Lesson 4

Question 1

A project charter describes?

Answer 1

Project objective
Problem statement
Scope of the project
Business Case
The process to be improved
The improvement goal
Estimated financial benefit
Project team

Question 2

The project objective?

Answer 2

Communicates the goal of the project. it should:
- Address the deficiency defined in the problem statement.
- Quantify the expected improvement.
- Identify the timing
(E.G. Reduce shipping paperwork data errors by 25% by June 2014)

Question 3

Project Scope (limits) defines:

Answer 3

• Where the process starts and ends
• What is included and what gets excluded.
• Constraints: Standards and procedures (regulatory, legislation etc..)
• Resistance

Question 4

The project team

Answer 4

Select a team with multiple areas of expertise (4-6 members). can be changed during the project. have a clear understanding of the basic concept of LSS.

Question 5

The Project Sponsor

Answer 5

Not necessarily a team member, but critical for resources. Empowered to make decisions. the contact towards the rest of the organization.

Question 6

Value Stream Map

Answer 6

is all the actions that are required to take a product or service, from order to delivery.
is a graphical representation of the entire value stream which includes material, information, and product flow.

Question 7

Value Stream map benefits

Answer 7

highlights waste
graphically represents the total value stream.
identifies process bottlenecks

Question 8

Value stream mapping in 5 steps

Answer 8

1. Determine product family to set scope
2. Draw the process flow map
3. Add the material and information flow
4. Add the data in the data collection boxes.
5. Add process time and lead time data.

Question 9

Processing time meaning

Answer 9

the time between when an order is placed by a customer and when the order is fulfilled by the business.

Question 10

Inventory time formula

Answer 10

Inventory (parts) / output per day

Question 11

Process Lead Time (PLT) formula

Answer 11

Processing time + Inventory time

Question 12

PCE % Formula

Answer 12

Value add time / PLT x 100

Question 13

Little’s law formula

Answer 13

Work in progress / Exit rate per time unit (E.G. day, hour, minute)

Question 14

Takt time (in seconds)

Answer 14

The rate at which you need to complete a product to meet customer demand
- available time for production / market demand