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MARCH 26
A lot of people new to the subject often ask what lean six sigma is. Here’s a guide to
answer just that! For those that want it, the quick answer is as follows…
What is lean six sigma? Lean six sigma is the amalgamation of 2 process
improvement tools, namely lean manufacturing and six sigma. The
objective is to use the power of both under one seamless delivery.
Together, the lean six sigma practitioner can ensure that processes are
highly ef cient and agile (using lean), and of highly repeatable and
consistent quality (using six sigma).
If you want to know what lean six sigma is in greater depth, here’s the rest of the
article. You’ll know the ins and outs of both in next to no time…
Table of Contents
Lean in Detail
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Related Questions
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If you get things done faster, you can ultimately reduce the time it takes for a
customer to receive
their products or service. Products, information and the service
you provide will be a lot smoother and will be delivered quicker.
And because you make things more ef ciently, it will cost less to process for you.
e 5 Principles
At the heart of lean are 5 core principles. These 5 factors or steps, are used when
analysing a business and how it provides its services or products.
They are:
Lean ensures that we put the customer rst. By understanding what they want, how
they want it, and what customer service they expect, we can then re-design our
processes to effectively deliver this, consistently and ef ciently.
We do this by mapping our processes rst, and identifying the wasteful activities or
the things that are slowing us down and draining time, effort and other resource.
When we spot this waste, we make our processes ow better by removing as much
of it as possible.
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Next, we link processes together so they work to the same pace and to stop them
pushing too much work through to the next stage, too soon. This prevents
overproduction and
ensures our processes are optimised and working together.
Lastly, by constantly challenging how we work today, and striving to improve our
ef ciency and effectiveness, we continuously improve. This is the fth principle of
lean.
It enables us to:
Ways to speed up lead time to customer delivery – Every time you offer faster
and more agile services, you’re normally offering even more value to your
customers.
Improved reliability – which allows us to offer even better guarantees and after
service
Improved pro tability – consistently getting more out with what you already have
means stronger pro t margins and nancial performance
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And all the global manufacturers in the world adopt lean just to compete with each
other.
Examples of Lean in Action
How a Door Manufacturer turned their lead time from a few months to 2 weeks.
How a ful lment business went from offering 2 day deliveries to next day.
And how a furniture manufacturer went from 3 weeks to 5 day delivery and 10
times more customisation options for online orders.
Using it doesn’t involve cracking the whip and getting people to work harder and
under even more duress.
Strip the waste out of processes and you’ll shorten the time it takes.
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A process is full of Value Added Steps (what the customer is willing to pay for) and
Non Value Added (wasteful) steps
And by doing this, you’ll be able to create a higher value added ratio.
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Value stream Mapping – Value Stream Mapping (VSM) is a visual tool that maps
the product, material
and information ows from the customers’ order to the receipt
of nished goods. It allows you to see the waste and how you can improve your
processes for better
performance.
5S – 5S is the basis for Lean and the foundation for a disciplined approach to the
workplace. It involves (1) Sort, (2) Set, (3) Shine, (4) Standardize and (5) Sustain. The
net result: A visual workplace where everything is to hand and t and proper for use.
TPM – TPM involves restoring your equipment’s condition to as good or better than
new status. It also allows you to develop and implement procedures and check-lists
that ensure the equipment stays at that level of performance… so no time is lost to
downtime.
Pull – Pull is a system of signals to previous process steps telling them to process
what’s been consumed. By linking processes to pull principles, you’re controlling
your entire value stream in terms of what to produce and when. That means little
planning, and over production – just a signal to make when the next step tells you to.
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There are of course, others but the above are the main tools. All are geared to
reduce the waste in processes, which in turn allows for them to be faster and more
effective.
So, if we’re making 1 million widgets, and we had a six sigma process, we’d expect
roughly 3 errors.
Or processing 1 million claims… you guessed it, we’d expect around 3 errors.
That’s the ultimate goal of Six Sigma – to improve processes so they are accurate
and precise enough to provide 3.4 defects per million.
