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LEAN SIX SIGMA
By. Ryan King
SIX SIGMA ORIGINATION
• Developed by Motorola
• Reason:
 Combat quality issues
• Began to combat manufacturing defects:
 Attain only 3.4 defects per million opportunities
GOAL OF SIX SIGMA
• Provide reliable, consistent, and dependable products to customer
• Processes focus on:
 Defects
 Variability
 The Customer
SIX SIGMA CERTIFICATIONS
GREEN BELT BLACK BELT MASTER BLACK
BELT
LEAN
• Eliminate non-value activities
 Waste
• Goal
 Find and permanently remove waste
• The Elegant Solution
 Simplest Solution
WASTES
REWORK UNNECESSARY
STEPS
WAITING
TIMES
EXCESS
INVENTORY
LEAN SIX SIGMA
• Lean Principles and Six Sigma combined
• Lean
 Combats visible problems
• Six Sigma
 Combats less-visible problems
SIX SIGMA PROCESS
• DMAIC
 Define
 Measure
 Analyze
 Improve
 Control
DEFINE
• Figure out the problem at hand
• Outline the future accomplishments
• Find out financial measurements
• Prioritize problems that are critical to the customer
MEASURE
• Examples
 Utilization time
 Yield
1. Scrap rate
2. Rework rate
 Process time
MEASUREMENT
TOOLS
Data collection
Cause-and-effect diagram (Fishbone)
Process mapping
Value Stream mapping
Process control charts
Pareto charts
ANALYZE
• Find why the problem exists
• Statistical analysis
• Black belts and Master black belts
ANALYZE
• How existing process works
• How should it work
• Key elements
 Cost
 Yield
 Time
 Capacity
IMPROVE
HEART OF SIX
SIGMA PROJECT
IMPLEMENT
CHANGES TO
RESOLVE ISSUES
BRAINSTORM
POSSIBLE
SOLUTIONS
COMMUNICATE
WITH KEY
STAKEHOLDERS!
CONTROL
• Most important step
• Permanent improvement
• Examples
 Checklists
 Monthly meetings
 Document update
 Continued training
LEAN
• Toyotas approach
 Determine the value
 Identify value stream
 No interruptions
 Customers demand run flow
 Pursue perfections
LEAN
Reduce delivery times
Reduce inventories
Improved customer service
Reduce waiting times
LEAN
• 5S’s-Organize and standardize workplace
 Sort- Items in proper place
 Set in order- Easily attainable
 Shine- Clean workplace
 Standardize- Formal procedures
 Sustain- Ongoing training and communications
JUST-IN-TIME
• Henry Ford-Father of JIT in U.S.
• Manufacturing approach:
 Materials delivered exactly when there needed
• Pull System
 Customer demand drives output
• Kanban system
 Cards used to signal throughout production line
QUALITY AT THE SOURCE
• Line operators in charge of there own quality
 Managers are not the only people who can halt production
 No defect can proceed further
• Poka-yoke- Fool proofing
QUALITY AT
THE SOURCE
BENEFITS
Decreased throughput time
Faster delivery
Improved JIT production
Decreased inspections
CONTINUOUS IMPROVEMENT
• Kaizen
 Gradual and orderly continuous improvement
 Used in all business activities
 Not perfect but improvement
• Kaizen Blitz
 Expedited improvement to meet deadlines
 Intense process
 Effective in emergency situations
LEAN SIX SIGMA IMPLEMENTATION
• Successful project
 Top leadership
1. Communicate lean six sigma commitment
 Skilled team members
1. Project leader skilled in lean six sigma
2. Top talent
 Strong infrastructure
1. Extensive training program
2. Process programs
PROJECT CONTROL
• Lean Six Sigma phases
 Initiating
 Planning
 Executing
 Closing
SERVICE OPERATIONS
• Half of service work does not add value to the customer
• Decrease service complexity
• Standardize services
SUPPLY CHAIN MANAGEMENT
• Lean issues
 Supplier issues
 Poor demand forecasts
 Capacity
 Transportation
• Lean Six Sigma creates a balance in the Supply Chain
CONCLUSION
• Lean Six Sigma “Bottom-line”
 Improve business processes
 Solving problems for the customer

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Lean Six Sigma Foundations

