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INDIVIDUAL COPY This Book is an Open Source Six Sigma™ copyrighted publication and is for individual use only. This publication may not be republished, electronically or physically reproduced, distributed, changed, posted to a website, an intranet or a file sharing system or otherwise distributed in any form or manner without advanced written permission from Open Source Six Sigma, LLC. FBI Anti Piracy Warning: The unauthorized reproduction or distribution of this copyrighted work is illegal. Criminal copyright infringement, including infringement without monetary gain, is investigated by the FBI and is punishable by up to 5 years in federal prison and a fine of $250,000. For reprint permission, to request additional copies or to request customized versions of this publication contact Open Source Six Sigma, LLC. Open Source Six Sigma, LLC 6200 East Thomas Road Suite 203 Scottsdale, Arizona, United States of America 85251 Email: [email protected] Website: www.OpenSourceSixSigma.com

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Table of Contents

Page Introduction Competition………………………………………………………………..….…….… 4 Course Overview…………………………..……………..…………………..……..…. 5 Course Objectives…………………………....…………………………..……..……… 6 Team Work………..………………………………………...…….………………………7

Process Management Definitions….………………………………………..…………………….……..….....9 Process Architecture…………..…………....……………………………………….…11 Cost of Poor Quality………………………….….………………………………….….22

Lean Principles Lean Principles Definitions………………………..……..……………………… .…..28 Seven Areas of Waste………………………...…….…………………………… .…..29 Value Stream Analysis…………………..………………………….………………….32 5S Principles….…………………………..…………….……………..………….…….38 Poka-Yoke Methods……………………….………………………..………………….44

Six Sigma Define Phase…………..………………..………………………………..………...…..49 Measure Phase………………..………..………………………………………..…….56 Analyze Phase…………….…………..………………………………….…………….64 Improve Phase……..…………………..………………………….……………………79 Control Phase………………..………..…………………..……………………………90 White Belt Course Quiz……………………………………………………………108 Glossary……………………………………………..………………………………..111 Appendix – Quiz Answers………………………………………………………..118

LSS White Belt eBook v11

© Open Source Six Sigma LLC

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Lean Six Sigma Course Manual

Lean Six Sigma White Belt

Welcome to the White Belt Training Course. This course has been designed to build your knowledge and capability to effectively serve as a Team Member with those improving process performance and subsequently the performance of the business of which you are a part. This course is process centric. Your role in process performance improvement is to be through the use of methodologies like Process Management, Lean Principles and Six Sigma. By taking this course you will have a well-rounded and firm grasp of the many tools available through these methodologies. Further you will be able to apply these tools to a process you are part of as both a learning experience and to improve the way your work gets done. We firmly believe this is one of the most effective classes you will ever take and it is our commitment to assure this is the case.

LSS White Belt eBook v11

© Open Source Six Sigma LLC

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Introduction Competition

S e rio u s C o m p e titio n ! Every&morning &in&A frica,&a& g az elle&wakes&up;&it&knows&it& must&run&faster&than&the&fastest& lion&or&it&will¬&survive.&

Every&morning &in&A frica,&a&lion& wakes&up;&it&knows&it&must& outrun&the&slowest&g az elle&or&it& will&starve.

It# d o e s n ’ t# m a tte r# w h e th e r# y o u # a re # a # lio n # o r# a # g a z e lle :# # W h e n # th e # s u n # co m e s # u p ,# y o u # h a d # b e tte r# b e # ru n n in g !

Whether you like it or not, competition is a fact. Historically, if you had an ok business you were assured you would continue to stay in business. Over the past twenty years, this has changed significantly. Because of advances in communications, computing and transportation technologies the consumer has a wide variety of choices for their purchases. People and companies will always seek the lowest price, highest quality and best customer relationship combinations that exist. A company that understands the behavior of its processes is able to manage its processes better, manage the company better and therefore is more competitive. This is a fundamental fact many companies have known for years, yet it has only been over the past several years they are starting to do something significant about it. Whether you are a gazelle or a lion, you better be running as fast as you can if you want to survive in today s economy.

LSS White Belt eBook v11

© Open Source Six Sigma LLC

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Introduction Course Overview As already stated, this course has been developed to enhance the knowledge and capability of people involved in the daily operations of business processes. It has been our experience that conducting a process improvement project while learning always makes the work effort easier for the participants and in many cases saves money, frequently a significant amount of money.

C Co ou u rs rs e e '' P Pu u rp rp o o ss e e

This%course%ha This%course%has%been%developed%to%enha s%been%developed%to%enhance%the%g nce%the%genera eneral%knowledg l%knowledge% e%aand% nd% provide%some%ca provide%some%capa pabilities%in%the%a bilities%in%the%arena rena%of%Lea %of%Lean%S n%Six%S ix%Sig igma ma%for%people%involved%in% %for%people%involved%in% the%da the%daily%opera ily%operation%of%business%processes%a tion%of%business%processes%and%in%Process%Improvement%Tea nd%in%Process%Improvement%Teams ms.. C Co ou u rs rs e e '' G Go o aa ll

The%g The%goa oal%of%this%tra l%of%this%training ining%is%to:% %is%to:% aa)%Increa )%Increase%your%knowledg se%your%knowledge%of%Lea e%of%Lean%S n%Six%S ix%Sig igma ma%techniques%as%business% %techniques%as%business% process%improvement%methodolog process%improvement%methodologies. ies. b)%Increa b)%Increase%your%skills%a se%your%skills%at%improving t%improving%the%ea %the%ease%and%performa se%and%performance%of nce%of the% the% processes%in%which%you%work. processes%in%which%you%work. c)%To%g c)%To%gaain%a in%an%understa n%understanding nding%of%your%role%a %of%your%role%as%a s%a%process%tea %process%team%member%for%the% m%member%for%the% aachievement%of%business%success. chievement%of%business%success. P Pe e rs rs o on n aa l' l' R R es es u u lts lts

