THEME DESCRIPTION

Doc Mgmt IS & IT Software Tools Testing Facilities Problem Solving

Control revisions and submittals Basic IT platform & tools Appropriate engineering tools Test bench / Simulator / Lab
4Q is ABBs own structured problem
solving methodology.
Standard Work Gated Process Change Management Design for Excellence Process Control
Common librairies and templates Design review process From design freeze to end of life DFX principles in design phase Use CTQs&KPIs to drive OPEX
Safety Skillset Management Skills for Improvement People Engagement
Best Practice &
Knowledge Sharing
Keep our people safe Matrix for development plan Ability to do 4Q
People are engaged and recognized for
their efforts in continuous improvement
projects
Best practices and knowledge are
shared at various levels within ABB and
with external communities
Tender Execution Risk Management S&O Planning Value Chain
Involvement in quotation process Risk analysis at quotation Forecast and capacity planning front end and back end coordination
CCRP OTD OPQ
process is well understood,
communicated and executed
Orders delivered on-time as a % of total
orders
OPQ parameters for Engineering are
measured and used to drive Opex
initiatives
Sales & Operations Integration and support with Sales Channel
Quality Systems
Standardization
Process & Design Control
People People & Knowledge management
Performance Key performance indicators
THIS SHEET IS USED AT A TOP LEVEL TO DETERMINE THE THEMES AND CRITERIA FOR THE ENGINEERING OPERATION MATURITY ASSESSMENT (EOMA)
Operation Basics
Basic tools and skills to execute.
What's needed to get the job done.
CRITERIA
Theme Criteria Description Comment
Operational Basics Document Management Document management, structure, document properties,
document review, version controls, reuse, knowledge sharing of
document
Operational Basics IS & IT Infrastructure IS & IT infrastructure means network environment, hardware for
internal use including basic software systems such as ABB systems,
Microsoft product etc.
SJ: As discussed in telecon, Engineering has very little control over this but we still want the assessment to be
done in order to communicate the feedback and initiate actions.
Operational Basics Software Tools Engineering software programs and tools are approriate, best in
class, maintained and up to date.
Operational Basics Testing facilities Test environment, Hardware,
Link to customer sites
Labs - equipment -
Quality Systems Standard Work Level of standardization and automation between projects.
Standard libraries means standard documents for design, FAT,
SAT, OAT.
Standard libraries for served businesses/processes and ABB
products
Quality Systems Gated Process Project execution is divided into a documentated gate process.
At a basic level: Kickoff, Preliminary Design, Detailed Design,
Material Releases, Transfer to mfg/test, FAT, Close Out.
Telecon: Make sure the customer has a place in this process
Quality Systems Change Management Process to approve and communicate changes within a project or
a product/system lifecycle. This process is initiated once the
design has reached a certain level of maturity (eg. Design Freeze).
PN: Part of Project management ? SJ: It will certainly also appear in Project mgmt but I think it belongs here as
well. Engineering is heavily involved in this process, we want them to reflect on this and provide their
assessment.
Telecon: Make sure the customer input has a place in this process.
Quality Systems Process Control Use of CTQs & KPIs to ensure that the process is working and
allows us to meet requirements and objectives. Results used to
drive OPEX initiatives.
People Safety Keep our people safe.
People Skillset Management Matrix for development plan and cross training. PN: Competence planning, PDA, Talent, "Blue Fish"
People Skills for Improvement Ability to do 4Q
People People Engagement People are engaged and recognized for their efforts in continuous
improvement projects.
PN: job satisfaction, carreer road,
SJ: Job satisfaction is measured in Performance. I do agree that this section could be broader than simply
encouraging improvement projects. Career road could be covered in Skillset Mgmt.
People Best Practice and Knowledge
sharing
Best practices and knowledge are shared at various levels within
ABB and with external communities
Sales and Operations Tender execution Involvement in quotation process, mostly for products or systems
that require some level of custom design prior to manufacture;
e.g. large power transformer or large motor.
Telecon: Make sure to emphasize the importance of reviewing and meeting customer specifications.
