To Improve Fixed Asset Management (HQ)

LEAN SIX SIGMA - MEASURE PHASE

GB Name : Mohd Zin Thamat
: Edinorman Aznan
YB Name : S Marhan Muhammad
: Megat Danial Afiq Md Faiz
: Harnizah Roslan
REVISED PROJECT CHARTER
Project Title Current Situation / Background Scope

To improve fixed asset management (HQ)
Current status of some assets in HQ is undefined, Internal
thus difficult for Property Department to trace all
- HQ Assets (JPB)
assets in Fixed Asset Register Report
- Tangible Assets

Project Goal Key Actions External

This project is to improve SOP or guideline of - Preliminary study on current asset list - Intangible Assets
proper asset management. - To define list of potential factor for asset
variance
- Analyse flow of asset management process
Estimated Cost Savings

TBD

People Needed To
Resources / Cost to Implement Time to Implement
Implement
Define : 10 Jul - 3 Aug 2023 -Mohd Zin Thamat
Measure : 14 Aug - 26 Sep 2023 -Edinorman Aznan
Analyze : 9 Oct - 1 Nov 2023 -S Marhan Muhammad
Barriers to Success Improve : 13 Nov -18 Dec 2023 -Megat Danial Afiq Md Faiz
Control : 4 Dec 2023 - 24 Jan 2024 -Harnizah Roslan

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DETAILED PROCESS MAP (AS-IS, VA ANALYSIS)

VA

VA
VA

VA
VA

VA

VA

VA

VA

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DETAILED PROCESS MAP (SHOULD-BE)

VA

VA

VA

VA
VA

VA
VA

VA

VA

VA

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CAUSE & EFFECT MATRIX / FISHBONE DIAGRAM

CAUSES EFFECT

Man Machine Method

Improper
Inadequate staffing for asset Lack of asset
No system for
tracking SOP for asset transfer,
asset
acquisition writer-off &
monitoring in
Unclear person responsible for place disposal
the fixed asset tracking Asset sighting
(software)
not be carried
out
Untraceable
Fixed Asset
Inaccurate
Shortage/
of asset
insufficient
Fire tracking
of asset
safekeeping
Flood Improper of (store)
Asset listing/
registration

Environment Measurement Material

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CAUSE & EFFECT MATRIX / FISHBONE DIAGRAM

CAUSES EFFECT

Man Machine Method

Improper
Inadequate staffing for asset Lack of asset
No system for
tracking SOP for asset transfer,
asset
acquisition writer-off &
monitoring in
Unclear person responsible for place disposal
the fixed asset tracking Asset sighting
(software)
not be carried
out
Untraceable
Fixed Asset
Inaccurate
Shortage/
of asset
insufficient
Fire tracking
of asset
safekeeping
Flood Improper of (store)
Asset listing/
registration

Environment Measurement Material

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FAILURE MODES AND EFFECTS ANALYSIS (FMEA)
NO Process Failure Failure S Causes O Control D R Action S O D R
Mode Effects E C E P E C E P
V C T N V C T N

1 Acquired Error in Asset 5 No asset counting 3 Check actual received 4 6 Asset tagging and register 5
Fixed Asset asset variance in during received vs DO 0 upon received
quantity system vs
physical
2 Fixed Asset Missed Asset not in 8 Asset owner not 1 Qualify person and 4 3 Annual Stock take to 8
Registration registrati record register verification process 2 capture and re-register
on during asset asset
registration
8 Insufficient staff 7 Asset owner 7 3 Briefing and training PIC 8
responsible to register 9 & OIC for each
asset 2 department
8 Lack of SOP for 7 Follow current practice 7 3 Improvise current SOP 8
asset acquisition of asset acquisition 9
2
3 Fixed Asset Lost of Difficult to 5 Transport or 4 Retagging yearly use 8 1 Asset reconciliation and 5
Tagging & asset tag detect item moving marker or sticker 6 asset retagging
Listing location 0
4 Annual No PIC & Untraceable 8 Transfer of PIC 8 Assign proper PIC & 8 5 Proper planning for fix 8
Stock Take/ OIC asset. OIC 1 asset Physical Counting
Inventory 2 (PMD)
Checking
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FAILURE MODES AND EFFECTS ANALYSIS (FMEA)
NO Process Failure Failure S Causes O Control D R Action S O D R
Mode Effects E C E P E C E P
V C T N V C T N