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2. The statistics used to identify and eliminate the factors that are preventing near
perfect output
Six Sigma has a robust improvement roadmap that practitioners follow. It’s called
DMAIC and stands for:
Measure – Measure the problem to identify the accuracy and precision of the
process
Analyse – Analyse the process to see what factors are statistically causing the
defects
Improve – Eliminate these factors and re-design the processes to support the
improved way of working
Control – Create process standards and measures to ensure the new process is
followed and sustained
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Therefore, the quality of the output of this process is dependant on the variables
that go into it – Y=fX
Here’s a diagram to help:
A process output (y) is only as good as the variables (x’s) that go into it
The quality of the inputs to a process have an impact. Is the material to the right
speci cation? Is the information correct?
So too, the controls. Is the standard work suf cient? How good is the equipment?
What about the samples and jigs?
The resources also affect the quality of the process. Are people trained to a
competent level? Are they working the right way? Is there enough resource?
All these variables (or X’s) have an affect on the output of the process in their own
right.
It’s Six Sigma’s job to nd the big hitters and prove that they affect the quality of the
process… and then eliminate them.
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e Funnel
Whilst lean has a lot more practicality – focusing on observation whilst making
quick improvements… Six Sigma is enveloped in statistics. It does this to statistically
and categorically prove which variables affect the outcome you’re trying to improve.
These variables (or X’s) can be veri ed using statistics and analysis.
The relationship between the X’s and the DMAIC process can be seen in this funnel
above.
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Process Mapping – Allows us to see the lower level steps in the process, so we can
start to identify all the potential X variables. We may well have over 70 X’s identi ed
after this exercise.
Cause and Effect Matrix – This then allows us to score each X, so we can disregard
those that the team feel are not signi cantly affecting the output of the process.
After this exercise, we could have around 20 or so X’s left.
Failure Mode Affects Analysis – This allows us to drill down even more, cutting
some more X’s away, further.
Statistical Process Control – Allows us to see how stable our process is, and what
we need to do to improve it.
Capability Study – Allows us to determine how capable our process is and should
be when those factors that are causing the problems, are removed. (Remember our
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3.4 defects per million goal? Well, we can analyse the process to see how it should
perform once the vital
few have been eliminated)
There is a bit of heavy lifting when it comes to Six Sigma, but it’s worth it in the end.
You’ll get consistently high quality and ef cient processes, all in one project.
This tree is creating a poor yield of fruit. The fruit produced is often too small and of
poor quality in so much as it’s just not edible.
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tree…
You’d then use Six Sigma to improve the yield of the tree,
so that you can get consistently high quality and
repeatable fruit.
You now have a clean and controlled garden, which produces wonderful fruit with
only (statistically) 3.4 inedible fruit per million picked…
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With lean, you get speed. It’s brought to you through waste elimination, and
standardisation. Using
pull and ow further improves agility and ef ciency.
When you combine the two tools, you get process stability and accuracy AND
speed and throughput.
If you were using either lean or six sigma as a standalone project, you would see
similarities. For instance, a VSM may well be used at the start of either a lean project
or a Six Sigma one.
And so too is standard work, work instructions and even cause and effect diagrams.
The point is to use the tool you need to get the job done and improve what needs to
be xed.
Sometimes you may only need to dip into statistical process control, whilst using the
core lean tools to x a process.
Other times, you may need to look at the whole process using DMAIC in a detailed
way.
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As a practitioner, Lean Six Sigma gives you the ability to know what tool to use to
improve a process, without adding unneeded complexity.
Related Questions
What Typical Sequence Would You Follow Using Lean Six Sigma?
Here’s a rule of thumb to follow with most processes. These steps combine lean six
sigma as a methodology:
1. Always focus on the customer and how you can add more value
2. Map the value stream and see how the work gets completed.
5. Use the people in the processes to drive improvements. Change can’t be done for
them.
Is there a Lean Six Sigma quali cation? The answer is yes! Lean Six Sigma follows
the standard Six Sigma grading structure. The grading increases as you learn more
and prove your skills through successful projects.
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Black Belt – Can lead multiple projects and coaches the Green Belts
Master Black-belt – Helps deploy Lean Six Sigma as a strategic initiative and
ensures that the culture of the business adopts Lean Six Sigma
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