Reducing the delivery lead time in a food distribution SME through the implementation of six sigma methodology

Purpose – Six sigma is a systematic data driven approach to reduce the defect and improve the quality in any type of business. The purpose of this paper is to present the findings from the application of six sigma in a food service “small to medium sized enterprise” (SME) in a lean environment to reduce the waste in this field. Design/methodology/approach – A simplified version of six sigma is adopted through the application of appropriate statistical tools in order to focus on customer's requirements to identify the defect, the cause of the defect and improve the delivery process by implementing the optimum solution. Findings – The result suggests that modification in layout utilization reduced the number of causes of defect by 40 percent resulting in jumping from 1.44 sigma level to 2.09 Sigma level which is substantial improvement in SME. Research limitations/implications – Simplicity of six sigma is important to enabling any SME to identify the problem and minimize its cause through a systematic approach. Practical implications – Integrating of supply chain objectives with any quality initiatives such as lean and six sigma has a substantial effect on achieving to the targets. Originality/value – This paper represents a potential area in which six sigma methodology along side the lean management can promote supply chain management objectives for a food distribution SME

Winning customer loyalty in an automotive company through Six Sigma: a case study

Six Sigma is a disciplined approach to improving product, process and service quality. Since its inception at Motorola in the mid 1980s Six Sigma has evolved significantly and continues to expand to improve process performance, enhance business profitability and increase customer satisfaction. This paper presents an extensive literature review based on the experiences of both academics and practitioners on Six Sigma, followed by the application of the Define, Measure, Analyse, Improve, Control (DMAIC) problem-solving methodology to identify the parameters causing casting defects and to control these parameters. The results of the study are based on the application of tools and techniques in the DMAIC methodology, i.e. Pareto Analysis, Measurement System Analysis, Regression Analysis and Design of Experiment. The results of the study show that the application of the Six Sigma methodology reduced casting defects and increased the process capability of the process from 0.49 to 1.28. The application of DMAIC has resulted in a significant financial impact (over U.S. $110 000 per annum) on the bottom-line of the company

LSS, a problem solving skill for graduates and SMEs: Case Study of investigation in a UK Business School curriculum

Purpose - This research aims to investigate the feasibility of a systematic Lean Six Sigma (LSS) education through the curriculum of business schools to respond to the existing gap between the graduate’s expectation of employability and skill requirements by the Small and Medium Sized Enterprises (SMEs). Design/approach/methodology - One UK business school has been used as a case study to conduct an extensive module and programme review followed by a semi-structured interview with the potentially suitable core and programme-specific module leaders and also the comparative Analysis between content of these modules and the existing LSS high-street training themes. Findings – The result revealed a high potential of the existing modules in the business schools equivalent to the private sector training providers to increase the level of LSS problem solving knowledge and skill for all graduates and improve their employability and productivity for the SMEs. Practical implications/limitations – This research has been carried out in a single UK–based Business School through a qualitative approach. A further in-depth analysis in a broader scale is required to investigate the practical implications in a better way. Originality/Value – The result of this study highlights the role of LSS to reduce the knowledge and skill gap between the business schools as the source of the explicit knowledge, graduates as the knowledge and skill bearer, and SMEs as the knowledge and skill users

Why small and medium construction enterprises do not employ six sigma

Six sigma (6σ) is a powerful business strategy which is aimed at increasing customer satisfaction and profitability by improving the quality of products and services. Many organisations have implemented 6σ and achieved significant levels of success. Successful implementation of 6σ leads to outcomes that would be welcome in the construction industry, given its reputation of suboptimal performance. The construction industry relies heavily on small and medium enterprises (SMEs). Any improvement in construction SMEs would lead to improvements in the construction industry as a whole. Against this background, a survey was undertaken to establish whether construction SMEs used 6σ and to identify factors affecting the adoption of this business strategy. It was found that none of the SMEs in the sample used 6σ. The reasons given for not employing 6σ, in descending order of importance, were: lack of knowledge about 6σ programme; lack of resources (human, time, money); 6σ programme not required by customers; other sufficient quality system in use; 6σ provides no perceived benefits; and end users not prepared to pay for 6σ programme. These reasons can be challenged when a critical analysis of innovation in the external environment within which construction SMEs operate, trends in the mode of delivery of construction industry products, trends in performance measurement in the construction industry and the flexibility of 6σ as a quantitative approach to managing quality. Construction industry stakeholders need to think about 6σ critically and make informed decisions about its role in the construction industry quality management agenda

Practitioner Perceptions of the A3 Method for Process Improvement in Health Care

The focus of this article is to present students’ perceptions of the recently developed A3 method, a structured problem-solving approach based on lean concepts and tools that have been adapted to the health care environment. The students were all employees of a large health care provider and were enrolled in a customized health care executive MBA Program. Each student was required to complete an individual A3 Project in order to improve a process at the department for which they worked. At the end of the semester the students presented their A3 projects to their peers who voted on the best projects. A survey measuring perceptions of the A3 method for problem solving in health care was administered and from it we present propositions for A3 implementation. These propositions are applicable both to health care practitioners and to academic researchers

