4M Man Machine Material Method Measurement Environment 5M&E
4M Man Machine Material Method Measurement Environment 5M&E
BB MEMORY
JOGGER
4 PARTNERS (POEM)
POEM, Improve all four partners and you will improve throughput,
1. Process (Control Systems, Yield, Cpk, SPC Maturity, Working group Technology)
2. Operator (Teaming, Cross Training, Staffing, Coverage, Communication)
3. Equipment (MTB/MTTR, Set-up, Capacity, Availability, Integration)
4. Material (WIP/Material/Data, Flow Balancing, Product Mix)
4M/5M&E/Fishbone/
Cause-and-Effect/
Ishikawa Diagrams
Enables a team to focus on the content of the problem, not on the history of the problem or differing personal interests
of the team. Creates a snapshot of the collective knowledge and consensus of a team around a problem. This builds
support for the resulting solutions. Focuses the team on causes, not symptoms. Allows a team to identify, explore and 65-72,
graphically display, in increasing detail, important possibile causes related to a problem or condition to discover its
107, 185,
root cause(s). Keeps asking why until root cause is obtained. 4Ms using Man-Machine-Material-Method and may also
212
include Measurement and Environment (mother nature) (5M&E) as typical starting points. People, Policy, Procedures
and Plan are the 4Ps often used for transactions.
CSSBB
PRIMER
VIII-133
32-38
I-20
6-7
29
An accounting technique that enables an organization to determine the actual cost of a product or service by tracing
the cost back to the specific activities that produce or provide it. Compare to Traditional Cost Accounting (TCA) .
This is the maximum percent defective that is considered satisfactory as a process average by the producer and the
Acceptable Quality Level
consumer. The probability of accepting an AQL lot should be high. It is also defined as the maximum percentage of
(AQL)
nonconforming units in a batch or sample that, for the purposes of acceptane sampling, can be considered satisfactory
ANOVA
as a process average.
LEAN
MEMORY
JOGGER
13
194
VI-7
Rejecting the null when it is true. Example: A new drug is not better than the old drug. Ho: results of the new drug =
/Alpha Risk /
results of the old drug
Producer's Risk / Type I A Type I error would occur if you incorrectly concluded that the two drugs produced different effects, when in fact
there was no difference between them. You rejected the null but should not have rejected the null. May cause me to
Error
change my process unnecessarily
Documents who is accountable for particular tasks, who's inputs is required to complete tasks, whos is required to
Accountability Matrix
review the task, and who is required to sign-off on the task completion.
Measure how close average of a sample compares to optimal target (nominal spec.). Not to be confused with
Accurate / On Target
repeatability. Accurate centered around the mean bull's eye but spread needs to be improved.
Very useful during any planning activity. Key elements:
Success Criteria (goals)
Action Impact
Impact (objectives, measures)
Management Chart (AIM)
Analysis (assessment, gaps, barriers, assumptions)
Action (who, what, when)
Activity Network
Used to evaluate, monitor, schedule, and modify a project process. Incorporates project management techniques such
Diagram (AND)
as Program Evaluation & Review Techniques (PERT), and critical path methods.
Individual/Team technique for problem solving for unfamiliar, new, or complex problems. Used in the planning stages
Affinity Diagram / JK
of problem solving to gather facts and ideas. Links and or groups ideas as with mind mapping, to form patterns of
Method
thought. Organizes ideas into developed patterns of thought.
Occurs when the analysis of a factor or interaction cannot be unambiguously determined because the factor or
Aliasing / Confounding interaction settings are identical to antoher factor or interaction, or is a linear combination of other factors or
interactions.
Where before does not equal after. The alternate hypothesis is written: H a X. The null and alternate are mutually
exclusive of each other.
Example: Ho: the car = red, Ha the car red.
Alternate Hypothesis
If you "fail to reject" the null hypothesis (don't say "accept the null hypothesis"), your data would support the car
(Ha)
being red and any observed difference in samples is due to chance.
If you "reject" the null hypothesis then you would accept the "Alternate Hypothesis" and can say the car is not red.
Note: All you know at this point is that the car is not red, you do not know the color of the car.
Analytic Study
A study in which action will be taken on a proces to improve performance in the future (Demming).
Understand - Develop a common picture
ID Potential causes - What are root causes, What does the data tell us? How can we fix the problems?
ID Best practice - Internal, Shipyard, Industry
BB MEMORY
JOGGER
LEAN
MEMORY
JOGGER
123, 144,
145, 149153, 155,
156
CSSBB
PRIMER
VIII-48
14
VI-70
15
3QIP
IV-67
12 QIP
IV-56
186, 199201
IX-4
152, 153
VII-22
VII-22
ID Solutions for improvement - What should be done to eliminate the root causes? How can we fix the problems?
Analyze Phase
VIII
VIII-147
VI-6
XI-37
52
IV-67
34, 75,
76, 8994, 222,
224, 228
VI-36
111
150, 153,
155-156
X-47
VIII-48
Balanced Scorecard
Barrier
Basic Process
Management
Basic Statistics
Batch Delay
BB MEMORY
JOGGER
Benchmarking
(Competitve)
Benchmarking
(Functional)
CSSBB
PRIMER
33-48
9
Batch Processing / Large The movement of products through the manufacturing process in large numbers of identical units at once. Entire
Lot Processing
batches, or lots, are sent to each operation in the production process at the same time. Compare to one-piece flow .
Benchmarking
LEAN
MEMORY
JOGGER
79
The continuous process of measuring one's products, services, & practices against the best anywhere in the business
world to achieve improved performance. Management tool to improve quility & overall competitiveness.
III-13
Broadly conceptualizes certain business processes or functions that are unrelated but the same regardless of the wide
Benchmarking (Generic
cross section of industries. This is a pure form of benchmarking. Focus is on being innovative and gaining insight into
Benchmarking)
excellent work process rather than on the business practices of a particular organization or industry.
Benchmarking (Internal) The comparison of a business process to a similar process inside the organization.
Bias
Binodal Distrobution
Binary Logistic
Regression (BLR)
Binomial Data
Black Belt
Bottleneck / Constraint
Bottleneck Operation /
Constraining Operation
Bottom Line on Top /
BLOT
Box-Behnken
Box-Behnken Design
Box-Cow Transformation
Box-Wilson Design
Brainstorming
Bridge to Analyze
Measurement System Analysis (MSA), Consistent difference between measured values and actual (or reference)
values. If bias exists in the average measured value the measurement system may require calibration. Not to be
confused with repeatability.
Measurement System Analysis (MSA), Precise but not accurate.
III-16
74, 76, 77
VI-76
Example: You weight an item that is actually 1lb. You repeatedly measure 1 1/4 lbs + 1/4 lbs. Your bias is 1/4 lbs.
Your measurement system is giving you very repeatable results but you are consistently wrong by 1/4 lbs.
When plotted data gives the appearance of two bell curves, side-by-side. Two-humped distribution. Often caused by
special cause such as two vacities in a mold, or the same parts being run off two different production lines.
Relates x's to a y that can only have a dichotomous (one of two mutually exclusive outcomes such as pass/fall, on/off,
etc.) value.
Regarding sampling, and can only have one of two values. Example: Pass/Fail, Go/No-Go, Good/Bad.
Under direction of Master Black Belt, assists value stream champion & team leaders to schedule, plan, & execute VSA
& RIEs.
An operation that is long in duration or is critical to completing a manufacturing process. When the contraint is not
processing the project is not processing and it has a negative impact throughput.
Example: P1 = 10 sec / P2 = 10 sec / P3 = 5 sec / P4 = 8 sec Constraint = P1 & P2.
The manufacturing step that determines the upper limit on the number of finished parts that can be produced within
a value stream.
Bottom Line On Top:
1. Tell them what the presentation will be about.
2. Tell them
3. Tell them what you already told them
Used to view variability & centering based on quantities in a variable output (y) vs and attribute inpute (x) at one or
more levels.
Five point representation of data. Central line represents the median. Upper & lower quartiles of the data define the
ends of the box (that is 25% of the data falls in each of the two halves of the box). The upper and lower quartiles of the
data define the ends of the box. Minimum & maximum data points are drawn as points at the end of the lines
(whiskers) extending from the box. Outliers are added as asterisks.
Central composite design which requires three factor levels (like CCF; unlike the CCF & CCI which require five factor
levels).
Looks like a basic factorial design with a center point except that the corner points are missing & replaced with points
on the edges. This type of design is used when the corner point setting are impossible or impractical because of their
combined severity.
By knowing the physics behind a process, the black belt can determine the appropriate function that describes the
process. The Box-Cox transformation can transform lambda value to a transformation value.
Is a rotatable design (subject to number of blocks) that allows for the identification of nonlinear effects.
Intentionally uninhibited technique for generating creative ideas when the best solution is not obvious. Example:
round-robin, freestyle, crawford slip, & electronic (the last two allowing anonymity).
Toolbox
Capacity Analysis, Takt Charts
Data Analysis Tools
Hypothesis Testing
Process Analysis
SPC, Gage R&R
Basic Statistics
FMEA
Sample Theory
IPO/ICOM Diagrams
Root Cause Analysis
Process Observations / Gemba
CTQs / CTPs
VII-21
171, 179184
VII-34
II-56
133
IX-66
59
IX-66
106, 122,
123
VII-14
68
IX-4
207
IX-4
160-163
207-209
IV-45
Toolbox
Hypothesis Testing
Pull System
Bridge to Improvement 5S / Visual Controls
Poke-Yoke / Error Proofing
Supply Chain Management
Process Simplification & Design
Critical Chain Project Management
Toolbox
Capacity Analysis, Takt Charts
Process Analysis
Data Analysis Tools
FMEA
SPC, Gage R&R
Bridge to Measure
IPO/ICOM Diagrams
Sample Theory
Causal Loop Diagrams
Root Cause Analysis
Process Observations / Gemba
Hypothesis Testing
Basic Statistics
CTQs / CTPs
A metric that measures the percentage of unti scheduled for production on a given day that are actually produced on
BTS / Build To Schedule
the correct day, in the correct ix, and in the correct sequence.
Burst Point
Is more than one path leaving an activity.
The ability of a machine and operator to complete the work required. There are 3 categories of capactiy:
Idle - capacity is not being utilized
Capacity
Non-productive - capacity is performing non-value added work.
Productive - capacity is performing value added work (changing the product or performing a service).
Is a tool that will allow a black belt to identify the greatest opportunity for improvement in the process by collecting
Cause & Effect Matrix
more data about the individual process.
Causes for Patterns
Higher order design which requires five factor levels & are rotatable - that is, the variance is the same at all points
that are equidistant from the design center. The variance therefore remains unchanged when the design is rotated
around the center.
Is a common DOE matrix used to estabilish a valid second-order model.
CCD / Central Composite One of several classes of response surface designs. Very popular because: 1. sequential runs of linear or curvature
effects can be made 2. they provide much information from a minimum of runs and 3. they are quire flexible over
Design
different experimental regions.
Cell Layout
There are different ways to layout cells: straight line, U-shape, L-shaped, & combination.
States if you take the average frommulitple samples & plot those averages you will have a normal distribution even if
the samples are non-normal.
Central Limit Theoram /
The distribution of sample averages will approach normal regardless of the shape of the parent population (this is
Power of Averaging
why & R charts work).
The power of averaging gives you a normal distribution on a bell curve.
Central Tendency
There are three measures, MEAN , MEDIAN , & MODE .
Individuals who play a specific role in the planning & implementation of the change management process. They may
be insiders or outsiders. The person who takes the lead in transforming a company into a quality organization by
Change Agent
providing guidance during the planning phase, facilitating implementation, & supporting those who pioneer the
changes.
There are three types of resistance to change 1. I don't understand it . 2. I don't like it . & 3. I don't trust it .
Communication is the key; As an organization:
1. Assess how your activity has handled change in the past.
Change Management 2. Assess how ready they are for change.
Impact on the organization:
1. Verify that the change is in line with the mission of your activity.
2. Evaluate the potential risks that changes may have on your activity.
Developed during the design phase, it designs the customer needs, project scope, project goals, project success
Charter / Project Charter
criteria, team members, and project deadlines.
Used for inspecting machinery or product, or when learning to operate complex or delicate equipment. A grocery list
Checklists
is a good example. See Checksheets .
Chi-Square Test
Circumscribed Central
Composite (CCC)
Clan
Coding Data
Coefficient of
Determination
Coefficient of Variance
LEAN
MEMORY
JOGGER
CSSBB
PRIMER
143
95
25-30,
107, 185
V-28
There are a number of reasons for patterns to change outliers, shifts, trends, cycles, stratification, and mixtures.
