Category: LEAN

FAQ 13- What are the similarities and differences between Lean Vs Six Sigma methodologies?

10/11/2021

This multi-part blogpost series presents practical answers to frequently asked questions on improving business entities.

frequently asked questions on continuous improvement

Its objective is to assist business leaders in these trying times, whether they are learning the basics of business process improvement, planning their first business improvement project, or evangelizing process-oriented thinking throughout their organization.

So, let’s get started …

Few similarities are- Both Lean and Six Sigma methodologies bring-forth positive business transformations. Both improve relations between ‘Voice of customer’ (VOC) and ‘Voice of process’ (VOP). Both bring-on process improvement, reduce operational cost and increase profit.

A major difference is in their process improvement philosophy- Lean focusses on eliminating ‘process wastes’, while Six Sigma focusses on eliminating ‘process defects and variations’.

Check out more about Lean, Six Sigma and eighteen different business process improvement techniques here.

I shall discuss more FAQs concerning effective & efficient business process improvement in upcoming parts of this blog post series...

By the way, if you run a company that is facing a challenge to thrive in these difficult times, I would suggest that you please revisit your business processes in order to accelerate growth and bring a quick turnaround.

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Lean Manufacturing in Food, Drug, Cosmetics & Chemical Industry

2/25/2020

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Here is a case study that exemplifies improved productivity of pellet manufacturing by 28% per shift via LEAN.

Learn about how to use LEAN Business Process Improvement methodology for
Innovation and Manufacturing …

Keywords and Tags:

#Manufacturing #Lean #ContinuousImprovement #Kaizen #QualityImprovement #ManufacturingManagement #Pharmaceutical #LifeSciences #Food #Beverage #Biotechnology #LeanManagement

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Continuous Improvement for Human Resources (HR) department via Lean and Kaizen

2/19/2020

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Have you ever been in a situation where there are open positions in your department that haven’t been filled out for one or two years?

On one hand there is mounting workload while on the other hand the response from HR office is that, they are and have been doing their best- they have personally looked out for good candidates, contacted several recruitment companies to get biodata of suitable candidates, yet they haven’t been able to find a correct fit for the open roles.

Many a times supervisors and department heads term such HR responses as ‘excuse’.

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But believe me this is absolutely possible. Despite genuine efforts, recruitment goals are unmet in big and small companies. Recruitment gets more complicated when knowledge workers and people with special skill sets or registration needs are being sought.

Although one can’t completely discount out that there might be a chance where up-to-date efforts may not have been put in by those involved in the recruiting process, but usually HR guys are genuine with their responses. Positions remain unfilled for long times, HR tries hard on their bit, while the department which owns those open positions burn mid night oil by asking existing employees to work overtime to meet quarterly work targets.

If you have such situations in your organizations then your company needs bigtime process improvement in its HR function!

Process improvements in HR departments can impact recruitment goals in many ways.

Let me give you a short case study- Few years ago, I was hired by a Canadian company which dealt with recruitment challenges similar to the ones stated above. Post situational analysis, I recommended them to improve the recruitment process via a combination of Kaizen and Lean Continuous Improvement techniques. We designed a strategic process improvement plan for their recruitment process.

The picture below is self explanatory.

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As you will notice, the process improvement exercise speeded-up filling up of open positions that were stagnating for over 2 years. Process improvement also saved advertising costs, decreased candidate screening time which in turn translated into improved HR productivity. By fifth month of initiating the process change campaign, 18 out of 21 open positions (lying open for over two years) were filled up!

Another place for HR process improvement is- Avoiding ‘firing’ employees by ‘right hiring’.

No one likes to fire employees, even if that person is truly lousy at whatever they do and makes everyone else around them miserable. Much has been written on ways to fire kindly, diplomatically etc., but what is discussed less is- ‘how to avoid (improper) hiring in the first place’.

Almost on autopilot, most HR departments post new job offerings and begin the process of filling a position as soon as that position’s previous occupant departs.

An employee’s departure must be used as an introspection to re-evaluate that role from several perspectives, for example- Do we even need this role? Can we reduce this full-time role to part-time or switch to a contractor or outside vendor? Do we need someone with a different skill set? Is there someone within the organization who can be trained and relocated to a new position? How does this position contribute to achieving our corporate goals for the next three years etc.

And such introspection must be done via strategic design of HR Continuous Improvement plan and its flawless implementation.

I recommend Kaizen, Lean, ISO and CMMI (Capability Maturity Model Integration) for Process Improvements in HR function; though, cost-effective and best results are observed with Lean Kaizen.

