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8/4/2015 1 SIMPLER. FASTER. BETTER. LESS COSTLY. Transforming the Public Sector Green Belt Process Capability SIMPLER. FASTER. BETTER. LESS COSTLY. SIMPLER. FASTER. BETTER. LESS COSTLY. DMAIC Flow • Measure: – Understand Metrics – Validate Measurement System – Determine Process Performance Capability
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GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

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Page 1: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

1

SIMPLER. FASTER. BETTER. LESS COSTLY.

Transforming the Public Sector

Green Belt

Process Capability

SIMPLER. FASTER. BETTER. LESS COSTLY.

SIMPLER. FASTER. BETTER. LESS COSTLY.

DMAIC Flow

• Measure:– Understand Metrics– Validate

Measurement System

– Determine Process Performance

Capability

Page 2: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

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SIMPLER. FASTER. BETTER. LESS COSTLY.

Why Care About Process Capability?

• How capable is the process?• How close are we to meeting the

desired state?• Allows comparison from baseline to

after process improvement• Demonstrate Success!

SIMPLER. FASTER. BETTER. LESS COSTLY.

Process Capability Study: Set-Up

• Process capability study assumes that you have a stable process

• Identify Specification Limits • Capability improvements can be in terms of

decreased variation or improved centering, but are always relative to the spec limits

SIMPLER. FASTER. BETTER. LESS COSTLY.

Control Limits vs. Spec Limits

• Where do Control Limits come from?– The DATA: +/- 3σ (99.73% of the

process variation is expected to fall between these limits)

• Where do Specification Limits come from?– The customer: spec limits are not

found on control charts

6

Page 3: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

3

SIMPLER. FASTER. BETTER. LESS COSTLY.

Upper Control Limits = UCLLower Control Limits = LCL

Upper Specification Limits = USLLower Specification Limits = LSL

Is The Process Below Making Defects ?

UCL

LCL

TIME

USL

LSL

Control Limits vs. Spec Limits

SIMPLER. FASTER. BETTER. LESS COSTLY.

Upper Control Limits = UCLLower Control Limits = LCL

Upper Specification Limits = USLLower Specification Limits = LSL

Is The Process Below Making Defects ?

UCL

LCL

USL

LSL

TIME

Control Limits vs. Spec Limits

SIMPLER. FASTER. BETTER. LESS COSTLY.

Process Capability Study Steps

• Four Basic Steps1. Verify that the process is stable2. Verify that the distribution of the data is

normal3. Calculate capability indices and

determine the level of quality4. Recommend process improvements

that increase process capability

Page 4: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

4

SIMPLER. FASTER. BETTER. LESS COSTLY.

Before We Get Too Far Ahead

• Refresher on process stability– How do you know if you have a stable

process?

• Refresher on data normality– How do you know if you have normal

data?

SIMPLER. FASTER. BETTER. LESS COSTLY.

Process Capability Vs. Control

• Remember…– Process capability is relative to spec limits– Process control is relative to the outputs

Spec limits are not the same as control limits

USLLSL

SIMPLER. FASTER. BETTER. LESS COSTLY.

Process Capability Vs. Control

Page 5: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

5

SIMPLER. FASTER. BETTER. LESS COSTLY.

Dissecting Process Capability

LSL USL

Defects

Process Capability

Inadequate

Training, SOP,

Visual Mgt.

Inadequate

Process

Capability

Process

Variation

Inadequate

Measurement

Capability

SIMPLER. FASTER. BETTER. LESS COSTLY.

Centering – Put The Process On Target

Spread – Reduce The Variation

LSL USL

DefectsDefects

Process Capability - The Strategy

SIMPLER. FASTER. BETTER. LESS COSTLY.

Very Low Probability of

Defects

Very Low Probability of

Defects

LSL USL

BetterProcess Capability After

Very High Probability of

Defects

Very High Probability of

Defects

LSL USL

Poor Process Capability Before

Spread Reduction

Very Low Probability of

Defects

Very Low Probability of

Defects

LSL USL

BetterProcess Capability AfterVery High

Probability of Defects

LSL USL

Poor Process Capability Before

Mean Shift Needed

The Focus of Improvement

Page 6: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

6

SIMPLER. FASTER. BETTER. LESS COSTLY.

Process Capability Ratios• There are two key measures for short-term capabilit y

– Cp and Cpk

USLC

- LSL|

6sp =

Cpk = Min (X - LSL

3s

USL - X

3s, )

Total Tolerance

Process Spread=

SIMPLER. FASTER. BETTER. LESS COSTLY.

LSL USL

x̄ = 30 Inches

s = 1

27 Inches 33 Inches

Let’s Calculate Cp!

SIMPLER. FASTER. BETTER. LESS COSTLY.

Cp Answer• Cp = ( |33 - 27| / (6 x 1))

• Cp = 6 / 6

• Cp = 1.0

USLC

- LSL|

6sp =

Cpk = Min (X - LSL

3s

USL - X

3s, )

Total Tolerance

Process Spread=

Page 7: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

7

SIMPLER. FASTER. BETTER. LESS COSTLY.

