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270    C o n t i n u o u s   I m p r o v e m e n t                                                                                                                               D e f i n e   S t a g e    271


                                                 Category            Peaches Lost
                                                 Bruised             100
                                                 Undersized           87
                                                 Rotten              235
                                                 Under-ripe            9
                                                 Wrong variety         7
                                                 Wormy                 3

                                               Table 13.1  Raw Data for Pareto Analysis

                                   For example, the data in Table 13.1 have been recorded for peaches
                                arriving at Super Duper Market during August.
                                   The completed Pareto diagram is shown in Fig. 13.2.

                                Project Charters
                                The project goals, objectives, deliverables, and so forth are documented
                                on a project charter, which serves as a contract between the project team
                                and  its  sponsors.  Project  charters  typically  have  several  key  elements,
                                answering the what, who, why, and when of the team’s planned activities.
                                (It’s important that how be left to the team, as discussed in Chap. 10).
                                A sample charter is shown in Fig. 13.3.
                                   One or more project sponsors in mid­ to upper­level managerial posi­
                                tions  will  sponsor  a  given  project.  Sponsors  fund  the  project,  allocate
                                resources, and develop the initial charter (which is then managed by the
                                assigned project team leader, who is usually either a black belt and/or


                                           450                                       100
                                                                  96%   98%   99%
                                                        76%                          80
                                           300
                                                  53%                                60
                                          Count  235                                      Percent

                                           150                                       40
                                                       100
                                                             87                      20
                                                                    9      7     3
                                             0                                       0
                                                   Rotten  Bruised  Undersized  Under-ripe  Wrong variety  Wormy




                                Figure 13.2  Example Pareto analysis constructed using Green Belt XL software
                                (www.qualityamerica.com).








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