Lean and Six Sigma
WDHIMSS
May 5th, 2005
Presented by: Tanner Holst, Systems & Process Consultant, Franciscan Skemp Healthcare, LaCrosse, WI

Agenda
Focus on Six Sigma
Definition, use of data, roles, six sigma rOAd map
Focus on Lean
Definition, The House of Lean
Lean Six Sigma
Questions

Part I: Six Sigma
Six Sigma Defined
Six Sigma is a customer-focused, well defined problem solving methodology supported by a handful of analytical tools with a gOAl to reduce variation

Key is: Customer-focused
Customer is always the “next step” in the flow of work
Internal customers have to be served well for external customers to be served well
Quality Initiatives-Where does lean/six sigma fit?
TQM – Total Quality Management
CQI – Continuous Quality Improvement
JIT – Just in Time
MBO – Manage by Objectives
MBWA – Manage by walking around
Rightsizing
PDSA – Plan Do Study Act
Lean and Six Sigma – all of the above +
Focus on Six Sigma ApprOAch
Uses statistics solely as tools for intERPreting and clarifying data – rely on the facts
Requires not just statistics, but changes in the culture of the organization
Requires commitment of management
Requires a tolerance for questioning sacred company belIEfs
Outside in thinking, look at customer’s perspective, not ours
What is sigma?
The sigma value indicates how often defects are likely to occur
According to Motorola, a performance level of six sigma equates to 3.4 defects per million opportunitIEs (4.5)
As the sigma level increases, cost and cycle time go down while customer satisfaction goes up