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Lean Six Sigma Management Orientation. Linda Lyons –Director, Center for University Learning & KSU’s Customer Service Champion Victor Kane – KSU Associate Professor Department of Mathematics and Statistics. Orientation Overview. Customer Service Initiative What is Lean Six Sigma?

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Lean six sigma management orientation

Lean Six Sigma Management Orientation

Linda Lyons –Director, Center for University Learning & KSU’s Customer Service Champion

Victor Kane – KSU Associate Professor

Department of Mathematics and Statistics


Orientation overview
Orientation Overview

  • Customer Service Initiative

  • What is Lean Six Sigma?

  • Origin of Lean Six Sigma

  • Employee Training

  • Project Essentials

  • Supervisor’s Role for Successful Projects

  • Process Improvement Organizational Model

  • Quality Awards Focused on Process Improvement


Lean six sigma management orientation

Customer Service State Initiative

  • In 2006, Governor Sonny Perdue launched the “Customer Service Improvement” initiative to assist in achieving the goal of making Georgia the best-managed state in the country.

  • It was the Governor’s desire that this initiative serve as both a catalyst and a vehicle to create a change in our culture towards providing better customer serviceacross all areas of service in the state.


Lean six sigma management orientation

The Governor’s initiative is anchored in five commitments to our customers:

  • Helpful

  • Courteous

  • Accessible

  • Responsive

  • Knowledgeable


Lean six sigma management orientation

  • In coordination with the Governor's Customer Service Initiative, Chancellor Davis mandated that every USG campus is to implement a plan for improving customer service.

  • Each institution has Customer Service Champion to manage/promote the Governor’s initiative.

  • Plans are developed each FY with identified units.

  • Outline clear and measurable ways to track the campus' progress toward improved customer service.


Lean six sigma management orientation

  • BOR’S STRATEGIC PLAN: Goal Six: Increase efficiency, working as a System

  • Challenge:

  • The USG will implement systematic process improvement efforts across the campuses in order to promote effectiveness.

  • Action:

  • Establish a process improvement initiative

  • Activities for Implementation:

  • Implement a Lean Six Sigma training program

  • Implement process improvement efforts.


Lean six sigma management orientation

KSU working as a SystemCustomer Service Mission

Kennesaw State University is dedicated to providing top customer service to our students and other KSU constituents by diligently listening to our customers’ concerns, being proficient and knowledgeable in our job duties, and demonstrating a willingness to go above the customers’ expectations when addressing customers’ issues and interests.


Lean six sigma management orientation

KSU working as a SystemCustomer Service Initiative

KSU-focused programs and activities include:

  • Customer Service Improvement Program - LSS

  • Customer Service Training/Certificate Program

  • Customer Service Council

  • Customer Service Inspector Program (CSI)

  • Shining Star Award Program

  • Chancellors/ Governors Award Program Nominations

  • Annual KSU Customer Service Recognition Luncheon


Lean six sigma management orientation

KSU Unit Participation working as a System

The following units at Kennesaw have participated in the CS Improvement Program:

  • The Office of Student Financial Aid – FY “07 “, “09”, “10”

  • Business Services and KSU Bookstore – FY “08”

  • Continuing Education – FY “09”

  • Plant Operations/ Facilities - FY “10”

  • Office of the Registrar - FY “10”


Lean six sigma management orientation

KSU Awards/Recognitions working as a System

Chancellor’s Customer Service Awards

2007

  • Outstanding Customer Service Institution of the Year

  • Outstanding Customer Service Leadership Gold Award – Linda Lyons

  • Outstanding Customer Service Improvement Gold Award – Coles College of Business

  • Outstanding Customer Service Improvement Silver Award – New Hires Online Project

    2008

  • Outstanding Customer Service Institution of the Year

  • Joseph Greene Champion of the Year Award – Linda Lyons

  • Outstanding Customer Service Improvement Bronze Award – KSU Bookstore

  • Outstanding Customer Service Individual Bronze Award – Dr. Charles Aust

  • Outstanding Customer Service Team Bronze Award – Enrollment Services Communication Center

    2009

  • Outstanding Customer Service Leadership Award - Honorable Mention – Kim West, KSU Registrar

  • Outstanding Customer Service Team Gold Award – KSU’s Customer Service Council

The following units at Kennesaw have participated in the CS Improvement Program:

  • The Office of Student Financial Aid – FY “07 “, “09”, “10”

  • Business Services and KSU Bookstore – FY “08”

  • Continuing Education – FY “09”

  • Plant Operations/ Facilities - FY “10”

