152 5 lean six sigma and project management go together
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Lean Six Sigma and Project Management
go together
Written by Francisco Pulgar-Vidal, fkiQuality
10/28/2013 152-5 Copyright fkiQualityLLC 2012 1
Continuing the Executive Education Series
Why Lean Six Sigma is better than ‘just doing projects.’
10/28/2013 152-5 Copyright fkiQualityLLC 2012 2
Goal of this presentation: Encourage Lean Six Sigma practitioners and project managers to learn from one another.
I aim to achieve this by presenting
two similarities and two differences between both methods.
FIRST SIMILARITY: Lean Six Sigma and Project Management are
complementary methods of improvement.
The methods of Lean Six Sigma (LSS) and project management (PM)
support one another.
In fact,
some of the best LSS practitioners happen to be skilled project managers.
They are practitioners who have
blended skills of problem solving and project management.
In terms of sequence and timing, LSS and PM are
complementary.
Operational Problem
Designed solution
Implemented solution
Lean, Six Sigma methods
Project management
Even more, Lean Six Sigma
borrows much from the discipline of project management.
SECOND SIMILARITY: Lean Six Sigma applies many project management concepts
to be more effective.
LSS projects are structured
in stages, with gates.
Lean’s A3 consists of these steps Background Current conditions Goal Analysis Recommended countermeasures How to implement How to sustain
Six Sigma stages give DMAIC its name, and include Define Measure Analyze Improve Control
In both cases, to move from one stage to the next, teams must
advance their learning,
complete specific deliverables,
and
achieve defined outcomes.
At each stage gate meeting, called a ‘tollgate,’ the project directing team decides
what happens next.
Like in any well-run program, LSS projects are launched by
sponsors and champions.
Project sponsors and champions are responsible for identifying
meaningful projects.
What does it take to launch projects that
mean something?
Meaningful projects support a strategy, answer customer needs and improve core processes.
Strategy
Core processes
Customer needs
The intersections below are promising targets for improvement. How do we
fulfill our vision?
Which processes
need fixing?
What do customers want us to do better?
From these target areas, project sponsors and champions
identify, select and prioritize LSS projects.
This creates a program plan made of a
phased sequence of projects.
Balance strategy, customer
needs, core
processes
Define target areas of
improvement
Sequence projects of
improvement
Why to change? What to change? How to change?
Then each project is
chartered and launched.
This sequence is called
hoshin kanri or strategic planning.
LSS projects are led by a
project manager.
Simpler LSS projects are led by a
lean practitioner or green belt.
The lean practitioner or green belt applies an
intermediate level of LSS and project management skills.
More complex LSS projects are led by a
lean master or black belt.
The lean master or black belt applies a
deep level of LSS and project management skills.
Regardless of skill level, the project lead
is not alone and must be supported by the organization.
Sponsors and champions, an experienced coach and a program office are needed for success.
A successful
LSS program
LSS Champion
Project Managers
PMO
LSS Coach
FIRST DIFFERENCE: Lean Six Sigma projects
start with problems, not solutions.
Crucially, while most projects focus on how to
implement a solution,
… Lean Six Sigma projects focus on how to
find the solution to be implemented.
Lean Six Sigma has
three major components,
Project- based
Project- based
A continuous function
Project- based
Our focus today
So, Lean and Six Sigma projects are efforts to
improve existing processes, products, services.
Clearly, improvements are necessary because
there are problems with the current state of things.
In particular, Lean Six Sigma projects start with problems
that you don’t know how to solve.
This is so true,
that if you know the solution,
then you
don’t need Lean Six Sigma.
But if you must solve a
hard problem,
then a Lean Six Sigma project is
likely your best choice.
Lean follows a method for improving what already exists, called
A3.
A3 is based on the continuous improvement method of
testing a solution through trials.
Six Sigma follows a method for improving what already exists, called
DMAIC.
DMAIC is based on the scientific method of
testing a hypothesis through experimentation.
While most other projects focus on
delivering a solution,
… such as: relocate the trading office, develop new technology, enter a new market, prepare for a trade fair, restructure an organization, …
… recall that LSS is best for
finding and designing a solution.
SECOND DIFFERENCE: Lean Six Sigma projects emphasize
finding the solution more than schedule, budget, scope or risk.
For instance, a LSS project may have many
natural outcomes.
Which depend on the project’s
path of discovery.
So what happens after each tollgate meeting
is not predetermined.
Several outcomes are possible along the lifecycle of a Six Sigma project.
For instance, after the Define or Measure stages …
after a tollgate meeting, when the initial problem turns out to be something else.
without becoming a failure, when the supposed problem isn’t borne by facts.
when the initial scope proves too extensive.
when the team has a short time to deliver results.
Unlike most projects, all these outcomes
are fine, when they result from what the team has learned about the problem.
Most often,
Because a LSS project does not have a known solution, it is critical that the team find the right problem and the right solution.
For this reason, LSS projects emphasize
designing a solution while de-emphasize meeting schedule, budget, scope or risk requirements.
In summary, Lean Six Sigma and Project Management complement each other strengths.
Specifically, LSS projects begin with problems and emphasize finding the right solution,
… while PM brings structure and discipline to problem solving efforts.
In terms of skill sets and learning, LSS project leads, sponsors and champions
must learn project management skills to be more successful.
Conversely, project managers
have the bases to become great LSS practitioners and could learn the technical skills.
Next presentations will discuss:
• In which way lean six sigma projects go deeper than other efforts.
• The structure of Lean and Six Sigma projects for exploration.
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