Everything posted by Vikas Mishra
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Fault Tree Analysis / FTA
“To Design the System that work correctly we often need to understand and correct how they can go wrong” The Fault Tree Analysis, briefly FTA, was developed originally in the sixties in the area of the American telecommunication industry and aircraft industry. Only in the beginning of the eighties a formalization of these methods occurred at the instigation of American authorities. The Fault Tree Analysis is used for reliability- and safety security analyses. The proceeding is very similar to the Reliability Block Diagram RBD. The aim is to determine possible combinations of causes which can lead to certain undesirable events (event), the so-called top level events. Fault tree diagrams represent the logical relationship between sub-system and component failures and how they combine to cause system failures. The TOP event of a fault tree represents a system event of interest and is connected by logical gates to component failures known as basic events. After creating the diagram, failure and repair data is assigned to the system components. The analysis is then performed, to calculate reliability and availability parameters for the system and identify critical components. Methodology (Rules) 1. The “Immediate, Necessary & Sufficient” 2. Rule 2. The “Clear Statement” 3. Rule 3. The “No Miracles” 4. Rule 4. The “Complete-the-Gate” 5. Rule 5. The “No Gate-to-Gate” 6. Rule 6. The “Component or System Fault?” Rule M Benefits and limitations Prepared in early stages of a design and further developed in detail concurrently with design development. • Identifies and records systematically the logical fault paths from a specific effect, to the prime causes • Allows easy conversion to probability measures • But may lead to very large trees if the analysis is extended in depth. • Depends on skill of analyst • Difficult to apply to systems with partial success • Can be costly in time & effort
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If 5S Is So Effective, Why Do Most Service Organizations Still Fail to See Real Cost Savings?
5S as a tool has been leveraged by manufacturing companies for decades. Leaders driving operational excellence on the manufacturing floor would provide a list of benefits on how 5S delivers superb benefits on the production shop-floor. 5S adds to visual order, cleanliness, safety and standardization on the manufacturing floor. But 5S can also provide great benefits to service companies. This simple yet powerful tool has the ability to transform service organizations. 5S is an approach for workplace organizations; it drives workplace efficiency and productivity improvement. Based on a simple set of principles, it not only helps to identify wastes in the workplace but also creates an environment wherein teams get involved in improvements. It is a movement to make sure that all the elements of a "workplace system" function in harmony in order to allow teams to deliver an optimum level of performance. Practitioners often mistake the words "workplace organization" as a synonym for housekeeping. This is quite myopic and misleading as it leads one to believe that 5S is a tool for driving workplace cleanliness. Actually, the words "workplace organization" mean much more. They refer to the way the various components of a workplace system are managed and organized. This organization is with respect to components such as workplace procedures, rules, inventory management, policies, asset-ownership, infrastructure maintenance and so on. Implementing 5S within a service business delivers the following benefits: Reduces process lead times Facilitates workplace organization Standardizes operating procedures Improves customer response times Installs policies / guidelines that drive workplace Contributes to cost efficiency Helps to identify wastes Builds a culture of continual improvement Removes workplace clutter Reduces waste in the workplace Improves look-and-feel The brilliance of 5S is that it can be adopted by all throughout an organization. There are no burdens of complicated tools or difficult data analysis. 5S is a set of practices that needs to be practiced everyday until it becomes a habit. Whether it is a CEO or a janitor, everyone should practice 5S. As a matter of fact, when you embark on a 5S deployment, organization should first have the CEO adopt this tool and apply it to his or her office. Proceed with Caution: 5S Can be Difficult to Implement within a Service Business 5S in service businesses can be quite challenging as there are not too many success stories. People always look at 5S with suspicion and doubt its potency to deliver benefits to a non-manufacturing environment. Its simplicity often dissuades individuals who look for glamorous and complicated tools for driving improvements. Also, organizations find it difficult to engage white-collared workers who are made to believe that 5S is a merely a house-keeping tool so it should be done by the house-keeping staff. This is where need a strong Lean change agent who understands the concept of "5S for services" well and has the ability to not only engage the CEO with its use but has his or her backing to have the entire organization adopt the tool. The Lean change agent communicates to all the power of 5S and how it can deliver benefits to the business. Some think that 5S cannot be applied in a paperless office. This is not true. The 5S principles can also be used in the virtual space. The IT space is a great candidate for 5S deployment. Whether it’s investment banking, healthcare, hospitality, government, retail banking, information technology or education, 5S is applicable everywhere.
