AIAG 2a oo Effective Problem Solving Leader Guide “The Catalyst for Peak Poformance™ Version 1 Issued 9/2012 ABOUT AIAG Purpose Statement Founded in 1982, AIAG is a globally recognized organization where OEMs and suppliers unite to address and resolve ‘issues affecting the worldwide automotive supply chain. AIAG's goals are to reduce ost and complexity through collaboration; improve product quality, health, safety, and the environment; and optimize speed to market throughout the supply chain, AIAG Organization AIAG is made up of a board of directors, an executive director, executives on loan from member organizations, associate directors, a fulltime staff, and volunteers serving on project teams. Directors, department managers, and program managers plan, direct and coordinate the association’s activities under the direction ofthe executive director. AIAG Projects Volunteer committees focus on business processes or supporting technologies and methodologies. They conduct research and develop, publish, and provide training on standards, conventions, standard business practices, white papers, and guidelines in the areas of automatic identifcation, CAD/CAM, EDIfelectronic commerce, continuous quality improvement, health focus, materiais and projact management, occupational health & safety, returnable Containers and packaging systems, transportation/customs and truck & heavy equipment. “AIAG PUBLICATIONS ‘An AIAG publication reflects a consonsus of those substentaly concemed with ts scope and provisions. An ‘AIAG publication is intended as a guide to eid the manufacturer, the consumer and the gener! public. The texistonce of en AIAG publication does notin any respect preclude anyone from manufacturing, marketing, ‘purchasing, or using products, processes, or procedures not conforming tothe publication. DISCLAIMER ‘The Publishor does not make any representation or warranty, xpress or implied in relation to any information ‘rom tis publication, and the Pubisher doss not assume any logallabity forthe accuracy, comploteness, or Usefuinss of any information trom tis publication. (CAUTIONARY NOTICE AIAG publications are subject to parte review andl usors are cautioned to obtain tne latest edons. MAINTENANCE PROCEDURE ‘Recogniing that this AIAG publication may not cover ail creumstances, AIAG has established a maintenance procedure. Please refer tothe Maintenance Reques! Form ofthe back ofthis document to submit a request Published by: Automotive industry Action Group 126200 Lahser Road, Suite 200 ‘Southifeld, Michigan 48033 Phone: (248) 958-3870 » Fax: (248) 358-3253 APPROVAL STATUS The AIAG Quality Steering Commitise and designeted stakeholders approved tis document for publication on August 8, 2012, AIAG COPYRIGHT AND TRADEMARK NOTICE: (© 2012 Automotive Industry Action Group, except that copyright isnot claimed as fo any part of an original work prepared by a U.S. ‘or state government officer or employee as part ofthe person's official duties. Except as noted above, all ights are resorved by AIAG and no pat of these meteriats may be reproduced, reprinted, stored in 2 ‘etieval systor, oF iansmited, n eny form or by any means, electronic, photocopying, recording, or otherwise, without the prior ‘nite parmission of Automotive Indusity Action Group. Copytighinirigement is 2 volaion of federal law subject lo cximinal and ‘ivi penaties. [AIAG and Automotive Industry Action Group are registered service marks of the Automotive Industry Action Group. Automotive Industry Action Group makes no cam to any trademark of @ third party. Trademarks of thid parties included in these matevials are the proparty of ther respective overs (© 2012 Automotive Industry Action Group ‘IsBNs:978 1 69534 285 9 0000cal-21 Effective Problem Solving Leader Guide Version {Issued 972012 AIAG» “The Gatlyt fr Feat Pormooe" typ oye rie i oe e = = fp i try iy liuAIAG scorn rete tng tase zy ‘ho Catalyst fr Punk Pofxmance™ Version 1 Issued 972012 FOREWORD It was reported by leadership of OEMs and suppliers that problem solving in the automotive industry is not effective. A Project Team was convened at AIAG to address the problem due to: © Turnover/new hires/new job responsibilities; © Lack of effective leadership support, * Leadership misunderstanding of problem solving ; © Understanding the appropriate tools/problem complexity; + Lack of triggers to apply tools and processes and/or methods to identity; Lack of appropriate metrics to identify problem trends and status. ‘The concem as identified was not that there is a lack of tools, but rather a lack of implementation. So, as a leader, what should you do next? Do what you do best: lead and reinforce the values and behaviors that you already know are important to your business: ‘© Protect the customer first; ‘© Develop a good understanding of the problem solving process; Lead by example; Ask the right questions which will drive right behaviors; View problems as opportunities for improvement; Ensure that the organization has competency in appropriate problem solving tools and methods; + Empower the people; * Remove roadblocks to success; © Monitor status to ensure timely resolution of issues. Leading an organization with the right Effective Problem Solving (EPS) values can ensure the right behaviors by insisting that your culture responds to the