ima webinar_ppt_ 03mar2016_final_w_bio

March 3, 2016

Linking Business Strategies to

Quality and Lean Management

Systems (QLMS)

Jd Marhevko

© 2016 Institute of Management Accountants. Inside Talk Webinar Series. All rights reserved.#InsideTalk

2

Webinar Features

Should you experience any technical difficulty, please click the “Help”icon at the bottom of the console for audience support.

Audio Broadcast:► You should hear sound through

your computer speakers or

headphones

► To listen to the audio by telephone,

click the “Request” icon on the

bottom Panel for teleconference

Asking Questions:► Questions may be submitted

using the Q&A icon on the left

side of the console

► Questions will be addressed after

the formal presentation

Pop-up Blockers: ► Please temporarily disable your

internet pop-up blockers

Volume Slider


3

Webinar Features

#InsideTalk

Join the conversation!


4

• Download a PDF of the slides

– Download Slides icon

– Link in post-event email

– IMA Webinar Library

• IMA Members can also view this webinar again

www.imanet.org/programs_events/imawebinars.aspx

Visit IMA’s website:

Webinar Materials and Access to Recording


5

• CMAs, CFMs & CPAs can report 1 hour of CMA and

NASBA approved CPE for today’s event.

• Click the “CPE” icon at the bottom of your console to

access your Certificate of Completion. Please print

or save for your records.

• Your CPE credit will be automatically recorded in

your transcript.

CPE Credit Requirements


6

Moderator

Jennifer Ashkenazy, CPA

Research Development Director

IMA


7

Featured Presenter

Jd Marhevko, MBB, CSSBB,

CMQ/OE, CQE, ASQ Fellow

2016 ASQ Shainin Medalist

Vice President

Quality/Lean Management Systems & EHS

Accuride Corporation


Jd Marhevko’s Biography

8

• Jd Marhevko is currently the VP of Quality, Lean and EHS for AccurideCorporation. Three (3) Accuride sites have won the prestigious Manufacturing Excellence Award (in 2014-2015). She has been involved in Operations and Lean/Six Sigma efforts for almost 30 years across a variety of industries.

• Jd will be honored in 2016 as one of the top 100 women in manufacturing by the National Association of Manufacturers (NAM) via the STEP Ahead Award. Jd is an ASQ Fellow, holds the CMQ/OE, CQE, CSSBB, and is also an ASQ Certified Trainer for a variety of Quality Tools. She is an MBB and has held various Baldrige Assessor roles.

• Ms. Marhevko is a Past-Chair of the ASQ Quality Management Division (QMD), a 24,000 member organization, and supports several ASQ divisions in a variety of capacities. She was recently awarded the QMD’s Howard Jones Award, the QMD’s highest honor.

• Jd holds a BSE from Oakland University in MI and an MSA from Central Michigan University.


9

Learning Objectives

Upon completing this webinar, you will be able to:

1. Explain how the Hoshin Kanri method can be used to

tailor a plan that will meet your business needs.

2. Apply a “lessons learned” sharing of tools and

techniques that have effectively served multiple

organization types.

3. Describe an approach that enables cross-functional

team alignment both horizontally and vertically.


Define

Change is not needed. It is not necessary to survive.

Charles Darwin

10


Lean is an enterprise-wide

set of concepts and tools

aimed at strengthening

competitive advantages

realized from operating

your processes.

A Definition of Lean…

11


QLMS & DMAIC: Strategically

Define

Measure

Analyze

Improve

Control

External/Internal customer needs are identified.

Determine performance baselines. Identify necessary target levels.

Investigate causes for gaps from performance to target. Create a plan.

Execute the improvements identified. Use tools to fit the problem.

Monitor the results. Hold gains via accountability.

12


Elements for QLMS Success

1. Lean “Operations”, Effective (quality), Efficient (lean) flow of Product

2. Transactional systems: Effective, Efficient flow of Data/Information

3. Align Product & Transactional Value Streams across the Enterprise

4. Incorporate External Partners: Customers, Supply Chain, Compliance Organizations, Contract Services

13


Define

14


A process to convert Strategy to Reality by using both horizontal and vertical alignment in the organization

CEO’s 3-5 year Strategic Vision

Planning across Division(s).

