R&D PROJECT: 3.

28 SIX
SIGMA
Clearvision Communication

Chan Andreassend, Lucas | Nicole Capati, Kimberley

| Pablo, Joni
Version 1.0

TABLE OF CONTENTS
Contact Information........................................................................................................... 2
Client.............................................................................................................................. 2
Colleagues...................................................................................................................... 2
Supervisor....................................................................................................................... 2
Team............................................................................................................................... 2
Introduction....................................................................................................................... 3
Rationale............................................................................................................................ 4
Existing system............................................................................................................... 4
Why the project is needed.............................................................................................. 4
Scope................................................................................................................................. 5
Objectives.......................................................................................................................... 6
Project approach................................................................................................................ 7
Agile............................................................................................................................... 7
The Agile Manifesto........................................................................................................ 7
Four Key Values........................................................................................................... 7
12 Principles................................................................................................................ 8
Kanban............................................................................................................................ 9
How we will use Kanban.............................................................................................. 9
DMAIC........................................................................................................................... 10
How we will use DMAIC..............................................................................................10
Quality Assurance............................................................................................................ 12
Quality Assurance Requirements..................................................................................12
Validation and Verification Process................................................................................12
Communication Management Plan...................................................................................13
Roles, Skills, Knowledge................................................................................................... 14
Required IT-Specific Skills and Knowledge....................................................................14
Roles and Current IT-Specific Skills...............................................................................16
Cost Estimate................................................................................................................... 18
Labour Cost Estimate.................................................................................................... 18
Software Cost Estimate................................................................................................. 18
Materials Cost Estimate................................................................................................19

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CONTACT INFORMATION

CLIENT

Name

Email Address

Mobile Number

Sam Abraham

sam@clearvision.net.nz

027 487 3545

Name

Email Address

Mobile Number

Devendra Oak

oak.devendra@gmail.com

027 366 8960

Name

Email Address

Mobile Number

Greig Wakefield

greig.wakefield@xtra.co.nz

027 4892 676

COLLEAGUES

SUPERVISOR

TEAM

Name

Student ID

Email Address

Mobile
Number

Lucas Chan
Andreassend

13836608

lchanand@gmail.com

021 257 9968

Kimberly Nicole 1251343

Capati

kimbcapati@yahoo.com 021 074 7718

Joni Pablo

jonirpablo@gmail.com

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13827872

022 326 1992

Six Sigma

INTRODUCTION

Clearvision Communications is a telecommunications company situated in

Ellerslie, Auckland. They are a sub-contractor for Chorus, the company who is
responsible for laying fibre telecommunication lines throughout New Zealand.
Clearvisions role is to connect the home or business to the fibre exchange box.
They also provide a number of other services including wired and wireless
networking setup, installing aerial and satellite dishes, and home theatre system
setup.
Clearvision is currently using simPRO to track and manage jobs. It can integrate
with two other simPRO products; simPRO connect and simPRO eForms. These
allow for use on mobile operating systems and the ability to digitize paper forms
respectively. The company was founded in 2002 by Stephen Bradshaw and has
its headquarters situated in Queensland, Australia.
The aim of this project is to help Clearvision implement Six Sigma management
techniques to improve the efficiency of the company and become Chorus first
choice for installing fibre connections. Six Sigma was created in 1986 by senior
Motorola engineer Bill Smith. The technique revolves around the use of empirical
data and statistics to understand where in a company waste is being produced,
and therefore what aspects of the company need to be addressed.
Our project group will be performing data analysis on one of Clearvisions key
performance indicators (KPIs) and using it to find trends which allow us to come
make definitive conclusions on where waste is being produced. We will also
improve on Clearvisions current method for logging and monitoring jobs as
currently too many jobs are left incomplete. This leads to data inconsistencies
which is crucial when implementing Six Sigma practises. This document intends
to provide justification for the project, how we will plan and execute the project,
assure quality, and manage risks.

