A

New Invoices
Invoices
Total
Put Into
Completed
(Archive-Done)
WIP

DAY


Customers

the Process

1

2

3

4

Roll one die 5

6

Pass that number of 7

8

chips to the Mailroom 9

10

Inbox 11

12

13

14

15

Shortcut:! 16

17

Total WIP (new) =! 18

Total WIP (previous)! 19

20

+ New Invoices!


A Totals A1
A2

- Invoices Complete! B
Invoices per day =A

1/20

C
Utilization =B
/
3.5

DA
verage WIP=A2/20

E
Average cycle time =D/B


v7p6 © 2012 Massachusetts Institute of Technology!
1
 Mailroom
Inbox

v7p6 © 2012 Massachusetts Institute of Technology

2
B
Invoices

DAY

WIP

Mailroom

Completed

1

2

3

4

Roll one die 5

6

Pass that number of chips (if 7

8

you have them) from your 9

Inbox to the PFR Check 10

11

Inbox 12

13

14

15

16

17

18

19

20



A Total Invoices Completed

B
Invoices per day =A
/20


C
Utilization =B/3.5






D Ending WIP

E
Estimate cycle time = D/B


v7p6 © 2012 Massachusetts Institute of Technology!
3
 PFR Check
Inbox

v7p6 © 2012 Massachusetts Institute of Technology!

4
C
Invoices

DAY

WIP

PFR Check

Completed

1

2

3

4

Roll one die 5

6

Pass that number of chips (if 7

you have them) from your 8

9

Inbox to the Analyst Inbox 10

11

12

13

14

15

16

17

18

19

20



A Total Invoices Completed

B
Invoices per day =A
/20


C
Utilization =B
/
3.5



D Ending WIP

E
Estimate cycle time =D/B


v7p6 © 2012 Massachusetts Institute of Technology!
5
 Analyst
Inbox

v7p6 © 2012 Massachusetts Institute of Technology!

6
D
Invoices

DAY

WIP

Analyst

Completed

1

2

3

4

Roll one die 5

6

Pass that number of chips (if 7

you have them) from your 8

9

Inbox to the Pay Inbox 10

11

12

13

14

15

16

17

18

19

20



A Total Invoices Completed

B
Invoices per day =A
/20


C
Utilization =B
/
3.5



D Ending WIP

E
Estimate cycle time =D/B


v7p6 © 2012 Massachusetts Institute of Technology!
7
 Pay
Inbox

v7p6 © 2012 Massachusetts Institute of Technology!

8
E


Pay

Invoices
DAY
Completed
WIP

1

2

3

4

5

Basic: Roll one die 6

7

Pass that number of chips 8

(if you have them) from 9

10

your Inbox to Archive - 11

12

Done 13

14

15

16

17

18

19

20



A Total Invoices Completed



B Invoices per day =A/20








C Utilization =B/3.5


D Ending WIP

E
Estimate cycle time =D/B


v7p6 © 2012 Massachusetts Institute of Technology!
9
Archive - Done

v7p6 © 2012 Massachusetts Institute of Technology!

10
MIT OpenCourseWare
http://ocw.mit.edu

16.660J / ESD.62J / 16.853 Introduction to Lean Six Sigma Methods

IAP 2012

For information about citing these materials or our Terms of Use, visit: http://ocw.mit.edu/terms.