Lean vs Six Sigma: What’s The Difference

If you’re in the manufacturing industry, you’ve probably come across two popular process improvement methods: Lean vs Six Sigma. Lean has been used for a long time and has even expanded beyond manufacturing into other industries, while Six Sigma is a more recent technique. Both have the same goal of improving efficiency, but they focus on different areas. Lean is all about streamlining processes and reducing lead times, whereas Six Sigma aims at minimizing defects. Both approaches are valuable when you want to improve your production process, increase output, and boost your profits.

But when it comes to Lean Manufacturing vs Six Sigma, which is the better option? Should you invest in one over the other if you’re facing inefficiencies in your production? Or can they be combined for even better results?

Let’s dive into these methodologies to figure out which one might be the best fit for your needs.

Six Sigma Method

Six Sigma is a data-driven method for improving processes by reducing defects. It can be used in many areas, such as manufacturing and logistics. Six Sigma helps to make products and services better and more consistent. It does this by finding and fixing the problems that cause defects and making sure that processes are as stable as possible. Six Sigma uses a set of tools and statistical methods to achieve this.

Six Sigma focuses on:

• Quality: Products and services that meet high standards every time.
• Consistency: Delivering the same quality products and services day after day.

When we go to a restaurant, buy a new hard drive, or fly on an airplane, we expect a certain level of quality. Six Sigma helps to make sure that customers get this level of quality.

Six Sigma Case Study Example

Sometimes, companies struggle to maintain high-quality standards. Takata, a Japanese auto airbag manufacturer, is one such example. Their airbags, which relied on a chemical called ammonium nitrate, had a problem. The chemical was sensitive to moisture and temperature changes. This led to some airbags exploding unexpectedly, sending metal fragments into the car.

As a result, millions of cars had to be recalled. This was the biggest recall in the history of the car industry. Sadly, many people were hurt or died because of this problem.

Boeing also had a serious quality issue with their Max 8 airplanes. The planes’ software had a problem that made it difficult for pilots to control them. This led to two plane crashes, which resulted in the deaths of many people.

These are just two examples of the problems that can happen when companies don’t pay enough attention to quality. There are many other cases, both big and small, where quality failures have caused problems.

Six Sigma is a method that helps companies prevent these kinds of failures. By putting in place strong quality control processes, companies can make sure that their products and services meet the highest standards.

Lean Manufacturing Method

Lean manufacturing is a method used by businesses to make their production processes more efficient. The idea is to remove any unnecessary steps that don’t add value to the product. This helps businesses save time and money.

The concept of Lean isn’t new. Henry Ford was one of the first people to use it. He believed in keeping production smooth and efficient. Toyota later followed Ford’s ideas and developed the Toyota Production System, which is known for being very efficient.

Lean and Six Sigma are both methods for improving production, but they have different ways of looking at waste. Lean focuses on removing bottlenecks and making production flow smoothly. Six Sigma, on the other hand, focuses on reducing defects and improving quality.

In Lean, waste is anything that doesn’t add value for the customer. By removing waste, businesses can make their production processes more productive and profitable.

There are 7 types of waste that businesses should try to eliminate in Lean.

1. Overproduction: Producing more than what is needed leads to wasted materials, storage space, and time.
2. Inventory: Inventory refers to materials or products that are stored but not actively used. Excess inventory ties up capital, increases storage costs, and can even lead to product spoilage.
3. Defects: Faulty products waste time and resources on rework and can damage a company’s reputation.
4. Motion: Motion refers to unnecessary movements made by workers during the production process. By reducing unnecessary motion, companies can improve efficiency and productivity.
5. Over-Processing: Spending too much time on features that customers don’t value adds cost without benefit.
6. Waiting: Waiting refers to idle time between production steps. Waiting can lead to increased costs and delays in production.
7. Transportation: Moving materials unnecessarily increases costs and doesn’t add value to the product.

Lean Case Study Example

Imagine the chaos aboard the Symphony of the Seas when it arrives in Miami on a Saturday morning. Thousands of passengers disembark, while thousands more board. Behind the scenes, an incredible operation unfolds: luggage is moved, rooms are cleaned, trash is removed, and supplies are restocked. This must all happen quickly and efficiently, without any mistakes or delays.

