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Engineer Change Order (ECO)

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A document that lists details for new product designs or modifications being proposed to current products.

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5Z

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The 5Z process uses the Genba (Gemba) Kanri principles to maintain, evaluate, promote, and improve control of your process.

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Unexplained Variation (S)

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The random fluctuations around the regression line that show as variation. This type of variation is the sum of squared differences between each ordered pair’s y-value and the predicted corresponding y-value. It is the error portion of the regression equation.

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Customer Relationship Management (CRM)

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The union between conventional customer relations and integrated software solutions.

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Critical Element

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An aspect of a work assignment or designated responsibility that is so vital that a less-than-satisfactory showing on that aspect would be deemed unacceptable.

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Successful Reinvention Focused on Customers and Quality

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In 2008, Starbucks was taking a major hit from the financial crisis, losing customers to competitors, and having to close hundreds of stores. Despite having its back against the wall, some decisions made around key Six Sigma principles helped Starbucks bounce back better than ever. How Giving Quality and a Better Experience To Employees and […]

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Muri

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A Japanese word that can be defined as unreasonableness or going beyond one’s power.

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Global Commerce Initiative (GCI)

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A group comprised of trade industry representatives, retailers, and manufacturers worldwide who collaboratively establish best standards and practices in order to improve the international supply chain of goods for consumers.

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Material Requirements Planning (MRP)

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MRP is an integrated logistics plan that encompasses supply chain, storage and availability for particular processes within the scope of the companyโ€™s operations.

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The 2.67 Million Dollar Mystery (And How 5 LSS Tactics Solved It)

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This major beverage manufacturer was spending millions of dollars per year to replace recyclable plastic shells to transport 2-liter bottles from the plant to their customers. Where did all the plastic shells go? Letโ€™s find out. The process of retrieving delivered plastic shells from the customer should have been easy, but apparently it wasnโ€™t. The […]

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Process Management

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Process management is a structured process for assuring that all your processes are aligned to ensure you can attain the organizationโ€™s strategic goals.

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Following the Road to Improvement

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As a recently promoted Vice President, Chuck needed to quickly understand what all his people were doing. Chuck, a longtime employee of a major utility company, had been recently promoted to Vice President to take over the leadership of a wide range of different functions than what he had been managing. As a result of […]

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Risk Based Maintenance (RBM)

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A method of prioritizing maintenance needs of various components or systems based on the severity of the risk of failure.

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Mean Time to Repair (MTTR)

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The average time to repair a machine back to acceptable operating conditions.

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Error Cause Removal

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Eliminating the cause of an error in order to keep the error from happening again.

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Jack in the Box

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Jack in the Box can be defined as a variable that appears randomly in response to factors that are not readily apparent.

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Extract Load Transfer (ELT)

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ELT (Extract, Load, Transfer) is a data management method that transfers raw data from a source server to a target server and prepares the data for downstream use.

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Frequently Committed Errors (FCE)

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Frequently committed errors (FCE) are anomalies in a particular process that have a negative impact on the outcome.

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Business Metric

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Business metrics are metrics that are quantifiable and utilized to assess the performance or status of a business function.

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Six Thinking Hats

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Have you ever been on an improvement team that just doesnโ€™t work as well as you expected? Was it because people werenโ€™t trying or was the mix of personalities and perspectives not conducive to working together for a solution? Letโ€™s see how one company handled this problem. Using the Six Thinking Hats helped this company […]

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U Chart

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A U chart is one of four quality control charts that engineers use to track variation in a manufacturing process.

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Mean Time Between Failures (MTBF)

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Mean Time Between Failure is a basic metric that describes the frequency of problems in physical equipment or systems that disrupt production uptime.

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Box-Cox Transformation

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The Box-Cox transformation can be used for converting the data to a normal distribution, which then allows the process capability to be easily determined.

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Operation Cost Target (OCT)

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An operation cost target is the maximum expenditure allowed for all costs that are associated with a project, including overhead, materials, labor, outsourcing, and other costs.

