Topics in this Session: 1. Brief history of Lean Six Sigma 2. What is Lean, Six Sigma, and Lean Six Sigma? 3. Introduction to Lean Six Sigma Methodologies 4. USPS and Lean Six Sigma Today
Lean – Its just the way we do business
2
®
The Evolution of Lean and Six Sigma into Lean Six Sigma (LSS)
Lean – Its just the way we do business
3
®
WHAT is Lean? Lean is primarily a way to run the business more efficiently using industry proven methods It focuses on improving process flow by identifying and eliminating 7 types of waste Its goal is to meet the mailing needs of the customer while improving the ease of performing work for employees Lean – Its just the way we do business
4
®
Lean – What it Focuses on Maximizing the value delivered to customers
Optimizing the flow of products and services
The use of visual methods to aid all employees in achieving USPS business requirements and daily performance Lean – Its just the way we do business
Performance 5
®
How can lean help the USPS? (cont.) By Reducing the 7 Types of Waste Lean Will:
1. 2. 3. 4. 5. 6. 7.
Transportation Inventory Motion Waiting Overproduction Over Processing Defects
Lean – Its just the way we do business
Improve efficiencies by reducing unnecessary work (non-value added activities)
Reduce process throughput times to improve the delivery performance of mail to our customers
6
®
WHAT is value? An activity that provides what the customer wants and is willing to pay for
The actual processing of mail or information into the final product or service desired by the customer
Total Effort Waste is not value in the eyes of the customer or the business Lean – Its just the way we do business
When #2 is done right the first time – No defects and no rework 7
®
WHAT do USPS customers want? They want what they are paying us to do On time mail delivery Accurate mail delivery Low Cost
These are the requirements for the USPS to be Successful
Lean and Six Sigma Help Us to Achieve These Requirements
Visibility
Lean – Its just the way we do business
8
®
WHAT is Six Sigma? Six Sigma is primarily a problem solving methodology that uses data to solve systemic problems that prevent us from meeting customer and business expectations
Lean – Its just the way we do business
Systemic problems are problems that have existed for an extended time, have unknown causes, unknown solutions and are not easily solved with traditional methods
9
®
Six Sigma - Its Primary Focus Reducing variation or unpredictability in our processes
Reduced variation makes processes more capable of achieving customer and business requirements
Reducing defects and rework
Reduced defects and rework eliminates waste in our processes
Making decisions through the use of data versus intuition
Making informed decisions based on data helps us to run the business better to meet customer requirements
Lean – Its just the way we do business
10
®
WHAT is Lean Six Sigma? Definition: A fact-based, data driven Methodology…
LEAN
For making informed decisions… Through process and data exploration… To reduce waste and improve the capability of our mail and business processes… So the USPS can be a competitive business in the eyes of our customers Lean – Its just the way we do business
SIX SIGMA The Best of Both 11
®
WHY would you use Lean Six Sigma? LEAN
SIX SIGMA
Maximizing the value delivered to customers
Reducing variation or unpredictability in our processes
Improve the working conditions through organized and clean environments that foster excellence
Reducing defects and rework
Reduce process throughput times to improve the delivery performance of mail to our customers
Making decisions through the use of data versus intuition
On time mail delivery
+
Lean – Its just the way we do business
Low Cost
+
Accurate mail delivery
+
Visibililty 12
®
PRINCIPLES
to Lean Six Sigma
• Focus on the customer • Involve the people in the process • Identify and understand how work gets done • Manage by fact and makes informed decisions • Undertakes improvement activity in a systematic and understood way Lean – Its just the way we do business
13
®
Lean Six Sigma Roles
Lean – Its just the way we do business
14
®
DMAIC Process Roadmap
Lean – Its just the way we do business
15
®
What
is a Kaizen Event?
A concentrated, very focused and high energy event to improve a process in typically 1 week. Led by a knowledgeable Kaizen Facilitator who is at minimum GB Trained Has a fully dedicated team including employees from the process being improved Uses tools from both the Lean and Six Sigma tool kits Lean – Its just the way we do business
Results Generates incremental improvement quickly to a poorly performing process using a team effort to make rapid changes. Is documented through a storyboard and Kaizen Newspaper without the need for formal tollgating
16
®
What
is a Just Do It?
Generally a very localized and uncomplicated problem where the solution is already known.
May require a task team who coordinates the implementation over several days to several weeks Does not require any formal documentation or project activity to achieve results Lean – Its just the way we do business
Because the solution is known, it does not require the usual LSS problem solving tools but still uses LSS thinking to develop a sustainable solution
17
®
The Formula for USPS Business Success Lean – Its just the way we do business