Vertically supports CEO and Sites

Site planning. One year tactics to

support and execute the strategy

The “X-Matrix”

aka…Hoshin Kanri15


16

Polling Question 1

a) 50%

b) 25%

c) 10%

d) Less than 5%

How many businesses in North America typically share their strategies with their personnel?


Polling Question 1 Results (Placeholder)

17


Bottom: Key strategies. Use a “SMART” format

Left: Initiatives on HOW to achieve the objectives

Top: TACTICAL actions to execute the initiatives

Right: Key METRICS used to monitor results

Far Right: WHO has tactic line item responsibility

Sample “X-Matrix” Format

Tactical Actions

Main Key

Initiatives Metrics

Key Strategies

Reso

urc

es

18


People that use the end product/service

Personnel that invest in the organization (stockholders, investors)

Personnel that run the organization. May be paid or voluntary

Businesses/donors that provide goods and services usually for a fee

Local organizational. Surroundings. Environment, tax-base…

Strategies for Whom*…

Customer

Stakeholder

Employee

Supplier

Community

*Interested Parties to Consider…

*Identified in ISO 9001:2015 for Risk-

Based Thinking and consideration of

impact to business

19


QCD: Quality (PPM), Cost (CI), Delivery (OTD)

Margin, Revenue, Cash Conversion, Growth

Engagement, Turnover, Satisfaction, EHS

QCD, Growth

Social Responsibility, Compliance, EHS

Sample Strategies

20


Define “SMART” Strategies

Improve Margin by 5% points by 4Q

Increase of $250K

~6-8 Key Strategies

While developing the Key Strategies, multiple tools may be used such as SWOT, VOC, etc. Consider the inclusion of all “interested parties” in the evaluation to support organizational robustness.

21


Develop Initiatives

Reduce Warranty losses. $150K

Reorganize Product Portfolios.

$100K

~1-3 Main Initiativesper Strategy

Improve Margin by 5% points by 4Q

Increase of $250K

22


Develop Tactics

Improve Margin by 5% points by 4Q: Increase of $250K

~1-3 Tactical Plans per InitiativeImplement Warranty Team. Conduct CA/PA.

Conduct FMEA/CP Reviews on loss leaders

Conduct VSM on Portfolio. Rationalize

Reduce Warranty losses. $150K

Reorganize Product Portfolios.

$100K

23


Develop Metrics

Reduce Warranty losses. 150K

Reorganize Product Portfolios. $100K

Improve Margin by 5% points by 4Q: Increase of $250K

Key Metrics

Implement Warranty Team. Conduct CA/PA Who: Joe

Conduct FMEA/CP Reviews on loss leaders Who: Tom

Conduct VSM on Portfolio. Rationalize Who: Sue

Margin

Warranty

Family Portfolio Margins

24


Leading & Lagging Metrics

Leading

Metrics

Lagging Metrics

OTD PPM COPQ $Conversion

OEE: Operational Equipment Effectiveness + + + +

RTY: Rolled Throughput Yield + + + +

%Cpk: Processes Capable of Meeting >=1.33 + + + +

MTBF: Mean Time Between Failure + + +

C/A %Repeat: Repeating Complaints + +

Training Depth: Personnel Skill Levels + +

Linearity: Production Schedule Attainment + + +

C/A TTC: Time to Close Corrective Actions + + +

If you watch your pennies, your dollars will take care of themselves – Benjamin Franklin

Lagging metrics are usually upper management results. Identify and manage leading metrics that will affect these results.


26

Polling Question 2

a) Rework

b) Overtime

c) Premium freight

d) All of the above

What are some potential leading indicator metrics to margin?



27


“X-Matrix” How it looksX-Matrix: Organization, Year

l 1.2a Conduct Portfolion Analysis. Rationalize l l l

l 1.1b Conduct FMEA/CP Reviews on loss leaders l l l l

l 1.1a Implement Warranty Team. Conduct CA/PA l l l l

1.2

Reo

rgan

ize P

rod

uct

Po

rtfo

lio

s. $

100K

1.1

Red

uce W

arr

an

ty L

osses. $

150K

Marg

in

Warr

an

ty

Po

rtfo

lio

Marg

in

Jo

e

To

m

Su

e

l l 1 Improve Margin by 5% Points by 4Q08 l l l

2 xxx l Primary

m Support

Resources

Key Tactics

"HOW 2"

Key Objectives

"WHAT"

Main

Initiatives

"HOW 1"

Key

Metrics

"BSC"

28


29

Polling Question 3

a) They help to identify the critical metrics.

b) They help to maximize the amount of initiatives needed to meet

the strategies.

c) They help to minimize the potential for redundancy in the setting

of the initiatives.

d) They help to identify who owns which initiatives.

