Transcript A Decision on Our Name

MBB’s In The Real World
Tom England
Global Director Six Sigma
Tyco Electronics
FY 2008 Net Sales
76
167
$14.834 Billion
Warehouses
Factory and Engineering
Employees
• Americas:
33,100
• Asia Pacific: 39,300
• EMEA:
27,200
A leading global provider of engineered electronic components,
network solutions, wireless systems and undersea telecommunications systems
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How Six Sigma / Lean Started
A Top Down Decision
– Based on a recommendation from an external Senior Advisory
Board
• Launched June 2002
– Started with Executive Training
– Expanded to Business Unit Leadership
• Black Belt and Green Belt Training Courses Developed and Deployed
– Partnership with SBTI
– First DMAIC Black Belt Class – September 2002
– First DFSS Black Belt Class – April 2004
• Decision to Develop MBB Resources from Internal Black Belts
– First MBB Graduates – 2004
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Deployment Tracking
80
4000
70
3500
60
3000
50
M B B A ctu al
M B B P lan
In C lass
40
30
2500
G B A ctu al
G B P lan
In C lass
2000
1500
20
1000
10
500
0
0
2003
2005
2003 2004 2005 2006 2007 2008
2007
Gross Savings (Minus Net Costs)…
1200
1000
800
Budget
Actual
BB Actual
BB Plan
In Class
600
400
200
FY
FY
FY
FY
FY
FY
2003 2004 2005 2006 2007 2008
0
2003 2004 2005 2006 2007 2008
Since 2003 inception: $748,677,480
Tyco Electronics confidential & Proprietary
Do Not Reproduce or Distribute
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Y
=
f(x 1 , x 2 , x 3 ,..., x n )
BIG “Y” – Effective Utilization of MBB Skills
Key “X’s”
– Strategic Focus
• Linked to the Business Objectives
• Management Access
– Cultural Engagement
• Employee Involvement Through Mentoring and Training
– Financial Results
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Tyco Electronics Operating Advantage
Total Enterprise Wide Continuous Improvement
Engineering
Procurement
Stage Gate Process
Best Practices
Speed
Supplier Performance
Efficiency
(Eliminate Waste)
Sales & Marketing
Factory Operations
Logistics
Voice of the Customer
Continuous Improvement
Waste Elimination
Warehouse Performance
Standardization
Quality
MBB’s Function Within The Disciplines and Across The Enterprise
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Example MBB Project
Global Performance
Modeling and Reporting
Performance Tracking – History
• Many legacy systems
– Business / Region centric
– Unique features
– Multiple systems / servers
• First consolidation was focused
at a functional level
Reporting was “manual”
and inconsistent
– Purchasing
– Operations
– Six Sigma / Lean
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The Management Challenge
Gain global consensus and develop a single web based solution for:
– Project Management
– Tracking Savings by “Impact Area”: External and Internal
• Actual vs. Original Budget
• Actual vs. Stretch Budget
– Forecasting
And while you are at it:
• Don’t lose any existing functionality
• Eliminate the potential for “double counting”
• Track “initiating” and “benefiting” teams
• Develop standard definitions
• Develop standardized reporting (monthly and ad hoc)
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Define – Form the Team
Create a cross-functional team that can solicit input (Voice of the
Customer and Voice of the Business) on the requirements for the
business process, application and reporting.
Corporate Champions
• Global Director of Six Sigma/Lean
• Director Global Operations
• Director Global Commodity Management
Specialist Support
•
Systems Integration
•
Business Analysis
•
Regional IT
Project Core Team
• MBB – Project Lead
• Regional Six Sigma Belts
• Regional Operations
• Regional Finance
• Regional Purchasing
• IT
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Measure – Current Performance
• Reviewed process for data input and reporting for all
legacy systems
– Common elements
– Discrete elements
– Missing elements
• Reviewed Finance (Sarbanes Oxley) requirements
for classifying and reporting savings
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Analyze – Make vs. Buy
The key requirement was that whatever solution had to be
capable of providing timely and accurate details of data
from:
•Corporate View
•Segment View
•Business Group View
•Sub-Business (regional) View
•Methodology View
•Team View
All commercial software
would need to be
customized
•Belt View
•Or any combination of the above
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Improve – Standardized Reporting
All reports are linked to
common data elements
There are 3 options for TEBIT Reporting:
– Business Unit Scorecards:
These are dynamic Excel sheets that provide real-time updates of project savings
and statistics
– Impromptu Web Reports (IWR):
These are corporate standard reports that have been created for reporting savings
and can be set up to be scheduled and delivered to a users Outlook Mailbox at
specified time periods.
– Cognos Analysis Studio:
This provides the user with the opportunity to customize reports based on specific
business needs
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Improve – Dashboard Reports
Breakdown of
projects by belt
types
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Control – Training Strategy and Documentation
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RESULTS
• Project delivered as planned – 10 months and within
budget
• TEBIT deployed across
– 5 Business Units in all Regions
– 27 countries
– 47 Sub-Profit Centers
– 407 teams
• Less than 1% errors reported after go-live
• First month reporting delivered on time 100%
accurate
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MBB’s Provide …
• World class performance
• Interdisciplinary cooperation
• Expertise in “hard” and “soft” skills
• Resources for future management positions
• Bottom line results
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