Deepti Arora

Control limits are different from specification limits. They typically lie between the specification limits and represents 99.7% data in case of a normal distribution. To me LCL will be much more important when we don't want the process to go below the lowest control limit. LCL can also be 0 in some cases where what we are looking at is 0 defects. For example in case of airline industry we would want the no of accidents data to nearing the LCL or ideally should be 0. The UCL and other ranges would be important but not as important as the LCL.

Any outlier is defined as a data point that are different from the majority of the data. It is crucial to identify outliers since these can have a direct impact on the decisions taken. It is necessary not only to identify but negate the impact of such outliers and take decision based on the majority data. A lot of tools and techniques are used for identifying outliers. Some of these are discussed below: Usage of graphical method Histogram - any outlier will be easily detectable visually. Box Plots - box plot operate within quartile ranges and hence it is easy to identify an outlier using box plot. Use of data - Using inter-quartile ranges is one of the widely used method to identify outliers. Any data point outside (Q1-1.5*IQR) or (Q3+1.5*IQR) is considered as outlier. - Calculating Z score - Z score measures how many standard deviations are below or above mean population of data.

While the Voice of Business is supposed to be in line with the Voice of Customer, there are some valid reasons that make them go against each other. VOC or voice of customer talks about customer expectations while VOB or voice of business talks more about the stakeholder's expectations. Thus, the approach is different while capturing the information for both scenarios. Even the purpose for which the data is used are different for the 2 approaches. VOC data is used for reasons like: Altering products or services. Making process more effective Removing non-value added steps VOB data on the other hand is used for: Capacity planning. Cost reduction Introducing new products and services. So this implies that whatever the business thinks or wants to implements, may or may be not be in line with the customer expectations and hence can be one of the most common reasons that create a conflict between VOC and VOB.

The seven wastes of Lean is a great concept and has been an eye opener for many professionals. Let us assume that a leadership/ business ownership team member asks you - What are some of the ways we can put this concept to good use in the organization? My answer to the above question will be: The easiest of ways to implement lean in an organization is following the 5's policy in arranging data for the Company, be it hard copies or soft copies. Simply following the 5s would make people in the organization realize the importance of lean. Similarly, simple automation of manual processes to the extent possible will give some productivity benefits to the organization.

It is true to say that different measures of central tendency and spread have their own relevance and used. The measures of central tendency include: Mean, Median, Mode. Mean is very susceptible to outliers. Hence using the same when the some values are way different from the rest of the data would make the analysis futile. Mode would not be a good measure when most frequently occurring mark is way away from the rest of the data. Variance on the other hand, helps in handling on whether the data is close to the mean or not. This helps in making the analysis more insightful. eg: In case of a class of students, mean of 1 subject was 75% and when variation was calculated for all subjects it was very small. This would help the teacher to confidently say that majority of the students scored around 75%. Thus by using measures of central tendency with spread would help in making more informed decision.

SIPOC - Suppliers, Inputs, Processes, Outputs, Customers COPIS - Customers, Outputs, Processes, Inputs, Suppliers Both are Six Sigma tools which are used in the Define phase of the DMAIC methodology. Both are helpful in 1) Giving a high level process overview 2) Its also helpful in defining new processes. It would be incorrect to say that SIPOC/COPIS does not offer any benefits. COPIS/SIPOC can help in identifying all possible areas of improvements but they dont provide quantification and significance of those areas. Each element of COPIS/SIPOC can be a potential area of improvement which can help in improving the overall process. However, SIPOC/COPIS would not give more information on the same, until and unless we dwell deeper into these areas and do statistical analysis to understand the impact of these different elements.

Jidoka put simply is automation with a human touch. It helps in stopping work immediately as soon as a problem first occurs. This helps in identifying the root causes which once elimiated would lead to improvements in the processes. Automation implies usage of machines, technology etc. to make processes run on their own without HUMAN intervention. Autonomation on the other hand is automation with a human touch. Both these methodologies find their use in a wide variety of industries. Food processing is one of them. In the food processing industry majority of the steps are automated like packaging, processing, mixing etc. However, at the initial stages when raw material is procured, manual quality checks are also done so that any defective or sub standard product does not enter the production cycle.

