As a business owner, you don’t have the luxury to get complacent, even if you feel things are running smoothly. Change is very subtle, and by the time you notice a drop in profits, the cause has spread and is nearing terminal stages. Fortunately, there’s Lean, Six Sigma and Kaizen to the rescue!
Lean: This is a management philosophy that eliminates all waste that comes from unnecessary steps in the production process that do not add value to the final product or service. It increases speed of production by doing so, and decreases production costs.
Six Sigma: Is a methodology that is used to improve the business processes by eliminating variations, what is believed to be causing waste within the processes. This increases quality and customer satisfaction.
The blend of Lean and Six Sigma methodology (Lean Six Sigma) is often used to improve all processes involved in the making of a product or service within a business. This is done by methodically eliminating variation and defects, at the same time increasing flow and satisfying customers by increasing quality and speed of delivery of the product.
Is Perfection Possible?
Perfection is possible if you use Six Sigma methodologies to eliminate variations, increasing flow and quality. You can use Lean tools to eliminate all sorts of waste, which will increase speed of production and cut down production costs which will increase profits. Then after you have perfected the process, assume the continuous improvement mindset as a way of life.
Kaizen is another proven approach, which means continuous improvement that must be incorporated in your arsenal to achieve cost effective perfection. All of the preceding must be supported by Key Performance Indicators (KPI). These are specific metrics you will want to monitor to indicate if you’ve met your goal or how well you’ve done. Depending on the type of business or department, the KPI will vary.