2. Define Mission of each component of the organization 3. Set performance and improvement opportunities, goals, and priorities 4. Establish improvement projects 5. Implement projects used improved methodologies 6. Evaluate 7. Review and Recycle Continuous improvement Kaizen is synonymous with continuous improvement (often discussed within Just-in-time framework Just-in-time's two major tenets 1. Respect for people 2. Elimination of waste (wasteful activities do not add value to fulfilling the needs of the customer) Characteristics of JIT Few, nearby suppliers, long-term contract agreements, steady supply rate, frequent deliveries in small lots, buying firms help suppliers meet quality, suppliers use process control charts, buying firm schedules inbound freight 7 wastes

1. Overproduction 2. unneeded motion 3. unneeded transportation 4. Needless processing 5. Needless machine time 6. holding excessive inventory 7. Defects Plan, do, check, act cycle (P-D-C-A) describes the basic logic for data-driven continuous process improvement Plan review current performance identify and target root causes of problems devise possible solutions and plan implementation Do Pilot the planned solution Check (or study) Measure the results of the test Act Refine and expand the solution to make it permanent Six Sigma A broad and comprehensive system for building and sustaining business performance, success, and leadership The key focus is on processes Measurement of both processes and products is critical to six sigma sucess the lofty goal is used as a driver of organizational change Six Sigma measurement benefits Six Sigma starts with the customer provides a consistent metric links the effort to an ambitious goal DMAIC Cycle Define, measure, analyze, improve, and control Six Sigma Blackbelts

Blackvbelts receive 3 weeks of training, with follow up exams and continue learning through conference and other forums greenbelt at GE is the lowest commitment, which is training for a minimum of 2 weeks in six sigma, at GE every management is required to at least become a greenbelt Six Sigma Themes 1. Genuine focus on the customer 2. data and fact driven 3. process focus 4. proactive management 5. boundaryless collaboration 6. drive for perfection Quality Management System (QMS) Principles Customer focus Leadership Involvement of people Process approach System approach to management Continual improvement Factual approach to decision making Mutually beneficial supplier relationships Cause and effect diagram (or fish-bone diagram, ishikawa) Used to find problem sources/solutions Cause and effect diagram steps Identify problem to correct Draw main causes for problem as 'bones' Develop branches to get to root cause develop additional diagrams as needed Process Flow Chart Has many uses - identify data collection points, find problem sources, identify places for improvement, identify where travel distances can be reduced Control Charts Most common form is statistical process control or SPC charts, idea is to tell when to adjust process, involves creating standards (upper and lower limits), measuring samples output, taking corrective action, used while product is being produced