In the correlation section between the strategies and functional

initiatives, the correlation points help to show alignment between the

strategies and the functional initiatives. What is at least one other

purpose that they serve?



30


The QMD’s Sample X-MatrixC:\Documents and Settings\marhevjd\My Documents\ASQ\QMD Strat Plan & BSC Data\[QMD Strat Plan 08 Q2 QMP 08 09 v1.xls]Succession Plan

l 6.1e Develop/Execute go-forward functional conference committee structure -- Chair, F2F l l l l l l m m

l 6.1d Develop/Execute plan to better utilize volunteers -- Mmbrshp l l l

l l l 6.1c Share Lessons Learned across ASQ (Ex. DMA, X-Matrix…) -- Chair, Chair-Elect l l l l m

l 6.1b Manage and facilitate attainment of budgeted plan -- Treasurer l l l l l l m

l 6.1a Develop/Utilize succession planning, strategic management of board, and key measures -- Chair, Chair-Elect l l l l l l m

l 5.1a Develop a Strategy to Collaborate w/ASQ on EoQ/Social Responsibility (Mason) -- TC l l

l 4.1c Develop/Execute effective Web-site in which to grow exposure and customer support, and delivery mechanisms -- e-based l l l l l l l m l

l 4.1b Select organizations/venues w/in ASQ (Div's, Sections, HQ, etc.) and tailor service or product offerings and interaction methods -- Mktg l l l l l l l

l 4.1a Identify Opportunities and Leverage QMD offerings into non-ASQ/alternative venues (ie. State Award Program Offices, etc) -- Mktg l l l l l l l

l l l l 3.1a Develop Feedback/Feed Forward Loops, Review VOC data, Summarize results, Develop Next Steps and Feed into QMD Strategies -- Mktg l l l l l l l l l l m

l l l 2.1.c Execute to a defined Touchpoint Plan (Tradeshows, Conferences, Forums, Courses, etc.) include Lisa Bray (ASQ) l l l l l l l l l m m l

l l l l 2.1b Develop Partnership Plan w/ASQ on non-US Growth (China/India, ROW) -- Mktg l l l l l

l l l l 2.1a Develop Marketing Plan to grow Membership Base -- Mktg l l l l l l

l 1.2b Deliver CMQ/OE, CQE, CQIA Refresher Courses and Cost of Quality Courses as needed -- F2F l l l l l l l l m l

l l 1.2a Support the CMQ/OE Certification (BOK, Exam Review, Item Writing) - Ops l l l l l l l

l l l 1.1f Manage a project that utilizes F2F, Web & Print to bring pertinant information/training to QMD Members -- Print, F2F, e-Base l l l l l l

l l l 1.1e Grow QMD membership of certification holders (CMQ/OE, CQE, …) and conference attendees that are non-QMD members -- Mktg l l l l l l l l m

l l l l1.1d Determine web-content (search engine, articles, courses, skills training webinars, forums, etc.) to be provided through the e-based market

channel based on VOC criteria with Tech Cmte input - e-based l l l l l l l l m m l

l l l l 1.1c Determine offerings (articles, courses, skills training, tracks) to be provided at relevant events based on VOC criteria -- F2F , e-based l l l l l l m l l

l l l l 1.1b Manage the annual QMC -- F2F l l l l l m l l

l 1.1a Publish/Maintain the Quality Management Forum -- Print l l l l l l

6.2

Use

Str

ate

gic

Pla

nn

ing m

eth

od

s &

Actio

n P

lan

form

ats

6.1

Fo

llow

thro

ug

h o

n k

ey p

lans a

nd

ob

jective

s

5.1

Co

ntin

ue

to

de

ve

lop a

nd

de

live

r E

oQ

re

so

urc

es

(multip

le)