right measures and metrics of effective problem solving When all is said and done, for EPS to be effective in an organization, the top leaders and managers at all levels must get involved and “lead by example.” This Guide provides the foundation, It's up to you to act.gout AIAG 2a Effective Problem Solving Leader Guide Version 1 lsted 9/2072 Tha Catatyt for Pu Parorance™ ACKNOWLEDGEMENTS AIAG would like to recognize and thank the member organizations and ‘work group members responsible for this document: Busha, Lori Federal-Mogul Corporation Down, Michael General Motors Company Fraker, Roy Honda of America Manufacturing, Inc. Gray, Rod Satum Electronics & Engineering, Inc, Gruska, Gregory Omnex, Ine. Hale, Gerald Nissan North America Jessee, Rebecca Ford Motor Company Mrozinski, David Nissan Reid, Dan AIAG Zhou, Stanley Chryster Group LLC Zilio, Lue Toyota Motor Engineering & ‘Manufacturing North America, Inc. leAIAG CaQl-21 Effective Problem Solving Leader Guide “Te Oatalyt fox Peak Fortormarcs™ Version 1 issued 912012 TABLE OF CONTENTS ‘ABOUT AIA FOREWORD ACKNOWLEDGEMENTS nner ‘TABLE OF CONTENTS. INTRODUCTION 1 PROBLEM SOLVING ~ ROLE OF TOP EXECUTIVES s.rsnn 4.1 Obra Prostem Souvinc Process OVERVIEW... 1.2 ESTABUSH ErFECTIVE PROALERS SOLVING CULTURE 12.1 Champion Cultural Change 12.2 Assess Organizational Maturity. 123 Maintin Sect - Constancy of Purpose 1.2.4 Lead by Example Cn 1.2.5 View problems as opportunities... LB AUGN VISION, 2.4 Aooaess EPS THe STRATEGIC PLAN 1.4.1 Training and Certification .. 14.2 Allocate Resources 1.4.3 Empower People. 1.4.4 Establish Metrics 1.5 MONITOR PROGRESS. 2 PROBLEM SOLVING — ROLE OF MIDDLE MANAGEMENT. 2.4 Opram EFFecTVE PROBLEM SOLVING KNOWLEDGE (HOWTO)... 2.2 "Know Waa" vs. “kNow HOW”, 2.3 Use ExrEcrive PROBLEM SOLVING PROCESS. ‘2 INCORPORATE THE SEVEN BASIC QUALITY TOOLB.. 2.S TACTICAL PLANS nn 2.6 EMPOWER PEOPLE. 2.7 ESCALATE ISSUES wn 3 PROBLEM SOLVING - ROLE OF OTHERS... 31 RECOGNIZE RiGHT BEHAVIOR ~ EXECUTIVE CHAMPION. 3.2 REMOVE ROADBLOCKS ~ EXECUTIVE CHAMPION 3.3 PROIECT Manacemtent ~ TEAnd LEAOER ‘3.4 EXECUTE PLANS — FRONT LINE MANAGEMENT... 3.5 ADVANCED Toots ExPERTISE ~ SUBJECT MATTER EXPERTS... GLOSSARY... APPENDICES nse ‘A, MANAGEMENT QUALITY OF EVENT CHECKLIST ~ PROBLEM SOLVING. B. InmairoRs To EFFICIENT PROBLEM RESOLUTION C. PRoBLeM SOWING TooL MATa.cal-21 Effective Problem Solving Leader Guide Vetson 1 Issued 972012 Table of Figures Figure Ficure 2 Ficure 3. Ficure 4 Figure. Figure 6. Figure 7. Ficuae 8. Figure 9. Figure 10, Figure 11, Figure 12. Figure 13, Ficune 14. Ficure 15. Figure 16. EXECUTIVE LEADERS AND PROBLEM SOLVING. PROBLEM SoLviNG RASIC Ereccive Prosten Sunne PRocess (ste CO-20). wut"... ‘QuauTy SpecrRUM.. Vision AucniveNT Fon Erecrve PRORLEM SOLVING PROBLEM SOLVING AND COMPLEXITY. Ign Process METR.. (Cause aNo EFFecT DIAGRAM, PARETO CHART enorme FLOW CHART ner Run Chant SCATTER PLOT... Connon Caan An aN REXAPE) HISTOGRAM .. RecotaeNco PaoateN SOLVING TOOKS BY PHASE. E ion tom iaAIAG» The Catalyst for Peak Performencs™ cal-21 Effective Problem Solving Leader Guide ‘Version {Issues 92012 INTRODUCTION Quality pioneers Edwards Deming, Joseph Juran and Phillip Crosby among others, began their careers as quality practitioners, eg statisticians. As their experience grew, each shifted their attention from the tools for quality to focus on top leadership and creating an organizational culture where quality can be nurtured and achieved. It is no different today. Edwards Deming pointed out that the commitment of top management to quality and productivity is not enough. He said “they must knovy what itis that they are committed to—that is, what they must do. These obligations cannot be delegated. Support is not enough: action is required.” Deming also said, “Quality is mede in the boardroom. When I want to know what an organization stands for, I look first to the actions of senior managers.” In this Guide, we will provide leaders with helpful guidance for how they can stay involved over time to drive effective problem solving into their culture, vosene Tartana tho role & seventy encore resources se tecstd Expower eam & sins sure tel resolution aemove ny rosdbloks"| Provdeguitanee for “next steps” exsure ongoing subi & Provide "trom who Figure 1. Executive Leaders and Problem Solving Figure 1 shows the ctitical elements of an organizational culture necessary for Effective Problem Solving (EPS) as well as the actions leaders should take for engagement with individual problems that may arise over time, The individual problem actions ate grouped by the steps in the PDCA cycle, also known as the Deming or the Shewhart cycle, named after Quality pioneers who widely promoted its use,caQl-21 Effective Problem Solving Leader Guide AIAG2 a aS is Informed Seon EPS Understanding (overview) ‘The Catlyat fo Psk Palomar fomcn e.g. CEO, COO cos een Front Line ec vic Read EPS Culture Align Vision ‘Address EPS in the Strategic Plan Allocate Resources Empower People Constancy of Purpose »|x|x|)2|~]> vlalalolala EPS Knowledge (How To) "Know Who" vs. "Know How" EPS Understanding (detailed) Seven Basic Quality Tools Tactical Plans Escalate Issues Recognize Right Behavior Remove Roadblocks Project Management Execute Plans >|>lulula|~|~|x|2|2[alalalululul: Advanced Tools Expertise al-lola]alalololalal: s s & fo]-|-|>Jelel=folelo| » Figure 2, Problem Solving RASIC Figure 2 describes the roles of key stakeholders for problem solving actoss the organization. The elements to be discussed in this document are listed in the first column. ‘The AIAG Project Team selected these as key content to be included which addresses cultural and competency issues needed for effective problem solving, One of the key benefits of using a RASIC chart is to highlight who is to be informed. In a large organization, communication is difficult and must be worked on in order to be effective. mom Mm om © oo © © Of fo mom wom mom ofpAIAG etc Probie Sting Lace “ho Gatatyt Pas Ptorres™ Version 1 Issued 972012 1 PROBLEM SOLVING - ROLE OF TOP EXECUTIVES 1.4 Obtain Problem Solving Process Overview Executive leaders should have a good understanding of the high-level problem solving process. The AIAG Effective Problem Solving Process is depicted in Figure 3. ‘This process is taken from the AIAG Effective Problem Solving Practitioner Guide (CQI-20). Inputs VOC Voice ofthe Customer ‘VOP Voice ofthe Process VOE~Voice of Experience pe Pee Initiation of Complex Problem Solving Problem Problem Solving Statement Identification: inment ontaiment Pan Problem Solving Statement coma dine esasmeereronties Problem Sohne Statement Falure Mode antl FMEA (FM) Analysis: Systemic FM True Root Causes for: aati Root Cause oe Systemic FM (Re Anebls Local 1 Vesiled Escape ca eens ies Corrective Veiled Occurrence A occareree, sation (A) Yared Syumieca et T Lessons Learned Vested Escape CA ease Verified Occurrence CA vreventive PADeployed Verified Systemic CA Action (PA) Update Process Documents. Key Findings Figure 3. Effective Problem Solving Process (see CQI-20) A leader’s knowledge and understanding should enable them to: ‘* Determine what cultural changes are needed;Ect rl Sing Lente ule AIAG_» Version 1 lesued 9/2012 ‘ho Catalyst for Peak Patormance” © Determine how best to align problem solving with the organizational vision; ‘© Ask the right questions to make sure the true root cause has been identified and addressed to prevent recurrence. FMEAs can be a good source of information for asking questions about the potential cause of the concern. See Appendix A to evaluate the effectiveness of the Problem Solving activity. Additionally, leaders can use these three simple questions (Figure 4) to instill the right problem solving behaviors within the organization to determine the true root causes of the problem. Part Defect, why ate proiom occur? Loy Phanning L wir | 02 wae) 08 viny tate problem escape? |_{—, wn) ot (Process) Wav] Om fag Prot wn | 2 cA rei war] 3 wae \WnywastereaSytemicisue? LY 5, ee (wanagemend L* |, FY en Jey Prevent ‘Why? $2 Zz ca Why? s3 why? 4 wr) so |g Protect Protect RC Figure 4, Why" 1.2 Establish Effective Problem Solving Culture 1.2.1 Champion Cultural Change ‘An organization’s culture cannot be changed by edict. Change is a process that evolves and is affected by the decisions made by individuals within the organization. Executive Leaders must: ‘Acknowledge that there is a need for a change in culture; Be the change agent; Effectively utilize HR to “holds the gains” as culture changes; Require continual improvement. -10- fee fee bey fee inp oe is ny (i twee tee tt mm th mom om oh i tapAIAG “Tho Catalyst or Peak erermarce™ cal-21 Effective Problem Solving Leader Guide Version 1 Issued 9/2012 1.2.2 Assess Organizational Maturity As part of the cultural change, the Quality Spectrum (Figure 5) has been successflly used to determine organizational maturity in quality. A similar tool could be used to assess problem solving and problem solving cultural maturity. The benefit of such a tool is the ease in which Leaders can assess where their organization is at on the spectrum. The goal is to move the organization to the right. Tactical plans need to be developed and implemented to effect needed change. Imovation 2 Growth ProducaiShip! React Find & Fhe ‘standard WW Ramis & Methods Processes Continuously Improve & Reduce Variation Procedures Figure 5. Quality Spectrum 1.2.3 Maintain Stability - Constancy of Purpose Quality pioneer Edwards Deming advocated organizations’ focus on the Jong term instead of the short term. Organizational leadership needs to remain stable over time as frequent changes in management can be a distraction to effective problem solving, 1.2.4 Lead by Example Albert Schweitzer said “example is not the main thing in influencing others, it is the only thing.” Top leaders must make problem solving a priority for themselves and their organization. ‘They must find ‘opportunity to promote the wider use of effective problem solving such as * Sharing good examples or best practices for others to better understand the process; ‘* Requiring the use of the formal EPS process for status updates; # Asking the right questions fo lead the organization to the problem resolution (See Figure 4 and AIAG Effective Problem Solving Practitioner Guide CQI-20). 