Lean Six Sigma

In order to help organizations apply Lean Six sigma methodology, CAD Resource HQ, Inc. sees the need to present Lean Six Sigma as a dynamic synergistic force rather than two competing initiatives. These two leading business process improvement strategies bring a lot of value-added tools to the workplace. When they are used properly with leadership support and commitment, they can make huge difference in the way companies work.

Definition of Lean Six Sigma

Lean and Six Sigma are complementary in nature. If performed properly, they represent a long-term business initiative that can produce significant and unprecedented results. While Lean focuses on eliminating non-value added activities and steps in a process, Six Sigma focuses on reducing variation from the remaining value-added steps. Lean ensures that we are working on the right activities, while Six Sigma ensures that we are doing the right things right the very first time we do them. Lean defines and establishes the value flow as pulled by the customer, and Six Sigma makes the value flow smoothly without interruption.

Measuring Lean Six Sigma Success

One way CAD Resource HQ, Inc. evaluates the success of a Lean Six Sigma initiative is to measure organizations involvement in Lean Six Sigma by way of numbers of people trained, practicing, and certified in Lean Six Sigma. Another is to evaluate the leadership involvement by way of their behaviors and values. Yet another is to evaluate the Lean Six Sigma maturity of the organization. All these measures are important, but certainly the most important aspect that Lean and Six Sigma have brought to organizations is the ability to measure the financial impact of implementation and deployment. CAD Resource HQ, Inc. studied some companies that have implemented Lean Six Sigma and found that any organization that wishes to place itself in the top tier of companies with respect to financial returns should be returning to the bottom line at least 2% of its revenue annually through Lean Six Sigma projects. In order to attain this level of success, the following elements are critical and must be present and active in any Lean Six Sigma deployment.

• Executive ownership and commitment with a strong passion to make it happen.
• Leadership alignment.
• Building the proper infrastructure and selecting the right people as Champions, Master Black Belts,
• Black Belts, Green Belts, and Leadership Team members
• Selecting the right projects, project teams, and project contracts
• Financial accountability and proactive participation
• The right training with the right tools using the right trainers and motivators
• Knowledge sharing and communication
• Customers and suppliers involvement
• Rewards and recognition system
• Continuous assessment of projects and deployment/implementation challenges.