Transcript Welcome to Specialist Training

Raytheon Six Sigma
(R6)
ASEE Meeting
4 December 2001
© 2000, Raytheon Company. All Rights Reserved.
ST, 1 March 2001
1-1
Visualize
Software Metrics Example
Achieve
Commit
Improve
Prioritize
Characterize
The software engineering community has been placing a great deal of
emphasis lately on metrics and their use in software development. The
following metrics are probably among the most valuable for a software
project:
The Pizza Metric
How : Count the number of pizza boxes in the lab.
What: Measures the amount of schedule under-estimation. If
people are spending enough after-hours time working
on the project that they need to have meals delivered to
the office, then there has obviously been a mis-estimation
somewhere.
© 2000, Raytheon Company. All Rights Reserved.
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Software Metric Example
Visualize
Achieve
Commit
Improve
Prioritize
Characterize
The software engineering community has been placing a great deal of
emphasis lately on metrics and their use in software development. The
following metrics are probably among the most valuable for a software
project:
The Aspirin Metric
How: Maintain a centrally-located aspirin bottle for use by the team.
At the beginning and end of each month, count the number of
aspirin remaining in the bottle.
What: Measures stress suffered by the team during the project. This most
likely indicates poor project design in the early phases, which
causes over-expenditure of effort later on. In the early phases, high
aspirin-usage probably indicates that the product's goals or other
parameters were poorly defined.
© 2000, Raytheon Company. All Rights Reserved.
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Agenda
• R6 Overview
•R
• R6 Process
• R6 Principles
• R6 Roles & Responsibilities
• R6 Software Example
• Questions & Answers
© 2000, Raytheon Company. All Rights Reserved.
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Raytheon Six Sigma
(R6) Overview
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Raytheon Six Sigma – Definition:
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Characterize
Raytheon Six Sigma is a
Knowledge Based Process
we will use to
Transform Our Culture
in order to
Maximize Customer Value
and
Grow Our Business
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A Historical Perspective on
Six Sigma?

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Achieve
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Improve
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Characterize
Motorola: Six Sigma Producibility Analysis
– Ability to reproduce units of product identically and
without waste

Raytheon: Six Sigma Umbrella (per Dan Burnham)
– Philosophy of continuous improvement
– Defect reduction and cycle time improvements in all
business processes and products
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Raytheon Six Sigma versus
Traditional Six Sigma
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The classical 6 Sigma approach, utilized by Motorola,
has its underpinnings in Hardware design and
manufacture.
The Raytheon 6 Sigma Approach is based on
benchmarking with Allied Signal and General Electric
and is more broad in scope –
– Includes all processes and functions
– Integrates Proven Philosophies
and a Number of Continuous
Raytheon
Improvement Techniques
6 Sigma Approach
and Tools
– Supported by a full time
Six Sigma Expert Network
Motorola
6 Sigma Approach
– Leads to a Culture Change
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Raytheon Six Sigma . . . An
Integrated Business Strategy
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Characterize
Involvement
It defines our culture — How we will work
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A Continuum of Opportunity
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Commit
Improve
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Characterize
Simple
– Everyone
– Common Sense
– Empowerment
Bureaucracy
Busting
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Complex
– Specialists
– Some Tools
– Some Training
and experience
– Experts
– Multi-disciplined
tool set
– Lengthy training
and experience
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Knowledge Based Management
Visualize
Achieve
Commit
Improve
Prioritize
Characterize


Ask the right questions
Act based on facts, not opinions
– Get data, use data
– Make it visual


Have a closed loop process
Capture lessons, share them widely
In God we trust,
all others bring DATA!
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R6 Process
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Visualize
R6s Process
Achieve
Commit
Improve
Prioritize
Characterize
Visualize the Future
Visualize
Celebrate &
Plan for the Future
Design &
Implement Changes
Achieve
Commit
Improve
Prioritize
Commit to
Change
Determine
Improvement
Opportunities
Characterize
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Define Current State
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Visualize
Visualize — Imagine the Future
Achieve
Commit
Improve
Prioritize
Characterize
Create a vision of the future with a clear
and pressing need for change. Align
sponsorship throughout the business
to maximize our benefits.
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Visualize
Visualize – IPO
Achieve
Commit
Improve
Prioritize
Characterize
Inputs
Current State
Clear & pressing need
for change
Stakeholder demand
Customer perceptions
& Desires
Market position
& pressures
Aspirations, Values, Goals