5 Fixed Asset Asset Cannot 5 No scheduled fixed 5 To refer SOP in 8 2 To report by yearly. 5
Reporting status detect asset physical Company Policy 0
not location, counting 0
update ownership
5 No system for 5 Manual asset tracing 8 2 Setup asset management 5
according and asset
asset monitoring in 0 procedure in SAP
ly status
place (software) 0

5 Improper asset 5 Follow current practice 8 2 Improvise current SOP for 5

transfer, write-off of asset transfer, write- 0 asset movement
& disposal off & disposal 0

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DATA COLLECTION PLAN
Performance Operational Data Source Sample PIC/ When Data Collection Other Type
Measure Definition and Location Size Method of Data
Fixed Asset Fixed asset Fixed Asset All JPB at Megat Data from finance
Quantity listing Register HQ Fixed 17/07/2023 system as at :
Report Asset 31/03/2023 (By
Location)
Untraceable Number of Fixed asset Fixed Mohd Zin Fixed asset physical
Fixed Asset untraceable physical count asset at Edinorman counting at Club
fixed asset list Club S Marhan House & Internal
House & 13/09/2023 Audit Department
Internal
Audit
Departm
ent
Financial Policy Procedure JPB Financial Section Internal Internal email circul
for fixed Policy 5.4 Fixed email circul ation
asset purchase (JPB/POL/FIN Assets ation on
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s, transfer, dis ANCE/FRB/00 (Page 06/07/2023
DATA COLLECTION SHEET

Fixed Asset Register Report

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DATA COLLECTION SHEET

Fixed Asset Physical Count List

(KSRT & Internal Audit Department)

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DATA COLLECTION SHEET

Fixed Asset Policy (Page 4, 15 & 16)

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DATA COLLECTION SHEET

Fixed Asset Policy (Page 17-19)

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Z – VALUE CALCULATIONS / PROCESS CAPABILITY
Baseline data:
Period/Location of Traceable Items Untraceable Untraceable
Total Items Traceable Items
data collection % Items Items

CLUB HOUSE 349 135 39% 214 61%

INTERNAL AUDIT DEPT 32 26 81% 6 19%
TOTAL 381 161 42% 220 58%

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“JUST-DO-IT” JDI ACTIVITIES

1. Assign PIC from each department to monitor fixed asset movement.

2. Purchase of asset tagging device.

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PROJECT TIMING PLAN

PHASE PLAN / ACTUAL JUL'23 AUG'23 SEP'23 OCT'23 NOV'23 DEC'23 JAN'24
W1 W2 W3 W4 W1 W2 W3 W4 W1 W2 W3 W4 W1 W2 W3 W4 W1 W2 W3 W4 W1 W2 W3 W4 W1 W2 W3 W4
Plan
DEFINE Actual
Plan
MEASURE Actual
Plan
ANALYZE Actual
Plan
IMPROVE Actual
Plan
CONTROL Actual

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MEASURE PHASE - SUMMARY

SUMMARY:
From asset tracking exercise and sampling of Fixed Asset Physical Counting at KSRT and IAD Audit;
61% and 19% from item are untraceable, need more time to search and verify their availability.

LESSONS LEARNT:
Use of Process Map & Fishbone Diagram tools help the team to identify the most potential causes that lead to
untraceable fixed asset.

BARRIERS / ROADBLOCKS:
There is no tracking data on fixed asset status. Thus, the team will not be able to prove the untraceable asset.

ACTION PLAN TO REMOVE ROADBLOCKS:

Assign respective team members to collect data for those factors with no tracing data.

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THANK YOU