LEAD Reference Content:Six Sigma - Revision history

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KeyModels: Created page with "{{DISPLAYTITLE: Six Sigma}} == Six Sigma == Lean Thinking is also referred to as Lean manufacturing, the Toyota philosophy, and Lean Production. Lean thinking is a business me..."

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Created page with "{{DISPLAYTITLE: Six Sigma}} == Six Sigma == Lean Thinking is also referred to as Lean manufacturing, the Toyota philosophy, and Lean Production. Lean thinking is a business me..."

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{{DISPLAYTITLE: Six Sigma}}
== Six Sigma ==
Lean Thinking is also referred to as Lean manufacturing, the Toyota philosophy, and Lean Production. Lean thinking is a business methodology that aims to provide a new way to think about how to organize human activities to deliver more benefits to society and value to individuals while eliminating waste. The term lean thinking was coined by James P. Womack and Daniel T. Jones to capture the essence of their in-depth study of Toyota’s fabled Toyota Production System. Lean thinking is a way of thinking about an activity and seeing the waste inadvertently generated by the way the process is organized. It uses the concepts of:

#Value
#Value streams
#Flow
#Pull
#Perfection

The aim of lean thinking is to create a lean enterprise, one that sustains growth by aligning customer satisfaction with employee satisfaction, and that offers innovative products or services profitably while minimizing unnecessary over-costs to customers, suppliers and the environment. The basic insight of lean thinking is that if you train every person to identify wasted time and effort in their own job and to better work together to improve processes by eliminating such waste, the resulting enterprise will deliver more value at less expense while developing every employee’s confidence, competence and ability to work with others.

The idea of lean thinking gained popularity in the business world and has evolved in two different directions:

#Lean thinking converts who keep seeking to understand how to seek dynamic gains rather than static efficiencies. For this group of thinkers, lean thinking continuously evolves as they seek to better understand the possibilities of the way opened up by Toyota and have grasped the fact that the aim of continuous improvement is continuous improvement. Lean thinking as such is a movement of practitioners and writers who experiment and learn in different industries and conditions, to lean think any new activity.
#Lean manufacturing adepts who have interpreted the term “lean” as a form of operational excellence and have turned to company programs aimed at taking costs out of processes. Lean activities are used to improve processes without ever challenging the underlying thinking, with powerful low-hanging fruit results but little hope of transforming the enterprise as a whole. This “corporate lean” approach is fundamentally opposed to the ideals of lean thinking, but has been taken up by a great number of large businesses seeking to cut their costs without challenging their fundamental management assumptions.

<div style="margin-right: 40px; padding: 10px; float: left;">
[[File:Lean Value Chain.png|thumb|500px|left|alt=Lean Value Stream|Lean Value Stream.]]
</div>

<div style="padding: 10px; float: left;">
[[File:Lean Value Chain -Extended-.png|thumb|500px|left|alt=Lean Value Stream [Extended]|Lean Value Stream [Extended].]]
</div>

<div style="clear: both;"></div>

=== The Way Of Thinking - Why (Reason) & Whither (Goal) ===
The methods of Lean Thinking aim to combine the flexibility and quality of craftsmanship with the low costs of mass production. In lean- production systems a manufacturer’s employees are organized in teams. Within each team a worker is expected to be able to do all the tasks required of the team. These tasks are less narrowly specialized than those demanded of the worker in a mass-production system, and this variety enables the worker to escape from the soul-destroying repetition of the pure assembly line.

While Lean Thinking has proven to be very effective in high-volume repetitive operations, it can be applied to any organization as long as management adheres to the assumptions of underlying lean:

*People value the visual effect of flow.
*Waste is the main restriction to profitability.
*Process interaction effects will be resolved through value-stream refinement.
*Many small improvements in rapid succession are more beneficial than any analytical study.

Lean Thinking is defined as that which changes the focus of management from optimizing separates technologies, assets, and vertical departments to optimizing the flow of products and services through entire value streams that flow horizontally across technologies, assets, and departments to customers.

=== The Way Of Working - What (Context) & Whence (Source) ===
One can use the method by applying a list of principles. The five principles of lean thinking are specify what does and does not create value from the customer's viewpoint, identify the whole value stream, make information and products flow, only make or supply what is pulled by the customer and in pursuit of perfection.