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RATIONALE

EXISTING SYSTEM

Clearvision utilises simPRO software for its job management needs. This
software-as-a-service (SaaS) allows Clearvision operatives to create a new job,
update its progression status, and close them once completed. The software also
has a multitude of other features such as quoting and cost estimation, reporting,
and stock management. Jobs can also be submitted in a hard copy format, which
an employee must then insert into the simPRO software.

WHY THE PROJECT IS NEEDED

Clearvision wants to become the leading sub-contractor for Chorus. To do so,

their first step is addressing the companys internal situation and improving the
overall quality of their product. Our client is intending to utilise Six Sigma
techniques to better understand what areas of his company can be improved
upon. Once improvements have been implemented, Clearvisions product quality
will ideally demonstrate to Chorus why they deserve contract priority over
competing companies.
Firstly, with the current system jobs are mostly inserted directly into simPRO
while hard copies of job submissions require an employee to enter them. We aim
to improve on the current system because too often jobs are not entered,
maintained, or closed correctly. Because Six Sigma relies so heavily upon
empirical data, Clearvisions will not be able to fully utilise these techniques until
their data has such properties. Therefore by implementing proper data
maintenance tools, techniques, and practises now, it will help in Clearvisions
future endeavours.

Secondly, for Clearvision to be the first choice for contract work, the company
will need to consistently operating at their peak efficiency, thereby building their
reputation through the quality of their product. Six Sigma provides a means of

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attaining that performance by stripping waste in the company so resources can

be better utilised elsewhere. Our aim for the project is to help Clearvision
implement Six Sigma practises by analysing their KPI(s) data to come to
informed, statistically-backed conclusions, which they then utilise.

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SCOPE

This project is divided into two phases. The first phase involves reviewing the
business processes of Clearvision to establish more robust data practices. The
second phase is where we will perform data mining and analysis on their lead
time KPI to ascertain where and how waste is being produced.
Phase one is where we will consult Clearvision employees on their business
process for initiating and managing jobs. They are currently using simPRO to
manage jobs for multi-dwelling units (MDUs) and spreadsheets for singledwelling units (SDUs). Our aim is to convert the operations team responsible for
SDU jobs to simPRO. We have decided to prioritise this phase because the overall
goal of our client is to become Six Sigma certified which requires robust data
management practices. Therefore, the purpose of this review is to instil best
practices which can be carried over in the future of the company when our
project is complete.
We will be hands-on with their system to understand exactly how the process of
creating, updating and closing a job is performed both in simPRO and on
spreadsheets. We will also be gaining feedback from employees during this
period to understand why the transition to simPRO has not happened yet.
Combining this experience and feedback, we will then establish a change
management plan with our recommendations for submission to our client.
Phase two involves data mining and presentation of job lead time data. We will
be using simPRO and Weka to extract, model and present our findings to our
client. Because MDU and SDU data is guaranteed to be split between simPRO
and spreadsheets, data will also be mined from those as well. The data will be
modelled and presented to the client to use for data analysis and conclusion
making. This will be performed by us, our client and other employees.

The statistics presented to the client will allow us to identify where in the process
waste is being produced. These areas can be targeted with solutions also devised
by us, our client and other employees. Depending on how long it takes us to

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finish analysing lead time, our client will also have us investigate another KPI but
this has not been finalised yet.

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OBJECTIVES

Our main objective for this project is to begin facilitating Clearvisions

implementation of Six Sigma practices into their business processes. In order to
facilitate this, we will first perform a business process review and start the
transition of moving the whole company over to simPRO job management
software. This is to instil best data management practices which is required for
Six Sigma. Without proper data integrity, consistency and durability Six Sigma
practices will not be able to be upheld over a long period of time i.e. the lifetime
of the company.

Secondly, we aim to present accurate data to our client which allows them to
understand exactly what is happening in their business. Using this data, our
project team, client and employees can make an educated solutions for how to
improve the lead time KPI. Once solutions have been fully implemented, we are
able to move on to another KPI. However, this is supplementary work and is not a
part of our two main objectives.

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PROJECT APPROACH

Our project is split into two distinct parts; refining the business processes of the
operations department and mining then analysing data from said department.
The latter falls under Six Sigma implementation and as such we will be using the
DMAIC methodology. For the first part of the project however we will be using an
agile approach, specifically Kanban.

