Lean and Six Sigma in Criminal Justice

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Presentation to the OR52 Conference (Operational Research Society) on September 9th 2010.
Overview of how Six Sigma and Lean Thinking can be applied in the Criminal Justice Sector.

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Lean and Six Sigma in Criminal Justice

  1. 1. Six Sigma and Lean: Bandwagon or benefit? Ian J Seath OR52 Conference, September 2010 © 2010 Copyright ISC Ltd.
  2. 2. Presentation content <ul><li>What are Six Sigma and Lean? </li></ul><ul><ul><li>Overview only, not how to implement them </li></ul></ul><ul><li>How can they add value? </li></ul><ul><ul><li>Some practical tools </li></ul></ul><ul><li>Applications in a CJ environment </li></ul><ul><ul><li>Examples </li></ul></ul>© 2010 Copyright ISC Ltd.
  3. 3. Six Sigma and Lean <ul><li>Six Sigma </li></ul><ul><li>“ TQM on steroids” </li></ul><ul><li>A statistically-based approach to process improvement </li></ul><ul><li>Requires support from “Black Belts” for implementation </li></ul><ul><li>Achieves improvement through project activity, chosen by management; often based on ROI potential </li></ul><ul><li>An evolution from “Zero Defects” thinking of the 1990s </li></ul><ul><li>Aiming for fewer than 3.4 ppm defects </li></ul>© 2010 Copyright ISC Ltd. Lean <ul><li>Evolved from the Toyota Production System </li></ul><ul><li>Focus on identifying and delivering customer value </li></ul><ul><li>Managing horizontal value streams (& systems thinking) </li></ul><ul><li>Aligning capacity to demand and creating “flow” </li></ul><ul><li>Engaging front-line staff in daily improvement </li></ul><ul><li>Using visual management to track performance </li></ul><ul><li>Managers “go and see” </li></ul>
  4. 4. Six Sigma and Lean Tools/Techniques <ul><li>Six Sigma </li></ul><ul><li>SIPOC </li></ul><ul><li>Voice of the Customer </li></ul><ul><li>House of Quality (QFD) </li></ul><ul><li>Process Mapping </li></ul><ul><li>Design of Experiments </li></ul><ul><li>Statistical Process Control </li></ul><ul><li>Taguchi </li></ul><ul><li>Sampling & Data Collection </li></ul><ul><li>Statistical Analysis </li></ul><ul><li>Failure Modes Effect Analysis </li></ul><ul><li>DPMO/Sigma/CPK </li></ul><ul><li>Lean </li></ul><ul><li>The Seven Wastes </li></ul><ul><li>5 S </li></ul><ul><li>Poka Yoke </li></ul><ul><li>Value Stream Mapping </li></ul><ul><li>Kaizen </li></ul><ul><li>Standardised Work </li></ul><ul><li>Visual Management </li></ul><ul><li>Flow: Push & Pull </li></ul><ul><li>Just-in-time </li></ul><ul><li>Takt time </li></ul><ul><li>Value Add Ratio </li></ul>© 2010 Copyright ISC Ltd.
  5. 5. SIX SIGMA <ul><li>“ Making numbers work” </li></ul>© 2010 Copyright ISC Ltd.
  6. 6. What is Six Sigma? <ul><li>Depending on who you talk to, you’ll find a range of definitions and descriptions of the scope of 6 Sigma… </li></ul><ul><ul><li>It’s a highly technical and statistically-based way of managing and improving processes (often used by manufacturing organisations) </li></ul></ul><ul><ul><li>It’s an evolution of the concept of “Zero Defects” leading to the aim of near perfection by reducing defect levels to below 3.4 parts per million opportunities (the focus is on understanding customers’ requirements, so you can define a “defect opportunity”) </li></ul></ul><ul><ul><li>It’s the development of a culture of sustainable and continual improvement based on: </li></ul></ul><ul><ul><ul><li>striving to understand and meet agreed customers’ requirements </li></ul></ul></ul><ul><ul><ul><li>by driving out waste and defects </li></ul></ul></ul><ul><ul><ul><li>through the involvement of people in improvement activities </li></ul></ul></ul>© 2010 Copyright ISC Ltd.