The five-step thought process for guiding the implementation of lean techniques is easy to remember, but not always easy to achieve:

#Specify value from the standpoint of the end customer by product family.
#Identify all the steps in the value stream for each product family, eliminating whenever possible those steps that do not create value.
#Make the value-creating steps occur in tight sequence so the product will flow smoothly toward the customer.
#As flow is introduced, let customers pull value from the next upstream activity.
#As value is specified, value streams are identified, wasted steps are removed, and flow and pull are introduced, begin the process again and continue it until a state of perfection is reached in which perfect value is created with no waste.

=== Details around Lean Thinking needed for the Way of Modelling: ===

{| class="wikitable" style="width: 80%;"
|- style="vertical-align: top;"
| colspan="3" style="background: #0b98d6; color: #ffffff; text-align: center; padding: 10px;" | '''Business Level'''
| colspan="3" style="background: #0b98d6; color: #ffffff; text-align: center; padding: 10px;" | '''Business Area'''
| colspan="3" style="background: #0b98d6; color: #ffffff; text-align: center; padding: 10px;" | '''Relevant Meta Object(s)'''
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Strategic Level
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Strategy
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Process Flow
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Tactical Level
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Organization
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Quality
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Operational Level
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Finance
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Organizational Competency
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Governance
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Business Object
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Marketing & Sales
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Application/Information System
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Operations & Production
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Integration Opportunity (H/M/L)
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Supply Chain & Procurement
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Business Innovation
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
| style="text-align: left;" style="width: 20%; padding: 10px;" | Business Transformation & Change Management
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Technology
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Human Resource Management
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
|-
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" | Leadership
| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
| style="text-align: left;" style="width: 20%; padding: 10px;" |
|-
|}
<br>
'''X''' = Primary
'''(x)''' =Secondary
'''A''' =Advanced enhancements to the model

=== How Lean Thinking fits to Enterprise Architecture ===
While Lean Thinking can fit nearly all the enterprise layers e.g. Business, Information Systems, Technology, the discipline is a business layer concept with the sub-layer: application. It relates to the most to the competency layer with the focus on the organization i.e. enterprise, organizational units, areas, groups and functions. The Lean Thinking could also be used for a specific enterprise capability, location or resource.

=== Combinations To Other Models (Artefacts) ===
The Lean Thinking artefact can be used in the combination of the following other concepts, models/artefacts:

*Requirement Model
*Revenue Model
*Cost Model
*Object Matrix
*Workflow Matrix
*Process Model
*BPM Notations Model
*Service Model
*Application Service Matrix
*Application Interface Model
*Application Screen Model

=== Industry Focus ===
The Lean Thinking artefact can be used across all industries.

=== Relevant Roles ===
The Lean Thinking artefact is relevant for all roles that are involved with strategy; among others, these are the following roles:

'''Executive Roles'''
*CEO: Chief Executive Officer
*CSO: Chief Strategy Officer
*CSCO: Chief Supply Chain Officer
*COO: Chief Operating Officer
*CINO: Chief Innovation Officer

'''Subject Matter Expert Roles'''
*Strategy eXpert
*Business Architect
*Business Analyst

=== Reference Material ===

*[http://en.wikipedia.org/wiki/Lean_manufacturing Wikipedia]
*[http://www.lean.org/whatslean/ Lean]

[[Category: Key Models]]

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 <div style="padding: 10px; float: left;">
-[[File:Six Sigma -Extended-.png|thumb|500px|left|alt=Six Sigma [Extended]|Six Sigma [Extended].]]
+[[File:Six Sigma -Artefact-.png|thumb|500px|left|alt=Six Sigma [Artefact]|Six Sigma [Artefact].]]
 </div>

← Older revision		Revision as of 12:33, 12 December 2018
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	'''(x)''' =Secondary		'''(x)''' =Secondary
	'''A''' =Advanced enhancements to the model		'''A''' =Advanced enhancements to the model
−
−
−	~~=== How Lean Thinking fits to Enterprise Architecture ===~~
−	While Six Sigma can fit nearly all the enterprise layers e.g. Business, Information Systems, Technology, the discipline is a business layer concept with the sub-layer: application. It relates to the most to the competency layer with the focus on the organization i.e. enterprise, organizational units, areas, groups and functions. The Six Sigma could also be used for a specific enterprise capability, location or resource.