Hypothesis test is a statistical techniques which is used to evaluate two mutually exclusive statements about a population to determine which statement is best supported by the sample data. Hypothesis testing helps in taking a decision in the face of uncertainty. Hypothesis testing is helpful in taking decisions in a wide variety of areas. For example, in case of a business one can use the technique to determine whether customer experience has a significant bearing on sales or is it the price which is more significant. This can help the owner of the business to pay more attention to the pain area and take corrective measures. Under the DMAIC framework, Hypothesis Testing is used in the Analyse Phase. It helps in prioritizing the X's so that solutions and recommendations can be provided to correct and improve the significant X's. Two-sample t-test and Chi-square are most commonly used hypothesis tests in Six Sigma work

While pursuing Business Excellence, given a choice, error which I would prefer would be a False alarm over a missed alert. A missed alert would mean that a mistake has happened but the trigger was not given paid heed at that time. A false alarm on the other hand means that alert was raised though the mistake was not there.

In Lean, takt time implies a rate at which a finished product needs to be completed in order to meet the customer demand. The tak time ensures that the production exactly matches the demand. Takt time can help in taking decisions related to Getting an estimate of service delivery processes Eliminating waste of overproduction by producing to meet actual customer demand Developing standardized work instructions thus promoting quality and efficiency Setting real time targets for production Hels in keeps a track of production rates It also helps in reduction of over production Helps in managing overtime Helps in geneating fewer errors due to standardised procedures Improves price management All the above mentioned decisions are more tactical in nature and not strategic since there is always a scope of improvement in the operations of a company.

While Central limit theorem or CLT can help us achieve a normal distribution, however, to achieve the same one can encounter a few issues which would need to be addressed: Extreme values in data or outliers Data following a different distribution curve Values are close to 0 Hence, in case the data is non-normal due to the right reasons there are other statistical tools which can be used in those cases.

Fault Tree Analysis is a technique where drill down is done to the lowest extent to dertermine the various causes why a particular process can fail. It implies reaching to the most granular level and understand what can cause the process to fail using analytical or statistical approaches. The technique is most effective in circumstances where the slightest of mistake can spell doom eg: building a space craft. While building a space craft the slightest of error is unacceptable as there is a lot of money involved in making the space craft and human life will be in danger if something goes wrong with the space craft. Hence, this technique in most effective under such circumstances to keep an eye on all critical aspects of space craft built. The Fault Tree Analysis would not be effective in circumstances where the data and information regarding the causes is insufficient or unknown.

A Value-adding-activity is correctly defined as one which is not wasteful. The 3 checks of value addition, namely The step transforms the item toward completion The step is done right the first time (not a rework step) The customer cares (or would pay) for the step to be done a exhaustive to cover all possible circumstances. These may be slightly modified depending on the unique nature of a process/situation/industry. For example, in an accounting service scenario, the customer will pay the price for the final product i.e.financial statements. Any changes in the existing book keeping process, any enhancement, any rework that the accounting firm does the cost of it wont be borne by the customer but by the accounting firm itself. Hence, the improvements in this case will be a value add to the accounting firm since it will help them with time savings but the end customer would not benefit out of it.

Q6. There is enough information on how and why 5S is effective in manufacturing. While everyone may agree that 5S makes sense in workplace organization even in services, the question is - Does 5S actually save enough money when implemented outside manufacturing? If yes, how? 5's is a lean terminology which stands for Sort, Straighten, Shine, Standardize, Sustain. While it is true that the methodology is very effective in manufacturing none the less the same if effective outside manufacturing too. The simplest example is our everyday life. Organizing our workplace using the 5's policy would help remove clutter and also at the same time would make it easier for us to find the documentswe are looking for especially when you have a lot of files to work on. Desktop management is another example of 5's. If you follow 5's to manage data available on your computer, it would yield great results since data extraction and retrieval would be much faster. Hence, as evident from the above, 5s technique can be used outside manufacturing too and even can be implemented in our daily lives.

