Introduction

Developments That Led to

Lean Six Sigma Methodology
Lean Manufacturing
 Lean Definitions
• Lean is a body of knowledge and tools organizations use to remove all
non-value-added (time, activity or waste) from their processes.
• Lean is a set of methods and tools for improving a process.
• Lean is an improvement system, like the Toyota Production System
(TPS),that sets the framework for how the whole enterprise operates.
 Lean Benefits
•Removes non-value added activity.
•Reduces waste.
•Cuts lead times (time it takes from order to delivery).
•Lowers cycle times (time it takes to do a task).
•Improves cash flow.
•Minimizes downtime.
•Improves productivity.
•Increases customer satisfaction.
Work process
The 8 Wastes
History of Lean
 Where Did Lean Come From
• Toyota lowered its new product development process for related
vehicles down to about 12 months from most competitors .

• Toyota assembly line today move down at 57 Sec. intervals.

Lean History_1 Lean History_2 Lean History_3

 Where Did Lean Come From
• James Womack and Daniel Jones
• They linked together as researchers on the capabilities of the
automotive industry since 1979.
• They conducted a 5-year study of the Toyota system and the
rest of the automotive industry. This study led to the book The
Machine that Changed the World. This book changed the
world of mass production by detailing how lean manufacturing
produces products .
 Summary of Lean Development
Pioneer Time Period Contribution

Frederick 1856 - 1915 • Wrote Principles of Scientific Management

Taylor
• Divided work into component parts
Henry Ford 1863 - 1947 • Called the father of mass production
• believer in waste reduction
Sakichi 1867 - 1930 • Developed the jidoka concept
Toyoda • Initiated the Toyota Motor Company
Kiichiro Toyoda 1895 - 1952 • Promoted mistake proofing concepts For Toyota Motor Co.
• Created the Toyota production system
Taiichi Ohno 1912 - 1990 • Integrated the TPS Onto the supply chain
• Had the vision to eliminate waste
• Developed the SMED system
Shigeo Shingo 1909 - 1990
• Help develop other TPS elements
Womack • Promoters of lean enterprise
1979
&Jones •Authors of lean books” The Machine That Changed the Word”
Reduce the Mean Time of the process

12 14 16 18 20 22 24 (Min)

Mean
Lean Management Model “TOYOTA”
Lean Management Model “Mitsubishi”
Lean Management Model “G.E”
 When to use Lean
problems Solution
There seems to be a lot of waste Eliminate wastes
There is a need to improve work flows Simplify processes

There is a need to speed up processes Improve flows

Lean Methodology
Understand Lean Six Sigma
 Lean Six Sigma Definition
 Lean Six Sigma is the combination of two world class approaches to
organizational performance improvement.
 Lean is good for (waste Removal and cycle time reduction)
 Six Sigma is good for (defect and Variation reduction).
 Lean Six Sigma

Through Increase Speed Quality Through

(Waste (Defect
(Time Faster) (Better) Reductions)
Removal)

Better Quality, Faster

Improve Process
"war on variation“
"war on waste."
The Statistical Focus

Mean
 The Statistical Focus
 Lean is to (move the mean)

 Six Sigma is to (variation reduction around the mean).

 Lean Six Sigma enables you to improve the velocity of your process &
also improving its accuracy and precision by reducing defects.

 Statistically speaking, Lean Six Sigma enables you to "move the mean" of
performance while also reducing variation around it.
Lean and Six Sigma Integration
 Lean Six Sigma Steps
Define
Determine Project Objectives &
Define & Scope Problem Create Project Charter Create Value Stream Mapping
Benifits

Measure
Measure Process Cycle
Measure Performance Standerd Measure System Analysis Time Value Analysis
Efficiency

Analyze
Estimate Process Capability Process Performance Non-Value Added Analysis Identify Variation Sources

Improve
Generating of Ideas Rating of Ideas Impovement Recommendation

Control
Define & Validate Measurement Determine Process Capability Implement Process Control
 Lean Six Sigma combines the strengths of each system:

• Lean • Six Sigma

– Guiding principles based operating system – Focus on Voice of the Customer
– Relentless elimination of all waste – Data and fact based decision making
– Creation of process flow and demand pull – Variation reduction to near perfection levels
– Resource optimization – Analytical and statistical rigor
– Simple and visual

Strength: Efficiency Strength: Effectiveness

An Extremely Powerful Combination!

 Lean and Six Sigma Integration
Lean (Manf.) Six Sigma Lean Six Sigma
Goal Increase flow & Reduce defects & Better Quality Faster
eliminate waste Eliminate variation
Application 1st manufacturing pro. All business processes All business processes
Approach principles and problem-solving Use Statistical Tools &Best
implementation relying on statistics practice to Solve the
based on best practice problem
Project Time 1 week to 3 months 2 to 6 months 3 Months & Up

Training Learning by doing Learning by doing Learning by doing

Main Savings Cost of poor quality Main &cost of poor Quality
Operating costs

Moderate Complexity High Moderate

Better Isn't Always Better