What is Lean Six Sigma?
300 reads · Last updated: December 5, 2024
Lean Six Sigma is a team-focused managerial approach that seeks to improve performance by eliminating resource waste and defects.It combines Six Sigma methods and tools with the lean manufacturing/lean enterprise philosophy. It strives to eliminate the waste of physical resources, time, effort, and talent while assuring quality in production and organizational processes.Simply put, Lean Six Sigma teaches that any use of resources that doesn't create value for the end customer is considered a waste and should be eliminated.
Definition
Lean Six Sigma is a team-focused managerial approach aimed at improving performance by eliminating waste and defects. It combines Six Sigma methods and tools with lean manufacturing/lean enterprise philosophy. In short, Lean Six Sigma teaches us that any use of resources that does not create value for the end customer is considered waste and should be eliminated.
Origin
Lean Six Sigma originated in the late 1980s and early 1990s when companies began combining lean manufacturing and Six Sigma to enhance efficiency and quality. Lean manufacturing originated from the Toyota Production System, while Six Sigma was developed by Motorola in 1986. The combination aims to optimize processes by reducing waste and variation.
Categories and Features
Lean Six Sigma is primarily divided into two categories: Lean and Six Sigma. Lean focuses on eliminating waste and improving process speed and efficiency; Six Sigma focuses on reducing variation and enhancing product and service quality. The combined features include data-driven decision-making, continuous improvement, team collaboration, and customer-centric process optimization.
Case Studies
A typical case is General Electric (GE), which adopted Lean Six Sigma in the late 1990s, significantly improving operational efficiency and product quality. By reducing waste and defects in production processes, GE achieved cost savings and increased customer satisfaction across multiple business units. Another case is 3M, which used Lean Six Sigma to reduce production cycle times and inventory levels while enhancing product quality and market responsiveness.
Common Issues
Common issues investors face when applying Lean Six Sigma include resistance to change, lack of top management support, and insufficient data analysis. The key to overcoming these issues is ensuring management commitment, providing adequate training and resources, and establishing a data-driven culture.