AGILE

Agile process management refers to an iterative, highly-flexible approach to

project management. It is most often used in software development because of
how susceptible requirements are to change and this allows the team to deal
with that in a controlled manner. An agile approach is also applicable from a
change management perspective which is what we will be using it for. Agile
methods break down the entire workflow into manageable pieces called User
Stories, add them to a priority queue, and implement them as they are finished.
This gives more granular control over the final product and encourages
communication with the client on a frequent basis for their feedback. There are
many methodologies which fall under the Agile umbrella category. Variations
follow the same ideology but use a combination of terminology and practises to
make them unique.

THE AGILE MANIFESTO

This is a list of core values and principles devised by a mix of software

developers, project managers, and executives amongst others which capitalises
the thought process one should have when using an agile approach. The list is
taken specifically from a software development perspective, but can be modified
to also fit change management.
FOUR KEY VALUES

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1)
2)
3)
4)

Individuals and interactions over processes and tools.

Working software over comprehensive documentation.
Customer collaboration over contract negotiation.
Responding to change over following a plan.

In the manifesto it states that the items on the right should be disregarded, but
that you value items on the left more.
12 PRINCIPLES

1) Our highest priority is to satisfy the customer through early and

continuous delivery of valuable software.

o From our change management perspective, satisfaction from the
customer is through positive feedback from company employees
regarding changes.
2) Welcome changing requirements, even late in development. Agile

processes harness change for the customers competitive advantage.

3) Deliver working software frequently, from a couple of weeks to a couple of

months, with a preference to the shorter timescale.

o We will deliver tangible improvements frequently instead of working
software.
4) Business people and developers must work together daily throughout the
project.
5) Build projects around motivated individuals. Give them the environment
and support they need, and trust them to get the job done.
6) The most efficient and effective method of conveying information to and
within a development team is face-to-face conversation.
7) Working software is the primary measure of progress.
o For our project, positive feedback and tangible data is the primary
measure of progress.
8) Agile processes promote sustainable development. The sponsors,

developers, and users should be able to maintain a constant pace

indefinitely.
9) Continuous attention to technical excellence and good design enhances
agility.
10) Simplicity the art of maximizing the amount of work done is essential.
11) The best architectures, requirements, and designs emerge from selforganising teams.
12) At regular intervals, the team reflects on how to become more effective,

then tunes and adjusts its behaviour accordingly.

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KANBAN

Kanban is a methodology inspired by Toyotas production line which specifies

what to produce, when to produce it, and how much to produce. The idea is to
match production output with the teams production capacity. This is the core
principle of Kanban to have a continuous flow of output. This is done by only
focusing on tasks which are in progress, completing said task, and taking the
next one from the top of the prioritised backlog. Work in the backlog can be
freely prioritised or changed, because any changes made there does not impact
the work currently being done by the team. Kanban prefers to use visuals to
identify work in the backlog, work being done, and work completed. This is done
using a board divided into four or more columns (up to the teams discretion)
entitled backlog, work in progress, under review, and done. Tasks are added
using post-it notes (or the digital equivalent) and can be reorganised accordingly.
HOW WE WILL USE KANBAN

Kanbans greatest strength for us is its flexibility. We are a newly formed

team who will have to learn change management and project
management skills as we progress. As a result, we will have moments of
uncertainty where our task order or requirements will change and Kanban
gives us the freedom to adapt to these changes without impacting what
work we are doing or have done.

Kanban does not set specific dates for release. It will instead have a
continuous flow of delivery upon completion of a task. This is more suited
to us compared to Scrum for example because we are entering a new field
and do not have the experience to give definitive or educated estimations
of due dates.

Kanban does not set pre-defined roles to team members and encourages
open communication. This is appropriate to our situation because we are
all on an equal footing in terms of experience and will all have to learn as
we progress. Also, we are only meant to have a Project Leader who will
handle communication and not delegation as per the AUT requirements.