1.2.5 View problems as opportunities ‘An organizational culture that views problems as opportunities for improvement will address problems and not hide them. Having problems “uecal-21 Effective Problem Solving Leader Guide AIAG. Version 1 issued 92012 1.3 Align Vision The Catalyst or Poi Paterancs™ to work on will be considered a “good thing” as solving problems results in improvement and reinforces prevention activities. One of the key management poin’s emphasized by Quality pioncer Edwards Deming is that top management should “drive out fear.” Employees will work just as hard to cover up their mistakes and/or falsify data when there is fear of losing their job or encountering personal ‘embarrassment. If this occurs, management cannot trust the data which is critica! to effective decision making. ‘Top management must set and communicate the vision (See Glossary) for the organization. The ability to set vision distinguishes leadership from management. This is an essential component of effective leadership. The vision should create alignment throughout the organization for an effective problem solving (EPS) process and culture with the support of strategic plans that achieve customer satisfaction and continual improved performance. Both the RPS process and the right culture are needed to be successful. One without the other may cause an apathetic response to solving problems or undisciplined problem solving. oe ard Epsculture Peg Rea Sed Progress Figure 6. Vision Alignment for Effective Problem Solving -12- {ep f pmb oko oe ee a rm.CcaQl-21 Effective Problem Solving Leader Guide ‘Version 1 Issued 9/2012 Problem solving should be addressed in the Strategic Plan. Top management needs to understand ‘that all problems are not equally complex and will require appropriate methods and expertise. Complex problems will require a cross functional team with appropriate subject matter experts and a formal problem solving process. Simple problems should be a “just do it” locally (See Figure 7). as tong Term \._ + Convene ‘The Team Innovation \ + Engage Six Sigma / SME Short Term + Convene The Team ‘Gross-tunctional Team Requred \\ « Execute Problom Solving process ———— Continual Improvement ‘SME or Others needed fo solve ‘Seok SME Recommendation {hen “Just Do Ie Continual improvement Problom Individual Can Solve + “dust De It + No other SME needed Figure 7. Problem Solving and Complexity The strategic plan will need to address any gaps in the organization in competency and resources going forward 1.4.1 Training and Certification Everyone in the organization should be viewed as a “problem solver.” To effectively accomplish this, leadership should mandate appropriate problem solving training. This can be supported with an internal certification process so that individuals can objectively demonstrate competency in the process and tools 1.4.2 Allocate Resources Top leadership is responsible for making sure that the necessary resources are available to execute the strategic and tactical plans. (See ISO/TS16949, clause 5.1) This includes support for employees in their problem solving activites, eg. adequate training, technical coaching, allocating additional competent resources as needed and allowing adequate time for problem solving. Too often customers and/or leaders demand too much, too soon in the problem solving process. A thorough root cause analysis cannot be completed for most problems in 24 hours. Indeed, complex problem rootbpp = gona AIAG Effective Problom Solving Leader Guide e Version 1 isusd 972012 $e Catala or Pak Peon = cause investigation may require uso of various methods which cannot be é done quickly, Customers and/or leaders should demand rapid + containment of the problem then allow the organization and/or their supplier time to complete the effective problem solving process. z 4.4.3 Empower People ‘Once feaders set the vision and the strategic plan for the organization, J they need to empower people to make tactical decisions to successfully implement the strategy. 2 Leaders should a «Provide the direction and guidance to the teams, not “micro- i manage” the process; + ‘© Monitor progress; ; © Ask the right questions, 7 1.4.4 Establish Metrics - Progress toward the desired corporate culture must be measured and tracked to identify gaps and to provide feedback to the organization, Executive leadership is responsible for assuring the correct metrics are identified, measured and tracked by the organization. Appropriate uses of leading, lagging and real time metries are important, All work can be viewed as a process (See Figure 8) with inputs, value added activities and output. Quality guru Phil Crosby defined Quality as “conformance to requirements.” Bach step in a process has requirements that need to be met. Leaders need to establish appropriate metrics at different stages of the process to ensure conformance to the requirements and make significant problems visible. Metrics Requirements Requirements Requirements | | -- Figure 8. Identify Process MetricsAIAG» ‘Tho Catatyet for Post Parerarcs™ CaQl-21 Effective Problem Solving Leader Guide Version 1 issued 972012 Metrics drive behavior. Right metrics drive the right behavior. To drive a culture for effective problem solving, leaders should refrain from counting the number of corrective action requests issued as a metric for poor quality, It is better to focus on the metries that have significant {nmpact on the process. Consider using measures to “learn” as well as “prove” when establishing metrics. 