American Meat Institute Lean Six Sigma Overview

Transcription

1 American Meat Institute Lean Six Sigma Overview Presenter: Eric Densmore Senior Director Lean Six Sigma BEF Foods, Inc. April 9 th, 2014

2 Agenda BEF Foods Lean Six Sigma Overview What is Lean? What is Six Sigma? Lean Six Sigma in Human Resources Lean Six Sigma in Safety Wrap-up

3 How many do you count?? I ll give you the answer at the end of the presentation

4 Introduction of Lean at BEF Foods, Inc. We began our Lean Journey in 2011 Outside consulting firm assessed manufacturing plants Originally six manufacturing plants Each plant has a Lean Champion Key Performance Indicators Operational Equipment Effectiveness (OEE%) Plant Yield Percent Pounds/ man hour Cost per hundredth weight (CWT$)

5 Introduction of Lean at BEF Foods, Inc. Our Transformation Now a four plant network Xenia, OH Hillsdale, MI Lima, OH Sulphur Springs, TX Our Continuous Improvement program is named G.E.A.R. Getting Efficient Absolute Results Our metrics now include Safety & Quality Skill Development G.E.A.R. Forums Certified Lean Six Sigma Black Belt Lean Six Sigma Green Belt Training Restaurant G.E.A.R. training

6 What is Lean? History Toyota Production System (TPS) But Lean has been around much longer 1574 Spanish Arsenal galley ships Gatling gun- interchangeable parts Henry Ford Chicago Stockyard Key Figures James Womack Shigeo Shingo Taiichi Ohno

7 What is Lean? What is Lean? Removing or eliminating waste from a process What is Waste? Waste is any activity that consumes time, resources, or space but does not add any value to the product or service What is a Value- Added activity? Three criteria Customer is willing to pay for it Transforms or changes the material or object Done Right the first time

8 What is Lean? Waste Types Overproduction Motion Defects Over processing Inventory Waiting Transportation Under-utilized human talent Transportation Inventory Motion Waiting Over processing Overproduction Defects Under-utilized human talent

9 What is Lean? Fundamental Lean Tools Waste Identification Waste Walk Gemba Walks Process Mapping 5S Swimlane, Spaghetti Diagram Sort, Set-In-Order, Shine, Standardize & Sustain Kaizen SMED Kai- meaning change Zen- meaning good Single Minute Exchange of Dies

10 What is Six Sigma? History Motorola General Electric Jack Welch What is Six Sigma? Greek letter σ represents Standard Deviation Data driven process improvement approach Seeks to reduce process variation Results in no more than 3.4 Defects Per Million Opportunities (DPMO)

11 What is Six Sigma? What is Lean Six Sigma? A Six Sigma process has at least 6 Standard Deviations between the Mean and the nearest spec limit Sigma Level Defects Per Million Opportunities (DPMO) Percent Defects Percent Success 1 691,

12 What is Six Sigma? The Six Sigma Process Follows the D-M-A-I-C Process Control Charts (SPC) Control Plan Define Project Selection Project Charter Control Measure DOE Poka Yoke Benchmarking Measurement System Analysis High-level Process Map Improve Analysis Detailed Process Map Cause & Effect (Fishbone) Diagram Pareto Charts

13 Is 99.9% Good Enough? If 99.9% Is Good Enough, Then newborns will be given to the wrong parents daily. 114,500 mismatched pairs of shoes will be shipped/year. 18,322 pieces of mail will be mishandled/hour. 2,000,000 documents will be lost by the IRS this year. 2.5 million books will be shipped with the wrong covers. Two planes landing at Chicago's O'Hare airport will be unsafe each day. 315 entries in Webster's dictionary will be misspelled. 20,000 incorrect drug prescriptions will be written this year. 880,000 credit cards in circulation will turn out to have incorrect cardholder information on their magnetic strips. 103,260 income tax returns will be processed incorrectly during the year. 5.5 million cases of soft drinks produced will be flat. 291 pacemaker operations will be performed incorrectly. 3,056 copies of tomorrow's Wall Street Journal will be missing one of the three sections.

14 LSS in Human Resources What are some examples of Human Resurces Processes? Hiring Evaluations Development What are HR defects? Examples

15 LSS in Safety What are Safety Processes? Audits/ Inspections Compliance Awareness What are Safety defects? Examples

16 How many do you count?? Who counted 16? Who had something different?

17 Questions?? Thank you!