Keywords and Tags:

#Kaizen #HR #ProcessExcellence #ContinuousImprovement #BusinessProcessManagement #ServiceIndustry #BPM #LeanManagement #KaizenLeaderMasterclass #kaizenInHR

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Lean Innovation, Hoshin Kanrii and Six Sigma (as DFSS) for Product Design, Development and Manufacture via 3D Printing; a Case Study

2/5/2020

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Lean Innovation, Hoshin Kanrii and Six Sigma (DFSS- design for six sigma) for product design, development and manufacture via 3D Printing (i.e. Additive Manufacturing) Case Study by Dr. Shruti Bhat, gives benefits of applying Hoshin Kanrii, DFSS and Lean Innovation techniques to a drug product design, development and manufacture via 3D Printing.

The study findings however can be extended to product development across other industry verticals.

Some of the benefits of applying continuous improvement methodologies such as Lean, Hoshin Kanrii and Six Sigma to research and product development include-

Application of Hoshin Kanrii and DFSS along with Quality-by-Design (QbD) to product development usually brings novelty in product features, process characteristics and/or product utility, thus favors patenting and generation of additional revenues.
While, Lean Innovation creates products with effective and efficient production and packaging processes, with no scope for ‘rework’ thus, better Operations Management.

The study uses Isosorbide dinitrate (ISDN) as model drug, although other drugs can also be used in this therapeutic platform.

2x3 Factorial Design of Experimentation (DOE) was used to design drug beads. The results were evaluated for regression analysis, Main and interaction effects of parameters, Contrast Column Dispersion effects, Normal Probability Plots, Pareto and Process Capability Analysis.

The drug beads were further used as ‘starter’ seeds to develop MUPS (multi-unit particulate system) anti-angina ‘rate-programmed’ drug product.

The pharmacokinetic- pharmacodynamic (PK-PD) modeling was done using Doebrinska- Welling equation. MUPS were developed using 3D Printing technology via a 12- Run Plackett Burman DOE.

All hardware, software applications involved in the study were pre-validated. All qualifications i.e. Design Qualification (DQ), Installation Qualification (IQ), Operational Qualification (OQ), Performance Qualification (PQ) for each experimental run was done as per USFDA guidelines. Data was analysed statistically using Paired ‘t’ test. Reliability Testing was conducted as per ICH current Good Clinical Practices (cGCP) guidelines.

Product prototype and Reference listed drug (RLD) were compared for bioequivalence compliance. The prototype is ready for commercialization.

This study also gives benefits of using 3D Printing technique for pharmaceuticals and how the technique can be applied to product development across other industry verticals!

For details on how to apply Lean Innovation, Hoshin Kanrii and DFSS to product design, development and manufacture, watch the video …

To learn more about how Shruti can help your organization achieve new heights or to book a Workshop, Contact Dr. Shruti Bhat via Form or WhatsApp

How to Improve Operational Efficiency? A Lean Kaizen Case Study

11/27/2019

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how to improve operational efficiency_a Lean Kaizen case study

Lean Kaizen Case study

Problem: A Canadian Pharmaceutical company had production issues with fifteen products and this consequently increased production back-orders. How to improve operational efficiency?

Due Diligence: Conducted a value stream map to identify potential cause(s) for the back order situation. Additionally technical processes of production were also evaluated. Both technical processes as well as operational processes had snags and must be improved.

Solution: Lean Kaizen methodology was employed. Pharma being a regulated industry, the regulatory impact of proposed process change must be studied prior to embarking on process improvement journey. Regulatory impacts studied were- statutory compliance, licenses, tax breaks, sales permission etc. A protocol for process improvement for all 15 products in a tiered fashion was designed. Appropriate modifications to production planning and concerned operational processes were undertaken.

Result Dashboard:

Process improvements for all 15 products was completed within time-scope-budget.
Process improvements of 8 products were done without need for statutory re-approvals.
Back order status was reversed; market demands are being met timely.
Process improvements for balance 7 products were done without need for beta testing/ bio-equivalence studies.
Overall saved around 15% of total budgeted expenses for this project basket.

To learn more about how Shruti can help your organization achieve new heights or to book a Workshop, Contact Dr. Shruti Bhat via Form or WhatsApp

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Keywords and Tags:
#ContinuousImprovement #Innovation #OperationalEfficiency #Lean #Kaizen #ProductivityImprovement

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Unfolding the Business Transformation Roadmap via Lean, Six Sigma and Kaizen

11/6/2019

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In this blog post I shall touch upon business transformation via three most popular Continuous Improvement methodologies, namely- Lean, Six Sigma and Kaizen.

Lean concept though has been cited in ancient Japanese folklore, it was introduced as a Management methodology by Toyota around 1940s to improve their auto business. Since then there has been no looking back for Lean. Several organizations both from Manufacturing and Service sectors have embraced Lean and reaped huge dividends.

Six Sigma developed at Motorola around 1970s specially to sort out quality problems. Six Sigma takes the idea of quality to a whole new level. A process that operates at Six Sigma has 3.4 or lower defects per million opportunities.