1.5 Monitor Progress Top leadership should use established metrics for monitoring the organization's performance. Top leadership should establish the expectation that problem solving teams will report on problems using a standard format which requires that relevant objective data be clearly and formally communicated. ‘The periodic Management Review required by ISO 9001 and ISO/T$16949 provides a good opportunity for leaders to review the continuing suitability and effectiveness of the problem solving system and process. If through monitoring, leaders determine ongoing problem solving efforts are ineffective, consider reviewing Appendix B Inhibitors to efficient problem resolution. 215+-16- caQl-21 Effective Problem Solving Leader Guide ‘Version 1 issued 9/2012 AIAG» “The Catalyst or Peak Paxfrmarcs” bo: tose emssecGeswsSee tobe sees) sees bens bes fest be: tenAIAG» The Catalyst fr PoskPerermars caQl-21 Effective Problem Solving Leader Guide Version 1 Issued 912012 2 PROBLEM SOLVING - ROLE OF MIDDLE MANAGEMENT 2.1 Obtain Effective Problem Soh 1g Knowledge (How To) Managers must have a good understanding of problem solving tools and their application, Subject matter experts and others on the problem solving team can execute the tactical plan and tools required but managers should provide appropriate guidance and establish priorities. 2.2 “Know Who” vs. “Know How” Managers have to support the employees in problem solving. Integral to this is selecting the right people to engage in the process at appropriate stages. It is likely that for complex problem solving, subject matter experts will be needed. Some may need to work on the problem solving. team, while others could effectively supplement the team’s resources for particular tasks, e.g. testing, experimenting It may also be helpful to engage Organizational Development resources to help with deployment of the corrective and preventive actions across the organization. First to implement policies that recognizes and rewards ‘employees who demonstrate the correct behaviors, A true and effective Organizational Development function can work with top management £0 implement an effective change management process and assist in securing resources with the competency to effect the necessary change. 2.3 Use Effective Problem Solving Process ‘Managers must understand and use effective problem solving as part of the job. This has two key benefits. First, it reinforces the importance of effective problem solving to the employees. Second, it demonstrates that all employees are problem solvers at some level and are accountable to a higher-level problem owner. Look internally first. Customers should make it a practice to investigate whether a problem was caused intemally before taking the issue to theit supplier. This behavior reinforces a problem solving culture within an ‘organization and reduces their time spent to actually solve the problem by either, 1) owning the problem and rightfully solving it internally or 2) providing evidence of the problem, e.g. parts, photos, analysis to the supplier which in turn speeds up their problem solving process. Know the details of how your product works in the customer's provess and product. Know how the failure modes of your product affect the customer. For each potential failure mode for your process or product, what is the potential effect on the customer? -17--18- cal-21 Effective Problem Solving Leader Guide Version 1 issued 972012 AIAG Tho Catalyst er Pook Prermanes™ 2.4 Incorporate the Seven Basic Quality Tools Kaoru Ishikawa believed that the large majority of a company’s problems could be improved using seven basic quality tools. See AIAG Effective Problem Solving Practitioner Guide, (CQI-20) for guidance on using the tools within the EPS process. Managers should be familiar with these tools and ensure that everyone in their organization is competent to use these seven tools: ‘© Cause and Effect or Fishbone Diagrams ‘The Cause-and-Effect Diagram (also referred to as a Fishbone or Ishikawa diagram) is used to review all aspects of the possible causes of a particular effect (or problem). It should be used by a team of people to identify, explore, and graphically display, in detail, all the __ possible causes related to a problem or condition to discover its root ccause(s). It helps to lead a team past the symptoms to the root cause. ener) Man Power Knowedge - Process Contol-\\ . process Capability - Continual improvement fees Figure9. Cause and Effect Diagram tH fey Pel ey ne fee, ftp le me (BL 7 We RL RL Pee oeAIAG “he Catalyst ir Peak Perermance ‘5000 000 2000 Count 2000 ‘1000 Detect Count Percent Cum % © Pareto Charts Pareto Analysis shows the frequency of occurrence of items and arranges them from the most frequent fo the least frequent. It can be used to: 1. Prioritize problem-solving efforts and focus resources where they are most needed. 2. Separate the most frequent occurring causes of a problem (the ‘vital few’) from the Jess frequent occurring ones (trivial many’). 3, Measure the impact of an improvement by comparing before and after results, When giving presentations, Pareto charts are a visually effective means of displaying the relative importance of causes, problems, or other conditions. caQl-21 Effective Problem Solving Leader Guide Version 1 lssued 9/2012 100 0 4 20 we ta 247 247 tt ot wh atl eh gw ont so 7 em a0 79 26 127 28 ae si ma 78 a 79 54 Figure 10, Pareto Chart eo 62 18. 