CCC / Circumscribed
Central Composite
Checksheets
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JOGGER
204-209
204-209
139-142
33, 35
II-50
12
Tools for organizing & collecting facts & data. Usually used to record counted, measured, and locational data. Three
kinds include recording Checksheets , Checklists , and Measles Charts .
See Summary table on p. XI-31. Used to compare a sample variance with a known same population variance. Note: If
the calculated Chi-square for any test is greater than the critical (table) value, the null hypothesis is rejected. Degrees
of freedom is calculated as (# rows -1) x (# columns -1). Contribution to the chi-square total from one cell is
calculated as ((O-E)/E)2. Required for calculations of Goodness of Fit, Contingency Coefficient, Freedman's Test, &
Mood's Median Test.
Higher order design which requires five factor levels & are rotatable - that is, the variance is the same at all points
204-209
that are equidistant from the design center. The variance therefore remains unchanged when the design is rotated
around the center.
Strong allegiances, resistance to outsiders; feudalism
Documenting the change in the process.
Used in regression analysis. Measured on a scale from 0 to 1. r2
Standard deviation divided by the mean. Expressed as a precentage (/ x 100).
VII-3
V-30
VI-47
VI-46
VIII-65
VI-45
VIII-14
VII-8
The number of distinct combinations of n distinct objects taken r at a time. This may be denoted by the symbol C nr,
Combinations
nCr, C(n,r) or (nr). Calculated as n!/r!(n-r)!. Unlike permutations, combinations do not take order into account,
therefore ABC=ACB=CAB=CBA=BAC=BCA.
VI-49
Completely random (i.e. the next data point's specific value cannot be predicted). Generally represents about 80% of
all causes. Usually not operator dependent, but process-dependent. Cause variation is one of the primary strengths of
Six Sigma methodology.
May be developed for a ANOVA experiment, like GR&R. Can determine 1. the extent of contribution by each source of
Components of Variance
variation 2. how much of the variance is due to differences in treatment means 3. how much of the variance is due to
(COV)
experimental error.
Deals with probability. A composition of two or more events. Example: the sum of two tossed dice is dependent upon
Compound Event
the values of two simple events, thereby making it a compound event.
How well a sample represents the actual population. Symbol for confidence %
Confidence
Example: how well we believe the 100 people surveyed represent the 15k people who live in Suffolk.
Allows an organization to make estimates about population parameters (e.g. proportions, standard deviation, &
Confidence Interval (CI)
averages) with a known degree of certainty.
Is 1 - Significance level. If the significance level is .05 then we are 95% confident that we will make the right
Confidence Level
conclusion in regards to the hypothesis test.
Occurs when the analysis of a factor or interaction cannot be unambiguously determined because the factor or
Confounding / Aliasing interaction settings are identical to antoher factor or interaction, or is a linear combination of other factors or
interactions.
Consensus Checking
Pick a finger any finger (thumb-up, thumb-down, thumb-sideways)
Constant Order Cycle
An inventory-control system that features a fixed reorder date and a varying order quantity.
System
Constant Order Quantity
An inventory-control system that features a fixed order quantity and a varying reorder date.
System
The manufacturing step that determines the upper limit on the number of finished parts that can be produced within
Constraining Operation
a value stream.
Provides expertise, an outside eye, is not formally part of the organization & interacts with all levels of an
organization. There are three styles of consultant; Expert (sell answers), Pair of Hands (sells time & labor), &
Collaborator (50/50). Collaborator is the best model for Lean Six Sigma.
Selling yourself:
Consultant
Under promise & over deliver
Hold frequent reviews with your sponsor
Don't ciriticize people
Never hide mistakes & delays
Always give away the credit
An error-proofing method that involves inspecting the size, shape, or color of an object to determine if any deviations
Contact Method
exit.
Common Causes of
Variation
Contingency Table
Control Chart
Control
Control Chart
c
Control Chart
np
Control Chart
p
Control Chart
u
Control Chart
X & Rlmr
(Indviduals & Moving
Range Chart)
Control Chart
&R
(MEDIAN)
BB MEMORY
JOGGER
CSSBB
PRIMER
44
VIII-88
VII-26
122-124
143-148
VIII-55
186, 199201
IX-4
IV-46
103
103
59
46
A contingency table using the Chi-square test, can be used to determine if a difference exists among population when
binomial data is used. The test actually tests whether or not two variables are dependent on each other.
The graphical method for determining if a process is in a state of statistical control. Used to analyze variation in a
process, monitor the process stability, detect unusual causes of variation. More than a dozen different types exist for
use with either Variable or Attribute data and sample size.
To check or regulate; to keep within limits.
Attribute data - Based on the Poisson Distribution which is applicable when events occur over a time period or in
some unit of space.
Counted & plotted as discrete events (e.g. shipping errors, % waste, absenteeism)
Defective data constant sample size
A defect is a failure to meet one of the acceptance criteria. A defective unit might have multiple defects.
Attribute data - Based on the number of non-conforming items produced over time.
Counted & plotted as discrete events (e.g. shipping errors, % waste, absenteeism)
Defective data constant sample size
Defective when an entire unit fails to meet acceptance criteria, regardless of the number of defects on unit.
Attribute data - Based on the number of non-conforming items produced over time.
Counted & plotted as discrete events (e.g. shipping errors, % waste, absenteeism)
Defective data variable sample size
Defective when an entire unit fails to meet acceptance criteria, regardless of the number of defects on unit.
Attribute data - Based on the Poisson Distribution which is applicable when events occur over a time period or in
some unit of space.
Counted & plotted as discrete events (e.g. shipping errors, % waste, absenteeism)
Defective data constant sample size
A defect is a failure to meet one of the acceptance criteria. A defective unit might have multiple defects.
Charts for variable data used individual values or subgroup averages to monitor the process.
Variable data (measured & plotted on a continuous scale (e.g. time. Temperature, cost, figures)), 3 from the mean,
with control limits dermined by data.
Sample size = 1
X - Plots each individual data point
Rlmr - plots the range for sequential data points from the chart above (if the first 2 data points are 2 & 6 then 4
represents the range).
Charts for variable data used individual values or subgroup averages to monitor the process.
Variable data (measured & plotted on a continuous scale (e.g. time. Temperature, cost, figures)), 3 from the mean,
with control limits dermined by data.
Sample size small (median value)
- plots each median data point
R - plots the range within each of the subsets to monitor the spread (Monday the range of the 5 samples 1 to 6 is 5 so
you plot and on Tuesday the range of the 5 samples 3 to 10 is 7 so you plot 7 and so on).
Black Belt more concernded with R chart because of variation (variation is bad)
LEAN
MEMORY
JOGGER
VIII-96
221-236
Decision
Tree
V-16
II-4
221-236
Decision
Tree
X-19
221-236
Decision
Tree
X-19
221-236
Decision
Tree
X-19
221-236
Decision
Tree
X-19
X-16
221-236
Decision
Tree
X-9
Charts for variable data use the average to monitor the center of the distribution & the range to monitor the spread.
Used to determine the stability of repeatability of the measurements over time.
Variable data (measured & plotted on a continuous scale (e.g. time. Temperature, cost, figures)), 3 from the mean,
with control limits dermined by data.
Control Chart
- Plots the average of subsets of data collected to monitor the center of the distribution (Monday you take 5 samples
&R
1,3,4,5,6,6 & average is 4 you plot 4 & on Tuesday you take 5 samples 5,7,3,10,5 & the average is 6 you plot 6 and so
(Average Chart)
on).
R - plots the range within each of the subsets to monitor the spread (Monday the range of the 5 samples 1 to 6 is 5 so
you plot and on Tuesday the range of the 5 samples 3 to 10 is 7 so you plot 7 and so on).
Black Belt more concernded with R chart because of variation (variation is bad)
Charts for variable data use the average to monitor the center of the distribution. Used to determine the stability of
repeatability of the measurements over time.
Variable data (measured & plotted on a continuous scale (e.g. time. Temperature, cost, figures)), 3 from the mean,
Control Chart
with control limits dermined by data.
&
Sample size is large (usually to 10).
- Uses the average to mintor the center of the distribution.
- Uses the standard deviation to mintor the spread.
A process is considered "in-control " or "stable " if you have random variation within the control limits from the
process & there are no special causes present (this means that the process is consistent).
A data point can fall outside of a control limit & still be an in-control process since the control limits are 3 standard
Control Charts (In
deviations from the mean as there is still a .27% chance that a random, in-control data point will fall outside the
Control / Stable)
control limits.
An in-control process does not necessarally mean it meets the customer requirment.
Basic rules for being out of control are:
1. 1 point beyond control (3) limits (Outlier)
2. 2 of 3 consecutive points beyond the 2 limits (Shift)
Control Charts (Out of 3. 4 of 5 consecutive points beyond the 1 limits (shift)
4. 9 consecutive points on one side of the center line (shift)
Control)
5. 6 points in an up or down direction (Trend)*
6. 14 consecutive points that alternate in an up or down direction (pattern or cycle)
7. 15 consecutive points above and below the centerline (trend)
Upper and Lower control limits are calculated from process data.
Control Limits
Are bound on a control chart that serve a basis for judging if a process is in a state of statistical control.
Establishes 3 from the mean.
Provides an institutional memory of the status of a process & the measurements that define it. It becomes a living
Control Plan
document within the process to sustain process improvements.
DMAIC Identifies the improvements to optimize the outputs & eliminate/reduce defects & variation. It identifies x's
& determine the y=f (x) relationship & statistically validates the process operating conditions.
Assess & Adjust - Make refinements to accommodate differences from pilots
Implement Controls - Procedures to keep things going
Train & Deploy - Ensure everyone knows what the new processes are & what to do
Plan next steps -The next long pole or low hanging fruit
Control Phase
Plan next steps (near Term) - next project to pursue
Plan for long term follow-up 3 months, 6 months, 1 year, etc. to ensure process discipline
Knowledge Sharing
Document & share knowledge
Capture Lessons Learned
Publicize & Recognize - COMMUNICATE!
Train Personnel
Document Adjustments
Deployed Improvements
Long term Follow-up Plan of Action
Control Phase (Outputs) Implemented Controls
Completed Recognition Events
Codified Improvements
Publish Project Report
Assessment Results
Documented lessons Learned
A quality cost system can be used to align quality & company goals, provide an overview of quality, & help to prioritize
company resources. Historically, categories of costs include direct costs (direct materials & direct labor), indirect
costs or overhead (indirect materials, indirect labor, fixed costs, & general & administrative costs), & selling costs.
Prevention of poor quality is far cheaper than appraisal, which in turn is cheaper than failure (both internal &
Cost of Poor Quality
external). The costs incurred by an activity because of quality problems. COPQ is categorized in the following four
(COPQ)
manners:
1. Prevention costs - Training, Poka-Yoke improvements, Maintenance
2. Appraisal costs - Excessive sign-offs, Incomming material reviews
3. Failure costs - Rework, Scrap material, Retest
4. Waste costs - Unnecessary labor, increased cycle time, increased motion
The essential activities an organization must perform to produce products, complete order-fulfillment functions,
Core Processes
maintain its assets, & complete all supporting business functions.
Analysis of the relationship between the two variables. As the input variable is changed how does this affect the
output variable.
Example: What is the reatlionship of the sale of ice cream & temperature. If the sale of ice cream increases directly
as the temperature increases then there is a Positive Perfect Correlation . The correlation coefficient would be
positive & if no scatter +1.
Correlation
If the sale of ice cream decreases directly with the increase of temerature there is a Negative Perfect Correlation .
The correleation coefficient would be negative & if no scatter -1.
You can also have a non-perfect relationship between the input & output where there is some relationship but not a
one for one change. The sale of ice cream may increase but not as fast as the temperature changes. The correlation
coefficient would be somewhere between -1 & +1.
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JOGGER
LEAN
MEMORY
JOGGER
CSSBB
PRIMER
X-12
X-13
230, 231
X-36
230, 231
X-33
X-50
241-245
X-53
III-26
131
VIII-15
Correlation Coefficient /
r / R2 / R2adj / Pearson
Product Correlation
Coefficient
Cost Benefit Analysis
Cost Reduction
Cost Reduction Report
Cost Savings
Cost Shifting
Cp / Process Potential
Capability
Crashing
Critical Defect
Critical Path
BB MEMORY
JOGGER
r , Correlation Coefficient, can be analyzed by calculating the Pearson Product moment correlation coefficient (r). As
correlation decreases (scatter increases), R2 decreases as well (1.0 is perfect).