4.1

Identify

sponsoring p

art

ners

and d

evelo

p s

erv

ice

or

pro

du

ct

off

erin

g m

od

el

3.1

De

ve

lop F

ee

dba

ck L

oo

ps a

nd

Revie

w V

OC

inpu

t/d

ata

2.1

De

ve

lop M

ark

et S

tra

teg

y t

o G

row

Me

mb

ers

hip

base

1.2

Su

pp

ort

the

CM

Q/O

E c

ert

ific

atio

n p

roce

ss

1.1

Leve

rag

e o

ur

org

aniz

atio

na

l str

uctu

re t

o d

eve

lop

and

de

live

r p

rodu

cts

and

se

rvic

es

Qty

of

Le

arn

ing

Do

cu

me

nts

/Eve

nts

(O

O 3

, 5

)

Att

en

da

nce

at

QM

D a

ctivitie

s/s

essio

ns (

OO

2,

3,

4,

5,

6)

We

b-S

ite

Hits (

OO

1,

3,

4,

5)

Qty

of

CM

Q/O

E's

& T

ren

d (

OO

1,

2,

4,

5)

Che

ckin

g a

nd

Sa

vin

gs B

ala

nce

, L

iqu

idity (

OO

4,

5)

Pe

rio

d R

eve

nu

e &

Exp

en

se

Co

mp

ari

so

ns (

OO

4,

5)

Fo

rum

Un

it C

ost/

Me

mb

er

(OO

4,

5)

Me

mb

ers

hip

Ra

te (

Inclu

de

In

tl G

row

th)

(O

O 1

, 2

, 3

, 4

, 5

,

6)

Rete

ntio

n R

ate

(O

O 1

, 2

, 4

, 5

, 6

)

New

Me

mb

ers

hip

Ra

te (

OO

1,

2,

4,

5,

6)

Me

mb

ers

w/A

SQ

Ce

rtific

atio

n(s

) (O

O 1

, 2

, 3

, 4

, 5

)

Me

mb

ers

by S

tate

/Co

un

try (

OO

1,

2,

3)

%O

bje

ctive

s A

ch

ieve

d (

OO

5,

6)

Su

cce

ssio

n P

lan

nin

g D

ep

th (

OO

5,

6)

Cha

ir:

Hea

the

r M

cC

ain

Cha

ir E

lect:

Jd

Ma

rhe

vko

Tre

asu

rer:

Ka

trin

a H

arr

is

VC

Pri

nt

Initia

tive

s:

Fre

d W

alk

er

VC

Ma

rke

tin

g:

Milt

Kri

vo

ku

ca

VC

Me

mb

ers

hip

: J

oh

n S

ha

rp

VC

Fa

ce

to

Fa

ce

: D

avid

Little

VC

e-B

ase

d I

ntiia

tive

s:

Ron

Me

ier

VC

Te

ch

nic

al C

mte

: S

teve

Ba

bb

VC

Op

era

tio

ns:

Caro

l K

urt

z

Con

fere

nce

Cm

te:

Tre

pa

nie

r/D

en

ne

y/B

an

e

l l l l l

1. (1, 2, 3) Membership Expertise: Provide products/services that develop continuous improvement and enhance our memberships'

skills l l l l l l

l l l 2. (1, 4) Membership Growth: Continue to grow the Membership base and improve upon retention l l l l l l l l l l l

l l l 3. (1, 2) Determine VOC: Get feedback so that the QMD can define the product and services that are needed l l l l l

l l l l l l4. (1, 2, 3, 4, 5, 6) Define Markets: Develop/execute a cross-market strategy and delivery mechanisms utilizing current technologies

l l l l

l l 5. (2, 6) EoQ: Insure that the Economics of Quality (EoQ) are within the context of our products and services l l l

l l l

6. (4, 5) Infrastructure: Improve the management of the QMD…IT, Volunteer Utilization, Succession Planning, Budgeting, Follow

Through… l l l l l l l l l

Strategic X-Matrix: 2Q08 Quality Management Division v2

QMD Vision

Engage people, organizations, and communities in continual improvement

QMD Mission

Convey lifelong quality related knowledge through information, methods and

tools that add value to Organizations, Society and Individuals

1-2 Year Strategic Objectives

Top Level

Improvement

Priorities

2nd Level Tactical Improvement Plans

Key Success

Indicators

(KSI's)

and Outcomes

Resources

Primary Responsibillity

Secondary Responsibility

31


ASQ QMD Result

• Largest division in ASQ…24,000 global members

• In the top 5 of all divisions for member growth and retention

• Most touch points (member-valued interactions) of any

division. >300/year

• Have completed >90% of all goals and objectives for the

past 5 years

A Non-profit Organization

32


A For-profit X-Matrix Sample

14

l m 4.3.b. Conduct annual rev iews and training updates on ISO/TS Core Tools by 2Q l l l l l l m m m m l

