How to Implement Lean Six Sigma Principles Without a Massive Rollout

Lean Six Sigma principles do not require massive projects and can be used in small operations.

Lean manufacturing seeks to eliminate waste in the workplace. This waste includes wasted time, unnecessary motion and all tasks that don't add value. Lean Six Sigma is the manufacturing quality standard of keeping all products within six standard deviations of variation so that only 34 in 10 million products are outside of these set quality limits. Lean manufacturing, when combined with Lean Six Sigma, seeks to improve process quality while eliminating waste.

Things You'll Need

• Process map
• Performance data

Instructions

Simple Solutions for Fast Process Improvement

1. Create a process map if you do not already have one. Know the flow before you try to change it.

2. Identify where delays are occurring in your process. Michael L. George calls these “time traps.” According to “Lean Six Sigma” by Michael L. George, “Look for where the work in process (materials, hotel guests, mortgage applications) is piled up.” These are the points in the process where small improvements can greatly improve the entire production line.

3. Reduce the number of steps to complete any function. If an organization’s processes are done correctly 99 percent of the time, then a two-step process will have perfect performance 99 percent of the time multiplied by 99 percent correct execution the second time, resulting in quality delivery 98.01 percent of the time. An eight-step process with 99 percent quality at each step will have the desired output only 92.3 percent of the time. Simply by reducing the number of steps or operations, the quality of the outcome increases as long as the quality at each step does not deteriorate.

4. Minimize the number of material handling operations. The more a product is handled, the more risk there is of damage, misplacement and even outright loss.

5. Find the biggest causes of delays by stepping back and looking at your production line as a stranger. An example of this is to take on the role of a secret shopper and watch a customer being helped, recording the points and reasons they are left waiting. Service providers should stand in line as a customer and see where they suffer. The book “Lean Six Sigma Demystified” by Jay Arthur states, “Watch customers work their way through your facility and you’ll most likely find that they’re only being cared for about 5 percent of the total time. The rest of the time they’re waiting for something to happen.” If you do not have the resources to eliminate all wasted time, focus on eliminating the delays that your customers experience.

6. Compare the new process map to the old process map. Compare performance data such as cycle time and the percentage of time that is value added. If the project did not significantly improve quality or reduce cycle time, consider rolling it back or implementing other process improvement suggestions instead.

7. Track performance after changes are made to sustain the gain and allow rapid corrective action. “Lean Six Sigma for Health Care” by Chip Caldwell, Greg Butler and Nancy Posten recommends that companies “establish a monthly milestone tracking process that serves as an early warning system so that the effectiveness of remedial action can be tested.”

Tips & Warnings

• Process improvement ideas such as Lean Six Sigma can be hindered by staff that are reluctant to make changes. “The Lean Six Sigma Guide to Doing More with Less” by Mark O. George states, “Instilling the confidence that people will keep their jobs but that they may be working differently will restore the faith and belief they need to accept the change.”

• Time studies can also find the time traps and wasted time in individual operations.

• Always have a plan, regardless of the scope of the changes to be made. Acting without a plan risks chaos, and that is not value added.

• If material handling cannot be eliminated, shorten the distances so that accidents and damage become less likely.

References

• “Lean Six Sigma Demystified”; Jay Arthur; 2006
• “Lean Six Sigma for Health Care”; Chip Caldwell, Greg Butler, Nancy Posten; 2009
• “Lean Six Sigma: Combining Six Sigma Quality with Lean Speed”; Michael L. George; 2002
• “The Lean Six Sigma Guide to Doing More with Less”; Mark O. George; 2010
• “The Complete Idiot's Guide to Lean Six Sigma”; Breakthrough Management Group, Neil DeCarlo; 2007

Resources

• “Lean Six Sigma Logistics”; Thomas Goldsby, Robert Martichenko; 2005