Nine Critical Factors to Help Six Sigma Deliver the Money
Posted by: meikah | 17 July 2007 | 8:07 pm
Perhaps one of the biggest questions in Six Sigma projects is how much they are contributing to the company bottomline. Some companies claim that after a year, or even six months, of Six Sigma, they are already enjoying a lot of savings. Others say that they have yet to see some ripple in their finances.
So aside from improved processes and allegedly happy customers, how can Six Sigma bring in the money to the organization?
ProcessModel, Inc. puts out nine critical factors to help Six Sigma deliver the money.
- Find the projects with the greatest overall return
- Overall interdependencies in processes
- Risk free experimentation
- Reduced experimentation time
- Optimize
- Impact of change on the existing process
- Combined projects required to see the money
- Close the gap between project inception and financial impact
- Communicate how a process will perform in understandable terms (even a manager can understand)
Apparently, all these factors are made possible with ProcessModel software. Yet, I believe that these nine factors are only logical to do. These are the things Six Sigma books tells practitioners to do when deploying Six Sigma projects. Good reminder for everyone, though.
*Photo from Stock.Xchng
Filed under: Benefits and Savings, Finance, ProcessModel, Processes
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Six Sigma Reference Feature: Using Six Sigma in Safety Metrics
Posted by: meikah | 16 July 2007 | 6:48 pm
There’s a line that goes, “The way to be safe is never to feel secure.”
Manufacturing plants know this too well. That is why they schedule maintenance check on their equipment a regular basis. More importantly they set up safety measures for their workers. All these because accidents can be costly.
Here’s a good reference on how you can use Six Sigma in Safety Metrics. It is the quality review process at Motorola.
In order to deliver excellence in safety performance, the safety professional must fully integrate with the business. Working in a silo as a service organization with independent initiatives will never provide for your company the outcomes desired. The safety function must prove to be value-added to the business and work toward a world class safety culture that helps to place the business at a distinct advantage among its competitors. The best way to do this is through those systems already in place that the managers monitor that constantly review quality, cycle time and manufacturing costs.
Source:
Adams Six Sigma
*Photo from MorgueFile
Filed under: Data Analysis, General, Manufacturing, Motorola, Six Sigma References, Tips
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Six Sigma and Innovation
Posted by: meikah | 15 July 2007 | 8:00 pm
There’s still much controversy about Six Sigma and innovation. Many companies, 3M being the most vocal and probably popular, are saying that Six Sigma and innovation counters each other out.
3M, which has been the most innovative company for years, allegedly stopped innovating when it adopted Six Sigma. I still could not fathom the reason for not being able to mix successfully Six Sigma and innovation.
Perhaps, those companies that have successfully implemented Six Sigma and and pursued innovation should speak up to end this debate once and for all.
The best venue for this kind of forum is IQPC‘s Process for Innovation event on August 21-22, 2007 in The Gleacher Center, Chicago. The event will tackle this question and offers a structure for Innovation. This exclusive forum has been designed for leading Six Sigma and Innovation experts to discuss the practicalities of implementing Innovation across an organization alongside Six Sigma.
Check out the event and share with us what you have learned.
Related story:
How Six Sigma Improves Innovation
Filed under: 3M, Events/Announcements, Innovation, Innovation Update, Lean Six Sigma
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Innovation of the Week: Robotic Limbs Myomo e100
Posted by: meikah | 13 July 2007 | 12:22 am
We take a lot of things for granted. Perhaps one of those that we take for granted is our ability to move our body or flex our limbs. Some people are deprived of these though either by birth or some other stroke of mishap.
Mary O’Regan is one of them. She suffered a stroke after falling off a dirt bike, recovered from it, but never regained use of her left arm. Well, thanks to the latest in robotics, handicapped now has chances of being able to use their limbs.
New York Times Online – Health Section reports:
The Myomo e100 is designed to help stroke patients regain motion in their arms. The device, worn as an arm brace, works by sensing weak electrical activity in patients’ arm muscles and providing just enough assistance that they can complete simple exercises, like lifting boxes or flipping on light switches. By practicing such tasks, patients may begin to relearn how to extend and flex the arm, rebuilding and strengthening neurological pathways in the process.
Filed under: Innovation, Innovation Update, R&D, Technology
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Six Sigma Movements
Posted by: meikah | 12 July 2007 | 7:39 pm
Early this month till mid month, we see Six Sigma practitioners assume important positions in big companies. Their doing so is hoped to make a difference–the Six Sigma advantage, that is–in their respective companies.
Last July 3, HTNG announced the appointment of Thomas Peck and Todd Thompson to Board of Directors. Hotel Technology Next Generation is a self-funded NGO that facilitates the development of next-generation, customer-centric technologies to better meet the needs of the global hotel community. Peck is a certified Six Sigma Master Black Belt, and has graduated from several of GE’s executive training programs, and is a published author. Thompson has years in experience in business process engineering among others.
In July 9, Blue Square Energy (BSE), a developer and manufacturer of high-performance silicon solar cells, announced that Alan Swanson is the new VP of Manufacturing Operations. Swanson has more than 25 years experience as a global manufacturing operations executive. As an expert in the Six Sigma methodology, he helped create Tyco Electronics’ Operational Excellence Organization.
In July 11, Newtek Business Services, Inc., a provider of business services and financial products to the small business market under the Newtek(TM) brand, announced that Gordon L. Schroeder is the 6th independent director to join the Newtek Board of Directors. Schroeder has taken extensive Six Sigma training from the GE Center for Learning and Organization Excellence.
Source:
iSixSigma News
Filed under: Events/Announcements, Finance, Hotels, Manufacturing
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Lean Six Sigma and Project Management
Posted by: meikah | 11 July 2007 | 8:50 pm
It’s true. Lean Six Sigma can be incorporated in project management. iSixSigma Software/IT carries a good article on this.
