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Six Sigma Lean Management

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Many professionals ask "What is Six Sigma?", some ask "What is Lean?", and of course still others ask "What is Lean Six Sigma?" As it turns out, these approaches address similar problem sets but attack them differently. Here is a look at what they are, the similarities, the difference, and the synergies.



The difference between Lean and Six Sigma can be summarized as follows:

Six Sigma = Reduced process variation

Lean = Improved process flow

Let's take a look at each.

What is "Lean"?

The practice of "Lean" involves breaking down processes to the "bare bone essentials", hence the name "lean". The Lean approach to waste is that "Non-value added is waste". Hence, in practicing Lean, the goal is to segregate waste from value in processes, and eliminate the waste and non-value added.

The typical method for practicing Lean is to do the following:

1. Identify Value

2. Define Value Stream

3. Determine Flow

4. Define Pull

5. Improve Process

The focus of Lean is on Process flow. Tools used for the practice of Lean are oriented to visualization, and include tools like Microsoft Visio.

What is Six Sigma?

In the Six Sigma approach, the view on waste is that "Variation is waste".

The DMAIC method is used in practicing Six Sigma,:

1. Define

2. Measure

3. Analyze

4. Improve

5. Control

Six Sigma is a "Problem focused" methodology, and the primary toolset of Six Sigma is Math and Statistics.

The Conflict Between Lean and Six Sigma

There is a "battle" within the Lean and Six Sigma professional communities among many who think their respective way is better and superior. In general, the Six Sigma side claims to be technically superior and that reducing variation gets to the root of the problem. The Lean side argues that basic flowcharting is more often than not all that is needed to produce high impact improvements.

This all has a "territorial" feel about it among consultants and aficionados of each approach or methodology. However, we know that tools are only a means to and end, and that we need to match the tool to the job. Such arguments and territorialism often arise when professionals are attached to the tool, and in essence are a "solution in search of a problem", and want to make sure their solution is chosen more often.

Does the Controversy Matter?

Tough times typically mean LEAN times, and these are tough time economically around the world. It seems that under those conditions, it would be more appropriate to focus on the challenge at hand and use the best tool(s) for the job. The controversy matters little, in my opinion.

Six Sigma and Lean go together hand in hand, although they often are differentiated. Despite any distinctions, the two go very well together and complement one another. For example, it could be a very logical approach to focus on Lean to achieve improved process flow, and at the same time develop a deeper understanding of the process. If more work is needed, Six Sigma could be used to reduce process variation. It seems very logical that they can be effectively deployed together.
Six Sigma Lean Management
Six Sigma is a program that deals with quality management and is designed to achieve an outstanding level of quality for products. Motorola was the first company to pioneer this process in the mid-eighties and since then it has been adopted by many other companies and manufacturers. Service companies, in order to enhance customer service and relations also utilize these strategies. 6 Sigma has evolved from a normal distribution curve where failures in quality and customer satisfaction arise after the sixth sigma of likelihood. Hence, the main idea is to reduce or lessen the defects per product or customer service.

Companies that make use of Six Sigma have proved the critics wrong by achieving the 6 levels of quality that were believed to be an impossible achievement. Going beyond Six Sigma is not been unheard of and has been achieved by many companies like GE Aircraft Engines that function at nine sigma levels of quality. It is highly convenient, as it reduces the amount of failures or errors in product quality and customer service. Not only does this help in increasing customer satisfaction and revenue but it also leads to an increase in the number of returning customers and the acquirement of new customers. Companies that employ this process successfully have higher quality standards and produce superior products and services.

Importance Of 6 Sigma

A fairly unknown fact about Six Sigma is that it relates to 3.4 defects per million. Most people do not know how quality is improved considerably by having 6 levels of sigma. Previously, most companies utilized less sigma, approximately three or four, but Motorola was the first company to use six levels of sigma. Four-sigma relates to only about 2.6 defects per thousand whereas 6 Sigma relates to 3.4 defects per million making it a perfect number. However, deviation proves to be a major problem. With Six Sigma, the defective rates are more sensible than with four-sigma.

Large and very profitable companies have also been using 6 Sigma as a tool to help their businesses run better. Since it's commencement, it has helped many companies save millions of dollars. Six Sigma can help any type of business and the concepts can be applied to any department of that business. Marketing, sales, production, design, administration and service are all the various departments in which 6 Sigma has been successfully used. Six Sigma uses business, statistic and engineering principles to help eliminate company defects. A 6 Sigma consultant or master can be hired to help the company adjust to the changes. Not only does Six Sigma improve quality, it also improves performance and delivery.

Conclusion

In a business, quality is valued above all other things by customers. Businesses that produce high quality goods and services will always attract more customers and will ensure that these customers return for more. 6 Sigma helps ensure that the quality of these products and services is nothing but the best. Six Sigma is very effective, when implemented correctly and this is the main reason why most companies utilize 6 Sigma. This process that was discovered more than 20 years ago has withstood all criticism and has proven it's lasting qualities in the business world. Companies should consider using Six Sigma as a means of gaining and retaining customers by producing superior quality products.
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About Author
Both John Reiling & Tony Jacowski are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

John Reiling has sinced written about articles on various topics from Management, Facts about Barack Obama and Education. John Reiling, PMP, PE, MBA is an experienced Project Manager and Engineer. John's web sites, and. John Reiling's top article generates over 9900 views. to your Favourites.

Tony Jacowski has sinced written about articles on various topics from University, Six Sigma and Information Technology. Tony Jacowski is a quality analyst for The MBA Journal. Aveta Solution's Six Sigma Online offers online and certification classes for lean six sigm. Tony Jacowski's top article generates over 90500 views. to your Favourites.
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