Lean Six Sigma Overview | LASSIB | // Version 1.0 Lean Six Sigma Overview.

Lean Six Sigma - Green Belt - OverviewLean Six Sigma Overview
Lean Six Sigma Overview | LASSIB | http://www.lassib.org/ Version 1.0
'The savings as a percentage of revenue for a company can vary from 1.2% to 4.5%.’
'GE produces annual benefits of over $2.5 billion across the organization from Six Sigma.’
'Lean Six Sigma techniques implemented throughout the Army continue to prove successful, and leaders anticipate reaching a $2 billion-savings mark this year.’
'During the past 10 years Six Sigma has become one of the most widely practiced process improvement methodologies in both service and manufacturing industries.’
'No matter which level of Six Sigma training the respondents completed, their average salaries are higher than the respondents who didn't complete any Six Sigma training.’
*Source: Refer to Bibliography for details
Industry Snippets*
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Lean Six Sigma for Indian Govt.| August 2011 | LASSIB | http://www.lassib.org/
Examples of Implementations of Lean Six Sigma in the Government Sector
City of Fort Wayne, Indiana
Improved repair of potholes within 24 hours from 77% of 99.6%
Reduce missed garbage collected from an average of 92 per week to 46 per week
Cost saving of $3.5 million
Central Intelligence Agency (CIA)
CIA used Six Sigma to improve measures (e.g. date mining process) against terrorism (USA)
Minnesota Pollution Control Agency
Reduced time taken to issue permits from 10% of permits issued within 180 days to, 75% of permits issues in 180 days
Alexandra Hospital, Singapore
With the hospital’s performance standard set at 60 minutes, Total Turnaround Time (TAT) improved by 22%, with over half of our patients leaving the clinic within 1 hour
Income Tax Department
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© 2008 KINDUZ - All rights reserved
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Lean Six Sigma for Indian Govt.| August 2011 | LASSIB | http://www.lassib.org/
Examples of Areas of Improvements within Governments World over
Number of steps in a process
Number of approvals required
Number of errors during work, requiring re-work
Level of user i.e. people satisfaction
Amount of duplication of effort
Number of mail, phone, and fax requests
Number of copies being made
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© 2008 KINDUZ - All rights reserved
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A set of proven tools and techniques
used to achieve business growth and goals
A framework that builds
a customer centric approach
business results
used to solve business problems
What is Lean Six Sigma?
Recognize
Define
Control
Measure
Analyze
Improve
Why is it so successful?
Larger % of Employees
Deliver
% of employees
A Comprehensive
Lean vs. Six Sigma
Western Methodology Started in U. S. A. Started at Motorola
Tools and Techniques are Philosophical Conceptual
Tools and Techniques are Methodology Based Data Based and Objective
Helps identify and capture low-hanging fruit
Helps solve complex problems
Helps deliver quick results Improvements take 1 week to 3 weeks
Helps deliver long-term results Improvements take 4 weeks to 6 months
Examples of Techniques Sort Standardize Value Stream Mapping
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Lean Six Sigma Overview | LASSIB | http://www.lassib.org/ Version 1.0
When to use Lean or Six Sigma and When not to use?
1st Preference
2nd Preference
3rd Preference
4th Preference
Lean Six Sigma Overview | LASSIB | http://www.lassib.org/ Version 1.0
When do Individuals and Organizations fail using Lean and Six Sigma?
Lack of
Why they fail?
Historical Perspective
Mean vs. Variation
Quantitative Perspective
1.7 incorrect operations per week
68 wrong prescriptions per year
99% Right (3.8 Sigma)
5,000 incorrect operations per week
20,000 wrong prescriptions per year
σ
Quantitative Perspective
Hospital fatality rate due to mistakes
Restaurant bills
Doctor prescriptions
Payroll processing
Airline fatality rate 0.52 PPM
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A defect is any value that falls outside Customer Specifications
Statistical Perspective
Customers Perspective
CUSTOMERS
What is my customers view of the process?
What is my customers definition of a defect?
How do my customers measure the process?
Are my customers referring and buying again?
Is my customer satisfaction increasing?
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Operational Perspective
Recognize
Define
Control
Measure
Analyze
Improve
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Lean Six Sigma vs. ISO 9001
ISO 9001
Primary focus for organizations is certification
Primary focus is on process standardization
Is not prescriptive, i.e. does not tell you how to achieve it
Lean Six Sigma
Primary focus for organizations is delivering customer value & results
Process standardization is one part of Lean Six Sigma
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Total Quality Management
Consists of tools and techniques to achieve quality e.g. 5S, Kaizen
Lacked focus of delivering organizational and customer value, resulting in fading out of management commitment
Lean Six Sigma
Structures these tools and techniques, and when to use effectively which one
Focuses on delivering organizational and customer value, resulting in sustaining management commitment
Includes all principles of TQM among others
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Contact
WEBSITE
http://www.lassib.org/
EMAIL
contact@lassib.org
SOCIETY HEADQUARTERS
#5-70, V. V. Nagar, Street No. 8, Habsiguda, Hyderabad, Andhra Pradesh, India - 500007
PHONE
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Lean Six Sigma for Indian Govt.| August 2011 | LASSIB | http://www.lassib.org/
Shilpa Kota, Secretary,
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Lean Six Sigma for Indian Govt.| August 2011 | LASSIB | http://www.lassib.org/
About LASSIB
A not-for-profit Society
Conceptualized in 2009
Registered in 2011
Spread the awareness of Lean and Six Sigma concepts
Share learning’s for the community at large
http://www.lassib.org/index.php/about-lassib