UCIT Lean Six Sigma Initiative

UCIT Lean Six Sigma Initiative Presented by Dave Deleske

Agenda • Discuss Objectives • LSS Overview • ITIL and LSS • DMAIC Tool Set • Review Project Selection Criteria • Review Define Phase and Tools • Problem Statements and Business Case • Review Benefits and Concerns'

Objectives • Start on time and stay on schedule • Encourage support of LSS through understanding and open communication • Provide a foundation and tool set for measureable Improvements of Service for the University

Lean Six Sigma… yet another “flavor of the day” ?? Who has work that needs to get done? Who has a process that needs improvement? Who Doesn’t !!! How are we doing? How do we know? Are we making a difference? In a Positive or a Negative Way?

Lean Six SigmaHow does it Relate to Service Delivery? Incident Management Project Management Change Management Application Development Config Management Server Deployment Any Process

Lean Six SigmaImprovement to Processes (ITIL Included) Incident Management Problem Management Change Management Release Management Config Management Processes – Work Flow Variation and Time

Lean Six SigmaWhat does it mean? Incident Management Problem Management Change Management Release Management Config Management Processes – Work Flow Variation and Time ErrorOpportunities

Lean Six Sigma Incident Management LSS Lean = Is to “Trim” rework, waste, delays Sigma = Is to Reduce Variables / Deviations Problem Management Change Management Release Management Config Management Processes – Work Flow Variation and Time

Lean Six Sigma ITSM is a framework for helping IT organizations become more adaptive, flexible, cost-effective, and service oriented How it manages its processes, technology assets, vendors and deploys personnel, to how IT staff view their organizational roles. One of the primary goals of ITSM is to successfully align the delivery of IT services with needs of the business. Six Sigma = seeks to identify and remove the causes of defects and errors in manufacturing and business processes. Metrics Project management is the discipline of planning, organizing and managing resources to bring about the successful completion of specific project goals and objectives. Business analysis is the set of tasks, knowledge, and techniques required to identify business needs and determine solutions to business problems.

MEASURE ANALYZE DEFINE CONTROL IMPROVE Lean Six SigmaCurrent Improvement Model

MEASURE ANALYZE DEFINE CONTROL IMPROVE Lean Six SigmaImprovement Process DMAIC

ANALYZE DEFINE CONTROL IMPROVE MEASURE Lean Six Sigma Activities • Develop SOP’s, Training Plan & Process Control System • Implement Process Changes and Controls • Monitor & Stabilize Process • Transition Project to Process Owner • Identify Project Replication Opportunities • Calculate Financial Benefits • Develop Potential Solutions • Develop Evaluation Criteria & Select Best Solutions • Evaluate Solution for Risk • Optimize Solution • Develop ‘To-Be’ Process Map(s) and High-Level Implementation Plan • Develop Pilot Plan & Pilot Solution • Propose Critical X’s • Prioritize Critical X’s • Conduct Root Cause Analysis on Critical X’s • Validate Critical X’s • Estimate the Impact of Each X on Y • Quantify the Opportunity • Prioritize Root Causes • Identify Key Input, Process and Output Metrics • Develop Operational Definitions • Develop Data Collection Plan • Validate Measurement System • Collect Baseline Data • Determine Process Performance/Capability • Validate Business Opportunity • Map Business Process • Map Value Stream • Identify Problem • Complete Charter • Develop SIPOC Map • Gather Voice of the Customer & Voice of the Business • Develop CCR’s & CBR’s • Finalize Project Focus • Pareto Charts • Affinitization • C&E Matrix • C&E/Fishbone Diagrams • Brainstorming • Detailed ‘As-Is’ Process Maps • Basic Statistical Tools • Non Value-Added Analysis • Confidence Intervals • Hypothesis Testing • Non-Parametrics • FMEA • Box Plots • Interaction Plots • Multi-Vari Charts • Logistic Regression • One-way and Two-way ANOVA • ANOM • Box-Cox transformation • QFD-2 • Scorecards • Excel Analysis Tools Tools • SIPOC Map • Operational Definitions • Data Collection Plan • Statistical Sampling • Measurement System Analysis (MSA), Gage R&R • Constraint Identification • Setup Reduction • Work Control Systems • Kaizen • Control Charts • Process Capability, Cp & Cpk • Value Stream Map • Non-Value Added Analysis • QFD -1 • Brainstorming • Benchmarking • Solution Selection Matrix • Process Improvement Techniques • Process Balancing • Process Flow Improvement • Queuing Theory • Design of Experiments (DOE) • Replenishment Pull • Poka-Yoke • FMEA • ‘To-Be’ Process Maps • Piloting and Simulation • Response Surface Methodology • QFD – 3 • Crystal ball Simulation • Scorecards Gap Analysis • Control Charts • Standard Operating Procedures (SOP’s) • Training Plan • Communication Plan • Implementation Plan • Visual Process Control • Process Control Plans • Project Commissioning • Project Replication • Plan-Do-Check-Act Cycle • Scorecards • Dashboard • Pareto Charts • Project Selection Tools • Project Management • Various Financial Analysis • Charter Form • Stakeholder Analysis • Communication Plan • SIPOC Map • High-Level Process Map • VOC and Kano Analysis • Quality Function Deployment (QFD) • RACI Charts • Thought Process Map

Project Selection Some things to watch for when assessing a project’s suitability for DMAIC: • Is data available or easy to obtain? • Does leadership support exist for improving this process? • Is DMAIC really needed or is this a “just do it”: a problem with a known solution that should just be implemented? • Is the team trying to boil the ocean or is the scope reasonable for chartering as a DMAIC project? • Is the process directly related to a key outcome such as profitability, customer satisfaction, or employee satisfaction?