77, 167,
R2, the coefficient of determinitation, is the square of the correlation coefficient & measures the proportion variation
173, 174,
(As a rule of thumb a Coefficient of .85 or more shows a strong retlationship).
176
R2adj, is a modified measure of R2 that takes into account thenumber of terms in the model & the number of data
points.
Decision-making tool that looks specifically at money (sum of all benefits anticipated $ / Sum of all costs anticipated).
Each project $250K net saving over 3 years.
Any improvement that does NOT result in an immediate line-item budget change (e.g. decreased labor without
removing people from the process).
NAVSEA requried form to be submitted with each project. Black Belt is required to complete section 1-3.
Any improvement that DOES result in an immediate budget change (e.g. People removed from a Process).
Moving costs from one account to another without creating any real savings. Cost shifting often hides waste rather
than removing it.
Measures the spread of the process only. It is calculated without regard to location of the mean, so it gives an
indication of what the process could perform to if the process was centered between the upper & lower specification
limits.
95-100
Short-term capability indicies, free of subgroup drift, using 6 standard deviations.
Cp = (USL-LSL)/6 Example: USL = 12, LSL = 4, = 1 // 12-4/6x1 = 8/6 = 1.33 // Cp = 1.33
In a potentially capable process Cp is 1.0 or greater.
Measures the spread of the process & how well the process is centered between the upper & lower specification
limits. Takes into consideration location of the data mean within the tolerance, it is more realistic measure of the
process capability. To determine the overall capability (Cpk) find the distance between the mean and the nearest
specificiation limit then divide by 3.
95-100
Short-term capability indices, free of subgroup drift, using 3 standard deviations.
Cpk = min ( - LSL,USL - )/3 (Use the lesser (min) of LSL or USL) Example: USL = 12, LSL = 4, = 1, = 9 // min (94, 12-9)/3x1 = 3/3 = 1 // Cpk = 1
In a capable process Cpk is 1.0 or greater.
Adding extra resources at a task in order to reduce the time needed for completion.
A defect classification that experience or judgement indicates is likely to cause unsafe conditions for those who use,
maintain, or depend on the product; or a defect likely to prevent performance of the end0item function.
Example: a defect that can cause automobile brakes not to perform.
Is the longest amount of time from 1st to last task. Slack time is available time for steps & is not included in the critical
path.
Activity-oriented Project Managent Tool. Applies to normal & "crash" costs (costs associated with applying more
resources to complete the project in a shorter amount of time). Similar to PERT (which is event-oriented).
CTC characteristics are product, service, &/or transactional characteristics that significantly influence one or more
CTs in terms of cost and represents "opportunties for nonconformance", that must be measured & reported.
20
CTD charactersistics are product, service &/or transactional characteristics that significantly influence one or more
CTs in terms of delivery (cycle) & represents "opportunities for nonconformance", that must be measured & reported.
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CTQ characteristics are product, service, &/or transactional characteristics that signifcantly influence one or more
CTs in terms of quality & represents "opportunities for nonconformance ", that must be measured & reported.
Critical to Quality (CTQ) Determined by custoer, what is critical to the customer, what the customer wants. This is the output(s) of the process
(Ys).
Example: Take your car to the garage for an oil change, you want your oil changed properly. You are concerned with
the end result not all the details.
Critical to Satisfaction CTS characteristics relate specifically to the satisfaction of the customer. The customer will typically define
(CTS)
satisfaction in one of three ways CTC, CTD, or CTQ.
CT Trees or flowdowns are used to define the DMAIC project. A method to analyze customer (internal or external)
Critical to .. Trees
requirement flowdown to ensure that what the organization is working on is critical to its business & its customers &
(CT Tree)
strikes a balance between both.
There are two types of trees; Process Tree & Product Tree.
Crossed Study
Multi-vari charts/study, which are conducted by intentionally manipulating levels of the x's.
Shared values, norms, & assumptions. Visible as orientation to power, risk, mistakes, & outsiders.
Culture
Shaped by policies & procedures, structure, day-to-day management decisions, & rewards.
Main Tools:
1. Know who your cast is on every project
Culture (New)
2. Communication
3. Maintain leadership & motivation
4. Ensure the following are addressed in the project: Vision, Incentives, Action Plans, Skill Resources.
Any person or organization who is affected by the output (product or service) of the process, could be interal or
Customer
external customer.
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Customer Value
Cycle Time
Data Transformation
Defect Per Million
Oppurtunities (DPMO)
Defective
Defects
Define Phase
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Define the Strategy - How to reach the end state; what are the major tasks to pursue & who needs to be involved.
Commit resources - Who will participate & who will support?
Obtain buy-in; ensure all parties commit to the vision & resources needed to get there
Align & build the team, involve the right people & the right skills; begin team building
Establish a project file - address administrative aspect at the start
Committing resources is critical to getting the job DONE.
Together with Measure, should represent about half of the total project time.
Problem Statement
Define Work Scope
Define Work Boundaries
Initial
Case for Action
Identify Customer
Identify Sponsor
List of Stakeholders
Vision Statement
Strategy (Top Level Plan)
Define Phase (Outputs)
Describe the Current Situation
Prioritized list of issues
Prioritized list of Opportunities
Buy-in from Stakeholders
Win-Win Contract
Committed Funding
Assigned Resources (People)
Established Team
Team Charter w/Sponsors Signature
Demand Supply Chain Profit from an investment as a percentage of the amount invested
When P(A|B) does not equal P(A). Example: 20% of the time it rains. 30% of the time it's cloudy. 67% of the time
Dependent Events
when it's clody it rains. P(A|B)=67%, but P(A)=20%. Rain must be dependent upon clouds. Also see independent
events.
Dependent Variable
A factor that results in a response variable and can be equated to an independent variable.
Are used to describe or summarize a specific collection of data (typically samples of data) graphical techniques and a
Descriptive Statistics
33
few summary numbers (Mean, Variance, Standard Deviation )
Experiment that enables you to study multiple variables (inputs) in a single experiment. It allows for the simultaneous
study of the effects that several variables may have on a process.
Structured approach for collecting & analyzing data to estimate the effects of process changes. Is used to understand 138, 139,
Design of Experiments
157, 185the effects of the factors & interaction that impact output of a process. As a battery of tests, a DOE is designated to
(DOE)
210
methodically build an understanding & enhance the predictibility process.
Why not change one factor at a time? You may miss the optimum setting of the different inputs. You miss the
interaction between inputs.
If the outcome of a factional factorial design has insignificant terms, the insignificant terms can be removed from the
Design Protection
186, 187
model, thereby reducing the design.
FMEA is an assessment of the probability that the process controls will detect the subsequent failure mode before the
Detection
product leaves the manufacturing operation or assembly location.
Rate the ability of each current control to detect failure. 1=Almost certain, 9=Very Remote
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Is the distance between a data point & the mean. Versus the standard deviation that looks at all the data points.
Deviation
Discrimination /
Resolution
Distribution
36
Example: For the population of numbers 1,3,4,5,7 the average is 4. The data point 5 is one away from average, the
data point 7 is 3 away from the average.
Measurement Systems Analysis. The resolution of a measuring system. Does the measurement system have the ability
75, 80, 87
to detect even small changes.
A set of numbers & their frequency of occurrence over a range of values. The best way to display a distribution is a
histogram.
Sample distribution: from measurements over a statistical population.
Probability distribution: Mathemeatical formula for the underlying characteristics of the complete population.
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Distribution Types
DMAIC
Dock to Dock (DTD)
Dodge-Romig Tables
Dot Plot
Understanding the different types of distributions will aid in determining how to apply the right tools. Some of the
different types are Normal, Uniform, Weibull, & Expponential. The distribution that we care about the most is Normal
Distribution. Most statistical tests depend on normality. Normal data can give projections on what will occur & how
often.
This model is a set of tools outlined in five phases that are used to characterize & optimize both business & industrial
processes.
Define, Measure, Analyze, Improve, Control.
A metric that measures how long it takes raw materials or sub-components coming into a plant to be turned into
finished products.
Attribute pains for effective sampling inspection when the precess average is known.
Shows variability in a sample of variable or attribute data.
Drift / Stability
Measurement Systems Analysis. Is the variation, in measurements obtained with one measurement instrument when
used by the same appraiser while measuring a single characteristic on a single part over an extended time period.
Dynamic Data
Time-Sequence data (opposite of static data). Example: control charts, run charts, or trend charts.
Education
Leads to increased knowledge. Not to be confused with training, which leads to measurable, value-added skills.
Effective Utilization
TOC Effective Utilization = Time Required for activity / Time Available for activity = R/A (R includes VA & NVA
activities) (A includes only the time when all 4 partners are available at the same time).
Knee typically occurs about 80%, Any resource above 100% is a constraint.
Empowerment
End-of-the-Line
Inspection
Enterprise Resource
Planning (EMP)
Entity
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Does not mean total freedom; it is the ability to make choices within boundaries. It is focused freedom, a shared vision
of what we want to create provides the focus & direcetion that ensures that empowerment does not lead to chaos.
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An inspection or check done at the end of a process. Also see Judgement inspection .
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The intergration of all of an organization's departments and functions onto a single computer system that can serve all
those different departments' needs.
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Product you are producing, stays in one place, & resources are brought to it (the ship, the valve repair bench, etc).
Enumerative data is data that can be counted (classifying people by age, income, etc). May be analyzed using chisquare, binomial, or poisson distributions.
Y = (a x 1) + (b x 2) + (c x 3) + d.
Distiance = (coefficient for 1st variable x 1st variable) + (coefficient for 2nd variable x 2nd variable) + (coefficient for
Equation
3rd variable x 3rd variable) + constant.
Is reducing variability & complexity when designing work flow.
Minimizing bending, lifting, twisting, keeping materials chest height. Work should flow downhill. Combine or
Ergonomics
eliminate handling operations. Use small containers when possible, have tools & materials close at hand.
Error
Deviation from a specified manufacturing or business process. Errors cause defects in products or services.
Error-Proof Devices
Mechanical, electrical, or pneumatic devices that signal existing errors or prevent potential ones.
Evolutionary Operations is a continuous improvement design & is typically a small full factorial design with possible center points. It is
Design (EVOP)
designed to be run while maintaining production; therefore, the inference space is typically small.
Factors that keep us from meeting goals are excess waste, variability, & WIP. Steps to improve simplify and reduce
Excess Factors
variability then reduce WIP.
The challenge is to reduce cycle time, costs, & improve quality while maintaining our output & productivity.
Execution Matrix /
Matrix expalins relationships of doing right or wrong, the right or wrong way.
Quality Value
Executive Leadership Senior managers who own the vision direction & business results, leads change & allocates resources.
Executive Presentation
General guidelines for giving executive presentations to include mid-project updates & final presentations.
Exponential Weighted Form of control chart used to detect small, incremental shifts in the average.
(EWMA)
Moving Average
Activities that an equipment operator can perform while the production line is still running. Compare to Internal
External Processes
Processes.
Exernal Processing
Refers to the extra operations such as rework, reprocessing, handling & storage, that occur because of defects,
(Waste)
overproduction & to much or to little inventory.
Making a prediction outside the range of values used to generate the line. This is risky because there is no way to
Extrapolation
know if the same relationship between the input & output exists beyond the measured range.
1. SIPOC (& Purpose)
5. Multi-voting
Facilitation Foundation 2. Flowchart / Value Stream Map
6. Prioritization
3. Brainstorming
7. Consensus Checking
Tools
4. Affinity / Interrelationship Diagraph
DOE, Number of variables that effect your experiment (inputs).
Enumerative Statistics
Factor
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Example: Studying different inputs that effect gas milage: Inputs: gas octane, speed, tire pressure, road condistions.
In this example the number of factors is 4
Detailed document which identifies ways in a process can fail to meet the customer requirements (CTQ). A living
document which lists all possible causes (failed CTP) of failure from which a list of items for the control plan can be
generated. A document which allows the team to track & priortize the actions required to improve the process.
FMEA will:
Investigate the top 80% of the ranked CTPs issues.
Identify ways the process can fail for these CTPs
Facilitate the documentation of a plan to prevent those failure.
Risk Priority Number (RPN) = Severity x Occurrence x Detection
A metric that measures the percentage of units or aspects of a service that are completed without error the first time
they go through your work process.
