Premium Essay

The Emergence of Lean Six Sigma

In:

Submitted By CEPS
Words 1819
Pages 8
The Emergence 1

The Emergence of Lean Six Sigma Carl E. Pierce MBA 5101-06F – Strategic Management and Business Policy Professor Larry R. Williams October 15, 2006

The Emergence 2

Introduction Every organization has problems that get solved over and over again, only to reappear. Organizations work hard for months, generating solutions that people know will work, but don’t. To have any chance of success, implementation of Lean Six Sigma must be accompanied by new positions, new training, and new ways for different layers of the organization to communicate. By delivering products and services with speed, customer satisfaction and lower cost through operational excellence is essential to achieve and sustain superior shareholder returns in businesses and government enterprises. Operating excellence is becoming a priority in services like banking, insurance, retail, and government, because so much of the cost is tied into operations. Lean Six Sigma and Six Sigma are all about change and managing change. We all want improved results; it is just the challenge of making the changes and managing change necessary for the improved results that present the challenges. For some managers, the changes brought by Lean Six Sigma can present a challenge to their normal management approach. Decisions and changes are based on data and statistical analysis. One of the most important tasks in managing change is an analysis of the various stakeholders impacted by the change. Stakeholders need a process to achieve the desired future state. An understanding of economic reality and the demands of the customer must be communicated. They need to understand how the change fits into the

Similar Documents

Premium Essay

Lean Thinking

...Towards An Integration Of The Lean Enterprise System, Total Quality Management, Six Sigma And Related Enterprise Process Improvement Methods Kirkor Bozdogan Center for Technology, Policy and Industrial Development Massachusetts Institute of Technology Cambridge, MA USA 02139 Tel. 617 253-8540 bozdogan mit.edu ESD-WP-2010-05 August 2010 esd.mit.edu/wps ESD Working Paper Series Towards An Integration Of The Lean Enterprise System, Total Quality Management, Six Sigma And Related Enterprise Process Improvement Methods Kirkor Bozdogan Center for Technology, Policy and Industrial Development Massachusetts Institute of Technology Cambridge, MA USA 02139 Tel. 617 253-8540 bozdogan mit.edu ESD-WP-2010-05 August 2010 esd.mit.edu/wps TOWARDS AN INTEGRATION OF THE LEAN ENTERPRISE SYSTEM, TOTAL QUALITY MANAGEMENT, SIX SIGMA AND RELATED + ENTERPRISE PROCESS IMPROVEMENT METHODS Kirkor Bozdogan # Center for Technology, Policy and Industrial Development, Massachusetts Institute of Technology, Cambridge, MA USA 02139 August 5, 2010 Key Words: Lean manufacturing; just-in-time-production (JIT); Toyota Production System (TPS); lean enterprise system; total quality management (TQM); six sigma; lean six sigma; theory of constraints (TOC); agile manufacturing; business process reengineering (BPR); enterprise change and transformation; evidence-based management practices Abstract: The lean enterprise system, total quality management, six sigma, theory of constraints, agile...

Words: 10496 - Pages: 42

Premium Essay

Importance of Six Sigma in Process Improvement

...Importance of Six Sigma as Process and Sustainability Improvement in United Parcel Services Martin Tunggadjaja March 2013 ABSTRACT Six Sigma is a process improvement developed by Motorola in 1985 that encompasses a set of strategies and tools acquired in order to improve the current business practice and systematic processes to fulfill the objectives. It is initially designed to measure how many faults or defects are in the process so that they can be eliminated systematically as part of improvement to reduce weaknesses and reinforce quality. One of popular process improvement methodology that is part of Six Sigma is DMAIC, which consists of: Define, Measure, Analysis, Improve and Control. Originally Six Sigma was first incorporated into manufacturing industries; this methodology also applies well to logistics companies since the focus is customer-oriented. Supply chain management is a key strategic factor for increasing organizational effectiveness and for better realization of goals such as enhanced competitiveness, better customer care and increased profitability (Gunasekaran, Patel, Tirtiroglu, 2001, p71). Therefore, Six Sigma as shown to be successful in delivering business benefits through variation reduction (Knowles, Whicker, Femat, 2005, p51). This paper discusses how Six Sigma apply to the logistics processes and an example case study of United Parcel Service (UPS) incorporating this technique to reposition itself in the world’s most improved logistics and...