  7. 7. What is Six Sigma? <ul><li>6-Sigma aims to improve productivity, reduce failures, improve customer service, reduce costs and improve the bottom line, by: </li></ul><ul><ul><li>focussing on reducing the variation in processes and the opportunities for failures in processes </li></ul></ul><ul><li>6-Sigma emphasises the use of data and the involvement of all levels of staff in the improvement process </li></ul><ul><li>It also stresses the need for real, top-level management understanding, support and involvement </li></ul><ul><li>6-Sigma is a comprehensive and flexible system for achieving, sustaining and maximising business success. It is uniquely driven by close understanding of customer needs, disciplined use of facts, data and statistical analysis, and diligent attention to managing, improving and reinventing business processes </li></ul><ul><ul><li>Pande, Neuman & Cavanagh: “The Six Sigma Way” </li></ul></ul>© 2010 Copyright ISC Ltd.
  8. 8. Evolution of Six Sigma © 2010 Copyright ISC Ltd. Statistics Holistic 1980s 2010 Statistical Measurement Process Control Problem Solving Toolkit People Skills Programme Methodology Black Belt Approach Project Based (DMAIC) Encompassing Existing Techniques Support Structure
  9. 9. The Six Sigma approach © 2010 Copyright ISC Ltd. A focus on what’s important to the Pursuing the priority Deploying a systematic, rigorous Developing people as first-class problem solvers: Reducing waste & variation to achieve And, ultimately, to achieve Customer Mission Critical Projects Improvement Methodology Black Belts Process Improvement World Class Performance
  10. 10. Six Sigma provides a common basis for comparison © 2010 Copyright ISC Ltd. <ul><li>Which of these processes is performing best? </li></ul><ul><ul><li>Accounts receivable </li></ul></ul><ul><ul><ul><li>35 days sales outstanding (DSO) </li></ul></ul></ul><ul><ul><li>Call answering </li></ul></ul><ul><ul><ul><li>10 rings on average </li></ul></ul></ul><ul><ul><li>Customer service </li></ul></ul><ul><ul><ul><li>89% satisfied, or very satisfied </li></ul></ul></ul><ul><ul><li>Invoicing </li></ul></ul><ul><ul><ul><li>99% accuracy </li></ul></ul></ul><ul><ul><li>Checkout queue </li></ul></ul><ul><ul><ul><li>3 minutes on average </li></ul></ul></ul>
  11. 11. Basic concepts © 2010 Copyright ISC Ltd. Critical to Quality: customer performance requirements of a product, or service Any event that does not meet the specification of a CTQ Any event that provides a chance of not meeting a CTQ CTQ Defect Defect Opportunity
  12. 12. Defects © 2010 Copyright ISC Ltd. <ul><li>Typing errors in a document </li></ul><ul><li>Excessive “on-hold” times in a call centre </li></ul><ul><li>Late deliveries </li></ul><ul><li>Incomplete orders </li></ul><ul><li>System crashes </li></ul><ul><li>Expense Form errors </li></ul><ul><li>Incomplete files/forms/case records </li></ul><ul><li>Staff shortages </li></ul><ul><li>You need to agree clear guidelines on what constitutes a defect and what constitutes an opportunity </li></ul><ul><li>As customer requirements change, so too will Defects and Sigma levels </li></ul>
  13. 13. A one-sigma process © 2010 Copyright ISC Ltd. The customer requirement lies only one standard deviation away from the mean of the distribution This is a picture of a normally distributed process with a mean value of 100 This area represents defects or errors. Customer requirement (max. 160) Distribution Mean 1  Could be: ‘time to process an offender in custody’ ‘errors in CRB checks’ ‘ cycle-time from receiving case files to delivery of service’ ‘ database errors – addresses, personal details, etc.’
  14. 14. A two-sigma process © 2010 Copyright ISC Ltd. The customer requirement lies only two standard deviations away from the mean of the distribution 2  A “Six Sigma” approach is all about trying to reduce the variability in processes such that errors and defects are reduced. The process has been improved (‘tightened’) Fewer Defects than a “One Sigma” process.
