09-05-2012, 05:22 PM
LEAN SIX SIGMA
Lean Six Sigma Overview.pdf (Size: 197.17 KB / Downloads: 54)
Six Sigma is a business management strategy, originally developed by
Motorola that today enjoys wide-spread application in many sectors of
industry.
Six Sigma seeks to identify and remove the causes of defects and errors in
manufacturing and/or service delivery and business processes. It uses a set
of management methods, including statistical methods, and creates a dedicated infrastructure
of people within the organization who are experts in these methods. Six Sigma aims to deliver
“Breakthrough Performance Improvement” from current levels) in business and customer
relevant operational and performance measures.
How is Six Sigma different?
Features that differentiate Six Sigma apart from previous quality
improvement initiatives include –
• A clear focus on achieving measurable and quantifiable financial
returns from any Six Sigma project.
• An increased emphasis on strong and passionate management leadership and support
• A special organization infrastructure of "Champions," "Master Black Belts," "Black
Belts”, “Green Belts” etc. to lead and implement the Six Sigma approach
• A clear commitment to making decisions on the basis of verifiable data, rather than
assumptions and guesswork.
What is Lean?
Lean is a philosophy and set of management
techniques focused on continuous “eliminating
waste” so that every process, task or work
action is made “value adding” (the real output
customer pays for!!) as viewed from customer
perspective. Lean “waste elimination” targets
the “Eight Wastes” namely:
• Overproduction – Making more than
what is needed by customer / market
demand
• Over-processing - Doing more to a
product/service (but not perceived as
Six Sigma Benefits
Leading companies have implemented Six Sigma and realized gainful results. Motorola has
reported over US$17 billion in savings from Six Sigma as of 2006.
Other early adopters of Six Sigma who achieved well-publicized success include
Honeywell International and General Electric (introduced by Jack Welch).
By the late 1990s, about two-thirds of the Fortune 500 organizations had begun Six Sigma
initiatives with the aim of reducing costs and improving quality.
value by customer)