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Kanban is well suited for making improvements to an already existing

process. It is designed to stimulate team members while respecting the
existing roles and responsibilities which work and are worth preserving.
We are using this methodology to perform change management, and we
believe this is the correct mentality to have. Because we will be working
with people as well as technology, we will need to ensure that any
changes we suggest are respectful of their current processes which work
for the company. Our goal is to improve upon the existing processes, not
to replace them entirely.

DMAIC

Once the business process review part of our project is complete, we will be
focusing on data analysis for use in implementing Six Sigma. DMAIC, which
stands for define, measure, analyse, improve, and control, is the primary tool in
implementing Six Sigma into an existing business. These principles can be
expanded:

Define is to analyse the business problem and scope of the project.

Information which is already known is documented and unknown
information is sourced from internal and external sources. This is the step
where goals are set and a project charter is created.

Measure seeks to gain a baseline for what needs to be improved upon.

This is done by performing internal data collection and establishing a
reasonable metric used to measure e.g. time, cost, etc. These baselines
are then compared to ones defined in the goals.

Analyse involves processing the data to determine where waste is being

produced and how it can be eliminated. The identified problems are
prioritised depending on the magnitude of impact to the company.

Improve is when a solution(s) is posed and tested in a Plan-Do-Check-Act

format. The company will evaluate the solutions, create an
implementation plan, and finally deploy it.

Control is an ongoing process that seeks to maintain the benefits gained

from removing waste. This will involve monitoring the companys

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performance, creating a control plan, and maintaining the required

documentation and employee training as necessary.

HOW WE WILL USE DMAIC

For the purpose of this part of the project, the define stage has already been
completed by Clearvision so we will be focusing on the measuring, analysing,
and improving aspects of the methodology. Controlling will be conducted by their
internal team when the project is complete.

Clearvision would like for us to use this methodology because it was designed
and tested for Six Sigma implementation. We agree with this stance because it
means we can follow a methodology that we know is guaranteed to work with
the project rather than trying to make a different methodology fit. Furthermore,
they have already completed the define stage which will save us a significant
amount of time that we can utilise elsewhere.
We are choosing to adopt two methodologies because of the distinct differences
in the project deliverables. One involves business process review and change
management while the other is data analysis. Using DMAIC for change
management means we would need to come to definitive conclusions at each
step of the processes, and due to our inexperience we believe having an iterative
process cycle will mean any mistakes we make can be more easily rectified.

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QUALITY ASSURANCE

Quality control is a significant procedure to ensure that the project meets the
requirements and needs of the client. In order to control the quality of the
project, quality review procedures must be facilitated. This will provide
interventions for both quality management and control, evaluate the conformity
of the project against a certain set of criterias, ensure that any discrepancies or
errors found are fixed and implement a platform for project improvement.

QUALITY ASSURANCE REQUIREMENTS

The team must define specific quality objectives and policy and make
certain that these are fully apprehended and being practiced by all team
members at all levels.

The team must ensure that proper processes are administered in order to
satisfy the client needs and expectations.

The team must have a documented and defined responsibility, authority

and interrelationship to manage the quality systems proficiently.

The team must provide sufficient resources to implement and maintain the
quality systems.

Scheduled management reviews of the quality systems must be organised

to assess its suitability, effectiveness and efficiency.

The team must decide on actions that needs to be taken to be able to

continuously improve the quality of the project.

VALIDATION AND VERIFICATION PROCESS

The validation and verification process will be used to observe whether the
project meets the defined requirements. This will be an ongoing process which
involves all team members and the client. When a task has been completed, it is
moved to the under review section of the Kanban board where the other team
members evaluate the quality of the work. This is necessary for each individual

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task so any issues with the work can be identified early. This stringent method
will also mean work cannot be overlooked, and therefore enable us to maintain a
standard of quality we are satisfied with. A task can be considered complete
when the work done meets the required specifications. All team members need
to agree and sign off the work done. For larger milestone tasks, this process will
also require the clients sign off.
COMMUNICATION MANAGEMENT PLAN

An effective communication strategy is crucial and beneficial for the reason

being that teams that communicate can take appropriate and efficient actions
towards the given tasks to complete the project on or ahead of time.

