Lean Six Sigma In 8 Minutes | What Is Lean Six Sigma? | Lean Six Sigma Explained | Simplilearn

Summary

The script introduces Lean Six Sigma as a comprehensive solution to waste management and supply chain inefficiencies in a supermarket setting. It explains the Lean methodology's focus on eliminating waste and enhancing customer value, identifying eight types of waste. It then explores Six Sigma's DMAIC process for continuous improvement, using a milk delivery case to illustrate its effectiveness. The benefits of Lean Six Sigma, such as increased profits, standardized processes, and customer value, are highlighted, concluding with an interactive quiz to engage viewers.

Takeaways

• 🛒 Lean Six Sigma combines the principles of both Lean and Six Sigma to address waste and improve processes.
• 🚚 Lean focuses on providing value to customers by eliminating waste, continuous improvement, and reducing cycle time.
• 🗑️ Waste in a process is any step or action that a user does not gain value from, such as unnecessary transportation or inventory.
• 🔍 The eight categories of waste include transportation, inventory, motion, waiting, over-production, over-processing, defects, and skills.
• 🚀 JIT, 5S, and Kanban are methodologies used to implement Lean principles and optimize waste production.
• 🔧 Six Sigma uses DMAIC (Define, Measure, Analyze, Improve, Control) to improve existing products and processes.
• 📈 DMAIC helps in defining goals, measuring current performance, analyzing defects, improving processes, and controlling future performance.
• ⏱️ By applying DMAIC, the supermarket supply chain can be improved to reduce delivery times and enhance customer satisfaction.
• 💹 Lean Six Sigma benefits businesses by increasing profits, simplifying processes, reducing errors, developing employees, and providing value to customers.
• 🏆 The quiz question at the end of the script is designed to engage viewers and test their understanding of the concept of waste in Lean methodology.

Q & A

What are the two main issues the supermarket manager needs to address?

The two main issues are handling the different kinds of waste encountered at the supermarket and addressing supply chain issues that are causing delays in the morning delivery of milk.

What are the two quality management methodologies mentioned in the script?

The two quality management methodologies mentioned are Lean and Six Sigma.

What does Lean methodology focus on?

Lean methodology focuses on providing value to the customer, eliminating waste, continuous improvement, and reducing cycle time.

What is considered waste in the context of Lean methodology?

Waste is any step or action in the process that a user does not gain any value from, essentially things that users wouldn't want to pay for.

How many categories of waste are there in the Lean methodology?

There are eight categories of waste in the Lean methodology.

What is the JIT methodology in the context of Lean?

JIT, or Just In Time, is a methodology that focuses on reducing the amount of time the production system takes to provide an output and the response time from suppliers to customers.

What does the acronym DMAIC stand for in Six Sigma?

DMAIC stands for Define, Measure, Analyze, Improve, and Control.

What is the purpose of the Define phase in the DMAIC methodology?

In the Define phase, the goals of the project are determined, such as reducing the time taken to deliver milk to the supermarket.

How does the Six Sigma methodology help improve the supermarket supply chain efficiency?

Six Sigma uses a set of tools and techniques, such as DMAIC, for process improvement and removing defects, helping to optimize and streamline the supply chain process.

What are some benefits of implementing Lean Six Sigma methodology in a business?

Benefits include increased profits, standardized and simplified processes, reduced errors, employee development, and added value to customers.

What is the quiz question asked at the end of the script?

The quiz question is: Which type of waste refers to the time and effort wasted due to the necessary movement of people, equipment, or machinery?

What is the correct answer to the quiz question?

The correct answer to the quiz question is D. Motion.

Outlines

00:00

🛒 Introduction to Lean Six Sigma and Waste Management

The script introduces the viewer to the challenges faced by a supermarket chain manager, focusing on waste management and supply chain issues, particularly milk delivery delays. It proposes the integration of Lean and Six Sigma methodologies to address these problems. Lean focuses on value provision, waste elimination, and continuous improvement, while Six Sigma is known for process improvement and defect removal. The script delves into the concept of waste, which includes eight categories such as transportation, inventory, motion, waiting, over-production, over-processing, defects, and underutilized skills. It also mentions popular lean methodologies like JIT, 5S, and Kanban, which help optimize processes and reduce waste.

05:01

🚚 Improving Supply Chain Efficiency with Six Sigma DMAIC

This paragraph discusses the second issue of improving the supermarket's supply chain efficiency using the Six Sigma DMAIC methodology. The goal is to reduce the milk delivery time to ensure it reaches the shelves before 8:30 AM. The script outlines the steps of the DMAIC process: Define, Measure, Analyze, Improve, and Control. It provides an example of analyzing different delivery routes and identifying the root cause of delays. The improvement phase involves adjusting the milk pickup time and route to save time, while the control phase focuses on monitoring and continuous improvement. The benefits of Lean Six Sigma, such as increased profits, standardized processes, reduced errors, employee development, and value to customers, are highlighted. The script concludes with a quiz question about the type of waste related to motion and an invitation to engage with the SimplyLearn channel.

