《Lean Sixsigma and Operational Excellece00》由会员分享，可在线阅读，更多相关《Lean Sixsigma and Operational Excellece00（24页珍藏版）》请在金锄头文库上搜索。
1、Six Sigma and the Operations Transformation InitiativeDISCUSSION TOPICSBackground behind the effortPerspectives on Six SigmaNew thinking on operations transformationOpportunities and next steps1CONTEXTBuild Six Sigma / Operations transformation engine service line:Resurrect Six SigmaTake Six Sigma t
2、o the next levelGreenfield transformation programsCurrent effortsInitial project approach2-month effortInterview-intensiveCompanies with Six Sigma programsBoutique consulting firmInternal Firm experts on Six Sigma and leanOutside-in financial analysisWhat is Six Sigma?How has it been applied at comp
3、anies?How is the Six Sigma consulting landscape structured?What are the implications for the Firm?In-going questions2DISCUSSION TOPICSBackground behind the effortPerspectives on Six SigmaDefinitionApplication at companiesConsulting landscapeNew thinking on operations transformationOpportunities and
4、next steps3THE STATISTICAL ORIGINS OF “SIX SIGMA”A higher Sigma means less variation and a smaller probability of defectsBeforeAfterTargetCustomer specs2, i.e., 30.85% will fall outside customer specs6, i.e., only 0.003% will fall outside customer specs4B. Universal metric based on reduction of vari
5、ance for critical to quality (CTQs) metricsControl charting/statistical process control (SPC)Hypothesis testingPareto chartsBrainstormingProcess mappingRoot-cause problem solvingDesign of experimentVoice of the customerEtc.Master Black Belts(full time)Responsible for lasting resultsSupport project s
6、election, training/coaching of black belts, and reporting progressBlack Belts(full time)Lead improvement projects through DMAIC cycleReceive 4 weeks of up-front trainingGreen Belts(part time)Provide black belts with support to get projects doneReceive less intensive training2. Problem solving toolbo
7、x3. Dedicated and certified resourcesA TYPICAL SIX SIGMA PROGRAM CONSISTS OF 3 CORE ELEMENTSDefine the problemMeasure the problemDefineMeasureAnalyzeImproveControl Analyze and identify gapIdentify and imple-ment solutionsTrack and review progressDMAICA. Standardized, disciplined problem solving appr
8、oach 1. Structured improvement methodology5SIX SIGMA HAS EVOLVED SIGNIFICANTLY IN ITS 15-YEAR HISTORY DescriptionQuality-focused program using rigorous statistical analyses to reduce variabilityDescriptionImprovement program focused on driving operational and financial excellenceDescriptionCorporate
9、 transformation program focused on development of business leaders as well as near-term financial impactDescriptionContinuous improvement program developed to address the major business issues from cost reductions to growthEra 1:Focused on qualityMotorola (1987)Era 2: Linked to financial performance
10、Allied Signal (1994)Era 3:Integrated into performance improvement agendaGeneral Electric (1996)Era 4: Applied to broader business issuesBombardier (2002)Source:Pande, Neuman and Cavanaugh, “The Six Sigma Way: How GE, Motorola, and Other Top Companies are Honing Their Performance;” interviews6McKinse
11、y clients with Six Sigma programsOther McKinsey clients1 IN 3 McKINSEY CLIENTS IN THE FORTUNE 100 ARE SIX SIGMA COMPANIES * Companies which are testing Six Sigma (e.g., Target, Verizon), have rolled out Six Sigma in limited business units or functions (e.g., International Paper), or have not yet mad
12、e official announcements about their Six Sigma programs (e.g., Allstate, GM)Source: Team analysisAmerican ExpressBank of America CitigroupConocoDelphi AutomotiveDow ChemicalDuPontFord MotorGeneral ElectricHome DepotHoneywell IBMJP Morgan ChaseList of clients with Six Sigma programsMcKinsey clients w
13、ithin Fortune 100(30%)*(70%)*Johnson & JohnsonLockheed MartinMcKesson HBOCMerrill LynchMicrosoftMotorolaSears RoebuckAllstateGeneral MotorsInternational PaperTargetVerizon7WHY CEOs HAVE EMBRACED SIX SIGMAInitial attraction for CEOs with no experience with Six SigmaPerceived as low risk Highly-public