Sales and Operations Risk managment Risk analysis at quotation. Raise early appropriate flags for items
where we are lacking history (new customer/contracters, new
technology, broader scope, etc.)
Telecon: Make sure to emphasize the importance of reviewing and meeting customer specifications.
Sales and Operations Sales & Operations Planning
(S&OP)
Decision-making processes to balance forecasted demand and
available capacity. Planning of human and material resources.
Performance Customer Issue Resolution The standard ABB way of dealing with customer complaints is well
understood, communicated and executed.C9
Performance On Time Delivery (OTD) Orders delivered on-time as a % of total orders. PN: More engineering specific - documentation, code, test etc.
Performance Cost Savings Measured and recorded in SFDB SJ: This is the only criteria where we associate a Maturity level (1 to 5) to an actual performance value (except
also found in level 5 of Safety). Can a given target number really apply globally? It's a copy from MOMA, does it
apply to Engineering?
Performance Employee Satisfaction Satisfaction survey and projects Telecon: This is not widespread in the business. Agreed to leave it here if it is promoted by HR globally as a task
for top level managers. But who sends such surveys? HR or managers? What is the Global policy? We should
refer to it.
Performance OPQ - Opportunity for
Perfecting Quality
(old COPQ)
OPQ parameters for Engineering are measured and used to drive
Opex initiatives.
Telecon: Capture all elements of Productivity or at least refer to Productivity here or elsewhere.
1 2
Document
manage-
ment
Document management, structure,
document properties, document
review, version controls, reuse,
knowledge sharing of document
No system in place -
No Structure
No system in place -
local file structure in
place
IS & IT
infrastruc-
ture
IS & IT infrastructure means
network environment, hardware for
internal use including basic
software systems such as ABB
systems, Microsoft product etc.
No IS & IT structure
in place
IS & IT structure in
place - security and
recovery plans are not
in place
Software
Tools
Engineering software programs
and tools are appropriate, best in
class, maintained and up to date.
No structure in place
for engineering
software
Engineering software
is only controlled by
the users
Testing
facilities
Test environment, Hardware,
Software
Link to customer sites
Labs - equipment -
No testing facilities in
place
Testing facilities is in
placed - but not
sufficient to the actual
business - testing
limited
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
Criteria Description
MATURITY LEVEL

Operational Basics Operational Basics
Problem
Solving
4Q (Four Quadrants) is ABBs own
structured problem solving
methodology. 4Q seeks to identify
the root cause of a problem and
solve it in a sustainable way. The
quadrants of 4Q are:
Q1 Measure (understand the
current state),
Q2 Analyze (find the root cause),
Q3 Improve (test solutions),
Q4 Sustain (make the change
permanent and monitor).
Cross Functional Team: An
improvement team that has
members from all the functions
needed to diagnose the root cause
and develop and implement a
solution. An example; improving
the quality of invoices might need a
team with people from Finance,
Sales and IT.
Reactive problem
solving by firefighting.
Active problem solving
but not with ABB 4Q
root cause analysis or
equivalent.
Average score
3 4 5
Document management
system in place - review
and version control - no
reuse and knowledge
sharing
Document
management system
in place - high reuse
and knowledge
sharing but no
performance is
measured
Document system and
management - high
reuse and knowledge
sharing - performance
is measured and
increasing
2.5 3
IS & IT structure in place
- security plans are in
place but no
performance is
measured
Fully integrated IS &
IT structure in place -
high performance,
high security, recovery
plans are not in place
and performance is
measured
Fully integrated IS & IT
structure in place - high
performance, high
security, recovery plans
are in place and
performance is
increasing
3 2
All engineering software
programs needed for
operations are in place
All engineering
software programs
needed for operations
are registered central
and supervised for
upgrades and
changes
All engineering
software programs
needed for operations
are registered central
and supervised for
upgrades and changes
innovation for finding
new software to
increase performance
are in place
2 2.5
Testing facilities is
according to the
business - do not fulfill
all customer
requirements
Testing facilities is
according to the
business - easy and
ready to use - up to
date, fulfills all
customer
requirements
Testing facilities is
according to the
business - performance
is measured - high
quality - low cost
2 2
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
Operational Basics Operational Basics
Active problem solving
by using ABB 4Q root
cause analysis or
equivalent.