Process
1) Assess the current state.
2) Visualize alternate future states “blue
sky” with stakeholders.
3) Converge to a common vision & validate
(create need & generate excitement).
4) Draw the mental image that excites
people and creates a need for change
that demonstrates it.
5) Align and validate throughout the value
stream:
• Customer
• Employees
• Suppliers
• Shareholders
6) Develop strategy (1st steps):
• Identify Sponsor / Change Agent
Tool Chest
– Survey Questions
– Assessment Models
– Change Management Techniques
– Quality Function Deployment (QFD) Tools
– Balanced Scorecard
© 2000, Raytheon Company. All Rights Reserved.
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Outputs
–
–
–
–
Vision of the Future
Need for Change
Strategy
Accountable Sponsor
Analysis Tools
Value Stream Analysis
Catchball
Benchmarking
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Visualize
Commit – Commit to Change
Achieve
Commit
Improve
Prioritize
Characterize
Develop a committed sponsor and team
aligned with the vision, accountable and
energized to make change.
© 2000, Raytheon Company. All Rights Reserved.
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Visualize
Commit – IPO
Achieve
Commit
Improve
Prioritize
Characterize
Inputs
Vision of the Future
Need for Change
Strategy
Accountable Sponsor

Process
1) Sponsor personalizes vision, agrees that
there’s a need, accepts the strategy &
commits to change.
2) Sponsor characterizes a multifunctional
team & captures resources.
3) Sponsor shares current reality & future
vision with the team.
4) Team personalizes vision by exploring,
understanding & accepting what’s in it for
them & their organization.
5) Team education in Raytheon Six-Sigma
Process.
6) Team validates need to change &
translates vision into goals & objectives.
7) Team identifies target areas & shares need
to change with them.
Tool Chest
– Team Building Exercises
– Raytheon Six Sigma Training
– Internal/External Benchmarking Data
– Strategic Vision/Mission
– Customer & employee surveys
© 2000, Raytheon Company. All Rights Reserved.
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–
–
–
–
Outputs
Committed Sponsor
Committed, aligned &
knowledgeable team
Identified & Informed
Target Areas
Defined Goals &
Objectives
Competitive market analysis information
Internal Financial Data
Reality Tree
Win/Win Negotiation
Example Case studies
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Prioritize – Determine Improvement
Priorities
Visualize
Achieve
Commit
Improve
Prioritize
Characterize
Using facts and data, discover improvement
opportunities, readiness and resources.
Define goals and high level action plans.
Commit resources to focused improvement
project(s) in order to realize significant
results.
© 2000, Raytheon Company. All Rights Reserved.
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Visualize
Prioritize – IPO
Achieve
Commit
Improve
Prioritize
Characterize
Inputs
Committed Sponsor
Committed, aligned &
knowledgeable team
Identified & Informed
Target Areas
Defined Goals &
Objectives

Outputs
Process
1) Understand Value Stream.
2) Perform Assessment(s).
3) Identify opportunities/high-leverage
points:
Encourage discovery
Find interdependencies
Identify root causes
4) Estimate expected results and
prioritize opportunities.
5) Document improvement plan.
6) Obtain commitment to support plan
(Contract for Change).
Prioritized list of
improvement projects
Contract for change
Transferred Knowledge
Tool Chest
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–
–
–
–
Reality Trees & Fishbone Diagrams
Quality Function Deployment (QFD)
Pareto Charts
Process Flow Charts & Spaghetti
Charts
Financial forecasting & Cost estimating
models
© 2000, Raytheon Company. All Rights Reserved.
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–
–
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–
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Market analysis (customer care-abouts)
5 Why’s
Affinity Diagrams
Normal Group Technique
Common sense
Theory of Constraints
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Characterize – Define Existing
Process and Plan Improvements
Visualize
Achieve
Commit
Improve
Prioritize
Characterize
Understand and document current state
performance & translate the current
state opportunities into a plan for
improvement.
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Visualize
Characterize – IPO
Achieve
Commit
Improve
Prioritize
Characterize
Process
Inputs
Outputs
Allocated Resources
Prioritized list of
Improvement Projects
Contract for Change
Transferred Knowledge
1) Form Team.
Characterized Process
2) Validate the Problem.
3) Plan the Approach.
4) Understand (Characterize) the
Process.
5) Determine the Improvement Plan.
6) Communicate the Improvement Plan.