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Fractional Factorial
F-Ratio
Freedman-Turkey
Modification
Full Factorial
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"F" statistic. A higher value indicates themodel can detect a relationship between the factors & the response.
Ability to transform specific distributions using formulas for count & attribute data.
DOE, All combinations of the experiments factor levels. A one-half factorial experiment only uses half of the
combinations.
When performing a DOE, the number of runs is based on factorial, number of factors, number of levels & the number
of replicates.
159
196, 199,
201
Example: The number of runs for a full factorial, 2-level, 4 factor experiment with two replicas is: (1)x(2)4x2=32 runs.
Functional
Organizing similar resources together for mulitple products (fabrication shop, repair shop, etc.).
Any device used to obtain measurements. Frequently used to refer specifically to the devices used on the shop floor,
Gage
includes go/no devices.
Measurement Systems Analysis. A study of the Repeatability & Reproducibility of a measurement system.
Gage Repeatability &
Test is conducted to determine whether excessive variability within the measurement system, which include the total
Reproducibility (GR&R)
variability, the product variability, and the measurement system variability.
Gnatt Chart
Displays activities or events as a function of time (or sometimes cost).
Japanese for "in the area' or "go see" Implies that you can't fix anything from the computer or the desk. You must go to
the people/deck plates/shop floor/heart of the process & observe/interact with it.
Gemba
Graphic Analysis
Graphical Summary
Green Belt
Groupthink
Hard Cost Savings
Hawthorne Effect
Hayakawa
Herzberg's satisfiers &
hygiene factors
(dissatisfiers)
Hidden Factory
Hierarchy
Histogram / Relative
Frequency Graph
House of Quality /
Quality Function
Deployment / VoC
Human (Waste)
VI-88
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81-94
VI-54
15-16
V-50
This is vital to observing the "as-is" process. The "as-is" almost never matches what is written down in a manual.
Watch, listen, & record observations; don't judge or make conclusions. Ask questions.
A great way to see to get a new perspective of the "as-is" is to pretend to be the product or data as it moves through
the proecess.
Allows an organization to represent data (either attribute or variable) to evaluate central tendency, spread, detect
101-126
patterns in the data, & identify sources of variation.
Allows an organization to represent data (either attribute or variable) to evaluate central tendency, spread, detect
122-124
patterns in the data, & identify sources of variation.
Under the direction of a Black Belt; plans & executes the 7 week Rapid Improvement Event, assigned simple projects
identified during VSA, normally works for the value stream champion.
Unquestioned acceptance of opinions as facts.
Money that actually produces cash savings or profit increases & directly affects a company's profit-&-loss statement.
Compare to soft-cost savings .
The positive change in behavior due to being singled out for attention. First noted at the Hawthorne Plant of Western
Electric Company in the 1930's. Studies to determine the best level of lighting, length of workday, & length of rest
periods showed that performance was related more to team involvement that to the factors that the teams were
working to improve.
Stressed that in communicating the words or symbols are not the actual thing being discussed. Clarity of
understanding requires that the receiver "gets the message" that was intended to be conveyed, rather than receiving
just the words/symonls/etc.
Two categories into which work motivation falls: satisfiers & dissatisfiers. Disatisfiers include tings such as work
conditions, salary, company policies, & relationships w/supervisor(s). Satisfiers include responsibility, achievement,
advancement, & recognition. Dissatisfiers must be taken for granted (minimum requirements). Satisfiers then add
levels of motivation.
Adds no value to the customer & involves fixing things that were not done right the first time.
55
Chain of command, clear authority.
Bar graph of data, with each bar representing the data from a specific range of numbers. Examples include column
graphs (vertical) & bar graphs (horizontal). Require a minimum of 50-100 data points to effectiviely show the
distribution. Displays a static picture of process behavior. The shape of the resulting histogram can be used to assess; 101-105
1. Measures of central tendency, 2. variation in the data, & 3. Shape or underlying distribution of the data (when
compared to a normal distribution).
A structured process that provides a mean to identify & carry customer requirements through each stage of product &
service development & implementation. Quality responsibilites are effectively deployed to any needed activity within
a company to ensure that appropraite quality is achieved.
Skills & knowledge possessed by employees that the company never offers opportunity for them to utilize.
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IV-20
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Hypothesis Test
Hypothesis Test
One Sided Test/ One
Tail
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Tests whether a value is smaller or larger than a specified value. The hypothesis statement is in a specific direction.
Example: Ho: age of students 35, Ha: age of students < 35 or Ho: age of students < 35, Ha: age of students 35.
To determine if a shift has occurred in either direction. Sets the null hypothesis equal to a value.
Hypothesis Test
Example: Ho: age of students = 35, Ha: age of students 35.
Two Sided Test / Two
Note : you can determine if the average age is 35 but if it is not you do not know if the average age is less than 35 or
Tail
greater than 35.
How to determine the correct hypothesis test to use:
1. Define the problem
2. Determine if the problem should be evaluated as a one-tail or two-tail test.
3. Establish Ho & Ha
4. Select a significance level (degree of acceptable risk), usually .05 or .01.
Hypothesis Testing
5. Determine if the data is variable or attribute.
6. Use the Decision Tree Table to determine which decision tree to use.
7. Utilize the appropriate Hypothesis Testing Decision Tree to determine the correct test.
8. Enter the sample data.
9. Caculate the probability Value (P-Value)
10. Compare P-Value to Significance Level. If the P-Value is to the Significance level then the Ho is rejected.
Hypothesis to be Tested
Data Type
Decision Tree
(Testing of Equality of Population)
Means
to
a
Specific
Value
Variable
1
Means from Two Populations
Variable
2
Hypothesis Testing
Means from More than Two Populations
Variable
3
(Decision Tree Table)
Variance from more than Two Populations
Variable
4
Proportion of Defectives from 1 or more Populations
Attribute Binomial
5
Proportion of Defects from 2 or more Populations
Attribute Pisson
6
Comparing two Poisson Distributions.
Attribute Pisson
7
Testing equalilty of population mean to a specific value. Data type variable / continuous, where n is not > 30,
Hypothesis Testing
populations not normally distributed.
t-Sample T-Test
Example: Has the average button diameter from welder changed from its historical value?
See Hypothesis Testing Decision Tree #1.
Testing equalilty of population mean to a specific value. Data type variable / continuous, where n is not > 30,
Hypothesis Testing
populations not normally distributed.
1-Sample Wilcoxon
Example: Has the average button diameter from welder changed from its historical value?
Test
See Hypothesis Testing Decision Tree #1.
Testing Equality of population mean to a specific value. Data type variable / continuous, where n is >30.
Hypothesis Testing
Example: Has the average button diameter from welder changed from its historical value?
1-Sample Z-Test
See Hypothesis Testing Decision Tree #1.
Testing Equality of means from two populations. Data type variable / continuous, where the two samples are not
Hypothesis Testing
dependent, where n1, & n2 both do not exceed 30, both populations are not normally distributed.
2-Sample Mann
Example: Is the average button diameter from Welder A different from that of Welder B?
Whitney
See Hypothesis Testing Decision Tree #2
Testing Equality of means from two populations. Data type variable / continuous, where the two samples are not
Hypothesis Testing
dependent, where n1, & n2 both do not exceed 30, both populations are normally distributed and assumes equal
2-Sample T-Test
variances (F-Test).
(assumes equal
Example: Is the average button diameter from Welder A different from that of Welder B?
variances )
See Hypothesis Testing Decision Tree #2
Testing equality of means from two populations. Data type variable /continuous where two samples are not
Hypothesis Testing
dependent, where n1 & n2 both do not exceed 30, both populations are normally distributed & does not assume equal
2-Sample T-Test
variances (F-Test)
(does not assume equal
Example: Is the average button diameter from Welder A different from that of Welder B?
variances)
See Hypothesis Testing Decision Tree #2
Testing Equality of means from two populations. Data type variable / continuous, where the two samples are not
Hypothesis Testing
dependent, were n1 & n2 both exceed 30.
Example: Is the average button diameter from Welder A different from that of Welder B?
2-Sample Z-Test
See Hypothesis Testing Decision Tree #2
Testing Equality of means from two populations. Data type variable / continuous, where the two samples are
Hypothesis Testing
dependent.
Example: Is the average button diameter from Welder A different from that of Welder B?
Paried T-Test
See Hypothesis Testing Decision Tree #2
Testing Equality of means from more than two populations. Data type variable / continuous, where populations are
Hypthesis Testing
normally distributed.
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
1-Way ANOVA Test
See Hypothesis Testing Decision Tree #3
Testing Equality of means from more than two populations. Data type variable / continuous, where populations are
Hypothesis Testing
not normally distributed and samples contain outliers (Box Plot).
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
Kruskal-Wallis
See Hypothesis Testing Decision Tree #3
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Testing Equality of means from more than two populations. Data type variable / continuous, where populations are
not normally distributed and samples contain outliers (Box Plot).
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
See Hypothesis Testing Decision Tree #3
Testing Equality of means from more than two populations. Data type varible / continuous, where populations are
Hypothesis Testing
normally distributed & test shows significance (1-Way Analysis of Varaiance ANOVA).
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
Tukey's Test
See Hypothesis Testing Decision Tree #3
Testing Equality of Variance. Data type variable / continuous, where more than 2 populations are being compared,
Hypothesis Testing
populations normally distributed.
Bariett's Test
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
(Test for Equal Variance )
See Hypothesis Testing Decision Tree #4
Testing Equality of Variance. Data type variable / continuous, where 2 populations are being compared, populations
Hypthesis Testing
normally distributed.
F-Test
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
(2-Variances Test )
See Hypothesis Testing Decision Tree #4
Testing Equality of Variance. Data type variable / continuous, where 2 populations are being compared, populations
Hypthesis Testing
are not normally distributed.
Levene's Test
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
(2-Variances Test )
See Hypothesis Testing Decision Tree #4
Hypothesis Testing
Testing Equality of Variance. Data type variable / continuous, where more than 2 populations are being compared,
Levene's Test
populations are not normally distributed.
Example: Do the averagess of button diameters from Welders A, B, or C differ from one another?
(Test for Equal
See Hypothesis Testing Decision Tree #4
Variances )
Testing Eqaulity of populations (Testing Population Proportion Against a Specific Value), data type attribute /
Hypothesis Testing
discrete - binomial distribution.
Example: Has the % defective rate on line 1 changed from its historic value?
Case 1
See Hypothesis Testing Decision Tree #5
Testing Eqaulity of populations (Testing Equality of Proportion from Two Populations), data type attribute /
discrete - binomial distribution.
Hypothesis Testing
Example: Are lines 1 & 2 running at the same % defective rate?
Case 2
See Hypothesis Testing Decision Tree #5
Testing Eqaulity of populations (Testing Equality of Proportions from more than Two Populations), data type
Hypothesis Testing
attribute / discrete - binomial distribution.
Example: Has the % defective rate on line 1 changed from its historic value?
Case 3
See Hypothesis Testing Decision Tree #5
Hypothesis Testing
Testing Equality of population defect rates (comparing more than two poisson distributions), data type attribute /
1-Way Analysis of
discrete - poisson distribution.
Example: Does the number of seat defects differ among shifts 1, 2, or 3?
Variance
See Hypothesis Testing Decision Tree #6
(ANOVA )
Testing Equality of population defect rates (Comparing two poisson distributions), data type attribute / discrete Hypothesis Testing
poisson distribution.
Example: Is the number of errors on invoices differ between department A & B?
2-Sample T-Test
See Hypothesis Testing Decision Tree #6
Testing for Association (Comparing two poisson distributions), data type attribute / discrete (Contingency Table
Hypothesis Testing
Data).
Example: Does the type of defect that occurs depend on which product is being produced?
Chi-Square Test
See Hypothesis Testing Decision Tree #7
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DMAIC. Documents, monitors & assigns accountability for sustaining the gains made by the process improvements.
Reduce Waste - Eliminate complexity & variability
RIE - Rabid Improvement Event
Reduce Complexity - Simplify & Streamline
Improve Phase
6
Reduce Variability - Standardize on best practices; eliminate variation
Conduct Pilots - Test out improvements & evaluate results
Run pilots, gather data - test out, confirm data
Design controls - procedures to keep the improvements working as intended
Plan implementation - how to rol out the improvements to the workforce; communications, timing of changes,
training, etc.
