All you need to know about Fishbone Diagrams

A fishbone diagram, also known as cause & effect diagram, is a visualization tool which categorizes potential causes of a problem to identify its root cause. Many a times employees try to resolve problems but they end up working over the symptoms instead of the root cause. This tool helps employees avoid solutions that merely addresses the symptoms of much larger problems.

It is used during brainstorming sessions to plot all the possible causes of a problem, which later are ranked as per their level of importance in a diagram form. The diagram looks like a fish skeleton, where large bone branches out smaller bones which contains more details.

If we discuss its role in Six-Sigma, fishbone diagrams are used during the “analyse” phase of DMAIC approach to dig to the root cause of a problem. It makes the brainstorming sessions productive. Frequently it is observed that such sessions don’t bring out useful ideas or information, but using the fishbone diagram tool with it translates it into a well-structured form and unveils unobvious potential causes.

How is this diagram prepared? The central problem or effect is paced on the extreme right of the diagram & a horizontal arrow is drawn running to it. Categories of causes are written as branches from the main arrow. All the possible causes of the problem are written as a branch from the relevant category. Causes are given branches which then mentions sub-causes. “Why?” is continued to be asked to find deeper level of causes.

Lean Six Sigma Green Belt Certification

Lean Six Sigma Black Belt Certification

WHO SHOULD DO LEAN SIX SIGMA TRAINING

Lean Six Sigma is a continuous process improvement technique that combines tools, methods, principles to improve organizational operations. It is an adaptable technique that can be changed according to the necessities of the organization to achieve desired results. This team-oriented process’s main objective is elimination of waste.

Numerous companies are implementing Lean Six Sigma into their business processes and hiring professionals who have attained Lean Six Sigma certification. A certification course in Lean Six Sigma is a course where participants receive an introduction to tools and methods that are important to participate in DMAIC projects. It is a great way to improve your capabilities as a leader in your organization. The training process has different levels like the Yellow belt, Green belt, Black belt, and Master black belt. All these belts have different levels of understanding and play different roles. Also, they have different eligibility criteria in which an individual must pass certain examinations.
Yellow belt certification teaches the basics about the application of tools and methods to the individuals who begin training. It is for those who lead limited development projects. There is no experience requirement, but each candidate is required to pass an hour-long written examination of 85 MCQs offered in English language. Green belt certification is for those who are serving in data collection and analysis projects.

A Lean Six Sigma Green belt knows how to implement the Lean Six Sigma at high levels in the business process. For this the candidates are required to have a full-time experience of 3 years and pass a 4-hour long examination having 100 MCQ; offered only in English language. Common positions suited for Green Belts include mid- to upper-level project managers, process engineers, consultants and manufacturing engineers. Black Belt is for team leaders who manage big improvement, aspirants for data analytics, research, waste reduction, and service efficiency. They have a thorough understanding of the Lean Six Sigma phases. Candidates need to complete two projects with signed affidavits or one completed project with signed affidavit and three years of work experience in one or more areas of the Black Belt Body of knowledge. Clearing a 4 hour-long written examination of 150 MCQs offered in English language is the next step. After clearing the examination if you further want to have the Master Black Belt certification you must hold a current ASQ Certified Six Sigma Black Belt Certificate or at least 5 years of work experience in the role of Six Sigma Black Belt and pass a 5 hour long examination comprising of 100 MCQs and a couple of essay type questions.

With the increasing awareness about Lean Six Sigma in small and medium enterprises, it will slowly be applied to every business process of an organization. This suggests that the scope of Six Sigma is much broader than other quality management programs and it may outlast them in the future.

For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666.

Lean Six Sigma Black Belt Training Programme
Lean Six Sigma Green Belt Training Programme

PROCESS IMPROVEMENT IN THE AGE OF SMART MANUFACTURING

Smart manufacturing is a broad concept that involves a combination of various technologies’ implementation in a manufacturing ecosystem. It employs computer-integrated manufacturing, digital information, technologies, and solutions. These technologies and solutions are called enablers which optimize the manufacturing process and increase the overall profits. Some of the enablers being used currently are- artificial intelligence, robotics, cybersecurity, Industrial internet of things (IIoT) and blockchain. The main goal of smart manufacturing is efficient production and recyclability, fast changes in production levels based on demand and optimization of the supply chain.