Documented Expectations
with expected Benefits &
Improvements
Approved Project Plan
Transferred Knowledge
Tool Chest
– Form Team:



Team building
Raytheon Six-Sigma Training
Contracting
– Validate the Problem:



Pareto
7 Problem Solving Tools
Raytheon Six-Sigma Process
– Plan the Approach:
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

Planning Tools
Brainstorming
Reality Trees
Affinity Diagrams
– Characterize the Process:
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– Determine the Implementation Plan:
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Resource Loading
ROI / Benefit analysis Tools
Planning Tools
Brainstorming
– Communicate the Implementation Plan:


© 2000, Raytheon Company. All Rights Reserved.
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Change Readiness Evaluations
Theory of Constraints (TOC)
7 Problem Solving Tools
Process Flow Diagrams & Spaghetti Charts
Capacity Analysis
ANOVA, SPC, Takt, 5S
Metrics & Information Systems

Message Mapping
Presentation & Interpersonal Communication Skills
Influence w/o authority
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Improve – Design and Implement
Improvements
Visualize
Achieve
Commit
Improve
Prioritize
Characterize
Design and implement integrated
improvements and control systems
to maximize value.
© 2000, Raytheon Company. All Rights Reserved.
ST, 1 March 2001
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Visualize
Improve – IPO
Achieve
Commit
Improve
Prioritize
Characterize
Inputs
Process
Allocated Resources
[Use appropriate tools based on project
for each step]:
Characterized Process
Documented Expectations
with expected Benefits &
Improvements
Approved Project Plan
Transferred Knowledge
Outputs
1) Identify Resources… train/educate
as necessary.
Management &
Control Systems
2) Detail Action Plan and Schedule.
Improved Process
Performance
3) Pull in required Tools.
4) Design the solution.
5) Execute the Plan / Implement.
6) Monitor changes.
Transferred Knowledge
7) Implement Controls.
8) Measure Results.

Tool Chest
–
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Statistics: DOE, SPC
Waste Reduction:
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–
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JIT
Level Schedules
Workplace Organization
Visual Controls
Error Proofing
Set-up Reduction
DTC
Tolerancing:

Tolerance Allocation
© 2000, Raytheon Company. All Rights Reserved.
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–
Defect Reduction: Performance, Process, Pareto
Problem Solving:
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–
Manufacturability:
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
–
Brainstorming
Cause / Effect
Scattergram
FMEA
DFMA
Defect Budgeting
PCAT
Change Management Techniques.
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Achieve – Celebrate Achievements,
Build for Tomorrow
Visualize
Achieve
Commit
Improve
Prioritize
Characterize
Deliver measurable results that change
the way people think and act, create
knowledge, build momentum for
continuous improvement, celebrate
success, and get people excited about
doing Raytheon Six Sigma repeatedly.
© 2000, Raytheon Company. All Rights Reserved.
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Visualize
Achieve – IPO
Achieve
Commit
Improve
Prioritize
Characterize
Inputs
Process
Outputs
Embedded New Process
Management &
Control Systems
Improved Process
Performance
Transferred
Knowledge
1) Define responsibilities to support &
enable process.
2) Train, education & communicate new
process.
3) Measure and compare results and
expectations… take appropriate
action.
4) Create Success Summary.
5) Reward,& recognize change agent
team.
6) Capture & Share knowledge.
7) Monitor and analyze process for
Continuous Improvement
Opportunities.