14、ized success stories Straightforward approach Language is not intimidating to executives with nonoperational backgroundsProgram is recognized and respected by Wall StreetDelivers financial impactPress and fellow CEOs have built a perception of financial gains from Six Sigma implementation“Easy-win”
15、projects create quick return on investmentRecognition of “softer” benefits by CEOs with Six Sigma experience Builds capabilities throughout the organization“Off-the-shelf” training programsDedication and certification of Six Sigma experts (e.g., black belts) allows companies to develop future leader
16、s and identify and recruit external talent“Learn-by-doing” approach ensures sustainabilityAssists in creation of performance-driven cultureQuantifiable baselines and standardized tracking tools create accountabilityTight linkage of metrics from senior level to front-lineIncreases focus on customerId
17、entification of important criteria to customers and measurement critical to Six Sigma methodologyEmphasis on both internal and external customer8SUCCESSFUL SIX SIGMA PROGRAMS ARE MULTIYEAR EFFORTSTypical timing0-3 months3-18 months2+ yearsKey activitiesDevelop senior-level support and fluencyDesign
18、program architecture to focus on key business issuesEnsure basic corporate programs are in place to support Six SigmaDesign and staff central program officeSelect dedicated people (e.g., black belts) and assign projectsTrain MBBs, BBs, GBs, and other roles if applicableDefine, launch, and execute fi
19、rst waves of projects (25+)Visibly promote Six Sigma personnel back into key line positionsCommunication Phase 1Build foundationand architecturePhase 2Capture near-term opportunitiesPhase 3Evolve capabilities and sustain improvement paceAssess readiness“Taking Six Sigma to the next level”“Getting th
20、e basics right”Launch follow-on waves of projectsRevise performance management systems to incorporate key operating metrics and CTQsApply Six Sigma to broader range of business issues by injecting and institutionalizing world-class subject matter expertise9SIX SIGMA IS FREQUENTLY HAILED FOR ITS FINA
21、NCIAL IMPACT . . .“Weve generated an estimated $3.5 billion in savings through Six Sigma and digitization methodologies since 1995” Allied Signal, 1995-2002“The financial returns (from Six Sigma) have now entered the exponential phase more than $750 million in savings beyond our investment in 1998,
22、with $1.5 billion in sight for 1999” GE, 1996-1998“In 2000-01 alone, Bombardier realized $242 million in net cash flow savings directly attributable to Six Sigma projects” Bombardier, 1997-2000“We have documented more than $16 billion in savings as a result of our Six Sigma efforts” Motorola, 1987-2
23、002“In addition to reducing the frustration level of Ford customers, so far Six Sigma has saved Ford $500 million” Ford, 2000-2002“(CEO Sandy) Warner says that Six Sigma helped to save $1.1 billion in 1999, enabling him to spend $700 million to build up an on-line financial service and equity teams
24、in Germany and Japan” JP Morgan, 1998-2001Source: Annual reports; press articles10. . . HOWEVER, SIX SIGMA DOES NOT INDEPENDENTLY GUARANTEE SUPERIOR PERFORMANCE Outperforming peers since launchOperating margin, percent *GEs peer group comprises Tyco, 3M, Siemens, ABB and TextronSource:Compustat; McK
25、insey analysisUnderperforming or downward trend since launchOperating margin, percentAllied Signal/ HoneywellSix Sigma launched 1995CompanyPeer groupGE*Six Sigma launched 1996BombardierSix Sigma launched 1997LaunchDuPontSix Sigma launched 1999MotorolaSix Sigma launched 1987JP Morgan/JPM ChaseSix Sig
26、ma launched 1998LaunchLaunchLaunchLaunchLaunch11THE SIX SIGMA CONSULTING UNIVERSE CAN BE DIVIDED INTO 4 SEGMENTSLarge corporations with Six Sigma consulting armsGE Medical SystemsGE PlasticsMotorola InstituteOffer Six Sigma services to customers and suppliers in return for additional sales or price
