new test method and criteria.

Continue reading

Learning to Think Lean: 6 Steps with Review Points

Organizations can profit from learning to think in terms of Lean, a philosophy that aims to eliminate waste (in Japan, where Lean was developed, the term is muda). Lean attacks waste mainly by shortening the time between the customer order and shipment. Based on a customer-focused view, six steps can provide a strong foundation for any organization that wants to incorporate Lean into its operating philosophy. These steps in Lean thinking can be best evaluated at the producer end by verifying and reviewing each step one at a time.

Read More: IASSC Six Sigma Yellow Belt

1. Value

2. Value stream

3. Flow

4. Pull

5. Perfection

6. Replication

Lean thinking can best start by giving due consideration to value, which ultimately is the customer’s requirement. The value of any product (goods or services) is defined by customer needs and not by any non-value-added activity at the supplier or producer end. That is, the customer is prepared to pay for operations by producers or their suppliers that transform the product in a way that is meaningful to the customer. Customers do not want to pay for waste at the producer end.

1. Value (Specifying)

Value is determined by the customers who want to buy the right product with the right capabilities at the right price. That is, the product must be “right” every time – from design to manufacture, from delivery to error-free operation. Lean companies work on making their processes right by eliminating waste – something no customer wants to pay for.

While linking the term “value” generally with customer requirements, the following questions can be asked to review the value for the customer as it relates to any specific product issue:

◉ What is the problem that impacts the customer?

◉ What is the problem that the team is going to take action on?

◉ Why is the project so important that the organization should address it?

◉ Why is the project being done?

◉ Do all the stakeholders understand and agree to the problem and its impact on business? Do they all agree that fixing it is critical for the business? Do they all support the project?

◉ Are the roles and responsibilities of the project team members clearly defined?

◉ Are the needs of the customers clearly identified?

◉ What’s in it for the customers? How do they benefit?

◉ What’s in it for the business? How does the business benefit?

◉ Were the key parameters or the most important thing to be fixed identified?

◉ Does everyone describe what will be measured in the same way?

◉ Can the primary metric be manipulated? How does it drive the right behavior?

◉ What can go worse as a result of the project?

◉ Where does the problem occur? Did the team identify it correctly? Did the team work on this particular issue to completion?

◉ What does success look like? How will success be quantified?

2. Value Stream Mapping (Identifying)

Once value is specified by the customers, the next Lean step is to identify the right process – a process that only adds value to the product, in other words, a waste-free process. The value stream for a product has three categories of activities:

1. Process steps that definitely create value: In any manufacturing process, the steps that are actually transforming the fit, form or function of the raw material, and bring it a step closer to the finished product.

2. Process steps that create no value but are necessary, due to current state of the system: In any manufacturing process, activities like inspection, waiting and some transportation steps.

3. Process steps that create no value and can be eliminated: Any activity that does not fall into the above two categories.

While the parts of a process that create no value should be eliminated, any action or activity that is recognized as non-value-added but currently necessary should be targeted for improvement. At this point a detailed process flow diagram should be generated for each product or product category. To ascertain which steps in the process are unnecessary, an intense questioning and re-examining method (Japanese term is kaikeku) is applied to every aspect of the process under consideration.

The review points at this stage are:

◉ Does the team understand how the whole process works?

◉ Did the team manage to complete a detailed process flow diagram at this stage?

◉ Did the team identify the waste in the process?

◉ Did the team follow kaikeku – the radical improvement approach?

◉ Were there any particular processes that did not support the customer need?

◉ Did the team make use of the knowledge and experience within the business to establish this?

◉ What constraints/flow problems exist in the process that are hurting the business?

◉ Can the team quantify any difference in people, shifts and days causing hidden constraints/flow problems?

◉ Does the team know the causes of the constraints/flow problems?

◉ What impact on the business and customers are these constraints/flow problems causing?

◉ When will the team have enough information/data about the issues that could be causing the problem?

◉ Does the information reveal anything new about the problem?

◉ Did the team understand the type of problem that is being faced?

◉ Can the team state what the current performance of the process is?

◉ Is it clear yet what the business entitlement is from the process?

◉ Is there a need to go back and refine or change what was learned in the two value steps?

3. Flow

This Lean step focuses on rapid product flow (RPF). The specific process waste is identified at each stage of process flow and is eliminated. The team involved in Lean will physically walk the process and write down the distance the product travels during its process flow. The non-value-added distances are eliminated by physical layout change, which involves both human and machine. Factory floors are laid out in cells rather than in functional groupings, which reduces the distance the parts travel in the process flow.

It is at this point that the Lean enterprise implements 5S, a tool developed for reducing the slack hidden in manufacturing processes. 5S is the basis for Lean manufacturing and the foundation for a disciplined approach to the clean workplace. The five steps of 5S are (in Japanese and English):

1. Seiri/Sort: Meaning sorting or segregating through the contents of the workplace and removing all unnecessary items.

2. Seiton/Straighten: Meaning putting or arranging the necessary items in their place and providing easy access by clear identification.

3. Seiso/Shine: Meaning cleaning everything, keeping it clean and using cleaning to inspect the workplace and equipment for defects.

4. Seiketsu/Standardize: Meaning creating visual controls and guidelines for keeping the workplace organized, orderly and clean, in other words, maintaining the seiso, or shine.

