Chapter 6

• Approaching the Problem

• Dr. Yasser Aly Yakout
• Copyrighted Material
• @2023

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 Chapter 6: Outline

• Problem Functions Y = f(x)

• The 5 Whys
• When to Use 5 Whys
• Conducting a 5 Whys
• Creating a Problem Statement
• Writing the Problem Statement
• Problem Statement Leads to Objectives/Goals

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Problems Functions

• Can be used in two ways

• it is a general map for stating a
problem
• Y (the problem) occurs because
some X (input or cause) is occurring
• The idea can also be applied to specific
processes and outcomes within the
problem
• in many cases, you can graph the
relationship between the output (y) and
the input (x)

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 Example: HAVC Service Provider

• The manager discovered that service calls are taking much longer than expected
• Five team members take 1.75 times longer on average than other service reps in the company to
handle all types of calls
• To reach the problem
– talking to the reps,
– talking to the customers, and
– going out on random calls with all five representatives
• The following observations were made:
– One representative is a native to the area the team services
– One representative is providing homeowners with very in-depth explanations and
education about HVAC issues
– One representative is new to the job and takes longer to complete each task
– The remaining two reps perform work in times that are on par with company averages

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Causes of the Problem for HAVC

The manager refines this data down to Too much talking (reps one and two)
two overall causes for the problem: Inadequate training

The extra time is a function of too much

The problem can now be stated as a talking and inappropriate training
function: Two root causes

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 Other examples of y=f(x)
relationships
• Low customer satisfaction with hamburger
taste is a function of an uncalibrated grill
• Low employee morale is a function of a
poor time-off approval system
• Customer wait times are a function of
technology distractions for employees

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 The 5 Whys

• Data analysis is one of the best ways to validate

a y=f(x) assumption
• Teams who are familiar with processes can
often arrive at some basic relationships
through a process the 5 Whys
• It is a brainstorming tool that asks increasingly
why questions about a problem or process
• It seeks to understand the root cause or actual
problem
• The 5 Whys can be used to define a problem or
to begin seeking causes

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 The Hamburger
Example

• Teams addressing a problem of customer satisfaction

• Feedback forms have shown a lower- than-normal
satisfaction with food quality over the past week
• Why are customers dissatisfied with the food?
• Why are customers dissatisfied with hamburgers?
• Why is the meat undercooked?
• Why is the grill not properly calibrated?
• Why was the grill cook not properly trained?

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 When to Use 5 Whys

ONE BENEFIT OF 5 WHYS IS A TEAM FAMILIAR WITH A IF A MODERATOR KEEPS THE 5 WHYS TOOL CAN BE USE IT TO ADDRESS A
THAT IT ONLY COSTS YOUR PROCESS CAN CONDUCT A THINGS ON TASK USED FOR ALMOST ANY PROBLEM TEAM MEMBERS
TEAM A SMALL AMOUNT OF COMPLETE 5 WHYS SESSION PROBLEM BRING UP
TIME TO USE IN LESS THAN AN HOUR

A 5 WHYS SESSION 5 WHYS IS USUALLY IT CAN BE AN EFFECTIVE

FACILITATES DEPLOYED WHEN START TO BRAINSTORMING
COMMUNICATION AND PROCESSES INVOLVE ON ANY PROCESS
THOUGHT HUMAN INTERACTIONS OR
PEOPLE-POWERED INPUTS
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Examples of statements
in a 5 Whys

• Customers are not happy with the

selection of products
• Customers are receiving orders late
• The printing process is resulting in too
many defects
• Lead times on the bottling process are
excessive
• Employees are not happy with vacation
schedules

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 Creating a Problem
Statement
• A Six Sigma improvement project usually starts
with a formal project statement
• Project statements should include:
– Where and when the problem was
recorded or was occurring
– A measurement of magnitude for the
problem, preferably with some tie to cost
– A brief description of the problem that
could be understood by professionals not
closely aligned with the process
– A brief notation about the metric used to
measure or describe the problem

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 Examples of a Strong
Statement
In the first quarter, the California distribution center sent 108,000
packages. Of those packages, 15,000 were returned, resulting in a
13.8 percent return rate. The rate of return is above the accepted 7
percent rate and cost the company an additional $372,000 for the
quarter. Over the course of the year, the current process could result
in additional costs of over $1.4 million

This problem statement covers all the basic information:

• When? During the first quarter of this year.
• Where? The California distribution center
• What? Returns
• How many? 15,000, or 6.8 percent above expectations
• What is the magnitude? The cost could be $1.4 million a year

