Everything posted by Vastupal Vashisth
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Time Series Analysis
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Time Series is a sequence of measurements of some quantity taken at different time or at equally spaced intervals. Time series models have following components: 1. Long term trend. 2. Cyclical effect 3. Seasonal Effect 4. Residual or error effect Time series is of high relevance and has two goals which are given below: 1. Identifying the nature of phenomenon which is represented by the observation 2. Forecasting means predicting the future values based on time series in present scenario the world is getting more and more connected, instrumented and smart intelligent and different sensor with latest technologies and other technical support which is collecting thousands of measurements every seconds thus leading to an enormous amount of data being produced on daily basis. In order to get best result from this data we should manipulate in an efficient manner. Time series analysis plays a very important role. it has so many application out of which some are below: Forecasting: To predict future values for the measure based on the previous data. for example just want to know sales of automotive vehicles in coming financial year based on previous sales data. Cross -Correlation: used to find out how changes on one time series with other time series behavior. for example effect on sales of ice cream, cold drinks as the temperature or summer increases, effect on stock value of two different companies. Auto - correlation: it is like cross -correlation where an input in a time series correlates it with itself at a different time to discover periodicity. for example accuracy of parts over a period of time at a particular location in fixture or temperature in a given location may be repeated many times in past. Similarity: it is used to measure distance between two or more time series. for example ECG waves chart: we can check if a 5 sec or 10 sec long shape already happened or not in past. Anomaly Detection: it is the ability to discover statistical anomalies automatically in the signal based on past vales. There is a need to smooth the data if there is any irregularity or any unwanted component found while recording the data from signal. and these unwanted components generally called' noise" , so it is necessary to separate 'noise' from 'signal'. Below is some common techniques to smooth the data: Moving average of size n Central moving average Weighted moving average Exponential moving average Some times we should not rely on time series analysis for forecasting. This is the case when there are some outlier or any seasonal pulse or any sequential set of outlier with almost same magnitude or same trend. all these are interrelated as A pulse is the difference of a step on the other hand a step is the difference of the time trend. these outliers are not well fitted in the available model. in these cases we must check the source of data that may be faulty or have any error in its accuracy. so if we go time series analysis of a inaccurate date then it might be not useful and we cant rely on its forecasted value so we must have accurate data otherwise we cant rely on time series analysis. we must adjust such points or occurrences as majority of forecast techniques are based on average and any arithmetic average is very sensitive to the outlier value so if there is any outlier it means average is shifted due to its sensitivity so we should not rely on that analysis .
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Nominal Conditions
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!For any process or department we must know and highlight abnormal conditions which needs to to eliminated. And to recognize abnormal, it is must to understand what normal is. Nominal condition defines standard of process on which it s operating within acceptable limits. It is a very important concept and we have to understand better what nominal condition is. The first thing to define Nominal condition is to establish acceptance limits. For example, we know that parts are producing from different tools which have different rate of production or has different SPM(Strokes per minute), A part of high SPM of 12 will be produced 720 units in one hour on the other hand a part of low SPM of 8 will be produced 480 units only in one hour. SO we should define limit because at the end of that day we are knowing that we will achieve our target . other example for the same is rules change by government in Engines from BS4 to BS 6 before it was BS 3, every time they are giving some acceptable limits for emission control so that companies do modification accordingly and set their target and range accordingly during production. The second important key to define nominal condition is to be able to measure it in process metric. For example machine has a capacity to produce 4000 parts in eight hour and so every hour it should finish 500 parts, so if you are knowing that at particular time you are supposed to finish 2000 parts but you are behind that target it means you are out of your Nominal condition. One should be able ot measure the condition real time e.g. at the mid hour mark - what is the count which gives you the opportunity for correction. It is hard to correct when the measurement cannot be real time (or with lagging measurement) The most common challenge is to maintain it for a long time. Mostly people think that it is one time activity and left after achieving it, but actually it is day to day activity and there are chances of continuous improvement. Like Toyota has implemented it long time back but still they are continuously working on it to improve it further and to maintain it further. Mostly people think that this can be used in manufacturing facility only but it can be used in any department of the company. There may, however be a lot of resistance to such a change.