The industrial revolution began nearly 260 years ago and has since then witnessed a lot of change. The first industrial revolution involved the usage of steam power and power loom and the second one saw the introduction of the assembly line. The third industrial revolution began much later during the 1970s in which automation and data-enhanced automation came into being. But the greatest revolution of them all, the fourth industrial revolution, that began nearly 20 years ago saw technology change the nature of manufacturing completely. Automation has become a significant advantage in today’s manufacturing because of the penetration of computers and technology. It is continuously setting the standards for the industry and has become an important determining factor of whether or not a company will remain competitive within the industry. Smart manufacturing has allowed companies to produce products at outstanding speed and great quality.

Smart manufacturing has several benefits. It improves efficiency, increases productivity and saves cost. An automated machine reduces production time and speeds up the process as it needs no thinking. When an automated machine performs a task the accuracy and repeatability as compared to an employee is much greater. Also, fewer employees are needed to get the job done which reduces numerous costs. Investment in automated equipment leads to large production volumes which in turn increases profitability. While there are so many advantages of smart manufacturing there are some disadvantages as well that shouldn’t be overlooked. Not only does it increase unemployment, but it is a large initial investment depending upon the type and degree of automation. Also, there are many unpredictable costs including maintenance costs, costs of automating a process and training employees to operate automated machines. This may cause an increase in production costs and reduce profits if not monitored and taken care of properly. A perfect process means a perfect product. A process improvement methodology like Lean Six Sigma uses techniques and methodologies to increase efficiency and profits are required to be implemented to reduce these defects so that the company stands a long chance in the competitive world out there. Lean Six Sigma is a culture of learning and continuous improvement. Introducing IT and smart manufacturing to Lean Six Sigma will merge process and culture into a single approach which will stimulate inventiveness. By analyzing the data and thinking of solutions using the DMAIC approach, even the slightest of errors that would have otherwise been overlooked can be spotted and worked upon.

The main aim of smart manufacturing is to use a technology-driven approach to monitor the production process and optimize manufacturing. It enables the use of data analytics to improve the manufacturing process. Just like smart manufacturing, the aim of Lean Six Sigma too is to use certain tools and techniques for data analysis to cut down production costs and increase profits by dramatically improving every process in an industry; financial, operational or production. Its use represents a mindset shift and is driven by the people whose main is to satisfy customers’ demands and improve their outcomes.

For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666 

Lean Six Sigma Black Belt Training Programme
Lean Six Sigma Green Belt Training Programme























  

LEAN SIX SIGMA APPLICABIITY IN MANUFACTURING INDUSTRY

Initially adopted by the manufacturing sector, Lean Six Sigma, a process improvement methodology designed to eliminate problems and wastes, increase efficiency and improve working conditions to ensure customer satisfaction is now being adopted by Service Sector, IT Sector and even Healthcare.
This wide concept which can be moulded according to the needs to reach specific organizational goals was founded by Bill Smith, an engineer at Motorola in 1986. Its working is based on facts and focuses primarily on reality rather than assumptions. The methodology of Six Sigma can work with any process, product or service that has definable performance goals and characteristics which can be measured as its working relies on data. Lean is a set of tools which assists identification and elimination of wastes and was developed by Toyota as a part of the Toyota Production System. Lean and Six Sigma are complementary though different. The similarities allow them to blend well together while differences ensure solution options. The original Six Sigma process developed by Motorola was MAIC (Measure, Analyze, Improve, Control) but now Six Sigma projects are executed in five phases DMAIC where D- Define was added later. DMAIC focuses on elimination of defects by reducing variability in operation.
There are many misconceptions surrounding the use of Lean Six Sigma in a business. People think it is only for large manufacturing industries, involves a lot of advance statistics and mathematics usage and the cost of its applicability is too high whereas this is not the true picture. No company or organization is either too small or too big for Lean Six Sigma applicability. Even mid-sized business and start-ups have started using it for better results. Also, its working doesn’t require advance statistics and mathematics knowledge. Just drawing a simple process map to identify gaps or bottlenecks is the only major requirement of the Lean Six Sigma process. As far as the cost is concerned it should rather be seen from the point of view of a business investment that will surely yield a significant return if implemented properly.
Manufacturing industries are huge and involve a lot of operations and there are many departments and a big workforce which are to be controlled and all this must be done keeping in mind the sole objective of maximizing profits. There are several areas in which Lean Six Sigma can be applied for better results- reduce quality defects in manufacturing process, reduce manufacturing cycle time, improve employee efficiency, reduce maintenance costs, improve workplace organization, reduce time to develop new products, reduce the amount of obsolete inventory, improve planning and forecasting of demand, improve product performance, improve equipment utilization and much more.
Lean Six Sigma is a reliable and promising management concept which has helped many organizations like Motorola Corporation and General Electric to overcome quality related problems. It reduces costs, increases quality and profits and is also a significant management tool for any organization looking forward to highlighting its presence in the huge competitive corporate world out there.   