  15. 15. A four-sigma process © 2010 Copyright ISC Ltd. The customer requirement lies four standard deviations away from the mean of the distribution 4  Many organisations’ processes run at a 3 sigma or 4 sigma performance level. 95%....99% levels
  16. 16. A six-sigma process is “world class” © 2010 Copyright ISC Ltd. The customer requirement lies six standard deviations away from the mean of the distribution Virtually defect free. The process distribution is very ‘tight” relative to customer requirements. 6 
  17. 17. Sigma and error levels © 2010 Copyright ISC Ltd. Yield (Error Rate) DPMO Sigma 30.9% (69.1%) 690,000 1 69.2% (30.8%) 308,000 2 93.3% (6.7%) 66,800 3 99.4% (0.6%) 6,210 4 99.98% (0.02%) 320 5 99.9997% (0.0003%) 3.4 6
  18. 18. Six Sigma implementation © 2010 Copyright ISC Ltd. <ul><li>Develop Business Process Model </li></ul><ul><li>Identify Customers and their Requirements </li></ul><ul><li>Measure Baseline Performance </li></ul><ul><li>Prioritise Improvement Projects </li></ul><ul><li>Implement DMAIC Improvement Projects </li></ul><ul><li>Extend 6-Sigma Approach </li></ul>Strategic Tactical Possible start- points
  19. 19. Six Sigma Black Belts © 2010 Copyright ISC Ltd. Problem Solving Skills Process Improvement Skills Statistical Improvement Skills <ul><li>Someone who drives business process improvements </li></ul><ul><li>A specialist in problem solving </li></ul><ul><li>Has gained interpersonal, team, and statistical problem solving skills </li></ul><ul><li>Understands and applies the methodologies of Six Sigma </li></ul><ul><li>Achieved Black Belt certification through demonstrating real results </li></ul><ul><li>Supported by trained Green and Yellow Belts </li></ul>
  20. 20. Courts example <ul><li>771 Magistrates’ Court cases were analysed </li></ul><ul><ul><li>388 cases “cracked” (late “guilty” plea) </li></ul></ul><ul><ul><li>141 cases were “ineffective” (trial unable to proceed on planned date) </li></ul></ul><ul><li>69% defect rate = 686,122 ppm = 1 sigma!!! </li></ul><ul><li>Est. cost = £294k (people’s time only) </li></ul>© 2010 Copyright ISC Ltd. <ul><li>45% of “Ineffective Cases” were caused by Prosecution failures: </li></ul><ul><li>Witness absent (19%) </li></ul><ul><li>Prosecution not ready (9%) </li></ul><ul><li>Police witness absent (8%) </li></ul><ul><li>Other Prosecution reasons (9%) </li></ul><ul><li>45% of “Cracked Cases” could be directly impacted by the Prosecution </li></ul>
  21. 21. SPC example of Victim caseload © 2010 Copyright ISC Ltd. New CJ Act
  22. 22. LEAN <ul><li>“ Improving flow and driving out waste” </li></ul>© 2010 Copyright ISC Ltd.
  23. 23. Lean – a philosophy and a set of tools <ul><li>The Philosophy </li></ul><ul><ul><li>Using process time as a competitive weapon - reducing time throughout the entire business process </li></ul></ul><ul><ul><li>Defining perfection for every process </li></ul></ul><ul><ul><li>Creating continuous dissatisfaction </li></ul></ul><ul><ul><li>Developing an improvement culture </li></ul></ul><ul><li>The Tools </li></ul><ul><ul><li>To help people identify Value </li></ul></ul><ul><ul><li>To map processes and the value stream </li></ul></ul><ul><ul><li>To identify waste (with a new way of looking at our work) </li></ul></ul><ul><ul><li>To eliminate waste </li></ul></ul><ul><ul><li>To reduce non-value-added time </li></ul></ul><ul><ul><li>To do all the above quickly and with the full involvement of staff </li></ul></ul>© 2010 Copyright ISC Ltd.
  24. 24. Evolution of Lean Thinking © 2010 Copyright ISC Ltd. Lean Concepts Toyota Production System Lean Thinking “ Lean Enterprise”
  25. 25. Some Lean tools and techniques © 2010 Copyright ISC Ltd. Reduced Batching 5S Standard- ised Work Visual Control Kaizen Blitz Supplier/ Customer Relationships Poka Yoke Continuous Flow Setup Reduction (SMED) Seven Wastes Overall Equipment Effectiveness Pull System
  26. 26. Some Lean tools and techniques © 2010 Copyright ISC Ltd.   Reduced Batching 5S Standard- ised Work Visual Control Kaizen Blitz Supplier/ Customer Relationships Poka Yoke Continuous Flow Setup Reduction (SMED) Seven Wastes Overall Equipment Effectiveness Pull System
  27. 27. WASTE © 2010 Copyright ISC Ltd.