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Kaizen Kaikaku Kakushin
How they are different from each other:- Kaizen – Small Incremental Change Kaizen is the Japanese word for continuous improvement using small incremental changes. It translates as change for the better. Kai means change, Zen means for the better. Under umbrella of Lean, Kaizen is an approach for solving problems and forms the basis of incremental continual improvement in organizations. A problem is a difficulty that has to be resolved or dealt with. When applied to the workplace, Kaizen means continuous improvement involving everyone, managers and workers alike, every day and everywhere, providing structure to process improvement. Kaizen is about continuously improving: everyday, everyone and everywhere. Many small improvements implemented with Kaizen produce faster results with less risk. Kaikaku – Radical/Revolutionary Big Change Lean also recognizes that there are moments that more radical or revolutionary change and big improvement in place of incremental continuous improvement. Kaikaku is most often initiated by management, since the change as such and the result will significantly impact business. Kaikaku is about introducing new knowledge, new strategies, new approaches, new production techniques or new equipment. Kaikaku can be initiated by external factors, e.g. new technology or market conditions. Kaikaku can also be initiated when management see that ongoing Kaizen work is beginning to stagnate and no longer provides adequate results in relation to the effort. Kaikaku projects often result in improvements in the range of 30-50% and a new base level for continued Kaizen. Kaikaku may also be called System Kaizen. For example in IT industry, Kaikaku would be the upgrade of an application currently in use from a release level to a new release level. Kakushin - Innovation A third type of improvement known within Lean is Kakushin. The idea here is that some change will form a complete departure from the current situation. It is about innovation, transformation, reform and renewal. For example in IT industry complete application with a different application that supports the process in a completely different way, for example a web-based application that fully automates the registration of orders, the submission of invoices and the generation of a picking order at order fulfilment. This kind of change will entail the disappearance of many roles and functions within a business. Both from technological and business process perspectives, this example represents a complete departure from the current way of working. Another example of Kakushin is where the organization standardizes a process and supporting software across the entire organization where previously various groups had different processes and applications to achieve similar goals. How they complement each other:- When we perform projects to reduce the production time, implement 5S, or redesign the assembly line, we are implementing Kaizen. On the other hand, when we introduce a new lighter material to be used for the vehicle’s body or install robots to weld, press, or paint the vehicle, we are applying Kaikaku. If we could make simplified cars by cutting the number of parts in half and design more flexible production lines to manufacture many different car models rapidly, then we had made a innovation reform in our production system and that is Kakushin. From this example it very evident that to compete in the market all the three are very important and provides synergy to each other. Without the successful implementation of Kaizen, Kaikaku and Kakushin in the above example, automobile industry cannot satisfy the customer, can not compete with the fast changing market. What would Company Lose if one of these as a concept not utilized:- In absence of Kaizen company/operations cannot operate on its best possible efficiency for current design/system. In absence of Kaikaku company cannot utilized the latest technology/systems and will fall behind and will lose the market share in long run. In absence of Kaikashin company cannot utilized the latest technology/systems with full effectiveness. This provides the competitive advantage with the competitors even they are using a same technology.