Yellow Belt Project Criteria • Uses DMAIC • Addresses each phase • Includes some of the tools • Involves 1-3 people • In an area you control or influence • Can be done within a month • Provides a measurable benefit

Define Objectives Six Sigma calls for unmistakable, measurable results, the goal of the Define phase is to clearly identify and articulate the problem in a clear and measurable way. The basic steps to the Define phase of DMAIC are… • Identify or refine the problems in your process that must be solved in order to meet or exceed the customer's specifications or expectations. • Identify and quantify customer requirements. • Identify and quantify the process output and defects that fall short of these requirements and create a problem statement.

Define Objectives cont. • State the project goal, which also must be a clear and measurable goal, and include a time limit for the project's completion. • Determine the few vital factors that are Critical to Quality, which need to be measured, analyzed, improved and controlled. • And finally, create a project charter, which will contain the problem definition, goal, business case, project scope, team members, and high level project plan for the M, A, I and C phases.

Define – Tools The tools most commonly used in the Define phase are: - Voice of the Customer - Critical-To-Quality (CTQ) tree - Affinity Diagram - Process map - Project Charter - Suppliers, Inputs, Process, Output, and Customers (SIPOC) -- Kano Model - Stakeholder analysis

CTQ • CTQs (critical to quality characteristics) that have the most impact on quality - separating the “vital few” from the “trivial many”- and creates a map of the process to be improved. .

Critical To Quality (CTQ) Tree Diagram Answers given to customersare correct. (90%) Customers’ questions canbe answered without further research. (80% Closure on Initial call. Knowledgeable Researched information isreturned quickly. < 1hour GoodCustomerService Friendly Customer is greeted by name. Customer is not interrupted. Timely Short wait time (<2 min) General Specific Hard to “Design To” Easy to “Design To”

Process Mapping • Business Process Mapping Completed, verified, and validated high-level 'as is' (not 'should be' or 'could be') business process map. Completed SIPOC representation, describing the Suppliers, Inputs, Process, Outputs, and Customers.

Lean Six Sigma Process Flow Enter client information Document client request / requirements Perform required Tasks or attempt to resolve Issue Classify Incident Service Request Close Ticket or Assign ISR to appropriate Support Group • Client Requests • Systems Events • System Changes Select Service Type 4 items Select Product Categorization 300 Items Select Operational Categorization 15 Items Select Support Group 60 Groups Close Ticket or Assign ISR to appropriate Support Group

Lean Six SigmaSIPOC Supply Inputs Process Outputs Customer • Client Requests • Systems Events • System Changes • Support Center • Operations • Tier 2 and 3 Support • Categorization Design • Applications (Remedy) Configuration • Incident Service Request Categorization • Detailed Activity Reports • Service Request Cycle Time • Accurate / Reliable Information • Service Metric • Business Owners • Service Owners • Problem Management • Management Enter client information Document client request / requirements Perform required Tasks or attempt to resolve Issue Classify Incident Service Request Close Ticket or Assign ISR to appropriate Support Group

Relating the Problem What is your Problem ?? Is it really …. Why is that important How is it related to Business Objectives? What factors contribute to those Objectives? Y=f(x) From Y determine CTQ’s x = ? Problem (Which one ??) Can it Measureable?

Lean Six Sigma Road Map UCIT Lean Six Sigma Project Details

Problem Statement • Problem Statement: What specifically is the problem? Where does it occur? When does it occur? What is its extent? Problem Statement for Remedy Categorization Project (Dave) What "pain" are we or customers experiencing? The information is missing and/or inconsistent and has little value for supporting management decision making. At the data-entry point, it is hard to use, slows down work, and is confusing. What is wrong or not working? The incident information gathered is incomplete, Not representative of all of IT, Not searchable, Not Consistent or accurate.

Business Case What are the compelling business reasons for embarking on this project? Is the project linked to key business goals and objectives? What key business process output measure(s) will the project leverage and how? What are the rough order estimates on cost savings/opportunities on this project?

Goal Statement What is the goal or target for the improvement team's project? Do the problem and goal statements meet the SMART criteria (specific, measurable, attainable, relevant, and time-bound)? Has anyone else (internal or external to the organization) attempted to solve this problem or a similar one before? If so, what knowledge can be leveraged from these previous efforts? How will the project team and the organization measure complete success for this project?

Lean Six Sigma How are we doing ?? Taking us from I think, to I can show you !!

Review Benefits and Concerns Benefits Concerns

UCIT Lean Six Sigma Initiative