Page 186 - Lean six sigma demystified
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Chapter 5  Redu C ing   d efe C t S  with   Six   Sigm a          165



                               Packing                           Ordering
                                                          Retyping order
                                Why?
                             Why?               Not captured electronically
                          Why?
                                                                 Bad addresses
                        Why?                                                             Problem statement
                                                                Taken wrong
                                                                                        During 2002, Invoicing
                                                                                        accounted for 31% of
                                                                                        not received errors
                                                                                        which was higher than
                                      Why?                         Not tracked          desired and caused
                                                                                        customer
                                   Why?                        Cost of tracking         dissatisfaction.
                                Why?
                              Why?



                             People                              Shipping

                    FIGURE 5-15 • Root causes of invoicing errors.


                             3. Use Stamps.com to create the shipping labels, because Stamps.com validates
                               the ship-to address and provides free delivery confirmation ($0.45/order
                               savings).


                           Check Results
                           It took about 2 months to implement all of these improvements. As a result, total

                           errors have dropped from 10 per month to 2.4 per month, a 75% reduction.
                             Using this data, we are now charting the errors per month using a c chart
                           (Fig. 5-16).


                    Problem Solving


                             Our problems are man-made, therefore they may be solved by man. No problem of
                             human destiny is beyond human beings.
                                                                                —John F. Kennedy

                           Although many people are willing to say that problems are a force of nature or
                           due to the human factor, I am not. Most problems can be solved with a little
                           effort and ingenuity.
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