Yellow Belt - End to End Content PDF
Lean Six Sigma Yellow Belt Week 1-6 Combined Content
Week 1 - Introduction 5003LBSBUS | Managing Processes
What is a Process?
Definition: A sequence of activities and decisions involved in completing work.
Example: Grab the bottle, open it, drink it!
How to Improve Processes
Improvement Techniques:
Lean Tools: Continuous improvement tools aimed at streamlining processes.
Six Sigma: Techniques aimed at reducing errors/defects in processes.
ISO 9001: Global standard for quality management.
Total Quality Management (TQM): An approach focused on improving processes, products, and services.
What is Lean?
Definition: A systematic methodology for reducing complexity and streamlining processes by identifying and eliminating sources of waste.
Scholar: Dr. Ian Wedgwood.
Lean Process Example: Before and After
Before Improvements: Traditional process sequence.
After Improvements: Streamlined and efficient sequence.
Principles of Lean
Identify Value:
Value is what the customer is willing to pay for.
Map the Value Stream:
Analyze current processes and identify wasteful steps.
Create Flow:
Ensure changes in the process flow smoothly.
Establish Pull:
Focus on Just In Time (JIT) production.
Seek Perfection:
Embed previous principles into the company culture.
What is Value?
Definition: Capability to provide the highest quality product, at the right time, and at an appropriate price as defined by the customer.
Value Added vs Non-value Added
Value Added (VA): Anything customers are willing to pay for.
Non-value Added (NVA): Activities not required by the process or unwanted by customers.
Business Non-Value Added (BNVA)
Activities that satisfy business requirements but do not add customer value such as preparing financial reports.
Non-value Added (NVA)
Activities that do not enhance customer perception and can be eliminated without affecting the outcome (99% of waste).
Examples of VA and NVA
Value Added (VA): Acknowledging a customer order, delivering a product.
Business Non-value Added (BNVA): Updating financial accounts, issuing purchase orders.
Non-value Added (NVA): Rework, processes that do not enhance customer experience.
Objective of VA and NVA Analysis
Identify and eliminate hidden costs, reduce unnecessary complexity, decrease lead time, and increase capacity by better utilization of resources.
Actions for VA and NVA
Value Action:
Value Added: Optimize and standardize actions.
Business Non-Value Added: Check, minimize or eliminate.
Non-Value Added: Eliminate entirely.
Week 2: Lean Tools and Waste 5003LBSBUS Managing Processes
8 Types of Waste (TIM WOODS)
Transportation: Unnecessary movement of materials.
Inventory: Excess products not needed for one-piece flow.
Motion: Unproductive movements of people or machines.
Waiting: Unproductive times such as undisciplined meetings.
Overprocessing: Actions that do not add value from the customer's viewpoint.
Overproduction: Producing more than needed or too soon.
Defects: Products that fail to meet quality standards.
Skills: Underutilization of personnel's abilities.
Lean Tools
Takt Time: Time per unit needed to meet customer demand.
Cycle Time: Time to complete an operation.
Overall Equipment Effectiveness (OEE): Measures production efficiency.
Takt Time Calculation
Formula: Takt Time = Available Production Time / Customer Demand.
Example: 8 hours of available time with 4 units of daily demand yields a 2-hour Takt Time.
Cycle Time
Definition: Time taken to complete a cycle of work; measured with a stopwatch.
Steps to Balance Cycle Times in Processes.
Examples in a Coffee Shop
Order Taking:
Cycle Times: 20 seconds (order) , 70 seconds (making).
Overall Equipment Effectiveness (OEE)
Components: Availability, Performance, and Quality.
Calculation: OEE = Availability x Performance x Quality.
Benchmark for World-Class OEE: Values exceed 85% for best performance.
Utilizing OEE
Determine capacity and identify areas for improvement based on OEE outcomes.
5S Method
5S Components: Sort, Set in Order, Shine, Standardize, Sustain.
Goal: To maintain an organized, efficient, and clean workplace to eliminate waste.
Kaizen
Definition: Continuous improvement involving everyone in the organization without excessive spending.
Kaizen Event
Characteristics: Short projects aimed at quick improvements, usually lasting a week.
Benefits: Immediate change, simple to implement.
Week 3: Value Stream Mapping (VSM)
What is a VSM?
Definition: Visual representation of all activities from raw material to finished product.
Importance of VSM
Captures all key flows, helps identify wastes, and improves understanding of processes.
Week 4: Statistical Process Control (SPC) and Six Sigma
Definition of SPC
“Using statistical methods for process control.”
Six Sigma Overview
Purpose: Eliminate defects, reduce variation, and meet customer expectations.
Sigma: Refers to the degree of accuracy in a process (standard deviation).
DMAIC
Phases:
Define: Clearly describe the project.
Measure: Identify and collect data.
Analyze: Assess and identify root causes.
Improve: Develop and implement solutions.
Control: Monitor processes to sustain improvements.
Week 5: 7 Tools of Quality
Tools: Flowchart, Check Sheets, Cause and Effect Diagrams, Pareto Charts, Control Charts, Histograms.
SIPOC Model
Purpose: Helps identify all elements before work begins in a Process Improvement Project.
Voice of the Customer (VOC) Methodology
Importance: Essential for understanding customer needs and driving product/service adjustments.
Steps to Identify and Translate Customer Needs into CTQ
Identify customers.
Gather data.
Analyze customer information.
Prepare needs list.
Develop CTQ tree for prioritized needs.