5. Shitsuke/Sustain: Meaning instituting training and discipline to ensure that everyone follows the 5S standards.

Questions to be asked at this point are:

◉ How is the impact of customer demand on the process being translated or understood?

◉ Did the team physically visit the process to realize the process steps?

◉ Did the team identify the non-value-added distances traveled by parts?

◉ Did the team identify the movements and transportations?

◉ Have the hot spot(s) that are constraining the process been identified?

◉ What steps have been initiated to stabilize the constraints before the main improvement is made?

◉ Has the Lean team done enough to build 5S culture in the organization?

◉ Has the team taken the right steps to close the loop of each 5S step?

4. Pull

The benefits of Lean Steps 1, 2 and 3 allow a company to produce more than before and in a way that value is added at every step in the production process. The fourth Lean step can be directed toward either removing excess capacity (inventory) or increasing the rate of pull.

Lean, which identifies the seven deadly wastes as defects, over-production, transportations, waiting, inventory, motion and processing (or the acronym, DOTWIMP), lists inventory as a source of waste. Hence, producing anything that is not sold immediately and is waiting at any point of time for delivery is waste. A pull system, which on the production side is making a product at the same rate at which it is being sold, also is a waste-eliminating step. On the supply side, a pull system is flowing resources into a production process by replacing only what has been consumed.

The review points here are:

◉ Did the Lean team define the sequence of operation?

◉ Did the team manage to achieve the balance of operation times?

◉ What can be put in place to support the customer supply needs?

◉ How will this be managed through the business?

◉ How will the internal inventory needs be managed?

5. Perfection

This Lean step emphasizes that continuous improvement has to be a part of the organization and is always possible. This is the desired state of any change in any environment. The organization should always try to achieve what is the perfect system for that kind of operation and should aim at continuously improving the present system. The word for this in Japanese is Kaizen.

Questions to be asked here are:

◉ Have all stakeholders acknowledged and accepted that the process has been improved?

◉ What process will be put in place to further improve the process?

◉ What risk is there that these causes will come back and disturb the process again?

◉ Did the team document the project in a form that anyone can understand?

◉ Has the team identified the next stage of continuous improvement?

6. Replicate

This Lean step is a confirmation of the system implemented and improvements achieved, and determining that these same system procedures, tools and techniques can be deployed anywhere in the operation or in any business process. The main benefit of this step is that any time spent in analysis is reduced.

Now is the time to ask these questions:

◉ How will the team ensure that the business learns from its experience?

◉ Can this process improvement be replicated in other parts of the business?

◉ Is the control set true enough for a similar type of operation?

Continue reading

Level up: How PRINCE2 can help small businesses

All too often we hear SMEs question whether PRINCE2 is right for them. After all, small businesses may believe their tight knit teams will not benefit from the formal process. For startups training is a big investment both in terms of time and money, and some of the terminology used can more often apply to and suit larger businesses. But for companies with ambition and those seeking to level up their business, PRINCE2 is the perfect solution.

At first glance PRINCE2 may not seem relevant for small projects, but look closer and you’ll see that PRINCE2 is cleverly designed to be scaled up or down to suit any size project. Roles can be merged, and principles can be easily adapted. PRINCE2 grows with you.

What can PRINCE2 do for my business?

Small businesses with fewer people may rarely see communication as an issue. Teams work tightly together and there are little to no external contacts. Likewise, everyone knows their position and their job role. Or do they? All too often issues arise within small teams due to assumptions being made, roles not being communicated and individuals not announcing responsibility.

With PRINCE2, roles and responsibilities are defined and communication is better structured. The process of formally setting out roles and responsibilities is relatively easy within small businesses. Take for example senior business roles, whilst the terminology of PRINCE2 refers to corporate or programme level managers, this can be merged for a small business as it is likely just a single person – the business owner. Becoming well acquainted with the process of defining responsibilities from the get-go can serve a business as it grows.

Likewise, the project stages within the PRINCE2 framework can be merged. Start-up and initiation can readily become one, allowing them to be completed with ease. The PRINCE2 processes are adaptable for smaller projects. Becoming trained in best practices whilst the business is small ensures terminology and principles are familiar and are used as the organisation expands. You can find more advice on adapting PRINCE2 for smaller projects in this earlier blog.

PRINCE2 ensures quality project outcomes, improves efficiencies, and is proven to be a highly effective project management method. It gives companies a common and consistent approach, and assurance that the project continues to have justification. PRINCE2 is completely scalable and can be tailored on a project-by-project basis, making it invaluable for small businesses looking to level up.

Is PRINCE2 right for me?

In short, yes. If you are looking to grow and expand your business, take on more work, or undergo bigger projects then the PRINCE2 methodology can be of great benefit. Likewise, if you are shooting to make your current projects the best possible success in order to enhance your reputation and boost your future business then PRINCE2 training can help you to thrive.

Take a look at our Foundation level course which is perfectly suited to small business owners and managers, team managers and project support staff. Available as a virtual, classroom or online course. The foundation level literally builds knowledge of PRINCE2 from the ground up.

Looking for a deeper learning experience? Then take a look at our PRINCE2 Foundation and Practitioner combined courses. Again available in virtual, classroom and online format, the combined PRINCE2 course will fully qualify you.

Source: prince2.com

Continue reading