CBS Newsman Eric Sevareid once said, “The chief cause of problems is solutions.” Every organization engages in process improvement activities, but too often, these activities also have unintended negative consequences. A small mistake can cost a company millions of dollars and hundreds of jobs, should a recall or lawsuit follow. One cannot stop or eliminate this risk entirely. One can only hope to manage it.
With all the improvement projects being implemented, the probability of unintended negative consequences as a result of these projects has increased significantly. Failure Mode and Effects Analysis (FMEA) is a structured technique to analyze a process to determine and prioritize shortcomings and opportunities for improvement. When used properly, this technique identifies and evaluates the severity of a potential failure, the likelihood that the failure will occur, and the chance of detecting that failure to determine and manage the overall risks and minimize future problems.
Incorporating risk management into the improvement process can eliminate, or at least minimize unintended negative consequences that might result from these solutions. This talk will focus on how to use risk management techniques when developing and implementing process improvements.
Participants should have some previous experience with process improvements or risk management, but otherwise, this talk is applicable to all levels, especially management, as it covers underlying principles in a simplified format. (These are often overlooked in other basic and intermediate how to courses.)
Areas to be Covered:
Steps for constructing an FMEA, including assigning quantified values to risks for analysis and prioritization
Benefits of Risk Management combined with FMEA
Strategies to mitigate and reduce risks
Techniques for communicating failure risk to those responsible for future process improvements
Common mistakes in developing and using FMEAs and how to avoid them
Who will Benefit:
Process Improvements Teams
Design Engineering Teams
Teams responsible for developing FMEAs or implementing process improvements
Executives responsible for the risk management program