Lean Six Sigma Expanding Value Inside & Outside Your Company Christine Stephens Xerox Global Services, Inc. © 2004 Xerox Corporation. All Rights Reserved. CONFIDENTIALXerox XeroxPrivate PrivateData Data CONFIDENTIAL 11 Discussion Topics Evolution of Six Sigma at Xerox Adding {Lean} to the Six Sigma Process Lean Six Sigma Tools & Processes Extending the power of Lean Six Sigma to our clients: Intercontinental Hotel Group Electronic Classroom of Tomorrow Monroe County Sheriffs Department CONFIDENTIAL XeroxXerox Private Data Data 2 CONFIDENTIAL Private 2 Evolution- Six Sigma at Xerox External Client Opportunities 2002 Internal Back Office 2001 Internal Manufacturing 1998 Past Present CONFIDENTIAL XeroxXerox Private Data Data 3 CONFIDENTIAL Private 3 Xerox Quality and Innovation 1984 Rank Xerox UK, Mitcheldean British Quality Award 1987 Rank Xerox France, Lille French Government Citation 1980 Fuji Xerox Deming Prize 1989 Xerox Canada Canada Award for Business Excellence: Gold Award, Quality 1997 Xerox ISO All major Xerox manufacturing sites worldwide receive ISO 14001 certification 1990 Rank Xerox Netherlands Netherlands Quality Award 1990 Rank Xerox Australia Outstanding Service Quality Improvement Award of Australia 1992 Xerox de Colombia Colombian Quality Award 1992 Rank Xerox Belgium Belgian Quality Award 1992 Rank Xerox Hong Kong The Hong Kong Management Association Quality Award 1994 Xerox de Argentina Argentine National Quality Award 1994 Rank Xerox Portugal Portuguese Quality Award 1994 Rank Xerox Norway Norwegian Quality Award 1995 Xerox Uruguay Uruguayan National Quality Award 1989 1997 Xerox Corporation Business Products and Systems Malcolm Baldrige National Quality Award Xerox Business Services Malcolm Baldrige National Quality Award 1996 Fuji Xerox (Wakaba QC Circle) Gold Award from 25th Annual All-Japan Invitational QC Convention 1996 Rank Xerox Middle East/Africa Dubai Quality Award CONFIDENTIAL XeroxXerox Private Data Data 4 CONFIDENTIAL Private 4 XLSS - Strategy Integrates customer focus with clear linkage to business strategy / objectives Supported by infrastructure and resource commitment to focus on key business issues and critical to customer opportunities. Builds on quality legacy with full arsenal of industry proven Lean and Six Sigma processes and tools CONFIDENTIAL XeroxXerox Private Data Data 5 CONFIDENTIAL Private 5 State-of-the-Union: 2005 27 Full-time deployment managers > 500 active Black Belts have achieved certification, completed or started training in 2004 > 2,000 Senior executives have completed leadership workshops > 1,700 Active Green Belts > 17,000 in Yellow Belt training + many other on-line courses CONFIDENTIAL XeroxXerox Private Data Data 6 CONFIDENTIAL Private 6 Lean Six Sigma Tools & Processes © 2004 Xerox Corporation. All Rights Reserved. CONFIDENTIALXerox XeroxPrivate PrivateData Data CONFIDENTIAL 77 Adding to the Power of Lean Six Sigma Culture + Quality Goal – Improve performance on Customer CTQs (Critical To Quality) Focus – Use DMAIC/DFSS processes to eliminate variation Method – Management Engagement, Deployment Managers, and Black Belt Projects Six Sigma Quality Enables Lean Speed (fewer defects means less time spent on rework) Lean Speed + Low Cost Goal – Reduce waste and increase process speed Focus – Identify non-value add steps and causes of delay Method – Value Stream Tools, Kaizen events Lean Speed Enables Six Sigma Quality (faster cycles of experimentation/learning) CONFIDENTIAL XeroxXerox Private Data Data 8 CONFIDENTIAL Private 8 6s Quality + Lean Process Control Overall Yield vs. Sigma (Distribution Shifted ±1.5s) ±3s ±4s ±5s 1 93.32 99.379 99.9767 99.99966 7 61.63 95.733 99.839 99.9976 10 50.08 93.96 99.768 99.9966 20 25.08 88.29 99.536 99.9932 40 6.29 77.94 99.074 99.9864 Lean Reduces Non-Valued Add Steps # of Steps ±6s Six Sigma Improves Quality of Value Add Steps CONFIDENTIAL XeroxXerox Private Data Data 9 CONFIDENTIAL Private 9 Focus on Customer Needs Without Lean Six Sigma Discipline… Conjecture/assumption/myths about what customers want Processes based on internal convenience/cost Limited efforts at tracking customer satisfaction Customer-focused data not communicated or used With Lean Six Sigma Discipline… Customer requirements based on careful assessment Processes designed and executed to fulfill customer requirements Multi-faceted, on-going “voice of the customer” effort Customer-focused data key to managing the business, shortand long-term Tools: VOC, QFD, CTQ, Kano, Conjoint, etc. CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 