Archive for DMAIC
Lean or Six Sigma which fork in the road do you take?
Posted by: | CommentsPeople will see my comments floating around the Internet on the subject of Lean Six Sigma. I am not an expert and probably take too much liberty in the application of them to even proceed but it was important to me to basically post my view.
There will always be a strong debate between Lean and Six Sigma people about using the 2 terms jointly. I am not positive of the lineage of it but I believe Michael George at the time of the George Group (later to be Accenture) coined the term. I assume he viewed the two methodologies as compatible and more effective in conjunction with each other versus separately. I am not even sure that many (Case in point being that many of today’s “Lean” consultants were trained as Lean Six Sigma Black Belts) disagreed at the time except for the very traditional Lean stalwarts.
Dr. Mikel Harry, credited as one of the founders of Six Sigma states that Six Sigma is not a culture and was developed as a quality tool to gain breakthrough performance for an organization. I adhere to that statement and think Six Sigma offers great opportunities for an organization and provides a very precise and workable structure in achieving this. I am not against the hierarchy of belts and the formalities of DMAIC, DFSS, etc. Many organizations need this type of structure to be successful. I am avid defender of Six Sigma in the Lean circles many times to the chagrin of others.
Lean was developed by the MIT group under Dr. James Womack from a study of automotive companies and more specifically the Toyota Production System. Its approach is based on continuous improvement with a direct correlation to PDCA and Dr. Deming’s philosophies. Lean made its first inroads in many companies and gains in popularities (IMHO) because of the ease of entry into the methodology. Removing waste and improving flow was Lean’s mantra in the 90’s and the tools of 5s and Value Stream Mapping soared in popularity. However, as Lean continued developing tools of A3, Hoshin and Standard Work became common place. But even more so, the culture of PDCA and the spirit of Kaizen started to take hold.
Six Sigma was the methodology of choice for many manufacturers as a result of the significant strides that GE and Motorola had made. Later, Lean seemed to gain and Six Sigma wane in popularity. Lean became the path to a customer as an enabler of some quick wins. You could then take the deep dive with Six Sigma when you wanted to get “serious”. As Lean continued to steamroll and Six Sigma still continued with somewhat lackluster performance many organizations and consultants dropped the attachment to Six Sigma and became “Lean”. Popularity does create a crowd. This may not be an entirely accurate description but it serves as a basis for my views and the following comments.
What makes Lean Six Sigma work? When you first start using any methodology, you are typically introduced through the tools. Using Lean initially versus Six Sigma makes perfect sense, it is an easier introduction. And why reduce variability on non-value activities? But sooner or later you get to the fork in the road. One path says Six Sigma and the other path is this thing they call culture (Lean). So do you want to take the deep dive with a breakthrough structured approach (still has a steep incline) or do you want to try and instill a culture of empowerment. There is not a right or wrong answer. You can take either. Where I disagree, is that you can take both.
Six Sigma has always been about structure and tools. It is very, very good and does an outstanding job when applied properly. In Six Sigma thinking, you can use Lean tools initially and get to 95%. To finish the job, you use Six Sigma. And as a result, Lean Six Sigma was developed. If your organization grew out of the Motorola and G.E. world it seems like a perfect fit.
If you adopt the Lean mentality and the spirit of Kaizen (continuous improvement is not an event) you become immersed in the culture of Lean, as Dr. Balle wonderfully described in the Zen Story about the mountain. Summed up in the blog post: Lean Tools and Culture as it Relates to Zen
Have you ever played yourself in a game? On a basketball court or even a simple game of checkers, sooner or later you have to pick a side to win. It is inevitable. This is the ultimate wedge between the two methodologies and can simply be stated. Six Sigma is a structured methodology and Lean is a cultural driven learn by doing approach. That is not to say that Six Sigma does not have its prototyping options and that Lean is not without statistical control (it did evolve from Deming). But it is saying that they are both on two completely different paths that you must choose between.
If you take the path of and see Lean as Lean, Six Sigma does not make sense and is not a compatible technology. There is a significant culture difference and approach. If you take the path of Six Sigma, you view Lean as only a set of tools nothing more and why not, Lean has a great toolbox. If you take the path of Lean you still can be just as efficient and just as effective as Six Sigma, you just do it differently.
I make no qualms about stating that I believe and follow a Lean philosophy. Lean works in my world much better. PDCA which is basically form a hypothesis, test it and adjust is what sales and marketing is all about.
I support the idea of Lean Six Sigma without hesitation. What I have trouble understanding is how you can be philosophically aligned in Lean thinking and practice Six Sigma. So I believe you must ask yourself; Which fork in the road do you take?
Related Information:
Profound knowledge for Lean Marketing
Lean Sales and Marketing Cycles are Knowledge Building Tactics
Lean is not a revolution, Lean is solve one thing and prove one thing!
