Si l or Homeruns? Singles H ? A Winning Strategy for Improvement Jeanie Wade Program Director Northrop Grumman Corporation The beginning Opportunity Deliveries behind schedule (in one case by hundreds of units) Customer wants more if we can deliver Customers unhappy Opportunity Individual star players Playing defense only (reactive) Many g on sitting the bench (disengaged) e gaged) Morale Low Opportunity Strategy unclear Variable outcomes Minimal controls Work harder culture Improvement Strategy Improvement Strategy Major Project 1 Initial Performance 40 units per month required 12 units per month delivered (~300 units behind) Continuous Improvement Process Value-Stream Map p Analysis y of takt time Continuous Improvement People Engagement Solutions identified by floor personnel Resources provided by management Today’ss Performance Today >70 units delivered consistently for the last 12 months Today’s People Engagement Management sees benefit of improvement activities Employees are empowered Major Project 1 Continuous Improvement Efforts Technicians Assemblers Design Engineers Mission Assurance Manufacturing Engineers Program Management Identify Parts with Preferred Characteristics Design Value-Stream ValueMap = Improvements Process = Improvements Supply Chain Identify Supplier = Improvements Issues M1A2 Deliveries 100 90 Units Delive ered 80 70 60 ~700% increase in throughput 50 40 30 20 Actual 10 0 Oct-07 Contract Forecast Employee p y Involvement = Empowerment and Improvement Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Month Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Major Project 2 Initial Performance Impacting customer with late deliveries High customer return rate Continuous Improvement Process Step-by-step p y p failure analysis y and corrective action Clean room and handling g contamination Continuous Improvement People Engagement Daily Failure Review Board Meetings Employees E l redesign d i workk areas/processes Design Changes Today’ss Performance Today Exceeded contract required deliveries consistently for the last 12 months Customer returns significantly reduced Today’s People Engagement Management sees improvement benefits Employees are empowered Major Project 2 – Data-Driven Improvements Focused Actions Based on Data = Permanent Improvement Major Project 3 Initial Performance >90% First time through test yield required 51% first time through test yield seen Continuous Improvement Process Product Characterization Keyy Test failure analysis y Continuous Improvement People Engagement Value Stream Map Design changes Clean room improvements Today’ss Performance Today Contract deliveries met consistently Today’s People Engagement CI tools used to solve complex problems Employees are empowered Continuous Improvement Culture Belief and Understanding through Demonstration and Participation QA-Driven ~90 Champions Culture-Driven ~1000 Champions A Continuous Improvement Culture is a Force Multiplier Results Deliveries meeting contract requirements Customers want to buy more Customers happy Results Teamwork ((>40 projects in work) Playing offense (proactive) Everyone involved (engaged) Morale Mo ale Improving Results Strategy gy clearly defined Predictable outcomes Improved controls Work smarter culture Bottom Line 18
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