2 similarities and 2 differences between managing most types of projects and Lean Six Sigma projects.

1. Lean Six Sigma and
Project Management
go together
Written by
Francisco Pulgar-Vidal, fkiQuality
fpulgarvidal@fkiquality.com
10/28/2013
152-5 Copyright fkiQualityLLC 2012
1

2. Continuing the
Executive Education Series
Why Lean Six Sigma is better than
‘just doing projects.’
10/28/2013
152-5 Copyright fkiQualityLLC 2012
2

3. Goal of this presentation:
Encourage Lean Six Sigma
practitioners and
project managers
to learn from one another.

4. I aim to achieve this by
presenting
two similarities and
two differences
between both methods.

5. FIRST SIMILARITY:
Lean Six Sigma and
Project Management are
complementary
methods of improvement.

6. The methods of
Lean Six Sigma (LSS) and
project management (PM)
support one another.

7. In fact,
some of the best
LSS practitioners
happen to be
skilled project managers.

8. They are practitioners who
have
blended skills
of problem solving and
project management.

9. In terms of sequence and
timing,
LSS and PM
are
complementary.

10. Operational
Problem
Designed
solution
Implemented
solution
Lean, Six Sigma methods
Project management

11. Even more,
Lean Six Sigma
borrows much from
the discipline of
project management.

12. SECOND SIMILARITY:
Lean Six Sigma
applies many
project management concepts
to be more
effective.

13. LSS projects are structured
in stages, with gates.

14. Lean’s A3 consists of these steps
Background
Current conditions
Goal
Analysis
Recommended countermeasures
How to implement
How to sustain

15. Six Sigma stages give DMAIC
its name, and include
Define
Measure
Analyze
Improve
Control

16. In both cases,
to move from one stage to
the next, teams must
advance their
learning,

17. complete
specific deliverables,

18. and
achieve defined
outcomes.

19. At each stage gate meeting,
called a ‘tollgate,’
the project directing team
decides
what happens next.

20. Like in any well-run program,
LSS projects are launched by
sponsors and
champions.

21. Project sponsors and champions
are responsible for
identifying
meaningful projects.

22. What does it take to launch
projects that
mean something?

23. Meaningful projects
support a strategy,
answer customer needs and
improve core processes.
Strategy
Customer
needs
Core
processes

24. The intersections below are
promising targets for
How do we
improvement.
fulfill our
vision?
What do
customers
want us to
do better?
Which
processes
need
fixing?

25. From these target areas,
project sponsors and champions
identify, select and
prioritize LSS projects.

26. This creates a program plan
made of a
phased sequence
of projects.

27. Balance
strategy,
customer
needs,
core
processes
Define target
areas of
improvement
Sequence
projects of
improvement
Why to change?
What to change?
How to change?

28. Then each project is
chartered and
launched.

29. This sequence is called
hoshin kanri or
strategic planning.

30. LSS projects are led by a
project manager.

31. Simpler LSS projects
are led by a
lean practitioner or
green belt.

32. The lean practitioner or
green belt applies an
intermediate level
of LSS and
project management skills.

33. More complex LSS projects
are led by a
lean master or
black belt.

34. The lean master or
black belt applies a
deep level
of LSS and
project management skills.

35. Regardless of skill level,
the project lead
is not alone
and must be supported by the
organization.

36. Sponsors and
champions,
an experienced
LSS Coach
coach and
a program office
are needed
for success.
LSS
Champion
A
successful
LSS
program
PMO
Project
Managers

37. FIRST DIFFERENCE:
Lean Six Sigma projects
start with problems,
not solutions.

38. Crucially,
while most projects
focus on how to
implement a
solution,

39. … Lean Six Sigma projects
focus on how to
find the solution
to be implemented.

40. Lean Six Sigma has
three major
components,

41. Projectbased
Projectbased
A continuous
function

42. Our focus
today
Projectbased

43. So, Lean and Six Sigma projects
are efforts to
improve existing
processes,
products,
services.

44. Clearly,
improvements are necessary
because
there are problems
with the current state of things.

45. In particular,
Lean Six Sigma
projects start with problems
that you don’t know
how to solve.

46. This is so true,
that if you know the solution,
then you
don’t need
Lean Six Sigma.

47. But if you must solve a
hard problem,
then a Lean Six Sigma project is
likely your best
choice.

48. Lean follows a method
for improving
what already exists,
called
A3.

49. A3 is based on the
continuous improvement
method of
testing a solution
through trials.

50. Six Sigma follows a method
for improving
what already exists,
called
DMAIC.

51. DMAIC is based on the
scientific method of
testing a hypothesis
through experimentation.

52. While most other projects
focus on
delivering a solution,

53. … such as:
relocate the trading office,
develop new technology,
enter a new market,
prepare for a trade fair,
restructure an organization, …

54. … recall that LSS is best for
finding and
designing a solution.

55. SECOND DIFFERENCE:
Lean Six Sigma projects
emphasize
finding the solution
more than schedule, budget,
scope or risk.

56. For instance,
a LSS project may have many
natural outcomes.

57. Which depend on
the project’s
path of discovery.

58. So what happens
after each tollgate meeting
is not predetermined.

59. Several outcomes are possible
along the lifecycle of a
Six Sigma project.
For instance, after the
Define or Measure stages …

60. after a tollgate meeting,
when the initial problem
turns out to be something else.

61. without becoming a failure,
when the supposed problem
isn’t borne by facts.

62. when the initial scope
proves too extensive.

63. when the team has
a short time to deliver results.

64. Unlike most projects,
all these outcomes
are fine,
when they result from
what the team has learned
about the problem.

65. Most often,

66. Because a LSS project does not
have a known solution,
it is critical that the team find
the right problem
and
the right solution.

67. For this reason,
LSS projects emphasize
designing a solution
while de-emphasize
meeting schedule, budget,
scope or risk requirements.

68. In summary,
Lean Six Sigma and
Project Management
complement each other
strengths.

69. Specifically,
LSS projects
begin with problems and
emphasize finding
the right solution,

70. … while
PM
brings structure and discipline
to problem solving efforts.

71. In terms of skill sets and learning,
LSS project leads, sponsors and
champions
must learn
project management skills
to be more successful.

72. Conversely,
project managers
have the bases
to become great LSS practitioners
and could learn
the technical skills.

73. Next presentations will discuss:
• In which way lean six sigma projects go deeper than other efforts.
• The structure of Lean and Six Sigma projects for exploration.
10/28/2013
152-5 Copyright fkiQualityLLC 2012
73