27、breaksLeverage internal Six Sigma experience Large consulting firms with Six Sigma service linesPWCCAP GeminiIntroduce Six Sigma to existing audit or systems clients Integrate Six Sigma into process redesignsBoutique consulting firms offering Six Sigma servicesRath & StrongSix Sigma AcademyProvide s
28、tructured training programsSome do program design, as wellIndependent contractorsHundreds of individuals ProfessorsConduct training at department level or belowIndividuals are typically former GE black beltsLow cost ($2,000-5,000 per employee trained)Source: International Society of Six Sigma Profes
29、sionals; interviewsCategoryExamplesTypical approach / value to clientMost significant players12DISCUSSION TOPICSBackground behind the effortPerspectives on Six SigmaNew thinking on operations transformationOpportunities and next steps13Solution driversSolution drivers deliver near-term, bottom-line
30、deliver near-term, bottom-line impact through series of projectsimpact through series of projectsDeep subject matter expertise, e.g, Deep subject matter expertise, e.g, Lean manufacturingPlatformingSupply managementPricingService operationsOthersProblem solving approaches and toolsProblem solving ap
31、proaches and toolsStructured approach used consistently across the organizationData drivenComprehensive from issue identification to implementationPortfolio of general problem solving toolsStatistical process controlProcess reengineeringOthersCURRENT VIEW ON ELEMENTS OF SUCCESSFUL OPERATIONS TRANSFO
32、RMATIONOrganizational enablersOrganizational enablersClear articulation of goalsVisible, sustained involvementSenior team alignmentMetrics tied closely to financials and key operationsCascaded to front lineRigorous consequencesTraining and talent management at all levelsTrue understanding and buy-in
33、 to change particularly at front lineLeadershipPerformance managementTalent/skill developmentTransformation engineTransformation engine support and sustain support and sustain solutions over timesolutions over timeImprovement infrastructureImprovement infrastructureProgramdesignDedicated resourcesPr
34、ogram supportRoad map for the initiativeProject prioritizationSmall central coordinating staffSelection of best to staff initiativeClear career path to line rolesSpecialized trainingProject management capabilitiesTracking and reporting of metricsKnowledge sharing14Solution drivers Solution drivers D
35、eep subject matter Deep subject matter expertiseexpertiseProblem solving Problem solving approaches and toolsapproaches and toolsStructured approach Portfolio of toolsA WELL-EXECUTED SIX SIGMA PROGRAM ADDRESSES MOST ELEMENTS . . . Organizational Organizational enablersenablersLeadershipPerformance m
36、anagementTalent/skill developmentTransformation Transformation engine engine Improvement Improvement infrastructureinfrastructureProgramdesignDedicated resourcesProgram supportLean manufacturingPlatformingSupply managementPricingService operationsOthersClear project selection guidelinesExcellent tra
37、ining and development program for high-caliber Black BeltsEmphasis on capturing and sustaining savingsClear roles and expectations for senior executivesProject metrics tied closely to financials/CTQsNew language instills rigor in day-to-day problem solvingWell-structured problem solving processesVer
38、satile toolkit with emphasis on data-driven analysis15. . . THOUGH A FEW GAPS CONSISTENTLY ARISE IN EVEN THE BEST PROGRAMSSolution drivers Solution drivers Deep subject matter Deep subject matter expertiseexpertiseProblem solving Problem solving approaches and toolsapproaches and toolsStructured app
39、roach Portfolio of toolsOrganizational Organizational enablersenablersLeadershipPerformance managementTalent/skill developmentTransformation Transformation engineengineImprovement Improvement infrastructureinfrastructureProgramdesignDedicated resourcesProgram supportLean manufacturingPlatformingSupp