Six Sigma is far and away the most mathematically driven method for reducing waste and errors in an organization. Measuring your business from a Six Sigma perspective requires time, dedication and company-wide participation; hence, it is definitely not for everyone. Though there is a certain magic to seeing a company from a purely mathematical perspective. For one it can transfer a desperate business situation into one that can be optimistically turnaround. All one must do is reduce € in the equation y = F(x) + €

Tip: Use a Pivot Table to perform fast, detailed analysis on large data sets. Once you set up a Pivot Table the way you want it, it will continue to operate and update as you add to or modify the data behind it.

Tip: Pareto principle is that 80% of negative results are due to 20% of inefficiencies. Identifying the inefficiencies that make the biggest impact can lead to fast and tremendous improvements in efficiency across an organization via Six Sigma.

Kaizen as a concept is even older than Lean. Kaizen in Japanese means ‘Make Better’. Kaizen is the art and science of consistently and continually improving a process in small steps. Accrued over time, such incremental improvements result in huge benefits. Kaizen is best for Lean organizations, small teams and organizations that give employees some degree of autonomy and responsibilities.

Kaizen is not a one-time planned process but rather an approach to work that places the focus on greater business efficiency e.g. Kaizen in a series of constant small improvement. Kaizen improvement would never add difficulty or unpleasantness to an employee’s workflow. Employees are highly involved in the Kaizen-based business improvement process via all types of Kaizen be it Gemba Kaizen, Modular Kaizen etc.

Tip: Get people that don’t know the process involved in the Gemba Walk, as they come in with open mind and are more likely to ask critical questions.

Working Lean, Six Sigma, Kaizen or any other continuous improvement methodology requires good amount of research into existing processes, identification of problems & their causes and potential solutions.

What tools are available for researching the far-reaching implications of a potential solution before you implement it?

There are over 100 Continuous Improvement tools to choose from. The choice of tool depends on the size of the organization and the size of its problem. However, Value Stream Mapping is a favorite tool to begin with, to take a bird’s eye view of the process, problems and decide whether improvement is required and what would be its impact on company’s over all financials.

It’s said a leaky pot never gets filled-up. Same is true for a problematic business process. The process will never truly gets sorted out unless root cause(s) for the inefficiencies are identified and solved. Brainstorming, 5 Whys, Control Charts, Ishikawa diagram may be used to identify root causes of problem.

How would you track down business inefficiencies in a Lean, Six Sigma, Kaizen process improvement project?

Tracking inefficiencies in your organization comprises of 5 steps. Here’s unfolding business transformation roadmap-

Measuring where you are now (and subsequently where you are along the way)
Figure out opportunities for improvement and potential ways to realize that improvement.
Considering the immediate and far-reaching consequences of potential solutions.
Setting goals
Executing a clearly defined project plan to achieve those goals.

Once the root cause is identified, the next step is to find potential solutions to plug the problem. Employee suggestions, voice of customer (VOC) and Brainstorming may be used to generate problem-solving ideas.

Last but not the least, it is vital to remember that effective business transformation is not possible without strategic and a flawless implementation plan, regular monitoring and sustaining continual improvement efforts.

Business Turnaround and Innovation Management in a Global Contract Research Organization- A Case Study

10/30/2019

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Business turnaround and innovation management in a global contract research organization_ a case study

Innovation Management and Business Turnaround Case Study.

Problem: A Global Contract Research Organization (CRO) was sick and on the verge of being sold out. The management wanted to give a final shot for its revival prior to potential sell off.

All projects were running late. Not a single project milestone was achieved hence, clients had stopped payment. Company’s cash-flow had come to standstill. Many employees were laid off. As the company had no funds to pay vendors, they had stopped supplying raw materials, hence work stopped too. It was turning into a vicious catch 22 situation. No funds- so no project work was happening and clients paid no funds- because no project milestone was delivered.

Due Diligence: Financial and Technical Audits, RCA, Pareto and Ishikawa studies were conducted to evaluate CRO’s financial health, site, systems, products, problems, processes, human capital, customer complaints etc. The objective was to review the CRO and bring back its glory.

Solution: Business process redesign/ re-engineering was undertaken alongside strategic portfolio management. Hoshin, QbD and DOE were installed for strategic innovation management. Lean and Just-in-time methodologies were installed to help cash-flow and prompt project deliveries. 8D and Kaizen models were executed to turnaround the business.

Result Dashboard:

The CRO was reviewed in just 9 months! Balance sheet showed first signs of positive growth within 5 months of ‘process change’ implementation.
An effective customer relationship management process was introduced which provided repeat business from existing clients.
New clients were added. New contract research projects of over $ 35 million was received.

To learn more about how Shruti can help your organization achieve new heights or to book a Workshop, Contact Dr. Shruti Bhat via Form or WhatsApp

Follow Shruti on Twitter, Facebook, YouTube, LinkedIn

Keywords and Tags:
#ContinuousImprovement #Innovation #BusinessTurnaround #Kaizen #JustinTime #HoshinKanrii #QbD #DOE #Lean

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