Lean 6 Sigma Training & Templates

By Former Deloitte Management Consultants

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Objective of this document

Provide you the key definitions, principles, methodology and tools of Lean Six Sigma through editable Powerpoint slides that can be reused for your own presentation

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Lean Six Sigma Essentials - Agenda

What is Lean Six Sigma?

What are the key benefits of using Lean Six Sigma?

How to implement Lean Sigma in your company?

What are the Top 5 Lean Six Sigma tools?

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Lean definition

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Lean key principle Lean tries to eliminate 8 types of waste that can be easily remembered using the word Down Time": Defects
Making mistakes that cause products to fail customer requirements

Transport
Unnecessary movements of products and materials

Over production
Making more than is immediately required

Inventory
Storing parts, pieces, documentation ahead of requirements

Waiting
Waiting for the previous step in the process to complete

Motion
Unnecessary movements by people

Non-utilized
talent Not recognizing and utilizing human talent and creativity available within the workforce

Extra processing

Performing any activity that is not necessary to produce a functioning product or service

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Six Sigma definition

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Six Sigma key Principle

The objective of a Six Sigma project is to reduce process variation to such a degree that the sigmas of variation will fit within the specification limits defined by customers:
Customer lower specification limit (LSL) Customer higher specification limit (HSL)

Reduce Variations

Defects

Defects

4s

3s

2s

1s

1s

2s

3s

4s

Technically, 6s refers to having a process that will result in fewer than 3.4 defects per one million opportunities (DPMO)
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Lean Six Sigma definition

Lean

Six Sigma
A structured approach focusing on improving process reliability in order to eliminate the defects in products and services

Lean Six Sigma

A performance improvement methodology focusing on simplifying processes and improving process reliability

A structured approach focusing on simplifying processes

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Lean Six Sigma key principles

Focus on your customer

Defining the customers perception of value is key to improving the process

Measure process performance

The process performance needs to be measured before and after implementing Lean Six Sigma

Identify value stream

Your value stream is the processes of creating, producing, and delivering a good or service to the market1

1. Source; APICS Dictionary

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Lean Six Sigma Essentials - Agenda

What is Lean Six Sigma?

What are the key benefits of using Lean Six Sigma?

How to implement Lean Sigma in your company?

What are the Top 5 Lean Six Sigma tools?

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Lean Six Sigma benefit #1

Lean Six Sigma increases asset efficiency

Example
Before implementing Lean Six Sigma
One employee was able to process 3 home loans a day

After implementing Lean Six Sigma

One employee was able to process 5 home loans a day

Other examples: Implementing Lean Six Sigma can also help to decrease your stocks and optimize your working space
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Lean Six Sigma benefit #2

Lean Six Sigma decreases cost

Example
Before implementing Lean Six Sigma
Number of broken products and related cost to remanufacture them (per month):
Broken products

After implementing Lean Six Sigma

Number of broken products and related cost to remanufacture them (per month):
Broken products

Cost

Cost

Other examples: Implementing Lean Six Sigma can also help to decrease your IT, supply Chain and SG&A costs
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Lean Six Sigma benefit #3

Lean Six Sigma increases revenue

Example
Before implementing Lean Six Sigma After implementing Lean Six Sigma

A sales representative was focusing 20% of his time in administrative tasks and 80% of his time at selling products

The process improvement allowed each sales representative to focus only 10% of his time in administrative tasks and 90% of his time at selling products

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Other examples: Implementing Lean Six Sigma can also help to improve product quality, on-time delivery and customer Click here to download the editable PowerPoint satisfaction
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Lean Six Sigma Essentials - Agenda

What is Lean Six Sigma?

What are the key benefits of using Lean Six Sigma?

How to implement Lean Sigma in your company?

What are the Top 5 Lean Six Sigma tools?

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Lean Six Sigma DMAIC Methodology The best way to implement Lean Six Sigma in your organization is to follow the DMAIC Methodology :

Define

Measure

Analyze

Improve

Control

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Lean Six Sigma DMAIC Methodology Step 1

Define

Measure

Analyze

Improve

Control

Definition

Key Steps
1. Define your customer and their requirements 2. Define the current process

Define the problem and set your improvement targets

3. Define the problem 4. Define your improvement goals and ensure alignment with overall company strategy 5. Develop a plan of actions

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Lean Six Sigma DMAIC Methodology Step 2

Define

Measure

Analyze

Improve

Control

Definition

Key Steps

1. Measure the current process performance

Measure current state performance and brainstorm potential cause(s) of the problem

2. Create assumptions for what might be causing problems 3. Create a plan to collect the data 4. Collect the data 5. Ensure your data is reliable

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Lean Six Sigma DMAIC Methodology Step 3

Define

Measure

Analyze

Improve

Control

Definition

Key Steps

1. Analyze the data in details

Analyze the data and identify the root causes of waste

2. Verify your assumptions in terms of what might be causing problems 3. Brainstorm solutions that might fix the problem

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Lean Six Sigma DMAIC Methodology Step 4

Define

Measure

Analyze

Improve

Control

Definition

Key Steps

1. Select the best solution(s) 2. Test the solution(s)

Develop solutions to address the root causes

3. Deploy the solution(s) 4. Measure improvement 5. Compare results versus improvement goals

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Lean Six Sigma DMAIC Methodology Step 5

Define

Measure

Analyze

Improve

Control

Definition

Key Steps

1. Ensure the process is being managed and monitored properly 2. Continuously improve the process

Monitor and continuously improve

3. Share and celebrate your success 4. Apply new knowledge to other processes in your organization

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Lean Six Sigma Essentials - Agenda

What is Lean Six Sigma?