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How Motorola’s Continuous Improvement Efforts Led to Record Growth and Profit

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While Motorola had been an industry leader for decades, by the 1970s, many of its products were seen as potentially unreliable by consumers. The company addressed this issue by embarking aggressively on an innovative program of continuous improvement that has come to be known as Six Sigma. How Continuous Improvement Changed Consumer Perception Of Motorola […]

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Strategic Planning: Defining Vision, Goals, and Objectives for Success

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Strategic planning is a disciplined effort to produce fundamental decisions and actions that shape and guide what an organization is, what it does, and why it does it, with a focus on the future.

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Capability Maturity Model (CMM)

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An established framework for the ongoing improvement of software development and implementation practices.

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Convert DPMO/Sigma to Cpk

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DPMO, Sigma Level and Cpk are three metrics you can use to measure how well your process is performing.

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Subject Matter

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Subject matter refers to all things related to your company’s products, services, or customers.

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Mura

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Mura is a Japanese word meaning unevenness, non-uniformity, and irregularity.

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FMEA

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FMEA stands for Failure Mode Effects Analysis and allows you to think through all of the possible ways something can go wrong, then find ways to mitigate those risks, so that your project is more likely to succeed.

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Alias

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An alias indicates that you’ve changed two or more things at the same time in the same way. Aliasing is a synonym for confounding.

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How Process Maturity Models Help Organizations Achieve Higher Levels of Performance

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Process maturity is a concept used by the Lean Six Sigma (LSS) methodology to evaluate and optimize business processes.

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How to Incorporate SS Process Reports into Your Quality Processes

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The Six Sigma process report is a Minitab tool that calculates process capability and provides visuals of process performance.

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How to Identify and Eliminate FISH Inventory in Your Business

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First in Still Here (FISH) is a term that refers to very slow-moving inventory.

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Design Verification, Production and Process Validation (DVP&PV)

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The process where planning, testing, and reporting occur in the design or prototype stage in the development of a product.

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What is Return on Net Assets? A Complete Guide

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RONA is one bottom-line measurement showing performance relative to strategic goals and objectives.

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Confirmation is Key to Reducing Risk and Increasing Accuracy

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Confirmation is a way to confirm that a process is working as expected. It can be used to validate or invalidate a hypothesis, test a process or product and test the process of testing.

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Achieving Organizational Excellence through GOAL Deployment

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Using GOAL Deployment in support of their Strategic Plan, this company was able to align goals and objectives and achieve impressive organizational improvementsย  The Company historically used yearly Strategic Planning to lay out its macro goals and initiatives. This was done by each functional area of the company submitting what they believed they wanted to […]

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Discover the Power of Process Window Index in Continuous Improvement

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A process window index (PWI) is a quantifiable and reproducible statistical measure which indicates how a product performs relative to range limits.

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How Ideation Brainstorming Can Improve Your Business Processes

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Ideation brainstorming is the first stage of a formal solution development process that usually includes free-form exchange of thoughts and ideas.

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Keep It Simple and Specific (KISS)

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The Keep it Simple and Specific principal is based on the idea that most systems work at their best if they are kept simple as opposed to being made complicated.

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Activity Based Costing: Key to Increasing Efficiency and Improving Profit Margins

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Activity Based Costing (ABC) is a tool to help companies understand how their products and services are being used.

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Understanding Systems Thinking: A Guide to the Key Concepts and Benefits

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Systems thinking is based upon the concept that all systems are composed of interconnected parts. These connections and interrelationships cause behavior of one part to impact another.

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Entry Criteria: Key to Controlling Processes and Reducing Variability

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Entry criteria is an established set of conditions that must be met before a specific process can begin.

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What is The Poisson Distribution? A Complete Guide

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The Poisson distribution is a discrete probability distribution that provides the probability of a given number of events occurring in a specified interval of time or space.

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Unlocking the Secrets of the S-hat Model

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S-hat is a common model used in statistics when estimating a population.

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The Role of Inferential Statistics in Data Analysis

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Inferential statistics consists of several statistical tools that will allow you to make an inference about the population from sample data.

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Capability: Formulas for Measuring Process Performance

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Capability is the ability of your process or product to meet expectations of your customers or any internal organizational expectations, goals or targets.

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How to Use Benchmarking to Drive Performance Improvements

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Benchmarking is comparing what you do to how other organizations do it.

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