Keywords

💡Lean

Lean is a methodology that focuses on providing value to the customer by eliminating waste and continuously improving processes to reduce cycle time. In the context of the video, Lean is used to address the issue of waste in the supermarket, such as unnecessary transportation and overproduction. The video mentions that waste is any step or action in the process that a user does not gain value from, and Lean aims to eliminate such wasteful activities.

💡Six Sigma

Six Sigma is a set of tools and techniques used for process improvement and removing defects. It is known for its DMAIC methodology (Define, Measure, Analyze, Improve, Control) which is used to enhance existing processes to meet customer requirements. In the video, Six Sigma is highlighted as a solution for supply chain issues, particularly in improving the milk delivery process to ensure timely stocking of shelves.

💡Waste

Waste, in the context of Lean methodology, refers to any step or action in a process that does not add value for the customer. The video outlines eight types of waste, including transportation, inventory, motion, waiting, overproduction, overprocessing, defects, and skills. Understanding and eliminating these wastes is crucial for improving efficiency and customer satisfaction in a supermarket setting.

💡DMAIC

DMAIC is an acronym for Define, Measure, Analyze, Improve, and Control, which is a structured approach within Six Sigma used for improving existing processes. The video uses the example of milk delivery to illustrate how DMAIC can be applied to identify and solve problems in the supply chain, ultimately leading to more efficient and timely milk deliveries.

💡Just In Time (JIT)

JIT, or Just In Time, is a Lean methodology that focuses on reducing the amount of time the production system takes to provide an output and the response time from suppliers to customers. The video mentions JIT as one of the systems that can help identify and handle waste, particularly by ensuring that products are delivered just as they are needed, reducing the need for excess inventory.

💡5S

5S is a methodology that emphasizes cleanliness and organization to improve efficiency and profits. It involves sorting, setting in order, shining, standardizing, and sustaining. The video mentions 5S as a way to enhance the supermarket's operations by maintaining an organized and clean environment, which can contribute to reducing waste and improving overall workflow.

💡Kanban

Kanban is a visual method for managing tasks and workflows, often used in Lean methodologies. It helps users visualize the workflow to identify issues and fix them. In the video, Kanban is presented as a tool that can optimize waste production by providing a clear overview of processes and allowing for continuous improvement.

💡Continuous Improvement

Continuous improvement is a core concept in both Lean and Six Sigma methodologies, emphasizing the ongoing process of enhancing products, services, and processes. The video discusses how both methodologies aim to continuously improve operations, such as reducing waste and improving the milk delivery process, to meet and exceed customer expectations.

💡Customer Satisfaction

Customer satisfaction is a key outcome of successfully implementing Lean and Six Sigma methodologies. By eliminating waste and improving processes, supermarkets can ensure that they are providing value to their customers, as exemplified in the video by addressing the issue of milk delivery delays and enhancing the shopping experience.

💡Supply Chain Efficiency

Supply chain efficiency refers to the effectiveness and speed with which a product moves from the supplier to the end customer. The video highlights the importance of supply chain efficiency in the context of a supermarket, particularly in ensuring timely delivery of milk to meet customer needs and maintain high standards of service.

💡Lean Six Sigma

Lean Six Sigma is a methodology that combines the principles of both Lean and Six Sigma, aiming to eliminate waste and improve processes. The video introduces Lean Six Sigma as a comprehensive solution to the supermarket's waste and supply chain issues, demonstrating how it can lead to increased profits, standardized processes, reduced errors, employee development, and value to customers.

Highlights

The introduction of Lean Six Sigma as a methodology combining the concepts of both Lean and Six Sigma to address waste and process improvement.

Lean's focus on providing value to the customer, eliminating waste, continuous improvement, and reducing cycle time.

Definition of waste as any step or action in the process that a user does not gain value from.

Eight categories of waste identified in a process: transportation, inventory, motion, waiting, over-production, over-processing, defects, and skills.

Just-in-Time (JIT), 5S, and Kanban as popular and effective methodologies for identifying and handling waste.

JIT's focus on reducing production system response time and supplier to customer delivery time.

5S methodology emphasizing cleanliness and organization to improve profits and efficiency.

Kanban as a visual method to manage tasks and workflows, helping to identify and fix process issues.

Six Sigma's set of tools and techniques for process improvement and defect removal.

Explanation of DMAIC (Define, Measure, Analyze, Improve, Control) as the Six Sigma methodology used for improving existing products and processes.

The Define phase of DMAIC to set project goals, such as reducing milk delivery time to the supermarket.

The Measure phase to assess the performance of the current process, identifying different delivery routes and their times.

The Analyze phase to understand why defects exist, such as traffic affecting delivery routes.

The Improve phase to address and eliminate root causes, like changing the milk pickup time and route.

The Control phase for regular adjustments and monitoring to ensure ongoing process improvement.

Benefits of Lean Six Sigma including increased profits, standardized processes, reduced errors, employee development, and value to customers.

A quiz question at the end to engage viewers and test their understanding of the types of waste discussed.

An invitation for viewers to like, subscribe, and stay updated with SimplyLearn for more content on trending technologies.

