Integrated Lean Six Sigma What is it?

1. Integrated Lean Six SigmaWhat is it?

2. What is Integrated Lean Six Sigma? • A Strategy to Build the Capability of the TOTAL Organization • IL6S brings together Lean, Six Sigma, TPM and High Performance Work Systems in an integrated approach. • Aimed at achieving and SUSTAINING breakthrough Business Results through a highly skilled, motivated and self-reliant Work Force • Through 100 % Total Employee Ownership and Pursuitof Zero

3. Pursuit of Zero – Why is Zero Important? • Loss is the difference between actual results and the ideal ZERO State • The definition of quality is the conformance to requirements – NO Defects • Eliminating Stops and Breakdowns enables Predictable Supply and Predictable Maintenance • Predictable Supply is needed for a produce-to-demand system with just-in-time inventory

4. Building an End to End Supply Chain ZERO and 100… Create a predictable supply chain with customers and suppliers Big Losses Across the Silos in the Supply System

5. IL6S Design Elements • Pillars • Provide “Centers of Excellence” (COE) containing key tools and approaches aimed at building capability • Build required capability horizontally across the Organization • Pillars Are Not Functions With the House example, the pillars simply provide the builders with the necessary capabilities.

6. Integrated means building 11 interdependent Capability building pillars Kraft Vision ISC Vision CBN Pillars Foundation Make Kraft North America’s Best Food Company . “We are a CONSUMER-driven, CUTOMER-focused team delivering WORLD CLASS solutions and sustained breakthrough results through the best developed PEOPLE and CAPABILITIES Education & Training (E&T) 2 + 0 + 15 by 2015 thru POWER of 1 Organization (Org) Leadership Work Process Improvement (WPI) Supply Network (SN) Safety, Health & Environment (SH&E) Quality Management (QM) Initiative Management (IM) Continuous Improvement (CI) Autonomous Maintenance (AM) Progressive Maintenance (PM)

7. Blitz – Accelerating the Future Making IL6S the way we work • Pillar Leads • Dee Gibbs – Leadership • Johanna Ramirez – AM • Hany Azmy - PM • Tim Preston - CI • Bob Hollingsworth – IL6S Mgr • Kato Oliver – Health, Safety & Env • Windy Glahn – Education/Training • Susan Ledbetter - Org • Jill Hoffman – Quality • Matt O’Shield – Material • To be determined – WPI

8. Objectives: • Prepare Leaders to effectively and efficiently leverage IL6S to meet their business needs. • Begin the organizational change effort to achieve a Zero Loss and Total Employee Ownership Culture • Ensure leadership defines the organization’s Compelling Business Need business in a way that every employee can link their work plan to it. Change our leadership behaviors

9. Culture Elements/Behaviors Leaders establish clear stretching objectives and standards for the organization based on business needs. Leaders role model IL6S behaviors, (e.g. finding & eliminating defects, root-cause problem solving, broad involvement of the organization, etc.) Leaders Learn-Do-Teach through participation in Leadership Models on-the -floor/work area activities, roll-down training and day-to-day coaching.

10. Vision Support the RTD BU with World Class performance and innovation • Network: • Provide service flexibility while producing high quality products at the lowest cost • Facility: • Continue to develop our safety culture through 100% engagement • Build employee capability and opportunity to achieve highest quality and lowest cost

11. Mission Everyone, every day, the best way • Full Engagement • Working together • Shared goals • Small Improvements everyday • Working to eliminate all losses • Constant review of current processes • Learn and apply from others • Identifying best practices • - plant and network • Standard work

12. Compelling Business Need Beverage RTD Network 2 Double Volume Growth 15 % Efficiency gains over 3 years to support growth Chain Links Network and employees Working together O Zero Loss Thinking Safety / Costs Mission

14. Questions?????