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Stable vs Capable Process
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!A process is said to be capable if it meets specification limits which are decided by customer . On the other hand a stable process is one which is statistical controlled and meets control limits which are derived from process itself. Stability of process relates to change in variation and has control limits which are lower than specification limits. A process will be stable if gives consistent output. SPC charts are used to determine if the process is stable or not.For example X bar charts are used to monitor process average. There is no direct link between process stability and process capability . by knowing that the process is capable tells us nothing about the process is stable or not and similarly by knowing only process is stable tells us nothing about the process is capable or not. there fore we should know both control as well as specification limits for any process. There is only one link between these two is that process capability should be performed only after performing process stability. because if we dont know that process is stable or not and its not giving any consistent output , how can we find out process capability. Process capability represents the performance of the process over a period of stable operations if there is only common cause of variation present in any process, then the output of that process forms a stable distribution over a period of time and can be predictable. A stable and capable process will be incapable and unstable if there is any special cause of variation because it reflects unexpected results and output goes beyond specification and control values. Process will be unstable if any value goes beyond control limits and any special cause gives any output which is out of specification limits. Special Cause of variation is a type of variation that are not always acting in the process. The process may be unstable but can be capable inn case of common cause of variation. Because common cause of variation leads to many pattern in control charts to identify this , either the mean is shifted or have a repeatable distribution over a period of time. When we are plotting a process on control charts, process stability can be checked by several patterns like points are outside control limits, there is any upward or downward trends, points are only one side of central line, repeating cycles. Output is in specification limit but not stable as it varies over a period of time. A process will not be capable if the specification limits becomes unrealistic, process is giving stable output within control limits but not have realistic specification limits can be one of the reason that the process is not capable. and other reason for the same is any special cause of variation in any process which is not acting before in the process. the purpose of capability study is to find out whether a process is capable of meeting customer requirements and to take any action if its not meeting requirement. Followings are steps to conduct capability study of any process: Select a key quality characteristic of a specific process for study. Confirm the measurement system which is used to collect the process data. gather the data , collect data from the process or we can track data on control charts. verify process stability and ensure the process is in statistical control . if the process is out of control identify and eliminate the cause. verify that the data that was collected is normally distributed which can be find out by Histogram, Anderson- darling Test etc. get the process specification which can be one sided or two sided. Determine the process capability indices and interpret them. Update the process control plan.
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Shojinka
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Shojinka is a Japanese word born from Toyota's Lean Manufacturing Principles and one of three three similar words which are related in concepts but with different meanings on shop floor. 1. Shojinka: it refers to 'flexible manufacturing' or flexible manpower/staffing' and it reflects the efficiency of production line with any number of workers and fluctuation in demand. 2. Shoninka : it refers to 'manpower saving'. in other words we can say that by doing some modification and improvement in work procedures, machines or any equipment , free the whole unit of manpower or free any person from that workplace or production line which were having having more manpower before modification, and get the same or more output with less manpower. 3. Shoryokuka: it refers to 'labor saving' . it shows some partial improvement of manual labor by adding some automation or any system which reduces the efforts that were putting more before and output was less. so by adding some modification if we are getting more output from same person means we are saving labor or time and did not remove the entire person as in Shoninka. Shojinka has two main elements : 1. workers are multi-skilled and can work at different station as per requirement to meet higher production demand or to balance line in case of any manpower is not available. 2. Assembly line is U shaped or circular instead of linear which have several benefits in terms of saving of transportation, manpower time saving as input and output of the final product are at same location and all worker working at same place leads to space saving as well as utilization of time efficiently in case of fluctuation of demand and it allows manpower to see starting and end stage of any product at a single location which saves time without walking entire length in case of linear line of production. Requirements of Shojinka: 1. Upper management or managers must have a clear understanding of demand as well as line capacity to fulfill the requirement. 2. The design of the system should be easily operative in various worker formats and in fluctuation of demand of the products. 3. Processes and procedures must be highly standardized so the output can be meet as per demand regardless of who is doing the work. In other words workplace should be process oriented not people oriented. 4. the most important factor that worker must be highly cross trained in various discipline either horizontal or vertical skill up to support the demand fluctuation as well as cost saving by doing more kaizen and other productive activity. 5. Team should have information about the production as per demand so that they can give their best to cop-up the situation as per their skill and can meet the requirement. Advantage of Shojinka: 1. Staff will be flexible means all are trained in all or most of the level to cop-up the situation which allows them to work according demand fluctuation. 2. Flexible workforce helps to remain high efficiency under any production demand. 3. When demand is low, it allows the workforce to work on various improvement projects as they are well trained in all areas. 4. Workers can work according to demand on any level of production if they are informed timely and trained in all level of production depends on requirement and skill set of the individual. For example it will be more helpful in those industries of which demands fluctuates as per season like Air conditioner demand is more in summer and cold drinks and ice cream demands are more in summer as compared to winter. Automobile manufacture also use as demand fluctuates as per festivals or in case if any other competitor enters into the market. for example if any new model is launched by any automobile manufacturing company then its demand will be high in initial months and later on it slows down. if the same is forecasted accurately and informed to shop floor timely then team con work accordingly to meet the requirement as per demand. it can be used in automobile industry to reduce waste and can be used for improvement in case of fluctuation of demand.
