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Six sigma vs lean
- 1. Six Sigma Vs Lean Presented by MN Kiranmai, BSc (RN), MSc (Psychology) QI Officer Jazan
- 2. DEFINITION OF LEAN SIX SIGMA • Lean Six Sigma is a methodology that relies on a collaborative team effort to improve performance by systematically removing waste; combining lean manufacturing/lean enterprise and Six Sigma to eliminate the eight kinds of waste (muda): Time, Inventory, Motion, Waiting, Over production, Over processing, Defects, and Skills (abbreviated as 'TIMWOODS')
- 3. Learning Objectives 1. Understand DMAIC and Lean Methodologies. 4. Where are Six Sigma and Lean Methodologies used? 3. What are the tools used for Six Sigma and Lean? 2. What are the differences between Six Sigma and Lean?
- 4. Y=F (X) • Lean Six Sigma is about improving what is important or “critical to the customer and quality (CTQ).” Y is the measurement of the CTQ that needs to be improved to meet customer needs. • Once you understand what the Ys are, (those things critical to customers and quality), measure them and compare them to the targets. Understand the process characteristics that may cause variation and then reduce this variation by controlling the process variables. These process variables are called the Xs. • There may be many Xs that can affect the Y. • This simple equation is used to help communicate what a project is trying to accomplish. If Y is a function of X, then identify the Xs with enough precision to first improve them and then control them. Once Xs are maintained, the Y will be met.
- 7. DMAIC: Six Sigma DMAIC Methodology Control Improve Analyze Measure Define Test Hypotheses List Vital Few Xs Identify Control Subjects Develop Feedback Loops Develop Process Control Plan to Hold the Gains Implement, Replicate Select the Solution Design Solution, Controls, and Design for Culture Prove Effectiveness Develop Project Charter Determine Customers & CTQs Map High-Level Process Establish and Measure Ys Plan for Data Collection Validate Measurement System Measure Baseline Sigma Identify Possible Xs
- 8. Six Sigma Methodology Y Xs Measure Analyze Improve Control Process Characterization Process Optimization Goal: Y = f ( x ) Define Practical Problem Statistical Problem Statistical Solution Practical Solution
- 9. Six Sigma
- 10. Sources of Variation y x Poor Design Changing Needs Measurement System Insufficient Process Capability Skills & Behaviours
- 11. Lean Methodology Control Process Improve Process - Pull Analyze Process - Flow Measure Value Define Value Define Stakeholder Value and CTQs Define Customer Demand Map High-level Process Assess for 6S Implementation Measure Customer Demand Plan for Data Collection Validate Measurement System Create a Value Stream Attribute Map Determine Pace, Takt-time and Manpower Identify Replenishment and Capacity Constraints Implement S1-S3 Analyze the Value Stream Attribute Map Analyze the Process Load and Capacity Perform VA/NA Decomposition Analysis Apply Lean Problem Solving to Solve for Special Causes Conduct the Rapid Improvement Event Design the Process Changes and Flow Feed, Balance, Load the Process Standardize Work Tasks Implement New Processes Stabilize and Refine Value Stream Complete Process and Visual Controls Identify Mistake-proofing Opportunities Implement S4-S6 Control Plan, Monitor Results, and Closeout Project
- 12. LEAN
- 13. Why Define a Process as a Value Stream? –Focuses attention on what is important for the customer. –Identifies all the necessary components to bring a product or service from conception to commercialization. –Identifies waste inherent in processes and works to remove it. –Reduces defects in products and deficiencies in processes. –Focuses on improving specs and cost.
- 14. VALUE Vs WASTE What Is Typically Found Lean Value Stream Management starts with defining value in terms of products and process capabilities to provide the customer with what they need at the right time and at an appropriate price. Value added Non-value added/waste
- 16. Adapted from Taiichi Ohno The Eight Wastes 1. Overproduction—making or doing more than is required or earlier than needed. 2. Waiting—for information, materials, people, maintenance, etc. 3. Transport—moving people or goods around or between sites. 4. Poor process design—too many/too few steps, non- standardization, inspection rather than prevention, etc. 5. Inventory—raw materials, work-in-progress, finished goods, papers, electronic files, etc. 6. Motion—inefficient layouts or poor ergonomics at work-stations or in offices. 7. Defects—errors, scrap, rework, non-conformance. 8. Underutilized personnel resources and creativity—ideas that are not listened to, skills that are not utilized.
