The document discusses Lean Six Sigma principles and methodology. It explains that Lean focuses on eliminating waste to reduce cycle time and improve quality, while Six Sigma aims to reduce variability. Lean Sigma combines these two approaches to build on existing quality and statistical capabilities. It outlines the DMAIC strategy used in Lean Six Sigma, including defining goals, measuring processes, analyzing causes of defects, improving processes, and controlling gains.
Ranking das 100 empresas mais sustentáveis do mundo (Capitalismo Limpo) pela revista Corporate Knights.
Veja lista e detalhes sobre a performance em cada um dos 11 critérios.
Biz Performance Solution’s application suite offers “at a glance” visualizations to manage by project, team, functional area, business unit or an entire enterprise. Encompassing financial planning, strategic and process planning, Biz Performance Solutions applications reveal projected revenue streams and costs associated, allowing near real time ROI so that resources can be allocated to the most profitable programs first. The .Biz Performance Solutions suite offers sure-handed manageability of information and processes of the Value Creation, missed by ERP and CRM systems.
Ranking das 100 empresas mais sustentáveis do mundo (Capitalismo Limpo) pela revista Corporate Knights.
Veja lista e detalhes sobre a performance em cada um dos 11 critérios.
Biz Performance Solution’s application suite offers “at a glance” visualizations to manage by project, team, functional area, business unit or an entire enterprise. Encompassing financial planning, strategic and process planning, Biz Performance Solutions applications reveal projected revenue streams and costs associated, allowing near real time ROI so that resources can be allocated to the most profitable programs first. The .Biz Performance Solutions suite offers sure-handed manageability of information and processes of the Value Creation, missed by ERP and CRM systems.
UCF framework presented to a large IT service company in Mumbai in 2008.. showing my thinking then on how an organization could approach organization capability recording and building.. related to PCMMI.
How do you meet the challenges of SOX compliance in a business process that involves people and systems across multiple divisions, inside a company as well as outside of it? How does a company meet the bigger challenge of integrating with diverse systems ranging from ERP to Content Management to Messaging?
This lecture covers the human resources policies and practices needed in an entrepreneurial context, including everyone's favorite HR topics: hiring and firing! Find out why it’s so important to plan your human resources early on in the start-up process. Look at the legalities of hiring employees, the process of recruiting and how to manage and pay employees.
http://www.marsdd.com/events/details.html?uuid=0cbcbdaa-5d76-442e-861e-7012eb62a403
Scrum is simple to explain, yet hard to implement. Often the mechanics are executed without adoption of the underlying principles and values. This happens often where management assumes that Scrum is “just for software development” and that nothing else needs changing. In such situations, Scrum roles, artifacts and events are understood in terms of the prevailing traditional mindset:
- backlog as a specification
- sprint as a small project
- ScrumMaster as project manager
- commitment as a fixed date & scope contract
While such an implementation of Scrum might deliver predictable results and lead to some improvements, it often fails to transform the organisational mindset and culture. Your business might do the wrong things righter instead of delivering better and better products to delight your customers. To achieve a transformation of mindset and culture, an organisation needs to avoid the pitfalls mentioned above and adopt Scrum as a framework that inspires everyone to continually challenge the status quo. One way to achieve this is using Scrum sprints as risk-limiting containers for safe-to-fail experiments. This enables you to deliberately discover the potential of your people's capability and your products' value. Reviews and retrospectives need to be leveraged to drive this continuous improvement process. The talk will increase awareness of these types of Scrum and help you to rather “be agile” instead of just “do agile”—using Scrum to drive that transformation.
This one page overview reflects now all the Best Pratices work together to provide Customer Delight which is most important factor for Call Centers. Any Questions contact Brian Hughes
Why you need SuccessFactors to salvage your SAP investmentAlex Shevelenko
This little white paper, which I wrote back in 2008, pretty much explains why SAP simply HAD to pay $3.4 billion price tag for buying SuccessFactors at the highest premium for a business cloud application. Aah the fun days of disrupting the giants!
iPayStation Nucleus: Platform Services for ISO and Enterprise RetailersiPayStation
Nucleus is a modular multipurpose, PCI-certified platform enabling merchants to provide a personalized, rich experience for their customers with integrated CRM and Rewards solutions on both credit and gift cards.
The platform is designed as SAAS (Software as a Service) enabling merchants to pick and choose specific features to suit their corporate strategy.