RIE Results
Implementation Plan
Process Improvements
FMEA
Improve Phase (Outputs)
Pilot Results
DOE
Control System Design(s)
When P(A | B) equals P(A). Example: 50% of the time the coin lands on heads. 16.7% of the time the die lands on the
Independent Events
number 6. 16.7% of the time the die lands on the number 6 when the coin lands on heads. P(A | B) = 16.7% and P(A) =
16.7%. The die roll is independent of the coin flip (see Dependent Events ).
Is the operating range of the factors. It is where the factors range is used to infer & an output to a setting is not used in
Inference Space
188-189
the design.
Inferential Statistics
Informative Inspections
Inscribed Central
Composite (ICC)
Is the method of collecting samples of data & making inference about population parameters from sample data.
An error-proofing method that provides timely inofrmation about a defect so that a root-cause analysis can be
performed & process adjustments can be made before significant unmbers of defects are created.
Higher order design which requires five factor levels & are rotatable - that is, the variance is the same at all points
that are equidistant from the design center. The variance therefore remains unchanged when the design is rotated
around the center.
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Method of identifying the Imputs, Controls, Outputs, & Mechanisms to a process. You would describe a step in the
process & then list all o fthe inputs, controls, outputs, & mechanisms associated with each step.
Inputs can be from the previous step, external activities, Controls (policies, standards), Outputs can be to next step or
external activities, support mechanisms procedures, tools, training, roles & responsibilities.
1. Primarily used in the Define, Measure, & Analyze phases.
2. Useful in determining the boundries of the process you are working.
3. Useful when examining a process to ensure you did not miss any ICOM to the process.
Method of identifying the inputs & outputs to a process to avoid overlooking details of later or previous steps. You
would describe a step in the process & then list all of the inputs & outputs associated with each step. Inputs can be
Input, Process, Output / from the previous step or external activities. Outputs can be to the next step or external activitites.
IPO
1. Primarily used in the Define, Measure, & Analyze phases.
2. Useful in determining the boundries of the process you are working.
3. Useful when examining a process to ensure you did not miss any ICOM to the process.
Internal Processess
Interpolation
Interrelationship
Digraph (ID)
Intersection ()
Interval Data
Interviews
Inventory (Waste)
Activities an equipment operator must perform while a production line is idle. Compare to External Processess.
Making a prediction within the range of values used to generate the line. This is generally safe.
Draws arrows from "cause" to "effect". Counts arrows into & out of each card. Identifies root cause or root effect.
Technique created for the more complex problems or issues that management may face, where direct, exact
relationships may be difficult to determine.
Deals with probability. The intersection of two events (A B) is composed of all sample points that are in both A and
B. The same as P(A) x P(B).
Data is arranged in order & differences can be found. However, there is no inherent starting point & ratios are
meaningless (ex. Temperatures of steel rods (degrees F) after one hour of cooling).
Central Location: Arithmetic Mean. Dispersion: Standard or Average deviation. Significance Test: t-test, F-test, or
correlation analysis.
Specific form or survey. Fast way to get survey information back. Useful for collecting detailed information form a
small group. Requires more effort by survey administrator.
Any part of product that is not immediately required for a customer order, such as excess raw materials, Work in
Progress (WIP), & finished goods.
Inventory is not a desirable asset.
Pros - Smoothes production & improves response time.
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Cons - Ties up money/capital, cost money to handle inventory, increases variability, takes up space, may become
obsolete (need rework or scrap) hides problems, drives long cycle times & reduces number of learing cycles.
Inventory Turnover Rate
A metric that measures how quickly your company sells the products you produce.
/ ITO
An error-proofing method in which a quality inspector or operator compares the final product or part with a
Judgement Inspection
standard. It is a type of end-of-the-line inspection .
Just-Do-Its
Those items that can be changed quickly & without much effort.
Just-In-Time Inventory A method of invenotry management in which small shipments of stock are delivered as soon as they are needed. IT
(JIT)
minimizes stocking levels. Production & delivering the right items at the right time & in the right amounts.
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Kaizen
From Japanese 'kai' meaning 'change' & 'zen' meaning 'good'. Connotes "gradual & unending improvement".
Originates from Masaaki Imai, applies to doing little things better & setting & achieving increasingly higher standards.
Focus is on small, gradual evolutionary improvements (as opposed to tools like DMAIC that are designed for
revolutionary change).
Kanban (Automated)
An automatic limit switch must be installed on your equipment to keep the machines from producting too many units.
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Is the change in slop & typically occurs around 80% utilization. Utilization of 80-90% allows for increase in workload.
As variation increases the knee shifts to the left & knee occurs sooner when variability is high.
The set of active processes that supports organizational learning. Includes linkage of people to data. (user interface or
Knowledge Management 'processing layer'), data storage devices (data depository), & data layer (link across different media, such as radio,
video, text, & database)
Kurtosis
Is the measure of the peakedness of the curve (thinner or thicker). Departure from zero can indicate normality
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Lead Time
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The total time that elapses from the time the customer places the order to the time the customer receives the product.
Example: Place an order Monday at 10:00 & receive the part Tuesday at 11:00. The lead time is 25 hours.
Company strategy used by companies that want to be first to market. Strategy - Product mixes include:
Leading Edge - First to market; Fast follower - high quality, good price; Commodity Producer - High volume,
Leading Edge
Competitive, Trailing Edge - Customer needs the product.
Provides a systematic approach to cost improvement through waste reduction & elimination of non-value added
activiites.
Lean
Only produced what is needed, just when it is needed, exact amount needed & with a minimum of resources.
"Eliminate Waste". Experience has shown that 50-90% non-lean processes are waste.
Lean Action Plan
Develop action plans - What? Who? When? Document improved process, publish & post gains, & follow up.
Lean Board
is a visual control that will be used to manage all process improvement projects.
Will be directly accountable as the liason between that Activity & Task Force Lean for communication, coordination,
Lean Champion
integration, & alignment of lean deployment & implementation. Ensure all lean activities are conducted in alignment
with NAVSEA defined value streams.
1. Improve Quality
3. Reduce Lead Time
2. Eliminate Waste
4. Reduce Total Costs
Lean Enterprise Goals
In summary, it is an entire enterprise involved in improvement. As Womack puts it "make value flow". A lean
organization's primary goal is to deliver quality products & services the first time & every time.
Lean Manufacturing stresses the following:
Identify & minimize the non-value added cost drivers
Lean Manufacturing
Identify & minimize the negative impact schedule drivers
Summary
Minimize distractions & diversions to..
Focus on first time quality
1. Smooth-out production schedules
4. Maximize standardization of operations.
Lean Manufacturing
2. Shorten set-up times
5. Optimize automation of defect control
Tactics
3. Lay out prosses for shortest lead times.
6. Pursue continuous improvement
Financial, behavioral, & core-process measurements that help you monitor your organization's progress toward
Lean Metrics
achieving the goals of your lean initiative.
1. Executive leadership
5. Black Belt
Lean Roles &
2. Value Stream Champion
6. Green Belt
3. Lean Champion
7. Team Leader
Responsibilities
4. Master Black Belt
8. Team Member
1. Know what is customer value
2. make the value stream flow; eliminate variation & waste
Lean Six Sigma
3. Focus on the constraints to deliver customer value
Principles, Value Stream
4. Get by-in & commintment to improve
Principles
5. Use the right tool at the right time (not a Value Stream Principle)
6. Continuously improve processes & products.
Executive Planning Session (EPS) - BB/Sensei, 2 days, 4-6 Value Streams
Value Stream Analysis (VSA) - BB/Sensei, 2-3 days, identify improvement areas
Lean Six Sigma Structure Rapid Improvement Plan (RIP) - BB/Value Stream Champion
Items for the BB that are derived from the RIP -RIE / BB Projects / Just-Do-It
Big Picture
Items for the GB that are derived from the RIE - 5S / Standard Work / Flow / Pull
Team Leader & member will participate in events with GB as Facilitator
Lean SS Tool Box
Various tools to implement Lean Six Sigma (work Book for listing of tools)
Lean System Thinking Value emphasis & waste reduction = Lean System Thinking
Lean Transformation Top-down & bottom-up commitment & buy-in is the key to transformation
There are three different learning styles 1. Visual Learner 2. Auditory Learner 3. Kinesthetic Learner
People remember 10% of what they hear / 16% of what they read / 20% of what they hear & see / 70% of what they
Learning Styles
hear, see, & respond to / 90% of what they hear, see, and do.
Level of Significance / The degree of risk deemed acceptable of rejecting the null hypothesis when it is true. In class we have been using 5%,
Significance Level
it could be more or less depending on the criticality of making an error.
DOE, Tested for a factor (speed tested at 50mph & 70mph would be a 2 level experiment).
Note: each factor does not have to have the same number of levels (tire pressure tested at 10psi, 40psi, & 60psi, is 3
Levels
levels & can be tested with the 2 levels of speed).
Likert scale
Ranking scale commonly used for customer satisfaction (on a scale from 1 to 5, how satisfied are you with..)
The equation for any line can be represented by the formula: Y = mx + b
m = Slop of the Line (rise /run)
Linear Equation
b = point where the line crosses the Y-axis (where X = O)
x = Process input value, for which we hope to accurately estimate process output
Y = Process output that we hope to predict given a know process input (X)
A method of determining the relationship between a process output (Y) & one input factor (X). An equation is
Linear Regression
developed to produce a line that best fits the data. The line can be graphed to show the relationship between the input
& output. The equation is then used to predict values of Y as X changes.
Measurement Systems Analysis. Is the varying difference between measured values & actual (or referenced) values.
Determines whether a bias exists in the measurement system over its operating range.
Linearity
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For example, themometers or scales may be biased when measure at the low end of the scale, if the instruments are
intended for large values of meausre.
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Link/Logit Function
Little Error
Load Balancing
Load Leveling
Location Indicators
Long Term Data
Long Term Drift
Loss of Society
Lot Percent Defective
(LPD)
Lot Size
Major Defect
Managerial Grid
Marketplace
Mastow's Hierarchy of
Needs
Master Black Belt
Matrix Data Analysis
Matrix Diagrams
Matrix Organization
Mean / /
Mean Square of
Regression (MSregression)
Mean Square of Residual
(Error)
Measles Chart / Defect
Location Checklist
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Used to collect locational data. Picture of the inspected item, on which an inspector marks the location of defects using
a simple check, X, or dot.
DMAIC. Determines the baseline & target performance of the process, defines the input / output variables of the
process & validates the measurement system.
Determine Process Inputs X's Key Input Process Variables (KIPV)
Determine Process Inputs Y's Key Output Process Variables (KOPV)
Devise data collection & sampling
Measure Phase
Determine Process Capability
Determine Cause & Effect Relationships
Develop Detailed Process Map
Observe "As Is " Baseline: What is reality (vs. "on paper") & in-depth
Measure Actuals: How well are we really doing, in detail
Together with Define, should represent about half of the total project time.
Baseline Measures of Current Performance Key Input Process variables "X's"
DPMO
Key Output Process Variables "Y's"
Measure Phase (Outputs)
Z values
Validated Financial Goals
Cpk
Quantified Objectives
Measurement Error
Error of a measuring instrument is the indication of a measuring instrument minus the true value.
A collection of everything involved in the measuring process - Personnel, procedures, measurement device, & possibly
Measurement Success
software. We are concerned about the measurement system because it could introduce error.
Measurement System Is a series of designed tests that allows an organization to determine whether their management system is reliable.
Analysis (MSA)
Which MSA to use is dependent upon the data variable of attribute.
Measurement of Spread Includes the range, the deviation, the variance & the standard deviation.
Median
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The middle value when the data is arranged in ascending or descending order & is one of the three Central Tendency
the other two being Mean & Mode . Example: For an odd set of data (1,2,3,4,5 median = 3). For an even set of data,
the median is the average of the two middle values (1,2,3,4,5,6 median = 3.5).
Why do we use the median sometimes instead of the average? In our class the average salary is probably less then
$100,000. If Bill Gates joined our class & we averaged his salary in the new class average would be in the millions. The
new class average would not be a fair representation of our class. So, by picking the middle number we get a better
representation of our class salaries.
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Meeting Conflicts
Meeting Preparation
Milestone
Minor Defects
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Usually as a result of Dysfunctional characters; shortcutters, dominator, storyteller, pete repete, silient one, whisper,
workaholic, that'll-never-work, dramatic exit. Requires immediate action as it is a team problem/issue.
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Use appropriate levels of intervention: Nothing, off-line conversation (as a group or one on one), in-group
confrontation, voluntary dismissal.
Know the purpose of the first meeting
Know the project goals for the first few meetings
Educational goals for the first few meetings
Be prepared!