← Older revision		Revision as of 12:39, 5 December 2018
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	*Business Architect		*Business Architect
	*Business Analyst		*Business Analyst
		+	*Process eXpert
		+	*Process Architect

@@ Line 31: / Line 31: @@
 #Control: In the final stage of a Six Sigma project, the team creates controls. These are enabling the company to sustain and extend the improvements.
+=== Details around Gemba Kaizen needed for the Way of Modelling: ===
-=== Details around Six Sigma needed for the Way of Modelling: ===
 {| class="wikitable" style="width: 80%;"
@@ Line 54: / Line 53: @@
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Process Flow
 |-
-| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
+| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Operational Level
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |

@@ Line 23: / Line 23: @@
 === The Way Of Working - What (Context) & Whence (Source) ===
-One can use the method by applying a list of principles. The five principles of lean thinking are specify what does and does not create value from the customer's viewpoint, identify the whole value stream, make information and products flow, only make or supply what is pulled by the customer and in pursuit of perfection.
+When in the process of applying Six Sigma, one can follow the five-stage process below:
-The five-step thought process for guiding the implementation of lean techniques is easy to remember, but not always easy to achieve:
+#Definition: The first step in any Six Sigma project is to clarify the problem and narrow its scope in such a way that measurable goals can be achieved within a few months. Then a team is assembled to examine the process in detail, suggest improvements, and implement those recommendations. In the manufacturing world, project managers and their sponsors typically begin by defining what constitutes a defect and then establish a set of objectives designed to reduce the occurrence of such defects.
+=== Details around Six Sigma needed for the Way of Modelling: ===
-=== Details around Lean Thinking needed for the Way of Modelling: ===
 {| class="wikitable" style="width: 80%;"

@@ Line 1: / Line 1: @@
 {{DISPLAYTITLE: Six Sigma}}
 == Six Sigma ==
-Lean Thinking is also referred to as Lean manufacturing, the Toyota philosophy, and Lean Production. Lean thinking is a business methodology that aims to provide a new way to think about how to organize human activities to deliver more benefits to society and value to individuals while eliminating waste. The term lean thinking was coined by James P. Womack and Daniel T. Jones to capture the essence of their in-depth study of Toyota’s fabled Toyota Production System. Lean thinking is a way of thinking about an activity and seeing the waste inadvertently generated by the way the process is organized. It uses the concepts of:
+=== The Way Of Thinking - Why (Reason) & Whither (Goal) ===
-#Value
+Six Sigma is a quality measurement and improvement program and focuses on the control of a process until the point of Six Sigma (standard deviations). It includes identifying factors, which are critical for the quality as determined by the customer. It reduces process variation and improvement capabilities, increases stability and designs systems to support the Six Sigma goal.
-#Value streams
-#Flow
-#Pull
-#Perfection
-The aim of lean thinking is to create a lean enterprise, one that sustains growth by aligning customer satisfaction with employee satisfaction, and that offers innovative products or services profitably while minimizing unnecessary over-costs to customers, suppliers and the environment. The basic insight of lean thinking is that if you train every person to identify wasted time and effort in their own job and to better work together to improve processes by eliminating such waste, the resulting enterprise will deliver more value at less expense while developing every employee’s confidence, competence and ability to work with others.
+The Six Sigma model is a highly disciplined approach that can help companies to focus on developing and delivering near-perfect products and services. It is based on the statistical work of Joseph Juran, a Rumanian-born US pioneer of quality management.
-The idea of lean thinking gained popularity in the business world and has evolved in two different directions:
+The central idea behind Six Sigma is that if you can measure how many "defects" you have in a process, you can systematically figure out how you can eliminate them. Thus, you can almost come to "zero defects".
 <div style="margin-right: 40px; padding: 10px; float: left;">
@@ Line 25: / Line 20: @@
 <div style="clear: both;"></div>

