Process Analysis & Improvement Flashcards
Why chart the flow of customers, information and/or products through the stages of the conversion process?
- Easier to understand (communication & training)
- Helps identify improvement opportunities
What are the steps in Process Improvement?
- Recognize the need for change
- Research “best practices” (benchmarking)
- Determine how to change (tinker or tear-down)
What are some examples of immediate feedback (leading) that an organization may experience internally?
Excessive Delays / Inv.
High Rework / Scrap
Employee Frustration
Idle Staff / Equipment
What are some examples of immediate feedback (leading) that an organization may experience externally?
Customer Complaints
Product Returns
Negative Media
What are some examples of delayed feedback (lagging) that an organization may experience internally?
Excessive Overtime
Employee Turnover
Declining KPI Performance
What are some examples of delayed feedback (lagging) that an organization may experience externally?
Declining Market Share
Declining Financial Performance
What is Benchmarking?
Comparing an organization’s processes against top performers which can be used as targets for process improvement.
What are the 3 types of Benchmarking?
- Internal (rare, only appropriate for organizations with multiple locations)
- Competitive (illegal, can be difficult to obtain information)
- Functional (advice from outside industry)
What is Continuous Process Improvement (CPI)?
Never-ending process of achieving incremental improvements = “Tinker”
What is Business Process Reengineering (BPR)?
Short-term radical process improvement = “Tear-Down”
It requires discontinuous thinking.
What causes the need for BPR?
Technological advancements (Disruptive Technologies) [ex. Cameras]
Competitor Improvement
Changing customer desires
What are some key things to remember with Employee Involvement in CPI?
Collaborative, cross-functional teams
Adequate time to be creative
Company culture is key:
- Willingness to invest in employees
- Willingness to delegate decision-making
- Disciplined approach to managing change
What is Just In Time / Lean production?
When inventory is received only as needed. It reduces waste while also improving quality. (only focusing on what matters)
What is a Just In Time “Pull” (Kanban) System?
A self-regulating system controlling the flow of material. Restocking only what has been consumed, thereby creating a “pull” system through the factory.
What are the benefits of the Just In Time “Pull” (Kanban) System?
Inventory hides problems. “Pull” system minimizes unnecessary inventory that would accumulate in a “push” system.