  • Office of the Registrar - FY “10”


Lean six sigma management orientation

KSU Awards/Recognitions working as a System

Chancellor’s Customer Service Awards

2007

  • Outstanding Customer Service Institution of the Year

  • Outstanding Customer Service Leadership Gold Award – Linda Lyons

  • Outstanding Customer Service Improvement Gold Award – Coles College of Business

  • Outstanding Customer Service Improvement Silver Award – New Hires Online Project

    2008

  • Outstanding Customer Service Institution of the Year

  • Joseph Greene Champion of the Year Award – Linda Lyons

  • Outstanding Customer Service Improvement Bronze Award – KSU Bookstore

  • Outstanding Customer Service Individual Bronze Award – Dr. Charles Aust

  • Outstanding Customer Service Team Bronze Award – Enrollment Services Communication Center

    2009

  • Outstanding Customer Service Leadership Award - Honorable Mention – Kim West, KSU Registrar

  • Outstanding Customer Service Team Gold Award – KSU’s Customer Service Council

  • Governor’s Commendation for Customer Service Excellence

  • 2008

    • Kennesaw State University

    • Linda Lyons, Director, Center for University Learning

    • The Office of Student Financial Aid

  • 2009

    • Linda Lyons, ,Director, Center for University Learning

    • Dr. Theresa Johnston, Director of Collegiate Recovery Center

  • 2010

    • Dr. Michael Sanseviro, Interim Dean, Student Success and Director of Residence Life

The following units at Kennesaw have participated in the CS Improvement Program:

  • The Office of Student Financial Aid – FY “07 “, “09”, “10”

  • Business Services and KSU Bookstore – FY “08”

  • Continuing Education – FY “09”

  • Plant Operations/ Facilities - FY “10”

  • Office of the Registrar - FY “10”


Lean six sigma management orientation

QUESTIONS? working as a System


What is lean six sigma
What is Lean Six Sigma? working as a System

  • Definition – Lean Six Sigma is an improvement methodology for reducing cost through improving products and services related to customer satisfaction.

  • Observation – the methodology used in Lean Six Sigma is not new, but a disciplined evolution of approaches used in Quality Control during the 20th century.


Why consider lean six sigma
Why Consider Lean Six Sigma? working as a System

  • Jack Welch – CEO GE (1981-2001)

    http://www.youtube.com/watch?v=aNMULFcLuIM

    “I see a Six Sigma company as a company whose management understands that variation is evil….”

  • Ewy and Gmitro (2009) “Process Management in Education”

    http://www.asq.org/quality-press/display-item/index.pl?item=E1352

    “Six Sigma is a process improvement methodology used by process managers to create breakthrough improvements.”


Origin of lean six sigma
Origin of Lean Six Sigma working as a System


Six sigma begins
Six Sigma Begins working as a System

Video Links:

1) http://www.youtube.com/watch?v=GHvnIm9UEoQ

2) http://www.youtube.com/watch?v=Pd_uRGy5RKY

3) http://www.youtube.com/watch?v=UxCeeUqrfs4


Lean six sigma begins
Lean Six Sigma Begins working as a System

Links:

1) http://www.youtube.com/watch?v=PQspf3q12mo

2) http://www.baldrige.nist.gov/PDF_files/UWStout_Application_Summary.pdf

3) http://www.baldrige.nist.gov/PDF_files/Richland_College_Application_Summary.pdf


Key elements of lean six sigma
Key Elements of Lean Six Sigma working as a System

  • Cost and Service Improvement Focus

  • Process Based Analysis with DMAIC

  • Project Based Organization

  • Team Oriented with Employee Training Levels

  • White, Yellow, Green, Black Belt

  • Master Black Belt, Champion

  • Data Driven with Key Measures Defined

  • CustomerSatisfaction Measures


Key lean six sigma tools
Key Lean Six Sigma Tools working as a System

  • DMAIC Problem Solving Process

    Define→Measure⇄Analyze→Improve→Control

  • Data Analysis (7 basicstatistical tools)

  • Process Mapping with Flows of Everything

  • Process Monitoring and Capability

  • Team Discussion Methods (7 team tools)

  • Many Statistical Methods

  • Lean flow and Cycle Time Focus


Six sigma assumptions
Six Sigma Assumptions working as a System

  • All work is accomplished using a process.

  • Every process has inputs (X’s) with outputs (Y’s) which relate to customer satisfaction.

  • Every process has value-added activities that transform X’s to Y’s. The goal of a project is to discover the critical X’s and optimize them to obtain the best level of Y’s.