Continuous Improvement Sales and Marketing Toolset
The Marketing Funnel using Six Sigma – Control Stage
Posted by: | CommentsThe first 4-steps of the DMAIC process answered the questions: What is important, how are we doing, what is wrong and what needs to be done? We also considered the marketing funnel stages of Awareness, consider, prefer and evaluate. The fifth stage of the process in DMAIC is Control and in the Marketing funnel it is the commit or buy stage. This is where in Six Sigma we document the process and standardize meeting critical to quality (CTQ) issues.
This step involves taking the improvements and implementing them. We will document standard operating procedures, create are process control plans, and establish a control process. The one final step is handing off the process or transitioning the process for implementation. It is imperative that we create an operation that is stable, predictable and meets the customer requirements. This is the implementation supported by documentation and project management to put all the work into practice. Another way of saying this is how we are going to guarantee performance.
In the marketing funnel it comes down to the basic decision to commit or buy the product or service. As I said in my last post, clarity is the number one issue that may prevent you from succeeding if you meet root cause. Customers want consistency. At this stage, you will see price and confidence that you can deliver what you say seemingly becoming the greatest issues. If price was the overwhelming issue, just think of how many times you have lost a job to a better known brand. Why? Security and your lack of ability to address the root cause with unquestionable clarity.
The Control process of Six Sigma can certainly teach us a few things. Creating an operation that delivers a stable and predictable outcome is the purpose of not only the Control stage but the entire DMAIC process. If you have identified predictable measures that the customer can visualize and satisfy the root cause of his problem, you are well on your way of obtaining commitment.
Another stage of Control is handing off of the project for implementation. How many marketing projects are not supported by sales or vice versa? Sales efforts can be undermined especially when the process is does not monitor predictable results. The ability to control this stage of the process may prevent you from caving into unreasonable demands that prospects may place upon you. However, most worries are not about the prospect but in the effort to close sales many organizations will take their eye off the target and take jobs that may or not solve the root problem for the customer. Seldom in that circumstance will you deliver the product or service that the customer is hoping for. It may even be over delivering, which not only is wasted but to the prospect unclear and not evaluated appropriately. Sales will look at this as part of these results and either determines that there is a greater degree of flexibility in the product/service than there is and/or that pricing could be adjusted because the next customer may not need all this. This is not a problem of sales, you have built the platform and handed off a poorly designed control phase. Build a process management plan for implementation and establishing ongoing measure and methods to be used for improvement will facilitate your process.
Related Posts:
The Marketing Funnel using Six Sigma DMAIC Methodology
Most Marketing Systems are Out of Control.
If you control it well, it flows well!
The Marketing Funnel using Six Sigma DMAIC – Improve Stage
Posted by: | CommentsThe first 3-steps of the DMAIC process answered the questions: What is important, how are we doing and what is wrong? We also considered the marketing funnel stages of Awareness, Consider and prefer. The fourth stage of the process in DMAIC is Improve and in the Marketing funnel it is Evaluate or Trust. Now, we get to the stage that we have been waiting, create the solution, validate and optimize the process. Or, in simpler terms, what needs to be done?
After all the hard work of the previous stages, it goes without saying but you must improve on the root cause of the problems not something else. It sounds silly to say, but the people that were good at doing all the detective work in the previous two steps are not necessarily the problem solvers in the organization. Roles may shift and different agendas may creep into this stage. This is important if this shift takes place stay on task and work on the root cause.
All solutions are not equal. Typically, without too much analysis you can weed through them and narrow the good ones down to several ones that address the root cause. The remaining ones should be systematically eliminated or ranked in order of feasibility to include perceived effectiveness, ease of implementation, within budget constraints, and the ability to measure. What good is a solution if it cannot be measured on how effective it is? Another criterion that I recommend is the ability to pilot test. A sampling of your solution can be a very effective way of deciding between two seemingly equal solutions. Especially, if one requires a substantial investment. A solution matrix is a very simple and visual tool for comparison. Several other tools that can be used our Tree Diagrams and Design of Experiments (DOE).
This is also the stage that I develop a future state map using the Value Stream Mapping Tool.
Marketers are just at the stage of get someone to evaluate or try the product. They are thinking download for thirty days, use this sample, and attend this webinar and other ways of evaluation. My thinking is that after you have accomplished the other three stages of the funnel; you are ready to demonstrate that you solve ROOOT CAUSE. Can you? Most jobs are lost at this stage because of a lack of clarity. You solution must be crystal clear and be without a question on how you will solve the prospects’ problem and deliver that solution. It is also imperative that you turn your solution into dollars. What is the ROI you are contributing?
Related Posts:
The Marketing Funnel using Six Sigma DMAIC Methodology
Following the Customer’s Need in Your Value Stream Map
Ever hear of the Term Value Stream Marketing?