Active problem
solving by using ABB
4Q root cause
analysis or equivalent
and cross functional
teams used where
appropriate.
Active problem solving
by using ABB 4Q root
cause analysis and
there are clear
evidence of effective
resolution of issues.
1 3
2.1 2.5 Average score
Revision
on
Drwns,
But not
on other
docs. No
overall
Doc cnt
system
Our
Opinion,
but
maybe if
IT asked
they
would
rate
higher
Have
Autocad,
Procon,
Civil CAD
Civil
covergae
is good,
but Elec
lacking -
use
INOPC
No that
applicabl
e to SS -
no real
FAT . But
Civil okay
( 3) but in
Site
testing
Only
recently
started
rolling
out 4Q
process
to PMs
Changes
to
Organisa
tion with
PMs now
in LBU.
Engineer
s store
data on
their
1 2
Planning
How engineering efforts are
estimated and planned.
Projects are planned to the
milestone level.
Projects are planned to the
major task level. Tasks are
assigned to a specific
person.
Execution
How engineering efforts are run.
Tasks are assigned and
followed up by the project
manager through the
engineering functional
manager. Status meetings
at milestones.
Tasks are assigned and
followed up by the project
manager. Status meetings
every week or 2 weeks.
Knowledge
Management
How is engineering knowledge and
competence managed.
Critical product related
design knowledge is
mostly in the heads of
individual engineers.
Critical product related
design knowledge is
created and codified when
needed and is available to
other engineers.
Knowledge owners exist.
Customer Need
Knowledge
Capture
How customer requirements are
captured for quotation and design.
Customer needs
information is in the form
of specifications. The
design is made to the
specifications.
As level 1 plus there is a
customer specification
process and checklist to
ensure all relevant
information is captured
before working on a
quotation
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
Criteria Description
MATURITY LEVEL

Quality Systems
Supplier
Integration
How suppliers are involved during
the engineering phase.
Engineering is not actively
involved in supplier
selection. Designs are
made according to generic
industry standards.
Supplier selection is based
on cost and other factors
after parts are designed.
Engineering is sometimes
involved in the selection
process.
Average score
3 4 5
As level 2 with a staged gate
governing level to manage
risk. Tasks are assigned to
competence pools.
As level 3 with Last
Planner method used to
develop detailed plans.
Strategic time buffers are
included in the plan.
As level 4 with visual
techniques used to plan
according to resources on a
weekly basis. The engineers
who will do the work develop
the detailed weekly plan.
Customers can also be
involved in this detailed
planning process.
2
As level 2 with daily or every
other day task meetings.
Plans are re-scheduled if
there is slippage.
Daily stand-up task
management meetings.
Task are released for work
only when all prerequisites
and resources are
available. Time buffers are
managed on a daily basis.
Issues are resolved
rapidly.
As level 4 plus engineers
work in pairs on each design
task.
2
As level 2 plus engineers are
trained were to find and how
to apply codified knowledge
within projects. Engineers are
encourage to develop deep
skills in critical knowledge
areas.
As level 3 plus systematic
problem solving e.g. 4Q is
used to create new
knowledge on demand
through rapid knowledge
capture sprint / scrum
cycles. This new
knowledge is integrated
with existing knowledge for
future projects.
As level 4 plus projects are
split between functional
knowledge development
projects and customer
projects. Customer project
tasks do not start unless all
critical knowledge is
available for task execution.
1
As level 2 plus there is a
constant dialog with the
customer to ensure needs are
met. This may involve
changing the original order
specification.
As level 3 plus the use of
anthropological methods to
reveal hidden needs and
uncover mistakes in the
original order specification.
As level 4 plus customers
are involved continuously
throughout the engineering
phase to ensure detailed
needs are also met.
1
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
Quality Systems Flow
There is a supplier selection
process in place. Suppliers
sometimes participate in
engineering.
Engineers and suppliers
work together to develop
many components and
subsystems.
Suppliers are involved at the
design concept development
phase and are expected to
participate by suggesting
alternatives
2
1.6 Average score

4
3
Do some
of the
items at
higher
levels as
described
in tasks
4
4
4
3.8
1 2
Standard
Work
Level of standardization and
automation between projects.
