The Experts below are selected from a list of 12 Experts worldwide ranked by ideXlab platform
Shaun Aghili - One of the best experts on this subject based on the ideXlab platform.
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Throughput Metrics Meet Six Sigma
Management Accounting Quarterly, 2011Co-Authors: Shaun AghiliAbstract:Six Sigma and the Theory of Constraints (TOC) are arguably the two most significant methodologies affecting operation management and process improvement initiatives over the past three decades. For those of you who have forgotten the concept behind it, TOC is a simple, yet brilliant management theory introduced by Eliyahu M. Goldratt in his 1984 book, The Goal. This unusual book, written in the form of a hard-to-put-down novel about a plant manager named Alex Rogo, depicted how TOC can be used to increase productivity and operating income in a manufacturing setting by stepping away from practices suggested by traditional cost accounting and variance reporting systems. Six Sigma approaches some of the same TOC issues, but from a different angle. The focus of Six Sigma is to address issues related to the Cost of Poor Quality (COPQ). Looking at it from a traditional quality theory point of view, Six Sigma aims at decreasing internal and external failure costs in an enterprise, thereby contributing directly to increased customer satisfaction. Having spent several years studying Six Sigma and some of its implications for management accounting and internal auditing, I began to contemplate the benefits of incorporating TOC accounting metrics within the control phase of Six Sigma. As such, the purpose of this article is to provide management accountants with a dual conceptual framework--merging elements from Goldratt's Theory of Constraints with Six Sigma's DMAIC methodology and tools--that can be used to tackle organizational system constraints. Specifically, I will aim to: * Provide you with an overview of Six Sigma, as well as the fundamentals of TOC and Throughput Accounting (TA); * Propose a Six Sigma/TOC dual framework that allows a system constraint to be broken up quickly (TOC effect) while the Six Sigma approach studies the issue in more depth to also address effects related to COPQ. In other words, while TOC can target the resource constraint (tactical objective), the Six Sigma methodology aims to increase the level of quality and remove extra nonvalue-added processes, thereby freeing up additional system resources. * Explain why the use of TA metrics within the proposed framework presented in this article can help address several shortcomings associated with other cost accounting systems, such as traditional cost accounting (CA), as well as the more relevant activity-based costing (ABC). A SIX Sigma AND TOC PRIMER Six Sigma is a quality-driven, scientific methodology that aims at improving a current standard to a future, ideal standard of 99.9997% accuracy. This translates to about 3.4 defects per one million opportunities. Six Sigma is based on the DMAIC (Define, Measure, Analyze, Improve, Control) methodology. The main strength of Six Sigma is that it is data driven: The DMAIC process contains an arsenal of more than 400 process improvement and analysis tools--many of which have been used for more than a half century. The roots of Six Sigma can be traced back to the Plan-Do-Check-Act cycle developed by W. Edwards Deming in the 1950s to help Japanese businesses rebuild their infrastructure after World War II. Even though a detailed discussion of Six Sigma is outside the scope of this article, management accountants interested in becoming more familiar with the Six Sigma methodology are encouraged to add the following two books to their office shelves. The first, The Six Sigma Handbook by Thomas Pyzdek, is used in many Six Sigma certification courses and provides the novice and intermediate Six Sigma Practitioner with a comprehensive, detailed overview of the DMAIC methodology. The other, The Lean Six Sigma Pocket Toolbook, can be used best as a Six Sigma dictionary and quick reference guide in choosing appropriate tools to tackle a certain task. I also encourage you--especially if you are an internal audit professional--to read a previous article of mine, "A Six Sigma Approach to Internal Audits," which appeared in the February 2009 issue of Strategic Finance, in order to gain an overall understanding of how the DMAIC methodology may be used to better orchestrate an operational internal audit. …
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Throughput Metrics Meet Six Sigma
Management Accounting Quarterly, 2011Co-Authors: Shaun AghiliAbstract:Six Sigma and the Theory of Constraints (TOC) are arguably the two most significant methodologies affecting operation management and process improvement initiatives over the past three decades. For those of you who have forgotten the concept behind it, TOC is a simple, yet brilliant management theory introduced by Eliyahu M. Goldratt in his 1984 book, The Goal. This unusual book, written in the form of a hard-to-put-down novel about a plant manager named Alex Rogo, depicted how TOC can be used to increase productivity and operating income in a manufacturing setting by stepping away from practices suggested by traditional cost accounting and variance reporting systems. Six Sigma approaches some of the same TOC issues, but from a different angle. The focus of Six Sigma is to address issues related to the Cost of Poor Quality (COPQ). Looking at it from a traditional quality theory point of view, Six Sigma aims at decreasing internal and external failure costs in an enterprise, thereby contributing directly to increased customer satisfaction. Having spent