This is a perfect example of a lean process. A lean process is about doing things in the most efficient way possible, minimizing waste and maximizing value. In this case, the value is getting passengers on and off the ship smoothly and efficiently.

There are many other situations where lean processes are essential. Hospitals must have efficient emergency rooms to treat patients quickly. Online retailers must have fast shipping processes to deliver orders on time. Factories must minimize waste to produce products efficiently.

What is the Difference Between Lean Manufacturing and Six Sigma?

Lean and Six Sigma are both aimed at improving a company’s efficiency, but they approach this goal in different ways. Lean focuses on analyzing workflows to cut down on wasted time and resources, to deliver maximum value to the customer. It prioritizes making processes more efficient by removing any steps that don’t add value.

On the other hand, Six Sigma uses a structured, data-driven process known as DMAIC (Define, Measure, Analyze, Improve, Control) to find and eliminate the root causes of defects or errors in a process. Its focus is on reducing variations and ensuring consistency in the outcomes.

While both Lean and Six Sigma aim to improve processes, Lean is more about improving flow and eliminating waste, whereas Six Sigma zeroes in on minimizing defects and enhancing reliability.

While these two methods have different focuses, they can work together to achieve even better results. Lean can help identify areas to improve, and Six Sigma can ensure those improvements are done correctly and consistently.

What is Lean Six Sigma?

Lean Six Sigma is a methodology that combines the strengths of two proven approaches: Six Sigma, known for its focus on quality and consistency, and Lean, renowned for its emphasis on efficiency. By blending these two methodologies, Lean Six Sigma helps organizations deliver exceptional customer value through streamlined operations and high-quality standards.

From manufacturing to healthcare and government, Lean Six Sigma can be applied to virtually any industry and job function. Its versatility and effectiveness have made it one of the most popular methodologies in business today.

The benefits of Lean Six Sigma are numerous. Organizations that implement this approach often experience:

• Increased Profits: By reducing waste and improving efficiency, Lean Six Sigma can boost profitability.
• Decreased Costs: Streamlining processes and eliminating unnecessary steps can lead to significant cost savings.
• Improved Efficiency and Quality: Lean Six Sigma helps organizations deliver products and services faster, with fewer defects.
• Enhanced Customer Satisfaction: By focusing on customer needs and delivering high-quality products and services, organizations can improve customer satisfaction.
• Enhanced Employee Development: Lean Six Sigma can empower employees to take ownership of their work and contribute to process improvement.

Lean Six Sigma vs Six Sigma: What’s The Difference?

Lean Six Sigma is ideal for businesses that want to simplify their processes and deliver maximum value to their customers. It uses a structured approach, specifically the DMAIC method (Define, Measure, Analyze, Improve, Control), which provides a clear step-by-step guide that can be applied to various business situations, not just reducing defects as is the focus in traditional Six Sigma.

As Lean and Six Sigma concepts become more intertwined, new strategies and ideas are emerging. Professionals who can guide companies through these evolving methods will shape the future of Six Sigma and drive innovation in the field.

Closing Thoughts

Lean and Six Sigma both have their strengths in improving processes. Lean helps reduce waste, while Six Sigma focuses on minimizing defects. Depending on your business goals, using one or combining both can lead to greater efficiency and better-quality outcomes.

Frequently Asked Questions (FAQs)

1. How does Lean Six Sigma improve business processes?

   Lean Six Sigma improves business processes by combining the best of both Lean and Six Sigma. Lean focuses on removing waste, while Six Sigma focuses on reducing defects and improving quality. Together, they help businesses work more efficiently and effectively.

2. Is Lean Six Sigma outdated?

   No, Lean Six Sigma is more relevant than ever. Many businesses are looking for ways to improve their operations, and Lean Six Sigma can help them achieve their goals.

3. Should I do Lean or Six Sigma first?

   Lean Six Sigma is a combination of both Lean and Six Sigma. So, if you get a Lean Six Sigma certification, you’ll learn everything you need to know about both Lean and Six Sigma. The only difference is that you’ll get more in-depth training on Lean.