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CLOSED MITT vs 7 Wastes
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!To understand CLOSED MITT and 7 types of waste there is need to go back in the history of Lean Manufacturing. After world war 2, during reconstruction of automobile industry in Japan, Toyota Production System introduced the concept of Lean Manufacturing. The term 'Lean' was promoted by James P. Womack and Daniel T. Jones in their book Lean thinking. Lean manufacturing involves never ending efforts to eliminate the waste by using different tools and techniques like poka yoke, Jidoka, One piece Flow, Kanban, 5S, Autonomation and many more. TPS has defines the seven types of waste which is generally called MUDA, that has been sufficient in steering Toyota to as a global leader. The acronym for 7 types of waste is WORMPIT or Tim Wood. 1. WAITING: people or parts tag are waiting for a work cycle to be completed. 2. Overproduction : to produce more or faster than customer requirements or downstream processes. 3. Rework: produce rework in parts or parts with defects leads to very less first time yields and need to rework those parts to fulfill requirements. 4.Motion: unnecessary movement of parts, people, machine 5. Processing : processing done beyond standard required by customer. 6.Inventory: it includes raw materials, work in progress and FINISHED Goods which is not value added and customer is not willing to pay for it. 7. Transportation :unnecessary movements of parts/produccts between units, departments, processes because customer is not ready to pay for transportation. Coming to CLOSED MITT, which is used by Boeing to categorize water in their organisation. Let's see how CLOSED MITT is different from MUDA or 7 types of waste and what us reason behind that Boeing categorize waste into 10 types rather than 7 types. These are below: 1: Complexity : processes should be very simple to understand and run. We can see if there are so many process which is added otherwise or repeated to finish a product, it makes that process too much complex to understand and execute it. Here also adding three more types of waste to 7 types also making itself more complex to define and execute the same. 2. Labor: manpower resource should not be wasted. It includes waiting, walking and all. Motion waste can be considered as a water of labor or under utilisation of talent which is usually 8th waste can also be considered as a waste of labor. 3.Overproduction: this is the worst form of waste which is produced more than demand and us the top lost in 7 types of waste too. 4. Space: if space is not utilised effectively then it can be considered as a type of waste and it is inventory type of waste for which we are paying. We should use as little as possible efficiently because we need space for everything to store inventory which is required to. Run the process and to run other facilities. 5. Energy: it costs money and it is a type of waste for which we didn't had enough attention in seven type of waste. To run any plant, machinery and other equipment we run lot of things simultaneously and during this we ignore to save energy which is used to run all facilities and this type of waste can get considered in one way as Processing waste as we use more resources than necessary and all processes needs energy in any firm to run them. 6. Defects:it is one of the seven waste which says that do it right first time otherwise we will have less first time yield and our output will be affected. To overcome this we have to deployment manpower to repair or replace them fir fulfilling the requirement of customer which is waste activity. 7. Material : it is either the waste of defect or any processing in case of extra material used to produce products. Raw materials should be used efficiently and effectively both for more yield. 8. Idle Materials : it can get seen as Inventory type of waste which includes all inventory from raw materials to finished goods for which we need extra space to store it. Idle materials are classified here as which are adding no value to it and customer is no more willing to pay for it. 9. Time: it is type of waste but if too much broad yo explain it. It can human time for waiting or processing time. We Dan consider it in Motion or processing waste depending where is wasted. 10. Transportation : it is one of the seven types of waste which adds no value and customer does not pay for it.
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Changeover Time
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!SMED concept is given by Shigeo Shingo's and is a lean technique which is used for reducing the setup or change over time at the factory process.As the name reflecting, Single Minute Exchange of Die aims to reduce setup time to single minutes or less in other words we can say that changeover time should be less than 10 minutes. SMED has been developed within Toyota Production System(TPS). Initially in starting of industries, hours of time taken for change over.The most common example of change over we can see changing of tire. If we see formula one racing car, PIT has reduced their tire change time form 15 minutes to 15 seconds or even less than this. Ferraro has achieved it even less than five seconds. SMED is all about to remove all wasteful steps in the changeover process. SMED needed at shop floor because if changeover times consumes many hours and we try to get maximum output from these machines by minimizing the non value adding activity or changeover. if we are going to produce smaller batches then there is need to reduce changeover time. The main aim of SMED is to reduce setup time and it works and it plays a very important role to run JIT and KANBAN properly at shop floor. SMED has following benifits: SMED can reduce handling equipment loss by turning it to automatic operation. Lead time can be reduced Can increase capacity of line Can improve quality Helps to produce a variety of products in short span of time Shop floor space utilization properly Can reduce scrap quantity While implementing SMED at shop floor , following steps are followed : Differentiate and separate both internal & external activities while setup Standardization of external setup activities Conversion of internal to external setup activities Continuous improvement in internal changeover activities Continuous improvement in external changeover activities Autonomation setup Elimination of changeover After implementation of above seven steps, we can see improvement in changeover time and it can be standardize further to be effective and to use properly for other team member and further take a goal to reduce more and improve the productivity.
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Internet of Things
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Internet of Things has the power that can change the world. it is improving every aspects of life if we look around we are seeing everywhere people are habitual to use modern and new technological things. we can see impact of IoT in different segments of life; 1. Human being day to day life: we are using internet nowadays very much. previously we used to wait for all things but nowadays all information is in front of us within seconds. simple example of our household items, slowly our fire alarm, video camera, home security, our AC, TV, Refrigerator already connected via internet. Through various app we can switch them on or off depends on our requirement and it saves electricity too and other benefits also. 2. Agriculture: Agriculture sector is much more impacted by IoT, before we did not had very much information about weather and information about various crops, their improvement , fertility of sand, compositions, minerals and much more. nowadays we all have in front of us, we can easily know when is rain about to come so we can take countermeasure accordingly, we can cut our crops and measure its quality parameters so that we can know how we can improve our productivity and less waste while cultivating. through internet a farmer knows that rate of his crops in advance so that he can wait for the exact time to sell. 3. Food Industry: in food industry also we use Internet very much. while processing food, we use so many sensors which identifies defective and ok . we process thousands of tons of food daily and control its output quality and can forecast its demand in future and now. 4. Health Industry: in health industry internet has made a revolutionary change.Complex surgeries are very easy nowadays and fast. we can see inside a human body whats going inside. For example if in a surgery MRI of human brain done but not knowing whats going, we can send reports to doctors immediately via many apps and can consult about treatment. So many technologies improvement via machine, robots and much more. 5. Manufacturing Industry: in this sector also so many technological improvement via internet. We can control our vehicles nowadays via internet and can see even maps in our cars and can track our journey. We can see via rear camera . Nowadays so advanced cars that run automatically without any driver. We can forecast our design standard and performance of our designed cars and their simulation test and much more.