Words: 3755 - Pages: 16

Premium Essay

Logistics

...LEAN SIX SIGMA LOGISTICS Strategic Development to Operational Success by Dr. Thomas Goldsby • Robert Martichenko Copyright ©2005 by J. Ross Publishing, Inc. ISBN 1-932159-36-3 Printed and bound in the U.S.A. Printed on acid-free paper 10 9 8 7 6 5 4 3 2 1 Library of Congress Cataloging-in-Publication Data Goldsby, Thomas J. Lean Six Sigma logistics / by: Thomas Goldsby & Robert Martichenko. p. cm. Includes index. ISBN 1-932159-36-3 (hardback : alk. paper) 1. Business logistics—Management. 2. Six sigma (Quality control standard). 3. Process control. 4. Inventory control. 5. Waste minimization. 6. Industrial efficiency. I. Martichenko, Robert, 1965–. II. Title. HD38.5.G63 2005 658.4′013—dc22 2005011208 This publication contains information obtained from authentic and highly regarded sources. Reprinted material is used with permission, and sources are indicated. Reasonable effort has been made to publish reliable data and information, but the author and the publisher cannot assume responsibility for the validity of all materials or for the consequences of their use. All rights reserved. Neither this publication nor any part thereof may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of the publisher. The copyright owner’s consent does not extend to copying for general distribution for promotion, for creating new works, or for resale...

Words: 93598 - Pages: 375

Premium Essay

Management Evolution

...The Evolution of Management Theory People have been changing the shapes of the organizations for much generation. Looking back towards world history, we can mark out the incidents of people working together in official organizations such as the Greek and Roman armies, the East India Company, the Roman Catholic Church, and the Hudson Bay Company. People have also long been thinking about how to make organizations efficient and effective‐‐ since long before terms such as "management" came into common terms. Early Strategies The adjective 'Machiavellian' is used to Identify Shrewd and manipulative opportunists. Therefore Machiavelli was a great believer in the virtues of a republic. This is a proof in Discourses, a book Machiavelli has written in 1531 while he lived in the early Italian republic of Florence. The principles he set forth can be taken into consideration to apply to the management of organizations today. An organization is more stable if members have the right to express their differences and solve their conflicts within it while one person can begin an organization, "it is lasting when it is left in the care of many and when many desire to maintain it." A weak manager can follow a strong one, but not another weak one, and maintain authority. A manager seeking to change an established organization "should retain at least a shadow of the ancient customs." Another classic work that offers insights to modem managers is The Art of War, written by the Chinese philosopher...

Words: 1406 - Pages: 6

Premium Essay

M & S Case Study

...A brief about the organization: TI Automotive Incorporated in England, TI Automotive is the only global supplier of fully integrated  fuel storage and delivery systems for cars and trucks and the leading supplier of fluid carrying systems for braking and powertrain applications to automakers worldwide. TI automotive employs over 18,000 people, has more than 100 facilities, operating in 27 countries spread over 6 continents. Bundy India Ltd. is a fully owned subsidiary of TI Automotive. Earlier known as Bundy Tubing of India the company in India is popularly known as Bundy. It is well known for its precision tube manufacturing and was the market leader for Fluid Carrying Systems for Automotive and Refrigerator / Air Conditioner. Bundy India Ltd produces high pressure double wall tubes for brake application in automotive industry as well as it produces low pressure single wall tube for fuel application in automotive and gas flow application in refrigeration and air-conditioning. The company set up its first plant at Baroda in collaboration with Murgapa Group of companies in the year 1972. Initially, Bundy started the production of double wall tube for all application and had monopoly in the market. It enjoyed this for many years till 1992. With the industrial market getting more & more competitive, the OEMs (Refrigeration/ Air conditioner) started buying single wall tube from other vendors at lower rates. The company soon started losing money year on year and went into red...

