Lean Six Sigma Process Improvement

What is a Process?

In order to understand Process Improvement, we must first ask the question, what is a process? A process is a series of systematic and interrelated activities or steps undertaken to achieve a specific goal or outcome. In the context of business, manufacturing, or any organized activity, processes are the structured and repeatable sequences of tasks designed to produce a particular product, service, or result. Processes can be simple or complex, involving various stages, inputs, transformations, and outputs.

Key characteristics of a process include

• Inputs: The resources, information, or materials required to initiate and execute the process.
• Activities or Tasks: The specific actions or steps that transform inputs into outputs.
• Outputs: The end result or deliverables produced by the process.
• Controls: Mechanisms or measures in place to ensure the process operates within defined parameters and meets quality standards.
• Feedback: Information obtained during or after the process execution to make improvements or adjustments.

Processes can be found in various areas of any business, such as business operations, manufacturing, service delivery, and project management. Understanding and optimizing processes is crucial for organizations aiming to enhance efficiency, quality, and overall performance. Process improvement methodologies, like Lean Six Sigma, are often employed to analyze, streamline, and optimize processes for better outcomes.

The term Process improvement refers to the systematic approach of identifying, analyzing, and enhancing existing processes within an organization to achieve better results, increase efficiency, and meet specific objectives. The goal of process improvement is to streamline workflows, reduce waste, enhance quality, and optimize overall performance.

The Basics of process improvement

• Identification of Processes: Organizations identify the key processes that contribute to their operations, products, or services.
• Analysis: Thorough analysis of the identified processes is conducted to understand their current state, including strengths, weaknesses, bottlenecks, and areas for improvement.
• Goal Setting: Clear goals and objectives are established to define what success looks like after the improvement initiative.
• Redesign or Optimization: Based on the analysis, processes are redesigned or optimized to address inefficiencies, reduce errors, and enhance overall effectiveness.
• Implementation: The improved processes are implemented, often through pilot programs or phased rollouts.
• Monitoring and Measurement: Continuous monitoring and measurement of the revised processes are essential to ensure that they are performing as expected and meeting the defined goals.
• Feedback and Iteration: Feedback from stakeholders and ongoing assessment provide valuable insights for further refinement or iteration of the improved processes.
• Documentation: Proper documentation of the revised processes is crucial for maintaining consistency, training, and future reference.

Process improvement can be approached using various methodologies, and one widely adopted framework is Lean Six Sigma. Lean Six Sigma combines Lean principles, focused on eliminating waste, with Six Sigma methodologies, focused on reducing variation and defects. Organizations often leverage process improvement initiatives to stay competitive, adapt to changing market conditions, and enhance customer satisfaction.

What is Lean?

The Basics of Lean

• Value: Identify what the customer values and ensure that the organization’s activities are aligned to deliver that value.
• Value Stream: Map out the entire value stream for a product or service, highlighting every step involved from the beginning to the end.
• Flow: Optimize the flow of work by removing bottlenecks, minimizing delays, and ensuring a smooth and continuous process.
• Pull: Implement a pull system, where work is pulled based on actual demand rather than being pushed through the system based on forecasts.
• Perfection: Strive for continuous improvement and perfection by eliminating waste, improving processes, and fostering a culture of problem-solving.

Lean principles have been widely adopted beyond manufacturing and are applied in various industries, including healthcare, services, and software development, among others. The goal of Lean is to create more value for customers with fewer resources and less waste, leading to increased efficiency, improved quality, and higher customer satisfaction.

What is six sigma in simple terms?

Six Sigma focuses on:

• Quality
• Consistency

By consistency we mean delivering products and services that day-after-day meet quality standards; the product we deliver today is just like the one that is delivered tomorrow.

When we eat a restaurant, purchase a new hard drive, or travel on an airplane, we expect a certain level of quality. The role of Six Sigma is to ensure that this level of quality is delivered to the customer.

Sometimes, companies fail to meet this challenge.

Takata a Japanese manufacturer of auto airbags is one such example. These airbags relied on a compound of ammonium nitrate that expands upon impact, inflates the bag, and thereby protects the driver and passenger from head or body injuries.

However, the compound broke down when exposed to moisture and temperature swings. Some accidentally exploded sending metal fragments though the passenger compartment. In total 19 auto manufacturers recalled approximately 37 million vehicles in which over 50 million airbags were replaced. It was the largest recall in automotive history. Moreover, the human toll was substantial. Twelve people died and almost 200 were injured.

What are 6 Sigma principles?

• Define: Clearly articulate the problem or opportunity for improvement, set project goals, and define the scope of the process to be addressed.
• Measure: Collect data to understand the current state of the process and quantify the extent of the problem or variation.
• Analyze: Use statistical analysis and tools to identify the root causes of issues and variations within the process.
• Improve: Develop and implement solutions to address the root causes, with the goal of optimizing and enhancing the process.
• Control: Establish controls and measures to sustain the improvements over time, ensuring that the process remains within acceptable limits.