several years studying Six Sigma and some of its implications for management accounting and internal auditing, I began to contemplate the benefits of incorporating TOC accounting metrics within the control phase of Six Sigma. As such, the purpose of this article is to provide management accountants with a dual conceptual framework--merging elements from Goldratt's Theory of Constraints with Six Sigma's DMAIC methodology and tools--that can be used to tackle organizational system constraints. Specifically, I will aim to: * Provide you with an overview of Six Sigma, as well as the fundamentals of TOC and Throughput Accounting (TA); * Propose a Six Sigma/TOC dual framework that allows a system constraint to be broken up quickly (TOC effect) while the Six Sigma approach studies the issue in more depth to also address effects related to COPQ. In other words, while TOC can target the resource constraint (tactical objective), the Six Sigma methodology aims to increase the level of quality and remove extra nonvalue-added processes, thereby freeing up additional system resources. * Explain why the use of TA metrics within the proposed framework presented in this article can help address several shortcomings associated with other cost accounting systems, such as traditional cost accounting (CA), as well as the more relevant activity-based costing (ABC). A SIX Sigma AND TOC PRIMER Six Sigma is a quality-driven, scientific methodology that aims at improving a current standard to a future, ideal standard of 99.9997% accuracy. This translates to about 3.4 defects per one million opportunities. Six Sigma is based on the DMAIC (Define, Measure, Analyze, Improve, Control) methodology. The main strength of Six Sigma is that it is data driven: The DMAIC process contains an arsenal of more than 400 process improvement and analysis tools--many of which have been used for more than a half century. The roots of Six Sigma can be traced back to the Plan-Do-Check-Act cycle developed by W. Edwards Deming in the 1950s to help Japanese businesses rebuild their infrastructure after World War II. Even though a detailed discussion of Six Sigma is outside the scope of this article, management accountants interested in becoming more familiar with the Six Sigma methodology are encouraged to add the following two books to their office shelves. The first, The Six Sigma Handbook by Thomas Pyzdek, is used in many Six Sigma certification courses and provides the novice and intermediate Six Sigma Practitioner with a comprehensive, detailed overview of the DMAIC methodology. The other, The Lean Six Sigma Pocket Toolbook, can be used best as a Six Sigma dictionary and quick reference guide in choosing appropriate tools to tackle a certain task. I also encourage you--especially if you are an internal audit professional--to read a previous article of mine, "A Six Sigma Approach to Internal Audits," which appeared in the February 2009 issue of Strategic Finance, in order to gain an overall understanding of how the DMAIC methodology may be used to better orchestrate an operational internal audit. …
Lynne Hambleton - One of the best experts on this subject based on the ideXlab platform.
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Treasure Chest of Six Sigma Growth Methods, Tools, and Best Practices: A Desk Reference Book for Innovation and Growth
2007Co-Authors: Lynne HambletonAbstract:This reference is the first comprehensive how-to collection of Six Sigma tools, methodologies, and best practices. Leading implementer Lynne Hambleton covers the entire Six Sigma toolset, including more than 70 different tools-ranging from rigorous statistical and quantitative tools, to “softer” techniques. The toolset is organized in an easy-to-use, alphabetical encyclopedia and helps professionals quickly select the right tool, at the right time for every business challenge.Hambleton systematically discusses which questions each tool is designed to answer; how the tool compares with similar tools; when to use it; how to use it step-by-step; how to analyze and apply the output; and which other tool to use with it. To further illustrate and clarify tool usage, she presents hundreds of figures, along with never-before-published hints, tips, and real-world, “out-of-the-box” examples. i¾ Coverage includes i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Real-world guidance to help Practitioners raise the most important questions and determine the best resolution i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Statistical techniques, including ANOVA, multi-vari charts, Monte Carlo simulations, normal probability plots, and regression analysis i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Benchmarks, capability and cost/benefit analyses, Porter's Five Forces, scorecards, stakeholder analysis, and brainstorming techniques i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ CPM, CTQ, FMEA, HOQ, and GOSPA i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ GANTT, PERT chart, and other Six Sigma project management tools i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ 7QC: cause and effect diagrams, checklists, control charts, fishbone diagram, flowchart, histogram, Pareto chart, process maps, run chart, scatter diagram, and the stratification tool i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ 7M: AND, affinity diagrams, interrelationship diagrams, matrix diagrams, prioritization matrices, PDPC, and tree diagrams i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Crystal Ball, Minitab, and Quality Companion 2 software to facilitate the use of statistical and analytical tools and more to help you become a more effective Six Sigma Practitioner