One of the main goals of Lean Six Sigma – a combination of Lean and Six Sigma methodology – is to eliminate waste from processes, as well as make them more efficient and as free from errors as possible. The many Lean Six Sigma tools, techniques and strategies focus on establishing formal processes for achieving these goals.
Six Sigma gained popularity in the last two decades of the 20th century after it was created to eliminate errors on the manufacturing floor at Motorola. Lean began with strategies developed in the Toyota Production System that started in the mid-20th century in Japan. Since then, businesses, government agencies and nonprofits have used both Lean and Six Sigma because of a proven track record.
Despite its success, many myths still exist and questions remain whether implementing Lean Six Sigma is worth the time and effort. To achieve the main goals of Lean Six Sigma implementation, businesses pick and choose from the broad range of tools the methodologies provide. Typically, this movement starts with some of the leaders within an organization earning a certificate in Lean Six Sigma.
9 Benefits of Lean Six Sigma
Lean Six Sigma training can benefit individuals by expanding their skills and knowledge in continuous process improvement. It can also benefit organizations in many ways, including the following.
Eliminating Errors
The goal of Six Sigma is to reduce the number of defects or errors in any process to 3.4 per one million outcomes. That’s an extremely ambitious goal, but one that is achievable by putting Six Sigma methodologies into practice, starting with the popular DMAIC approach. However, everyone in the organization must get involved in the effort and make a commitment to continuous process improvement for Six Sigma to succeed.
Cutting Waste
Lean focuses on eliminating the waste in an operation with an eye of cutting costs and creating products that best meet customer expectations. Most Lean projects focus on one or more of the eight wastes of Lean that hinder an operation from reaching its full potential.
Saving Costs
By eliminating errors and waste, organizations make their processes more efficient, saving money. Lean Six Sigma improves not only processes, but also can lead to better management of inventory, supply chains and product development. By looking at all these areas with unwavering attention on efficiency, use of Lean Six Sigma tools and techniques can lead to significant cost savings.
A New Company Culture
Lean Six Sigma is only effective if a company adopts a culture of continuous process improvement. While certain projects end successfully, the overall work of improvement never ends. It requires teamwork across an organization, with both those in executive positions and those in front-line positions all working on the same page.
It Reaches All Departments
While created initially for the manufacturing floor, Lean Six Sigma can benefit every department with a focus on measuring performance indicators, not just outcomes. This can apply to financial operations, customer service and human resources as much as it does manufacturing processes.
Higher Customer Satisfaction and Loyalty
By focusing on the needs of customers and eliminating everything that doesn’t meet those needs, businesses generate a higher level of satisfaction and loyalty among their customers. The key is to maintain any gains made through Six Sigma, assuring that products and services remain at a high level of quality.
Higher Employee Satisfaction
If included in the Lean Six Sigma effort, employees will feel more engaged in their jobs, loyalty to a company and better bonded with co-workers. They also can improve their own individual value by earning certification in Six Sigma and becoming leaders in process improvement. This, in turn, leads to more success for the company.
Attracting Business Partners
Applied properly, Lean Six Sigma will lead to more business success. That, in turn, will attract better business partners who want to partner with a successful organization.
Better Risk Management and Strategic Planning
By putting the proper Lean Six Sigma tools to work, organizations can better identify potential risks to their business and take steps to mitigate those risks. Continuous process improvement projects also generate valuable data for strategic planning. Companies that have a better grasp on the current state of operations can do a better job planning for future growth.