Words: 4093 - Pages: 17

Premium Essay

Lean Production

...Summary More than ever before, the project management becomes a matter of concern. Through applying the various types of managerial methods, processes and tools, the project can results in different profits. Due to the intense competition of market, an emerging system has been created, called the Lean Production Delivery System. In the report, it investigates, analyzes and discusses the methods, processes and tools in current project management approaches and LPDS. Through the comparison of them, the report concludes that the traditional project management is steady and reliable, still the main stream for the current environment. Furthermore, the LPDS is modern and excellent, but it is open to question. Introduction In recent decades, project management plays an essential role in various areas, from the architecture, national defense, and aerospace to the computer, telecommunications, financial industry and even government agencies. Project management developed after the Second World War as one of the new management technologies, organized in the United States. It is defined as that the project managers use the systematic views, methods and theories to effectively manage and operate all the works involved the project, under the condition of limited resource. In other words, project management is planning, organizing, conducting, coordinating, controlling and evaluating from the start of invested...

Words: 2928 - Pages: 12

Premium Essay

Bundy India Rise and Fall

...A brief about the organization: TI Automotive Incorporated in England, TI Automotive is the only global supplier of fully integrated fuel storage and delivery systems for cars and trucks and the leading supplier of fluid carrying systems for braking and powertrain applications to automakers worldwide. TI automotive employs over 18,000 people, has more than 100 facilities, operating in 27 countries spread over 6 continents. Bundy India Ltd. is a fully owned subsidiary of TI Automotive. Earlier known as Bundy Tubing of India the company in India is popularly known as Bundy. It is well known for its precision tube manufacturing and was the market leader for Fluid Carrying Systems for Automotive and Refrigerator / Air Conditioner. Bundy India Ltd produces high pressure double wall tubes for brake application in automotive industry as well as it produces low pressure single wall tube for fuel application in automotive and gas flow application in refrigeration and air-conditioning. The company set up its first plant at Baroda in collaboration with Murgapa Group of companies in the year 1972. Initially, Bundy started the production of double wall tube for all application and had monopoly in the market. It enjoyed this for many years till 1992. With the industrial market getting more & more competitive, the OEMs (Refrigeration/ Air conditioner) started buying single wall tube from other vendors at lower rates. The company soon started losing money year on year and went into red...

Words: 4141 - Pages: 17

Premium Essay

Global Supply Chain

...Contents Executive Summary 2 Introduction 3 Implementation of TQM & LEAN into MPA objective 4 TQM application to MPA reliability 4 Lean approach vs MPA competitiveness 7 Benefits & Limitations 8 Environmental Issues 8 Sustainable Environment 9 Carbon Emissions 10 Implementation of LEAN in the Environmental Issues 11 Conclusion 12 References 12 Executive Summary: The port of Singapore comprises a number of facilities and terminals that handle a wide range of cargo transported in different forms. In addition, the government has established The Maritime and Port Authority of Singapore (MPA) as a body that is responsible for the overall development and growth of the port of Singapore, overseeing most if not all the activities that are carried out as far the port logistics are concerned. However, the purpose of this paper has been divided into two tasks, one of which involves a critical evaluation of the application of Lean and TQM (Total Quality Management) in logistics and supply chain networks to achieve MPA objectives such as quality of service, competitiveness, reliability and efficiency. In addition the benefits and limitations from a practical perspective for MPA is evaluated. The second task of the paper aims to critically evaluate the key environmental sustainability issues in Cargo maritime logistics for MPA and an analysis of how implementing lean practices by MPA can reduce the environmental impact of an inward and outward maritime...