For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666.

Lean Six Sigma Black Belt Training Programme
Lean Six Sigma Green Belt Training Programme

LEAN SIX SIGMA APPLICABILITY IN SERVICE INDUSTRY

Lean Six Sigma is a team oriented, strategic approach which combines tools, methods, principles of Lean and Six Sigma into a single methodology to improve organizational operations. With companies like Motorola, General Electric, Dell, Kodak, Boeing, Ford Motors gaining success by implementing Six Sigma in their processes it had formed a perception that Lean Six Sigma is meant to be used in manufacturing industries only. But not anymore!

Lean Six Sigma may have an incredible history in the manufacturing industry, but many people have derived break through strategies by applying its techniques in their respective organizations irrespective of its nature. More and more companies are hiring professionals who have knowledge about Lean Six Sigma to improve their organizations’ results. The pre-conceived notion that Lean Six Sigma is meant only for manufacturing industries’ use only has been supported by various views like- service sector is a people driven sector and since people perform tasks there can be no defects. Also, people think Six Sigma is very technical and every employee and leader wouldn’t have knowledge about it. But it is important to point out that all these are perceptions.

Service sector has no fixed definition. While some feel that services are rendered and experienced others define it as something which is intangible and cannot be stored on shelf. As per a report published by Department of Industrial and System Engineering, National University of Singapore: Today more than 79 percent of the US workforce is employed by commercial businesses and almost similar percentages are involved in Europe and other countries as well. Despite the high number of service employees, some companies still believe that improving commercial processes is less important than improving industrial processes, or that seemingly intangible commercial processes cannot be controlled. Both beliefs are wrong. First, customers are more likely to take their business elsewhere because of poor service than a poor product, and second, companies like General Electric and Allied Signal have shown that improving internal and external commercial processes adds significantly to the bottom line and customer satisfaction. Applicability of Lean Six Sigma in service industry generates sustained development, improves customer focus, sets direction and goals, increases profitability and reduces waste. Though it might not apply to all service processes but, if understood and implemented properly  it can be used in most service functions, if not all.
The Dabbawalas or meal-box delivery people are an excellent example of a successful Lean Six Sigma applicability in service industry. Delivering 2,00,000 meals a day in a city like Mumbai is a tough job. Various problems like wrong meal-box, broken meal-box, wrong destination is meant to happen. Also, traffic is another big problem. Despite all this, they operate at Six Sigma level and have also been awarded a certificate for the same.

While some who had earlier invested in it are blissfully reaping the profits others are viewing the merits and demerits of investing in Lean Six Sigma applicability. As Lean Six Sigma becomes more valued in the last decade, it has been proven by service sector industries that every organization can benefit from its use and experience increased profits and efficiency.

For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666.

Lean Six Sigma Black Belt Training Programme
Lean Six Sigma Green Belt Training Programme

LEAN SIX SIGMA IN IT INDUSTRY

India is transforming into a digital economy. It is slowly emerging as the hub for “Digital Skills”. Employing over 3.9m people, IT industry is also the largest employer within private sector. IT and BPM industry’s revenues stood at $ 154 bn in 2016-17 compared to $ 143 bn in 2015-16. According to Invest India, a non-profit venture under the Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Government of India: The total revenue of $ 154 bn in 2016-17 comprised of $ 116 bn in exports and close to $ 38 bn in domestic share. The domestic market is catered by hardware segment and IT services, which contributed approx. $ 15 bn and $ 26 bn in 2017-18, respectively. Exports of $ 117 bn is further segmented as: IT services accounting for 56.4% of total IT exports, BPM accounting for 22.2% share and software products and engineering services occupying 21.3% share.

Despite its origin in the manufacturing sector, Six Sigma isn’t just about it; the focus is processes, tools  and techniques. Elimination of wastes is its fundamental driver. A Lean Six Sigma project lets nature  of the defect which is listed and defined by the customer, dictate which tools and methodologies are  most appropriate. Lean Six Sigma is a continuous improvement methodology. More and more  companies are hiring professionals who have knowledge about Lean Six Sigma applicability in order to improve the results. IT industries are continuously under pressure to improve its services because of the  ongoing competition. When applied to IT operations, both internal processes and line of business  processes are measured and improved by using Lean Six Sigma tools. "IT is a big user of processes: testing and hardware implementation and software development," says Doug Debrecht, vice president and CIO at Raytheon Aircraft, where the entire IT workforce has had some form of Six Sigma training. "Six Sigma has given us a good toolset that we can use consistently and repeatedly to analyze how we have things set up and running."