Transcripts

imagine you're the manager of a

supermarket chain

you've noticed that two things need your

immediate attention

the first issue is how to handle the

different kinds of waste that you

encounter at your supermarket

the next one requires you to address the

supply chain issues at the supermarket

which are causing delays to the morning

delivery of milk

leading to customer dissatisfaction and

attrition

these problems can be solved by

incorporating two of the most popular

quality management methodologies in the

world

lean and six sigma

one famous for its ability to handle

waste and another known for process

improvement

but what if there was a methodology that

combined the concepts of both six sigma

and lean

one that could solve all your issues

well there is

lean six sigma

before we dive into lean six sigma let's

take a closer look at its parent

methodologies

first off lean is a methodology that

focuses on

providing value to the customer

eliminating waste

continuous improvement

reducing cycle time lean and six sigma

both aim to handle waste

but what is this waste

waste is any step or action in the

process that a user does not gain any

value from in short things that users

wouldn't want to pay for

why would a consumer want to pay extra

for the additional truck that was

required to deliver milk to the

supermarket just because the other one

broke down

this waste can be divided into eight

categories let's have a look at each of

them

one transportation this waste refers to

the excess movement of people tools

inventory equipment and other components

of a process than it is required

two inventory this waste occurs due to

having more products and materials than

required

this can cause damage and defects to

products or materials greater time for

completion inefficient allocation of

capital and so on

three motion

this refers to the time and effort

wasted due to unnecessary movement of

people equipment or machinery

this could be sitting through inventory

double data entry and so on

4. waiting

this can be time-wasted waiting on

information instructions materials or

equipment

5. over-production

this is the waste created due to

producing more products than required

six over processing

it refers to more work more components

or more steps in a product or service

than required

seven defects

this is the waste originating from a

product or service that fails to meet

customer expectations

8. skills

this waste refers to the waste of human

potential under utilizing capabilities

and delegating tasks to people with

inadequate training

for years now many systems have emerged

that use the lean methodology to

identify and handle the different kinds

of waste

some of the more popular and effective

ones are

jit or just in time

5s and kanban

the jit methodology focuses on reducing

the amount of time the production system

takes to provide an output

and the response time from suppliers to

customers

5s is another methodology that focuses

on cleanliness in organization while

improving profits and efficiency

kanban is also another popular

methodology to achieve lean

it is a visual method to manage tasks

and workflows

kanban enables users visualize the

workflow to identify issues in the

process and fix them

these methodologies help in optimizing

the waste production

and are often used together to maximize

results

so that's the first problem solved now

let's have a look at how you can improve

the supermarket supply chain efficiency

for that let's have a look at the other

part of lean six sigma

six sigma

six sigma is a set of tools and

techniques that are used for process

improvement and removing defects

let's see how six sigma makes that

possible

six sigma has two major methodologies

dmaic and dmadv

you can learn more about these two

methodologies by checking out our six

sigma in nine minutes video by clicking

on the top right corner

let's have a closer look at dmaic since

lean six sigma uses the dmaic

methodology of six sigma

dmaic is an acronym for define

measure analyze improve control

it is used to improve existing products

and processes so that it can meet the

customer's requirements

in the define phase you determine what

the goals of the project are

in this case you want to reduce the

amount of time taken to deliver milk

from the warehouse to the supermarket so

that it is stocked on the supermarket

shelves before 8 30 in the morning

in the measure phase you measure the

performance of the current unaltered

process

the milk truck leaves at 7 30 a.m in the

morning and can take one of three routes

a b and c

route a is currently the preferred one

as it takes only 60 minutes to reach the

supermarket compared to the routes b and

c which takes 70 and 80 minutes

respectively

in the analyze phase you find out why

the defects exist

since routes b and c were school bus

routes by reducing the starting time by

1 hour at 6 30 instead of 7 30 meant

avoiding the traffic routes b and c now

take 40 to 45 minutes to reach the

supermarket route a still takes the milk

truck one hour to get to the supermarket

even when the truck leaves at 6 30 a.m

in the improved phase performance can be

improved by addressing and eliminating

the root causes

now that you've realized that advancing

the milk pickup by an hour and changing

the route to route b can save time you

change the process accordingly providing

your workers with ample time to stock

the milk into the shelves before the

morning rush

and finally in the control phase you

make regular adjustments to control new

processes and future performance

you continue to monitor the delivery

times and try out alternate routes to

continually improve the process and

ensure even faster delivery

this process change led to reduced man

hours and cost enhanced sales and

customer retention

the lean six sigma methodology offers

many such benefits to businesses let's

take a look at some of them

one increase in profits

two standardized and simplified process

three

reduced errors

four employee development 5 value to

customers

and that is lean six sigma for you

now before we're done we've got a quiz

for you

which type of waste refers to the time

and effort wasted due to the necessary

movement of people equipment or

machinery

a inventory

b

waiting

c overproduction

d

motion

leave your answers in the comments

section below for a chance to be one of

three people to win an amazon gift

voucher

we hope you found this informative and

helpful

if you enjoyed this video a thumbs up

would be really appreciated don't forget

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update on the latest trending

technologies

thank you for watching and stay tuned

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