Continuous process improvement (CPI) has improved product and business performance in many industries and business sectors. However, it has not been widely adopted in the new technology venture (NTV) sector. The resistance to CPI adoption has been attributed to the perception of insufficient payoff and protracted timelines. In addition, there has been a tendency toward heroic management of chaotic ad hoc processes in a rapid response environment with an overarching first-to-market imperative. Western Michigan University is developing a study to determine if CPI would improve product and business performance in this sector. This paper describes how and why new technology ventures may benefit from CPI initiatives that arose from the aerospace industry. If this study confirms the applicability and benefit in the NTV sector, findings could equip practitioners with a proven framework, CMMI®, to aid in systematically increasing the successful launch rates of new technology ventures.
14. Scope – Map – Nest:
TQM/Six Sigma and Lean
TQM/Six Sigma Characteristic of TQM/ How to Accomplish Complimentary
Attribute Six Sigma Attribute Lean activity
Define Define the process and Map process Use the process map to
the project identify all process
steps.
Measure Determine step timing, Measure using best Determine current time
activity costs, flow practice methods and develop target time
distances, process for all steps
parameters
Analyze Analyze every Deep Dive the data Determine the delta
measurement for waste, and analyze root cause.
value and opportunity
Improve Target the high waste Try Something – Make Understand and
measurements and a substantiated change; develop and implement
develop a process to avoid analysis paralysis improvement strategies
mitigate for each step of the
work process.
Control Ensure process Instill process Ensure that the gains
discipline and that the discipline through are sustained through
organization does not leadership; Have management audits
slip back to the old visible management and visible
way/habit attentive to continuous management.
improvement
15. Scope – Map – Nest:
Six Sigma and CMMI®
Low Maturity High Maturity
Six Sigma CMMI® CMMI® CMMI® CMMI® CMMI®
Requirements Level 1 Level 2 Level 3 Level 4 Level 5
Initial Managed Defined Quantitatively Continuous
Managed Optimizing
Define Undefined Infrastructure in Infrastructure in Firm and Firms and
process and place to support place to support projects have projects have
project and yet process; Broadly process; Precise quantitative quantitative
performed; Ad defined process standardized objectives for understanding
hoc and chaotic descriptions in process product quality of common
process place descriptions in and process causes of
performance led place performance; variation
via heroic efforts These are based inherent in
on customer processes;
needs and Continually
process revised firm
implementers level
quantitative
process-
improvement
objectives in
place