Defining Level 2 PFM Scope

Defining the Scope of Level 2 PFM

• The scope of Level 2 PFM is defined by identifying the complete associated process and its natural starting and stopping points.
• The process is mapped at a Level 2, which includes all the steps involved in the process.

Building a SIPOC

• A SIPOC diagram is created to identify the suppliers, inputs, process, outputs, and customers for the key process.
• The SIPOC diagram includes:
  • Suppliers: ATT Phones, Office Depot, TI Calculators, NEC Cash Register
  • Inputs: Pizza type, size, quantity, extra toppings, special orders, drink types and quantities, phone number, address
  • Process: See below
  • Outputs: Price, order confirmation, bake order, delivery info
  • Customers: Cook, accounting, complete call < 3 min, order to cook < 1 minute
  • Requirements: Correct bake order, correct address, correct price

Identifying Customer Requirements

• Customer requirements are identified by creating a Level 2 PFM process output identification and analysis.
• The process output identification and analysis includes:
  • Output data: Customer name, metric, measurement, value data, general data/information
  • Requirements data: Metric, measurement, value data, general data/information
  • Measurement data: System, frequency of measurement, performance level data, value data, general data/information

Identifying Supplier Requirements

• Supplier requirements are identified by creating a Level 2 PFM process input identification and analysis.
• The process input identification and analysis includes:
  • Input data: Supplier name, metric, measurement, value data, general data/information
  • Requirements data: Metric, measurement, value data, general data/information
  • Measurement data: System, frequency of measurement, performance level data, value data, general data/information

Controllable vs. Noise Inputs

• Inputs can be either controllable (C), procedural (P), or noise (N).
• Controllable inputs can be adjusted or controlled while the process is running.
• Procedural inputs can be adjusted or controlled while the process is running.
• Noise inputs are things that are not thought to be controlled, are unknown, or are too expensive or difficult to control.

Process Inputs (X's) and Outputs (Y's)

• Process inputs (X's) are identified and analyzed.
• Process outputs (Y's) are identified and analyzed.
• The relationship between inputs and outputs is established.

Level 3 Process Flow Diagram

• The Level 3 process flow diagram is used to identify the process steps and their relationships.
• The diagram includes:
  • Process steps: Take order, add ingredients, place in oven, observe, check, remove from oven
  • Inputs: Ingredients, oven temperature, bake time, room temperature, moisture content
  • Outputs: Correctly cooked pizza, hot pizza >140 deg, correct ingredients

This quiz covers the process of defining the scope of Level 2 PFM, including creating a complete associated process and starting and ending at natural points.