i¾·i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ This book is also available in a highly-searchable eBook format at www.prenhallprofessional.com/title/0136007376 and other online booksellers,.To provide crucial context, Hambleton illuminates four leading methodologies: DMAIC, Lean Six Sigma, Design for Six Sigma, and Six Sigma for Marketing. She also presents ten electronic articles that are available for download at www.prehallprofessional.com. The articles cover proven Six Sigma best practices for accelerating growth and increasing profitability, including techniques for product development, commercialization, portfolio design, benchmark implementation, project management, and collection of customer requirements.From start to finish, this bookdelivers fast, thorough and reliable answers-knowledge you'll rely on in every Six Sigma project, for years to come. Preface Introductioni¾ i¾ i¾ i¾ i¾ i¾ Different Methods for Different Purposes Part Ii¾ i¾ Six Sigma Methodology Overview: Choosing the Right Approach to Address the Requirements Section 1i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Define-Measure-Analyze-Improve-Control (DMAIC) Section 2i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Lean and Lean Six Sigma Section 3i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Design for Six Sigma (DFSS) Section 4i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Six Sigma for Marketing (SSFM) Part II Six Sigma Tools and Techniques: Choosing the Right Tool to Answer the Right Question at the Right Time Encyclopediai¾ i¾ i¾ i¾ The Six Sigma Encyclopedia of Business Tools and Techniques Summary Tool Matrix Ai¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Activity Network Diagram (AND) - 7M Tool Affinity Diagram - 7M Tool Analysis of Variance (ANOVA) Arrow Diagram Bi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Benchmarking Box Plots[md]Graphical Tool Brainstorming Technique Ci¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Capability Analysis Cause and Effect Diagram - 7QC Tool Cause and Effect Prioritization Matrix Cause and Prevention Diagram Checklists - 7QC Tool Communication Plan Conjoint Analysis Control Charts - 7QC Tool Control Plan Cost / Benefit Analysis Critical Path Method (CPM) Critical-to-Quality (CTQ) Di¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Data Collection Matrix Design of Experiment (DOE) Dotplot Fi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Failure Modes and Effects Analysis (FMEA) 5-Whys Fault Tree Analysis Fishbone Diagram - 7QC Tool Flowchart - 7QC Tool Gi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Gantt Chart GOSPA (Goals, Objectives, Strategies, Plans and Actions) Graphical Methods Hi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Histogram - 7QC Tool House of Quality (HOQ) Hypothesis Testing Ii¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Interrelationship Diagram - 7M Tool Ki¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ KJ Analysis Li¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Launch (or Transition) Plan Mi¾ i¾ i¾ i¾ i¾ i¾ i¾ Market Perceived Quality Profile (MPQP) Matrix Diagrams -7M Tool Measurement System Analysis (MSA) Multi-Vari Chart Monte Carlo Simulationi¾ Ni¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Normal Probability Plot Pi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Pareto Chart - 7QC Tool PERT Chart Poka-Yoke Porter's 5 Forces Prioritization Matrices - 7M Tool Process Capability Analysis Process Decision Program Charts (PDPC) - 7M Tool Process Map (or Flowchart) - 7QC Tool Project Charter Pugh Concept Evaluation Qi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Quality Function Deployment (QFD) i¾ Ri¾ i¾ i¾ i¾ i¾ i¾ i¾ RACI Matrix (Responsible, Accountable, Consulted, Informed)i¾ i¾ i¾ 12 Real-Win-Worth (RWW) Analysis Regression Analysis Risk Mitigation Plan Rolled Throughput Yield Run Chart - 7QC Tool Si¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ 7M - Seven Management Tool 7QC - Seven Quality Control Tool Samplingi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ 4 Scatter Diagram - 7QC Tool Scorecards SIPOC (Supplier-Input-Process-Output-Customer) SMART Problem & Goal Statements for a Project Charter Solution Selection Matrix Stakeholder Analysis Statistical Tools Stratification - 7QC Tool SWOT (Strengths-Weaknesses-Opportunities-Threats) Ti¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Tree Diagram - 7M Tool TRIZ Vi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Value Stream Analysis Voice of Customer Gathering Techniques Wi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Work Breakdown Structure (WBS) Yi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Y = f (X) Part IIIi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Best Practices Articles (Available for download when you register your book at www.informit.com) The Anatomy of Quality Loss in a Product The Anatomy of Variations in Product Performance Benchmarking - Avoid Arrogance and Lethargy Building Strength via Communities of Practice and Project Management Discovery-Based Learning Lean Six Sigma for Fast Track Commercialization High Risk-High Reward, Rapid Commercialization: PROCEED WITH CAUTION! Listening to the Customer First-Hand; Engineers Too The Practice of Designing Relationships A Process for Product Development Selecting Project Portfolios using Monte Carlo Simulation and Optimization i¾ Part IVi¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ i¾ Appendixes Appendix Ai¾ i¾ i¾ i¾ i¾ Statistical Distribution Tables Appendix Bi¾ i¾ i¾ i¾ i¾ i¾ Glossary Appendix Ci¾ i¾ i¾ i¾ i¾ i¾ References Index
Craig Gygi - One of the best experts on this subject based on the ideXlab platform.