The starting of a
project might be
based on a previous
baseline but most
tasks are manually
repeated.
Existing templates for
drawings and
documentation for
most commonly used
products/systems.
Gated
Process
Project execution is divided into a
documented gate process.
At a basic level: Kickoff,
Preliminary Design, Detailed
Design, Material Releases,
Transfer to mfg/test, FAT, Close
Out.
Project flows evolves
somewhat at random.
Kickoff meetings and
reviews do occur but
the events are not
clearly defined or
performed in the same
fashion.
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
Criteria Description
MATURITY LEVEL

Quality Systems Quality Systems
Change
Management
Process to approve and
communicate changes within a
project or a product/system
lifecycle. This process is initiated
once the design has reached a
certain level of maturity (e.g..
Design Freeze).
Changes are
communicated
verbally or by email
without an official
tracking and approval
process.
A logging system is
used to document
basic information on
design change
requests.
Design
for
Excellence
Use the various DFX tools to
optimize designs for reliability,
manufacturability, cost, etc.
Little or no
information available
on DFX tools and
usage.
Basic trainings
provided to
Engineering team on
DFX principles and
tools. There is a
general knowledge of
the philosophy.
Process
Control
Use of CTQs & KPIs to ensure that
the process is working and allows
us to meet requirements and
objectives. Results used to drive
OPEX initiatives.
Little or no
information available
on process
performance.
Customer
requirements are
understood as Critical
to Quality (CTQs).
Average score
3 4 5
Templates are updated
on a regular basis,
incorporating latest
improvements, with
proper revision control
and approval.
System in place
allowing automated
configurator to
generate drawings
and doc baseline from
specifications.
System is robust, user
friendly, maintained
regularly and can
generate a
comprehensive
baseline for >80% of
projects.
1
Each gate is defined
with a protocol,
attendance
requirements, checklists,
and deliverables.
Customer specifications
are maintained up to
date and reviewed at
several critical gates.
Customer awareness is
strong and a driving
force in making design
decisions.
At project start, the
timeline of each gate
is established, tracked
and deviations
documented.
Progress is measured
and compared to
remaining budgeted
hours. Deviations are
flagged early and
throughout project.
Process is mature and
widespread in the unit.
Close Out gate is used
for input into a Lessons
Learned database
which serves as one of
the references
throughout the gate
process.
2
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
Quality Systems Quality Systems
A documented process
is in place with
instructions on
steps/flow, groups
involved and approvals
required.
Process supports
efficient response to
customer comments and
modifications.
The system has a
certain level of
automation for
generating
notifications,
reminders, delay
timeouts, etc.
The system allows
gathering of statistical
data for analysis
(origin, cost, root
cause, etc.).
The process runs easily
on a day to day basis
and is the starting point
of any design change.
The data is reported
and reviewed on a
regular basis for
continuous
improvement activates.
1
Process and checklists
are in place to apply,
verify and challenge
engineering designs on
various apects of DFX.
Design reviews allow
sufficient focus on
reliability and cost.
Evidence of DFX
checklists. Design
documentation
include considerations
and decisions related
to DFX aspects
beyond basic
customer
requirements.
DFX is widespread in
the unit and is the basis
for continually
improving design
reliability and cost.
1
Process is in place for
OPQ (as measured in
"Performance tab") to be
evaluated by
engineering at several
points in the project.
Measurement is
sufficient to develop
an SPC dashboard.
SPC based on
projects OPQ are
used to drive
corrective actions.
SPC is widespread in
the unit and is the basis
for continually
improving process
capabilities.
1
1.2 Average score
2
2
2
1
Team
and
myself
did not
know
about
this
approac
h
3
2
1
Safety
Keep our people safe.
Safety rules created as a
reaction to incidents.
Skillset
Management
Matrix for development plan and
cross training.
Training are identified and
provided for primary job
role.
Continual
Improvement
Ability to do 4Q
People not trained in
systematic improvement
skills.