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Important VS Urgent
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!IMPORTANT task are the task which are long term goals or plan or task which go for long time and needs daily attention. For example making a Monthly MIS is important because it takes entire month activity, making a presentation of your projects which you are doing for improvement. in other words we can say that important tasks are the tasks which have longer deadline to finish the task. URGENT tasks are the tasks which have shorter deadlines and require quick action or the situations where you have to give quick response.for example to pick up a call, somebody meets with an accident, then its urgent to take him hospital on immediate basis and give first-aid on the other hand to give treatment on time to recover patient fast and better is IMPORTANT, so it depends on the situation also what and where are we doing? here are some examples below: It is urgent to catch the bus to be on time for appearing in the exam but its important to study for qualifying the exam. Its urgent to resolve the problem at customer end but its important to deliver defect free parts to customer. To get better physique is important but its not urgent So we can divide our day to day activity in four categories: 1. Tasks which are important as well as urgent too for example to give answer on this forum before 6 pm today is urgent and important. 2. Tasks which are important but not urgent. for example exercise, to make a call to your relative, long term plan for your goal 3. Tasks which are urgent but not important. for example interview scheduling, to resolve customer problem on spot 4. task which are neither important nor urgent. for example checking your spam box, checking your social media, checking you mobile call log, checking comments
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Operational Definition
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Operation Definition , it is clear, concise and unambiguous statement that provides a unified understanding of the data for all involved before the data is collected or the metric is developed. For any data collection activity, OD should be established for each data element that will be collected.Operational Definition constitutes following: Who collects the data? How are the data collected? What data are collected? Where are the sources of the data? When are the data collected. OD also provides the metric and tell who is the responsible or answerable to its results or in other words we can say that it provides an interpretation of the metric. for example in some organizations, might be possible that a highly accurate required because of regulatory or reporting requirements.So accurate data are required and necessary to drive and sustain real improvement. in aerospace industries we need very high accurate data. and there are some organizations which have processes that deliver data to the other organizations. for example a payroll data regularly reported to the internal revenue service. the consequences associated with poor data accuracy can be quite trouble some an dhave a strong negative impact on the individual who is depending on the data.
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Constraint and Bottleneck
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Constraint is a limiting factor to organizational performance. It is an obstacle to the organization reaching its goals. Bottleneck reduces the speed of the process. We may have multiple bottleneck but only one constraint. any process outputs depends on constraint as it is the slowest or most problematic process as well as bottleneck. In any process, there will be always both bottleneck and constraint. In any process constraint can not be eliminated but it can be controlled and segregate and all constraints are bottleneck but not vice versa. as whatever step is reducing the speed of process is bottleneck so constraint also reduces speed so all constraints are bottleneck but not vice versa. For example there are two machines for production, out of which machine A has high SPM of 14 and other machine B has low SPM of 9. So while production we are seeing that there are some parts which are running on machine A, runs at low speed of 9 SPM, so it is impacting productivity and output as we are getting only 540 units instead of 840 in one hour, so a huge loss is there due to bottleneck, as part profile is different we cant run at full speed because problems can be generated at full speed for getting out parts form machine. it is bottleneck for the machine A process. But on the other side Machine B has a SPM of 9 only and its productivity is less as compared to machine A and it is constraint for the organization as it gives less output . So it is problematic condition that if we runs parts of slow SPM at machine A then we have loss of productivity although our machine B is already at low SPM, so we are not able to produce as expected. So for full utilization of constraint, we shifts the parts of low spm of 9 which were running on machine A shifts on Machine B which runs at a SPM of 9, so by doing this we are utilizing both machines fully and we can get better output. So by doing this we eliminate our bottleneck and elevate our constraint as now we are taking full utilization of Machine B with low SPM parts and Machine A with high SPM parts for better productivity.
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6S
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!In any organisation we have a philosophy of 5S to maintain and sustain our system to get better output. 6S related to safety. Here mental safety relates to psychological health of any employee while at work. If any employee is not psychological active to prevent harm and work better. If any employee is present physically in the Organisation but not mentally then it can impact on work as well as productivity. For example if he not psychological ok an d not present mentally in the Organisation then might be possible that work is going on in front of him and he ignores all problems and just work going on and in actual work was not OK but he may pass it to next process. In hospitals if any one not psychological ok an d not present mentally during work then might be possible he can change the dosage or any medicine which can have worst impact on patient. So it is necessary to have mental safety. And psychological health of all employees should be for better performance and work.