210 39 65 20 45 ‘00 Percent -19-a iii Solving Leader Guide AIAG. Version 1 Issued 972012 ‘he Catala fr Peak Prornsce © Flow Charts A flowchart is a clear graphic representation of a process and related activities from beginning to end. It identifies the actual flow or sequence of events in a process that any product or service follows. Flowcharts should use a standard set of symbols which communicate a clear understanding of the inputs and outputs of a process. 2[ Daaracaae censig nen | pamela ei Figure 11. Flow Chart -20- & he ofel otee ORL MEL PEL eof om om oR a - = 5 totAIAG» ‘The Catalato Paat: Paroumance™ caQl-21 Effective Problem Solving Leader Guide ‘Version {Issued 9/2012 Run Charts ‘A Run Chart is a simple graphic representation of a characteristic of «process. It shows plotted values of data gathered from the process and a central line. A run is defined as a conseeutive number of points consistently increasing or decreasing or above or below the central line. A Run Chart can determine if process improvement or deterioration is occurring and also may indicate randomness of the LP SIX KE PP PEALS Figure 12. Run Chart ‘© Scatter Plots ‘The Scatter Diagram (also called the Scatter Plot) provides a picture of the relationship between two variables in a process. The shape of the plot gives the clue as to what, if any, relationship exists. The more regular the distribution of points (e.g., clustered along a straight Jine or curve rather than randomly scattered), the more likely it is that a relationship exists between the factors. However, a scatter plot alone does not prove that a relationship exists, and this should be Kept in mind to prevent jumping to premature and invalid conclusions. If a scatter plot seems to indicate that a relationship exists, further analysis should be done to confirm that a relationship really does exist. eatrocapena7 wt Figure 13. Scatter Plot -21-crn ep Ete Posen ating Laser ute AIAG» Version 1 Issued 9/2012 “The Catalyst for Pook Pastrarc™ ie © Control Charts ‘A Control Chart is a graphic representation of a characteristic of a process showing plotted values of some statistic gathered from that characteristic, a central line, and one of two control limits. It has two basic uses: as a judgment to determine if a process has been operating in statistical control, and to aid in maintaining statistical control. eee ‘There are numerous types of control charts, the most commonly used being the X bar and R chart (See AIAG Statistical Process Control Reference Manual.) lie i 24 -| Kear E sosansT ee fo cece sug 8 t 2 = a sost0s7 ba | Boy Sf nA LSS ave e o4 mets Figure 14. Control Chart (Xbar and R example) ‘© Histograms A Histogram is a graphical representation of the frequency display of data points in the form of a bar chart. The frequeney of occurrence of individual data values is shown by the height of the bars. Histograms are a simple way to visualize a data set’s variation, central values, and distributional shape for large sets of data, However, a single histogram will not allow the analysis of the process for time-to-time ‘consistency. SHAFTO.D =P 2346 “ Basis 09525 06355 0564s D355 06005 06375 0.635 lomater (echee) Figure 15. HistogramEffective Problem Solving Leader Guide “The Catalyst fo: Peak Paxtrarce™ Version 1 issued 9/2012 2.5 Tactical Plans Middle management should develop tactical plans to fulfill the Strategic Plan, For problem solving, this means documenting what actions need to bbe taken by whom and by when, then ensuring that timely effective progress is made toward resolution. 2.6 Empower People Managers also have a role in empowering people. This is done locally. ‘Managers should: + Know the skills, strengths and qualifications of their people to ‘maximize their potential; ‘+ Give frequent recognition for good work to maintain employee ‘motivation and job satisfaction; + Avoid criticism, if. possible. If criticism is warranted, be constructive and private; + Provide additional training and development opportunities so people can be more effective and productive. 2.7 Escalate Issues Managers should make the best attempts to resolve problems at their level using the resources available to them at the time. When these efforts are not successful in resolving the problem in a timely manner, they should escalate the issue for resolution to their management. Where an outside supplier is involved, this would require engaging their next level up in management. -3B--24- caQl-21 Fett Probl Sobing Leader Gute AIAG» Version 1 lesued 92012 “The Catlyat fr Poot Parorance™ 3 PROBLEM SOLVING - ROLE OF OTHERS’ 3.1 Recognize Right Behavior - Executive Champion Structured problem solving should be reinforced through the appropriate ‘and timely use of recognition and reward. Recognition should also comprehend effective “prevention” efforts, not just “firefighting.” This will send the right message that the more effective route is preventing the occurrence of problems. 