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Scope Creep is a common challenge in project management. Scope Creep is sometimes referred to as Scope Slip. Scope Creep is any activity that was not part of the initial plan for a project. It often can be seen in activities, services or additional features that are not covered in a project quote, out of the initial timeline or characteristics that are not within tolerance. To prevent scope creep improvements must be monitored closely often on a very granular perspective so that the outputs do not exceed to the initial agreements and do not fall outside of timelines, project costs or quality.
Standard costing is a predetermined or estimated cost of performing a service, operation or producing goods. Standard costing takes into account the volume and rate of items or services to calculate costs. For more information on standard costing click on the link below.
The scatter diagram graphs pairs of numerical data, with one variable on each axis, to look for a relationship between them. If the variables are correlated, the points will fall along a line or curve. The better the correlation, the tighter the points will hug the line.
Reference: ASQ - Scatter Diagram SMART is a mnemonic used in setting targets and or objectives. The SMART goal setting method is used in many different forms of project management, strategic initiatives and tactical projects. SMART stands for:
1. Specific - The goal should be defined as much as possible with no unclear language or vague references used. 2. Measurable - Can you measure the progress of your goal? 3. Attainable - Is the goal reasonable? Can your team or you reach the goal? 4. Relevant - Will the goal meet your needs? Does the goal align with the long term vision? 5. Time Based - What is the time frame? The term supermarket or grocery store in lean six sigma refers to a predetermined market (storage/inventory). The supermarket carries the necessary "supplies" for a work area that is close by. When a customer (internal/external) needs an item they can retrieve the item from the supermarket. The supermarket then replenishes or restocks their supplies based on the downstream demand. Supermarkets prevent overstocking and help lower inventory levels.
Special Causes of Variation is when something happens to cause a variation in the output (Y) that is unusual and is not consistent or constant. Special causes of variation are often referred to as assignable causes because they can be eliminated with a response or a solution to individual variations. Control Charts can be used to differentiate between common causes and special causes of variation.
Example: In the photo above three arrows hit the target dead center. One arrow hit the target high and to the left. The arrow that landed high and to the left is an example of a special cause of variation. Setup Reduction refers to a decrease in the changeover time. The setup reduction attempts to reduce every possible second from the changeover or setup time. Because the changeover or setup is not transforming any materials or services that a customer has agreed to pay for, both setup and changeover can be considered a form of waste/muda. In most cases a setup reduction can reduce the setup time by 50% or more.
Solutions: The ©REDUCE methodology by Lean Strategies International LLC is a systematic way of reducing both setup and changeover times. For more information on the ©Reduce Methodology visit our recent blog post on Listen to the Gemba, Changing things around. The boundaries/scope of a charter make it clear to the team what the starting and stopping point are and to what level. The scope includes lateral and longitudinal scope. Starting and stopping points are usually outlined with a SIPOC map or a flow chart. Scope sets the in’s and out’s or the boundaries for team members.
Soft savings are the intangible benefits that result from projects or initiatives. Soft savings are much harder to quantify than hard savings.
Examples of soft savings:
Note: Soft savings can often be made harder. While the savings are hard to quantify soft savings can often add up and if all the dots are connected correctly and your audience can understand, they sometimes can be as valuable as hard savings. A supplier is any party that provides or supplies goods or services. Suppliers can be both internal, meaning that the supplier is upstream of your process step or external like in the case of a contractor, subcontractor or vendor. Suppliers provide specialized inputs or deliverables to downstream process steps. Example: Question:
John makes valve covers and passes them onto Bill who then polishes the valve covers. Bill then sends the valve covers to Martha who packages the valve covers and ships them from Valves Made Easy to Valve's R' Us. Who are the Internal Suppliers in this process and who is the External Supplier in the Process? **Place answers in the Comments Box Below** Secondary Metrics are the additional metrics are the additional measurements established to help interpret the results of the primary metrics. Secondary metrics are often described as circumstantial evidence, despite this common reference, secondary metrics ensure that problems do not just change forms or move from one place to another.
Example If you were attempting to reduce a cycle time on a service orientated project your cycle time reduction would be the primary metric. But the secondary metric may be customer service or employee satisfaction. Strategic planning is the process of developing a strategic plan. The strategic planning process is used to prioritize, focus, strengthen and ensure everyone is aligned towards a common goal. The disciplined activity of strategic planning produces actions and decisions that help form, shape and guide how the organization is defined, who it serves and what the organization's purpose is. General Steps of Strategic Planning
1. Analyze and or assessment of where the organization currently stands. 2. High level forming and framework 3. Execution 4. Evaluation Hoshin Kanri is one type of strategic planning. The seven basic quality tools are a set of tools that are used to help organizations understand and improve their business processes.
The SIPOC map is a map used to identify systems and processes at a high level. The map shows material and information flow in forward and backwards loops, this allows teams to identify potential gaps from a systemic view which helps us understand the effects of activities both upstream and downstream. The mnemonic SIPOC serves as a reminder that this powerful map shows us suppliers, Inputs, Process, Output and Customers.
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April 2024
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