Description
This is a presentation on Six sigma effect on Eastman kodak company.
A Short Review of DMAIC phase of
SIX SIGMA EFFECT ON EASTMAN KODAK CO.
LIST OF TOPICS
? ? ? ? ? ? ?
Background of Eastman Kodak Co. Why Six Sigma Chosen Define Phase Measure & Analyze Phase Improve & Control Phase Six Sigma Result Source of Information
BACKGROUND OF EASTMAN KODAK CO.
With the slogan "you press the button, we do the rest," George Eastman put the first simple camera into the hands of a world of consumers in 1888. In so doing, he made a cumbersome and complicated process easy to use and accessible to nearly everyone. Since that time, the Eastman Kodak Company has led the way with an abundance of new products and processes to make photography simpler, more useful and more enjoyable. In fact, today's Kodak is known not only for photography, but also for images used in a variety of leisure, commercial, entertainment and scientific applications. Its reach increasingly involves the use of technology to combine images and information--creating the potential to profoundly change how people and businesses communicate.
Back to List
WHY SIX SIGMA CHOSEN
?
The Lean Six Sigma journey for Kodak began in the 90s when the corporate head office introduced the Kodak Operating System (KOS). Based on the principles of LSS, it was implemented at the Leeds factory in 2002, with initially mixed results, as is often the case in the early days of an improvement programme. However, Mike Harding, the Plant Manager at Leeds, believed that it was the right thing for the site. “We knew what we wanted to do but didn?t know how to do it,” he says. “These methodologies(six sigma) gave us the tools to do it.” The focus of the programme changed from having a handful of projects run by two or three Black Belts, to a more strategic approach employing a large number of Green Belts working on many projects, with training and support from consultants Rath & Strong. This proved much more successful, lifted the organisation and the programme began to take off.
?
?
Back to List
DEFINE PHASE
A committed and wholehearted Lean programme necessitates extensive organizational and behavioural change. This requires strong management commitment. At the Kodak plant, they went from weekly management reports, to senior management standing on the shop floor for fifteen minutes every day at a flow dashboard, looking from customer supply all the way along the line to see what was happening that day and what the issues were. That is real-time management, where action can be taken as the problems arise.
Back to List
MEASURE & ANALYZE PHASE
Kodak GCG provide a wide portfolio of digital, conventional and business solutions to the graphic arts industry. At the Leeds plant, they manufacture single layer, thermal digital plates for use in lithographic printing. It became quickly apparent, when they mapped their processes, that probably their biggest challenge was cycle time. Twenty-three days was the shortest lead-time, with one hundred days not uncommon. Kodak do Value Stream Mapping and from receipt of raw materials to the time the product went out the door and established that four days was their value added time. Everything other than four days was scrap and they saw then that waste wasn?t just product waste. Kodak developed a project pipeline, (a Green Belt project run by our Financial Controller) which has criteria on ranking them based on return, degree of difficulty, how long it will take, IT resources, etc. It scores the projects, lists them, and when someone finishes a project, they can easily ascertain what the next thing to tackle is. They check that there is an even distribution across the key Back to strategic goals they have. List
IMPROVE & CONTROL PHASE
Under the banner of the 'Four Day Factory„ project, Kodak implemented a project where they reduced the cycle time down to ten-to-twelve days for circa 60% of their volume. This allowed Kodak to not only reduce inventory in-house but also in their European country warehouses who were able to take out a week of finished product inventory as they reduced their lead time by one week. Setting up the right reporting system was very important, and the Leeds plant are in the process of upgrading to a SAP-based system. And although it is the financials that really catch the eye, it is the other, less tangible benefits that drive the effort. At Kodak, these benefits are not ignored in the reporting cycle. Kodak also have a corporate Lean assessment tool that rates how well they are implementing the different tools rather than putting a value on them. They have a spider diagram with the different competencies forming the outside of the web and they measure how well they are achieving them. Back to List
SIX SIGMA RESULT
The success of the „Four Day Factory? project was instrumental in successfully pushing the KOS improvement programme through the organisation. We’re talking about a 25% reduction in inventory on 60% of the value – and they got it without having to do anything. Peter Blum (Quality and Technical Manager at the Kodak plant in Leeds) says, “The savings from this one project alone were approximately £2million. We were amazed with the results. “ Other aspects of the business apart from efficiency, such as health and safety -- they held a two year no accidents record -- have also improved, which Peter believes can be linked in part into the improvement programme. “When you deploy Lean and look closely at how people work, those things come along with it. There are other benefits as well that you can?t always quantify, but you can?t deny the end result.” Back in 2004, the Leeds plant was one of the most expensive sites in terms of how much it cost to run the site compared with other sites in Europe. Few believed it could be a cost-competitive site. Four years later, they are beating competitor sites in Central Europe that have had more investment, and are close to Eastern Europe sites that have significantly reduced labour costs. “We have demonstrated that UK sites can be costeffective,” says Peter. “After all, labour costs are around 20% of the total, so by increasing efficiencies in the other 80%, you can compete.”
Back to List
SOURCE OF INFORMATION
The Kodak Operating System: successfully integrating Lean and Six Sigma, Rath & Strong ,6 June 2008, http://www.improvementandinnovation.com/features/project/kodakoperating-system-successfully-integrating-lean-and-six-sigma
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END OF PRESENTATION
doc_115097848.pptx
This is a presentation on Six sigma effect on Eastman kodak company.