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Web Analytics
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Web analytics is very useful tool to measure, collect and analyse the Web data for better understanding as it is used for business growth by seeing the behaviour of visitors on Web page by seeing its contents by consumers and by clicking on different pages and tagging them. It is also monitored by the location and timing of the visitors for better understanding to make proper strategic plan for their growth. Nowadays It is mostly helps the companies to advertise right at right time according to their products. And companies do marketing of their products online via websites or online marketing. Any sector company can do Web analytics for their business growth to market their product and to better understand the consumer for increasing their sales to get more revenue as well as profit. Latest example we can see that a new method is adopted by Xiaomi Products for doing marketing of their products. They have analysed and decided to sales their mobile of particular model on a particular day at a particular time and we see that even in couple of minutes Xiaomi is able to make higher sales which other companies are not able to achieve throughout the week. So web traffic is more and they analysed properly the system before taking this type of marketing where people used to wait when will sales will start.? So Web analytics is very useful tool and used by companies more which can sell their products online and for other companies which wants service and feedback for their products and services. We can see it is also used in elections to track people opinion on social media by analysing their comments, tagging and collecting and analysing the whole data.
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Cp Looks Good — So Why Does Cpk Still Fail in Real Processes?
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Cp and Cpk are two capability indices which are used as baseline measurement in measure and control phase. These indices measures common cause variation within subgroup and short term only. These are the statistical measurements to report process capability. Cp is a short term index and straightforward indicator of process capability which doesn't account for its mean being centred. Higher the values reflects narrower the spread an d more precise. And it does not tell the location of spread, only tells about whether the process is capable or not. Ideally for a good process capability, its value considered as 2 means specification limits are two times of process limits. Cp = SW/PW = 2 but generally people accepts value more than 1.33. This is very unrealistic to tell about process capability by considering only one factor only. Because sometimes a process can be more precise but it can be shifted towards any if its limits. And if it is shifted towards any upr or lwr limits which means there is probability to produces products which are out of specifications limits. And Cp doesn't provide any Information regarding the same so it is necessary to see other factors to find out exact scenario of the process that where we should do improvement like improve standard deviation or shifts mean. So here comes factor of Cpk which uses mean and SD to estimate probability. k is the amount of which a distribution is centred and Cpk tells the information about process mean. Cpk can never exceeds Cp value Cpk = Cp(1-k) range of k varies from 0 to 1. In other words we can say that Cpk is the adjustment of Cp for the effect of non standard distribution. It measures how much close to your target and how much consistent to your average. A person can perform more precisely with minimum variation but can be away from its centre and go towards one specification limits and it can be at exactly on average target value but can have more variation. So for any process to know about process capability and its position we should now both Cp and Cpk. In above example After calculations we see that Cp is 1.33 and Cpk is 1.11 which is less than value of Cp. Generally accepted value for Cp is greater than equal to 1.33. So the process is capable but we don't know where its location is whether its shifted or not. Here we are seeing that Cpk is not equal to Cp. It means it has some value of k which is the amount a distribution is centred. So it shows that process is shifted and we need to work on to shift mean back to its centre position rather than to reduce standard deviation, because its easy to shift mean rather than reducing Standard deviation.
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Balanced Scorecard
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Balanced score card is a term coined by Kaplan and Norton, 1996 in the early 1990's, separates organizational metrics into four prospective. 1. Financial perspective : this provides the Organization with insight into how well its goals, objectives, and strategies are contributing to shareholders. 2. Customer Perspective : it defined that how effective the organisation is in creating value for its customers through its goals, objectives and strategies. 3. Internal business processes perspective : it includes all processes designed to create and deliver the customer value proposition. 4. Learning and growth perspective : It includes the capability and skills of an organisation and how it is focused and channeled to support the internal processes used to create value. Lagging indicators are those which follows an event and it is reported after the fact. Leading indicators are those which predicts or infers a future event. Depending upon how it is viewed an indicator can be both leading and lagging. For example : If we consider spotlight example, the yellow light is both leading indicator of the red light and lagging indicators of the green light. Another example we can say that customer visits, demonstration, proposals and order are considered leading indicators for sales and sales when reported after the fact is considered a lagging indicator. Same like market share, revenue growth, and margin are all lagging indicators. So may of the fact or indicators in balance sheet are lagging indicators since they are reported after the fact.
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Creativity and Innovation Part 2
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!I would like to say a customer can not express his desires unless you show something to him because his desires also comes from his needs, wants and expectations. For example a customer needs something for transportation he can demand anything but unless you will not show him like bike, car or anything he will not be able to express his desires, like in case of car he can say it should be safe, fats with good milage and can accommodate four to five people. Same case with service industry also like money transfer example, customer uses neft to transfer money but it takes more time. You have shown him to something by which he can transfer money now his desire comes to transfer very fast quick so banks nowadays gives facility for IMPS for quick transfer. Now someone not want to add even account no then also in some banks they have given facility to quick transfer within same bank like SBI. So unless we not give something to customer they will not be able to express their desire.
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Kaizen
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Kaizen is used for continuous improvement and it includes all four factors like Easy Kaizen, Better kaizen, Fast Kaizen and last Cheap kaizen. Cheap Kaizen is a kind of kaizen like to eliminate quality defects using waste material. Easy Kaizen is like to either change the method for detection or change the operation sequences in assembly line. Better Kaizen is like whether some amount spent to do the kaizen but its outcome will be tangible. Fast kaizen is just to solve the difficulties on the doing a simple step on the spot. These are the types of kaizen, so there is no need to set priorities for these factors. It depends on the demand of the situation.
