In: Accounting
Lean and Six Sigma Research:
What Companies created each of these methodologies (Lean and Six Sigma) and approximately what date?
Define “Lean” and “Six Sigma” and identify the purpose or goal of each in their most fundamental terms.
What is “Lean Six Sigma”?
What is the basic methodology used in Lean versus the basic methodology used in Six Sigma?
What are the major tools used by Lean versus by Six Sigma?
Identify a company that has implemented, Lean and report a significant quantitative measure of improvement.
Identify a company that has implemented, Six Sigma and report a significant quantitative measure of improvement.
Identify a company that has implemented, Lean Six Sigma and report a significant quantitative measure of improvement.
Answer : - as per my theoryatical knowledge of my education
Meaning : Primarily Six sigma means maintenance of the desired
quality in processes and end products. It means taking systemic and
integrated efforts toward improving quality and reducing
cost.
It is a highly disciplined process that helps in developing and
delivering near-perfect products and services. It strives to meet
and improve organizational goals on quality, cost, scheduling,
manpower, new products and so on. It works continuously towards
revising the current standards and establishing higher ones. Six
sigma has its base in the concept of probability and normal
distribution in statistics. Six sigma strives that 99.99966% of
products
manufactured are defect free.
Six sigma efforts target three main areas:
• Improving customer satisfaction
• Reducing cycle time
• Reducing defects
Six sigma and other quality programs
Six sigma is improvement over other quality programmes:
(i) Six sigma is customer focused. It strives to provide better
satisfaction to the customer
owning the product.
(ii) Six sigma is a total management commitment and philosophy of
excellence, process improvement and the rule of measurement.
(iii) Six sigma induces changes in management operations - new
approaches to thinking, planning and executing to achieve
results.
(iv) Six sigma combines both leadership and grassroots energy and
involvement for its success.
Six themes of six sigma
The critical elements of six sigma can be put into six themes as
follows:
• Theme one ? genuine focus on the customer: Companies launching
six sigma often to find that how little they really understand
about their customers. In six sigma, customer
focus becomes the top priority. For example, the measures of six
sigma performance begin with the customer. Six sigma improvements
are defined by their impact on customer satisfaction and
value.
• Theme two ? data and fact-driven management: Six sigma takes the
concept 'of "management by fact" to a new, more powerful level.
Despite the attention paid in recent
years to improved information systems, knowledge management, and so
on, many business decisions are still being based on opinions,
assumptions and gut feeling. Six
sigma disciplines begins by clarifying what measures are key to
gauging business
performance and then gathers data and analyzes key variables.
Problems are effectively
defined, analyzed, and resolved. Six sigma also helps managers to
answer two essential
questions to support data-driven decisions and solutions.
What data/information is really required?
? How to use the data/information for maximum benefit?
• Theme three ? processes are where the action is Designing
products and services, measuring performance, improving efficiency
and customer satisfaction and so on. Sixsigma positions the process
as the key vehicle of success. One of the most remarkable
breakthroughs in Six Sigma efforts to date has been convincing
leaders and managers.
Process may relate to build competitive advantage in delivering
value to customers.
• Theme four ? proactive management: In simple terms, being
proactive means acting in advance of events rather than reacting to
them. In the real world, though, proactive
management means making habits out of what are, too often,
neglected business practices: defining ambitious goals and
reviewing them frequently, setting clear priorities,
focusing on problem prevention rather than fire-fighting, and
questioning why we do things instead of blindly defending them.Far
from being boring or overly analytical, being truly proactive is a
starting point for creativity and effective change. Six sigma,
encompasses tools and practices that replace
reactive habits with a dynamic, responsive, proactive style of
management.
• Theme five – boundaryless collaboration:"Boundarylessness" is one
of Jack Welch's mantras for business success. Years before
launching six sigma, GE's chairman was working to break barriers
and to improve teamwork up, down, and across organizational lines.
The opportunities available through improved collaboration within
companies and with vendors and customers are huge. Billions of
dollars are lost every day because of disconnects and outright
competition between groups that should be working for a common
cause: providing value to customers.
• Theme six ? drive for perfection; tolerate failure:Organizations
need to make efforts to achieve perfection and yet at the same time
tolerate failure. In essence, though, the two ideas are
complementary. No company will get even close to six sigma without
launching
new ideas and approaches-which always involve some risk. Six sigma
cannot be implemented by individuals who are overly cautious and
are scared of making mistakes.