10 CONFIDENTIAL 10 When to use Xerox Lean Six Sigma When to Use: You have a challenging goal to reach or issue to solve Driven by the Business Unit strategy Issues that are valuable for the Business Unit to resolve Problems that have stood the test of time Solution is not known You are willing to commit people to identify and resolve the issue You want a more robust solution than traditional methods can provide You want to encourage the upward flow of ideas and build team spirit You want group ownership of a course of action When NOT to Use: You don’t have a specific challenge or clear issue to solve You already have a solution and a course of action You don’t have a process to improve With materials from the George Group, 2003 CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 11 CONFIDENTIAL 11 Project Types Setup Reduction Finance Month End Closes HR Hiring Procedures Marketing Event Setup Purchase Order Setup & Issue receiving & Inspection Process Flow Improvement Office Document Assessment Helpdesk Cycle time Improvement Order to Install Cycle Time Trial Equipment Recirculation Generic Pull Systems Order Management Product Development Info Tech Repair requests Replenishment Pull System Purchased Part Replenishment Stocking Strategy Product Rationalization Service / warranty Parts Distribution Channel management Value Added Time Improvement Customer Facing Operations Outsourcing Solutions With materials from the George Group, 2003 CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 12 CONFIDENTIAL 12 Selecting LSS Projects 1 Identify Value Levers Identify value levers in the business • Strategic • Financial • Customer 2 Identify Project Opportunities Translate Value Levers into Opportunity Areas Translate Opportunity Areas into Project Ideas 3 Screen Initial List of Opportunities Score each project as High / Med / Low for Benefit and Effort Fill in Benefit / Effort Matrix • Operational (Process) Review plotted results Prioritize value levers Select highest priority opportunities for further analysis 4 Scope and Define Projects 5 Prioritize List of Defined Projects Assign opportunities to Evaluate projects using project sponsors for Evaluation Criteria project definition Update Benefit / Effort Complete Draft Project Matrix Charters Review plotted results Prioritize projects Schedule project launches based on resource availability Reduce Projects-in- Process With materials from the George Group, 2003 CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 13 CONFIDENTIAL 13 Project Chartering The charter defines the team’s mission. It includes the following elements: Business Impact Opportunity or Problem Statement Goal Statement Project Scope Project Plan Team Selection “Catch Ball” Process The Project Charter does NOT solve the problem It is a living document, that will change over time... CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 14 CONFIDENTIAL 14 DMAIC Process D Define Define the opportunity from both business and Customer perspective M Measure Understand the process and its performance A Analyze I Improve Develop improvement solutions for the critical X’s Search for the key factors ( critical X’s) that have the biggest impact on process performance and determine the root causes C Control Implement the solution and control plans TOOLS USED •Refined Project Charter •Value Stream Map •SIPOC Map •Voice of the Customer •RACI charts •Operational definitions •Data Collection Plans •MSA or Gage R&R •Control Charts •Paretos •Histogram •Cause & Effect •Fishbone •Brainstorming •Basic Statistical tools •Hypothesis testing •FMEA •Regression •ANOVA •Line Balancing •Benchmarking •Constraint identification •Solution Selection matrix •Pilot and Simulation •Control Charts •SOP’s •Communication Planning •Mistake proofing •Project replication CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 15 CONFIDENTIAL 15 DMAIC Storyboard CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 16 CONFIDENTIAL 16 Define Complete Project Charter Create High Level Process Map (4-6 Steps) Adjust Scope If Necessary Collect VOC/VOB Translate VOB/VOC Into Measurable CTQ Metrics Perform Stakeholder Analysis Create RACI Diagram Identify potential impacts to internal controls Identify other impacts or requirements (EPA, SOX, etc.) Define Tollgate CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 17 CONFIDENTIAL 17 Measure Micro Level Process Mapping Create Data Collection Plan Perform Measurement System Analysis (Gage R & R) Document Operational Definitions Determine Current