Delivered Results
to the Organization
Documented Success:
• Case Study
• Lessons Learned
• Next Steps
Recognition & Rewards
Captured & Shared
Knowledge
Expanded R6s
Community
Tool Chest
–
–
–
–
Knowledge Management System (transfer)
New Financial/ Accounting Systems
Change Management Tools
Control Charts
© 2000, Raytheon Company. All Rights Reserved.
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– Organizational Development
– Employee Satisfaction Monitoring
Systems
– Communication Systems
– Data Analysis Tools
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R6 Principles
© 2000, Raytheon Company. All Rights Reserved.
ST, 1 March 2001
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Raytheon Six Sigma – Principles
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Characterize
 Specify value in the eyes of the customer
 Identify value stream; eliminate waste and
variation
 Make value flow at pull of the customer
 Involve, align & empower employees
 Continuously improve knowledge in pursuit
of perfection
4© 2000, Raytheon Company. All Rights Reserved.
ST, 1 March 2001
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Visualize
Achieve
Commit
Improve
Prioritize
Characterize
I see waste, it’s everywhere. People
are creating it and they don’t even
know they’re doing it.
© 2000, Raytheon Company. All Rights Reserved.
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R6 - Roles & Responsibilities
Visualize
Achieve
Commit
Improve
Prioritize
Characterize

Champions
– Senior leaders who plan and execute the deployment in
their organizations

Master Experts
– Fully-trained, highly-experienced, full-time leaders
responsible for planning, training, mentoring, and results

Experts
– Fully-trained, full-time experts who lead improvement
teams, work complex projects across the business, and
mentor Specialists

Specialists
– Trained for applying skills to projects in their job areas
© 2000, Raytheon Company. All Rights Reserved.
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Case for Action
Visualize
Achieve
Commit
Improve
Prioritize
Project: TRACER S/W
Location: Plano, TX
Software effort is
critical
path on the program
SPI = .79
Customer (U.S. Army)
views software as top
risk on the program
“Software development
is behind schedule”
Software schedule
showing
64 days negative float
to contract delivery
© 2000, Raytheon Company. All Rights Reserved.
ST, 1 March 2001
Characterize
CPI = .61
Software team struggles to
over come 13-month delay
in defining requirements
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Project: TRACER S/W
Location: Plano, TX
The team achieved its goal to streamline the
process, reduce cycle time, and free up
valuable engineering effort to enable the
incorporation of $720K cost avoidance.
The team met daily in the
All Hands Planning
meetings to
communicate status
and barriers. They saw
progress in completing
tasks improved by:
• Use of Visuals of the
SCI Inchstones
• Establishment of the
Run Rules for Critical
Chain
• Implementation of
Constraint
Management
• Better communication
and transitioning SCI
folks to support task in
need.
Commit
Improve
Prioritize
Characterize
After determining the planned S/W build
incorporation on TRACER was at
risk, this team visualized the need for a shared
program purpose and use of
Critical Chain Program Management.
After characterizing these processes, the team found they could make
significant gains by focusing on : Improving Program Communications
• Prioritization of the SCIs - InfoDev, EEOS, and IC&C
• Streamlining the SCI process and include the hardware dependencies
in the work flow
© 2000, Raytheon Company. All Rights Reserved.
ST, 1 March 2001
Visualize
Achieve
The team committed to use R6
Sigma and CCPM to identify key
issues and barriers.
Looking at the current
state of the program, the
team prioritized making
improvements in the
various Software
Configuration Items
(SCIs). R6 Sigma
applications - Use of
Visuals, Run Rules,
Critical Chain, and
Constraint Management
tools were implemented.
Work on SCI IC&C was
stopped due to variability
in requirements.
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Results (as of April 2001)
Visualize
Achieve
Commit
Improve
Prioritize
Characterize

SPI = .95
CPI = .73

$720K cost avoidance in software implementation stage

Software schedule reduced to 24 days negative float

Prime customer no longer considers Raytheon software as top
risk item on the program

Customer says “Raytheon software is now under control”

Prompted rest of program and prime to apply Critical Chain

Spawned 6 Sigma Specialist project for “Out of the Box
Rewards” as incentives to meet schedule
Entire team is focused on Critical Chain
© 2000, Raytheon Company. All Rights Reserved.
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