Question

Here are some questions to think about for this week's Discussion Post. Feel free to discuss each or choose one.

How do you determine which process improvement tools should be used in a given situation and what is the cost and return of each approach?

What process improvement tools can have the most powerful effect and why?

Answer 1

1) There are various process improvement tools available such as six sigma methodology, Simulation methods, Flowcharts, Lean manufacturing technique, Plan-do-check-act (PDCA) cycle, Process mapping, Total quality management (TQM), etc. The selection of a process improvement tool in a particular situation depends on the kind of process, type of organisation, time available and budgeted cost. For example, a) a company manufacturing precision electronic components will want the defects to me minimum and that all of its components are within specified tolerances. For this, six sigma is the best process improvement tool. Six sigma aims at reducing the defects to only 3.4 parts per million, hence nearly all output components are defect free. However the cost involved is high and so is the requirement of skilled manpower. b) A company which is facing a lot of scrap rejections or huge inventory pile up, may want to reduce its wastes in order to improve efficiency. Lean manufacturing method will be best suited for this type of organisation. c) An organisation which is facing multiple quality issues spanning the entire organisation, will prefer TQM methodology to improve the quality levels.

2) All the process improvement tools are highly effective when selected for the right situation and implemented properly. However, the most powerful tool is the six sigma method, since it defines the target output very precisely. It follows the DMAIC approach for improving existing processes (Define, Measure, Analyse, Improve and Control) and the DMADV approach for creaing new improved processes (Define, Measure, Analyse, Design and Verify).