Interpretation of Cp

LSL USL

Cp

<1.0

1.0 – 1.5

>1.5

>2.0

Poor capability

Marginal capability

Good capability

6 Sigma capability

Interpretation

SIMPLER. FASTER. BETTER. LESS COSTLY.

We’ve calculated Cp• Q: So if Cp > 2 we are good to go?• A: Not necessarily!... Remember the third mantra???

USLC

- LSL|

6sp =

Cpk = Min (X - LSL

3s

USL - X

3s, )

Total Tolerance

Process Spread=

SIMPLER. FASTER. BETTER. LESS COSTLY.

Shift Happens

Page 8: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

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SIMPLER. FASTER. BETTER. LESS COSTLY.

LSL USL

28 Inches 32 Inches

x = 33 Inches

s = .333

Let’s Calculate Cpk!

Cp = |USL – LSL|/6s

= 4/2

=2

SIMPLER. FASTER. BETTER. LESS COSTLY.

Cpk Answer• Cpk = Min CpL or CpU

CpL = ((33 – 28) / 3 x .333)

CpL = (5 / .999)

CpL = 5

CpU = ((32 – 33) / 3 x .333)

CpU = (-1 / .999)

CpU = -1 so Cpk = -1

Cpk = Min (X - LSL

3s

USL - X

3s, )

SIMPLER. FASTER. BETTER. LESS COSTLY.

T USLLSL

Cpk = 2.0 Cpk = 1.0Cpk = 1.0

Three Processes with Cp = 2.0

CPK = -1.0 CPK = 1.0CPK = 2.0

Page 9: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

8/4/2015

9

SIMPLER. FASTER. BETTER. LESS COSTLY.

Is The Process

In Control ?

Is It Producing

Defects ?

35302520151050

39

34

29

24

Observation Number

Indi

vidu

al V

alue

I Chart for C1

X=30.60

3.0SL=37.36

-3.0SL=23.84

Short Term Capability• A Short-term Capability study covers a relatively short period of

time (Days, Weeks) generally consisting of 30 to 50 data points. The actual number depends on the subject under study.

SIMPLER. FASTER. BETTER. LESS COSTLY.

A Long-term capability study covers a relatively long period

of time (Weeks, Months) generally consisting of 100-200 data

points. Again, the actual amount depends on the subject

under study.

Is The Process

In Control ?

Is It Producing

Defects ?

100500

50

40

30

20

Observation Number

Indi

vidu

al V

alue

X=33.80

3.0SL=47.12

-3.0SL=20.49

Long Term Capability: Pp and Ppk

SIMPLER. FASTER. BETTER. LESS COSTLY.

What is the difference between the Short-term and the Long-

term Data?

What Implication does this have in doing capability studies?

Descriptive Statistics

Variable N Mean Median St Dev

short term 35 30.6 30.4 2.253

long term 110 33.8 33.5 4.438

A Further Look at Capability• Compare the estimates of the process deviations from

the short-term and long-term data

Page 10: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

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SIMPLER. FASTER. BETTER. LESS COSTLY.

LSL

Short-Term

Capability

Long-Term

Capability

Over time, a process tends to shift by approximately 1.5σ

Short-Term

Capability

USL

The Dynamic Process

SIMPLER. FASTER. BETTER. LESS COSTLY.

5040302010

14

13

12

11

10

Index

CO

2-S

hrt

CO2 Levels for 55 Time Points

Process Performance: Total

Variation including shifts and

drifts

(Pp & Ppk)

Capability: Only

random or short term

variability

(Cp & Cpk)

Capability vs. Performance

SIMPLER. FASTER. BETTER. LESS COSTLY.

Calculating Pp and Ppk• Minitab →

• Quality Tools →

• Capability Analysis

Minitab gives you Cp, Cpk, Pp, and Ppk all in one analysis

Interpret Pp the same way you would Cp

Page 11: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

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SIMPLER. FASTER. BETTER. LESS COSTLY.

Goal Setting

• Generic sequence of process improvement:

– Near-Term Goal: Center the process

– Mid-Term Goal: Reduce Variation

– Long-Term Goal: Eliminate Random Variation

SIMPLER. FASTER. BETTER. LESS COSTLY.

Reminder!

• Capability studies require a stable process and normal data

• Without these two factors the results will be misleading

• What do you do if you don’t have a stable process or normal data?

SIMPLER. FASTER. BETTER. LESS COSTLY.

Recap… What did we learn?

• Process Capability Vs. Process Control

• Calculating Cp and Cpk• Long-term process performance

matters– Shift Happens!

Page 12: GB Wave XII Capability Studies - Lean Ohio Studies.pdfProcess Capability Before Mean Shift Needed The Focus of Improvement. 8/4/2015 6 SIMPLER. FASTER. BETTER. LESS COSTLY. Process

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Questions?