Lean Six Sigma Integrated

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Lean Six

Sigma

Lean Six Sigma

Integrated

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Lean Six

Sigma

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Lean Six

Sigma

Why Integrate?

“We knew we wanted to have Six Sigma Tools, that was clear.

But we also decided that what really makes change in a factory

are some of the Lean tools. Putting in a pull system, reducing

batch sizes, significantly changing setup times, all of a sudden

everything starts to flow.

Those are the types of things we saw over time that really

made a difference in our factories and so we said that has to

be a part of this training.”

– Lou Guiliano, ITT Industries CEO

on integrating lean techniques into

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Lean Six

Sigma

Lean and Six Sigma Together

• Goal – Reduce waste and

increase process speed

• Focus – Bias for action/

Utilize existing, proven Lean

Tools

• Method – Kaizen events,

Value Stream Mapping

• Goal – Improve performance

on Critical Customer

Requirements

• Focus – Use repeatable

DMAIC approach for sustained

results

• Method – Intense focus on

projects, performance

improvement a key

leadership activity

Six Sigma

Quality, Cost +

Explicit Approach

Lean

Speed + Waste +

Implicit Approach

X

Lean

Six

Sigma

Six Sigma Quality Enables

Lean Speed

(Fewer Defects Means

Less Rework)

Lean Speed Enables

Six Sigma Quality

(Faster Cycles of

Experimentation/Learning)

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Lean Six

Sigma

Six Sigma with Lean Is the Integration of Two

Powerful Business Improvement Approaches

• Lean

• Value stream mapping

• Bottleneck identification and

removal

• “Pull” from the Customer

• Setup and queue reduction

• Process flow improvement

• Kaizen

• Supply Chain Strategy

• 5S

• S&OP

• Six Sigma

• Voice of the Customer (VOC)

• Statistical Process Control

• Design of Experiment

• Error-proofing

• Measurement Systems Analysis

• Failure Modes Effect Analysis

• Cause and Effect Analysis

• Hypothesis Testing

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Lean Six

Sigma

Integrating Lean and

Six Sigma Initiatives

• Lean and Six Sigma can co-exist independently,

but the benefits of integration are tremendous...

• Single channel for employing limited resources

• One improvement strategy for the organization

• Highly productive and profitable synergy

…while the pitfalls of not integrating them are

formidable

• Divided focus of the organization

• Separate and unequal messages for improvement

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Lean Six

Sigma

Six Sigma and Lean

• Six Sigma is the “Unifying Framework”

• Six Sigma provides the improvement infrastructure

• CEO Engagement

• Deployment Champions

• Green Belts, Black Belts, Master Black Belts

• Over-riding methodology: DMAIC, DMEDI, DMADV

• Lean provides additional tools and approaches to

“turbo-charge” improvement efforts

• Tools: Set-up reduction, 5S, Kanban, Waste Reduction

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Lean Six

Sigma

Six Sigma Improves Quality of Value Add Steps

Lean Six Sigma Synergy

# of Steps

±3

σ

±4

σ

±5

σ

±6

σ

1 93.32%

99.379%

99.9767

99.99966%

7

61.63

95.733

99.839 99.9976

10

50.08

93.96

99.768 99.9966

20

25.08

88.29

99.536 99.9932

40

6.29

77.94

99.074 99.9864

Overall Yield vs. Sigma

(Distribution Shifted ±1.5σ)

Lean

Reduces Non

Lean

Reduces Non

--

Valued Add Steps

Lea

n S

ix S

igm

a D

rive

s Q

ual

ity,

Sp

eed

and

Co

st S

imu

ltan

eous

ly

Lea

n S

ix S

igm

a D

rive

s Q

ual

ity,

Sp

eed

and

Co

st S

imu

ltan

eous

ly

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Lean Six

Sigma

Improve

Lean Six Sigma

Improvement Process Road Map

• Review Project Charter • Validate Problem Statement

and Goals

• Validate Voice of the Customer

& Voice of the Business

• Validate Financial Benefits • Validate High-Level Value

Stream Map and Scope

• Create Communication Plan • Select and Launch Team

• Develop Project Schedule

• Complete Define Gate

• Identify Potential Root

Causes

• Reduce List of Potential Root Causes

• Confirm Root Cause to

Output Relationship

• Estimate Impact of Root

Causes on Key Outputs

• Prioritize Root Causes • Complete Analyze Gate

• Develop Potential Solutions • Evaluate, Select, and Optimize

Best Solutions

• Develop ‘To-Be’ Value Stream

Map(s)