40、ly managementPricingService operationsOthersFocus on dis-crete projects can distract leaders from evaluating and improving broader business processes and performance systemsGeneral problem solving toolkit lacks prescriptive recommen-dations on specific topics“ “Six Sigma Six Sigma always results alw
41、ays results in an answer, in an answer, but not always but not always the best the best answer”answer” Black Belt Black Belt“ “We were so We were so focused on the focused on the quick wins, we quick wins, we never stepped back never stepped back to ensure that we to ensure that we were fundamentall
42、y were fundamentally improving our improving our business”business” LOB president LOB president16Solution drivers Solution drivers Deep subject matter Deep subject matter expertiseexpertiseProblem solving Problem solving approaches and toolsapproaches and toolsStructured approach Portfolio of toolsI
43、N COMPARISON, LEAN HAS A DIFFERENT SET OF STRENGTHS Organizational Organizational enablersenablersLeadershipPerformance managementTalent/skill developmentTransformation Transformation engineengineImprovement Improvement infrastructureinfrastructureProgramdesignDedicated resourcesProgram supportLean
44、manufacturingPlatformingSupply managementPricingService operationsOthersEmphasis on systems/core operationsHigh aspirations ideal statePrescriptive policy deployment approachEmphasis on front-line capability buildingStructured tools to support problem-solvingDeep expertisePrescriptive recommenda-tio
45、ns in operations areas (e.g., inventory management17. . . AND WEAKNESSESSolution drivers Solution drivers Deep subject matter Deep subject matter expertiseexpertiseProblem solving Problem solving approaches and toolsapproaches and toolsStructured approach Portfolio of toolsOrganizational Organizatio
46、nal enablersenablersLeadershipPerformance managementTalent/skill developmentTransformation Transformation engineengineImprovement Improvement infrastructureinfrastructureProgramdesignDedicated resourcesProgram supportLean manufacturingPlatformingSupply managementPricingService operationsOthersCan be
47、 intimidating to executivesKnowledge gaps outside operationsLong apprenticeshipNot prescriptive on program, structure/infrastructure18IMPLICATIONSLean and Six Sigma can be complementaryBoth programs can help a company transform its operationsBoth have gaps We have a unique opportunity to help compan
48、ies tailor an approach that fits their needs likely through a combination of several programs19DISCUSSION TOPICSBackground behind the effortPerspectives on Six SigmaNew thinking on operations transformationOpportunities and next steps20SEVERAL OPPORTUNITIES TO SERVE CLIENTSResurrect Six Resurrect Si
49、x SigmaSigmaDiagnose and reset basic requirements for Six Sigma programTake Six Sigma Take Six Sigma to the next levelto the next levelIncorporate subject-matter expertise (e.g., lean, pricing, sourcing) into a successful Six Sigma programLaunch a green-Launch a green-field operations field operatio
50、ns transformation transformation programprogramDescribe potential approaches Help senior leadership craft and roll out best program for the companyRecent client discussions21NEXT STEPS TO BUILD THE INITIATIVEKnowledge Knowledge buildingbuildingCodify basic beliefs and approach for the transformation
51、 engine Develop approach to integrate our subject-matter expertise with Six Sigma methodology (e.g., lean, sourcing, pricing)Lay-out “best practice” greenfield operations transformation approachPeoplePeopleRecruit core team Develop broader affiliated group Launch internal Six Sigma training program
52、Client serviceClient serviceAspirations for the next 6 monthsHelp 1-2 clients recharge existing Six Sigma programsWork with 1-2 Six Sigma companies to inject functional expertiseSupport one large greenfield transformation Syndicate perspectives and build fluency on topic with sector / FCG leadersPublish perspectives in Quarterly, other CommunicationsCommunications22CURRENT LEADERSHIP TEAMFelix Brueck (CL)Maia Hansen (CL)Celia Huber (PT)Stefan Knupfer (DT)Robert Lewis (CL)Jeff Long (LA)Fredric Ramioulle (DT)Tony Simone (MIA)23
