an introduction to lean six sigma

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Page 1: An introduction to lean six sigma

www.businessbeam.com

An Introduction to

Lean Six Sigma

Business Beam (Pvt.) Limited

Page 2: An introduction to lean six sigma

Too Many Buzzwords, Which One to

Chose?

Lean

Six Sigma

5S

Kaizen

Poka-Yoke

and many more…

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Page 3: An introduction to lean six sigma

Which track will help you run

Marathon in min. possible time?

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Page 4: An introduction to lean six sigma

Logical Improvement Steps

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Lets remove hurdles first…

This is Lean!!!

Page 5: An introduction to lean six sigma

What is Lean?

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Lean manufacturing or lean production, often simply “Lean”, is a

production practice that targets for elimination of waste.

What is Waste?

Anything other than the minimum amount of equipment, materials, parts,

space, and worker’s time which are absolutely necessary to add value to

the product.

For example: Defects

Overproduction

Waiting

Non-utilized resources

Transportation

Inventory

Extra processing

Page 6: An introduction to lean six sigma

Results of Lean

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COST QUALITY DELIVERY (Cycle Time)

Low Cost

Lower working capital

Less scrap and rework

Higher productivity

High Quality

Receive feedback at more frequent intervals

Introduce design/ quality improvements at a more rapid rate

Fast Response to Market

Shorter delivery time

Faster to market with new products

Improved market share

Page 7: An introduction to lean six sigma

Related Terms

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There are several related terms

Kaizen

6S

Poka Yoke

Just In Time

TQM

Page 8: An introduction to lean six sigma

Kaizen

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Kaizen is the organized use of common sense to improve

cost, quality, delivery, and responsiveness to customer

needs.

Five components of Kaizen are:

Teamwork

Personal discipline

Improved morale

Quality circles

Suggestions for improvement

Page 9: An introduction to lean six sigma

6S (5S plus Safety)

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Sort Set in Order Sustain Standardize Shine

Page 10: An introduction to lean six sigma

Poka Yoke

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A poka-yoke device is any mechanism that either prevents

a mistake from being made or makes the mistake obvious

at a glance.

The goal of poka-yoke is both prevention and detection:

“errors will not turn into defects if feedback and action

take place at the error stage.”

Page 11: An introduction to lean six sigma

Six Sigma

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A Measure of Variability

How much Data falls within Customers’ Requirements

3.4 Defect per Million Opportunities or

99.99996% of Data or Opportunities

Higher the Process Sigma

The more Outputs meet Customers’ Requirements or

The fewer the Defects.

Page 12: An introduction to lean six sigma

Performing at Six Sigma

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.00034% Defects (Products

Unacceptable to Customer)

Mean

Variation

Product or Service Output

99.99966% Products

Acceptable to customer

Page 13: An introduction to lean six sigma

Six Sigma Implementation

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DEFINE MEASURE ANALYZE IMPROVE CONTROL

DMAIC

Page 14: An introduction to lean six sigma

1. Define

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Activities performed

Map Current State

Customers

Demand Rate

Processes

Suppliers

Storage Locations

Product Flow

Information Flow

DEFINE

Page 15: An introduction to lean six sigma

2. Measure

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Activities performed

Measure Inventory

Total Lead Time

Total Cycle Time

Process Time

Cycle Efficiency

MEASURE

Page 16: An introduction to lean six sigma

How far would you drive

without your gauges?

Page 17: An introduction to lean six sigma
Page 18: An introduction to lean six sigma

3. Analyze

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Activities performed: Identify Waste

Over Producing

Inventory

Waiting

Motion

Transportation

Defects

Processing

Build Strategy

Build To Order

Assemble To Order

Finish To Order

Engineer To Order

Identify the Pacemaker

Identify Issues

ANALYZE

Page 19: An introduction to lean six sigma

4. Improve

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Activities performed

Kaizen

Map Future State

Demand

Create Flow from Pacemaker

Create Pull from Pacemaker

Calculate Inventory amounts

Safety Stock

Buffer Sizes

IMPROVE

Page 20: An introduction to lean six sigma

5. Control

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Activities performed

Create metrics to maintain Future State

Continuously Improve

CONTROL

Page 21: An introduction to lean six sigma

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Thank You!

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