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Dr. W. Edwards DemingRed Bead Exercise
PRESENTER: JOHN DYER
15 Seconds
JD&A, Inc. - Process Innovationsjohn_dyer@mi-connection.com
(704)658-0049
Who am I?30 Years of Process Improvement Experience◦B.S. in E.E. (Automation Focus) and International MBA (Purdue University & University of Rouen, France)◦General Electric (MMP Grad)◦ Ingersoll‐Rand (Bobcat, Club Car, Schlage Locks, TK)◦President of JD&A, Inc. ‐ Process Innovation
◦Contributing Editor for IndustryWeek◦ Judge for “Best Plants” Competitionwww.industryweek.com/author/john‐dyer
Follow me on Twitter: @JohnDyerPI
Levels of CommitmentLevel 1: Tools◦Lean – 5S, Value Stream Mapping, Kanban◦Six Sigma – Statistical Process Control, Pareto◦Problem Solving – 5 Whys, Root Cause Analysis
Level 2: Methodology◦Lean – Toyota Production System, Gemba◦Six Sigma – DMAIC◦Problem Solving – Plan, Do, Check, Act
Levels of CommitmentLevel 3: Leadership, Culture, and Theory◦Lean – House of Toyota built on Dr. Deming’s teachings◦Six Sigma – Motorola built on Dr. Deming’s teachings◦Problem Solving – Total Quality Management (TQM) built on Dr. Deming’s and Dr. Juran’s teachings
John Dyer with Dr. Edwards Deming
Levels of Commitment
“You cannot have knowledge without internalizing the theory. Information is not knowledge. People go to Japan to copy what they are doing there and don’t learn anything because they don’t understand the theories. I hope they enjoyed the ride!”
Dr. W. Edwards Deming
Looking at the Want Ads
• 6 Willing Workers (Minimal Education Required)
• 2 Quality Inspectors (Must Be Able to Count)
• Quality Manager (Must Be Able to Handle Conflict)
• Data Recorder
Quality Posters
Do It Right the First Time!!!
Be a QualityWorker!
Be a QualityWorker!
Take PrideIn Your Work!Take PrideIn Your Work!
Try a Little HarderTry a Little Harder
Red Bead ExerciseWilling Worker Day 1 Day 2 Day 3 Total Average
Total
Red Bead Exercise
5
10
15
20
25
5 10 15 20 251
# of
Def
ects
Number of Samples
ProcessInnovation
Normal Distribution Curve
50 51 52 53 54 55 56494847464544
ProcessInnovation
Normal Distribution Curve
50 51 52 53 54 55 56494847464544
1
ProcessInnovation
Normal Distribution Curve
50 51 52 53 54 55 56494847464544
68.3%
95.5%
99.7%
Long Term Study
ProcessInnovation
50 Sample Results Red Bead
ProcessInnovation
Statistical Process Control Chart
Dr. Deming’s 14 Points1) Create constancy of purpose toward improvement of
product and service, with the aim to becomecompetitive and to stay in business, and to provide jobs.
2) Adopt the new philosophy. We are in a new economicage. Western management must awaken to thechallenge, must learn their responsibilities, andtake on leadership for change.
Dr. Deming’s 14 Points
3) Cease dependence on inspection to achieve quality.Eliminate the need for inspection on a massbasis by building quality into the product in thefirst place.
4) End the practice of awarding business on the basis ofprice tag. Instead, minimize total cost. Move toward a single supplier for any one item, ona long-term relationship of loyalty and trust.
Dr. Deming’s 14 Points
5) Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease costs.
6) Institute training on the job.
Dr. Deming’s 14 Points7) Institute leadership (see point 12).
The aim of leadership should be to help people and machines and gadgets to do a better job. Leadership of management is in need of overhaul, as well as leadership of production workers.
8) Drive out fear, so that everyone may work effectivelyfor the company.
Dr. Deming’s 14 Points9) Break down barriers between departments.
People in research, design, sales and production must work as a team, to foresee problems of production and in use that may be encountered with the product or service.
10) Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity.
Dr. Deming’s 14 Points
11) Eliminate management by objectives.Eliminate management by numbers, numerical goals. Substitute leadership.
12) Remove barriers that rob workers of theirright to pride of workmanship. The responsibilityof supervisors must be changed from sheernumbers to quality. This means, abolishment of the annual or merit rating and of management by objective, management by numbers.
Dr. Deming’s 14 Points
13) Institute a vigorous program of education andself-improvement.
14) Put everybody in the company to work to accomplishthe transformation. The transformation iseverybody’s job.
Excellence is Not…
ProcessInnovation
Why Improve with Lean and Six Sigma?
An Actual Example ‐ ResultsStart 3 Years
Delivery Time – Standard 8 to 12 WeeksDelivery Time – Specials Up to 1 YearOn Time Delivery – Promise 70%On Time Delivery – Request 40%Quality – Pack 80%Change Over Average 10/DayProduction Rate 1300 +/‐ 1000Average Order Entry Time 3 Days
1 to 2 Days
2 Weeks
99%85%
99.99%
250/Day2300 +/- 14 Hours
Final Thought
“Progress is impossible without change; and those who cannot change their minds cannot change anything.”
George Bernard Shaw
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