  • 1. LEAN SIX SIGMA By. Ryan King
  • 2. SIX SIGMA ORIGINATION • Developed by Motorola • Reason:  Combat quality issues • Began to combat manufacturing defects:  Attain only 3.4 defects per million opportunities
  • 3. GOAL OF SIX SIGMA • Provide reliable, consistent, and dependable products to customer • Processes focus on:  Defects  Variability  The Customer
  • 4. SIX SIGMA CERTIFICATIONS GREEN BELT BLACK BELT MASTER BLACK BELT
  • 5. LEAN • Eliminate non-value activities  Waste • Goal  Find and permanently remove waste • The Elegant Solution  Simplest Solution
  • 7. LEAN SIX SIGMA • Lean Principles and Six Sigma combined • Lean  Combats visible problems • Six Sigma  Combats less-visible problems
  • 8. SIX SIGMA PROCESS • DMAIC  Define  Measure  Analyze  Improve  Control
  • 9. DEFINE • Figure out the problem at hand • Outline the future accomplishments • Find out financial measurements • Prioritize problems that are critical to the customer
  • 10. MEASURE • Examples  Utilization time  Yield 1. Scrap rate 2. Rework rate  Process time
  • 11. MEASUREMENT TOOLS Data collection Cause-and-effect diagram (Fishbone) Process mapping Value Stream mapping Process control charts Pareto charts
  • 12. ANALYZE • Find why the problem exists • Statistical analysis • Black belts and Master black belts
  • 13. ANALYZE • How existing process works • How should it work • Key elements  Cost  Yield  Time  Capacity
  • 14. IMPROVE HEART OF SIX SIGMA PROJECT IMPLEMENT CHANGES TO RESOLVE ISSUES BRAINSTORM POSSIBLE SOLUTIONS COMMUNICATE WITH KEY STAKEHOLDERS!
  • 15. CONTROL • Most important step • Permanent improvement • Examples  Checklists  Monthly meetings  Document update  Continued training
  • 16. LEAN • Toyotas approach  Determine the value  Identify value stream  No interruptions  Customers demand run flow  Pursue perfections
  • 17. LEAN Reduce delivery times Reduce inventories Improved customer service Reduce waiting times
  • 18. LEAN • 5S’s-Organize and standardize workplace  Sort- Items in proper place  Set in order- Easily attainable  Shine- Clean workplace  Standardize- Formal procedures  Sustain- Ongoing training and communications
  • 19. JUST-IN-TIME • Henry Ford-Father of JIT in U.S. • Manufacturing approach:  Materials delivered exactly when there needed • Pull System  Customer demand drives output • Kanban system  Cards used to signal throughout production line
  • 20. QUALITY AT THE SOURCE • Line operators in charge of there own quality  Managers are not the only people who can halt production  No defect can proceed further • Poka-yoke- Fool proofing
  • 21. QUALITY AT THE SOURCE BENEFITS Decreased throughput time Faster delivery Improved JIT production Decreased inspections
  • 22. CONTINUOUS IMPROVEMENT • Kaizen  Gradual and orderly continuous improvement  Used in all business activities  Not perfect but improvement • Kaizen Blitz  Expedited improvement to meet deadlines  Intense process  Effective in emergency situations
  • 23. LEAN SIX SIGMA IMPLEMENTATION • Successful project  Top leadership 1. Communicate lean six sigma commitment  Skilled team members 1. Project leader skilled in lean six sigma 2. Top talent  Strong infrastructure 1. Extensive training program 2. Process programs
  • 24. PROJECT CONTROL • Lean Six Sigma phases  Initiating  Planning  Executing  Closing
  • 25. SERVICE OPERATIONS • Half of service work does not add value to the customer • Decrease service complexity • Standardize services
  • 26. SUPPLY CHAIN MANAGEMENT • Lean issues  Supplier issues  Poor demand forecasts  Capacity  Transportation • Lean Six Sigma creates a balance in the Supply Chain
  • 27. CONCLUSION • Lean Six Sigma “Bottom-line”  Improve business processes  Solving problems for the customer