Process flowchart basics
Process Flowchart Basics working as a System

  • Six Sigma principle: All work in an organization is performed in a process. See video: http://www.youtube.com/watch?v=J6Aqg7CKRa8

  • Consequence: After defining targeted measures to improve, the first step in improvement is detailed definition of processes.

Step 1

Correct?

Rework

Y

M

Outputs

Value-Added Activity - 1

Value-Added Activity – 2A

Start

End

M

M

M

M

Customer Use

Inputs

Data or Information

Value-Added Activity – 2B

M=Measures

Process performance metrics

Counts, times, measures

Alternate

Path

M

Customer Satisfaction

M


Process map example

Find Possible working as a System

Sources of

Purchase Balsa

Different Brand of

Airplane

Balsa Airplanes

Unwrap package without

damaging any part.

Inventory Parts

per Instructions or

Checklist

Self-Developed

of Parts

Checklist

X1

=Fuselage

N

All Parts Present?

Weight

KIV

Y

CTQ Variables in Bold

Assemble Tail

Wing and Rudder

N

KIV's

X2=Main Wing

Center Position

Assemble Main

X3=Tail Wing

Measure

Wing

Center Position

Test Flight ok?

Y

Y1=Distance

X4=Distance

Y2=Time

from Nose to

Front of Main

Wing

X5=Total

Assembled Weight

End

Process Map Example


Common six sigma metrics
Common Six Sigma Metrics working as a System

  • Defects per Time Period ( Items not correct the first time)

  • First Time Through - % of products/services with no changes, adjustments, etc.

  • Rework - % of units in that require some change

  • Cycle Time – time required to complete a process

  • Wait Time – time customer waits for service

  • Yield – number units entering process versus number exiting


Lean six sigma improvement strategies
Lean Six Sigma Improvement Strategies working as a System

1) Defect Focus – what is not done right the first time?

2) ProcessDefinition Analysis and Simplification

3) Find and Optimize Process Key Measures that impact defects & customer satisfaction. Reduce variation. Cost improvement is an outcome.

4) Rationalize Flows of Material & Information (Lean)

5) Standardize Work Methods (Lean)

6) Error Proof Process Steps

7) Benchmark Similar Processes


Ksu training for csi
KSU Training for CSI working as a System

  • White Belt (6 hours)

  • Identifying Improvement Opportunities

  • Using Lean Six Sigma (DMAIC)

  • Variability Reduction

  • Identifying Customers

  • Teamwork Essentials

  • Yellow Belt (18 hours)

  • Business Process Reengineering

  • DMAIC Phases

  • Simple Statistical Tools


Csi learning to date
CSI Learning to Date working as a System

  • Defining a useful project is the most important step in DMAIC.

  • A process map can be difficult when processes are not systematically defined.

  • Data in a usable form is usually not available on how a process is performing.

  • Trained personnel cannot work in a vacuum and be successful. They will need team member support.

  • Periodic supervisor updates are motivating.


Project essentials
Project Essentials working as a System

  • Define is the first step in DMAIC. This is the most difficult phase. It is said that a “Well defined problem is half solved”.

  • To assist in project definition a Project Charter can be used.

    Template: http://www.6sigma.us/user/Six%20Sigma%20Project%20Charter%20Template%20v1.doc

  • Key elements to start a project definition:

  • Practical problem description and measures

  • Objective – What does success look like?

  • Scope with organizational boundaries

  • Time commitment authorized for each team member

  • Schedule for updates


Supervisory roles
Supervisory Roles working as a System

  • Select Right People for Training

  • Identify Area Needing Improvement

  • Brainstorm Key Measures (e.g., processing time, rework time, number of complaints/calls, etc.)

  • Review Team Membership to Ensure Needed Skills and Interfaces are Represented.

  • Set Boundaries for Project Activity

  • Brainstorm Benchmarking Opportunities

  • Meet with Team Periodically


Organizational perspective
Organizational Perspective working as a System

  • What is the “Big Picture”?

  • What are interrelationships?

    Process Management

    Improvement System – DMAIC

    Team-Based Improvement Strategy

    Data Based Key Measures

    Customer Focus, etc.

  • Is there a model to represent how the entire organization might function?