- 17. History of Lean Toyota Ohno and Shingo Flow of work Small batch sizes New philosophy Womack “Mach. Changed World” Eliminate Waste Improve performance Flexibility 1940 1952 1964 1980 1990 2000 2008 Just-in-Time Schonberger “Japanese Mfg Techniques” Takes TPS and imports to US Added to 6s tool kit Large quantities Rapid pace High training US war production TPS Lean JIT Lean 6s
- 18. • Methods Results The Methods Lean & Six Sigma Higher Quality Lower Costs Culture Change Dashboard Results Improve Speed Sustain Performance Achieve Breakthrough
- 19. Accelerated Change Management Support Pathway How to Think About Improvement The Juran Trilogy ® Plan Control Improve DFSS RCCA Lean Six Sigma Sporadic Spike Breakthrough Six Sigma & Beyond Chronic Waste COPQ
- 20. Matching Improvement Process to Need Change Management Plan, Do, Study, Act (PDSA) Lean & Six Sigma DMAIC Design for Lean Six Sigma Small Gains or Clear Solution Launch New Product, Service, or Process Large Gains Medium Gains
- 21. Lean and Six Sigma LEAN = Improvement principles focused on dramatically improving process speed and eliminating the eight deadly wastes. Improve Process- Pull Control Process Analyse Process-Flow Measure Value Define Value SIX SIGMA = Breakthrough Process, Design, or Improvement Teams focused on eliminating chronic problems and reducing variation in processes. Improve ControlAnalyzeMeasureDefine
- 22. Lean Project Attributes • Simply stated: “Lean is about moving the Mean.” It focuses on efficiency. – Lean reduces average cycle time. – Lean reduces excess inventory. – Lean improves average response time. Improvement
- 23. Six Sigma Attributes • Simply stated: “Six Sigma is about Reducing Variation.” It focuses on Effectiveness. The mean will most likely also be improved. – Decrease defect rate – Increase Process Yield Improvement
- 24. Lean and Six Sigma Six Sigma = Breakthrough Process Improvement Teams focused on eliminating chronic problems and reducing variation in processes. Lean = Rapid Improvement Teams focused on dramatically improving process speed, and the elimination of the eight deadly wastes. IMPROVED EFFICIENCY Improve Process- Pull Control Process Analyze Process- Flow Measure Value Define Value IMPROVED EFFECTIVENESS Improve ControlAnalyzeMeasureDefine
- 25. Lean Six Sigma • Lean Six Sigma is an approach to integrating the power of Six Sigma Tools and Lean Enterprise Tools which can be applied within an organization to create the fastest rate of improvement, maximize shareholder value, and increase customer delight. Improve Process- Pull Control Process Analyze Process- Flow Measure Value Define Value Improve ControlAnalyzeMeasureDefine
- 26. Which Technique to Begin With? It is often advantageous to begin with Lean projects. –These are easier to understand and implement. Begin with streamlining processes and Rapid Improvement Events. –This gets the operation in good order. –Chronic problems are now easier to deal with. –“Low Hanging Fruit” is eaten. Next, select Six Sigma projects
- 27. Lean Projects • Use Lean when you are trying to streamline any process and reduce process waste. –Improve assembly line throughput –Reduction in Finished Goods Inventory –Reduce the time to process new proposals –Reduce machine setup time –Improve order processing time
- 28. Six Sigma Projects • Use Six Sigma where process metrics are more difficult to collect or understand, and project success requires analysis of multiple input factors (Xs). These are often chronic problems. –Improve yield on a continuously running machine –Reduce defects on a processes with multiple inputs and process settings –Reduce the amount of wait time for a call center –Improve the number of quality new hires
- 29. Mixed Projects • What happens when you start a Six Sigma Project and it turns into a Lean project? – It is all about the correct tools. – Use the Lean tools for project success. • What happens if a Lean project turns into Six Sigma? – Depending when this is discovered, it may mean going back to utilize some Six Sigma tools before proceeding.
- 30. QUESTIONS???