State Performance Capability Validate Proposed Business Impact Measure Tollgate CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 18 CONFIDENTIAL 18 Analyze Complete Value Add Analysis of Detailed Process Maps Brainstorm Potential Root Causes Y=f(x) Perform Root Cause Analysis to Identify Variation & Gaps Identify “Critical Few” inputs affecting your Output Validate Business Impact Analyze Tollgate CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 19 CONFIDENTIAL 19 Improve Brainstorm Potential Solutions Prioritize Solutions Select Recommended Solution(s) Use Data to Provide Predicted Improvements Review Potential Solutions with Sponsor & Stakeholders Conduct FMEA Pilot Results Create High Level Implementation Plan Create Communications Plan Revisit Potential Internal and Regulatory Controls Improve Tollgate CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 20 CONFIDENTIAL 20 Control Fully Implement Solution(s) Create Dashboards Create Control Plan Identify Process Owner & Create Transition Plan Monitor & Document Process Results Create Project Storyboard & Lessons Learned Control Tollgate Communicate Business Results to the Organization Celebrate With Your Team CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 21 CONFIDENTIAL 21 Dashboard Concept Cost Quality Device Uptime Cost Per Device Actual Target $51.25 $32.50 Actual Target Cost Per Employee Actual Target 2.0% 3.5% SLA Metrics Met Process Capability of C2 USL P rocess D ata LS L * Target * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 $91.50 $78.39 Actual Target O v erall C apability 4.5 9.0 Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > U S L 130000.00 P P M Total 130000.00 Speed or Delivery W ithin Ov erall P otential (Within) C apability Cp * C PL * C P U 0.41 C pk 0.41 4 E xp. Within P erformance P P M < LS L * P P M > U S L 108973.12 P P M Total 108973.12 6 8 10 * * 0.39 0.39 * 12 E xp. O v erall P erformance P P M < LS L * P P M > U S L 122385.02 P P M Total 122385.02 Customer Satisfaction Process Capability of C2 Mean Time to Repair USL P rocess D ata LS L * Target * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 W ithin Ov erall P otential (Within) C apability Cp * C PL * C P U 0.41 C pk 0.41 Overall O v erall C apability Actual Target 4.5 hrs 6 hrs Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > U S L 130000.00 P P M Total 130000.00 4 E xp. Within P erformance P P M < LS L * P P M > U S L 108973.12 P P M Total 108973.12 Response Time 6 8 10 12 E xp. O v erall P erformance P P M < LS L * P P M > U S L 122385.02 P P M Total 122385.02 Process Capability of C2 W ithin Ov erall P otential (Within) C apability Cp * C PL * C P U 0.41 C pk 0.41 O v erall C apability 1 hr 2 hrs Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > U S L 130000.00 P P M Total 130000.00 4 E xp. Within P erformance P P M < LS L * P P M > U S L 108973.12 P P M Total 108973.12 6 8 10 Actual Target 4.8 > 4 of 5 Fix Time USL P rocess D ata LS L * Target * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Actual Target * * 0.39 0.39 * * * 0.39 0.39 * Actual Target 4.5 4.5 12 E xp. O v erall P erformance P P M < LS L * P P M > U S L 122385.02 P P M Total 122385.02 CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 22 CONFIDENTIAL 22 Dashboard Rollup Concept Cost Quality Device Uptime Cost Per Page Actual Target $0.071 $0.050 Actual Target Cost Per Employee Actual Target Cost SLA Metrics Met Quality Actual Target U SL W ithin O v erall Actual Target P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 O v erall C apability 4.5 9.0 Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 Speed2.0% or Delivery 3.5% $0.071 $0.050 Process Capability of C2 P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 $91.50 $78.39 Device Uptime Cost Per Page Actual Target 2.0% 3.5% 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 * * 0.39 0.39 * 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 Customer Satisfaction Process Capability of C2 Mean to Repair SLATime Metrics Met Cost Per Employee Actual Target Device Uptime Mean Repair Actual Time to 2.0% $0.071 $0.050 Target Actual Target Cost Per Employee Actual Target $91.50 $78.39 Actual Target $0.071 $0.050 Quality Actual 4.5 1 hr 9.0 2 hrs U SL Overall P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 O v erall C apability W ithin Pp * O v erall PPL * otential (Within) C apability P P U P0.39 * P pk 0.39 C p * C pm * CPL C P U 0.41 C pk 0.41 O v erall C apability 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 4 6 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 