  28. 28. Waste <ul><li>Waste is anything that does not add value to your product or service </li></ul><ul><ul><li>Eliminating waste gives you more resource to meet your customer requirements </li></ul></ul><ul><ul><li>Waste will always be present, so there is always something that you can do to improve your performance </li></ul></ul><ul><li>Identifying all the waste in your processes forces you to compare your operation against perfection.....…and this is not a comfortable experience! </li></ul><ul><li>Some examples… </li></ul>© 2010 Copyright ISC Ltd.
  29. 29. The Seven Wastes © 2010 Copyright ISC Ltd. Waste Examples in Police taped interview processes People Waiting Waiting time while tapes are retrieved from storage so they can be collected by an officer. Over-production Producing three copies of the interview tape even though defence solicitors virtually never ask for a copy. Rework & Failures Corrections of transcripts because the original tape was inaudible, broken, etc. People Moving Officers travelling to the transcription team to deliver tapes (due to fear of loss) and any travel to/from tape storage. Over-processing Checking information for completeness when it arrives at the transcription team (it should not be delivered incomplete). Checking transcripts after they have been returned from correction (why would they be wrong a second time?). Inventory All the storage of tapes, plus any temporary storage by officers at their desks. Also, the storage of blank tapes, required for interviewing. Transport of materials All transport of tapes between police stations and transcription and storage.
  30. 30. Waiting <ul><li>Waiting </li></ul><ul><ul><li>People waiting </li></ul></ul><ul><ul><li>Materials waiting </li></ul></ul><ul><li>Examples </li></ul><ul><ul><li>Backlogs of offenders waiting to start a programme </li></ul></ul><ul><ul><li>UPW equipment / vans not in the right place at the right time </li></ul></ul><ul><ul><li>UPW stand downs / send homes </li></ul></ul><ul><ul><li>Backlogs of paperwork / cases waiting in an in-tray </li></ul></ul><ul><ul><li>Court processes, just one big wasteful waiting game! </li></ul></ul>© 2010 Copyright ISC Ltd.
  31. 31. Over-production © 2010 Copyright ISC Ltd. <ul><li>Producing more than required </li></ul><ul><li>Producing faster/sooner than required; e.g. </li></ul>Report Report Update
  32. 32. Rework and Failure <ul><li>Producing and coping with failures and rework steps </li></ul><ul><li>Examples </li></ul><ul><ul><li>All activity relating to non-attendance breach (hence the aim to increase compliance in Probation processes) </li></ul></ul><ul><ul><li>Correcting or cleaning up data in case management systems </li></ul></ul><ul><ul><li>All trials held up due to witnesses not turning up, case papers not being ready </li></ul></ul><ul><ul><li>Writing a report by hand and then getting someone else to enter exactly the same details onto a computer </li></ul></ul>© 2010 Copyright ISC Ltd.
  33. 33. People Moving <ul><li>All the movement of staff that we see in a ‘busy’ office is waste </li></ul><ul><li>No value is added by the movement of staff; we only add value at the start or end of any movement </li></ul><ul><li>Examples </li></ul><ul><ul><li>Offenders and supervisors coming into a central UPW reporting point, only to be sent back out again to work placement sites </li></ul></ul><ul><ul><li>Any journey where no value-adding tasks are performed </li></ul></ul><ul><ul><li>Photocopiers, printers centrally located that everyone has to walk to when they want to use them </li></ul></ul><ul><ul><li>People coming back to the office to enter data / information in office-based IT systems </li></ul></ul>© 2010 Copyright ISC Ltd.
  34. 34. Over-processing <ul><li>Doing steps you don’t need to do and that will add value to the customer or user </li></ul><ul><li>Examples </li></ul><ul><ul><li>Details written down repeatedly and then input into a variety of IT systems (name and number x 20 in first 24 hours of arriving in Prison) </li></ul></ul><ul><ul><li>Writing a full Standard PSR when a Fast or Oral PSR would have been more appropriate </li></ul></ul><ul><ul><li>Putting a case though MAPPA when the level of risk and multi-agency involvement did not warrant </li></ul></ul><ul><ul><li>Getting a procurement manager to sign off every order (even when some are for 10 pens!) </li></ul></ul>© 2010 Copyright ISC Ltd.
  35. 35. Inventory <ul><li>Inventory is the piling-up of work between process stages </li></ul><ul><li>If we have designed a process along Lean lines, the only queue should occur at the start of the process </li></ul><ul><li>Any other piles of inventory indicate a problem in the process </li></ul><ul><li>Examples </li></ul><ul><ul><li>Piles of work waiting for someone to return from holiday </li></ul></ul><ul><ul><li>Queues of offenders waiting for a Programme or Unpaid Work session to commence </li></ul></ul><ul><ul><li>PSRs waiting to be typed-up or signed </li></ul></ul><ul><ul><li>Piles of PDPs or Annual Appraisals all waiting to be completed at the same time of the year </li></ul></ul>© 2010 Copyright ISC Ltd.
