Saturday, October 25, 2014


Lean Six Sigma 2.0: What’s Next Now That Everyone Knows About and Can Use Version 1.0?

      Recently I started to read a McKinsey & Company report titled ‘The Lean Management Enterprise.’  In the Preface the report note it ‘considers how organizations will fare now that more of their competitors may be starting to hear about – and use – the management principles once known as “lean manufacturing.” 

Like all of McKinsey’s work, it is well written and informative, definitely worth a read.  But the quote made me think about what we practitioners of lean six sigma should do now that all our competitors know about and can use existing lean six sigma concepts and practices.        In previous PIPs I noted how some existing tools may have lost their effectiveness.  These include cross training, best practices, benchmarking and Kaizen.

So where do we go for new tools and practices for Lean Six Sigma 2.0?  One area in my mind is the business process management area.  There is now a formal body of knowledge for this area which to me could prove very effective for the control phase of a DMAIC project and the design phase of a DMADV project.

A second area is around the rapidly expanding area of data analytics with the accelerated use of ‘big data.’  Frequently six sigma projects suffer from difficulty obtaining accurate, reliable continuous data.  Big data is putting an informational structure around the vast quantity of data out there.  Tools from this discipline should be adapted for the measure and analyze phases of a DMAIC project.

Lastly is an area which made some inroads to lean six sigma but not enough in my view is formal project management.  We have the process improvement frameworks of DMAIC, DMADV, and on a smaller scale PDCA.  But all too frequently management of a project falls short.  The most successful projects lean six sigma projects I’ve seen had an experienced project manager on the team.

Just like an engine that uses spark plugs needs a tune-up, lean six sigma definitely needs an upgrade.  We’re past that 30,000 mile point in lean six sigma.  In future PIPs, I’ll explore additional ideas and recommendations I have for Lean Six Sigma 2.0.
 

Saturday, October 11, 2014


Leadership: A Term Some Say Is Overused But is Sorely Lacking in Process Improvement

Over my many years working on and in processes to improve them, I’ve noticed a concerning trend more often than I would like to see.  In most organizations, an improvement focus is parroted in internal conversations with senior leadership, all the way to the top.  It is probably slipped in with dinner engagements with clients and customers.  After all no one would dare say they weren’t focused on this important concern.

But back in the office and down in the trenches it gets shoved into second place or maybe even further back.  Many experts say it is because of the ‘old’ quality-productivity-cost triangle.  You’ve heard it before: “pick two of them since you can’t have all three.”  So the choice is made to “get it out the door to meet deadline” and not push up the figures in the operating budget.  Why is that so?

My view is we are sorely lacking true leaders in our organizations.  Men or women who will stand up and say “No we aren’t going to do that!”  That takes leadership.  But you want to know where leadership is needed even more?  It is the executives above that individual who agree with the decision and support him or her.

Some would say you can’t follow that approach in all cases.  Maybe, maybe not.  But I would say if those on the line have to make that decision in many if not all cases, you’ve got a bigger process problem than you may realize.  The voice of the process is screaming ‘help’ at you and you are consciously or unconsciously not listening.  Broken processes don’t self-heal and will get worse.

If our organizations are going to improve, we need leaders to support the process improvement initiatives.  To me the alternative is the ‘race to the bottom’ which you’ve heard before.  As you start heading down toward that bottom, things get warmer.  And eventually you will get to a place which is very warm indeed.