@@ Line 62: / Line 62: @@
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Strategic Level
-| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
+| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Strategy
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
-| style="text-align: left;" style="width: 20%; padding: 10px;" | Process Flow
+| style="text-align: left;" style="width: 20%; padding: 10px;" | Quality
 |-
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
@@ Line 71: / Line 71: @@
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Organization
-| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
+| colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | (X)
-| style="text-align: left;" style="width: 20%; padding: 10px;" | Quality
+| style="text-align: left;" style="width: 20%; padding: 10px;" | Process Flow
 |-
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
@@ Line 79: / Line 79: @@
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Finance
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
-| style="text-align: left;" style="width: 20%; padding: 10px;" | Organizational Competency
+| style="text-align: left;" style="width: 20%; padding: 10px;" | Measure
 |-
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
@@ Line 86: / Line 86: @@
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Governance
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
-| style="text-align: left;" style="width: 20%; padding: 10px;" | Business Object
+| style="text-align: left;" style="width: 20%; padding: 10px;" | Control
 |-
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
@@ Line 93: / Line 93: @@
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Marketing & Sales
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
-| style="text-align: left;" style="width: 20%; padding: 10px;" | Application/Information System
+| style="text-align: left;" style="width: 20%; padding: 10px;" | Organizational Function
 |-
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
@@ Line 100: / Line 100: @@
 | style="text-align: left;" style="width: 20%; padding: 10px;" | Operations & Production
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" | X
-| style="text-align: left;" style="width: 20%; padding: 10px;" | Integration Opportunity (H/M/L)
+| style="text-align: left;" style="width: 20%; padding: 10px;" |
 |-
 | colspan="2" style="text-align: center;" style="width: 5%; padding: 10px;" |
@@ Line 152: / Line 152: @@
 === How Lean Thinking fits to Enterprise Architecture ===
-While Lean Thinking can fit nearly all the enterprise layers e.g. Business, Information Systems, Technology, the discipline is a business layer concept with the sub-layer: application. It relates to the most to the competency layer with the focus on the organization i.e. enterprise, organizational units, areas, groups and functions. The Lean Thinking could also be used for a specific enterprise capability, location or resource.
+While Six Sigma can fit nearly all the enterprise layers e.g. Business, Information Systems, Technology, the discipline is a business layer concept with the sub-layer: application. It relates to the most to the competency layer with the focus on the organization i.e. enterprise, organizational units, areas, groups and functions. The Six Sigma could also be used for a specific enterprise capability, location or resource.
 === Combinations To Other Models (Artefacts) ===
-The Lean Thinking artefact can be used in the combination of the following other concepts, models/artefacts:
+The Six Sigma artefact can be used in the combination of the following other concepts, models/artefacts:
 *Requirement Model
 *Revenue Model
 *Cost Model
 *Object Matrix
-*Workflow Matrix
+*Workflow Model
 *Process Model
 *BPM Notations Model
 *Service Model
 *Application Service Matrix
 *Application Interface Model
 *Application Screen Model
 === Industry Focus ===
-The Lean Thinking artefact can be used across all industries.
+The Six Sigma artefact can be used across all industries.
 === Relevant Roles ===
-The Lean Thinking artefact is relevant for all roles that are involved with strategy; among others, these are the following roles:
+The Six Sigma artefact is relevant for all roles that are involved with strategy; among others these are the following roles:
 '''Executive Roles'''
 *CEO: Chief Executive Officer
 *CSCO: Chief Supply Chain Officer
 *COO: Chief Operating Officer
 *CINO: Chief Innovation Officer
 '''Subject Matter Expert Roles'''
 *Business Architect
 *Business Analyst

@@ Line 17: / Line 17: @@
 <div style="margin-right: 40px; padding: 10px; float: left;">
-[[File:Lean Value Chain.png|thumb|500px|left|alt=Lean Value Stream|Lean Value Stream.]]
+[[File:Six Sigma.png|thumb|500px|left|alt=Six Sigma|Six Sigma.]]
 </div>
 <div style="padding: 10px; float: left;">
-[[File:Lean Value Chain -Extended-.png|thumb|500px|left|alt=Lean Value Stream [Extended]|Lean Value Stream [Extended].]]
+[[File:Six Sigma -Extended-.png|thumb|500px|left|alt=Six Sigma [Extended]|Six Sigma [Extended].]]
 </div>
@@ Line 193: / Line 193: @@
 === Reference Material ===
-*[http://en.wikipedia.org/wiki/Lean_manufacturing Wikipedia]
+*[http://www.12manage.com/methods_six_sigma.html 12 Manage]
-*[http://www.lean.org/whatslean/ Lean]
+*[http://en.wikipedia.org/wiki/Six_Sigma Wikipedia]
 [[Category: Key Models]]