Words: 3989 - Pages: 16

Premium Essay

Total Quality Management

...TOTAL QUALITY MANAGEMENT AND SIX SIGMA Edited by Tauseef Aized Total Quality Management and Six Sigma http://dx.doi.org/10.5772/2559 Edited by Tauseef Aized Contributors Aleksandar Vujovic, Zdravko Krivokapic, Jelena Jovanovic, Svante Lifvergren, Bo Bergman, Adela-Eliza Dumitrascu, Anisor Nedelcu, Erika Alves dos Santos, Mithat Zeydan, Gülhan Toğa, Johnson Olabode Adeoti, Andrey Kostogryzov, George Nistratov, Andrey Nistratov, Vidoje Moracanin, Ching-Chow Yang, Ayon Chakraborty, Kay Chuan Tan, Graham Cartwright, John Oakland Published by InTech Janeza Trdine 9, 51000 Rijeka, Croatia Copyright © 2012 InTech All chapters are Open Access distributed under the Creative Commons Attribution 3.0 license, which allows users to download, copy and build upon published articles even for commercial purposes, as long as the author and publisher are properly credited, which ensures maximum dissemination and a wider impact of our publications. After this work has been published by InTech, authors have the right to republish it, in whole or part, in any publication of which they are the author, and to make other personal use of the work. Any republication, referencing or personal use of the work must explicitly identify the original source. Notice Statements and opinions expressed in the chapters are these of the individual contributors and not necessarily those of the editors or publisher. No responsibility is accepted for the accuracy of information contained...

Words: 105584 - Pages: 423

Premium Essay

Bdjobs Training

...Page |1 ABOUT US Bdjobs Training has been the biggest professional training house in the country. The tracks of its training programs include Marketing/Sales, IT , Commercial, Finance, Quality & Process, Industrial Engineering, RMG, Banking, HR, Development/NGO, Management Development and so forth. Since its inception, Bdjobs Training has been mentoring the professionals by providing latest industry focused education. BT, in this expedition, engages hundreds of industry experts to ensure quality education to the young entrepreneurs and professionals of the country. BT offers both short (1 or 2 days) and long courses in the form of workshop and certificate training. Also BT offers customized in-house training programs exclusively designed for a group of employees. Customized courses can be provided either at our training facilities or on-site at clients’ location. Our training programs are lively, interactive, and include role-playing and demonstrations of real-life workplace issues and solutions. bdjobstraining.com Page |2 bdjobstraining.com Page |3 TRAINING TRACKS Marketing/ Sales Track • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 1111 Selling Techniques for Excellence 13 Lessons to turn every Company into Fantastic Brands Advance Selling Techniques Art of Pharmaceutical Sales Brand Management–Walking the Talk Branding for Bangladeshi Business Constructive & Modern Leadership Approach in Selling through Team...

Words: 2551 - Pages: 11

Premium Essay

Medtronic Case Study

...Comparing theory to practice: How does operations management work at Medtronic? Table of Contents 1. Introduction…………………………………………………………………….. 2 2. Medtronic.................................................………………………………………. 3 3. Supply Chain.............…………………………………………………………... 4 3.1 Inventory Management 4. Project..............................................................…………………………………. 5 4.1 Definition 4.2 Measurement 4.3 Analysis 4.4 Improvement 4.5 Control 5. Logistics..............……………………………………………………………….. 8 6. Conclusion............................................................................................................ 10 7. Group evaluation………………………………………………………………. 11 References…………………………………………………………………………. 13 1. Introduction According to the textbook “Operations and supply chain management“ by Cecil C. Bozarth and Robert B. Handfield (2008) there are three simple reasons why one should be interested in operations and supply chain management: First, every organisation must make a product or provide a service that someone values. Second, most of these organisations function as part of larger supply chains. Third, they must carefully manage their operations and supply chains in order to prosper and survive. At first these arguments seem to be reasonable and clear but to fully understand them it is important to gain further insight into different concepts of supply chain management and...

