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“The Six Sigma Way” Hotel Association Lean Six Sigma Presentation Page 1 of 16 the6sigmaway.com Slide 1 (DMAIC) DEFINE, MEASURE, ANALYZE, IMPROVE, CONTROL Slide # 1 L A E N N E E T P R I R E Z the6sigmaway.com “What is this Methodology and How can it help the Hotel Industry?...” ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ____________________________________________________________________
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"The Six Sigma Way" Hotel Association Lean Six Sigma ...

Dec 20, 2014

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Page 1: "The Six Sigma Way" Hotel Association Lean Six Sigma ...

“The Six Sigma Way” Hotel Association Lean Six Sigma Presentation

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“What is this Methodology and How can it help the Hotel Industry?...”

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• What is Lean Six Sigma?

• How is Lean Six Sigma used presently in the Hotel Industry?

• How Can “The Six Sigma Way”help?

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First,Lets Break Down these Two Methodologies…

“Lean (Enterprise)”and

“Six Sigma”

What is Lean Six Sigma?

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LEAN ENTERPRISE…

What is?

Overproduction

Waiting

Transportation

Inventory

Motion

The Process itself

Mistakes (Defects)

WASTE

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SIX SIGMA…

VARIATION

What is?

Correctly Identifyand Eliminate or Reduce Variationin your Business Process(es)…

3.4 Defects Per Million Opportunities…

Will it help us to achieve a Perfect Process? …Not Likely … But …

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LEAN SIX SIGMAWhat is?

Combines the time-based strategy and solution sets inherent in Lean with the cultural,

organizational process, and analytical tools of Six Sigma.

With the result that we …

Respond to our customers better, faster with less waste

Six Sigma Lean

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Demming’s Red Bead Operation …

1. Place yourself in front of the red bead container opening.2. Hold paddle at exactly 5 degrees (0 degrees is set at paddle

perpendicular to the floor with handle side up).3. Place end of paddle 1” above bead line touching the bead

container (at same end of container opening).4. Progress paddle to opposite end of bead container without

disengaging paddle from container wall.5. As you progress paddle to the opposite side, increase angle

from 5 degrees to 90 degrees.6. Once you progress past the original bead line (when the beads

were settled), return the angle of the paddle to 5 degrees to remove raw material.

7. Count the defects in the finished product, and communicate to accountant.

8. Empty the beads from the paddle.9. Return the paddle to production area (bead container).

• Allowed Process Cycle Time (from step 1-9) is 5s• Tolerated Defect Percentage = 20% (10 out of 50 beads)

1st offense= Warning, 2nd offense = Dismissal

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How can I use Lean Six Sigma to Gain Financial Advantage?...

Correctly Identifyingand Removing or Reducing the Causes of Waste

Correctly Identifyingand Removing or Reducing the Causes of Variation

Increasing your Bottom Line … $(Better Stewards of City’s Money!)

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Are there companies within the Hotel Industry that have

used this methodology to their advantage?

The Answer is “Yes”! …

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STARWOODHotels and Resorts Worldwide, Inc.

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Reduction in room cleaning cycle time to 65% or 8 minutes.

Reduction in defects per room by 42% to 3.7 which translates to a higher reliability in cleanliness factor.

Increase in productivity from 13 to 17 rooms per person with resultant labor savings.

Reduction in individual travel by 64% to 205 feet within a guest room.

Lean Six Sigma Project: “Improve Housekeeping

Service Process”

COPQ (Cost of Poor Quality) = @$500,000/ Year/ Region

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What was the Bottom Line Result of Lean Six Sigma

Innovations at Starwood? …

In 2006, programs developed under Lean Six Sigma delivered more than $100 million in

profit to Starwood’s bottom line!

Business Week Online Article “Starwood Hotels: Rubbing Customers The Right Way Massages and other unlikely Six Sigma ventures are winners at Starwood Hotels”

http://www.businessweek.com/magazine/content/07_41/b4053096.htm?chan=search

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How Can “The Six Sigma Way”help your Organization …?

CustomizedAny Lean Six Sigma Implementation or Training Solution can be tailored to meet your specific needs. Your on-site instructor will work with you to create a program to meet your organization’s specific training requirements, work schedules and time frames.

Cost EffectiveWe come to You … this will reduce travel, lodging, meals, and other miscellaneous costs. Grant monies may be available to offset your training costs.

ConvenientEntire teams or departments can be trained at your site. Consulting and on-site coaching is also available.

Customized Training, Consulting, and Implementation!

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