Key Points
- Mean is the average of data points.
- In LSS this is used as an indicator of process performance.
- Further, it can identify potential issues with processes.
Central tendency and mean are two important concepts in the Lean Six Sigma approach to quality management.
Central tendency measures the average of a set of values. The mean is a specific type of central tendency measure.
Mean is also known as average, but it’s important to remember that there are many different types of averages.
Overview: What Is Mean in LSS?
Central tendency and mean are two of the most important concepts in Lean Six Sigma. Central tendency is a concept in statistics that represents the middle of a set of observations. It is a measure of the average and refers to the value that has the highest probability of being selected by a random sample. It can be calculated using the mean, median, or mode.
Of these three calculation methods, the mean is typically used in LSS because it is simple to calculate and gives a good picture of the overall values that make up a data set.
In terms of Lean Six Sigma, central tendency and mean are used to describe process performance and can be used to identify and correct potential problems with processes.
For example, if you’re looking at how your manufacturing process is performing over time (like how many products you can produce per minute), then it makes sense to use mean as an indicator of performance because it gives you an idea of how much each product weighs or costs so that you can compare your performance across different iterations of your process.
3 Benefits of Using Mean
The three benefits of working with mean in Lean Six Sigma are as follows:
It Gives a Way to Measure Process Performance
What this means is that we can use the mode and median to understand the most common values in a data set, which will help us identify the most common causes of problems in our processes. We can then use the mean to provide an overall picture of how well our processes are performing.
It Provides a Better Understanding of the Distribution of a Process
This means we can make sure that the good parts of a process are not overlooked and we can identify areas of improvement.
You Can Readily Identify Extreme Outliers
This is important because we want to know whether something is an outlier before we start making decisions about what needs to change. If you’re going to be making changes based on your data, you must have a good idea of what “normal” looks like so you don’t accidentally make things worse by trying to fix something that isn’t broken.
Is Mean the Same As Median?
Not necessarily, the median is the center value of any data set. Mean is the average of a given data set when collecting all points. While these calculations may align occasionally, they aren’t identical in terms of functionality.
Why Is Mean Important to Understand?
Central tendency and the mean are important to understand in Lean Six Sigma because they are used to help determine if a process is out of control.
The mean is the most common measure of central tendency but there are others, such as the median and mode.
The mean is often used to calculate the average value for a set of data. For example, if you were to add up all your grades from this semester and divide them by how many classes you took, then that would be your mean grade for the semester.
The mean can be used to see if a process is out of control or in control. It can also be used to compare different processes to each other and see which one is better or worse than another process.
An Industry Example of Mean
A business can’t make any decisions without understanding the concepts of central tendency and mean, because they’re the basis for understanding how to calculate the variation between parts and processes.
In a real-world example, consider an online clothing retailer that sells t-shirts. They have an entire team dedicated to finding new designs for t-shirts that will appeal to their customers—but there’s no way to know if a design will appeal until it’s been sold.
So what do they do? They measure how many times each design has been purchased by customers over time, and then average this number across all of their designs. This way, they can get an idea of how popular (or unpopular) each design is with their customers—and use this information to decide which designs should stay on sale, which should go back into development, and which should be discontinued entirely.
3 Best Practices When Thinking About Mean
When thinking about central tendency and mean, you should consider three best practices:
1. Consider How to Calculate Both Measures for Your Data Set
Central tendency can be calculated using either mode or median; however, calculating mean requires knowing which values appear more than once and which do not.
2. Be Aware of Whether or Not There Is Any Bias Present Within Your Data Set
If there are any outliers present, these will have a disproportionate effect on both measures; therefore it is important to identify such cases before choosing which one(s) to use.
3. Decide on the Appropriate Measures for Your Data Sets
Discrete data is data that consists of whole numbers, whereas continuous data consists of a range of values. If you’re working with continuous data, then you’ll want to use a mean or median to identify outliers. If you’re working with discrete data, then you’ll want to use a range instead.
Other Useful Tools and Concepts
While mean is an important concept for anyone looking to conduct statistical analysis, that isn’t the only tool at your disposal. As such, it might be worth looking into how low-hanging fruit works in the context of a business. This isn’t produce, but rather a way to transform your organization for the better.
Additionally, learning how to implement COPIS can see your process improvement cycle take a decidedly customer-centric focus. This is similar in scope to SIPOC but has some key differences you’ll want to keep in mind.
Mean: Shaping the LSS Process
This LSS statistical method involves using all possible sample points of a data set to calculate the central tendency and mean of a given data set. Both of these values are used to shape the LSS process, help determine if a process is capable of being improved, and ultimately align a company’s performance with its target objectives.
By getting central tendency and calculating the mean, a company will also be able to measure other statistical concepts such as variance and how it can be controlled by reducing variation/improvement in the system.