  36. 36. Materials moving <ul><li>The time and effort spent moving physical items around your workplace </li></ul><ul><li>In the Courts processes a good example is the time spent moving a prisoner around for a 5 minute hearing </li></ul><ul><li>In Probation it refers to the movement of offenders, movement of vans for Community Payback work, or paperwork moving backwards and forwards between people </li></ul><ul><li>We know that all transport/movement is impossible to eliminate but recognising it as a waste means that we should be trying constantly to reduce it </li></ul>© 2010 Copyright ISC Ltd.
  37. 37. 5S © 2010 Copyright ISC Ltd.
  38. 38. What is 5S? <ul><li>An easy way of achieving major change in an office environment </li></ul><ul><li>A structure for establishing an orderly, clean and organised working environment </li></ul><ul><li>A way of identifying new problems and wastes that can then be resolved by staff and managers </li></ul><ul><li>A way of encouraging everyone to be involved in improvement activities </li></ul><ul><li>A process for creating the best working environment to carry out your work and run your business </li></ul>© 2010 Copyright ISC Ltd.
  39. 39. What is 5S? <ul><li>1) SORT: </li></ul><ul><li>Seiri – Eliminate unnecessary items </li></ul><ul><li>2) SET IN ORDER: </li></ul><ul><li>Seiton – Order: everything in its place </li></ul><ul><li>3) SHINE: </li></ul><ul><li>Seisu - Clean, check and return to original state </li></ul><ul><li>4) STANDARDISE: </li></ul><ul><li>Seiketsu - Define procedures and standardise </li></ul><ul><li>5) SUSTAIN: </li></ul><ul><li>Shitsuke - Respect and improve standards </li></ul>© 2010 Copyright ISC Ltd.
  40. 40. Before and after 5S Sort and Set… © 2010 Copyright ISC Ltd.
  41. 41. Visual Management © 2010 Copyright ISC Ltd. Information Centre – focus for daily team meetings
  42. 42. LEAN SIX SIGMA <ul><li>“ The best of both worlds” </li></ul>© 2010 Copyright ISC Ltd.
  43. 43. Improvement approach © 2010 Copyright ISC Ltd. Six Sigma: Define Measure Analyse Improve Control Lean: Current State VSM VAR Waste/Flow Future State VSM
  44. 44. Applying Lean and Six Sigma <ul><li>Any process! </li></ul><ul><ul><li>High volumes of transactions </li></ul></ul><ul><ul><li>Lots of “hand-offs” and delays between steps </li></ul></ul><ul><ul><li>Data-rich, information-poor </li></ul></ul><ul><li>It requires: </li></ul><ul><ul><li>A mix of analytical and creative skills </li></ul></ul><ul><ul><li>Leadership, facilitation, staff engagement </li></ul></ul><ul><ul><li>Use the right Lean and/or Six Sigma tools to meet the improvement objectives </li></ul></ul>© 2010 Copyright ISC Ltd.
  45. 45. Lean Six Sigma: the best of both worlds… <ul><li>Focussing on customer requirements </li></ul><ul><li>Statistical thinking </li></ul><ul><ul><li>Managing by numbers </li></ul></ul><ul><ul><li>Reducing variation </li></ul></ul><ul><li>Eliminating waste </li></ul><ul><ul><li>Driving out non-value activities </li></ul></ul><ul><ul><li>Reducing cycle-times </li></ul></ul><ul><li>Engaging line managers as process owners </li></ul><ul><li>Involving front-line staff in daily improvement </li></ul>© 2010 Copyright ISC Ltd.
  46. 46. A final thought… © 2010 Copyright ISC Ltd. “ Thousands of police officers go through their careers without using their brains…” “…… content to react to incidents and not made to think.” “…… .someone needs to collect information and work out how to use it…the whole culture and training needs changing.” To what extent could Lean and Six Sigma help? Gloria Laycock, Director Evening Standard Jill Dando Institute 25 April 2001
  47. 47. Ian J Seath, Director Improvement Skills Consulting Ltd. www.improvement-skills.co.uk [email_address] M: 07850 728506 © 2010 Copyright ISC Ltd.

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