This “Pay as you Grow” platform enables merchants to reduce operational costs and avoid huge upfront investments in payment solutions.
The Nucleus platform is pre-integrated into a majority of POS devices, shopping carts and processors worldwide, making the deployment and integration extremely efficient.
The platform also provides multicurrency, mobile payments, IVR Self Service Solutions, Virtual terminal and WebServices for third party integration as part of the platform providing several avenues to accept payments.
UCF framework presented to a large IT service company in Mumbai in 2008.. showing my thinking then on how an organization could approach organization capability recording and building.. related to PCMMI.
How do you meet the challenges of SOX compliance in a business process that involves people and systems across multiple divisions, inside a company as well as outside of it? How does a company meet the bigger challenge of integrating with diverse systems ranging from ERP to Content Management to Messaging?
This lecture covers the human resources policies and practices needed in an entrepreneurial context, including everyone's favorite HR topics: hiring and firing! Find out why it’s so important to plan your human resources early on in the start-up process. Look at the legalities of hiring employees, the process of recruiting and how to manage and pay employees.
http://www.marsdd.com/events/details.html?uuid=0cbcbdaa-5d76-442e-861e-7012eb62a403
Scrum is simple to explain, yet hard to implement. Often the mechanics are executed without adoption of the underlying principles and values. This happens often where management assumes that Scrum is “just for software development” and that nothing else needs changing. In such situations, Scrum roles, artifacts and events are understood in terms of the prevailing traditional mindset:
- backlog as a specification
- sprint as a small project
- ScrumMaster as project manager
- commitment as a fixed date & scope contract
While such an implementation of Scrum might deliver predictable results and lead to some improvements, it often fails to transform the organisational mindset and culture. Your business might do the wrong things righter instead of delivering better and better products to delight your customers. To achieve a transformation of mindset and culture, an organisation needs to avoid the pitfalls mentioned above and adopt Scrum as a framework that inspires everyone to continually challenge the status quo. One way to achieve this is using Scrum sprints as risk-limiting containers for safe-to-fail experiments. This enables you to deliberately discover the potential of your people's capability and your products' value. Reviews and retrospectives need to be leveraged to drive this continuous improvement process. The talk will increase awareness of these types of Scrum and help you to rather “be agile” instead of just “do agile”—using Scrum to drive that transformation.
This one page overview reflects now all the Best Pratices work together to provide Customer Delight which is most important factor for Call Centers. Any Questions contact Brian Hughes
Why you need SuccessFactors to salvage your SAP investmentAlex Shevelenko
This little white paper, which I wrote back in 2008, pretty much explains why SAP simply HAD to pay $3.4 billion price tag for buying SuccessFactors at the highest premium for a business cloud application. Aah the fun days of disrupting the giants!
iPayStation Nucleus: Platform Services for ISO and Enterprise RetailersiPayStation
Nucleus is a modular multipurpose, PCI-certified platform enabling merchants to provide a personalized, rich experience for their customers with integrated CRM and Rewards solutions on both credit and gift cards.
The platform is designed as SAAS (Software as a Service) enabling merchants to pick and choose specific features to suit their corporate strategy.
This “Pay as you Grow” platform enables merchants to reduce operational costs and avoid huge upfront investments in payment solutions.
The Nucleus platform is pre-integrated into a majority of POS devices, shopping carts and processors worldwide, making the deployment and integration extremely efficient.
The platform also provides multicurrency, mobile payments, IVR Self Service Solutions, Virtual terminal and WebServices for third party integration as part of the platform providing several avenues to accept payments.