The Lean Six Sigma methodology is divided into five phases DMAIC: Define-to ensure good experience for customer, Measure- to ensure that the analysis and solutions are performance based, Analyze- to ensure that not just the symptom but the true root cause is identified, Improve- to ensure variation gets eliminated and lastly, Control- to ensure the solutions are fully implemented. "IT always gets caught up in insatiable demands and lost ROI. Six Sigma solves both those problems," says Charles P. Costa, executive vice president and CIO at Chase Financial Services, which assigns a Six Sigma team to most IT projects worth more than $1 million. "Six Sigma gives us a very precise way to demonstrate the real value of technology, and it helps us improve the way we deliver that value."

Textron used the DMAIC process and the Voice of the Customer tool, among others, to tackle datacenter sprawl. "We found we had over 80 data centers inside our company," says Ken Bohlen, Textron’s executive vice president and chief innovation officer. "We used Voice of the Customer to canvass our customer base and ask some very specific questions," such as what critical information was stored where. By making customer needs the top priority, Textron has been able to shut down 40 of the data centers, which were supporting legacy or underused applications. Bohlen says his long-term goal is to get down to five data centers.
For reaping success from Six Sigma in IT industry it is important to pick the right people as taping motivated employees for training produces high performance teams. These workers work together as internal SWAT teams to tackle a given situation and find solutions for the problems. Also, for IT industries particularly, it is strongly urged to avoid substituting Six Sigma for thinking and to first use the tools and techniques which are perfectly known. Applying Six Sigma tools in a software project can show
improvement and transformation in the way a process related to that activity is behaving.  Lean Six Sigma implementation in the IT industry reduces overall operating costs and improves efficiency and effectiveness of the business and IT processes, workforce productivity and quality of performance of products and services. Lean Six Sigma’s promising management concept can bring evident advancements in any industry which uses it.

For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666.

Lean Six Sigma Black Belt Training Programme
Lean Six Sigma Green Belt Training Programme

LEAN SIX SIGMA AND SUPPLY CHAIN

Lean Six Sigma is a continuous improvement methodology that uses different tools and techniques based on the research of a business process to eliminate or reduce defects as much as possible and increase efficiency for better outcomes. It improves the production process in many ways. Lean majorly focuses on the eradication of all types of wastes while Six Sigma reduces variations and therefore, Lean Six Sigma together makes a powerful tool for facilitating continuous process improvement.

Organizations are now using Lean Six Sigma to eliminate waste and reduce variance in their supply chains. Lean Six Sigma helps the companies improve the performance of their supply chains and an efficient supply chain provides a sustainable competitive advantage and increases revenue. A supply chain is a network including different activities, people, information and resources. It is a chain between a company and its suppliers to produce and distribute a specific product to the final buyer. This chain is developed so that the companies can reduce their costs and remain competitive. It is crucial because an optimized supply chain results in a faster production cycle. Various entities are involved in the supply chain including- distribution centers, producers, transportation companies, vendors, retailers, and warehouses. Moving and transforming raw materials into finished products, transporting those products and distributing them to the users are the steps that must be followed to get any product or service to a customer. Supply chain management is a very important part of any business process. A lot of skills and expertise is required to manage the supply chain effectively. If managed properly it can lower a company’s overall costs and boost profitability.

Supply chains made inefficiently with errors need Lean Six Sigma and the 5S Lean principle can reduce theses errors by eliminating unnecessary wastes. Using DMAIC and DMADV methodologies can reduce the order fulfillment cycle time. A Lean Six Sigma review will help in identifying the problems that are hindering a company’s growth and needs to be addressed ASAP. Improvement may require automated shipment verification, reduced paperwork, system integration, automated picking and shipping planning. DMAIC can help in improving the current processes and DMADV can help implement new processes. Supply chain performance requires that all the changes in the supply and demand are looked and acted upon quickly to avoid any crisis due to the careless judgment of the situation. Companies with the most agile supply chains are the ones that are tailored according to the needs and wants of the customers. Therefore, applying Lean Six Sigma principles to the supply chains of any organization can create a competitive advantage, improve employee morale and increase revenue.

For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666.

Lean Six Sigma Black Belt Training Programme
Lean Six Sigma Green Belt Training Programme