A Short Review of DMAIC phase of
SIX SIGMA EFFECT ON EASTMAN KODAK CO.
LIST OF TOPICS
? ? ? ? ? ? ?
Background of Eastman Kodak Co. Why Six Sigma Chosen Define Phase Measure & Analyze Phase Improve & Control Phase Six Sigma Result Source of Information
BACKGROUND OF EASTMAN KODAK CO.
With the slogan "you press the button, we do the rest," George Eastman put the first simple camera into the hands of a world of consumers in 1888. In so doing, he made a cumbersome and complicated process easy to use and accessible to nearly everyone. Since that time, the Eastman Kodak Company has led the way with an abundance of new products and processes to make photography simpler, more useful and more enjoyable. In fact, today's Kodak is known not only for photography, but also for images used in a variety of leisure, commercial, entertainment and scientific applications. Its reach increasingly involves the use of technology to combine images and information--creating the potential to profoundly change how people and businesses communicate.
Back to List
WHY SIX SIGMA CHOSEN
?
The Lean Six Sigma journey for Kodak began in the 90s when the corporate head office introduced the Kodak Operating System (KOS). Based on the principles of LSS, it was implemented at the Leeds factory in 2002, with initially mixed results, as is often the case in the early days of an improvement programme. However, Mike Harding, the Plant Manager at Leeds, believed that it was the right thing for the site. “We knew what we wanted to do but didn?t know how to do it,” he says. “These methodologies(six sigma) gave us the tools to do it.” The focus of the programme changed from having a handful of projects run by two or three Black Belts, to a more strategic approach employing a large number of Green Belts working on many projects, with training and support from consultants Rath & Strong. This proved much more successful, lifted the organisation and the programme began to take off.
?
?
Back to List
DEFINE PHASE
A committed and wholehearted Lean programme necessitates extensive organizational and behavioural change. This requires strong management commitment. At the Kodak plant, they went from weekly management reports, to senior management standing on the shop floor for fifteen minutes every day at a flow dashboard, looking from customer supply all the way along the line to see what was happening that day and what the issues were. That is real-time management, where action can be taken as the problems arise.
Back to List
MEASURE & ANALYZE PHASE
Kodak GCG provide a wide portfolio of digital, conventional and business solutions to the graphic arts industry. At the Leeds plant, they manufacture single layer, thermal digital plates for use in lithographic printing. It became quickly apparent, when they mapped their processes, that probably their biggest challenge was cycle time. Twenty-three days was the shortest lead-time, with one hundred days not uncommon. Kodak do Value Stream Mapping and from receipt of raw materials to the time the product went out the door and established that four days was their value added time. Everything other than four days was scrap and they saw then that waste wasn?t just product waste. Kodak developed a project pipeline, (a Green Belt project run by our Financial Controller) which has criteria on ranking them based on return, degree of difficulty, how long it will take, IT resources, etc. It scores the projects, lists them, and when someone finishes a project, they can easily ascertain what the next thing to tackle is. They check that there is an even distribution across the key Back to strategic goals they have. List
IMPROVE & CONTROL PHASE
Under the banner of the 'Four Day Factory„ project, Kodak implemented a project where they reduced the cycle time down to ten-to-twelve days for circa 60% of their volume. This allowed Kodak to not only reduce inventory in-house but also in their European country warehouses who were able to take out a week of finished product inventory as they reduced their lead time by one week. Setting up the right reporting system was very important, and the Leeds plant are in the process of upgrading to a SAP-based system. And although it is the financials that really catch the eye, it is the other, less tangible benefits that drive the effort. At Kodak, these benefits are not ignored in the reporting cycle. Kodak also have a corporate Lean assessment tool that rates how well they are implementing the different tools rather than putting a value on them. They have a spider diagram with the different competencies forming the outside of the web and they measure how well they are achieving them. Back to List
SIX SIGMA RESULT
The success of the „Four Day Factory? project was instrumental in successfully pushing the KOS improvement programme through the organisation. We’re talking about a 25% reduction in inventory on 60% of the value – and they got it without having to do anything. Peter Blum (Quality and Technical Manager at the Kodak plant in Leeds) says, “The savings from this one project alone were approximately £2million. We were amazed with the results. “ Other aspects of the business apart from efficiency, such as health and safety -- they held a two year no accidents record -- have also improved, which Peter believes can be linked in part into the improvement programme. “When you deploy Lean and look closely at how people work, those things come along with it. There are other benefits as well that you can?t always quantify, but you can?t deny the end result.” Back in 2004, the Leeds plant was one of the most expensive sites in terms of how much it cost to run the site compared with other sites in Europe. Few believed it could be a cost-competitive site. Four years later, they are beating competitor sites in Central Europe that have had more investment, and are close to Eastern Europe sites that have significantly reduced labour costs. “We have demonstrated that UK sites can be costeffective,” says Peter. “After all, labour costs are around 20% of the total, so by increasing efficiencies in the other 80%, you can compete.”
Back to List
SOURCE OF INFORMATION
The Kodak Operating System: successfully integrating Lean and Six Sigma, Rath & Strong ,6 June 2008, http://www.improvementandinnovation.com/features/project/kodakoperating-system-successfully-integrating-lean-and-six-sigma
Back to List
END OF PRESENTATION
doc_115097848.pptx