What is the main difference between Lean and Six Sigma?

Combining Lean and Six Sigma into Lean Six Sigma creates a powerful approach to enhancing processes and achieving operational excellence. The methodology merges the strengths of both Lean and Six Sigma to create a comprehensive framework that addresses efficiency, quality, and customer satisfaction.

Key Components

• Waste Elimination (Lean): Lean principles focus on identifying and eliminating waste in processes. This includes any activity that does not add value to the customer. By streamlining workflows and minimizing non-value-added activities, Lean contributes to improved efficiency.

• Variation Reduction (Six Sigma): Six Sigma, on the other hand, emphasizes reducing variation in processes to enhance quality. Through statistical analysis and data-driven decision-making, Six Sigma helps organizations achieve consistent and reliable outcomes, ultimately leading to fewer defects and errors.

Shared Principles

• Customer Focus: Both Lean and Six Sigma share a customer-centric approach, prioritizing the delivery of value to customers and meeting or exceeding their expectations.

• Continuous Improvement: Lean Six Sigma fosters a culture of continuous improvement. It encourages organizations to regularly assess and refine their processes to achieve optimal efficiency and quality.

Benefits of Lean Six Sigma

• Synergistic Approach: Combining Lean and Six Sigma creates a synergistic effect, addressing both efficiency and quality aspects concurrently.

• Comprehensive Problem-Solving: Lean Six Sigma provides a comprehensive toolkit for problem-solving, incorporating Lean’s waste reduction and Six Sigma’s variation reduction methodologies.

• Versatility: Lean Six Sigma is adaptable to various industries and sectors, making it a versatile approach for organizations seeking improvement in diverse operational contexts.

• Cultural Transformation: The methodology often leads to a cultural transformation within organizations, instilling a mindset of continuous improvement and data-driven decision-making.

By integrating Lean and Six Sigma principles, organizations can achieve a holistic approach to process improvement. Lean Six Sigma is particularly valuable for businesses seeking to optimize processes, reduce waste, enhance quality, and ultimately deliver superior value to customers. Whether applied in manufacturing, services, healthcare, or other industries, Lean Six Sigma provides a structured and proven framework for achieving operational excellence.

Visual representations of a process to understand the flow of activities, identify bottlenecks, and optimize the sequence of tasks.

Fishbone Diagram (Ishikawa or Cause-and-Effect Diagram):

A visual tool to identify and categorize potential causes of a problem, aiding in root cause analysis.

SIPOC (Supplier, Input, Process, Output, Customer) Analysis:

A high-level process map that defines the Suppliers, Inputs, Processes, Outputs, and Customers, providing a comprehensive view of the process.

Value Stream Mapping (VSM):

A tool to analyze, visualize, and optimize the flow of materials and information throughout a process.

Control Charts:

Statistical charts that monitor process stability over time, identifying variations and deviations from the norm.

Histograms:

A graphical representation of the distribution of a set of data, useful for understanding process variation.

Pareto Chart:

A bar chart that prioritizes issues by frequency or impact, helping focus efforts on the most significant problems.

Root Cause Analysis (RCA):

A systematic process to identify the underlying causes of problems, enabling effective solutions.

Failure Mode and Effect Analysis (FMEA):

A structured approach to identify and prioritize potential failure modes in a process, assessing their impact and likelihood.

Kaizen Events:

Rapid improvement workshops that bring together a cross-functional team to achieve quick and tangible process improvements.

Regression Analysis:

A statistical tool to identify relationships between variables, useful for predicting and understanding the impact of process changes.

These tools are integral to the Lean Six Sigma methodology, supporting the systematic identification of issues, analysis of data, and implementation of targeted improvements to achieve enhanced process performance and customer satisfaction.

Organizational Development (OD) and Lean Six Sigma can work synergistically to foster continuous improvement, enhance efficiency, and promote a culture of excellence within an organization. Both approaches share common goals of optimizing processes, minimizing waste, and improving overall performance, making them complementary in driving positive change. Here’s how Organizational Development and Lean Six Sigma intersect and contribute to organizational success:

Cultural Alignment

• Organizational Development: OD focuses on aligning organizational culture with strategic goals, fostering collaboration, and enhancing employee engagement.
• Lean Six Sigma: Lean Six Sigma encourages a culture of continuous improvement, data-driven decision-making, and problem-solving. The methodology supports the development of a culture where employees actively contribute to process optimization.

Change Management

• Organizational Development: OD methodologies include change management strategies to help organizations navigate and adapt to transformations effectively.
• Lean Six Sigma: Implementing Lean Six Sigma often requires organizational changes. The principles of change management from OD can be applied to ensure smooth integration and sustained improvements.