For the entire duration of this project, the team have agreed to have a face-toface meeting every Monday with the project supervisor to ask questions, discuss
matters and update him regarding our projects weekly development. Hence, he
will be able to review and give us feedbacks if necessary. We have also settled
that we will have at least one face-to-face meeting with the team each week to
discuss, collaborate and keep track of each others progress in the project.

As stated in our contract agreement, each team member is required to attend

both the supervisor and the teams weekly meeting. However, in the case that
one of the team member could not attend the meeting, he or she will be notified
about what has happened in the meeting through the teams Facebook group.

Other meetings will be made via Skype or Facebook messenger if needed. These
will also be used to keep the teams line of communication open despite of the
schedule conflicts. Furthermore, Trello and Teamwork will be used for phase one
and two respectively to easily allocate tasks and track the teams progress on a
given task.

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Additionally, client meetings will be held once a month and twice a month if the
matter is urgent. The meetings are vital in order to discuss, review and update
the progress of the project with the client. The team can ask for feedback, any
possible changes that the client wants to make or discuss issues that may arise
in the project. All team members must attend this meeting. Lastly, the project
leader will be the one responsible for communicating with the project supervisor
and client via email or phone.

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ROLES, SKILLS, KNOWLEDGE

REQUIRED IT-SPECIFIC SKILLS AND KNOWLEDGE

Skill

Has skill
(Yes/Somewh
at/No)

Rationale

How/When to Acquire
Skills

Data
Analysis

Yes

Data analysis skills

are required to
make educated
decisions about
the companys
processes.

How: Our current analysis

skills will be further honed
as the project progresses.
Reading/watching tutorials
online.
When: From 23/03/16 and
will be ongoing until the
project finishes

Data
Modelling

Data
Mining

Somewhat

Somewhat

Data modelling will

be required for
visualising the
data mined from
the company.
Analysis cannot be
performed before
data is in a
presentable
format.

How: Reading/watching
tutorials online. Hands-on
experience with the
modelling software.

Data mining is
required because
we first need to
collect the data
before we can
model it.

How: Reading/watching
tutorials online. Reading
notes collected from
Logical/Physical Database
Design papers.

When: From 23/03/16 and

will be ongoing until the
project finishes

When: From 23/03/16 and

will be ongoing until the
project finishes
Weka

Somewhat

This will be used to

visualise, analyse
and present the
lead times data
set.

How: Reading/watching
tutorials online.
http://www.cs.waikato.ac.nz
/ml/weka/index.html
When: From 23/03/16 and
will be ongoing until the
project finishes.

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Kanban

Microsoft
Word

Microsoft
Excel

simPRO

Consultan
cy

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Yes

Yes

Yes

No

Somewhat

An agile approach
to project
management with
emphasis on
continual flow of
work. It is well
suited to new
teams and has
room to
compensate for
mistakes.

How: PMBOK

This will be used in

our proposal to
make the format of
the files
consistent.

How: Reading/watching
tutorials online for more
advanced Word features.

This will be used

for compiling and
modifying acquired
data set from the
management.

How: Reading/watching
tutorials online for more
advanced Excel features.

This is the
companys
existing job
management tool
which we will be
implementing in all
areas of the
company, and
what we will be
mining data from.

How: Reading/watching
tutorials online. Have
Clearvision employees tutor
us on how they use the
software. Hands-on
experience.

Consultancy skills
are required for
soliciting the
correct
requirements from
the client.
Furthermore, these
skills will be useful
for general
communication of
ideas and
collaboration purp
oses.

How: Practice
communication skills i.e.
clearly presenting ideas,
listening skills.

https://www.atlassian.com/a
gile
When: From 16/03/16 to
23/03/16

When: Because we are

familiar with Word, these
features will be learned as
we need them.

When: Because we are

familiar with Excel, these
features will be learned as
we need them.

When: From 23/03/16 and

will be ongoing until the
project finishes.

When: From 29/02 and will

be ongoing until the project
finishes.

Six Sigma

Client
Managem
ent

Somewhat

Client
management skills
are required for
this project as we
need to manage
our relationship,
constant
communication
and feedback.
Understanding the
needs and
expectations of the
client will also
enable us to
deliver the project
successfully.