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
Criteria Description
MATURITY LEVEL

People
Engagement
People are engaged and
recognized for their efforts in
continuous improvement projects.
No formal process or
recognition for
contribution towards
continual improvement.
Best Practice
and
Knowledge
sharing
Best practices and knowledge are
shared at various levels within ABB
and with external communities
No evidence of transfer of
Best Practices and
knowledge sharing.
Average score
2 3 4
Risk assessments
performed and PPE used
as required. Safety rules
are issued to visitors and
enforced. Basic safety
training required for all
new recruits.
Accidents recorded,
displayed and escalated.
Regular Safety
Observation Tours
performed
Near-miss incidents plus
unsafe conditions and
situations analyzed and
mitigations put in place to
prevent them in the future.
Everyone has a personal
commitment to safety.
Cross training is done and
effectiveness of training is
measured.
Skills Matrix is established
across engineering
organization and used.
There is established tool
for skillset management,
which helps in
assessment and
validation of skills and
provides information
boards (MIS) and used
formally in training,
Resource Planning.
Some training in
systematic improvement
skills done (ABB 4Q or
equivalent).
The people actually doing
the work are trained in
ABB 4Q or equivalent and
always involved in
improvement.
Projects (ABB 4Q or
equivalent) are tracked by
management and
information made
available across
organization (MIS).
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
People People
People are asked for their
improvement suggestions.
Customer awareness is
strong among the team
and a driver for
improvements.
Good suggestions
become improvement
projects.
Improvement project
success is recognized
with periodic public
awards with emphasis on
how this relates to better
serving our customers.
Local transfer of Best
Practices and knowledge
sharing between work
areas. Formal tools
available for Best Practice
sharing and Knowledge
sharing.
Transfer of Best Practices
from other ABB units.
Effective use of
collaboration tools like
Team Space, Yammer.
Awareness of Best
Practice Framework on
Inside to drive local
processes.
Team spirit reflects a
spontaneous attitute to
help.
Transfer in of Best
Practices from outside of
ABB.
Average score
5
No recordable incidents in
the last 12 months. Safety
is managed by
empowered teams with
interdependent culture.
3 3
The result that there is a
truly flexible multi-skilled
work force.
1 3
Clear evidence of
improvement project
successes.
1 3
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
Improvement project
success is a requirement
for promotion or role
change. Skillset
Assessment is fully
integrated to PDA process
as well
2 3
Best Practices transferred
out to other ABB units or
outside ABB.
1 3
1.6 3 Average score
PS have
started
Journey
of
Excellen
ce
Dont
meet 1-
no
recogniti
on, but
meet 2
Big jump
between
1 & 2;
No
formal
tools
available
Civil has
the tools
but Elec
has
none
1 2
Tender
execution
Involvement in quotation process,
mostly for products or systems that
require some level of custom
design prior to manufacture; e.g.
large power transformer or large
motor.
Tender execution is
ad hoc and not
handled in a
standardized way
A standardized tender
execution
system/process is
used.
Value Chain
Coordination
Front end and back end
departments come together on
predefined intervals to discuss
tendering hit ratios and share
customer feedback on price, OTD
and quality.
No process in place
to drive front and
back end continuous
improvement
meetings.
Information sharing
between front and
back ends is mostly
informal and rarely
leads to 4Q projects.
Risk
management
Risk analysis at quotation. Raise
early appropriate flags for items
where we are lacking history (new
customer/contractors, new
technology, broader scope, etc.)
Risks are reviewed ad
hoc and not handled
in a standardized way
A process exists to
identify risks early
Criteria Description
MATURITY LEVEL
Sales and Operations
Sales &
Operations
Planning
(S&OP)
Decision-making processes to
balance forecasted demand and
available capacity. Planning of
human and material resources.
No evidence of
S&OP.
S&OP established and
running.
Average score
3 4 5
On-Time production of
quotations is measured
towards end customer.
On-Quality and On-
Time production of
quotations is
measured during the
whole tendering
process
On-Quality and On-
Time trends are good
and stable or
improving.
2 2
Meetings are scheduled
on a regular basis to
share sales
performance, cost
awareness and
customer feedback with
Engineering and other
back end departments.