l m m 4.3.a. Increase QA personnel understanding & interpretation of product specs by 3Q l l l l l l l l l

l m m 4.2.a. Consolidate all sites to one registrar by 4Q l l l l l

m l m m m 4.1.b. Grow Quality /Lean skills and benchstrength by 15% YOY l l l l l m l l l l l l l l m l

m m l m 4.1.a. Upgrade corporated-wide APQP processes to achieve 95% compliance on TS System score by 2Q l l l l l m l l l l l l

m m l m 3.1.a. Leverage sub-teams to implement MRP conversion l l l m l l l l

m l m 2.2.c. Participate in monthly Council rev iews l l l l l l l l l

m m l m 2.2.a. Implement Kanban flow plans to reduce DIOH by 20% by 4Q l l l l m l l l l

l 2.1.b. Create action plan to close customer feedback gaps by 3Q l l l m l

l 2.1.a. Review and upgrade ex isting Customer Feedback Process by 1Q l l m l

m m m m l m 1.2.c. Plan, develop, manage and implement automated SPC at appropriate processes l l l l l l l

m m m l m 1.2.b. Enable accurate SPC formats to meet 80% audit scores l l l m m l l l l m

m m m m m l m 1.2.a. Monthly Management to increase Capable Processes to >85% KPIs l l l l l l l l l

m m l 1.1.a. Reduce scrap/rework losses by 50% 4Q l l l m l l l l m

1 3 2 9 9 7 10 2 2 2 2 2 7 3 03 5 1 1 1 1 1 0 0 0 0 1 2 0 0

4.3

En

gin

ee

rin

g A

lign

me

nt

4.2

QM

S E

xe

cu

tio

n:

TS

Syste

ms

4.1

QM

S E

xe

cu

tio

n:

AP

QP

3.1

Ne

w M

RP

Im

ple

me

nta

tio

n

2.2

Le

an

/Co

ntin

ua

l Im

pro

ve

me

nt

Inte

gra

tio

n

2.1

Cu

sto

me

r S

atisfa

ctio

n

1.2

Pro

ce

ss C

on

tro

l (S

PC

/KP

I)

1.1

Scra

p/D

efe

ct

Re

du

ctio

n

CO

PQ

%C

OG

S

OE

E

OT

D

PP

M

Ro

lled

Th

rou

gh

pu

t Y

ield

(R

TY

)

Le

an

Sa

vin

gs

Lin

ea

rity

DIO

H

8D

TT

C

%K

PIs

th

at

me

et

ca

pa

bili

ty

MT

BF

TS

/IS

O S

tatu

s

QM

S/L

ea

n S

co

re

Skill

s A

sse

ssm

en

t L

eve

l

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

l l l l l 1. Exceed financial income targets: Margin, Cash Conversion, etc. l l l l l l

l l l l l l 2. Increase production/process capacity l l l l l Responsible/Accountable m Consulting/Support

l l l l l 3. Reduce business costs in SGA and Supply Chain l l l l

l l l l l l l l 4. Improve customer satisfaction v ia quality /warranty and OTD performance l l l l l l

l l l l l l l 5. Grow team skills and talent levels l l l l

l l l l l l 6. Exceed safety /environmental standards l

l l l l l l l l 7. Enable competitive costing v ia lean processes l l l l l l

Level II Matrix - YEAR 20XX

Resources

Three (3) QMS Strategies1. Improve upon what we do (reduce PPM/COPE, grow KPIV)

2. Deliver new products/processes well

(APQP/OTD/TS/DIOH/RTY)

3. Grow our skills to enable 1 & 2 (Blooms, QMS, TS)

2nd LevelTactics

(To achieve the initiatives)

YEAR 20xx-xx Strategic PrioritiesBusinessStrategy

Top Level

Initiatives(To Achieve Priorities)

KPIsto Improve

Strategies

Metrics

Tactics

Initiatives

4.3 Engineering Alignment

4.2 QMS Execution: TS Systems

4.1 QMS Execution: APQP

3.1 New MRP Implementation

2.2 Lean/Continual Improvement Integration

2.1 Customer Satisfaction

1.2 Process Control (SPC/KPI)

1.1 Scrap/Defect Reduction


Product Portfolio…5% Margin?

