10/4/2014 1 10/4/2014 1

Project Name :RECRUITMENT COST

REDUCTION
Project Owner :LOKESH MIGLANI

DMAIC
10/4/2014 2
Project Progress Overview
D1. Map Project
D2. Approve Project
M1. CTQ Characteristics&
Standards
M2. Measurement System
Analysis
M3. Data Collection
A1. Baseline Process
A2. Performance
Objective
A3. Identify Drivers of
Variation
I1. Screen for Vital Xs
I2. Screen for vital Xs
I3. Define Improved
Process
C1. MSA on Xs
C2. Improved Process Capability
C3. Establish Control Plan
Key Deliverables:

List of Customer(s) and
Project CTQs
Team Charter
High Level Process Map
(COPIS)
CAP Plan (Optional)
Preliminary CBA, if
applicable


QFD / CTQ Tree
Operational definition,
Specification limits,
target, defect definition
for Project Y(s)
Data Collection Plan
Measurement System
Analysis

Baseline of Current
Process Performance
Normality Test
Statistical Goal
Statement for Project
List of Statistically
Significant Xs

List of Vital Few Xs
Transfer Function(s)
Optimal Settings for
Xs
Confirmation
Runs/Results
Tolerances on Vital
Few Xs

MSA Results on Xs
Post Improvement
Capability
Statistical Confirmation
of Improvements
Process Control Plan
Process Owner Signoff
Final CBA, if applicable
Tollgates:
Planned
Completed
10/June/2010 11/March/2010 mm/dd/yyyy mm/dd/yyyy mm/dd/yyyy
XXXXXX 15/March/2010 mm/dd/yyyy mm/dd/yyyy mm/dd/yyyy
Steps:
Tools:

Survey
Focus Groups
Interviews
ARMI, Stakeholder
Analysis
In/Out of Frame
Threat vs. Opportunity
Matrix
Other ______________

Data Collection Plan
Continuous Gage R&R
Attribute Gage R&R
Sample Size Calculator
Other ______________

Basic Statistics
Histogram
Dot Plots
Box and Whisker Plots
Run Charts
Normality Testing
Continuous/Discrete Zst, Zlt
Benchmarking
Detailed Process Mapping
Moments of Truth
Nature of Work
Flow of Work
Fishbone
Hypothesis Testing
Regression Analysis
Other ______________

DOE
Pugh Matrix
New Process Mapping
FMEA on new process
Process Modeling /
Simulation
Other ______________

Continuous Gauge R&R
Discrete Gauge R&R
Control Charts
Hypothesis Testing
CAP Plan
Control Plan
Other ______________
Define Measure Analyze Improve Control
Overview
10/4/2014 3
Define
1. Map the Project
2. Project Charter
3. Terms and Acronyms Used
4. ARMI & Communication Plan
5. COPIS
6. Process Map
10/4/2014 4
Customer Sample Comments
Key Output Characteristics
Important to Customer (CTQ's)


CEO
Direct expenses are increasing against budgeted
cost because of recruitment through consultant
links.


Direct Expenses
VP-HR Cost of hiring has gone up by . of allotted
budget
Exceeding budgeting target

HR Executive
Increase in business and high rate of attrition, lot
of fast track hiring is done to fill in require position
to avoid loss at operation end.
Filling in required position to avoid
loss
Define
Map the Project
10/4/2014 5
Define
Pre Data Analysis
10/4/2014 6
In Scope: M02 & M07 Grade Recruitment
through economical and consultant link.
Out of Scope: All other grades recruitment
.
Business Case: Recruitment cost through
economical and consultant links has increased.
Total 91712219 INR spent on recruitment out of
which 59.7% spent on M02 grade recruitment and
recruitment cost per person was highest in M07
grade category.
Problem Statement: Recruitment cost per person
increased for M02 and M07 grades via consultant
link
Goal Statement: To reduce recruitment per person of
M02 & M07 grade by 25% ( M02- 4715 INR per
person, M07-2116 INR per person )
Project Charter
Target Date Actual Date
Start Date 29.09.14 29.09.14
Define 01.01.14
Measure 11.10.14
Analyze 18.10.14
Design 25.10.14
Verify 01.11.14
High Level Project Plan
Define
10/4/2014 7
Definitions:


Indicators Definition
New Vertical LOB (Line of Business)
Horizontal Department of the Employee
Sub Process As Per PS Sub Department of the Employee
Process Type The Line of Business, candidate has been hired for
Designation Designation of the Employee
Grade The level, candidate has been hired for
Source Source from reference (Job Portal)
Economical/Consultant-
link
Type of source
Cost Cost occurred for hiring new joiner
Terms and Acronyms Used
Define
10/4/2014 8
Key Stakeholders Define Measure Analyze Improve Control
Sponsor I I I I I
Process Champion I I I I I
Black Belt I&A I&A I&A I&A I&A
Process Owner A&I A&I A&I A&I A&I
Team Member I&M I&M I&M I&M I&M
Message Audience Media Who When
Project Status Leaders E-mails Bi weekly
Phase review BB, MBB& Champion E-mails or meetings As per plan
Project deliverables or
activities
Members E-mails or meetings Weekly
When Populating the Stakeholder, consider the ARMI:
A= Approver of team decisions
R= Resource or subject matter expert (ad hoc)
M= Member of team
I= Interested Party who will need to be kept informed
Communication Plan
Define
ARMI Worksheet
ARMI & Communication Plan
10/4/2014 9
COPIS
Define
10/4/2014 10
Process Map
Define
10/4/2014 11
Measure
1. Data Collection Plan
2. Measurement System Analysis
3. Process Capability







10/4/2014 12
Y

Operational
Definition
Defect
Definition
Performance
Standard
Specification
Limit
Opportunity


Hiring cost
Total cost incurred
by company from
the point , hiring
request raised to
joining of
candidates for M02
& M07 grades


Hiring cost
exceeded Budgeted
Cost
Recruitment cost per
person
M02-4715 INR per
person

M07-2116 INR per
person

USL
M02-4715 INR per
person

M07-2116 INR per
person




Hiring cost per M02
& M07 Candidate
Data Collection Plan
Measure


Y


Data Type


Unit


Decimal to
be Used
Data Base
Container

Existing or
new data
base

If New when
data base
would be
ready.
Plan start
date for
DCP

Cost of Hiring Continuous INR No Excel Existing ------- ---------
Equipment
Used for
measurement
Equipment
Calibration
Information
Responsibility
Any
Training
need
Operator
Information


--------


--------



--------


--------


--------

10/4/2014 13
Measurement System Analysis
Rule Rule Description Acceptable Result
A
R&R % of
Tolerance
<10%
B
% Contribution
(R&R Std
deviation)
Smaller than
Part-to-part
variance
C
Number of distinct
categories
>4
Overall Gage result
Minitab Descriptive Stats
Insert Minitab session window descriptive stats.

For discrete data use the attribute gage study
exhibit from Minitab
Measure
10/4/2014 14
Process Capability
Measure
10/4/2014 15
1. DCP for Potential Xs
2. Identify Potential Xs
3. DCP for Potential Xs
4. Basic Analysis for Project Y
5. Checking for Impact of ...... on Y
6. Hypothesis Summary
7. MSA results of Impacting Factors




Analyse
10/4/2014 16
Identify Potential Xs
Analyse
10/4/2014 17
DCP for Potential Xs
Potential Cause Type of Data Collection
Method
Test to be Used Visualization plot
Used
Outlining the Data Collection Steps for Xs
Analyse
10/4/2014 18
Basic Analysis of Project Y
Randomness Study Normality Study
Randomness & Shape Study
Analyse
10/4/2014 19
Basic Analysis of Project Y
Study Spread and Central Tendency
Spread Study Central Tendency Study
Analyse
10/4/2014 20
Statistical Interpretation of relationship
Graphical Depiction Hypothesis Result
Inference :
Checking for Impact of on Y
Analyse
10/4/2014 21
Statistical Interpretation of relationship
Graphical Depiction Hypothesis Result
Inference :
Checking for Impact of on Y
Analyse
10/4/2014 22
Statistical Interpretation of relationship
Graphical Depiction Hypothesis Result
Checking for Impact of on Y
Inference :
Analyse
10/4/2014 23
Statistical Interpretation of relationship
Graphical Depiction Hypothesis Result
Inference :
Checking for Impact of on Y
Analyse
10/4/2014 24
Statistical Interpretation of relationship
Graphical Depiction Hypothesis Result
Inference :
Checking for Impact of on Y
Analyse
10/4/2014 25
Hypothesis Summary
Sl.
No.
Factor P Value
Graphical
Tool Used
Inference Next Steps
Summary of Impacting Factors
Analyse
10/4/2014 26
MSA Results of Impacting Factors
Checking the Validity of the data of the impacting factors
Sl.
No.
Factor
MSA
Method
Used
Result
RCA for
Problems
Next Steps
Analyse
10/4/2014 27
Improve
1. Screening of the Impacting Factors
2. Action Plan for Improving the Factors
3. Basic Analysis of Improved Y
4. PrePost Analysis of Project Y
5. Pre-Post Analysis of Factor
6. Improve Summary Take Aways