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Brainstorming
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!BRAINSTORMING, is a group technique in which efforts are made to reach a conclusion for a specific problem by gathering a lot ideas which are contributed by group members. In this, a cross functional team efforts required because of different creativity at different level of management for finishing the project. it widens the scope of the issue as participants cme from different disciplines. Before discussing about the limitations of brainstorming and its solution first we discuss brief about types of brainstorming session for more clarification.Below is types of brainstorming : De. Bono Six Thinking Hats This technique developed by Dr. Edword de Bono.He introduced six different hats which represents different thought of group members. WHITE HAT: in this participants considers only data and information whatever they have with them RED HAT: in this tema members gets the opportunities to present their feelings. BLACK HAT: in this teams avoids group thinking and calls for critical judgement. BLUE HAT: this is used to control the whole brainstorming session GREEN HAT: in this team members will have sufficient time and space for creative thinking. YELLOW HAT: in this team members looks logically to reach out a solution for any given problem. Multivoting: In this team members has points to allocate to the ideas as he or she feels . by doing this whichever idea gets the higher points , will be worked first. Nominal Group Technique: NGT is used to prioritize the list of items. in this all team members writing down their ideas on a slip of paper and after some time when all members have run out of theri ideas the facilitator selects one idea from each team member and records it on a board which is visible to all. the process goes until all ideas written on board and during this no discussion will be done.Now the ideas will be prioritize which will be decided by team members by giving ranking to individual Force -Field Analysis: this technique is used for analysing the forces that hinder the organization in reaching its objective. in this driving and restraining forces are used. these forces may be many to one in any direction. Delphi Technique: developed by Dalkey and Helmer and is a widely used and accepted method. In this a secret ballot process is used for giving responses by team members. and all participants are encouraged to revise their answers after getting replied from experts. This is used to gather data from participants within their domain of expert. limitations and solution with example of brainstorming : A person or group dominates the session for example a person or a group in the session is dominating and not allowing the other members to put their idea's. Solution: go around the team and ask each person for one comment Speak to the dominating people between team meetings, and requesting theri assistance. A person or group is reluctant o participate: for example during discussion, a person or a group is not responding or not contributing in the session even he or all are the doamin expert. Solution: Form small subgroups that report to full team be sure to welcome and express appriciation speak to the reluctant people between team meetings and requesting their assiatance. Accept opinion without data: for example if all group members are accepting any decision without sufficient data discussed in th group. Solution: Raise question like how do we know that? is there any sufficient data? how can we verify that. Groupthink: all group members thinking in one direction and reach a solution very early and members are more concerning about to avoid any conflict. Solution: provide full opportunity for teh expression be sure fro a written conclusion ask individuals to play by opposing early consensus. Disputes: sometimes dispute starts instead of any discussion and everyone tries to make himself right. Solution: assign team members the job of collecting data regarding the issue have a printed agenda make sure grund rule satte teh need of fresh start Floundering: sometimes team has lost its goals and objectives during session and start discuss on thing which are not relevant to the problem which is decided to discuss. Solution: make goals and objectives clear in starting start team meeting by revisiting goals and objectives. consider facilitator Rushing to meet its milestones: in this team is taking risk of suboptimization and solving one problem by creating other problem and rushing to meet its target without benefit of a throughout study, just to finish it early. Solution: encourage the team to study approaches and its solutions. any change should be clearly communicated. Trouble over issue of attribution: sometimes issue of attribution comes in team members that who should get credit for an accomplishment. Solution: acknowledgment should be there if there is any idea from outside also. if any person or group was responsible for the source of ideas that should be acknowledged.
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Weighted Pareto
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Pareto Chart or Pareto Diagram, is a excellent tool for prioritizing potential root causes or number of defects/problems. It is based on Pareto Principle of 80-20 Principle. It is based on theory of unequal distribution of wealth. This principle dictates that 80% of the failures are coming from only 20% of the causes. This tool based on the present data, it does not provide any projected movement of any one of the contributing factor in coming future. It is the visual representation of vital few against trivial many. A Pareto diagram is combination of bar and line graphs of accumulated data where data is associated with a problem are divided into smaller groups by causes.It is a dual scale chart. The length of bars represent frequency and arranged with longest bar on left and shortest to right in decreasing order. On left side Y axis there is number of problems or defects and right side Y- axis cumulative percentage. Cumulative percentage of 100% should be equal to total no of problems or defects for getting accurate pareto Chart. On X- Axis types of defects or problems are defined. Cumulative % will be derived after arranging all types of defects/Problems in decreasing order. We can use Pareto chart in following conditions: When we are analysing data about the frequency of problems in a process. When we want to compare results before and after taking countermeasure. When we are communicating with other about our data to make them understand in better way, When analysing causes in broad way by looking at their specific components. When we have many problems and we want to focus only on significant problems. A Weighted Pareto does not look like normal Pareto chart in which we look at how often defect occur but it considers how important they are. There are some of different attributes that we can use in weighted Pareto; Severity of defects Cost related to defect Detectability of defects A Weighted Pareto may change how we see the priority for improvement projects. It requires valuation, different attributes are needed to calculate valuation and these attributes can be objective to find out and fix cost to each type of defects/problem so that we can identify which type of defects is having more impact on company and its reputation. it will help you to identify where high cost defects occur. We reconstruct Pareto to draw Weighted Pareto by multiplying frequency to its assigned value of attributes and re-arrange all defects in decreasing order to calculate cumulative % of each defect type. for example if we see a sheet metal industry, some defects are occuring like crack 10 cases, 25 dent, 30 deform. As per Pareto Chart we consider these defects as Deform, Dent and Crack in decreasing order. So if we consider cost related to these defects like we spend 5 rupee to repair one deform and 7 rupee to repair one dent but we can't repair crack so we lose 20 rupee for a crack. so Loss for 10 Cracks = 10* 20 = 200 rupees Loss for 25 Dents= 25* 7 = 175 rupees Loss for 30 Deforms = 30 * 5 = 150 rupees. so according to weightage of defects we are observing that Crack which was least important before now comes at top position and to focus more for taking countermeasure, similarly Deform which was on first position before now comes at end for taking action and least important. So Weighted Pareto changes the scenario how we see the priority for improvement of projects.