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CTQ / Metric
Both the management Guru has emphasized on data based decision but Dr. Deming is often incorrectly interpreted. The reason Dr. Deming is often misquoted as saying nearly the opposite is likely because he encouraged the use the data when possible. Since failing to use statistical tools to manage was so common, people correctly tied the importance of using data to improve with the Deming management philosophy. However, now many versions on the quote ("you can't manage what you don't measure") is commonly attributed to Deming incorrectly. Deming realized that many important things, that must be managed, cannot be measured. Both those points are important. One, you can't measure everything of importance to management. And two, you must still manage those important things. In fact, he stated one of the seven deadly diseases of management was running a company on visible figures alone by this he meant that data is very important aspect but at the same time management should be able to understand entire business vibes and market/technological threats to take big business decision. Dr. Deming is also often quoted as saying: "In God we trust, all others bring data." While this does imply a requirement of data, it is meant to encourage people to find a way to get data when possible. If it were not common practice to fail to use data to improve decisions such encouragement would not be needed. However, since we often fail to take steps to take advantage of possible data Deming wished to encourage people to try and use data to improve. In my view, accurate and real time measurement data of any process is very valuable information to control, improve and sustain the process. But in case of various technological and financial limitation measurement data is not available or limited data available then experience, skill, knowledge play a vital role in decision making.
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Personal Excellence, Process Excellence, Operational Excellence, Business Excellence
They are 4 terms are not independent and one provide synergy to achieve other. Best explanation could be discrete if connected things and can perhaps best be thought of as concentric circles, with the smaller circle, being a subset of the larger one as shown below:- Everything starts with an individual therefore Personal excellence is a foundation of all three other excellence. Open mind, readiness to change for betterment, out of the box thinking, influencer and determination to do the best are few traits to achieve personal excellence. Actions of each individual in the organization directly impact the bigger goals of the organization. Process excellence is about process effectiveness and efficiency. It requires processes to be designed and improved for consistent delivery with minimum variation and minimum waste. It is the domain of Six Sigma and Lean. Operational excellence builds on the concept of end-to-end process flows in core and support processes, including organization’s culture (and with it HR) in its domain. It requires the organization to ensure staff understands how the organization works as a value creation system, and to have structures and empowerment that enable people to fix problems when necessary. Senior leaders advocate an organizational culture which embraces organizational change, and employees are empowered to innovate and take responsible risks. Business Excellence is broader still. It encompasses the whole organization, including strategy, communication with all stakeholders, and – critically – the organization’s results. An organization can have excellent processes and products but if its strategy is wrong or if its results are poor, it still has a long way to go to achieve Business Excellence. The final results of Business Excellence are visible in the Products and/or Services to customer and other stakeholders. Summary: Process Excellence – Effective, Efficient processes. Operational Excellence – Process excellence plus some attention to HR, culture and systems thinking. Business Excellence – The pragmatic pursuit and delivery of outstanding results for all stakeholders. Best approach may be to achieve the Business Excellence is that the that Senior Leadership should Create the Environment, Culture, training and necessary tools to enable effective Personal and Process Excellence for all the business processes including operations. Many business excellence models are available and the organizations are adopting as per their business needs. But all the have two way involvement and improvement approach i.e Bottom up and Top down model which synergies each other to bring Business excellence across the enterprise. Apart from many models, organizations across the world are using following 2 business excellence models as a basis for continuous performance improvement:- Baldrige Model: The most popular and influential model in the western world is the one launched by the US government called the Malcolm Baldrige Award Model (also commonly known as the Baldrige model, the Baldrige criteria, or The Criteria for Performance Excellence). More than 25 countries base their frameworks upon the Baldrige criteria. The Baldrige model consists of practices that are incorporated into six Approach categories plus a Results category consisting of – Leadership Strategic Planning Customer and Market Focus Measurement, Analysis, and Knowledge Management Workforce focus Process Management Business Results The Baldrige Values include: Visionary Leadership Customer-Driven Excellence Organizational and Personal Learning Valuing Employees and Partners Agility Focus on the Future Managing for Innovation Management by Fact Social Responsibility Focus on Results and Creating Value Systems Perspective EFQM model The EFQM model consists of six process enablers and one results category: Leadership Policy and Strategy People Partnerships and Resources Processes Customer Results People Results Society Results Key Performance Results The fundamental concepts include: Results orientation Customer focus Leadership and constancy of purpose Management by processes and facts People development and involvement Continuous learning, innovation and improvement Partnership development Public responsibility Excellance.docx