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Six Sigma for Dummies
2005Co-Authors: Bruce Williams, Neil Decarlo, Craig GygiAbstract:Foreword. Introduction. Part I: Six Sigma Basics. Chapter 1: Defining Six Sigma. Chapter 2: Examining the Principles and Language of Six Sigma. Chapter 3: Pinpointing the Essentials of Six Sigma. Part II: Understanding and Enacting the Breakthrough Strategy (DMAIC). Chapter 4: Finding the Pain - Defining Projects. Chapter 5: Measuring the Gaps. Chapter 6: Measuring Capability. Chapter 7: Separating the Wheat from the Chaff. Chapter 8: Quantifying the Critical Few. Chapter 9: Achieving the Objective. Chapter 10: Locking in the Gains. Part III: The Six Sigma Tool and Technology Landscape. Chapter 11: Identifying Six Sigma Practitioner Tools. Chapter 12: Mastering Six Sigma Manager Tools. Part IV: The Part of Tens. Chapter 13: Ten Best Practices of Six Sigma. Chapter 14: Ten Pitfalls to Avoid. Chapter 15: Ten Places to Go for Help. Appendix: Glossary. Afterword. Index.
Bruce Williams - One of the best experts on this subject based on the ideXlab platform.
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Six Sigma for Dummies
2005Co-Authors: Bruce Williams, Neil Decarlo, Craig GygiAbstract:Foreword. Introduction. Part I: Six Sigma Basics. Chapter 1: Defining Six Sigma. Chapter 2: Examining the Principles and Language of Six Sigma. Chapter 3: Pinpointing the Essentials of Six Sigma. Part II: Understanding and Enacting the Breakthrough Strategy (DMAIC). Chapter 4: Finding the Pain - Defining Projects. Chapter 5: Measuring the Gaps. Chapter 6: Measuring Capability. Chapter 7: Separating the Wheat from the Chaff. Chapter 8: Quantifying the Critical Few. Chapter 9: Achieving the Objective. Chapter 10: Locking in the Gains. Part III: The Six Sigma Tool and Technology Landscape. Chapter 11: Identifying Six Sigma Practitioner Tools. Chapter 12: Mastering Six Sigma Manager Tools. Part IV: The Part of Tens. Chapter 13: Ten Best Practices of Six Sigma. Chapter 14: Ten Pitfalls to Avoid. Chapter 15: Ten Places to Go for Help. Appendix: Glossary. Afterword. Index.
Neil Decarlo - One of the best experts on this subject based on the ideXlab platform.
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Six Sigma for Dummies
2005Co-Authors: Bruce Williams, Neil Decarlo, Craig GygiAbstract:Foreword. Introduction. Part I: Six Sigma Basics. Chapter 1: Defining Six Sigma. Chapter 2: Examining the Principles and Language of Six Sigma. Chapter 3: Pinpointing the Essentials of Six Sigma. Part II: Understanding and Enacting the Breakthrough Strategy (DMAIC). Chapter 4: Finding the Pain - Defining Projects. Chapter 5: Measuring the Gaps. Chapter 6: Measuring Capability. Chapter 7: Separating the Wheat from the Chaff. Chapter 8: Quantifying the Critical Few. Chapter 9: Achieving the Objective. Chapter 10: Locking in the Gains. Part III: The Six Sigma Tool and Technology Landscape. Chapter 11: Identifying Six Sigma Practitioner Tools. Chapter 12: Mastering Six Sigma Manager Tools. Part IV: The Part of Tens. Chapter 13: Ten Best Practices of Six Sigma. Chapter 14: Ten Pitfalls to Avoid. Chapter 15: Ten Places to Go for Help. Appendix: Glossary. Afterword. Index.