Historical perspective
Historical Perspective working as a System

  • Baldrige established in 1987 to recognize U.S. organizations for quality and performance achievements

    • Established as a diagnostic tool for self- and third-party assessments

  • 70+ nations have Baldrige-based award processes

  • 40 states have Baldrige-based award processes

  • Initial focus was on the manufacturing industry

  • Currently many sectors: business, industry, government, EDUCATION,healthcare, and nonprofit

  • Video:http://www.baldrige.nist.gov/Video/Getting_Results/index.html


Baldrige education winners
Baldrige Education Winners working as a System

  • Baldrige has adapted Performance Criteria to education. http://www.quality.nist.gov/Education_Criteria.htm

  • U. Of Wisconsin – Stout : Wins MBNQA (2001) , graduate (8,000 students)

    http://www.baldrige.nist.gov/PDF_files/UWStout_Application_Summary.pdf

  • Richland College – Dallas, Texas: Wins MBNQA (2005), 2 year (3500 students)

    http://www.baldrige.nist.gov/PDF_files/Richland_College_Application_Summary.pdf


Baldrige and lean six sigma
Baldrige and Lean Six Sigma working as a System

It must be emphasized that NO specific process improvement system is required by Baldrige criteria. A relevant criteria question is:

6.2 Work Processes: How do you design, manage, and improve your key organizational work processes?

Note 2 states: “… your organization might implement approaches such as PDCA…ISO standards,Six Sigma, or Lean….”

Application of criteria to smaller organizations requires flexibility.


Baldrige validated criteria 89 questions some validation evidence
Baldrige Validated Criteria- 89 Questions working as a SystemSome Validation Evidence

  • Benefits compared to social cost exceed 207:1 - A. N. Link and J.T. Scott (2006) , “An Economic Evaluation of the Baldrige National Quality Program,” Economics of Innovation and New Technology, 15, 83-100.

  • Award winners significantly outperformed control group (38-46%) – K. B. Hendricks and V. R. Singhal (2001), “The Long-Run Stock Price Performance of Firms with Effective TQM Programs,” Management Sciences, 47, 359-368.

  • Award winners outperformed control group on operating income (48%)- K. B. Hendricks and V. R. Singhal (1997), “Does Implementing an Effective TQM Program Actually Improve Operating Performance? …,” Management Sciences, 43, 1258-1274.

  • Baldrige winners were better than control group by a factor of 2 on key financial measures.-

    K. B. Hendricks and V. R. Singhal (1999), “The Financial Rewards from TQM,” American Ceramic Society Bulletin, 78, 89-93.

  • TQM and superior financial results were found to covary. K. M. York and C. E. Miree (2004), “Causation or Covariation: an Empirical Re-examination of the Link Between TQM and Financial Performance,” Journal of Operations Management 22 (2004) 291–311

  • 1994-2003 award recipients underperformed S&P 500 by -18% to +36% from announcement date to December 2004. MBNQA Website.

  • Up to 2001 Award winners beat S&P 500 returns by 300-600% (8 years), This trend was reversed in 2002 and 2003, the last years studied. http://baldrige.nist.gov/Stock_Studies.htm.


Summary performance excellence and lean six sigma
Summary – Performance Excellence and working as a SystemLean Six Sigma

  • Jim Collins in Good to Great (2001) analyzes 11 great companies selected based on stock performance. His team found 6 concepts that made them unique. One concept “a culture of discipline” describes several Baldrige/TQM-like characteristics.

  • Clearly, there is no agreement on everything organizations should do to achieve Greatness or Performance Excellence.

  • Criteria have slight annual changes to reflect best practices. Inputs vary

    - Enron Scandal (2001): Ethical Behavior in Leadership

    - Hurricane Katrina (2005): Disaster Planning

  • Some common themes related to Lean Six Sigma in most approaches are:

    - Customer Focused Products and Services

    - Process Model for Value-Added Work Activity

    - Continuous Improvement of Processes

    - Data-Based Decision Making

  • Lean Six Sigma is a useful approach that supports most models for superior organizational performance.


What is georgia oglethorpe award process inc
What is Georgia Oglethorpe Award Process, Inc.? working as a System

  • Public-private partnership (1997)

    • Mission –

    • Leading Georgia’s Organizations to

    • Improve Performance

    • Vision –

      Georgia Outperforming the World!

  • Modeled after the Malcolm Baldrige National Quality Award Criteria and Award Process

  • http://www.georgiaoglethorpe.org/


Lean six sigma management orientation

Three Step working as a System

Process

Baldrige Award

(For those eligible.)

Maturity and

Recognition

Options

Georgia

Oglethorpe Award

Step 3

Georgia

Progress Award

Step 2

Georgia

Focus Recognition

Step 1


Thank you
Thank You!! working as a System

May your processes be productive

and satisfy your customers….