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What is Kanban
Kanban is a lean concept, which originated in the Japanese automotive industry (Toyota to be precise), and is often associated with just in time production methods.
At its heart Kanban is a signaling system used to signify the need for material. The system traditionally uses cards to signal need. (Kanban is not limited to […]
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What is a balanced scorecard
A balanced scorecard is a combination of measures into a consolidated view of business performance. This consolidated view is then used to measure performance against business objectives.
Balanced scorecards have been around since the early 1990’s and have become an increasingly popular form of performance indicator. They can take various guises and whilst there […]
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What is Kano Analysis
Kano Analysis is an analytical method used for segmenting customer requirements according to various rules and expectations.
Kano Analysis was developed by Professor Noriaki Kano in the 1980’s and classifies customer preferences into the following catagories
• Attractive
• One-Dimensional
• Must-Be
• Indifferent
• Reverse
Customer preferences can be analyzed and segmented according to the customers are either dissatisfied, satisfied or delighted. Results can then be […]
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What is cycle time
Cycle time is a business term used to define the total time it takes to complete a business process. This includes any activity required to produce the output including lead time, processing time and waiting time between process steps.
As cycle time includes all activity for a process (both value add and non value add) it […]
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What is the cost of quality
The cost of quality is a business term that relates to the financial loss to business because of defects
The source of costs can vary from excess production time due to reworking through to loss of revenues due to customer returns.
Cost of quality can be categorized into three broad groups
• Failure costs – examples include rework, warranty,
• Appraisal […]
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What is an acceptable quality level
The acceptable quality level (AQL) is a term that relates to whether tolerance levels can be applied to the percentage of defects found in a batch.
In ideal terms the defect rate would be zero however in some circumstances business may accept a certain volume of defects.
For example if the AQL is 2% it means that […]
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What is DMADV
DMADV is a sixsigma methodology which is used to create processes (or improve processes that have already been optimized but may still experience unacceptable defect rates).
DMADV stands for
Define – define the goals of the project
Measure – measure the needs of the customer and process specifications
Analyze – develop the options available
Design – design the detail […]
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What is a SIPOC diagram
SIPOC is an acronym for Suppliers, Inputs, Process, Output, Customers. It is a method that helps improvement teams remember each stakeholder group when mapping and analyzing processes.
A SIPOC diagram is a tool used to identify attributes of a process before an improvement project can commence. It is frequently used in the early stages […]
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What is the five whys
The five whys is a lean tool used to ascertain the root cause. It’s a simple technique that asks why something is done the way it is, another why is asked of the response. Why is asked a number of times (notionally five) to drill down through the process and capture the root […]
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What is ANOVA
ANOVA is a lean term used to describe analysis of variance. This is a calculation which is used to analyze variation and its significance by reviewing the relationships between inputs and outputs determining if a common cause exists.
A number of ANOVA methods exist these include one way ANOVA which reviews differences between groups and […]
