WE will demonstrate how “cherry picking low hanging fruit” from your improvement opportunities will only create islands of isolated efficiencies that often cannot be sustained. By integrating improvements Enterprise wide in a strategic process, all business functions will be able to support and sustain the changes deployed.
The paradigm shift question is: “If you improve one process in the value stream, can up-stream processes support it, and can down-stream processes keep up with it?”
Many organizations want to know which to implement first; Lean or Six Sigma. An understanding of their distinction is helpful:
- Lean eliminates waste (non-value activities) from the process to create flow.
- Six Sigma reduces variation in the process (usually within the value-added activities) and builds in repeatability.
When you look at your business’ Enterprise System (Suppliers, Internal Units/Functions and Customers) are all your processes and procedures linked as effectively and efficiently as possible? If they are not, then you have three opportunities for improvement. Lean, Six Sigma or an integration of the two tool sets (Lean Sigma).
When you lean-out the system through the elimination of waste, the Simpler your processes become, the Smoother workflows through your value streams and the Shorter your lead-times become for your customers. However, if your processes are still unstable you are only producing a defective product/service faster. You will need to deploy Six Sigma tools to get your processes in control. Remember that the process always helps identify which tool set to use and when you can integrate them. When done effectively, your processes will become reliable, sustainable, and repeatable.
COST, SCHEDULE, QUALITY, PROFIT and GROWTH are major concerns in most organizations. In fact, many businesses waste 70%-90% of available resources through improper management of material, time, information, people, equipment, inventory, and improvement tools. Whatever the industry, speed is critical to your business: Beating your competition to market, effectively processing new orders, providing quality products/services, and delivering on time while operating at maximum efficiency and minimal cost.
Simulation Key Points:
- Strives to eliminate waste through continuous improvement of processes
- Ideally, no waiting time between steps in a process
- Product is continually being worked on, increasing its value to the customer
- Reducing variation increases yield and quality
- Lean Sigma impacts two key measures of all processes:
- Effectiveness – A quality-based measurement (defects/errors)
- Efficiency – A time-based measurement (cycle time/speed)
WE Will Look at Measures that Count
|Throughput||TAKT Time||Cycle Time||Lead Time||Distance/space|
|Process Capability||Process Repeatability|