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 Example of a Weak
Problem Statement

The Canton, Ohio bakery is producing undercooked bread. Customer

dissatisfaction with the bread is resulting in returns and bad word of mouth. The
bread is supposed to be baked at 350 degrees for 40 minutes.
• This statement introduces a problem,
• But it doesn’t provide details about when the problem occurred,
• How it was measured, and
• What the true magnitude is.
• It begins going into possible root causes when it includes how the bread
should be baked;
• The problem statement isn’t the place to begin this type of analysis

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 Improving Problem Statement

In November and December 2014, customer

satisfaction complaints were traced back to bread
baked in the Canton, Ohio facility. The facility
produced 300,000 loaves during that time period
and received 50,000 complaints of bread being
undercooked. Bread returns and loss of sales
related to quality are estimated to be $125,000
per month

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 • Where did the problem occur?
• When did the problem occur?
Problem Statement • What process did the problem involve?
Checklist • How is the problem measured?
• How much is the problem costing (in money,
time, customer satisfaction, or another
critical metric)?

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 Problem Statements
• Problem 1
The call center in Jacksonville, Florida, handled
36,000 calls in February 2015. Of those calls,
8,000 had an average speed of answer (ASA) over
the contract-required 15 seconds. Those 8,000
service-level-agreement violations resulted in
costs of $200,000
• Problem 2
The call center in Ohio has a service-level-
agreement issue that is costing approximately
$9,000 per day
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 Problems Statement
Leads to
Objectives/Goals
• You can create an overall project objective
statement or goal directly from the problem
statement
• Team working with problem statement 1 might
create an objective that states:
– The goal is to reduce answer speed SLA
violations in the Jacksonville call center by
50 percent within three months. The
potential savings to the company is
$100,000 per month
• Team working with problem statement 2 would
not be able to create a goal statement with this
much detail
– They would simply be able to say they hope
to reduce the service- level-agreement
violations in the facility

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 Specific Problem and Objective Statements
Are critical to Lean Six Sigma project success for several reasons:

First, being as specific as possible sets up appropriate expectations

Example 1, leadership has a specific expectation of the project: the team is going to work to reduce average speed of answer, and success is a
reduction of 50 percent

No one is going to expect the team to solve another problem, such as customer satisfaction with phone operators. That is out of scope for this
project

Example 2, the problem and goal statements are not specific enough. What SLA violations is the team addressing? What, exactly, does
success look like? Is the team expected to reduce costs completely? Not being specific enough sets you up for failure.

Leadership might expect you to address service level agreements that have to do with how reps route phone calls, but you are only intending
to address service level agreements that relate to the speed with which calls are answered.

Leadership might think success is a 75 percent reduction in costs when you intend to work toward a 25 percent reduction

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 Scope for LSS Project
Scope is the definition of
what is included – and
what is not included – in
a process or
improvement project
Goal statement provides
appropriate limits on the
work to be done
Information you include
Begin defining scope
in the statement gives
with your problem
clues to what you will be
statement
working on
Once that goal is met,
Your individual project
the project is concluded,
needs a specific,
and you begin looking
challenging, but
for a new problem to
attainable goal
improve upon
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 Scope Creep

• Scope creep occurs when teams

look to make infinite perfections
on a process
• Attempt to reach unrealistic goals
• Begin to reach for processes or
problems that are out of the
original scope

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 Example 1: Scope for
Project

In the first quarter, the California distribution center sent

108,000 packages. Of those packages, 15,000 were returned,
resulting in a 13.8 percent return rate. The rate of return is
above the accepted 7 percent rate and cost the company an
additional $372,000 for the quarter. Over the course of the
year, the current process could result in additional costs of over
$1.4 million
• A related goal statement might be:
The goal is to reduce the return rate to the accepted 7
percent and save the company $372,000 per quarter

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 Example Continue

scope for this project are:

• Processes related to shipping and returns only as much that they impact
the return process
• The team might stumble upon a packing process that is using too much
material
• Thus, costing the company an additional $50,000 per month
• Unless the packing process is causing the returns—which is not likely in
this situation
• This issue is not in scope for the team, and they should not seek to fix it
• The team can, however, note the issue or report it
• It could be a future project might be launched to address the problem

Understanding the relationship between problems and inputs and knowing

how to create a strong problem statement are the first steps to controlling an
improvement process

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 Practical Session

Work on your project Does your project satisfy

and try to define the the requirements of valid
problem statement statement

Does your team scope

Does the statement lead
the project well
to Objectives/Goals
(Processes) included

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Questions
Feel free to ask any questions?

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