The way to teach and deploy Lean and Six Sigma is broken. Here is how to fix this situation by applying Deming principles. Presented at the 2015 International Deming Research Seminar, Washington, DC on 24 March 2015. A multitude of students, instructors and practitioners of current improvement (C.I.) methods like Lean and Six Sigma learn a fraction of what they need, ignore the best ways to apply it, and dismiss whatever they have not being taught. For example, some companies will “only do Lean” while others “will only do Six Sigma”. This partial understanding of the C.I. methods is the natural result of fractioning a body of knowledge and the inward focus of the keepers of each method. Thus, it is common to find a Six Sigma black belt who ignores the notion of the company as a system and a Lean practitioner who is not schooled in statistical analysis of any kind. Both miss on much useful knowledge which would make their efforts far more effective. Worse still, managers and leaders unaware of Deming principles, launch programs of transformation which involve others in the organization while keeping themselves “safely away.” Keywords: Lean, Six Sigma, Green belts, Deming, Ohno, W Edwards Deming, Taiichi Ohno, Shewhart, SOPK, management, project management, tribal, feuds, 2001 Space Odyssey, SIPOC, FTY, 7 wastes, 8 wastes, fear, JIT, jidoka, autonomation, gemba, teamwork, transformation, constancy of purpose, metrics, Hoshin planning, Hoshin Kanri, systems view, systemic view, training, leadership, we can do it, deadly diseases, knowledge, System of Profound Knowledge, Toyota Production System, TPS, standards, SOP

1. Teaching and Deploying
Improvement Methods
BETTER
with Deming principles
By Francisco Pulgar-Vidal, President, fkiQuality
March 24, 2015
1

2. fkiQuality
Objective:
• Your company’s operational excellence.
• Through consulting, training and coaching.
• To build high performance operations.
2

3. We counter these operational diseases
Slow Rigid Defective Obscure
Costly Risky Corrupt
3

4. Improvement methods …
4

5. … are based on Deming principles
Deming
principles
Lean
Six
Sigma
Others
5

6. What is Lean?
• A way to establish a production system that creates more customer
value using less resources.
• By understanding what customers value and focusing its processes to
deliver it.
• Through the continuous optimization of product and service flow
across departments.
• Eliminating waste in the entire value chain to accelerate response
while lowering cost and defects.
6

7. What is Six Sigma?
• A business improvement effort.
• Focused on increasing customer satisfaction and product/service
performance.
• Seeks to reduce variation of important process/product/service
characteristics.
• Composed of disciplined methods, results-focused metrics and
dedicated people.
7

8. But these methods are not integrated
with Deming
• Shewhart, Deming in history.
• Few references to their work.
• Disconnected from SoPK.
• Sometimes at odds with 14 principles.
8

9. Problem: improvement seen as
steps and tasks.
• Emphasis is on sequence.
• Emphasis is on project management.
Then improvement is:
• Shallow, incomplete.
• Not too smart.
9

10. Problem: improvement seen as
methods and tools …
• Emphasis is on speed to results.
• Emphasis is on what can be measured:
number of tools taught, …
So,
• Methods and tools become meaningless.
• Learning without direction.
10

11. Ignoring a common origin triggers tribal
mentality
• “We only do Six Sigma …”
• “We only do Lean …”
• What you teach, what you learn
is not so good.
11

12. Managers launch programs but do not
involve themselves
• “Education for my teams”
• “I already know how to
improve processes …”
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13. The result is
a wasteful program
• Slow projects.
• Confused practitioners.
• Blame the methods.
• Lost opportunity to learn
how to learn.
13

14. But it does not have
1. Create a stable program of
improvement.
2. Let learning happen.
3. Teach how to think.
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15. Deming
principles are
the origin of
mainstream
concepts and
tools already.
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16. SoPK elements map to most LSS tools
SoPK
component
SIPOC
FTY
FishboneCustom
erfocus
Visible
figures
7
w
astes8th
w
aste
Respectofprocess
Respectofw
orker
M
anage
byfacts
Defectsto
custom
er
Operationalproblem
s
Autonom
ation
Go
see
-askw
hy
Notion
ofperfection
Team
w
ork
Pain
vsjoy
System ● ● ● ● ● ● ● ● ● ● ●
Variation ● ● ● ◑ ● ◑ ● ● ● ● ● ●
Learning ● ● ● ● ● ● ● ● ● ● ●
Psychology ● ● ● ● ● ● ● ● ● ● ● ● ● ●
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17. Recognize key challenges
• “We just need a bit of lean”
• Training for Green Belts only.
• No organizational support.
• Results expected in 6 months.
17