What are the key benefits of using Lean Six Sigma?

How to implement Lean Sigma in your company?

What are the Top 5 Lean Six Sigma tools?

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Lean Six Sigma top 5 tools There are numerous tools that can be used to facilitate the implementation of Lean Six Sigma, including the top 5 tools presented below and in the next slides:
Five Whys Problem Solving Fishbone diagram Process mapping

Scorecard

Change commitment curve

If you need more tools, please send us an email at sales@slidebooks.com

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Five Whys Problem Solving tool Objective

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Five Whys Problem Solving tool Description

Clearly define high level problem statement

Problem Statement

Answer the question and ask again why Sometimes the root causes become evident after 2 or 3 whys, sometimes a deeper dive may be required

Why? Why?

Why?
True root cause of the problem

Why?
Why?

Problem Solution

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Five Whys Problem Solving tool Template

Insert problem statement

Why?

Insert your answer

Why?

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Why?

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Why?

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Why?

Insert your answer

Insert problem Solution

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Fishbone diagram tool Objective

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Fishbone diagram tool Description Cause #5

Cause #5.1 Cause #3.1 Your own text

Cause #3
Cause #1.1 Your own text

Cause #1

Causes

Effects

Start by writing the main problem or issue to be studied

Cause #5.1

Cause #3.1

Cause #1.2

Key problem
Cause #5.1 Cause #4.1 Cause #2.1

Cause #5.1

Cause #4.1
Your own text

Cause #2.2
Your own text

Causes that contribute to the problem

Cause #6
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Cause #4
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Cause #2

Fishbone diagram tool Template Sample Text

Your own text Your own text Your own text

Sample Text
Your own text Your own text

Sample Text

Your own text

Your own text

Your own text

Sample Text
Your own text Your own text Your own text

Your own text

Your own text

Your own text

Your own text

Your own text

Sample Text
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Sample Text
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Sample Text

Process mapping Objective

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Process mapping Description

Process mapping uses various symbols such as:

= A task = A decision

A document

= The flow direction

= A system

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Process mapping Template

Process Map Title

Department A

Department B

Department C

Task

Task

Task

Task

Yes

Closed question

No

Task

Note: For complex processes, other IT tools should be used instead of Powerpoint
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Scorecard Objective

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Scorecard Description

Scorecard Title
An administrator is required for maintaining the data and managing continuous improvement of the scorecard itself

You can insert operational, financial, and people metrics

Metric

Owners are accountable for performance of the metrics

Owner Target

Last month

This month

Metric #1

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Metric #2

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Metric #3

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e.g. Customer satisfaction index

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Colors can quickly help you assess which metrics have improved compared to last month

Scorecard Template

Scorecard Title
Metric Owner Target Last month This month

Metric #1

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Metric #2

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Metric #3

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Metric #4

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The change commitment curve tool Objective

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The change commitment curve tool Description

Change commitment curve

High

7
Initiatives need to be carried out to decrease the time between the different stages

Internalization
Individuals make the Vision their own and create innovative ways to use and improve

COMMITMENT

6 5 4

Institutionalization
The Vision is the way work is done -- the new status quo

Adoption
Individuals are willing to work with and implement the Vision

1
Contact Low
Individuals have heard that there is a vision initiative

2
Awareness
Individuals are aware of basic scope and concepts of the Vision

Positive Perception
Individuals understand impacts and benefits to them

Understanding

Individuals understand the impacts to their functional area

Status Quo

Vision

TIME
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The change commitment curve tool Template

Change commitment curve

Target state
High

7
6

Internalization
Insert initiatives

COMMITMENT

Institutionalization
Insert initiatives

Current state
4 3 2
Awareness
Insert initiatives

5
Adoption
Insert initiatives

Positive Perception
Insert initiatives

1
Contact
Insert initiatives

Understanding
Insert initiatives

Low Status Quo Vision

TIME
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Sources of information

APICS,the leading professional association for supply chain and operations management

What is Lean Six Sigma by Michael L. George

The McGraw-Hill 36-hour Course: Lean Six Sigma by Sheila Shaffie

The Lean Six Sigma Pocket Toolbook by John Maxey, Michael L. George, David Rowlands and Malcolm Upton

Sources of information

Lean Six Sigma: Combining Six Sigma Quality With Lean Production Speed by Michael L. George

Lean Six Sigma In Service by Sandra L. Furterer

Essentials of Lean Six Sigma by S. Taghizadegan

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Thanks

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