3.2 Remove Roadblocks — Executive Champion Obstacles to problem resolution often arise during the problem solving process. Leaders across the organization should promptly respond to requests for help to bring resolution, This may include securing any funds and other resources needed by the team. 3.3 Project Management -- Team Leader Complex problem solving should be managed as a project. This involves scheduled team meetings with use of appropriate tools, e.g, timing charts, ‘open issues or action item lists to establish milestones and assign responsibilitics for actions to drive timely problem resolution. The team leader should also recognize team members that have been instrumental in successfully solving problems using the process. (See AIAG Effective Problem Solving Practitioner Guide CQI-20). 3.4 Execute Plans — Front Line Management Front line managers must set expectations for theit employees, at & local level, to use effective problem solving as part of their jobs. For this to happen, managers must ensure that their employees are aware of their roles, understand how to do effective problem solving and have the necessary problem solving support infrastructure in place. Managers should use measurement and feedback systems to monitor problem solving effectiveness. ' See Figure 2: Problem Solving RASIC fe ofeE PEL fF ee OEE] oOoFee OE] FRE Pry FEL —m nm M@™m Mm «6fhCUuhCCOUreSCOfelOCOfEE COFFEAIAGa etc eying Lena Se The Catalyst er Fook Parermarce™ Version 1 Issued 82012 3.5 Advanced Tools Expertise —- Subject Matter Experts ‘The advanced problem solving methodology involves a problem solving tool set that requires subject matter expertise. Training is a key enabler for improving technical competency within the organization's problem solving community. It focuses on both problem solving skills and applications of these skills to actual problem solving case studies ot projects, ‘The organization will likely need ready access to a subject matter expert such as a Six Sigma Black Belt or a Master’s Level Statistician to assist problem solving teams working on difficult problems. (See AIAG Effective Problem Solving Practitioner Guide CQI-20). -25--26- cal-21 Effective Problem Solving Leader Guide Version 1 Issued 972012 4 GLOSSARY 5W2H CSuite Culture Innovation SME Stakeholder Vision AIAG» The Catalyst or oak Pertenece" See also the AIAG Effective Problem Solving Practitioner Guide (CQI- 20) Problem Identification tool, asks “who”, “what”, “where”, “why”, “when”, “how” and “how much” or “ow many.” A term used to describe corporate officers and directors. The term is derived from the use of the letter C in most high-level positions, such as Chief Operating Officer. (http:/Avww businessdictionary.com/definition/e-suite.hten!) This is the collective behavior of humans that are part of an organization. Itis also formed by the organization values, vision, norms, working Janguage, systems, and symbols, it includes beliefs and habits. (htip:/en wikipedia.org/wiki/Organizational_culture) ‘New value at optimum cost. Subject Matter Expert ‘A person, group, or organization that has direct or indirect stake in an organization because it can affect or be affected by the organization's actions, objectives, and policies. Key stakeholders in a business organization include creditors, customers, directors, ermployees, government (and its agencies), owners (shareholders), suppliers, unions, and the community from which the business draws its resources. (attpy/Avww.businessdictionary.com) ‘The long term direction for the organization determined by top ‘management from the potential alternatives. tt. ot om Tm! ee ae ee ee ee | ee a | | te.AIAG 2a Effective Problem Solving ee “Te Catalyst Pea: Peciormance™ Version t Issued 912012 APPENDICES A. Management Quality of Event Checklist — Problem Solving Background —_—_(Problem Statement) Does the Problem Statement sufficiently answer the following questions? Why do we think we have a problem? ‘What are the symptoms? Each of the following has been clearly identified: What is /is not being experienced? Who has reported it? Whereis it being experienced? When did the problem oceur? When did it start? How many? Is the problem a one-time event, sporadic or on going? How ruch is the problem costing in serap, repair warranty, inspection? Ooogooco What information supports these statements? O Chart(s) Q Pictures ] Test/Measurement Results O Other How do we know when the problem is solved? ‘What is expected when the problem is solved? Containment What are we doing to minimize the effect of the problem to our customers? —Interim Actions — activities to eliminate / minimize the symptoms have been initiated Othe effectivoness of these activities has been documented C2 the cost of these activities has been documented ‘What information supports these statements? Q Chart(s) Q Checkiist O Other Root Cause(s) The main potential causes are listed Are the Escape, Occurrence and Systemic root causes identified? What information do we have supposting this? QFMEA —Q Capability C-E Diagram O Brainstorming Q Why" O Other Each root cause explains the existence of all the symptoms, e.g. what is/is not the problem? 