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Black Belt Objectives

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  • #31385

    Tierradentro
    Participant

    We are getting things sit up to implement Six Sigma and I have been task to create annual objectives for the Black Belt position. What type of objectives have you in place? # of projects completed, $’s saved, Green Belts trained, etc….

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    #82701

    Chatikobo
    Participant

    # of projects – yes
    $$ saved – no. A better metric is dollars achieved vs dollars in the project goals. Reason being, some projects will have an inherently greater payback than others.
    BB 1 project goals $1,000,000 achievedΒ  $800,000
    BB 2 project goals $500,000 achieved $700,000
    Which belt was more effective?
    Regards
    Lance

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    #82729

    Elizabeth C. Marsh
    Participant

    I would advise against expecting BB’s to train and mentor GB’s as this dilutes their focus on project delivery.Β  Use MBB’s for training and mentoring (BB’s and GB’s) and let the BB’s be the power house for delivering savings.Β  Rought rules of thumb on BB project expectations are:
    4 to 5 projects a year
    Approximately US$1 Million validated savings per year
    Elizabeth

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    #82732

    David T
    Participant

    John,
    Basically, 4-5 projects per BB per year is the minimum. Savings (hard and soft) would depend very greatly on where your operations are (Asia, US) and what kind of volumes you are talking about (operational & transactional). As for the number of GBs trained, all should be trained. Why? 6 Sigma needs to be the way we do business and the methodology needs to be inculcated into every employee.
    Lance,
    Did not understand what you meant by putting 800k out of 1M. You saying that you’re trying to measure the lost opportunities.. meaning we could have saved another 200k. Just trying to understand.
    Elizabeth,
    For BBs that want, the next step up is MBB. To be a certified MBB, you need to train a wave of BBs. In my opinion and experience, a BB SHOULD teach GBs and mentor them as well. Granted they should be steam rolling the projects but BBs can co-teach GB waves to ease the load. Remember that in most big corporations, BBs are promoted out of their role and learning how to mentor, handle the multiple tasks only serves as training, if you want to look at it that way.
    David T.

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    #82735

    Tierradentro
    Participant

    Is this your experience or something out of a book?

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    #82744

    Marc
    Participant

    The idea that a Black Bet is the powerhouse for delivering savings is directly on target, but teaching is a major part of that delivery. A MBB should be able to training people at all levels of the organization in Six Sigma. An experienced BB needs to spend some time teaching/co-teaching Green Belts and other Black Belts. Black Belts will gain major insight into the Six Sigma tool sets and methodology when they have to teach others to use them.
    A word of caution, teaching Green Belts and above is not for the beginning Black Belt. It is difficult and requires some seasoning before it is attempted.

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    #82747

    Guest
    Participant

    We have a focusΒ for our group that we are internal consultants for the organization. Therefore we look at returned business. If we work or lead a project for a certain Director or VP, we are evaluated by their request for more services. This of course has its draw backs.

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    #82749

    Chatikobo
    Participant

    David:
    Let me clarify – I was providing an example as to why BB’s should not be evaluated by total dollars.
    BB #1 completes 5 projects – The combined goals of the 5 projects add up to $1 million. The actual results achieved of the combined projects added up to $800,000. (80% of goal)
    BB #2 completes 5 projects – combined goals of $500,000, but this belt achieved $750,000, (150% of goal)
    If evaluating based on pure dollars, BB1 looks better. If evaluating based on performance to goal, BB2 looks better.
    I advocate performance to goal, so as not to punish belts who get assigned to lower dollar projects, or to reward belts solely because they happen to get assignedΒ  big dollar projects.
    Hope that clears up my point
    Lance
    Β 

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    #82784

    Karel MBB
    Participant

    I take it your business must have some form of key performance indicators (KPIs). The prime purpose of your BBs is to take the business forward and these metrics / KPIs should point you in the right direction for these objectives, so yes fiscal improvement is one aspect, but so too is identifing and reducing the waste in the softer aspects of your business in the widest sense.
    I would be in inclined to have your MBBs set up and coordinate the training programme but I would expect the BBs to contribute to the actual training.
    If you can get your GBs to bring and therefore use their real “problems” at the training sessions,so much better for everyone.
    The critical thing is the KPIs need to be based on understanding what the problems are you are trying to correct or improve.
    I would also ask the BBs what they think some of their objectives should be based on the KPIs. We will often set ourselves tougher targets, your trick is to make sure they are realistic and achievable.
    I wish you well with your objective setting and as I can see from the many other responses to your question, there are some good suggestions to help you with this work.

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    #82785

    Seth Jantzen
    Member

    Black Belt objectives should be dependent on your company’s individual goals.
    I’ve seen BB objectives range from reducing PPM or DPPMO toΒ reducing cost in terms of definedΒ $ recovered, defined $ saved, and defined $ avoided, with projected ROC, ROE, ROI as key factors.Β  Additionally, I have seen BB objectives get rolled into Lean efforts, with phenomenal results in Takt time, O/A cycle time, and avoided capital investments.
    Furthermore, BB objectives can be as ephemereal as negotiated savings on a future acquisition… not easily quantifiable, but certainly describable in real dollars.Β  Trust me, it works…
    Bottom line… See your objective with clarity and focus by keeping your vision clear and focused.
    A suggestion to all new BBs… develop and hone your financial skills now!Β  It will pay you back a million times over when determining the value of your projects.
    Also, take a week of vacation after your first project is turned over to the process owner.Β  Measure your project’s success by the amount of time you spend thinking about it while on vacation…
    More = Bad, Less = Good

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    #82786

    David T.
    Participant

    Thanks mate. It is a different way of thinking here. But if we look at it from a total 6 Sigma standpoint, a financial controller/analyst should have most (if not all) of the upfront potential cost savings. Remember that in the beginning, the savings are only potential, and they are realised when the improvements are implemented and SUSTAINED. Granted, it is sometimes very difficult to capture ALL of the potential savings without in-depth knowledge of the process… but hey, that’s where team members and subject matter experts come in to work with the Finance Analyst. What I believe we should be measuring is the amount of HARD and SOFT savings a BB has saved at the END of the project regardless of what he could have actually saved.. because that should prompt the next question ,”What else can we do to save that $200,000 that we didn’t save?”
    Looking at the scenrios you’ve given, what happens if BB1 has projects that are of a much greater complexity than BB2? Projects will definitely vary in complexity. I personally believe that measuring the performance/efforts of a BB based on how much money is saved is not a good measure. I’m sure you have other criterias alongΒ with this.Β I measure my BBs based on a couple of criterias… time to close out a project (vs year-end target), innovations, money saved (yes, it is important) (vs year-end target), number of projects completed (vs year-end target), project management, team management and even change management.
    Good to have this discussion with you Lance.
    David T.

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    #82787

    David T.
    Participant

    I’m assuming you’re referring to me here John… yes, it is all from my experience.

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    #82788

    Marilyn Manson Jantzen
    Participant

    Seth,
    instead of taking a week off once your first project is finished, why not recommend to all these future 7-11 employees to do something original and put an honest 40 hours + of work in. maybe then they can produce something other that a constant steam of vomit and BS about how great of a tool 6S is and how that all the problems and of a company will be a nothing more than a bad memory. the only tools around here are the BB candidates running around the office pretending like they are contributing to the better glory of the company.

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    #82817

    Thomas Pyzdek
    Participant

    You forgot to say “Have a nice day!” ;-)

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