Lead TimeInitiative: Improve margin by 5%

Action: Conduct error-proofing

VSM review on portfolio mix.

Rationalize products. Continue to

prune

Results: Improvement in

margin base

Qty of Items at Targeted Margin

0

2

4

6

8

10

12

14

-10

0%

-75

%

-50

%

-25

%

0%

25

%

50

%

75

%

10

0%

12

5%

15

0%

Qty of Items at Targeted Margin

0

2

4

6

8

10

12

14

16

-100%

-75%

-50%

-25%

0%

25%

50%

75%

100%

125%

150%

Portfolio Review Results

0%

10%

20%

30%

40%

50%

60%

70%

Reduction in Portfolio Change in Margin

Ex: If targeted margin is 5%, then 8+ Items were meeting the 5% objective before and 14+ were meeting the objective after

22%

Original Process Improved Process

Visual Results


Measure

What gets measured gets done.

Who knows, it works…

35


Warranty %COGS

0

1

2

3

4

5

Yr

1

Yr

2

Yr

3

Com

p

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

History Performance Compare Goal

Sample BSC Format

Performance Goal

History (2-3 yrs)

Current Performance

Arrow for desired direction

Point of Comparison36


37

Polling Question 4

a) It is better to have more metrics.

b) It better controls the corresponding lagging indicator(s).

c) It is easier to measure.

d) It helps to understand the overall data impact.

What is the key benefit of including Leading Indicators in the KPI process?



38


Analyze

To know and not to do is not to know.

Chinese Proverb

39


A VSM defines an existing process. A Future Stream Map (FSM) is the planned process after improvements are made. An action plan (or bridge) on how to close the gaps between the VSM and FSM is generated for implementation.

Value Stream Map (VSM)

What you

THINK it is

What it

ACTUALLY isWhat it

SHOULD be

VSM

FSM

What you

THINK it is

What you

THINK it is

What it

ACTUALLY is

What it

ACTUALLY isWhat it

SHOULD be

What it

SHOULD be

VSM

FSM

"Desk Top"

What we THINK it is

"Reality"

What it ACTUALLY is

"Future"

What it SHOULD be

Mgmt Trap VSM FSM

40


Sample VSM: NPI

40 Days

170 Days

Original Process

Initiative: Reduce New

Product Introduction Lead

Time

Action: Conduct value stream

map review. Implement fixes

Results: 70% Lead time

reduction. Team able to

increase NPI output

Day 0 5 10 15 20 25 30 35 40 45 50 55 60 Total

HR HR Comm

Plan & ee

relations

Hiring Training

1 1 5 7

Mfg Eng,

Prod

Create Std

Rtg's

Make L/O.

Takt, Env,

Safety

Order

equip

Test E

quip Validate

Prod Line,

1st article

Manpower

in place

Run

production

Ship

5 4 2 1 0.5 1 1 3 18

Mfg Eng,

Eng

Modify

Facility

Install

Equip

12 5 2 19

Purch Vendor

notification

PO Valid &

change-

over

Issue POs

based on

gaps

5 5 15 25

Matl Create

bridge

schedule

Present

bridge

schedule

At sister loc,

valid inv:

qty, qa

Forecast

loaded,

history

1 5 5 1 12Build bridge

send

w/parts

Ship

it

Receive,

unload

Put away

goods

3 3 1 1 8

QA Supplier

record

review

Yield review,

cust

complaint

data

ID approval

bodies &

audit

Inform

bodies of

change of

mfgr

Valid rec'd

inv. Write

insp plan

4 3 2 1 33 43

Eng Proj review

Sched &

temp req's

David

Groh

approval

Design

process of

dox xfer

Impl

BOM's, IM

etc

5 3 10 15 10 43

Sales Cust info

history

Review

bridge. Do

SIOP

Create

accts

Cust notif

of change

5 1 5 5 16

IT Go live Reporting,

tweaking

15 5 5 3 1

Fin Approve all

fin data.

Inv, Std

cost

Mo review:

Outlook,

E201 spend

Mo review:

Outlook,

E201 spend

3 3 3

Queue Time 30 30

Max Time 15 5 5 10 12 15 33 5 1 3 10 1 0 3 103

VA 5 5

Map all data. Get cust tax data. Run

customer EDI's (test box). Load data.