Evidence of
Engineering driven 4Q
projects based on
collaboration with the
Sales department.
Driving Design for
Cost and Design for
Quality.
Engineering 4Q
projects in collaboration
with Sales are
widespread and
evidence of measured
data driving continuous
improvements.
1 3
Standard processes
and/or checklists are
used to mitigate and
quantify risks.
Risk mitigation actions
and/or provisions are
documented with the
bids.
A category in OPQ is
used to capture scope
miss at bid stage.
Process is widespread
and evidence of
measured data driving
continuous
improvements.
1 3
MATURITY LEVEL
Sales and Operations
All engineering
departments and
suppliers have visibility
so they can adjust their
operations.
Forecast accuracy is
measured and
improved.
Trends are good and
stable or improving.
1 2
1.25 2.5 Average score
Some
descripti
ons
should
emphasi
se
engineer
s
involvem
ent
1
Customer Issue
Resolution
The standard ABB way of dealing
with customer complaints is well
understood, communicated and
executed.
No process for
customer issue
resolution.
On Time
Delivery (OTD)
Orders delivered on-time as a % of
total orders.
OTD not measured
and displayed.
OPQ -
Opportunity for
Perfecting
Quality
(old COPQ)
OPQ parameters for Engineering
are measured and used to drive
Opex initiatives.
No information on
OPQ.
Average score
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
Criteria Description
MATURITY LEVEL

2 3 4
CCRP or equivalent
used and performance
statistics published.
Management reviewing
performance and setting
improvement targets.
Projects (4Q or
equivalent) focused
on customer issues.
OTD measured and
published.
The drivers for OTD are
clearly known,
understood and
management is
reviewing performance
and setting improvement
targets.
Projects (4Q or
equivalent) focused
on OTD and Lead
Time reduction.
OPQ tracked in OpX-
Analyzer.
Management reviewing
performance and setting
improvement targets.
Projects (4Q or
equivalent) focused
on OPQ and with
>30% of all categories
measured.
Average score
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
Performance
5
Trends are good and
stable or improving.
2 2.5
Trends are good and
stable or improving.
2 2
Publishe
d but not
obviousl
y
distrubut
ed to all
staff
Trends are good and
stable or improving and
with > 50% of all
categories measured.
1 1.5
####
###
2 Average score
EOMA - ENGINEERING OPERATION MATURITY ASSESSMENT
MATURITY LEVEL
Term
4Q
5S
Accident
Buffer
CCRP
Configurator
Constraint
Control Charts
COPQ
Critical to Quality
(CTQ)
Cross functional
team
Cross training
DFX
Engineer To Order
(ETO)
Flop 10
Flow
FMEA
Gemba
Hit Rate (sales)
Incident
JIT
Kanban
Kraljic analysis
Load leveling
MRP
OpX-Analyzer
OTD
Poka-Yoke
Process capability
Sales & Operations
Planning (S&OP)
SFDB
Skills matrix
SMED
SMT
SPC
Supermarket
Supplier Quality
Process
Takt
TOC
Total Productive
Maintenance (TPM)
Value Stream
Mapping (VSM)
WIP
Visual Management
System (VMS)
Description
4Q (Four Quadrants) is ABBs own structured problem solving methodology. 4Q seeks to identify the root cause of
a problem and solve it in a sustainable way. The quadrants of 4Q are:
Q1 Measure (understand the current state),
Q2 Analyze (find the root cause),
Q3 Improve (test solutions),
Q4 Sustain (make the change permanent and monitor).
5S is a workplace organization methodology that is executed in 5 steps. The S refers to five Japanese words
which describe the steps: seiri (sort), seiton (set in order), seiso (shine or clean), seiketsu (standardize) and
shitsuke (sustain through self discipline).
Something un-safe that happens and causes an injury.
Buffers: A buffer in this context is a quantity of raw material or work in process that is before a work station. The
workstation can work as long as there is material in the buffer.
Customer Complaints Resolution Process. The standard ABB way of dealing with customer complaints.
An IT tool which allows customers to specify a product from standard components. Typically available on-line.
In the context of work flow, a constraint is the operation or resource where the demand put upon it exceeds its
capacity. Sometimes called a bottleneck.