Marks significant events or indicates a specific point in time in a project.
A defect that is not likely to reduce materially the usability of the unit.
Example: A scratch on the side of a car.
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Enduring statement of purpose which describes what the organization does, who it does it for, & how it does it.
Should include specific quantitative goals, generally refers to day-to-day views. The mission statement should address
how the company will realize its vision & strategic goals. Should also include concise statements of objectives to be
achieved. What (functions, products, services) / Who (customers, clients, groups) / How (activities, technology,
methods, processes).
The most frequently occuring number(s) in a data set & one of the three central tendency the other two being Mean &
Mode
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Median . Example : (1,2,3,3,4,5) mode = 3.
A product or process Value Stream that is a model of full Lean applications.
Key elements of a model value stream; single product / process, strategic system view, use of all lean concepts & tools,
Model Value Stream
repeated application of lean, end-to-end application, showcase (i.e. Portsmouth Naval Shipyard shop 31 ball valve
shop).
A piece of equipment that can not be moved or a floor plan that can not be changed must be taken into consideration
Monuments
when designing a new layout for the work processes.
Motion (Waste)
The extra steps taken by employees & Equipment to accommodate inefficient process layout.
Motion Step Method
An error-proofing method that involves checking to make sure actions are performed in the correct sequence.
Muda / Waste
Any activity that takes time, resources, or space, but does not add value to a product or service.
A measure of correlation between the dependent variables & can be quantified with the Variation Inflation Factor
Multi-colinearity
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(VIF)
Relates multiple x's to y. It has multiple regressor (x) variables such as x1, x2, & x3. Its model is linear with respect to
Multiple Linear
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coefficients (b).
Are practical graphical tools that illustrates how variation in the input variables (x's) impacts the output variable (y)
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Multi-Vari Chart / Study
or responses. There are two types: 1. Nested 2. Crossed
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Mutually Exclusive
If even A contains no sample points in common with event B, then they are said to be mutually exclusive.
Events
Test that breaks out personality into four letters:
(E)xttrovert vs. (I)ntrovert
(T)hinking vs. (F)eeling
(S)ensing vs. I(N)tuitive
(J)udging vs. (P)erceiving
Useful for team building as well as for ensuring that all personalities & perspectives are equally represented.
Myers-Briggs Type
Answers the questions:
Indicator
1. Where do you prefer to focus your attention
2. How do you acquire information
3. How do you make decisions
4. How do you orient toward the outer world
Is every possible observation or census, but it is very rare to capture the entire population in the data collection.
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N (Population)
Symbol (N) for population.
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Example: All 15,000 people who live in Suffolk
A subset of a population, symbol (n) for sample.
Why take a sample?
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1. It is often impractical or too costly to collect all the data (population)
n (Sample)
2. Sometimes data collection is destructive
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3. We are able to draw sound conclusions from a relatively small amount of data
Example: We survey 100 people who live in Suffolk.
All the dots line-up on a straight line with Negative slope.
Negative Perfect
Example: What is the relationship of the sale of icecream & temperatrue.
If the sale of icecream decreases directly with the increase of temperature then there is a negative perfect correlation.
Correlation
The Correlation Coefficient would be -1.
Negative Skew
When the 'tail' of a distribution points to the left (toward the 'negative' numbers on the number line).
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Multi-vari charts/study, which are conducted without disrupting the routine of the process
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Factor which cannot be controlled by the designer & which can cause unknown variability or an error in the response
Noise Factor
factor.
Data consists of names or categories only. No ordering scheme is possible. (example: 17 brown, 15 red, & 11 green
Nominal Data
marbles)
Central Location: Mode. Dispersion: Information only. Significance Test: Chi-square.
Mission Statement
Non-Destructive Testing Tests that do not impair future use of a sample, Fluoroscopy, Force Measurement, Gamma Radiography, etc)
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Non-Normal Distribution
However, we can "normalize" non-normal data. Everyone's height may not be normal, but the averages of each group
(age & gender) are normal. By grouping the data you normalize the data. This is due to the Central Limit Theorom:
1. Take samples from non-normal distributions
2. Calculate the average of each sample
3. Plot the averages
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Non-Value Added
Non-Value Added
Essential
Normal Distribution /
Bell Curve
The area under the curve represents 100% of the possible observations or can be stated as "1". The distribution of
data points have cariation that is random and symmetrical around a center. This produces a "bell curve " shape.
Normal Probability Plot Used to graphically & analytically perform a hypothesis test to determine if the population distribution is normal.
Normality
Normality Test
(Anderson Darling )
Normalized Yield (Yna)
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Most statistical tests depend on normality. Normal data can give projections on what will occur & how often.
Examples of normality in nature are IQ or blood pressure as none of these values can be less than 0.
Test that indicates how normal a set of data is. The higher the P-Value the more normal a set of data is. If they P-Value
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is equal to or less than a specified alpha risk (the typical alpha risk is 0.05) there is evidence that the data does not
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follow a normal distribution.
Average yield per opportuntiy is based on the Poisson Distributionl.
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Null means "nothing". There is nothing or no data present to prove that a change has taken place. A statement of no
difference between the before & after states (similar to a defendant being not guilty in court). Where before equals
after. The null hypothesis is written: Ho=X. The null & alternate are mutually exclusive of each other.
Occurrence
Odds
One-Piece Flow
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The movement of products through the manufacturing process one unit at a time. Compare to batch processing .
A metric that measures the percentage of units you produce that meet your customers' deadlines.
Quantifies Alpha & Beta risk. OC Curve is a graph of the percent defective in a batch versus the probability that the
sampling plan will accept that batch. The 'ideal' OC curve has zero alpha or beta risk.
An activity or activities performed on a product by a single machine. Contrast with Process .
A measured characteristic on a unit that needs to conform to a customer standard (e.g. the diameter of a pen, the time
Opportunity for Defect
it takes to deliver a package, etc)
Used to predict an outcome based on the settings given. Also, if given a target, one can work backwards by changing
Optimization DOE
the settings to get to the desired target.
Order Fulfillment Lead The average time that elapses between your company's receipt of an order from a customer & when you send an
Time
invoice to your customer for the finished product or service.
Data is arranged in some order but differences between values cannot be determined or are meaningless (example:
Ordinal Data
number of low, middle, & high income consumers using a product).
Central Location: Median. Dispersion: Percentages. Significance Test: Sign or Run Test.
Wrong process settings, error in measurements, subgrouping or plotting, incomplete operation, machine & tool
Outliers
breakdowns, power surge, etc.
Overall Equipment
A metric that measures the availability, performance efficiency, & quality rate of your equipment. It is used to identify
Effectiveness
the worst problems.
This occurs when operations continue after they should have stopped.
Overproduction (Waste) This is the worst type of waste, as products are being produced in excess quantities & products are being made before
you customers need them.
Conceptually, all hypothesis tests are the same in that a signal-to-noise ratio is calculated based on the before & after
data. This ratio is then calculated into a probability, called the P-Value, which is compared to the decision criteria, the
risk.
P-Value / Probability
It is the probability of wrongly rejecting the null hypothesis if it is in fact true. It is equal to the significance level () of
Value
the test.
Typically we reject the P if it is less than 0.05 Why 0.05? Because we set at 5% Remember: if the P is low the null
must go.
P(A+B)
Probability of A or B. See P(A B)
P(AB)
P(AB) = P(A) x P(B|A). Multiplicative law applies
P(A&B)
Probability of A & B. See P(AB)
Conditional probability of even A given that B has occurred. P(A|B) = P(AB) / P(B). Note that if P(A|B) = P(A) then
P(A|B)
the two events are independent (Example: Die roll & Coin flip). If not equal, the two events are dependent (Example:
Rain & Cloudiness).
P(AB) = P(A) + P(B) - P(AB) = Probability of A or B. Additive law applies.
P(AB)
Parameter
Is the information from samples that can be used to "infer" or approximate a population characteristic.
Used to focus efforts on the problems that offer the greatest potential for improvements by showing their relative
frequency or sixe I na dexcending bar graph. Graphic display of the principal of the 'vital few' & the 'trivial many' (also
Pareto Chart
called the 80-20 rule).
Pareto charts are better for attribute data & unusual to use for variable data.
Percent Contribution
Is the preferred Six Sigma metric. It is a ratio of variance.
(epsilon squared)
Perceptual Map
A specialized matrix diagram that captures the perceptions of the customer.
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On-Time Delivery
Operating Characteristics
Curve
Operation
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Performing
Permutations
Pilots
Poke-Yoke / Mistake
Proof
Positive Perfect
Correlation
Positive Skew
Potential Failure Mode
Process Potential
Capability / Pp
Process Overall
Capability / Ppk
PQ Analysis Table
Precise
Precision / Variability
Precision to Tolerance
Ratio (P/T)
Precision to Total
Variation Ratio (P/TV)
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Stage 4 of team development (forming, storming, norming, & performing). Team has matured, smooth cohesive unti,
focus on process, feelings of satisfaction, achieving goals.
An ordered arrangement of n distinct objects is called a permutation. The number of ways of ordering n distinct
objects taken r at a time is designed by the symbol nPr or P(n,r) or Pnr. Calculated as n!/(n-r)!. Permutations take
order into account, therefore the items ABC, ACB, CAB, CBA,BAC & BCA are all counted as different. unlike
combinations.
Is a way to beta-test changes before full-scale implementation.
Plackett-Burmand Design Are orthogonal designs of Resolution III that are primarily used for screening designs.
Poisson Distribution
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Is the measurement system standard deviation to the total observed standard deviation.
Preventive Maintenance Implies that an interal-based service plan with the intervals based on data.
Define Phase, Include such items as conformance quality, color range, & average age of receivables. See also
Secondary or Consequential Metrics.
Used to decide on which items of the short list should be worked on first. All items are important & should be worked
Prioritization
though.
Used for prioritization of options for decision making. Involve weighting of certain criteria & evaluation of various
Prioritization Matrix
factors against each of the criteria.
The mechanism by which we take statistic & begin to make inference about a population
Mathematically, probability is the ratio of the chances favoring an event to the total number of chances both for &
Probability
against the event. Probability is always expressed as a ratio.
Define Phase. Properly identify the steps needed to properly define the problem / opportunity to include: defining the
Problem Definition
scope / boundaries, sponsor, customer & the case for action.
7 steps include:
5. Select & implement a solution; Improve
1. Identify problem; Define & Measure
6. Follow up to evalutate the effect; Control
Problem Solving Methods
2. List the possible root cause; Analyze
7. Standarize; Control
3. Search most likely root cause; Analyze
4. ID potential solutions; Improve
Define Phase. Should detail the issue that the team wants to improve, as well as a baseline metric & the anticipated
Problem Statement
improvement in that metric. The problem statement should not offer a solution.
To develop a statement fill in the 'blanks' "blank" causes "blank" resulting in "blank".
Process
A series of individual operations or action required to create a design, completed order, or product.
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Japanese for 'mistake-proof'. It is a better way to stop mistakes from happening. Old way was to have motivational
talks, retrain & reprimand the workers.
Preventative: Improve the process so it is impossible to make a mistake (can't put a 3.5" computer diskette in upside
down).
Detection: If you can not make it impossible to make the mistake, make it easily detectable so the user can quickly
correct the problem (car door beeps when door is open & keys are left in the car). Sometimes (although not ideally)
may include at-the-operation inspection.
All the dots line-up on a straight line with positive slope.
Example: What is the relationship of sale of ice cream & temperature
If the sale of ice cream increases directly as the temperature increases then there is a positive perfect correlation. The
Correlation Coefficient would be +1.
When the 'tail' of a distribution poins to the right (toward the 'positive' numbers on the number line).
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Manner in which the process could potentially fail to meet the process requirements &/or design intent.
Long-term capability indices, takes into account subgroup drift, using 6 standard deviations.
Calculated without regard to location of the data mean within the tolerance, so it gives an indication of what the
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process could perform to if the mean of the data was centered between the specification limits.
Pp = (USL-LSL) / 6
Long-term capability indices, takes into account subgroup drift, using 3 standard deviations.
Takes into consideration location of the data mean within the tolerance, it is a good indicator of the process
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performance the customer is seeing.
Ppk = min( - LSL, USL - ) / 3 (use the lesser (min) of LSL or USL)
A tool that helps employees understand the types of products your organization produces & the volume that your
customers demand. (the P stands for products ; the Q stands for quantity of production output).
Off the mean "the bull's eye" but very small spread (tightly grouped results).