10 Pp PPL PPU P pk C pm 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 8 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 6 8 10 * * 0.39 0.39 * Actual Target 4.8 > 4 of 5 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 122385.02 P P M T otal Capability 108973.12 P P of M T otal Process C2 Fix Time U SL State Dashboards Customer Satisfaction Actual Target Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 U SL W ithin O v erall P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 W ithin O v erall P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 O v erall C apability 1 hr 2 hrs Process Capability of C2 P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 * * 0.39 0.39 * Actual Target 4.5 4.5 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 Overall O v erall C apability Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 4 6 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 8 10 * * 0.39 0.39 * 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 Actual Target 4.8 > 4 of 5 Process Capability of C2 U SL P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 P rocess Data S tDev (O v erall) 2.39212 LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Process Capability of C2 U SL W ithin O v erall P otential (Within) C apability Cp * CPL * C P U 0.41 W ithin C pk 0.41 O v erall O v erall C apability C apability PPpotential (Within) * C p* * PPL CPL * P P U 0.39 C P U 0.41 P pk 0.39 C pk 0.41 C pm * O v erall C apability 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 2.0% Process Capability of C2 P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 6 8 10 Pp PPL PPU P pk C pm 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 12 * * 0.39 0.39 * Fix Time Actual Target 4.5 4.5 Region Dashboards E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 Customer Satisfaction Process Capability of C2 U SL Mean Time to Repair SLA Metrics Met W ithin O v erall P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Actual Target $91.50 $78.39 4.5 hrs Actual 6 hrs Target 4.5 9.0 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 2 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 Process Capability of C2 Actual Target Overall W ithin O v erall P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 * * 0.39 0.39 * Actual Target O v erall C apability Pp PPL PPU P pk C pm 12 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 * * 0.39 0.39 * W ithin O v erall 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 County Dashboards Actual Customer Satisfaction Target O v erall C apability Pp PPL PPU P pk C pm 2 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 4.8 > 4 of 5 Fix Time U SL O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 W ithin O v erall P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 Pp PPL PPU P pk C pm Process Capability of C2 1 hr 2 hrs U SL P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 U SL O v erall C apability E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Speed or Delivery Process Capability of C2 P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Response Time Mean Time to Repair Actual Actual Target Target Speed Target or Delivery 3.5% Cost Per Employee Actual Target SLA Metrics Met Response Time Device Uptime Cost Per Page 3.5% 4.5 hrs 6 hrs W ithin O v erall P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Quality Speed or Delivery Cost Per Page Cost $91.50 $78.39 4.5 hrs 6 hrs 4.5 9.0 Response Time Cost Actual Target Actual Target Actual Target U SL P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 * * 0.39 0.39 * 4.5 4.5 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 Overall O v erall C apability Actual Target 4.5 hrs 6 hrs Pp PPL PPU P pk C pm 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 Response Time 6 8 10 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 Process Capability of C2 U SL P rocess Data LS L * T arget * USL 9 S ample M ean 6.21762 S ample N 100 S tDev (Within) 2.25841 S tDev (O v erall) 2.39212 Actual Target * * 0.39 0.39 * W ithin O v erall Fix Time O v erall C apability 1 hr 2 hrs 2 O bserv ed P erformance P P M < LS L * P P M > US L 130000.00 P P M T otal 130000.00 4 E xp. Within P erformance P P M < LS L * P P M > US L 108973.12 P P M T otal 108973.12 6 8 10 4.8 > 4 of 5 City Dashboards P otential (Within) C apability Cp * CPL * C P U 0.41 C pk 0.41 Pp PPL PPU P pk C pm Actual Target * * 0.39 0.39 * Actual Target 4.5 4.5 12 E xp. O v erall P erformance P P M < LS L * P P M > US L 122385.02 P P M T otal 122385.02 CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 23 CONFIDENTIAL 23 Tollgate Reviews Ask the questions that need to be answered at each phase Ensure due diligence with the work process Properly address ID of critical factors that will influence results The following people are involved in a tollgate Review: Project Sponsor- needs to agree with the path being taken by the team, ensures CTQ’s are being addressed and proposed results will affect the bottom line Deployment Manager ensures Customer / Sponsor and Black Belt have working relationship to attack the project and that resources are allocated Black Belt illustrates critical thinking and organization skills, project management skills, uses statistical and lean tools and interprets results Master Black Belt oversee methodologies used by Black Belt; statistical tool usage, Lean concepts applied CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 24 CONFIDENTIAL 24 Sharing the Power of Lean Six Sigma Monroe County Sheriffs Dept. Electronic Classroom of Tomorrow Intercontinental Hotel Group CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 25 CONFIDENTIAL 25 Case Study Monroe County Sheriffs Department Solution Employed Lean Six Sigma methodology Digitized and streamlined accident report process Created web-based document access system Integrated existing systems New York State’s largest sheriff’s office Client Challenges Balance $100M budget Improve quality of service in accident report management Eliminate backlog of more than 3,000 records and over 4 months of data entry Free deputies from paperwork, so they can spend more time ensuring public safety Measurable Results Reduced cost of processing an accident report from $28 to $8, ($500K/yr savings) Reduced cycle time from as much as 3 weeks to less than 3 days Reduced time spent by deputies on accident reports from 30 to 5 minutes Created revenue stream from charging for accident reports, worth $32K/year CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 26 CONFIDENTIAL 26 Case Study ECOT Solution Employed Lean Six Sigma methodology Focused on front of process to achieve quick results Automated manual processes First and largest online school in Ohio Streamlined process steps Created tracking procedures to Client Challenges measure cycle time Accelerate enrollment cycle time Reduce overall per-student cost of enrollment Increase revenue by increasing process capacity/enrollment Deliver results quickly (2 month window) to impact current year’s enrollment Measurable Results Reduced process cost from $43 to $25 per application Increased revenue by $4.5 MM/year Met accelerated deadline CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 27 CONFIDENTIAL 27 Case Study Intercontinental Hotels Group Solution Employed Lean Six Sigma methodology Implemented remote control to minimize deskside visits Standardized OS and IT environment A leading hospitality company, managing brands such as: Holiday Inn Crowne Plaza Candlewood Suites Client Challenges Needed to cut costs to stay competitive during post-9/11 travel downturn… While at the same time improving customer satisfaction with IT support services Moved administration offsite Measurable Results Achieved savings goal of $1.2 million/year Reduced cycle time for deskside software related problems from 21 to 9 Hours. Maintained/Improved customer satisfaction across 5 key metrics: Overall customer satisfaction Knowledge of staff Professionalism Technical ability Fix time CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 28 CONFIDENTIAL 28 Formula for Success 1) Select projects based on impact to the business and/or customer 2) Identify Sponsors with the authority to break down barriers 3) Ensure commitment for budget and team resources 4) Operations leaders must be engaged in the process CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 29 CONFIDENTIAL 29 Summary Xerox is rapidly moving Lean Six Sigma concepts and tools from manufacturing and supply chain into all business areas of the company and to our customers. Project selection process and infrastructure focused on the customer, business strategies & critical priorities Xerox Lean Six Sigma is customer centered, data driven & the way we will achieve results in all business areas CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 30 CONFIDENTIAL 30 Q&A CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 31 CONFIDENTIAL 31 Videos Start Here IHG ECOT Monroe County Brooklyn Public Library CONFIDENTIAL Xerox Xerox PrivatePrivate Data Data 32 CONFIDENTIAL 32