2. Lean Six Sigma Principles
Specify value in the eyes of the customer
Identify value stream; eliminate waste and
variation
Make value flow at pull of the customer
Involve, Align & Empower Employees
Continuously improve knowledge in pursuit
of perfection
3. Lean Sigma Process Improvement Cycle
VOICE OF STRATEGIC
CUSTOMER PLAN
Better
Gap Identified
BUSINESS
BUSINESS UNIT Faster
UCL OBJECTIVES SCORECARD
Avg
LCL Financials
BUSINESS
MEASURES
r ove VALUE STREAM
I mp
Co
nt
ro
SCORECARD
l
PROCESS FLOW
PROCESS
Tools &
Analyze
Methodology
e
UCL
fin
PROCESS
De
Avg
MEASURES
LCL
M ea X's Y's
sure
4. Deployment IPO
Executive Ow nership
Champion I nvolvement Projects Complet ed (% )
PROCESS
Expert/ Specialist Selection Cycle Time (months)
Project Selection Lean Sigma
Deployment ROI ($MM/ year)
Training / Mentoring
Accountability Customer Satisfaction (1-5)
Motivation / Rew ard Recognition (copied)
Leadership Team
5. Supplier
Better
Material Type
S y Yield
Amount of A
Temperature
Design Type Six Sigma
SOPs
ry
to In-
CODN (Finance) en Process
I nv Storag
Results Communication
Cost e
Driven IPO P
Team Dynamics Sp s roc
Pr
Diagram ac es
od
e
uc
Turnover
t
Rate
Cell Layout Design
Piece Flow
t
De hpu
l)
Lean
ia
Manpower
er
ug
el ay
at
ro
l
(M
Th
Setup SOPs
r
Time
bo
av
La
Tr
Maintenance SOPs
Pr
Se
Ca
Le ity
Cell Cleanliness
oc
tup
pa
ad
es
c
s
6. What is Lean and Six Sigma?
• Lean, pioneered by Toyota, • Six Sigma, developed by
focuses on the efficient Motorola, made famous by GE,
operation of the entire value it can be defined as a:
chain. – Measure of process
• Focus areas: capability
– Remove non-value added – Set of tools
steps to: – Disciplined methodology
• Reduce cycle time – Vision for quality
• Improve quality – Philosophy
– Align production with – Strategy
demand.
– Reduce inventory.
– Improve process safety and
efficiency.
Lean Sigma is a combination of two powerful and proven process
improvement methods Lean and Six Sigma, that builds on
existing organization capability in quality, statistics, and project
execution.
7. Lean Sigma: A Set of Tools
Measurement System Analysis
Glass Inspection Test
Operator 1 Operator 2 Operator 3
Item Test 1 Test 2 Test 1 Test 2 Test 2
Test 1
Use control charts to
Use control charts to 1
understand & identify
understand & identify
2
3
common & special
common & special 4
Map the process to
Map the process to causes
causes 5
determine where
determine where 6
defects are being
defects are being
7
Verify assessment/
created
8
Verify assessment/
created 9 measurement systems
measurement systems
1
0
RISK PRIORITY NUMBER (RPN) =
SEVERITY X 0CCURRENCEX ESCAPED DETECTION
Score Run A B AB y y y ... y s
Category 5 4 3 2 1 1 2 3
1 - - +
Severity Severe High Moderate Minor Negligible
(SEV) 2 - + -
Occurrence Very High High Moderate Low Very Low 3 + - -
(OCC)
4 + + +
Document failure modes
Document failure modes Designed experiments to
Designed experiments to
∆ ∆ ∆
Escapedfor products andModerate Low Very Low
for products andprocesses
Very High High
processes
ˆ
make process robust 2to A • B
y = y + A A + B B + AB
Detection
(DET) to identify defects' root cause
make process robust to
2 2
to identify defects' root cause variation
variation
ˆ δ δ δ
s = s +
¯ A A + B B + AB A • B
2 2 2
8. How is Lean Sigma different and similar to
past quality and statistical efforts?
• Sponsored and directed by • Uses many tools already
leadership familiar to many people –
• Aligned with business fishbone, process flow,
objectives and tactics SPC, brainstorming
• Focused on delivering • Aligned with quality efforts
business results
• Uses a logical problem
• Track record for delivering
solving approach that will
business results
• Disciplined and systematic
not be new to some
execution process • Aligned with past quality
• Brings in new tools to most and reliability efforts –
companies – DOE, TQM, Baldrige, Deming
hypothesis testing, FMEA,
Kanbans, PokaYoke
9. Focus Area of Lean and Six Sigma
Lean:
• Reduction of the “7 hidden wastes” or
non-value added activities to reduce cycle
time.
Six Sigma:
• Reduction of variability to improve
quality.