Measurement Systems Analysis. Variability in the measurement system must be very small compared to what you are
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measureing. It includes both Repeatability & Reproducibility.
Is the ratio of 5.15 times the measurement system standard deviation to the tolerance (USL-LSL)
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Primary Metric
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Process Capability
Project (Management)
Project (Plan)
Project (Scope)
Project (Selection)
Project (Success)
Project (Tracking)
Pull System
Purchasing
Push System
Quantative Data
Quality
Quality Manual
Quantitative Data
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A tool for gathering information about the sequence of operations that make up a work process & the time required to
complete each operation.
Used to chart the course of events from a start point to a final complex goal. Various events are charted &
contingencies are planned for based on uncertainty of obtaining intermediate goals. Similar to contingency planned or
risk management. May be developed by using a Gantt chart along with the question 'what if' associated with each step.
Primarily used for new, unknown processes.
The time that batches or lots must wait until the next process begins.
Executive Planning Session (EPS) - BB/Sensei, 2 days, 4-6 Value Streams.
Value Stream Analysis (VSA) - BB/Sensei, 2-3 days, Identify improvement areas.
Rapid Improvement Plan (RIP) - BB/Value Stream Champion
Items for the BB that are derived from the RIP-RIE / BB Projects / Just Do It
Items for the GB that are derived from the RIE-5S / Standard Work / Flow / Pull
Team Leader & Member will participate in events with GB as facilitator.
CSSBB
PRIMER
VII-52
IV-65
9
IX-70
The number of parts processed through an operation. Determined by process characteristics rather than order size.
Identifies the flow of events in a process as well as the imputs (x's) & outputs (y's) in each step of the process.
A tool that shows the machines & equiment that are needed for processing a component or completing an assembly
process. Aids in grouping your manufacturing tasks into work cells.
A breakdown of the organization's engineering, manufacturing, service, & transactional process. CTPs assembly
process, aids in grouping your manufacturing tasks into work cells.
Organizing resources to dedicate processes to a single product/product family or service to reduce costs for similar
repetitive tasks.
A hierarchical breakdown of the organization's product or service which allows a visualization of the CTC, CTD, & CTQ
characteristics at each level of the hierarchy.
Event-oriented project management tool that requires task definition & duration, plus specificiation of the
relationship between tasks & resources. PERT is useful for complex projects, with many parallel, related tasks, whose
completion times cannot be estimated precisely.
Trouble signals, wrong project selection:
Failure to get management buy-in
Dissatisfied team members
Inability to get needed resources
Inability to make improvements
No ROI
Frustration at all levels of organization
Assigns roles, responsibilities & timing of deliverables to allow each person to know wht his or her tasks are & when
they are due. It also provides the project manager with a way to monitor progress in order to take action when
appropriate.
Identifies all the work to be done, who will do the work, & when the work will get done.
Considerations when defining:
Boundaries of the project
(No - World Hunger Issues)
Start & end points of the process
Needs to be within the teams circle of influence
Neither too broad nor to narrow
General guidelines for selecting the right or wrong project, scope, ideas etc. Why one project over another?
Three Critical factors to PI Process, Project Success
1. Right scope / manage scope creep
2. Dedicated expert time & attention
3. Team accountability
Many companies struggle with PI Projects 70% Cancel or Inactive / 87% Behind schedule or Completed late /
Primary cause of late projects is resource commitment to PI.
Only 10-30% of the factor contributing to project success are technical in nature (hard skills) / 70-90% are related to
people & how they are organzied (soft skills).
It is easy for a project to take longer than it should. To stay on track & to ensure that you do not "skip" steps in the
process improvement process you can:
1. Use status sheets to track the progress of your project.
2. Use milestones - significant events that will be completed by a set date.
Example: Date to have first team meeting.
Is a system in which goods are built only when the next process has capacity to consume it. Nothing is produced until
it is needed or wanted downstream. Use a kanban between operations to signal when work should be produced
Example: a tray between assembly & test. If the tray is empty that is the signal to assembly to assemble the next motor
and put it in the tray for test.
The tasks, activities, events, & processes required to facilitate the acquisition & delivery of a good or service required
by an end user.
Is a system where work is performed to a schedule or plan & sent to the next process without regards to demand from
that process. Make all you can .
Tells us about the "quality" of the data. It is described by using words.
Example: The job is over budget, The runner ran fast, Threre were a lot of defects.
The problem is we do not know how much the job was over budget, how fast the runner ran, or how many defects
there where.
The total ability, features & characteristics of your products & / or services to conform to your customers wants &
needs.
Provides in writing a description of the organization & the policies of the quality assurance system.
More descriptive than qualitative data it "quantifies " the data
There are two types of quantitative data Attribute/Descrete & Variable/Continuous.
VI-27
90
20-23
20-23
V-42
V-39
11, 18
V-35
12,16
V-40
V-32
IV-18
V-40
V-40
17, 83
II-42
IX-8
II-43
IX-8
Quick Changeover
Range
Rapid Improvement
Event (RIE)
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36
VII-8
Preparation, 3 weeks - Gather data, communicate the event, form teams, prepare the area, & arrange support.
Event Execution, 1 week - See the waste, plan & implement the future state, debug & standardize.
Follow-up, 3 weeks - A key to success in continuous process improvement. Follow-up helps ensure the
accomplishments of the event are sustained.
There are three categories:
Rapid Improvement Plan
1. Black Belt Projects
2. Rapid Improvement Events
(RIP)
3. Just-Do-Its
An extension of the interval level that includes an inherent zero starting point. Both differences & ratios are
meaningful (example: Product A costs $300 & product B costs $600 (B is 2x the cost of A)).
Ratio Data
Central Location: Geometric or Harmonic Mean. Dispersion: Percent Variation. Significance Test: t-test, F-test,
Correlation Analysis.
Sampling so that all common cause variation is captured, & special cause variation is indicated by differences between
Rational Subgroups
subgroups.
VI-39
X-5
Reactive Maintenance
Maintenance activities that are performed after a piece of equipment breaks. Compare to planned maintenance .
Recording Checksheet
Red Flag Condition
Regression
Residual
Residual Plots
Resolution (DOEs)
Return on Investment
(ROI)
Risk Management
CSSBB
PRIMER
114
55-60
VI-46
52
VIII-2
VI-71
VI-70
IX-9
IX-9
108
III-21
VIII-117
VIII-116
IX-10
135
VII-74
VIII-131
109-111
VII-19
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MEMORY
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PRIMER
Sample Percent Defective Number of sample defectives divided by the sample size & then multiplied by 100 (d/N x 100).
Sampling Errors
Scatter Diagram
Scope
Screening DOE
Secondary Metrics
Self Inspection
Service Quality
Set-Up Time
In sampling we never know whether the lot is good or bad. We only know what the samples tell us.
Used to determine whether or not a relationship exists between two factors.
Will not prove that a cause & effect relationship exists.
Enable teams to test hunches between two factors.
The boundaries of the project. the start & end points of the process. Should not be too broad or too narrow & needs to
be withing the team's circle of influence.
Process used to go from a large number of factors (more than 3) to find the critical few variables.
Define Phase. Same as consequentail metrics. Include such items as defects per unit & technical support.
An inspection performed by the operator at his or her own workstation or area.
The single most important form of quality
The time to do all activities required to change over from the end of one activity to the start of another activity. It is
the preparation time expended prior to starting the primary task. Set-up time is NVA.
107-108
VII-16
185
IX-10
42
55
Reducing set-up time gives you flexibility as you can change from one product or service quicker which saves money.
FMEA. Is an assessment of the seriousness of the effect, the potential failure mode, to the customer. Scale that
determines each effect of failure.
Effect of Failure scale 1 = None 10 = Hazardous - w/o warning
A visual control technique that uses an image of an object to show where it should be stored.
Shadow Board
Plan-Do-Check-Act. Continuous improvement technique. Same as Demming Cycle, PDSA (Plan-Do-Study-Act), or
Shewhart Cycle
PDCA Cycle. Inventry by Walter Shewhart, but popularized by W. Edwards Demming in Japan.
Is the change sudden or gradual? Introduction of a new material, machine, operator, or test set. New process controls,
Shift
maintenance, process changes, change in proportion of materials from different sources.
Signal Factor
Action used to obtian a response.
Noise factors are not controllable by the designere. Signa (mean) my be desired to be large, small, or close to some
normal value. A smaller SN ratio is desirable when shrinkage, wear, or deterioration concerns are at issue. A high SN
Signal Noise / SN Ratio
ratio is desirable when life, strength, or fuel efficiency are concerns. An average SN ratio is desirable with clearness or
weights.
Variation, is data that is collected from the process in subgroups. Each subgroup is collected over a short length of
Short-Term Data
44, 62, 64
time to capture common cause variation only. Data is not colleced across different shifts because variation can exist
from operator to operator.
Deals with probability. A simple event cannot be decomposed. Example: A coin must be either heads or tails. A die
Simple Event
rolled will be either 1,2,3,4,5,6. No compounding is occuring.
Severity
Simple Linear Regression Relates a single "x" to a "y". It has a single regressor (x) variable & its model is linear with respect to coefficients (a).
Sink Point
VIII-120
56
II-19
XI-16
XI-20
VII-25
170-175
VIII-2
table 264
IV-67
55
128
30, 41
VI-7
Sparsity of Effects
Principle
Effects of a nonrandom, intermittent, & uncontrolled variation in the process. Caused by a unique reason,
Special Causes Variation unpredictable & difficult to control. Generally only about 20% of causes. Can be addressed on a case-by-case basis.
May be operator dependent. (Example: The machine broke).
Upper & Lower Specification Limits are specified by the customer
Anything to the left of the LSL & anything to the right of the USL are beyond the customer requirements & therefore
Specification Limits
defective.
Situation - Understand the customer's situation
Situation, Problems,
Problems - Ask what problems the client is facing that are precluding success
Ideas, & Implementation,
Ideas & Implementation - As you listen, prepare mental models of what you can offer
Next Steps (SPIN)
Next Steps - Ask the client if they want help
Sponsor
Team initiators, resource supports, boundary managers, & coaches. Generally not on the team.
Stakeholders
Measurement Systems Analysis. The variation in measurements obtained with one measurement instrument when
used by the same appraiser while measuring a single characteristic on a single part over an extended time period.
The (positive) square root of the variance it also represents the spread of the data. Symbol for population, -hat for
Standard Deviation / /
a Sample (N-1).
Sigma / s
For formula see Standard Deviation Calculation.
1. Subtract each data point (in this case from a population) N = (1,3,4,5,7) from the Mean = (4).
2. Square each number separately that was calculated in Step 1.
3. Total each squared number = 20 & divide by either (N or n) (Note: If the data set is from a population you divide by
all the data points (N), If it is a sample you divide by the data points (n) - 1 this is the Varaince (also refered to as the
spread of the data).
4. Divide 20 by 5 (total # of data points (N)) Variance = 4
5. Take the square root of 4 = Standard Deviation = 2.
Standard Deviation
Note: The reason you "-1" from the # in your sample is because you have some uncertainty with a sample you are not
Calculation
using every data point you would if you had the entire population. Therefore, dividing by a smaller number will give you
a larger standard deviation & a small standard deviation is better than a large one because the smaller standard
deviation represents less spread of your data from the average.
Example:
1-4 = -3 then square the # -32 = 9
3-4 = -1 then wuare the # -12 = 1
4-4 = 0 then square the # 02 = 0
Expected deviation of data about predictive "surface.
Standard Error
Standard Operating
Reliable instructions that describe the correct & most effective way to get a work process done.
Procedures (SOP)
Standard Operations The most efficient work comination that an organization can put together.
Standard Operatings
A tool that enables you to study the work sequence for all your organization's work processes.
Comination Chart
According to Sharma (2001), standard work is "the best combination of mechines & people working together to
Standard Work
produce a product or service at a particular point in time ."
Static Data
Summary data (not in time sequence). Opposite of Dynamic Data.
By definition is a number that describes sample characteristics. Statistics can describe, analyze & monitor data.
Statistic
Statistics make it possible to make predictions of the effects of making a change to a process. Statistics can determine
the capability of a process in meeting customer demands.
Determining when differences in results might be due to random variation; likewise, when differences cannot be
Statistical Inference
attributed to random variation (Confidence intervals & Hpothesis Tests ).
The application of statistical techniques to understand & analyze variation in a process.
Statistical Process
Analyze & characterize the outputs of a process. Achieve & maintain a state of statistical control of that process.