Explain the meaning of Kaizen, Kaikaku and Kakushin. How are the three different from each other? How do they complement each other? What would a company lose if one of these as a concept was not utilised Kaizen is a Japanese philiosphy aimed at looking at means and ways to keep on improving constantly. Kaikaku is also a Japanese philosphy. The focus of Kaikaku is on bringing speedy and drastic changes. Kakushin particularly aims at innovation so that new products can be designed and bought to market. The 3 philiosphies or 3k's need to work in harmony for any organization to succeed. While Kaikaku can help address the problem then and there, Kaizen would ensure that the organization is always finding out ways and means to improve existing processes. Kakushin or innovating new products would be essential for an organization to stay on top of its competitors. Hence, all the 3 are necessary for an organization's sustainable growth and development.

"If you can't measure it, you can't manage it" - Peter Drucker. In simple words it means MEASURE to MANAGE. It implies that if you wish to improve and manage a metric the same should be quantified first. Only when the metric can be quantified would one be able to gauge if they have been succeful in adjusting the existing processes to produce the desired results. Other authors too understand the importance of data in making informed decsions. American Statistician W. Edwards Deming has gone to the extent of saying: "In God we trust, all others must bring data." So this implies that having quantifiable data makes us a more informed decision maker since we can detect whether we have been successful or unsuccessful in our pursuit. However, there are some aspects which are qualitative and can't be measured. So, does that mean what cant be measured can be managed. The same is not true. While data does help us in making well-informed decisions, lack of it doesnt deter us from improving the processes and making them more efficient. And as it is said, the most important numbers are unknown and unknowable. So, what should I do to manage effectively: Keep your eyes open for all different pieces of data and don't rely on metrics alone to drive improvements and efficiencies.

A cause may be necessary but not sufficient for a problem to occur To me the above statement means that a problem can occur due to numerous causes (parts) but it doesnt imply that if the parts dont function properly the problem will always arise. This to me indicate that the root cause of the problem is something else and the respective cause is not significant enough to cause the particular problem. In my view under such circumstances, our effort should be directed to first identify the main cause of the problem and then design a solution around it. A cause may be sufficient but not necessary for a problem to happen. The above statement to me means that problem can happen due to numerous causes. While some of these will be identifiable and within our control, but there can be causes which are outside our control. In such cases, we cant do much to resolve the issue. A cause may be neither sufficient nor necessary for a problem to occur. The above statement to me means that problem can happen due to numerous causes. While some of these will be identifiable and within our control, but there can be causes which are outside our control. In such cases, we can just be more prepared and alert to address the issue and prevent it from recurring. A cause may be both sufficient and necessary for a problem to occur. To me the above statement means that for a problem to occur, a cause needs to be present and at the same time this cause should be significant enough to cause the problem. Such are mostly cases where we have done RCA and know the significance and impact of the cause on the problem. The only way to address issues where the above situation arises would be to let the processes not deviate from the control limits.

Personal excellence to me means striving to become simply the best in what you do and achieving a level of mastery or excellence in the areas of life. Process excellence means making the processes so efficient and robust so that there is minimum wastage and minimum variation too. Process excellence ensures that quality products are produced consistenly. While process excellence lays emphasis on processeses in the organzation, the focus of Operational excellence is not a single process but the entire organization. Its more about an environment created in an organization right from an employee to leaders think about ways and means of making the organization more efficient through innovations and improvements. Business excellence encompasses all the 3 elements discussed above: Personal, Process and Operational excellence. Seeking Business excellence would need a continous improvement in its processes, personnel and business and strive to become the best in the industry. As per the discussion above, all these are inter-linked. While a business cant reach a level of excellence until its personnel, processes and the different elements of an organization are in harmony and are constanly improving. An inclination towards personal excellence would always challenge the people to look for smarter and more efficient ways of doing things & thus leading to improvements in processes and eventually process excellence. Once your personnel and processes are in order, operational excellence is not far to achieve. And once the organization is doing good in all the above aspects, you have seeked Business Excellence and become the benchmark in the industry.