Digital transformation for chiefs and owners. Volume 2. Systems thinking. Dzhimsher Chelidze

a small panel in which we consider the duration of key periods.

      – We calculate the main indicators.

      – Then we build graphs of Pareto (with some clearing of anomalies), see what is the average wait between drilling and development (simple).

      – Calculation and construction of the graph 6 sigma (but it is not necessary, all the necessary data is there). Defining the boundaries of a managed process and its current state. We find out whether it is necessary to make adjustments to the process or its complete restructuring?

      – We determine the causes of deviations falling outside the boundaries of the process, including using the technique «5 Why». Determine whether processes need to be changed (e.g., procurement of ZIP).

      – We also study the reasons for the best examples, determine the possibility of adjusting processes and setting new targets, standards. We also study the situation with the biggest downtimes, see who implemented, what went wrong, why. It is possible that there are the same people, and you need to work locally with them, for example, to teach them.

      Yet, what conclusions could be drawn, even without deep calculations?

      – According to Pareto’s schedule, we saw that in more than 75% of cases the waiting was within 73 days, and in 85% of cases – up to 154 days. Of course, it is better to calculate the sigma optimally, but in the current version the manageability boundaries of the process are visible. Accordingly, arithmetic averages can be used for the first approximation.

      – We have no information about the depth of the wells and cannot assess the efficiency of the working process. However, we can compare the downtime between the end of drilling and the beginning of development. Thus, the average waiting time from the end of drilling to the beginning of development is 76 days. At the same time, the average expected start of development exceeds the average development period by more than 3.5 times and is comparable in time with the entire drilling process. The cumulative expectation loss is 42% of the cycle time from the start of drilling to completion. This generates both lost profits and direct losses.

      – The reason is the system problems of the planning process, detailed audit is necessary.

      – Possible system limitations:

      – system of control and notification of the process stages;

      – no system for forecasting the completion of drilling phases;

      – lack of regulations and target values for the duration of each phase, notification time, delivery and readiness of the equipment for transition to development.

      Here’s how one table can be calculated and learned to reach certain conclusions. As the informal communication showed, they were correct conclusions. However, I have not gone to the further project: the TOPs have been negotiating for almost six months, and in my opinion, if they do not know how to work quickly upstairs, something to change from below is meaningless. Everything comes from the head. In this I am convinced of every project, so I always start working from the first person. First we prepare it, and then we work with the team, only this approach gives results.

      Lean Six Sigma

      Lean Six Sigma – a hybrid that combines Japanese and American concepts:

      – Lean Manufacturing (Lean) – Process Loss Reduction and Acceleration, Standardisation and Continuous Development, Working with People and Thinking;

      – 6 sigm (Six Sigma) – Improving product quality and customer loyalty; the basis is information analysis, measurable performance.

      In fact, as a basic education engineer, I think the best solutions are hybrids. There are no clean methodologies that are fully applicable to life. It is impossible to use any tool at 100%, it becomes redundant and too expensive pleasure. The calculation of boreholes given above took me one evening. As a result, I got an understanding of the problem. Could you go deeper, spend 2—3 nights on an analyst, but would change from this end result? Unlikely. Additionally, this is already losses in lean production – excessive processing.

      Chapter Summary 3

      Of course, not all the tools are listed here, and in the same 6 sigm concept you can go deeper to the control cards Shuhart, DMAIC, DMADV, what are the roles of the staff (green, black belts, masters, etc.), and in lean production – SIPOC and Poka-yoke, «House TPS» (tools and principles), but I think it would be a bit much for you, my reader. You’re not an executive, you’re a supervisor. That means that your people need to know the specific tools, and you need to understand how it works to be able to set the right tasks and delegate, control and ask for the result.

      The main purpose of this chapter is to diffuse the fog before the mysterious thrifty production and show that it is an excellent tool in an integrated management system. Additionally, if we first optimize lean manufacturing processes and then use digital tools to focus on eliminating losses and working with people, collecting feedback from them, the effect of this approach will not be measured in a few tens of percent, several times.

      As I mentioned the example, understanding what losses should be eliminated, how to collect information from the bottom and support it sometimes with free tools, you can save business millions of rubles. So, in 4 months we completely excluded unearmarked work from the production manager, and this is more than 1 million rubles a year, while he began to do what he should – the organization of the work of the division. Same goes for the foreman.

      If it is still interesting to go deeper, then the QR code and link will lead to the corresponding article.

      Lean production. Part 2 +6 Sigma

      Chapter 4. Project management

      Introduction

      In general, digitalization and digital transformation are a project in themselves. When you want to do something, you haven’t done before, when you’re limited in time and resources, it’s a project. You want to write a book, buy a car, go on vacation to a new place, that’s a project. You start a new business; you decide to change the department – it’s a project.

      Project management is like riding on rides: sometimes fun, sometimes exciting, sometimes come out with full pants. If the control becomes chaos, then it is clearly not fun and you can lose your pants, especially given the cost of digital technology.

      Any project consists of stages of initiation, planning, implementation (control) and closure. Additionally, for each stage there are tasks. Plus, you have to choose the right implementation methodology and remember that the project is a triangle.

      Project management triangle – it is impossible to change one item and not change the rest

      The essence of this triangle is that you cannot change the content of a project (except in rare cases) without changing the timing or budget. Or you cannot reduce the term without changing the budget (to attract additional people, for example) or maintenance. That is, any your wish will necessarily affect the content, timing or cost.

      Let’s talk about this. x4x4

      Project management is best characterized by the Russian proverb «long harness, fast drive». Additionally, if you don’t, miss the first stages, then you will be in one ditch, a cart in another, and the horse will run away.

      According to my personal observations, the majority of projects suffer from poor management. Let’s say that you have correctly