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by John Morgan, Vince Grant, Roger Burghall
Lean Six Sigma Business Transformation For Dummies
Introduction
Introduction
About This Book
Foolish Assumptions
Icons Used In This Book
Beyond the Book
Where to Go From Here
Part I: Getting Started with Lean Six Sigma
Chapter 1: Introducing Lean Six Sigma
Defining Transformation
Introducing the Plan–Do–Check–Act Cycle
Showing the Way with Lean Six Sigma
Identifying the key principles of Lean Six Sigma
Explaining Lean thinking
Linking up with Six Sigma thinking
Accessing the best of both worlds
Improving Existing Processes with DMAIC
Isolating the problem
Working out what’s happening
Understanding why it’s happening
Coming up with an idea
Making sure it’s really sorted
Designing New Processes with DMADV
Defining the design
Getting the measure of the design
Conducting analysis
Developing the design
Making sure the design will work
Recognising DMAIC and DMADV Transition Points
Bringing It All Together
Chapter 2: Introducing Business Transformation
Determining Where You Are Now and Where You Need to Be
Where are you now?
Where are you going?
How will you get there?
Going for a drive
Understanding the Key Principles of Business Transformation
Identifying True North
Following a clear strategic direction
Planning the route
Keeping it simple
Keeping on track
Doing the right things
Doing things right
Dealing with the soft stuff
Looking Out for the Pitfalls
Checking that everyone’s on board
Considering what can go wrong
Taking on too much too soon
Accentuating the positive with negative brainstorming
Creating the Vision
Going backwards – more or less
Locating True North
Answering what’s in it for me?
Spreading the word
Chapter 3: Learning to DRIVE
Introducing DRIVE
Define
Review
Improve
Verify
Establish
Creating the Framework
Building the team
Developing the plan
Communicating effectively
Ensuring clear ownership
Getting the measure
Taking a Mature Approach
Using maturity models
Assessing capability
Deploying the Strategy
Leading the way
Keeping it focused
Focusing on the Customer
Knowing your customers – past, present and future
Valuing your customers
Building Links and Strengthening the Supply Chain
Getting the measure of suppliers
Making the right links
Joining up the thinking
Recognising the Importance of the Soft Stuff
Defining the need
Analysing the gaps
Creating the training plan
Going outside
Enabling Continuous Improvement
Looking at the role of the manager
Assembling the toolkit
Feeling able and being able
Part II: Scoping the LSS Transformation Journey
Chapter 4: Defining Your Transformation Objectives
Identifying Your Need
Spotting longer-term corporate objectives
Working out corporate objectives
Linking with breakthrough objectives
Focusing on the Vital Few Breakthrough Objectives
Looking at who should be involved
Step One: Scoping
Step Two: Grouping
Step Three: Recognising causal interrelationships
Step Four: Selecting your transformation objective
Transformation workstreams
Creating a Transformation Charter
Ensuring it’s a living document
Breaking down the contents
Chapter 5: Assessing Readiness for Transformation
Assuring an Appropriate Business Strategy
Identifying your strategy
Testing and validating your strategy
Working With Your Strategic Plan
Looking at the components of the strategic plan
Reviewing the strategic plan
Defining strategic essentials
Checking Out the Capability Maturity Road Map
Recognising that every organisation is different
Putting together the road map
Chapter 6: Establishing the Transformation Governance System
Leading by Example: Driving the Transformation
Agreeing the role of the transformation board
Separating from operational management
Establishing the Transformation Board Charter
Identifying who else needs to be involved
Establishing the Programme Management Office
Selecting the manager
Assigning authority and responsibility
Tracking and Reviewing Progress
Working out how frequently progress should be reviewed and reported
Choosing programme/project tracking systems
Understanding interdependencies and constraints
Aligning workstreams
Taking Corrective Action
Initiating action
Managing interdependencies
Updating plans
Walking the Talk
Part III: Planning the Transformation Journey
Chapter 7: Understanding Business Breakthroughs and Fundamentals
Avoiding Initiative Overload
Recognising that more is less
Weeding out unnecessary initiatives
Avoiding succumbing to scope creep
Identifying Business Breakthroughs
Distinguishing breakthroughs from daily management
Working out how many breakthroughs you can handle
Determining the Business Fundamentals
Maintaining a routine
Managing the key processes
Establishing Key Performance Indicators
Deciding on the approach
Acknowledging the value of values
Weighing up the balanced scorecard
Looking at management by objectives
Understanding the notion of Hoshin
Chapter 8: Planning for Strategy Deployment
Making Strategy Deployment Happen in Practice
Linking back to strategy
Following the strategy deployment steps
Decomposing and Cascading the Critical Objectives
Targeting your critical objectives
Establishing focus areas
Specifying process improvements
Creating the Strategy Deployment Architecture
Cascading to the point of impact
Creating the strategy deployment roll-out schedule
Playing Catchball
Planning a catchball meeting
Running a catchball meeting
Setting the catchball meeting agenda
Following on from a catchball meeting
Introducing the X Matrix
Identifying the what, how, how much and by when, and who
Looking at the components of the X Matrix
Working out how to use the X Matrix
Establishing process measures
Sorting out the human resources
Chapter 9: Implementing Strategy Deployment
Starting SD Implementation
Developing the X Matrix in further detail
Creating effective action plans
Using speedy tracking charts
Managing Breakthrough Improvements
Getting Back to Business Fundamentals
Keeping a handle on the day-to-day work
Managing for daily improvement
Carrying out standardised work
Sticking to the Plan
Ensuring Effective SD Progress Reviews
Timing SD review meetings
Establishing everyone’s roles
Setting the SD review meeting agenda
Reporting
Driving Results with Countermeasures
Getting the Most from Visual Management
Chapter 10: Establishing a Continuous Improvement Organisational Structure
Setting Up the Structure for Continuous Improvement
Creating Standards while Maintaining Flexibility
Introducing the Continuous Improvement Group
The corporate continuous improvement group
Divisional/regional continuous improvement groups
Understanding the Stakeholders
Business leader
Champion/sponsor
Value stream manager
Functional manager
Lean Six Sigma Black Belts
Lean Six Sigma Green Belts
Part IV: Starting out on the Transformation Journey
Chapter 11: Creating the Right Culture
Culture, What Culture?