A graphical representation of a process parameter or outputs performance in time in relation to its natural limits
and average. It records measurements / counts and highlights variation within and outside Control Limits (not
Specification Limits). Also called a Run Chart.
A Control Chart with Centre Line, Upper Control Limit (UCL) and Lower Control Limit (LCL), allows quick visual
evaluation of process quality and makes detecting specific types of out-of-control triggers easy. A Control Plan
specifies what data needs to be observed with Control Charts. A Reaction Plan describes what to do when out-of-
control triggers occur, to bring the process back in control.
Cost Opportunity of Poor Quality or Cost of Poor Quality. That is, how much does it cost for things like rework and
scrap to ensure that the product shipped to the customer is "On-Quality". A simple example; if a product costs $100
to make and test but there are always 2% rejects then there is a cost opportunity of $2. That means if you fix the
quality problem ABB will make $2 more on the bottom line.
Critical To Quality means the things the producer can (and should) measure in the process to ensure they meet the
customer requirements.
Cross Functional Team: An improvement team that has members from all the functions needed to diagnose the
root cause and develop and implement a solution. An example; improving the quality of invoices might need a team
with people from Finance, Sales and IT.
The idea of training operators in more than one job.
Design for Excellence. Design for X is a philosophy, which is commonly regarded as a systematic and proactive
designing of products to optimize total benefits over the whole product life-cycle. This involves different
methodologies for product design and optimization, like Design for: Manufacturing, Assembly, Variety or Late
Customization, Serviceability, Reliability, Environment, etc.
A manufactured product that requires some level of custom design prior to manufacture; e.g. large power
transformer or large motor.
A method to improve supplier quality. The "10" refers to the 10 lowest performing suppliers of a unit. There may be
more or less than 10. Follow the link to learn more.
The concept of uninterrupted value added in operations. Value is added in a continuous fashion even in discrete
manufacturing. Flow cannot happen when there exist large buffers of work in process, because no value is added
while parts are waiting in buffers.
FMEA: Failure Mode Effects Analysis - Systematic method of risk assessment for identifying and preventing
product & process problems before they occur. Identify ways the product or process can fail and eliminate or
reduce the risk of failure in order to protect the customer. Always done as a team exercise. Process: Select Team,
define roles scope product/process; Identify Functions and Failure Modes. Step 1: Define Failure Effects, Severity
& critical actions. Step 2: Define Causes, Occurrence and calculate risk priority number (RPN) Define critical
Actions. Step 3: Define preventive (P) & detective (D) Controls & Actions to reduce RPN.
Gemba is a Japanese word meaning "the place." The idea of a Gemba meeting is to hold it at the workplace. Not in
a separate meeting room but at the place where the work takes place. This allows meeting attendees to see what
is actually happening whilst they discuss issues.
The number of successful quotations divided by the number of quotations made.
Something un-safe that happens but does not cause an injury. Also called a 'near miss'.
Just In Time. The idea that anything produced before it is needed is waste. Material or information is only available
just when it is needed and not before. JIT seeks to reduce inventory and work in process.
Kanban a Japanese word for "card." It is a technique used to signal downstream demand so material is pulled
through the process. The actual Kanban can be a physical signal such as a small card, an empty container or a
vacant space designated in the work area. Kanban provides production conveyance and delivery information. In
its purest form the system will not allow any goods to be moved within the facility without the appropriate Kanban
(signal) associated with the goods. Kanbans are designed to minimize WIP. Kanban is a form of visual
management. See VMS.
An analytical method developed by Peter Kraljic of Mckinsey to choose purchasing strategies according to the
dimensions of market complexity and purchasing importance of raw materials, parts and components.
The idea of assessing total customer demand over a period then using this information to work out the average
demand per hour/shift/day/week. Then designing the process to run at this average speed. Thus the "load" on the
process would be "level".
Manufacturing Resource Planning. The idea of planning all manufacturing steps rather than allowing actual
customer demand to pull products through the manufacturing process.
The internal ABB tool used to capture organizational performance KPIs.
On Time Delivery. Orders delivered on-time as a % of total orders.
