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Lean Sigma - The KEY to the High Performance & Successful Organisation

Posted on June 7, 2010 in Articles

Lean Sigma is the KEY to the High Performance & Successful Organisation.  Businesses gauge success by a multitude of matrices – revenue, income, profit, customer satisfaction, market share, return on equity, return on assets, return on investments, and many more.  Ultimately, true success is attaining and sustaining BUSINESS RESULTS over time, with the fact that the customers’ and share holders’ expectations are ever increasing.

Due to the constraint of resources in every organisation, the challenge lies in determining the vital few results to focus on and the critical metrics that best monitor performance.  The Fortune 500 list serves as another metric of success.  Of the top 100 companies, 70 have been in the top 100 for five or more years.  Interestingly, 63% of these 70 companies acknowledge implementing Six Sigma to some degree.

“Lean Transformation” and “Six Sigma Breakthrough Improvement” are complementary in nature and, if effectively integrated, represent a long-term business improvement initiative that can produce unprecedented results.   While Lean focuses on eliminating non-value added steps and activities in a process, Six Sigma focuses on reducing variation from the remaining value-added steps.  Applying Lean ensure that we are working on the right thing with shorter lead time and applying Six Sigma ensures that we are doing the right things right, every time as we do them.   Lean defines and establishes the value flow as pulled by the customer, and Six Sigma makes the value flow more consistent.

These two methodologies interact and reinforce one another, such that percentage gains in Return on Investment Capital (ROIC%) are much faster if Lean and Six Sigma are implemented together.  Therefore, we can say that Lean Sigma is a business improvement strategy that maximizes shareholder value by achieving the fastest rate of improvement in customer satisfaction, cost, quality, process speed, and invested capital.

Lean Sigma implemented effectively via the Neville Clarke’s approach is a dynamic, synergistic force that will result in process improvement that will contribute significantly to the organization bottom-line.   Furthermore, the Lean Sigma business process improvement strategies bring a host of valuable tools to the workplace, which, if executed effectively with leadership support and commitment, can make a huge difference in the way companies work.

How to ensure that Lean Sigma WORKS for you !
In Neville Clarke, we are able to assess the success of a Lean Sigma strategy deployment by measuring the involvement and commitment of the staff and management of an organisation.  This implies the numbers of trained, practicing, certified change agent in an organisation.   Next is to evaluate the organisation’s leadership on their values towards excellence and behavior with regards to their emotional resistance to change.  All of these measures are of the essence, but ultimately, one of the most important aspects that Lean Sigma have brought to the industries is the ability to measure the financial impact of implementation and deployment of a Lean Sigma business process improvement project. 

Based on Neville Clarke’s experiences in helping our valued customers in successfully  deploying the Lean Sigma business process improvement programme, we have found the following elements to be the critical success factors, and these must be present and active in any Lean Sigma deployment;
• Alignment with Business Strategy.
• Top Management ownership and commitment that see the NEED to make it happen.
• Building the proper infrastructure and selecting the right people as Champions, Black Belts, Master
  Black Belts, Green Belts.
• Selecting the right projects, project teams, and project charter.
• Financial accountability and active participation of the Finance Department.
• Competent Training Provider to transfer the knowledge with active coaching of the projects.
• Effective Internal Communication Programme.
• Involve the Key Customer and supplier.
• Rewards and recognition system (e.g. Career Development Plan for Black Belts).
• Continuous assessment of projects and deployment/implementation issues.

Fast Track LeanSigma Kaizen Programme
The Fast Track LeanSigma Kaizen Programme was introduced by Neville Clarke for organisation that need to have an experience of the benefits of Lean Sigma before embarking on a full scale, company wide Lean Sigma business process improvement programme to reap the benefits that Lean Sigma brings (e.g. significant improvement in quality, cost and responsiveness).

The Fast Track LeanSigma Kaizen Programme adopts a 3 phases Rapid DMAIC Approach that enables the organization to see results within 2 to 3 months of implementation.

The programme deliverables include:
• Training of 6 Lean Sigma Green Belts (10 days in-training).
• Identification of two Lean Sigma Projects.
• Project Coaching of the two Project Teams to achieve project objectives.
• PNC Academy Certification of 6 Lean Sigma Green Belt.

Interested in discussing your requirements? Let’s talk.

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