Control (SPC)
Obtain a systematic reduction in the variablility of key output characteristics of the process.
Effectively a histrogram made up of the actual values, rather than simple bars. Has the same benefits as a histogram
Stem & Leaf Plots
but without losing the actual data.
Stage 2 of team development (forming, storming, norming, & performing). Individualistic thinking, tug of external
Storming
loyalties, fluctuating attituges, confrontations, team's task sinks in.
Is the process by which the guiding members of an organization envision its future & develop the necessary
Strategic Planning
procedures & operations to achieve the future.
A technique by which data is sorted into various categories in order to surface patterns & differences.
Example: Collecting data;
- on the weekend or on weekdays.
- in the morning or afternoon
Stratification
- on the 2 door or 4 door model of a car
- in the production department or engineering departments
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CSSBB
PRIMER
190, 201
44
75, 78,
79, 86,
241
III-8
36-37,
146
VII-8
36-37
146
VII-9
52
63
91
VI-7
33-48
VII-2
VII-22
43
X-2
VII-15
IV-27
If you collected the number of safety incidents & categorized them by department you may see a pattern or difference.
To reduce the time spent in non-value-added steps, such as downtime, travel time, & inspecting or reworking
materials.
Strengths Weaknesses, Design & Measure phases. Strengths (internal, good), Weaknesses (internal, bad), Opportunities (external, good), &
Opportunites, Threats Threats (external, bad). Method used by companies to evaluate themselves & plan a strategy.
Primary weakness is objectivity when the SWOT is being performed.
(SWOT Matrix)
A group of units taken from a larger collection of units, used to determine information to support decisions about the
Subgroup
larger set.
An inspection that is performed after on operation in the production process is completed, by employees who perform
Successive Inspection
the next operation in the process.
Streamline
IX-71
X-5
42
A stocking system in which materials are stored by the operation that produces them until they are retrieved by the
operation that needs them. When a store is full, production stops.
The tasks, activities, events, & processes required to facilitat the ongoing interface between suppliers of goods &
Supplier Relations
services to the end user.
Suppliers - Providers of the process - Step 6
Supplier, Input, Process, Inputs - What the process needs to function - Step 5
Output, Customer
Process - Top level process description with start & end - Steps 1 & 2
Outputs - Results of the process - Step 3
(SIPOC)
Customer - Receivers of the process outputs - Step 4
Only moderately useful (often subjective, skewed toward the negative, skewed by regional personalities, & minimally
useful with "thrilling" information). Various methods of surveys, including written/mail surveys, telephone surveys,
Surveys
in-person interviews, focus groups, cutomer councils, joint planning meetings, panels, comment cards/suggestion
boxes, observation, mystery shoppers, & listening posts.
Sustainment
Consistently adhering to process improvements, ensuring all benefits are fully realized.
When oppiste sides of a part, tool, material, or fixture are, or seem to be, identical. The identical side of a symmetrical
Symmetry
object can be confused during an operation, resulting in errors. Compare to asymmetry .
Tables
Chi2 Distribution Tables with v Degrees of Freedom
(BB Memory Jogger)
Tables
F Distribution Upper 01% Points
(BB Memory Jogger)
Tables
F Distribution Upper 05% Points
(BB Memory Jogger)
Tables
F Distribution Upper 10% Points
(BB Memory Jogger)
Tables
F Distribution Upper 25% Points
(BB Memory Jogger)
Tables
Normal Distribution
(BB Memory Jogger)
Tables
Ordinates of t Distribution with v Degrees of Freedom
(BB Memory Jogger)
Tables
Partial DPMO to Z table
(BB Memory Jogger)
Tables
Probability Points of t Distribution with v Degrees of Freedom
(BB Memory Jogger)
Tables
Sigma Conversion Chart
(BB Memory Jogger)
Tables
Z to DPMO Conversion Table
(BB Memory Jogger)
Tables
Standard Z table
(BB Memory Jogger)
Knowledge that resides in the minds of employees, but not in a database (also less formally referred to as 'tribal
Tacit Knowledge
knowledge').
The total available work time per day (or shift) divided by customer-demand requirements per day (or shift). Takt
time sets the pace of production to match the rate of customer demand. For example, if your customers demand 480
spark plugs per day & your production line operates 960 minutes per day, takt time is two minutes; if customer want
Takt Time
two new contracts written per month, takt time is two weeks.
Takt time increases if customer buys fewer products. Takt time decreases if customer buys more products ideally
cycle time should equal takt time.
Organizing resources together which service a group of products that have similar processing steps.
Team
Four stages of team development:
Forming
Storming
Team Development
Norming
Performing
Important to understand the different stages as each will require different facilitating techniques.
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JOGGER
Supermarket System
Team Leader
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MEMORY
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CSSBB
PRIMER
101
VI-79
49-51
III-4
V-14
IX-38
52
254, 255
262-263
260-261
258-259
256-257
250
252-253
62
251
264
248-249
246-247
17, 25,
65
VI-7
Organizes & leads meetings & RIE's. Updates sponsors/steering committees. Supports factors for effective teamwork.
Three key measures used in the evaluation of a system are 1. throughput 2. inventory and 3. operational expenses .
Theory of Constraints
(TOC)
Throughput Time
The Goal by Eli Goldratt describes the steps to Constraint Management as:
1. Identify: What is the constriant
2. Exploit: Utilize all resources to balance workloads; address the 4 partners
3. Subordinate: Focus non-constraints towards supporting the constraint
4. Elevate: Apply Lean
5. Repeat Step 1: The constraint has probably moved
The actual work time it takes to make one part from start to finish, as defined by your boundaries (i.e. concept to
launch, order to delivery, or raw material into the hands of the customer). This includes both processing & queue
time. Ideally cycle time should equal takt time.
IX-65
IX-66
Example: You start building a bicycle at 8:00. The bicycle is completed at 16:00. The throughput time is 8 hours.
Timeline
Total Cost of Ownership
Estimates the time necessary to execute the Lean Six Sigma project. Write down the dates & work towards them.
The sum of all costs associated with the acquisistion, instillation, operation, maintenance, & retirement of a good or
service. Otherwise known as life-cycle costs or total system cost.
4
12-14
Total Productive
Maintenance (TPM)
Total Quality
Management (TQM)
Traditional Cost
Accounting (TCA)
Training
Transport (Waste)
Transport Lot Size
Tree Diagram /
Systematic Diagram
Trend
A trend's purpose is to predict the future with some confidence. How many points make a trend? It depends. So when
can trend lines be used? After you make a change & before you know the new limits. Common cause variation shows
up as variable, stable processes operate within a range, trend lines within that range are of little value.
Trends
Tool or fixture wear, deterioration of materials, aging, changing in maintenance or calibration, environmental factors,
human factors, production schedules, gradual changes in materials or process, accumulation of waste products,
machine warm-up, etc.
Trend Analysis
Union (U)
Value Added
BB MEMORY
JOGGER
Variation
(Causes) (MSA)
Venn Diagram
Vision Statement
Visual Learner
CSSBB
PRIMER
X-41
III-25
II-45
6
VIII-143
IV-60
230
X-36
X-36
Time sequence (dynamic) data analysis. Identifies change over time, patterns, cycles, process shifts, increasing or
decreasing variability, etc. Quality improvement tool. Examples include Control Charts & Run Charts.
Union. Deals with probability. A B means the union of events A & B, & contain all sample points in event A, or B, or
both.
Any step or activity in a process is considered value added if it meets ALL the following:
1. If the customer wants it.
2. If it changes the product / service
3. If it is done right the first time (not rework)
Fit, Form, Function.
A metric that compares the amount of time in your work process spent on value-added activites to the amount of time
spent on non-value-added activities. VA/NVA Ratio.
All the activities that a company must do to design, order, produce, & deliver its products or services to customers.
Responsible for the effective execution of the Rapid Improvement Plan & Redeployment Plans.
Value Stream Champion Must be personally involved & support Lean efforts in their area committing the necessary resources & implementing
the improvement actions.
An illustration that uses simple graphics or icons to show the sequence & movement of information, materials, &
actions in a company's value stream.
Captures all key flows (of work, information, materials) in a process & important process metrics. More complicated
Value Stream Map
to construct than other flowcharts, but much more useful for identifying & quantifying waste (especially in time &
cost) Includes VA/NVA/NVAE elements & time required to accomplish these elements.
Regarding sampling, not only is an item determined to be good or bad, but also how good or how bad.
Variable
Measured data. Includes most non-counting intervals & ratios (e.g. time). Anything with a decimal point has no
boundaries between adjoining values. Answers "how long", "what volume", "how much time", or "how far". Generally
34, 73measured with some instrument or device.
Data that can be broken down into more precise increments. Example: time, distance, weight, temperature (It takes 3
79, 95,
Variable Data
hours 10 minutes to perform the task - you can continue to get more preceise if needed - you could take it down to
222, 225,
seconds or even fraction of a second).
228
Variable is the best data to have as it gives us more information. We need less variable data than attribute data
because it tells us much more about the process as compared to Attribute &/or Descrete Data.
The average squared deviations from the mean. The squared deviation of a single point is calculated by subtracting it
Variance
36-37
from the mean an squaring the difference. It represents the spread of the data.
Measurement System Analysis. Accurate but not precise.
Variance Error (S2)
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149
15
VI-7
15
VI-21
15
VI-10
VI-36
V-38
Example: You weight an item that is actually 1lb. You take several measurements, some measurements are below
lbs & some are above 1 lbs. Although you are centered there is a huge variation from measurement to measurement.
The difference in outputs due to changes in process inputs:
There are two types of variation 1. Common Cause & 2. Special Cause . Sources of variation tend to follow the Pareto 43-45, 74
principle (find the driver, it's root cause & improve).
Diagram consisting of intersecting circles, usually used in studies of probability (union & intersection)
Describes an idealized view of where or what an organization would like to be in the future, perhaps 5-10 years into
the future.
need to see it to know it - Have a strong sense of color - Have difficulty with spoken words - Have trouble following
lectures - Misinterpret spoken words.
People remember 10% of what they hear / 16% of what they read / 20% of what they hear & see / 70% of what they
hear, see, & respond to & 90% of what they hear, see, and do.
VI-35
Waiting
(Queuing)(Waste)
Waste / Muda
The periods of inactivity in a downstream process that occur because an upstream activity does not deliever on time.
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VIII-143
Any activity that takes time, resources, or space, but does not add value to a product or service.
3
See book for formulas, graph, & applications. The scale parameter is always the point where 63.21% of the population
Weibull Distribution
falls below it.
Work Breakdown
Is the hierarchical grouping of project tasks that organizaes & defines the total project work.
12-13
List all the tasks & sub-tasks requried to complete the job.
Structure (WBS)
A misture of people, processes, materials, & technology that comes together to enable the completion of a work
Work Combination
process.
Is the product or services that are in process of being produced.
Work in Progress (WIP)
If we reduce WIP without simplifying &/or reducing variability a drop in output may occur
The sequential order in which tasks that make up a work process are performed.
Work Sequence
68
Workflow
The steps & motions employees take to perform their work tasks.
A graphic that shows your organization's current equipment layout & the movement of materials & workers during
28, 73,
Workflow Diagram
work processes.
91
The focus is on arranging the way people & the equipment interact with the flow of the work processes being
performed on the product.
Typically in the past we organize our people by their function or organization. Example: We put all the engineers
together & all the production people together etc.
Workgroup Technology Group actvities by a give assembly, product or service is better. Example: for the overhaul of a particular submarine;
engineers, production personnel, & other codes are grouped together in the same location.
Cross training of workers can help balance the workload. Standardization of the work will reduce variation. Establish
the best layout for the work processes. There are different "cell" layouts (Straight Line, L-Shaped, U-Shaped, &
Combination) that can be utilized.
Is the Z value from the normal table which corresponds to the total number of defects (adding both Z scores USL &
ZBench
LSL together). The reported baseline Z-value.
Z score is the number of standard deviations between the mean & specification limits.
Need to convert a normal distribution with any mean & standard deviation to a "Standard Normal" in order to use the
41, 46Z-table to find probabilities.
Z-Score (Z)
As variation decreases, the probability of a defect decreases so capability increases.
48, 61-64
We desire a small & a Large Z.
Z=(USL-)/ or Z=(-LSL)/.
Z Table
Is the probability of defects (tail area). Establish Z first then go to table.
Z-Transofrmation
Transforms any normal data distribution to a standard normal curve.
41-43
VI-7
VII-49
V-41
XII-2
VII-32
Douglas Cambron