AAfter%successfully%completing fter%successfully%completing%this%course%you%will%ha %this%course%you%will%have%enha ve%enhanced nced your% your% knowledg knowledge%of%process%functiona e%of%process%functionality,%a lity,%ana nalytica lytical%skills,%problem%solving l%skills,%problem%solving%skills%a %skills%and% nd% methods%for%increa methods%for%increasing sing%the%efficiency,%effectiveness%a %the%efficiency,%effectiveness%and%a nd%adapta daptabbility%of%the% ility%of%the% process%you%a process%you%are%involved%in%a re%involved%in%and%your%own%work%efforts. nd%your%own%work%efforts.

Also, we suggest you pick a project in your area of work to apply the skills you will be learning with this course. We have found this approach to be a far better method of learning and retaining the knowledge. Additionally, you will improve something in your work area and receive a huge increase in pay… we hope. Learning Road Map G e ttin g 6 S ta rte d

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LSS White Belt eBook v11

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Introduction Objectives for You as a Participant 1 .# O b ta in # a # w o rk in g # u n d e rs ta n d in g # o f# Lea n # S ix # S ig m a ! Know&and&a pply&the&ba sic&concepts ! Demonstra te&use&of&the&terminolog y 2 .# C o m p re h e n d # d a ily # w o rk # a s # a # p ro ce s s ?o rie n ted # a ctiv ity ! Understa nd&process&inputs&a nd&outputs ! Understa nd&process&flow&and&know&wha t&determines&value&a dd&vs.& non&value&add 3 .# U n d e rs ta n d # h o w # th e# p ro ces s es # y o u # a re# a # p a rt# o f# fit# in to # th e # l a rg e r# s e t# o f# p ro ces s e s # n e e d ed # in # d e liv erin g # v a lu e # to # th e# cu s to m e r ! Perform&process&ma pping &and&cha racteriz a tion ! C rea te&a&deta iled&process&ma p&of&a &process&you&a re&personally&involved&in ! Prioritiz e&sig nifica nt&outputs&and&qua ntify&their&level&of&performa nce&to&requirements ! Identify&inputs&a nd&their&rela tionship&to&the&sig nifica nt&outputs 4 .# P e rfo rm # p ro ce s s # im p ro v e m e n t# a ctiv itie s ! Improve&a&process&you&a re&involved&in&using &Lean&Six&Sig ma &methods ! C ontinue&to&improve&other&processes 5 .# Es ta b lis h # co n tro l# m e ch a n is m s # a n d # m o n ito rin g # p ro ce s s es # to # s u s ta in # a n # e x is tin g # p ro ce s s # a n d / o r# a n y # im p ro v e m en ts # y o u # m a k e .

We have established stated objectives for you as a participant. This class is designed as an applied learning experience we sometimes refer to as Train – Do . You will be taught how to identify and select a key process you are involved in then how to fully characterize this process. You will find the characterization activity will naturally lead to improvement. In most cases the improvement results in increased performance of the process and your ease in performing or supporting the process. You will also learn how to maintain or sustain the performance of a process by either monitoring or applying specific control techniques. From here you will be well equipped to make improvements to almost any process.

LSS White Belt eBook v11

© Open Source Six Sigma LLC

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Introduction Team Work as a Process Member

Te a m % W o rk A ll% te a m % m e m b e r s % co n trib u te % to % th e % s u cce s s % o f% a % p ro ce s s % a n d % to % a n y % im p ro v e m e n t% e ffo rt% W h e n % y o u % a re % p a rt% o f% a % p ro ce s s % te a m ,% co m m it% y o u r s e lf% to % b e in g % p a rt% o f% th e % te a m ’ s % s u cce s s : a) A ctively+participa te+on+the+team b)

Sta y+focused+on+the+functiona lity+of+the+process+a nd+any+efforts to+ make+improvements+

c)

Encourag e+others+when+they+do+well

d)

Politely+speak+out+when+you+disa g ree,+and+remember+to+ha ve+ data

e)

Help+the+team+to+make+the+process+the+best+it+ca n+be,+learn+the+ improvement+techniques+from+Process+Mana g ement,+Six+S ig ma+ and+Lean+techniques.+

f)

Follow+throug h+on+your+commitments

Go Team!!

Process improvement works best as a team effort. You can make improvements by yourself but you can make larger improvements with a team. All process members can contribute as a team to the success of a process and an improvement effort. When you are a part of a process team, commit yourself to being a part of the team s success by actively participating, staying focused on the process and the improvement efforts, congratulating and encouraging others when they do well, constructively speaking out when you disagree by using data to substantiate your position, use the tools and techniques of process improvement and by follow through on your assignments and commitments. You will certainly be rewarded for your efforts. Defining Lean Six Sigma

So, what is Lean Six Sigma? At a high level, Lean Six Sigma is an approach to improving the performance of your company through the practice of the disciplines of Lean and Six Sigma.

Lean: The application of principles whose objective is to eliminate WASTE while improving process flow to achieve speed and agility at lower cost. Six Sigma: The application of principles whose objective is eliminate DEFECTS and VARIATION. (We will see later why Variation is bad! very, very bad!)

When combined and effectively applied, major improvements are achieved in business performance. These principles are applied through a system frequently called Process Management. LSS White Belt eBook v11

© Open Source Six Sigma LLC