All project management initiatives go through the same basic sequence of events: initiate, plan, execute, control, and close. When DFLSS (Design for Lean Six Sigma) is applied to this process, then DMADV (define, measure, analyze, design, verify) or IDOV (indentify, design, optimize, verify) becomes the tool set that enhances the basic IPECC design process. The various processes tend to integrate with each other as shown in the following figure.
Click on the figure for a bigger version
The natural consequence of this relationship is that DFLSS or IDOV becomes a set of methods and tools that facilitates the project management process.
Where Lean Six Sigma is integrated effectively with project management, the DFLSS philosophy (but not every DFLSS tool) is a core element of every project. Too often organizations make the mistake of distinguishing between DFLSS projects and “other” projects, thereby perpetuating the notion that DFLSS is a selective project-based approach. Since the goal of DFLSS is to deliver better results faster with fewer resources, then the issue is not which project is a DFLSS project but rather which DFLSS tools are most appropriate for any given project. Regardless of how the projects are executed – from a highly iterative agile approach to a stage-gated waterfall approach – DFLSS is a method that is integral to the project management process.
But does one size fit all? Find out here.
Source:
iSixSigma Software/IT, Fitting the Right Belts for Design for Lean Six Sigma
Filed under: Lean Six Sigma, Project Management, iSixSigma
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Tim Solso: Six Sigma CEO of the Year
Posted by: meikah | 10 July 2007 | 7:35 pm
For the Six Sigma naysayers out there, learn from Tim Solso, the new Six Sigma CEO of the Year awardee in this year’s Global Six Sigma Awards, organized by WCBF, and what he has to say about Six Sigma.
Tim Solso is Chairman and CEO, Cummins Inc. It’s not a secret that Cummins is among the big companies who are enjoying the benefits and savings of Six Sigma.
Tim Solso says:
“Six Sigma is one of the best things we have ever done. Last year we saved $340 million and since its inception in September 1999, we’ve saved or avoided spending a total of $1.4 billion” Solso reported at the May 2007 Cummins Inc. Annual Meeting.
2006 was the best year in Cummins’ history, with record revenues of $11.4 billion, record profits and record cash flow.
Source: Auto Spectator, a featured link by Six Sigma Zone
Related stories:
A Vote of Confidence for Six Sigma
Six Sigma Marketing at Cummins
Filed under: Awards, Benefits and Savings, Cummins, Manufacturing, Six Sigma Organizations
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Key Enablers for IT with Lean and Six Sigma
Posted by: meikah | 9 July 2007 | 7:56 pm
The critical enablers are IT and business mapping tools and end-to-end business process understanding.
That is the conclusion of a qualitative research conducted under the Oracle Lean Leaders Circle. The Circle is comprised of Oracle, the Cardiff Business School’s LERC, and the manufacturers GE Healthcare, GE Oil & Gas and James Walker – all three selected for their considerable success in implementing lean principles.
The article on Manufacturing Computer Solutions, or McSolutions, emphasizes the value of having an integrated, wholistic approach to Lean and Six Sigma where all other methodologies come into play.
According to Andrew Spence, director for lean supply chain management at Oracle, if a company has already integrated some of the tools from Lean, Six Sigma and IT, then it is better able to drive the development of better tools and methodologies.
To me the basic principle here is to know what your company needs, get the right tools and methodologies, even technologies, and have them all work together.
Source:
McSolutions, Lean Leaders’ Circle reveals key enablers for IT with Lean and Six Sigma, a featured link by Six Sigma Zone
*Photo from Stock.Xchng
Filed under: Lean Six Sigma, Software/Technology, Tools/Toolkits, Training
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Integrating ITIL, CMMI, and Lean Six Sigma
Posted by: meikah | 8 July 2007 | 11:11 pm
You may have noticed that in the past days this blog has been inaccessible. Even up to now, we’re still having server problems. I wonder if server problems such as database error can be prevented by adopting Six Sigma or Lean Six Sigma.
In the almost two years that I’ve been managing projects that involve the Internet, technology, programming, or software, I learned that developing and maintaining a website is a dynamic thing. My team and I always have to be on our toes for bugs, spam, and what-have-you’s. I also see many instances where Six Sigma can come into play. I’m getting there.
As I’m doing my research, I stumbled upon iSixSigma‘s article on how you can better optimize your organization by combining three powerful methodologies: Information Technology Infrastructure Library (ITIL), or the Software Engineering Institute’s capability maturity model integration (CMMI) or Lean Six Sigma. This may or may not be the answer to my issue at hand, but I know it’s helpful for you readers out there.
Business leaders who want to enjoy the benefits of the combined methodologies and frameworks need a clear implementation roadmap – a roadmap that highlights the sequence of key tasks along the path of integration.
Filed under: Deployment, Lean Six Sigma, Technology
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Interview with Six Sigma MBB Reginaldo S. de Figueiredo on EMSNow
Posted by: meikah | 4 July 2007 | 7:35 pm
Thanks to Rob of Learn Sigma because I got hold of the very interesting interview with Reginaldo S. de Figueiredo, Six sigma Master Black Belt at NXP Semiconductors.
Here are a few interesting points that I learned from the interview.
- Six Sigma isn’t a black box of statistical tools and templates; it is a lot about a way of working.
- By using Six Sigma, it is possible to derivate a rational project portfolio composed by a set of projects that will contribute a maximum to performance enhancement. Projects inside that portfolio are typical projects, and their goals are typical goals. That’s the Six Sigma magic!
- Misunderstanding Six Sigma at the management level was the main challenge.
- Critical when implementing a Six Sigma project: the CEO commitment.