18. Source: www.deming.org
18

19. 1. Follow business-level objectives to
define a steady program
• “Create constancy of purpose
toward improvement …”
• Start at the top.
• Make long, short term
compatible.
• Waves and quick wins.
19

20. 2. Select projects that support the aim of
the business
• “The aim of the system is the
optimization of all its parts.”
• Find opportunities to:
• Support strategic plans.
• Meet customer needs.
• Fix process weaknesses.
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21. Keep system-wide view of the program
• Sustain the aim of the program.
• Promote infrastructure projects
• No short-term ROI is fine.
• Reduce duplication of efforts.
21

22. 3. Train and certify employees and
supervisors
• Supervisors must provide organizational
support.
• Be champions of their employees!
• Before, during and after project
execution.
22

23. Before project start, supervisors
provide direction
23

24. During project execution, supervisors
follow closely and protect project
integrity
24

25. After project conclusion, supervisors
integrate and propagate solution
25

26. 2
3
1
Project impact is enhanced,
its reach extends across the organization
Before
After
During
Iterate
26

27. Source: www.deming.org
27

28. 4. Focus on the fundamental types of
operational problems
• Process improvement methods must
focus on solving problems.
• Generic families of operational problems:
• A slow operation.
• A rigid, inflexible process.
• A defective procedure.
• An obscure workflow.
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29. 5. Teach supervisors to let discoveries
happen
• Projects of improvement are
projects of discovery.
• Some space, freedom needed.
Operational
Problem
Designed
solution
Implemented
solution
29

30. Managers must create the environment
for needed for learning
• “The aim of supervision should be to
help people and machines and gadgets
to do a better job.”
• Prioritize defining the problem and
finding the solution.
• Balance with project management
(cost, schedule and scope).
30

31. 6. Favor accessible analytical tools and
invite everyone to participate
• Programs may risk creating an
elite tasked with improving the
organization.
• Teach an understanding of
variation.
• Deploy graphical analysis tools.
31

32. 7. Conduct effective project review
sessions
• A deadly disease of companies is:
“Management by use only of visible
figures …”
• What was learned so far?
• About the process being improved.
• About the organization that conducts it.
• About the technology that supports it.
32

33. Decide project direction based on
knowledge
• Every project review
(tollgate) is a time to
confirm learning.
• The illustrated team
decides what to do
next.
33

34. Source: www.deming.org
34

35. 8. Teach the need for systems thinking
• Deming’s System of Profound
Knowledge compels us to gain
“an appreciation for a system.”
35

36. Teaching tools separate from a
structure?
• A systematic method is not a collection
of tools.
• It is expeditious.
• It is easy to test.
• Tools may be used:
• Ineffectively (practitioners).
• Dangerously (process).
• Frustratingly (company).
36

37. Teach how to think!
• How to approach a problem?
• What to assume?
• Which questions to ask?
• What to measure?
• How will I know I’m done?
• Share the joy of learning!
37

38. 9. Create an appetite for learning with
problem-based teaching
• A bit of psychology: individuals learn in
individual ways, not as a cohort.
38

39. Problem-based teaching creates a pull
for knowledge
One
problem
A few strategies
from personal
interpretations
Many tools
pulled as needed
by learners
39

40. 10. Teach operations design
• Many methods focus on increasing
team creativity.
• Some methods focus on the use of
designed experiments.
• What about actual principles for
designing a better operation?
• The Toyota Production System example.
Satisfy
customer
needs
above all.
Just in time
production.
Awareness
(jidoka).
Various methods
for operations
design, redesign.
Various tools.
40

41. Operational design impacts all aspects of
a business
41

42. 11. Teach use of standards
• Standard operating
procedures.
• Basis for sustainable
benefits.
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43. Recommendations for better
deployment of C.I.
• Teach and deploy improvement
methods at all levels.
• Teach how to think about problems.
• Make knowledge accessible to all.
• Teach individuals individually.
• Deploy in alignment with business.
• Use more design principles.
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44. Q&A
For further discussions, please contact
me at fpulgarvidal@fkiQuality.com or
1 630.544.0116
Thank you.
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