Monday, March 31, 2008

Analyze the Data

It is a common mistake to see data, make assumptions, then start making decisions without much thought. Don't get caught up in the excitement; just because your data looks obvious does not mean the root cause is. Whenever there is something to be fixed, the root cause must be addressed in order to yield high quality results.

I have recently been part of an operation that simply made fast pace corrections (mostly retroactive) that served as band-aids to existing problems. It did not take long before it was realized that all of the simple fixes created more burden than solution. People tend to resist change; once a bad fix is in place, people usually want to stick with it. Making the correct decisions the first time around is priceless to your company.

When analyzing data, be sure to know what it is really telling you. Include as many experts as you can; everyone will have a different take. It is difficult to guide large project teams and visual tools work wonders for getting everybody on the same track. The Value Stream Map is the best tool for seeing how a process works and where you should focus. Pinpoint areas for improvement and dig deeper. The two most common tools for idea generation are the Fish bone Diagram and the Cause and Effect Matrix. These two tools merely facilitate brainstorming and get everything out where people can see it. Make sure "why" is continuously asked with the purpose of reaching the root cause.

Most people will immediately try to solve the problems. During this phase of DMAIC, stay focused on the task at hand. What does your data tell you? Where does the process hurt and by how much? Where can we make improvements? Identify root causes before brainstorming for improvement.

When you don't have any more answers for why, move on to the improvement phase.

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