Understanding what culture means
Assessing your organisation’s culture
Identifying the leadership culture
Initiating cultural change
Managing a Cultural Transformation
Kotter’s eight steps to cultural change
Lewin’s three phases of change
Utilising a cultural transformation plan
Achieving Stakeholder Buy-in
Acknowledging resistance to change
Dealing with resistance
Developing the Vision for Change
Getting Communication Right
Working out what to communicate and when
Creating a communication plan
Developing Employees’ Skills
Fostering a learning organisation
Assessing learning needs
Role-specific training
Recognising that Change can be Rewarding
Knowing when to reward
Initiating a reward and recognition plan
Giving Power to the People
Facing up to the management challenge
Following the Lean Six Sigma approach
Giving power to teams
Staying focused on the transformation process
Chapter 12: Achieving Everyday Operational Excellence
Deploying Lean Six Sigma Training
Training the belts
Assessing the skills
Setting up certification
Prioritising and Selecting Improvement Opportunities
Rapid improvement events
DMAIC projects
Applying manufacturing process improvements to services
Establishing How You Do Things
Understanding the value stream
Using Kaizen effectively
Achieving results
Keeping the focus
Giving Power to the People
Recognising the challenge management faces
Empowering teams
Maintaining focus on the overall transformation
Part V: Sustaining the Transformation
Chapter 13: Widening the Scope of the Transformation
Looking at Different Organisational Structures
Differentiating between divisional and functional structures
Initiating a value stream organisational structure
Considering the role of Lean Six Sigma programme leadership
Establishing value streams
Managing value streams
Getting Closer to the Customer
Identifying your customers
Improving the customer experience
Deploying to the Supply Chain
Understanding the supply chain
Five guiding principles of Lean supply
Involving suppliers in the transformation journey
Chapter 14: Managing the Capability Maturity Journey
Introducing the Capability Maturity Model
Working through the gears
Examining the elements
Building the Capability Maturity Matrix
Assessing capability maturity
Using effective assessment tools
Going through the assessment process
Developing customised questionnaires
Choosing assessors
Checking out assessors’ skills
Interpreting the outcome
Monitoring the Capability Maturity Journey
Dealing with changes of direction
Constantly updating the route
Part VI: The Part of Tens
Chapter 15: Ten Tips for Smoothing the Transformation Process
Obtain Leadership Ownership
Communicate, Communicate, Communicate
Use Strategy Deployment to Drive Improvement Programmes
Don’t Let Perfect Get in the Way of Better
Recognise and Celebrate Successes
Create a Capability Maturity Roadmap and Regularly Review it
Provide Appropriate Training as it is Needed
Encourage Leaders and Managers to Manage Daily Improvements
Listen to the Voice of Your Customers and Other Stakeholders
Don’t Be Afraid to Make Mistakes, but Do Learn from Them
Chapter 16: Ten Pitfalls to Avoid
Too Much Focus on Short-Term Objectives
Strategies that aren’t Clearly Defined
Not Enough Programme Planning
Making Assumptions about the Needs of Customers and Other Stakeholders
Not Obtaining Process Ownership
Ignoring the Soft Stuff
Assuming that No Response Means No Resistance to Change
Strategic Breakthroughs that aren’t Really Breakthroughs
Not Organising Monthly Strategy Deployment Reviews
Lack of Trained Lean Six Sigma Practitioners
Chapter 17: Ten Places to Go for Help
Your Colleagues
Other Organisations
The Internet
Social Media
Networks and Associations
Conferences
Books and Publications
Periodicals
Software
Statistical analysis
Deployment management
Training and Consultancy Companies
About the Authors
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