Both Lean and Six Sigma Tie
Improvements to $$$
10. Overlap of Lean and Six Sigma Tools
Cycle Time Reduction Variance Reduction
Mapping
IPO
Logical
CE
JIT Physical • PF
CNX
Time • Scorecard Testing
Quick
• SOP Correlations
Changeovers
• Mistake Hypothesis
Single Piece
Proofing DOE
Flow 5Ss • $$$
Visual FMEA
Lean Controls MSA
Six Sigma
11. Combining Lean and Six Sigma
Maximizes the Potential Benefits
Six Sigma – Improve Quality
Overall Yield as a Function of Sigma Level & Process Steps
Sigma Level
Lean – Remove Steps
No. of Parts or
Process Steps +/- 3 +/- 4 +/- 5 +/- 6
1 93.32% 99.379% 99.9767% 99.99966%
5 70.8% 96.9% 99.884% 99.998%
10 50.1% 94.0% 99.767% 99.997%
50 3.2% 73.2% 98.84% 99.983%
100 0.1% 53.6% 97.70% 99.966%
500 0.0% 4.4% 89.0% 99.8%
1,000 0.2% 79.2% 99.7%
5,000 0.0% 31.2% 98.3%
10,000 t 9.7% 96.7%
en
50,000 m 0.0% 84.4%
ove
100,000 pr 71.2%
500,000 e Im 18.3%
1,000,000 Driv 3.3%
12. Sigma Capability
The number of Sigmas between the center of a process and the nearest
specification limit
3 σ Process Centered
3 σ Process • We make more than
Lower Upper customer needs because
Specification Specification some of what we make
Limit Limit is waste
• Process is WIDER than
the specifications
Determined by Determined by
the customer the customer
WASTE
-6σ -5σ -4σ -3σ -2σ -1σ 0 +1σ +2σ +3σ +4σ +5σ +6σ
6 σ Process
3 σ Process has 66,807 6 σ Process Centered
dpm vs 3.4 from a 6 σ • We make as much as
process the customer needs
and have very little
waste
• Process FITS within
the specifications
-6σ -5σ -4σ -3σ -2σ -1σ 0 +1σ+2σ+3σ+4σ+5σ+6σ
13. The First Step is Process Knowledge
Long Term Success
Return on Investment
Process Improvement
The 1st Step is Process Knowledge
14. 80 Percent of the Gain with
20 Percent of the Complexity
Most of the 80%
improvement is
possible with Improvement
the basic
quality and
statistical tools.
20%
Tool Complexity
15. Sustained Improvements without
Capital Dollars
•Sustainable Results
•Process improvements from Lean Sigma Projects
are sustained.
•Typically, results are audited at 4 and 12 months
after implementing changes.
•Not Capital Driven
•Lean Sigma projects are NOT Capital driven.
•Most improvements are made by changes in the
SOP.
16. Lean Six Sigma Roadmap
DMAIC Strategy
• Define
– Identify and Prioritize Opportunities
– Select Your Project
– Define the Goals and Objectives
– Form Cross functional Team
– Understand Customer Requirements
• Measure
– Define and Analyze the Current Process
– Assess the Capability of the Measurement
Process
– Assess the Current Capability of the Process
– Variance Reduction
17. DMAIC Cont.
• Analyze
– Identify the Key Input Variables
– Discover the Relationship between the Inputs and
Outputs
– Identify the Root Causes of the Problems
• Improve
– Identify and Test the Proposed Solutions
– Re-assess Capability
– Implement Solution
• Control
– Document Results and Return on Investment
– Take Actions to Hold the Gains
– Celebrate and Communicate
Editor's Notes
Lean has traditionally focused on cycle time reduction, inventory reduction, reduction of floor space, by the elimination of the 7 hidden wastes. Six Sigma has traditionally focuses on variance reduction (the elimination of “noise factors”) to improve quality. The goal of both is to produce a financial benefit.
This graphic summarizes the tools have been traditionally used for Cycle Time Reduction (Lean) and for Variance Reduction / Quality Improvement (Six Sigma) and which ones are common to both.
The point of this table is to illustrate that a process can be improved by reducing steps (Lean) and-or increasing quality (Six Sigma) of each step. For example, a 10 step process with a 3 sigma quality level will only produce products with a 50% yield (the probability that a good part will be produced each time a new one is started through the process). The combination of Lean and Six Sigma provides the best possible result. It is suggested that steps be eliminated before efforts are made to improve quality of each step.
The first step in process improvement is to gain process knowledge. Without this step we can stumble. True understanding of our processes is a competitive advantage.
Major process improvement can be made with the basic quality and statistical tools. Only after the process is operating at high performance do we need to employ more sophisticated knowledge gaining tools.
The look backs performed at 12-months have repeatedly demonstrated that improvements are sustained. The improvements are typically made by changes in procedures. The only money spent on Lean Sigma projects is typically for collecting data. The investment is the time the team takes to understand the process, collect and analyze the data, and implement the changes.