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Business & Career Improvement
Lean Six Sigma: Wastes and Principles
- Categorized in: Lean Six Sigma
Lean Six Sigma is an enhanced version of traditional six sigma training. The process is very essential in business management as it helps in eliminating defects and minimizing errors while cutting out waste.
The Lean form of management strategy is laid on the basis of eliminating eight elements of waste in a business organization. These 8 wastes can be represented by the acronym, TIM WOODS; transport, inventory, motion, waiting, over production, over processing, defects, and skills. One component of the ‘Skills’ category of lean waste includes wasted human abilities. This particular type of waste is often overlooked, but is very possible especially when there are excess human resources in an organization. This so happens to slow down the process of production due to destruction and limited space.
The other element that is included in the Lean Six Sigma Methodology is defects. Defects obviously have a tendency to reduce productivity within any business in any industry. This could occur if there are inaccurate processes or products. If the defects are overlooked, they can be detrimental to the success of any business. Lean Six Sigma provides a solution that can aid in minimizing, if not totally fixing, the defects.
Inventory is also another element that can help slow down production process of any business. When work piles up in a business, it becomes a diversion or distraction to dedicated workers, and in the long run, leads to business failure. It is therefore important to take action and avoid work back log.
Profit and overall success of business is based on the quantity of production. However, overproduction can lead to great loss especially if the products are perishable. It is therefore important to follow lean Six Sigma. This helps one avoid overproduction especially if the products are not in demand. It is also important not to underestimate inventory. You want to be moving products and services as fast as you can sell them; this is where the Six Sigma part of the process comes into play.
Other errors and defects include wasted time, unnecessary movement, inefficient transport and unnecessary processes. Understanding these points of business waste can create an excellent approach to business productivity that lays a firm foundation for the utilization of this process. These principles are simple to understand when broken down, and actually make logical sense to each and every business.
Law of the market is fundamental to this business improvement process. The law makes the customer the top priority and puts them first. All attention should be put in such a way that everything that is done at the business premises is customer-oriented. It is prudent for all business owners to appreciate that their business exists because of those customers. It is always in the best interest of everyone involved to make products and services that are what customers want to buy.
Every successful business needs to be in a position to adjust in case there is need to do so. This is helps reduce any chance of defects that might happen in the market. To avoid that, the management should always apply the principle of flexibility. Change management is also a very important skill to have within this process. When a change needs to happen, it is important to do so as quickly and efficiently as possible with everyone on board so that defects and problems with processes are eliminated fast.
Focusing directly on any one problem without data to back it up or a true cause for concern can hinder the success of a company. At times, enterprises will turn out to be so engrossed in certain problems that they end up losing focus on the true issues. The Lean Six Sigma professionals are able to come in and focus on the main issues of the business that are pointed out as true issues via statistical data, and fix them quickly and efficiently.
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