Term used to describe the innovation to reduce or eliminate the chance of making an error or a mistake when
making something. Sometimes called error proofing or mistake proofing.
The capability of a process to meet its' requirements (specification).
There are a variety of measures and a diversity of terminology applied to these:
The capability may be estimated from the data within a single sample. This is referred to as the Within Capability.
Also known as the Short Term or Potential Process Capability, the Process Entitlement, Preliminary Process
Capability, Performance Index or the Process Potential.
Where the capability is determined from data between many samples over a longer period of time it is referred to
as the Between Capability. Also known as the Long Term or Overall Process Capability or the Capability Index.
The indexes of capability may be quoted irrespective of process centering. These are the Cp & Pp indexes. The
indexes of process capability which reflect the off-centre measure of the data are the Cpk & Ppk indexes.
The units of measure of these indices are Sigma Levels - the number of sigmas between the mean and the
Specification Limits.
Sales and Operations Planning. A set of decision-making processes to balance forecasted demand and available
capacity.
Savings & Forecast DataBase. An internal ABB tool used to capture cost savings due to Supply Chain
Management (SCM) actions. Link to SCM.
A matrix with individuals on one axis and jobs on the other. Used to see what opportunities there are for doing more
cross training to increase flexibility.
Single Minute Exchange of Dies; The idea of reducing set up times for equipment to reduce batch size. SMED
reduces the economic batch size and thus lower work in process.
Strategy Monitoring Tool. An internal ABB tool used to capture cost savings. Link to SMT.
Statistical Process Control. The use of measurements and statistics to efficiently monitor and control the quality
produced by a process.
Supermarket: A set of Kanban replenished intermediate inventories used to build product, in a single location in a
process. It is used to support flow lines where JIT for these parts is not possible e.g. Small cheap screws which you
would not supply onto a production line one at a time when needed but supply in batches.
The process inside Flop 10 that describes the steps for assisting suppliers to improve their quality. See Flop 10.
The customer demand averaged over the time available to fulfill it. For example, if the customer demand is 70 units
per day and working time is 7 hours per day, then tact time is 10 units per hour or 1 unit every 6 minutes.
Theory of Constraints. The concept that in any system the output is limited by a constraint, either internally or
externally. In a business, the profit is limited by a constraint, either internal capacity (efficiency) or external supply or
demand. See Constraint.
Total Productive Maintenance. The idea of integrating planned equipment maintenance into schedules to eliminate
losses due to unplanned maintenance and breakdowns.
The technique used to analyze then re-design the flow of materials and information required to bring a product or
service to a customer, The aim of VSM is to reduce the non-value added time work flows through an organization.
Work In Process. The amount of inventory in the process.
The idea of having the right information visible in the right place to allow everyone to understand current
performance and what to do next.
Link (if available)
http://inside.abb.com/GF-
QO
http://inside.abb.com/ccr
p
http://inside.abb.com/caw
p/gad00634/e3e1ae03e55
62ccf85256be4006f5832.a
spx
http://inside.abb.com
/cawp/gad00851/f7a
258c7778374d2c125
723d002cd079.aspx
http://inside.abb.com
/cawp/gad00072/e98
4ce540ee52ba9c125
725d0035c2e0.aspx
http://inside.abb.com/caw
p/gad00634/e6ac42f1beb
b47458525760f006257e0.
aspx
http://inside.abb.com/caw
p/gad00051/73d91f04679
8e27ec1256a85004814c5.
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http://strategy.abb.com/G
LOFO_OPEX/
http://en.wikipedia.org/wiki/Theory_of_constraints#The_five_focusing_steps
1 2 3 4 5
Nothing is in place, or
something exists but
at a very basic levels
(we find both in the
various MA
documents)
some progress some more progress
At this point, all
elements are in place,
they at least exist in
principle.
Here we find keywords
such as "Widespread",
"Mature", "Evidence of
success", "Used to
drive continuous
improvement", etc.
I thought this might be useful to help with the coherence of what it means to be a "1" or a "5"..to be discussed
MATURITY LEVEL
COMMENTS

Operational Basics Guidelines on Maturity Levels