How Does Lean Six Sigma Transform Businesses to the Core? Due to its excellent financial impact and levels of customer satisfaction, Lean Six Sigma (LSS) has gained much attention in the business world. Before we understand how your business can be transformed by implementing Lean Six Sigma approaches, it is better to understand “Lean” and “Six Sigma” approach first. What is “Lean” and “Six Sigma”? Lean is a methodology that is used in many organizations to increase the velocity and reduce the cost of any process by removing waste. Six-Sigma is a data-driven approach that is used for eliminating defects in any business process. From Lean & Six Sigma to Lean Six Sigma LSS is the integration of two powerful business improvement approaches-Lean and Six Sigma. It is implemented by many organizations to achieve Waste Reduction (Lean) and Quality (Six Sigma). Benefits of LSS implementation Maximize invested capital Customer loyalty and retention Shorter customer fulfillment lead times Improved quality Lower costs Improved capacity utilization > Other Key Benefits of Lean Six Sigma You should pick the benefits that are most appropriate and use them in your organization. Standardization Benefits All projects would run in a standardized manner, if you implement Lean Six Sigmain your organization. Strategic Benefits
Companies that have deployed Lean Six Sigma get many benefits of strategic nature in their organization. Trained green or black belt professionals of these companies effectively complete projects that are of strategic importance.
Competitive Advantage An organization can get many benefits in a short amount of time by implementing LSS and obtaining a Green Belt certification. Green and Black belt professionals will be able to improve the performance of your organization that will help you to outsmart your competitors. Customer Benefits By optimizing different areas of the production process, the green and black belt professionals will enable your organization to achieve top-level customer service. The LSS will help you achieve maximum client satisfaction, by increasing the efficiency of the business processes and quality of output. People Development Benefits
People who are trained as green and black belt provide many benefits for their organization. Due to lean six sigma training, they obtain an outstanding amount of self-confidence. They suggest new ideas and solve problems in their organization. Organization can implement change, develop and grow using their new innovative ideas. Financial Benefits Financial benefits of LSS are well documented. Organizations, on an average can save around $60000 on each project after implementing LSS. On an average, a green or black belt professional completes more than three projects within a year. A black or green belt professional could save around $160k on an average for an organization. Allied Signal has saved around $800 million, since its inception in the 1995 with the implementation of LSS in their organization. General Electric (GE) saved more than $2 million with the implementation of LSS in their organization. US army is estimated to save around $2 billion with LSS implementation. > Six Sigma Professionals and Their Classification Master Black Belt Trained Master Black Belt professionals form an integral part of the organization. They train, strategize, coach and take up training responsibility of the organization. Black Belt Trained black belt professionals are at an advanced level in terms of knowledge gained. They take up project manager and leadership role. Green Belt Green belt professionals form a vital part of a six sigma project team. They implement process improvement techniques in an organization. Yellow Belt Knowledgeable yellow belt professionals contribute a lot to six sigma projects and management activities. White Belt Trained white belt professionals have a deep understanding of the language and overall application used in process improvement in an organization.