Words: 3792 - Pages: 16

Free Essay

Quality of Work Life

...Industrial & Manufacturing Engineering Program, University of Cincinnati, Cincinnati, OH 45221, U.S.A. Ash Genaidy Industrial & Manufacturing Engineering Program, University of Cincinnati, Cincinnati, OH 45221, U.S.A. Waldemar Karwowski* Center for Industrial Ergonomics, Department of Industrial Engineering, University of Louisville, Louisville, KY 40292, U.S.A. Samuel H. Huang Industrial & Manufacturing Engineering Program, University of Cincinnati, Cincinnati, OH 45221, U.S.A. ABSTRACT The organization of work has been addressed through numerous perspectives by a diverse set of disciplines. While job stress research has focused on the promotion of worker well-being, contemporary business-improvement initiatives (e.g., lean manufacturing, six sigma) have sought to optimize effectiveness through work processes. However, these two aims, although traditionally viewed as contradictory, are actually interdependent variables in the determination of long-term profitability. The concept of organizational health blends the pursuit of individual wellness with organizational effectiveness to yield a strategy for economic resilience. This article introduces a novel model for organizational health assessment using a systemic approach that addresses work factors at the individual, job, process, and organizational levels. © 2004 Wiley Periodicals, Inc. 1. INTRODUCTION Corporate financial success and a healthful organizational environment have been long viewed as juxtaposed...

Words: 7435 - Pages: 30

Premium Essay

Organizational Agility

...Organizational agility is the capability of a company to rapidly change or adapt in response to changes in the market. A high degree of organizational agility can help a company to react successfully to the emergence of new competitors, the development of new industry-changing technologies, or sudden shifts in overall market conditions. Change puts pressure on organizations, putting a premium on adapting; the faster the pace of change, the greater the premium. Without change, there is no reason to adapt. If you are working in an environment in which things are routine and nothing changes, every day is the same and every project is just like the last. There are no surprises and everything is nice and predictable. That is not the case in the reality of today’s market conditions. Enterprises that do not adapt are in for a lot of trouble. To quote Darwin, “It is not the strongest species that survive, nor the most intelligent, but the ones most responsive to change.” The organization that doesn’t adapt and evolve is in danger of going the way of the Dodo bird. Managers of agile organizations need to be champions of their teams. They need to build trusting relationships with all of their team members. These managers need to remove obstacles in the organization, as well as be able to coach their team members, providing appropriate levels of feedback. If they are able to do these things they will be ideally placed to see how to grow strategically. They will see when more people...

Words: 1901 - Pages: 8

Free Essay

Quality Management Chapters 1-3

...review. Reactive approach. * Bell System Statistical – Shurart. * WWII Post War l 40’sand 50’s- Beming and Juran concepts fell on deaf ears. This message brought to Japan where concepts were embraced. Outperforming US counterparts. * Fast forward to 1980s… Crisis around globe. Total Quality was reactive approach to crisis. Total quality Shift in vision from reactive little q (reactive post production inspection ) to big Q. – Total Quality approach with no external department but integrated with all responsible for their own quality. Late 80’s-`987 Malcolm Baldrige Award. TQM wasn’t an integrated function at that point. Emergence of quality management - in service industries, government, health care and education. Evolution of quality to the broader concept of performance excellence Growth and adoption of Six Sigma Current and future challenge: continue to apply the principles of quality and performance excellence. Quality is a “race without a finish line”. It is ongoing and continuous. Contemporary Influences on Quality. Globalization Social Responsibility New Dimensions of quality Aging population Heath care Environmental concerns 21st Century Technology Definition Change in Cycle – Flow Charge of Quality Marketing (User based definition)….….Design (value based)…Manufacturing based…..Distribution……Customer (Could be Transcedent and Product Based) Establish Definition – Meeting or Exceeding Customer Expectations. Other definitions...

Words: 3150 - Pages: 13

Premium Essay

Benefits Of Strategic Planning

...Substitute products face the same barriers to entry that medical devices face, particularly with respect to long lead times to market and initial capital outlays (Wipperfurth et al., 2010). The emergence of new substitutes will be more gradual as a result than of barrier to entry were lower. Bargaining power of Buyers: Purchasers of healthcare products are physicians, hospitals, nursing homes for the long-term sick and households. Buying power could be classified as moderate within the industry, and it is becoming more and more consolidated where medical reimbursement policies are evolving. On the other hand, they are specific products that are related to the health status of the population and demographic development with more than their current purchasing power. Bargaining power of Suppliers The suppliers to the medical device industry include manufacturing companies included in many sectors. Global markets also allow access to entities...

Words: 3148 - Pages: 13