Employee Engagement

• Organizational Development: Employee involvement and engagement are key focuses of OD, aiming to create a positive work environment and encourage active participation.
• Lean Six Sigma: Engaged employees are crucial for the success of Lean Six Sigma initiatives. Employees involved in process improvement teams contribute valuable insights and feel more invested in the success of the organization.

Continuous Improvement

• Organizational Development: OD emphasizes continuous learning, adaptation, and improvement to stay responsive to external changes.
• Lean Six Sigma: The foundation of Lean Six Sigma is continuous improvement. The methodology provides a systematic approach to identifying and addressing inefficiencies and defects in processes.

Strategic Alignment

• Organizational Development: OD ensures that organizational structures, processes, and systems are aligned with strategic goals.
• Lean Six Sigma: Lean Six Sigma projects are often aligned with strategic objectives, ensuring that improvements directly contribute to the organization’s overall success.

Data-Driven Decision-Making

• Organizational Development: OD increasingly emphasizes the importance of data in decision-making processes.
• Lean Six Sigma: Data-driven decision-making is a core tenet of Lean Six Sigma. Statistical tools and analysis play a crucial role in identifying root causes and validating the effectiveness of process improvements.

By integrating Organizational Development principles with Lean Six Sigma methodologies, organizations can create a holistic approach to fostering a culture of continuous improvement, adapting to change, and achieving strategic objectives. The synergy between these two disciplines strengthens the organization’s ability to navigate complexity, promote innovation, and sustain long-term success.

Employees

• Skill Development: Employees involved in Lean Six Sigma projects gain valuable skills in problem-solving, data analysis, and process improvement.
• Engagement: Actively participating in improvement initiatives enhances employee engagement, job satisfaction, and a sense of ownership in organizational success.

The importance of training and certification in Lean Six Sigma for professional development and process improvement is paramount. Lean Six Sigma utilizes a six sigma belt based certification system to designate the level of expertise and responsibilities of individuals involved in process improvement projects. The belt levels in Lean Six Sigma are inspired by martial arts rankings and signify the level of training and experience. The most common belt levels are as shown below.

White Belt:

Entry-level designation for individuals who have basic awareness of Lean Six Sigma concepts but are not directly involved in projects. White Belts often support projects by providing input or participating in improvement activities.

Yellow Belt:

Individuals with a Yellow Belt have a foundational understanding of Lean Six Sigma principles and can actively participate as team members in improvement projects. They may lead smaller projects within their work areas.

Green Belt:

Green Belts are more advanced practitioners who lead or support improvement projects. They have a comprehensive understanding of Lean Six Sigma tools and methodologies and typically dedicate a portion of their time to process improvement activities.

Black Belt:

Black Belts are highly skilled practitioners responsible for leading significant improvement projects. They have in-depth knowledge of Lean Six Sigma methodologies and are capable of mentoring and coaching Green Belts. Black Belts often work full-time on improvement initiatives.

Master Black Belt:

Master Black Belts are seasoned experts in Lean Six Sigma. They provide strategic guidance, mentorship, and training to Black Belts and Green Belts. Master Black Belts play a crucial role in the deployment and success of Lean Six Sigma across the organization.

These belt levels create a structured hierarchy, allowing organizations to develop a pool of individuals with varying levels of expertise in Lean Six Sigma. Each level corresponds to different roles, responsibilities, and expectations in terms of leading or supporting improvement initiatives.

It’s worth noting that some organizations may use variations of these belt levels or additional designations based on their specific needs and industry practices. The key is to have a well-defined structure that enables individuals to progress in their Lean Six Sigma journey and contribute to the organization’s overall success.

Top Institutes for Six Sigma Certification

The best six sigma certification programs for beginners to experts.

ASQ

Pros: Industry trusted, in-depth offerings.

Cons: Expensive, several requirements, training sold separately, renewal fees.

SSGI & Baldrige Foundation

Pros: Industry Trusted, Baldrige Foundation and PMI partners, affordable, acclaimed expert trainer, no renewal fees.

Cons: less affordable options available.

IASSC

Pros: Reasonable pricing

Cons: Located outside of US in Cyprus, training not included, accredited providers located primary outside of North America, renewal fees.

Villanova

Pros: Video based learning, university backing

Cons: Expensive, schedule based, requirements

Embark on a transformative journey of process improvement with Lean Six Sigma today. Discover the power of this proven methodology in enhancing efficiency, reducing waste, and elevating the overall quality of your organizational processes. Whether you’re a novice seeking to understand the fundamentals or a seasoned professional aiming for advanced mastery, our comprehensive Lean Six Sigma training programs cater to every level. Take the first step toward excellence, and equip yourself with the skills and knowledge to drive meaningful change within your organization. Start your Lean Six Sigma process improvement journey now and unlock a path to continuous improvement and operational excellence.