How: Practice interpersonal

skills i.e. clearly presenting
ideas, listening skills,
conflict management skills.
When: From 29/02 and will
be ongoing until the project
finishes.

ROLES AND CURRENT IT-SPECIFIC SKILLS

Name

Role

Lucas Chan
Andreassen
d

Team
Leader

Data
Analyst

Description

Current ITSpecific Skills

In charge in planning, allocating

and setting tasks deadlines.

Networking Skills:
CCNA1, CCNA2

Manages the team and activities

to ensure that the project is
delivered on time, within scope
and within the budget.

Project
Management
Knowledge:
PMBOK

Manage amendments to project

scope, schedule and costs using
applicable verification strategies.

Programming
Skills:
Java

Responsible for contacting the

client for queries and keeping
them updated about the progress
of the project.

Database
Programming
Skills:
OracleSQL, PL/SQL

Obtain and collect data from the

primary or secondary sources.

Database
administration,
Data Mining

Perform data analysis and

modelling, data mining tasks,
interpret data, analyse results
using statistical skills and
techniques.

Algebra and
Statistics

Interpret and present modified and

engineered data to show trends or

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patterns in complex data sets.

Kimberley
Nicole
Capati

Team
Membe
r

Data
Analyst

Responsible to perform the tasks

that have been allocated by the
project leader and keeps the
project leader informed of the
progress of each given task or any
issues that may arise in the
project.

Networking Skills:
CCNA1

Obtain and collect data from the

primary or secondary sources.

Programming
Skills:
Java

Perform data analysis and

modelling, data mining tasks,
interpret data, analyse results
using statistical skills and
techniques.
Interpret and present modified and
engineered data to show trends or
patterns in complex data sets.

Project
Management
Knowledge:
PMBOK

Database
Programming
Skills:
OracleSQL, PL/SQL
Machine Learning
Skills: Weka, R
Data Visualisation,
Analysation,
Information
Modelling, Data
Mining
Algebra and
Discrete
Mathematics
MatLab

Joni Pablo

Team
Membe
r

Data
Analyst

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Responsible to perform the tasks

that have been allocated by the
project leader and keeps the
project leader informed of the
progress of each given task or any
issues that may arise in the
project.

Networking Skills:
CCNA1

Obtain and collect data from the

primary or secondary sources.

Programming
Skills:
Java

Project
Management
Knowledge:
PMBOK

Perform data analysis and

modelling, data mining tasks,
interpret data, analyse results
using statistical skills and
techniques.

Database
Programming
Skills:
OracleSQL, PL/SQL

Interpret and present modified and

engineered data to show trends or

Machine Learning
Skills: Weka, R

Six Sigma

patterns in complex data sets.

Data Visualisation,
Analysation,
Information
Modelling, Data
Mining
Applied Statistics
MatLab

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COST ESTIMATE

The cost estimate for the entire project will vary from the labour cost and
materials that we will be using for the project. Other resources such as
transportation will not be included in the budget estimate as all we are basing it
on the assumption that it would be deducted from wages.

L ABOUR COST ESTIMATE

Position

Weekly
Working
Hours

Total Hours
Worked (32
weeks)

Hourly
Rate

Total
Amount

Project Supervisor

2 hrs p/w

64 hrs

$142.00

$9,088.00

Team Leader/Data
Analyst

15 hrs p/w

480 hrs

$30.00

$14,440.0
0

Team
Member/Data
Analyst

15 hrs p/w

480 hrs

$25.00

$12,000.0
0

TOTAL

32 hrs p/w

1,024hrs

$197.0
0

$35,528.
00

SOFTWARE COST ESTIMATE

Software

Cost

Teamwork

Free with two project limit

Trello

Free, open-source

Weka

Free, open-source

Microsoft Word

Free, student-license

Microsoft Excel

Free, student-license

Microsoft Project

Free, student-license

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MATERIALS COST ESTIMATE

Material

Cost

Poster

$30.00

Print

$20.00

TOTAL

$50.00

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