Future Stream Map: New Product Introduction (Sister Site Transfer). 02/2006

Create WI's, FMEA/CP

ECO's (off-site coord.

Need on site approval)

Improved Process

Lead Time (Days)

0

20

40

60

80

100

120

140

160

180

Before Proj 1 Proj 2 Proj 3

Visual Results


Improve

Even if you’re on the right track, you’ll still get run over if

you just sit there.

Will Rogers

42


Hoshin Kanri is not the same as Management by Objectives (MBOs) Source: Toyota Culture – Jeffrey Liker and Michael Hoseus (2008)

Management by Objectives (MBOs) Hoshin Kanri

Results-oriented evaluation of effort Concerned with both results and

process of getting those results

Top-down communication Top-down direction setting and bottom-

up flow of information and means

Directive Participative

Linear (no feedback, no second

chance, just start over from scratch

each time)

Circular (adds feedback loops (aka

Catchball) and cycles of improvement)

Leveraging Hoshin Kanri…

43


Control

There is nothing as useless as doing something efficiently

that which should not be done at all…

Peter Drucker

44


We Strategically Applied DMAIC

Define

Measure

Analyze

Improve

Control

We used an X-Matrix to define our customer needs (internal/external).

We used a BSC to determine baselines and set our target performance levels.

We used VSM to investigate causes for gaps and created a plan of attack.

We executed improvements and used tools to fit the problem (VSM, TPM, SUR, EP…).

We used the BSC and HR systems to enable accountability.

45


Learning Objectives

In our time together, we have…

• Seen how to apply Define, Measure, Analyze, Improve and Control (DMAIC) to the strategic planning process

• Tactically learned how to link strategic planning and the Quality/Lean Management (QLMS) via the X-Matrix process

• Seen how this lean tool can be applied to several types of organizations

• Increased your understanding of how to develop, manage and execute a strategic plan

[email protected] 419-704-5603

46

mailto:[email protected]


There are hundreds of excellent books/tools/sites, etc. Here are few that I have used as recent references:

• ASQ.org

• AME.org

• Lean Enterprise Institute (LEI) at Lean.org

• Superfactory.com

• Hoshin Kanri for the Lean Enterprise. Developing Competitive Capabilities and Managing Profit. Thomas L. Jackson

• The Lean Pocket Guide: National Association of Job Shops and Small Manufacturers (NAJS)

• From Good to Great. Jim Collins

• The Tipping Point. How Little Things can make a big Difference. Malcolm Gladwell

• Blink. The Power of Thinking without Thinking. Malcolm Gladwell

• Toyota Production System. Beyond Large Scale Production. Taichii Ohno

• The Toyota Way. Jeffrey Liker

• The Executive Guide to Understanding and Implementing the Baldrige Criteria. Leonard & McGuire

• The Executive Guide to Understanding and Implementing Lean Six Sigma. Meisel, Babb, Marsh, Schlichting

Sources/Ideas

47


48

Questions & Answers

Use the Q & A Panel to send your questions to our panelists.

Jd Marhevko, MBB, CSSBB, CMQ/OE, CQE,

ASQ Fellow, 2016 Shainin Medalist

Vice President



Jennifer Ashkenazy, CPA

Research Development Director

IMA


49

Thank You to Our Presenter!

Jd Marhevko, MBB, CSSBB,

CMQ/OE, CQE, ASQ Fellow

2016 ASQ Shainin Medalist

Vice President




50

► Complete the Evaluation poll – on your screen

► Access to your CPE Certificate – 2 Options

• Click the “CPE” icon at the bottom of your console

or

• Click the link in your post-event email

► Please print a copy of the CPE certificate for your records.

► Your CPE credit will be automatically recorded in your transcript.

Final Reminders


51

Next Inside Talk Webinar:

• Rethink the Finance Function to Become a Trusted Business Partner

Wednesday, March 30, 2016 1 p.m. Eastern Daylight Time

www.imanet.org/programs_events/IMAWebinars.aspx

For Upcoming Inside Talk Events:

• Visit IMA’s website at

www.imanet.org/programs_events/IMAWebinars.aspx

• Log-in with your User Name & Password

• Remember to check IMA’s Learning Spotlight for upcoming webinar events

Notification of Future Webinar Schedules


52

Thank You!