Measuring the level of lean readiness of the Hong Kong's manufacturing industry

Increasingly competitive business environments have forced manufacturing organisations to continuously seek improvements in their production processes as an alternative to achieve operational excellence. Lean manufacturing principles and techniques based on the elimination waste have been widely used by manufacturing organisations around the world to drive such improvements. The purpose of this paper is to present an empirical study that evaluates the readiness level of the Hong Kong’s manufacturing industry to provide a foundation for the successful implementation and/or sustainment of lean practices. To conduct this study, the paper adapts an assessment framework developed by Al-Najem et al. [16]. Thus, the lean readiness assessment is based on six quality practices (i.e. planning & control; processes; human resources; customer relations; supplier relations; and top management & leadership) related to lean manufacturing. One research question and three hypotheses were formulated and tested using a combination of inferential statics (i.e. Levene’s test and t-test) and descriptive statistics. Data were collected through a survey questionnaire responded by 9 manufacturing organisations with operations in Hong Kong. The findings suggest that the Hong Kong’s manufacturing organisations surveyed do not currently have a well-developed foundation to implement or sustain lean manufacturing. In particular, these organisations present important opportunities to further develop some quality practices such as processes, planning & control, customer relations, supplier relations, human resources, and top management & leadership. The improvement of these quality practices will ensure, according to Al-Najem et al.’s [16] framework, a more effective implementation and sustainment of lean manufacturing in their operations

Continuous Improvement in Education

In recent years, 'continuous improvement' has become a popular catchphrase in the field of education. However, while continuous improvement has become commonplace and well-documented in other industries, such as healthcare and manufacturing, little is known about how this work has manifested itself in education.This white paper attempts to map the landscape of this terrain by identifying and describing organizations engaged in continuous improvement, and by highlighting commonalities and differences among them. The findings classify three types of organizations engaged in continuous improvement: those focused on instructional improvement at the classroom level; those concentrating on system-wide improvement; and those addressing collective impact. Each type is described in turn and illustrated by an organizational case study. Through the analysis, six common themes that characterize all three types of organizations (e.g., leadership and strategy, communication and engagement, organizational infrastructure, methodology, data collection and analysis, and building capacity) are enumerated. This white paper makes four concluding observations. First, the three case studies provide evidence of organizations conducting continuous improvement work in the field of education, albeit at different levels and in different ways. Second, entry points to continuous improvement work are not mutually exclusive, but are nested and, hence, mutually informative and comparative. Third, continuous improvement is not synonymous with improving all organizational processes simultaneously; rather, research and learning cycles are iterative and gradual in nature. Fourth, despite being both iterative and gradual, it is imperative that improvement work is planned and undertaken in a rigorous, thoughtful, and transparent fashion

Breakthroughs in Shared Measurement and Social Impact

A surprising new breakthrough is emerging in the social sector: A handful of innovative organizations have developed web-based systems for reporting the performance, measuring the outcomes, and coordinating the efforts of hundreds or even thousands of social enterprises within a field. These nascent efforts carry implications well beyond performance measurement, foreshadowing the possibility of profound changes in the vision and effectiveness of the entire nonprofit sector. This paper, based on six months of interviews and research by FSG Social Impact Advisors, examines twenty efforts to develop shared approaches to performance, outcome, or impact measurement across multiple organizations. The accompanying appendices include a short description of each system and four more in-depth case studies

The Impact of Lean Six Sigma on the Overall Results of Companies

Lean Six Sigma represents a management approach for driving innovating processes inside a company in order to achieve superior results. It involves a practical analysis based on facts, aiming the innovation and growth, not only the efficiency of processes. It is a long term process of gradual and continuous improvement. The application of Lean Six Sigma in companies led to attaining superior financial performance by addressing new needs, by differentiating the products and services or by adjusting the business lines to new processes. Quality is more than making things without errors. It is about making a product or service meet the individual perception of a customer about the quality or value. Therefore, in what regards Lean Six Sigma, the concern is not only to "do the things right" but also to "do the right things right". We focus on the impact of implementing the Lean Six Sigma approach on companies, seeking for what changes and benefits it brings. The key elements it aims at are achieving the best quality, the lowest cost, getting the shortest lead-time, stressing on waste elimination. The requirements of a company for its implementation and the strategy to obtain the maximum practical outcome are investigated. Furthermore, we conduct a comparison analysis with the other methods of the total quality management and see why Lean Six Sigma is a more desirable approach.Lean Six Sigma, fact-based analysis, innovation, strategy, quality, gradual and continuous process.

Major Indian ICT firms and their approaches towards achieving quality

Of the three basic theories of innovation: the entrepreneur theory, the technology-economics theory and the strategic theory, the third one seems to be highly appropriate for the analysis of recent growth of the information and communication technology (ICT) industry in many developing countries including India. The central measure for achieving quality by the various major Indian ICT firms is widely agreed to have been the adoption of Six Sigma Methodology and various other approaches like Total Quality Management (TQM), Supply Chain Management (SCM), Customer Relationship Management (CRM), etc. It is apparent that the main objective of the firms chosen has been to increase the pace of innovation activities, irrespective of their different areas of product specialisation. Its success also depends largely on the overall improvement in infrastructure, besides active market interaction. To enable both the above, a brief highlight on the establishment of interaction and learning sites (ILSs) in every regional State in India comes to the foreground. The chapter concludes with a mention of the elements observed to be missing among the firms under consideration, and, thereby, delineating the scope for their further improvement.