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Nominal Group Technique (NGT)
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Nominal Group Technique is an extension of Brainstorming. It is a structured method for group brainstorming used to encourage contributions from everyone in the group. It is a way of using small group discussion to reach consensus. Hence the technique is helpful when we want to take everyone's opinion but also want to make quick decisions. Here is when NGT would be prefered over traditional brainstorming: When not everyone can think when everyone is talking, some members prefer silence to come up with ideas. When some group members are very vocal and overshadow others. When some or all members don't know each other well and hence there is a lack of comfort. when there is a possibility of conflict. When group is not able to come up with enough ideas When not all group members are participating When some group members but others' ideas short. The usual four step process to conduct Nominal Group Technique is outlined below: Generating Ideas: The moderator introduces the problem to group and indicates that everyone should write their ideas individually and without any discussion. Recording Ideas: Members engage in a round-robin session where they share their ideas with the moderator without any discussion or cross questions. No duplicate ideas need to be mentioned. The moderator records the points where everyone can see them. Discussing Ideas: each recorded idea is the discussed at this stage. Voting on Ideas: Individuals are now asked to vote privately to prioritize the ideas. The ideas that are most highly rated as per the vote tally are the most favoured group action or ideas. Advantage of NGT: It can generates a large number of ideas in a more comfortable environment. It allows the group to prioritize the ideas and everyone has a say in the form of their vote. It reduces the fear of standing out in the group esp when the opinion is different than others. Encourages participants to avoid conflict. Balances the influence of individuals who are too vocal or too quiet
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Rolled Throughput Yield Part 2
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Yield of any process is output divided by input but here we are talking about Rolled Throughput Yield. Before understanding RTY, we should know about First time Yield. FTY( First Time Yield) is the common way to calculate process yield or is the probability of defect free output for a process. It considers only the set criteria at the end of the Process. It does not capture the how many defects were found and corrected within a single unit during the process flow. Now the Hidden Factories come into picture and FTY will not detect the effect of Hidden Factories. It will typically indicate that a process is performaing better than it really is. Rolled Throughput Yield ( RTY) is the probability that a single unit can pass through a series of process steps free of defects. RTY is defect sensitive - which means that instead of being based on yield on produced unit, it uses the number of defects found at each process steps. So mathematically we can say that we can multiply FTY of each process to find out overall RTY. When a process steps produces defects and its yield will be less than 100 percent even if defective output are corrected, its yield will remain same. and to correct defective output is separate process. RTY = Yield of process step 1 * Yield of process step 2....Yield of Process step N. It is Ideal for any process to produce its products without any defects or without any rework. But it is always there that defects are repaired and ok products given to customer by not seeing the cost of rework because customer should be happy and many organization focus more what gets outside the door. and while calculating FTY we are not able to recognise the hidden Factories but if we calculate RTY , it quantifies the effect of inefficiencies found throughout the process and its steps to finish it. Lets take a example to understand more that how RTY highlights about Hidden Factories: for example any process is completed in two steps and have input of 100 parts and output of 100 parts. so FTY indicates a good process with no defects getting to customer because there is 100 input and 100 ouput and organization is very happy to see this a s100 % output. FTY does not capture any effect in the process steps. 100 Input --Process Step A --- Process Step B ---- 100 Output ( Yield: 0.95) ( Yield : 0.95) ( Remaining defective Reworked and again processed in both steps) FTY = 1 or 100% RTY= 0.95*0.95 = 0.90 or 90% so we can see that 100 in and 100 out , a good process as per FTY and we are not aware about rework done. FTY does not capture this 5% rework done in every step. So in one way 10% of the output is reworked to keep customers from getting defects. So Process has to do enough work to be done to make 110 outputs to produce 100 defect free products. The two hidden factories here exist because of defect generation at each step but organization or process owner wants for the customer to receive defect free outputs. So the rework which has been done for those 10 defective outputs will show up as process's cost of poor quality. So RTY on the other hand captures the work done by two hidden factories, instead of a process in 100% compliance as described by FTY, we can say that RTY describes that a Process that wastes 10% of its resources. So RTY points the way to where improvement efforts are needed and highlights "hidden factories".