• Develop and Implement Pilot

Solution

• Confirm Attainment of Project

Goals

• Develop Full Scale Implementation Plan

• Complete Improve Gate

• Implement Mistake Proofing • Develop SOP’s, Training Plan

& Process Controls

• Implement Solution and

Ongoing Process Measurements

• Identify Project Replication

Opportunities

• Complete Control Gate • Transition Project to Process

Owner

• Project Charter

• Voice of the Customer and Kano Analysis

• SIPOC Map

• Project Valuation / ROIC

Analysis Tools

• RACI and Quad Charts • Stakeholder Analysis • Communication Plan

• Value Stream Mapping

• Value of Speed (Process Cycle Efficiency / Little’s Law)

• Operational Definitions • Data Collection Plan • Statistical Sampling

• Measurement System Analysis

(MSA)

• Gage R&R

• Process Constraint ID and Takt Time Analysis

• Cause & Effect Analysis

• FMEA

• Hypothesis Tests/Conf. Intervals

• Simple & Multiple Regression

• ANOVA

• Components of Variation

• Replenishment Pull/Kanban • Stocking Strategy

• Process Flow Improvement • Process Balancing

• Analytical Batch Sizing

Total Productive Maintenance

• Mistake-Proofing/ Zero Defects

• Standard Operating Procedures (SOP’s)

• Process Control Plans • Visual Process Control Tools • Statistical Process Controls

(SPC)

• Solution Replication • Value Stream Map for Deeper

Understanding and Focus

• Identify Key Input, Process and Output Metrics

• Develop Operational Definitions • Develop Data Collection Plan • Validate Measurement System • Collect Baseline Data

• Determine Process Capability • Complete Measure Gate

Tools

Activities

Analyze

Control

Measure

Define

Kaizen, 5S, NVA Analysis, Generic Pull Systems, Four Step Rapid Setup Method

Identify and Implement Quick Improvements

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Lean Six

Sigma

Define

• Develop a Project Charter with the Project Focus, Key Metrics,

and Project Scope

• Select Team Members and Launch Project

• Identify Stakeholders and develop a communication plan

• Identify the Customers and Capture the “Voice of the

Customer” Requirements (typically Quality and/or Speed)

• Identify the Process Owner and Capture the “Voice of the

Business” Requirements (typically Cost and/or Speed)

• Develop Critical Customer Requirements (CCR’s) and Critical

Business Requirements (CBR’s)

• Finalize Project Focus and Modify Project Charter

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Lean Six

Sigma

Measure

• Identify Key Input, Process and Output Metrics

• Clearly define Operational Definitions

• Develop a Data Collection Plan

• Validate the Measurement Systems

• Collect Baseline Data

• Determine Process Performance / Capability

• Validate the Business Opportunity

• Identify “Quick Win” Opportunities

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Lean Six

Sigma

Analyze

• Brainstorm Key Process Input Variables & Key Process

Variables (KPIVs & KPV’s, I.e. Potential Root Causes)

• Prioritize Root Causes

• Conduct Root Cause Analysis

• Validate the Root Causes

• Estimate the Impact of Each Root Cause on the Project’s

Performance Output

• Quantify the Opportunity

• Prioritize Root Causes

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Lean Six

Sigma

Improve

• Develop Potential Solutions

• Develop Evaluation Criteria & Select Best Solutions

• Evaluate the Solutions for Risk

• Optimize the Solution

• Develop ‘To-Be’ Process Map(s) and High-Level

Implementation Plan

• Develop Pilot Plan and Pilot the Solution

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Lean Six

Sigma

Control

• Institutionalize Process Changes and Controls

• Finalize SOP’s, Training Plan & Process Control System

• Implement Process Changes and Controls

• Stabilize and Begin Monitoring the Process

• Transition Project to Process Owner

• Identify Project Replication Opportunities

• Prove Changes Resulted In Improvement

• Calculate Financial Benefits

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Lean Six

Sigma

Author

Steven Bonacorsi is a Senior Master Black Belt instructor and

coach. He has trained hundreds of Master Black Belts, Black Belts,

Green Belts, and Project Sponsors and Executive Leaders in Lean

Six Sigma DMAIC and Design for Lean Six Sigma process

improvement methodologies. Steven is a board member for the

Boston Chapter of the Industry of Industrial Engineers.

Full Bio:

http://www.linkedin.com/in/stevenbonacorsi

Lean Six Sigma White Belt Certification:

• Add Lean Six Sigma White Belt (Basic Awareness) Training and Certification to

your Resume or Job Skills.

• Learn topics from one of the original Master Black Belts and world experts on

Value Stream Mapping, 5s, Process Capability, Deployment Planning, Roles and

Responsibilities, FMEA Risk Analysis, Control Plans and more.

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Lean Six

Sigma

Learn More about The AIT Group

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