This unit applies to managers and people with a similar sphere of influence and scope of authority and responsibility and who are familiar with competitive manufacturing, continuous improvement and locking in improvements. Where this is not the case the following units may be completed to supply the necessary skills:

MSACMS600A Develop a competitive manufacturing system

MSACMC613A Facilitate holistic culture improvement in a manufacturing enterprise.

The equivalent team leader level unit is MSACMG700A Review continuous improvement processes.

This unit may also be applied to service organisations applying competitive manufacturing principles.

ELEMENT

PERFORMANCE CRITERIA

1. Establish parameters of current internal improvement systems

1.1. Describe organisation systems that impact on continuous improvement

1.2. Identify current relevant metrics and their values

1.3. Check that metrics are collected for all improvements

1.4. Determine yield of current improvement processes

1.5. Review results of improvements

2. Distinguish breakthrough improvement processes

2.1. Identify all improvements which have occurred over an agreed period of time

2.2. Distinguish between breakthrough improvements and continuous improvements

2.3. Determine the timing of breakthrough improvement processes

2.4. Analyse factors controlling the timing and selection of breakthrough improvements

2.5. Analyse continuous improvements to identify cases where breakthrough improvements were required

2.6. Validate findings with process/system owners and obtain required approvals

2.7. Improve timing/selection of breakthrough improvements

2.8. Improve other factors limiting the gains from breakthrough improvements

3. Develop continuous improvement practice

3.1. Check that levels of delegated authority and responsibility are appropriate for continuous improvement from the shop floor

3.2. Ensure all personnel have appropriate capabilities for continuous improvement processes

3.3. Ensure personnel and systems recognise potential breakthrough improvement projects

3.4. Ensure sufficient resources are available for the operation of continuous and breakthrough improvement processes

3.5. Check that relevant information flows from improvement changes to all required areas and stakeholders

3.6. Check data collection and metrics analysis capture changes which result from improvement actions

3.7. Check that improvement changes are standardised and sustained

3.8. Check review processes for routine continuous improvements

3.9. Remove or change factors limiting gains from improvements

3.10. Modify systems to ensure appropriate possible changes are referred to other improvement processes

3.11. Institutionalise breakthrough

4. Establish parameters of current external improvement systems

4.1. Review value chain systems that impact on improvement

4.2. Review procedures for deciding improvement methodologies

4.3. Identify current relevant metrics and their values as appropriate

4.4. Determine yield of current improvement processes

4.5. Review results of improvements

5. Explore opportunities for further development of value chain improvement processes

5.1. Review mechanisms for consultation with value chain members

5.2. Develop mechanisms for further improving joint problem solving

5.3. Develop mechanisms for increased sharing of organisational knowledge

5.4. Obtain support and necessary authorisations from process/system owners

5.5. Capture and standardise improvements

5.6. Improve factors limiting gains from continuous improvements

6. Review systems for compatibility with improvement strategy

6.1. Review all systems which impact or are impacted on improvements and the improvement system

6.2. Analyse relationships between improvement systems and other relevant systems

6.3. Analyse practices caused by and results from the systems

6.4. Negotiate changes to the systems to improve the outcomes from improvement systems

6.5. Obtain necessary approvals to implement changes

6.6. Monitor the implementation of the changes

Required skills

decision making

prioritisation

communication at all levels

negotiation

situation analysis

Required knowledge

competitive manufacturing principles

organisational goals and processes

approval processes within organisation

cost/benefit analysis methods

methods of determining the impact of a change

communication methods

customer perception of benefits

organisation systems

reward systems

learning systems

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Demonstrates skills and knowledge required to:

critically review continuous improvement processes.

In particular look for evidence of:

ongoing review of processes

improvements in the practice of continuous improvement

better alignment of internal and external systems.

Context of and specific resources for assessment

Assessment may occur on the job or in an appropriately simulated environment. Access is required to real or appropriately simulated situations, including work areas, materials and equipment, and to information on workplace practices and OHS practices.

Where applicable, reasonable adjustment must be made to work environments and training situations to accommodate ethnicity, age, gender, demographics and disability.

Access must be provided to appropriate learning and/or assessment support when required. Where applicable, physical resources should include equipment modified for people with disabilities.

Method of assessment

Assessment must satisfy the endorsed assessment guidelines of the Manufacturing Training Package.

Assessment methods must confirm consistency and accuracy of performance (over time and in a range of workplace relevant contexts) together with application of underpinning knowledge.

Assessment methods must be by direct observation of tasks and include questioning on underpinning knowledge to ensure its correct interpretation and application.

Assessment may be applied under project related conditions (real or simulated) and require evidence of process.

Assessment must confirm a reasonable inference that competency is able not only to be satisfied under the particular circumstance, but is able to be transferred to other circumstances.

Assessment may be in conjunction with assessment of other units of competency where required.

Guidance information for assessment

Assessment processes and techniques must be culturally appropriate and appropriate to the language and literacy capacity of the candidate and the work being performed.

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Codes of practice/standards

Where reference is made to industry codes of practice, and/or Australian/international standards, the latest version must be used

Health, safety and environment (HSE)

All changes implemented are expected to be at least neutral, or preferably beneficial, in their impact on health, safety and environment

Organisation systems

Organisation systems may include:

problem recognition and solving

process improvement

improvement projects

product/process development

processes for making incremental improvements

Relevant metrics

Relevant metrics include all those measures which might be used to determine the performance of the improvement system and may include:

hurdle rates for new investments

key performance indicators (KPIs) for existing processes

quality statistics

delivery timing and quantity statistics

process/equipment reliability ('up time')

incident reports

Improvement process yield

Improvement process yield may be regarded as:

the benefit achieved for the effort invested

Breakthrough improvements

Breakthrough improvements include:

those which result from a kaizen blitz or other improvement project or event and are a subset of all improvements

Timing of breakthrough improvements

Timing of breakthrough improvements includes:

frequency (which should be maximised) and duration (which should be minimised) of events/projects

Continuous improvement

Whereas breakthrough improvement/kaizen blitz occurs by way of an event or project, continuous improvement is part of normal work and does not require a special event to occur (although may still require authorisations)

Resources for improvement

Resources for improvements include:

improvement budget

guidelines for trialling of possible improvements

mechanism for approvals for possible improvements

business case guidelines for proposed improvements

indicators of success of proposed improvement

mechanisms for tracking and evaluation of changes

forum for the open discussion of the results of the implementation

mechanisms for the examination of the improvement for additional improvements

organisation systems to sustain beneficial changes

Capturing value chain improvements

Capturing value chain improvements includes:

revised contractual arrangements

revised specifications

signed agreements

other documented arrangements which formalise the raised base line

Systems impacting improvements

Systems which impact/are impacted on improvements and the improvement system include:

purchasing

rewards (individual or team at all levels)

sales

marketing

maintenance

process/product

Problems

Problems may include:

non-conformances and other opportunities for improvement

Develop

Develop includes:

establishing and improving

Knowledge forms

Knowledge may be quantified or otherwise modified to make its outcomes measurable or observable as appropriate to the knowledge and its application

Improvements

Improvements may:

be to process, plant, procedures or practice

include changes to ensure positive benefits are maintained

Manager

Manager may include:

any person who may have either a permanent or an ad hoc role in facilitating the function of multiple teams in a workplace, departments or entire organisations

Unit sector

CM Graduate

This unit contains employability skills.