10/4/2014 28
Screening of the Impacting Factors
Prioritize the Impacting Factors
Improve
10/4/2014 29
Action Plan for Improving the Factors
# Pain Area Root Cause Improvement Idea
Implementation
Owner
Implementation
Status


Improve
10/4/2014 30
Basic Analysis of Improved Y
Randomness Study Normality Study
Randomness, Shape , Spread & Centering Study
Spread Study
Central Tendency Study
Improve
10/4/2014 31
Pre-Post Analysis of Project Y
Statistical Validation of Impact
Graphical Depiction Hypothesis Result
Inference :
Improve
10/4/2014 32
Pre-Post Analysis of Project Y
Statistical Validation of Impact
Graphical Depiction Hypothesis Result
Inference :
Improve
10/4/2014 33
Pre-Post Analysis of Factor
Statistical Validation of Impact
Graphical Depiction Hypothesis Result
Inference :
Improve
10/4/2014 34
Pre-Post Analysis of Factor
Statistical Validation of Impact
Graphical Depiction Hypothesis Result
Inference :
Improve
10/4/2014 35
Pre-Post Analysis of Factor
Statistical Validation of Impact
Graphical Depiction Hypothesis Result
Inference :
Improve
10/4/2014 36
Pre-Post Analysis of Factor
Statistical Validation of Impact
Graphical Depiction Hypothesis Result
Inference :
Improve
10/4/2014 37
Improve Summary Take Aways
Improve
10/4/2014 38









1. Control Plan & FMEA on Control Plan
2. Time Series Study of Y Pre & Post
3. Control Charts & Inference for Y Pre & Post
4. Basic Analysis of Improved Y
5. Establish Process Capability
6. Control Charts & Inference (for X1)
7. Control Charts & Inference (for X2)
8. Cost Benefit Analysis and Sign Off











Control
10/4/2014 39
Control Plan & FMEA on Control Plan
Whats Controlled Goal/Spec Limits Control Method
Who/What
Measures
Where
Recorded
Decision
Rule /
Corrective
Action
SOP
Control
10/4/2014 40
Time Series Study of Y Pre & Post
Control
10/4/2014 41
Control Charts & Inference For Y Pre & Post
Control
10/4/2014 42
Basic Analysis of Improved Y
Randomness Study Normality Study
Randomness, Shape , Spread & Centering Study
Spread Study
Central Tendency Study
Control
10/4/2014 43
Z Bench
(Long Term Sigma)
Short Term Sigma
(Long Term Sigma +1.5)
Process Capability Post Implementation
Establish Process Capability
Control
10/4/2014 44
Control Charts & Inference (For X1)
Control
10/4/2014 45
Control Charts & Inference (For X2)
Control
10/4/2014 46
Cost Benefit Analysis & Sign Off
Benefit Source Unit Benefit Units Impacted Total Benefit
Cost Reduction
Enhanced Revenues
Labour Reduction
Decreased Overhead
COPQ Cost Reduction
Control
10/4/2014 47
10/4/2014 48
What to see more of Want to see less of












Stakeholder Analysis
10/4/2014 49
Indicators Definition
Terms & Definitions Used
10/4/2014 50

RASIC Chart for Define & Measure





Responsible
Solely and directly responsible for the activity (Owner) -
Includes approving authority (A)
R
o
l
e
s

Approve
Reviews and assures that the activity is being done as per
expectations
Support
Provides the necessary help and support to the owner
Inform
Is to be kept informed of the status/progress being made
Consult
Is to be consulted for this activity for inputs
Activities
Pre- DMAIC
Collect VOC from all stakeholders
Conduct Stakeholder analysis
Collect data for the last 12 months
Analysis of data
Report out on the Pre DMAIC Analysis
Create Project Charter
Send Charter for Executive Approval
Approve Charter
Build SIPOC
Build Process Map
Build the data collection plan
Get the DCP Approved
Approve DCP
Collect Data
Validate data
Publish next steps to stakeholder
RASIC