27+-28- cat AIAG a Effective Problem Solving Leader Guide Version 1 Issued 912012 “The Catala fr Pook Perornco™ © Ifnot, the true root eause has not been determined! ‘© If the root causes are not adequately determined, review the problem statement and evaluate the scope of the problem. Corrective Action The activities needed to eliminate and/or monitor the root cause(s) have been clearly identified. The activities needed to eliminate and/or monitor the root cause(s) have been fully implemented. corrective action implementation date has been identified the effectiveness of the solution has been verified What information supports these statements? Control Chart(s) 1D On-line Monitoring 2 Other Preventive Action C1 activities to eliminate the existence of this problem in other (simnilar) processes and future produets/processes have been determined responsible teams/groups/individuals have been informed of these needs O verification activities are established to assure that this problem will not exist in future productiprocess designs What information supports these statements? © Measurement System Analysis Q FMEA SPC O Control Plan Q Other _AIAG Eco Polo Sting Lea “he Catalyat or Pes Parormancs™ Version 1 sued 92012 B. Inhibitors to Efficient Problem Resolution + Problem Described Incorrectly A clear, thorough description of the problem is necessary. The scope of the problem must be sufficiently narrow for the team to handle the problem effectively. + No Logical Structure to the Problem Resolution Process The team either lacks or considers a “waste of time” a disciplined systom to identify, analyze, and solve problems. * Poor Team Participation The members of the team do not recognize that the team can be a resource to all participating. They view the team as an “extra job”, a burden to be eliminated quickly or simply ignored. + Lack of Urgency ‘The participants do not recognize that the problem is continuously causing a loss of productivity and customer satisfaction, ‘+ Management's Impatience The lack of a well-defined effective problem solving process with adequate documentation leaves all levels of management in the dark. They do not know when or if the problem will be resolved. This lack of confidence leads to pressures which can cause the team to “expedite” their activities. © Problem Solving Effort "Expedited" Steps are skipped in the problem resolution process to obtain a “quick” solution. This is caused by management pressures and/or the team’s lack of understanding of the importance of these activities, ie., it is not part of their “normal” job. ial Causes Misidentified as a Root Cause ‘When steps are skipped due to pressures or “preconceived” solutions, potential causes can be tagged a root cause. Although these potential causes can cause a problem, they have not caused this problem. This leads to ineffective solutions and frustrations Inadequate Execution of Corrective Actions The focus is often on “containment” rather than irreversible corrective action, This can lead to a correct identification of the problem solution but poor implementation of the required activities. This lack of proper execution can be reinforced by the administrative requirements ({., red tape) necessary for the implementation. © Potent © Lack of Follow-thru to Prevent the Problem in the Future Effective comrective actions implemented should be read across to similar products and process to prevent the occurrence of similar problems. -29--30- cal-21 Effective Problem Solving Leader Guide Version { issued 972012 C. Problem Solving Tool Matrix pea Ca) roa) ey ear T ST io Figure 16. Recommended Problem-Solving Tools by Phase AIAG The Catalyst for Peak Prormancs™ SWHY ANALYSIS + SWI2H ANALYSIS + = ACTION PLAN, Gent) + BRAINSTORMING + CAPABILITY (Quality Index) + + ‘CAUSE / EFFECT (Fishbone) Diagram ++ CAUSE / EFFECT Matrix ++ CHECKSHEET + ‘CONCENTRATION DIAGRAM + ++ Creative Thinking oo + DECISION MATRIX (Fx, Decision Analysis) + DESCRIPTIVE STATISTICS ++ DESIGN OF EXPERIMENTS, (DOE) + ERROR-PROOFING (Prevention) co ++ FMEA + + oo) OU) ee ‘ee bee ewe ews oO oe oe oe oe oe OoelortCieE by GeeAIAG a wren Te Catast for Peak Prfomares Version t sued 9/2012 ers TT) ee ea FAULT TREE B ANALYSIS. FLOWCHARTING: Process Fiow Diagrams | 1 a i. ; + IS /1S NOT + LESSONS LEARNED DATABASE * 2 tt REGRESSION ANALYSIS. bi + MEASUREMENT. SYSTEM ANALYSIS * bad + + rs MISTAKE PROOF (Detection) e re fe PROCESS ‘CONTROL PLAN i id at READ ACROSS / a REPLICATE spc + ° + SIPOC ° WORK FLOW ANALYSIS. HYPOTHESIS - TESTING ‘Graphical Analysis | (Histogram, Pareto, Scatter Diegram, + + + + + + For more information, see the following documents available from AIA + AIAG Effective Problem Solving Practitioner Guide (CQU-20) © AIAG Effective Error-Proofing (CQI-18) © Chiysler, Ford, GM Statistical Process Control (SPC) Reference manuat © Chrysler, Ford, GM Potential Failure Mode and Effects (FMEA) Reference manual © Chrysler, Ford, GM Measurement Systems Analysis(MSA) Reference manual -31--32- cal-21 Effective Problem Solving Leader Guide Version 1 Issued 9/2012 AIAG» “The Gatayat or Pak Petree” hm 06UhmhCUCUrhlCUdhlClUuetllltllolldrm!hOCOUrelo eee Cea Cae Ce tt ileAIAG a oe Effective Problem Solving Leader Guide ‘Tho Gatatyt for Pen Paforare Version‘ lesued 9/2012 MAINTENANCE REQUEST FORM Name of Submitter: Date: Organization: Organization Address: Phone: Fax: E-mail: Geese sous Page Number of Change: Document Currently Reads: Recommended Changes/Should Read: Reason for Change (Use additional sheets if necessary): Signature of Submitter: Penk anck eek ad) Manager's Recommendation: Final Disposition: ‘Comments: CMON Nae ee ‘Automotive industry Action Group + 26200 Lahser Road + Suite 200 + Southfield, Mi 48033, Telephone: (248) 358-3570 + Fax: (248) 358-3253 Web: www.aiag.org -33-