What is Lean Six Sigma ?

What is Lean Six Sigma? Lean Six Sigma combines two methodologies, Lean and Six Sigma, to help in process improvement so that organizations can solve problems faster and reduce waste, while creating more value for customers. It combines the waste-reducing mentality of the Lean methodology with the defect and variance reduction focus of Six Sigma. Together, Lean Six Sigma creates a powerful methodology for keeping businesses ahead of schedule and under budget, enabling organizations to create processes that support the organization and its employees, while saving money, adding value, and improving productivity.

The main focus of Lean Six Sigma is to reduce waste by minimizing variability in business processes and creating a continuous flow between each step. The methodology categorizes eight types of waste: defects, overproduction, waiting, nonutilized talent, transportation, inventory, motion, and extra-processing. Once your organization reduces these types of waste, you can solve problems faster, reduce process inefficiencies, and boost productivity.

Lean Six Sigma principles

While Lean and Six Sigma have their own sets of principles, Lean Six Sigma offers a separate set of principles that combines elements of both frameworks.

The five main principles of Lean Six Sigma are:

1. Focus on the Customer 

The Lean Six Sigma principle of “Focus on the customer” underscores the importance of understanding and meeting customer needs and expectations. It involves actively listening to customer feedback, identifying their requirements, and aligning processes and improvements to deliver products or services that provide the highest value and satisfaction to the end user. This customer-centric approach not only enhances product or service quality but also strengthens customer loyalty and trust, ultimately driving long-term business success.

2. Measure the Value Stream and Find Your Problem

Measuring the value stream involves systematically analyzing and mapping the entire process, from start to finish, to identify areas of waste, inefficiency, and defects. By measuring the value stream, organizations gain a comprehensive understanding of the current state of their processes, enabling them to pinpoint specific problems or bottlenecks that hinder productivity, quality, or customer satisfaction. This step serves as a foundational element in the Lean Six Sigma methodology, as it helps to target and prioritize improvements that will have the most significant impact on overall performance and customer value.

3. Remove Waste to Create Flow 

This Lean Six Sigma principle emphasizes the systematic elimination of non-value-added activities or waste from processes to achieve smooth and efficient workflow. By identifying and reducing unnecessary steps, delays, or resources that do not contribute to the end product or service, organizations can optimize their operations, reduce costs, and deliver value to customers more swiftly and consistently.

4. Eliminate Variations  

Eliminating variations involves reducing and controlling process variations to enhance consistency and quality. Variations can lead to defects, inefficiencies, and customer dissatisfaction. By systematically identifying and addressing the sources of variation, organizations can ensure that their processes operate within tight tolerances and produce more predictable and reliable results, ultimately leading to higher product and service quality and greater customer satisfaction.

5. Undertake Improvements in a Systematic Process  

Lean Six Sigma emphasizes the structured and data-driven approach to making process improvements within an organization. It involves following a defined methodology, such as DMAIC, to identify, analyze, and implement changes systematically and methodically. This approach ensures that improvements are well-founded, based on evidence and analysis, and that their impact can be measured and sustained over time, leading to more consistent and effective enhancements in processes and performance.

6. Equip People in Processes

It is critical to empower employees by providing them with the necessary skills, knowledge, and tools to participate in and contribute to process improvement efforts actively. By involving and training individuals at all levels of the organization, Lean Six Sigma fosters a culture of continuous improvement. This principle acknowledges that people on the front lines often have valuable insights into process inefficiencies and can be the driving force behind positive change when adequately equipped with the skills and resources to identify and address issues.

7. Understand the Real Work Flow  

The Lean Six Sigma principle of “Understand the Real Work Flow” emphasizes the need to gain a deep and accurate understanding of how work processes truly function in practice. Getting to the actual workflow involves going beyond theoretical or idealized representations of operations and, instead, directly observing and studying how tasks are executed, how information flows, and where potential bottlenecks or inefficiencies exist. By comprehensively grasping the actual workflow, organizations can make more informed decisions about process improvements and better align their efforts with the practical realities of their operations, leading to more effective and sustainable changes.

Lean Six Sigma belts

To designate an individual’s experience and proficiency in implementing the methodology, Lean Six Sigma uses a similar structure as Six Sigma, which borrows from martial arts. As you work your way up the certification ladder, you’ll earn different belts until you reach the final “Champion” level.

• White Belt: At the entry-level designation, you’ll report process issues to Green and Black Belts. You should understand the basics of Lean Six Sigma, including common terminology and the basic structure and goals of the methodology.
• Yellow Belt: You’ll still report to Green and Black Belts. As a Yellow Belt, you’ll need a strong grasp of the leading principles of Lean Six Sigma. You’ll also participate on project teams and receive more training.
• Green Belt:  Green Belts are responsible for starting and managing Lean Six Sigma projects and are expected to provide training to White and Yellow Belts. At this level, you should have a detailed understanding of the Lean Six Sigma methodology.
• Black Belt: As a Black Belt, you report to Master Black Belts and have advanced knowledge of Lean Six Sigma. You’ll be viewed as a mentor, coach, and project leader for Lean Six Sigma projects.
• Master Black Belt: This designation is responsible for implementation and driving necessary culture shifts. You’ll work directly with executive leadership and will be expected to coach, mentor, monitor, and lead Lean Six Sigma projects.
• Champion: The top Lean Six Sigma designation is for executive leaders who help identify and select the right projects and then ensure teams have the support they need to be successful.

Lean Six Sigma tools

Lean Six Sigma tools typically focus on streamlining processes, enhancing collaboration, and providing data analysis. Common Lean Six Sigma tools include DMAIC (define, measure, analyze, improve, control), data collection plan, scatter plots, SIPOC (suppliers, inputs, process, outputs, customers), stakeholder analysis, seven wastes, value stream mapping, flow, fishbone diagram, regression analysis, project management, visual workplace, statistical process control, and voice of the customer.

Software tools designed to assist with Lean Six Sigma can help you effectively implement the methodology. These solutions typically focus on data reporting and analysis as well as collaboration. Popular software tools include:

• ARIS Six Sigma
• KaiNexus
• Kanbanize
• KPI Fire
• Microsoft Visio
• Minitab
• Oracle Crystal Ball
• Process Street
• RCASE
• R Language
• SDI Tools
• SigmaXL
• SmartView
• Statgraphics
• TeamPage
• Telelogic System Architect

How to integrate Lean and Six Sigma

The most successful implementations begin with the Lean approach, which boosts efficiency and makes the workplace as efficient and effective by reducing waste and using value stream maps to improve throughput. After that, whatever process problems remain can be addressed with “more technical Six Sigma statistical tools.”

The overall idea is to use the best of both methodologies to build a well-rounded process improvement strategy. Alone, there are weak areas in both methodologies, but used together it’s easier to fill in those gaps. For example, according to the Business Process Management Institute (BPMI), Six Sigma eliminates defects but won’t show organizations how to optimize process flow. Similarly, the BPMI says Lean offers a shallow view of process defects, lacking the “advanced statistical tools often required to achieve the process capabilities needed to be truly ‘lean.’” 

Every organization’s strategy will be different when integrating and implementing Lean and Six Sigma. Lean uses less technical tools such as Kaizen, workplace organization, and visual controls, according to the ASQ. Whereas Six Sigma relies on tools such as statistical data analysis, design of experiments, and hypothesis tests. Some organizations might be fine relying on mostly Lean principles, while other companies will need to expand into more in-depth Six Sigma analysis.

What is Lean Six Sigma? – UK