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Power of Hypothesis Test
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!If we want to ensure that a statistical test picks up a significant effect, what will we want to increase - confidence or power of test? Before proceeding to find the answer of above question, we should know about Null Hypothesis, Alternate Hypothesis, confidence and power of test. Null Hypothesis: This Hypothesis indicates that there is no significant effect. Alternate Hypothesis: This Hypothesis indicates that there is a significant effect. Confidence: It is the probability that the test accepts Null Hypothesis when Null Hypothesis is True. Power: It is the probability that the test rejects the Null Hypothesis when Alternate Hypothesis is True. The statistical Power ranges from 0 to 1 and as statistical power increases, the probability of making type 2 error decreases. For a type 2 error probability of β, the corresponding statistical power is 1-β. Means we are accepting the Alternate Hypothesis Test when it is true. Type 2 error is not rejecting the Null Hypothesis when in afcr the Alternate Hypothesis is true. SO by decreasing type 2 error, we are decreasing the probability of Null Hypothesis. Alpha, the Type 1 error that you are willing to accept. Its value is set from 0.1 to 0.5. An alpha of 0.5 means that you are willing to accept that there is a 5% chance that your results are due to chance not by test.Type 1 error is rejecting the Null Hypothesis when it is in fact true. Confidence level is 1- α. If we want to increase confidence level, then there is need to decrease value of α which indicates that we are accepting Null Hypothesis when Null is True, means that a statistical test is not picking of any significant effect when confidence is increasing. So, from above explanation we can say that, if we want to ensure that a statistical test picks up a significant effect, then we will want to increase power of test.
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Risk Priority Number (RPN)
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Severity, occurrence and detection are subjective while calculating RPN values. RNN values by itself will not mitigate risk. There is no definitive RPN threshold to decide the area which to looked into.There is problem in regrouping the team for assessment of process RPN for before and after results. RPN values may be biased in some cases and if detection cases are not detected frequently then there will be no meaning to calculate RPN values and FMEA may not be effective to create a corrective of preventive action.
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Force-Field Analysis
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!Example is of inventory management. One group is saying in a company to increase the inventory for three days instead of running inventory for one day. Now the point is how will you store the inventory for three days? Another group is against to increase inventory level, they just want to go on with one day inventory only. Now forces which are in favor to increase the inventory level are if any tool breakdown, machine breakdown, quality problem in parts, then customer line can be managed by using inventory and no need to have contingency plan if have sufficient inventory to support the line. Tool maintenance will have sufficient time to work in dies, machine maintenance will have sufficient time for preventive maintenance. Forces which are against in the decision to increase inventory level like Who will take care for the increased inventory? Extra resources will be needed to increase the inventory level like area, building, manpower, trolleys, lifters, electricity. So we can see that for any change there are some forces which are against the change and some are far. So by doing brainstorming in a team considering all aspects a team can take a better decision by this technique of Force Field Analysis.
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SCAMPER
Vastupal Vashisth replied to Vishwadeep Khatri's topic in We ask and you answer! The best answer wins!'SCAMPER' is the brainstorming technique or a tool which is used by asking question about existing products/services using each of seven prompts Substitute, combine, adopt, modify, put to another use,eliminate,reverse or rearrange. These questions helps us to come up with creative ideas for developing new products or services or improvements in existing one. For example McDonald's founder already done a lot of work to establish his business, so if we see how SCAMPER is used in his business. Put to another use: Selling restaurants and real estate business instead of only burger Eliminate: Letting customers serving themselves so avoiding the use of expensive waiters. Combine: instead of selling individual products, selling in combination and made a meal or combo meal. Modify: modification in bill payment , having customer pay before eat so that there will be no hassle after finishing the burger. Substitute: instead of running restaurant at one place, started a chain system and starts to franchise to make more profit by substituting place, time ,people Adopt: as per this technique he might be adopted to offer soft drink with burger like Dominoz is offering with pizza. Adopted to serve ice-cream , french fries with burger to make more delicious . Reverse: reverse or rearrange aims to explore the potential when changing the order of the process in production line or in deliver line. or we can say how can we rearrange the current status for better output. so in McD , they started to produce baking all raw material in advance in such a way that customer dont wait too much, they changed the method of taking an order then start to produce. another rearrange for delivering outside in the vehicle of customers outside itself, no need to come inside and place an order on counter. So by this whoever just in hurry can order outside counter of the restaurant and can take it from there so time saving of customer. The SCAMPER technique is one of the easiest and direct methods for creative thinking and problem solving through a number of techniques or questions.It can be used to explore existing products and services from seven different point of view.
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Internal Quality Score
Yes it may still still solve its purpose although internal quality score doesn't has a positive correlation with Voc. Offcorse there are situations where if internal quality score doesn't meet it will directly affect customer expectations. Or in other words we can say that if it is not having positive correlation then at least we know from the score that how much we are deviating from our benchmark or our target to fulfill our customers requirements. It will still help us to take c/m for the particular day or process because we can find out why it's is not having positive corelation. Customer requirements are different they should align with vop and by doing this we can satisfy our customer or any organisation focus on customer satisfaction. If I take example of car manufacturers, there is jd power iqs survey to check quality of car in every prospects every year. In this they have various sections and have lot of questionnaire related to those which decides a satisfaction level of customer for that particular brand car. If it is less means car is having problems which indicates somehow that we did not control our internal process. Then after detail study of survey we can find out where and in which department legging the quality or the problem is an d then take c/m for the same. So we can find out during that period if our iqs is low or not align with Voc, it will leave some impact on customer satisfaction. But still it will serve it's purpose by giving a reason to work upon to find out root cause.