Lean Six Sigma Champion Training CGSA CGSA Conference 2016

Instructor Paul Stamper Deputy Executive Officer County of Ventura Lean Six Sigma Master Black Belt [email protected] BA Philosophy M.B.A. LSS Master Black Belt

- U.C. Santa Barbara - Cal. Lutheran University - Kent State University

Introductions Two Truths and a Lie 1. I was the starting linebacker on a California state championship high school football team. 2. I set a school high jump record as a sophomore in high school. 3. As a little league pitcher I was benched right after I hit three batters in a row.

Fortune 100 Companies

82% Use Lean Six Sigma

Other Benefits Time Savings GM started Lean in 1994

Toyota started Lean in 1950s

Quality

Benefits of Lean Six Sigma  Improved processes • • • •

Faster Reduced defects Lower costs Increased capacity

 Increased customer satisfaction  Better relationship between management and staff

 Common organizational language  Increased employee engagement and empowerment

Focusing Exercise

+ Partner Exercise

Blanket Purchase Orders 30 to 11 Steps 6 X Faster

PWA and GSA Heavy Equipment

1 Grader 1 Roller

= $225,000 = $ 54,000

1 Backhoe

= $150,000

$429,000

Other Ventura GSA Improvements Project Title

Savings Green Accomplishments

GSA Inventory Control Process

$ 41,618 Yes

Reduced inventory by 50%

Parking Permit Process Improvement

$

9,305 Yes

Moved from brownmail to online

Outdoor Marriage Ceremonies

$

1,136 Yes

Outdoor locations, brochure

Training Certificates

$

1,150 Yes

Email PDFs of unalterable certificates

ReCaps

$ 58,428 No

Processing time reduced by 78%.

GSA Online Billing

$

85,000 pages of GSA invoices annually to 80 locations.

Automated Medi-Cal RRR Packets

$ 229,960 No

48,800 Medi-Cal renewals per year.

Scan Center: HSA Mail & Paperwork

$ 811,972 Yes

Scan HSA's mail into ECM, saving 16,440 hours/year.

VCMC Invoice Redaction Project

$ 26,967 Yes

624 hours/year down to 78 hours.

Assembly of CalFresh Packets

$ 85,939 No

34,800 Cal-Fresh packets assembled & sent each year.

6,201 Yes

$429,000

Culture Change

Lean

Six Sigma

Speed

Quality

Performance Improvement

System of Work Before

After Process Improvement

A Lean Process

Cycle of Lean Principles Seek Perfection

Specify Customer Value

Identify Value Stream

Establish “Pull”

Achieve Flow

Six Sigma Reduces Defects  Data-driven approach  99.99966% or 3.4 PPM

Reliance on Averages

Need to Look for Variation

What Do These Have in Common?

Cycle of Six Sigma Discipline Control (Assess & Adjust)

Define (Problem & Scope)

Improve

Measure

(Implement Solutions)

(Current State “Map”)

Analyze Variability

(Causes & Measures)

Continuous Improvement

Strategic Planning Agency Strategic Planning Session (EPS)

=

Executive Planning

Outputs from EPS 1.

Agency Strategic Plan

2.

Process Improvement Portfolio

• • • • •

Infrastructure Policy Performance levels Capacity/Speed Quality

• Where can process improvement events help achieve goals and objectives?

Process Improvement Portfolio

VSA – Kaizen – A3 – Just Do It

Choosing the Event Type Known

Just Do It

Project Management

A3

Kaizen

Solution

Unknown

Simple

Complexity

Complex

Rapid Portfolio Step 1: Discuss Selection Criteria

 County Strategic Plan  Agency Strategic Plan  Existing KPI’s  Pending or Recent Changes

• Ex. AB109, Affordable Care Act, EMR

 Pain Points staff)

(Ex. Complaints from customers or

• Takes too long, mistakes, confusing, bottlenecks

 Not enough staff (Capacity)

We found the problem… Its you

Sorting It Out

Traditional Approach

Value Stream Approach

Phase 1

Phase 2

- Voice in Government - Healthy Families - Safe Communities - Employment - Housing - Community Resources

Phase 3

Value

Value Streams

Products & Services

Customers

Outcomes/ Benefits

Your Value Streams

Just Do It • • • • •



Improvement Solution to a problem Already know the answer Don’t need a kaizen team to develop a solution

*No Green Belt, No Control Plan, Just a good idea

The JDI name is not meant to imply it is small or easy. Just that no further problem solving is required.

41

42

Kaizen Kaizen Roles

Kaizen Output

Value Stream Champion Team Members

Team Leader

Green Belts

• • • •

Improved Process Solutions to Root Causes SOP Control Plan

County Executive Office

Lean Improvement Tool Kit • • • • • •

Error-proofing Push/Pull Set-up Reduction 5-S Cellular Work Processing Work Standardization

Types of Error Proofing Creating quality at the source through error proofing Types of error proofing: 1. Make it impossible to create error 2. Make it harder to create error 3. Make it obvious the error has occurred

County Executive Office

County Executive Office

Elements of a 5S Program Sort Remove from the workplace all items that are not needed for current operation. Set in Order/Straighten Arranging needed items so that they are readily accessible and labeled so that anyone can find them or put them away.

Shine The key purpose is to keep everything in top condition so that when someone needs to use something, it is ready to be used

Standardize The standard should be easily understood and easy to communicate (i.e. visual controls).

Sustain Implementing solutions to address the root causes of work area organization issues. All employees must be properly trained and use visual management techniques

County Executive Office