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Applying Lean Six Sigma to Records Management

Applying Lean Six Sigma to Records Management

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Applying Lean Six Sigma to Records Management

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  1. Applying Lean Six Sigma to Records Management Charlotte Piedmont Chapter, September 18, 2008 Roger Hansen, CRM

  2. Agenda • Introduction to Lean Six Sigma • Lean • Six Sigma • Practical application

  3. Lean Six Sigma • A business improvement methodology • Designed to make rapid improvements in production processes and procedures • Improvements to both quality and speed • Customer satisfaction is a driving force

  4. What does this have to do with Records? • Information is THE vital asset of an enterprise • The institutional memory • Evidence of work done • Foundation of good decision making • Records and information are produced assets • They should be managed as a corporate asset • Lifecycle management is the key

  5. Key elements of Lean Six Sigma for RIM • Customer focused • Operationally based • Value driven • Waste reduction – Muda • Terms to know • 5S • Kaizen • DMAIC

  6. Information as a Product • Volume of information maintained is doubling every 18 months • 40% of professional’s time is spent trying to manage or repurpose unstructured data – Gartner 6/24/2005 • 80% of this information is created and managed by individuals at the desktop – Gartner Group We are drowning in information and starved for knowledge. -Unknown

  7. Continuous, Incremental Improvement Lean Six Sigma Model Kaizens DMAICL Small, Continuous, Sustainable Changes DMAICL Improvement Kaizens Large projects with big impact that lack sustainment therefore backslide overtime Why do Lean Six Sigma? DMAIC DMAIC Time

  8. Lean

  9. Lean • Term coined by James P. Womack and Daniel T. Jones in their book, “Lean Thinking” • Toyota is well known for their version of Lean Manufacturing

  10. Lean Fundamentals: • Increasing value • Specify value in the eyes of the customer • Identify the value stream and eliminate waste • Make value flow at the pull of the customer • Involve and empower employees • Continuously improve in pursuit of perfection

  11. Lean Fundamentals Reducing Waste (Muda) • Transportation • Inventory • Motion • Waiting • Over Production • Over Processing • Defects • Unused Creativity Maintaining unneeded records or documents is a 100% wasted expense. 2005 Cohasset ERM survey

  12. Lean Information Lifecycle Mgmt Review each element • Creation of information • Maintenance (Active) • Use • Storage and retrieval (Inactive) • Disposition

  13. Lean Opportunities • 80% of this information is created and managed by individuals at the desktop – Gartner Group • This largely represents the intellectual knowledge of the company • There is no systematic management of this information

  14. Advantages of Lean • For the individual • Spend less time looking for your documents • Reduce the clutter • Improved teamwork • For the team • Reduce training time for new employees • Everybody organized the same way • Documents available to everyone who needs them • For the company • Making sure information useable and available • Legal and regulatory compliance • Protect information from loss or disaster

  15. Lean Tools • 5S • Kaizen

  16. What does 5S stand for? • Sort - Eliminate what is not needed • Set - A place for everything and everything in its place • Shine - Cleaning and looking for ways to keep it clean • Standardize - Systemize the maintenance of the first 3 S’s • Sustain - Stick to the rules. Show real progress. #2 Set in Order #1 Sort #5 Sustain #3 Shine #4 Standardize

  17. What is 5S? • A process to create and maintain organized, clean and safe workplaces. • Tools and processes allow team members to leverage their knowledge and creativity to design an efficient workplace • Right tools for the job • Organized systematically and consistently • 5S will provide monitoring and measurement tools to maintain the improvements that you make

  18. Kaizen • Kaizen is a Japanese word for continuous improvement • Kaizen seeks to eliminate waste • Kaizen is about immediate improvement, not optimizing long term • Don’t let best get in the way of better

  19. Kaizen’s Focus • Customer • Improving customer service • Reducing lead-times to customers • Enhancing quality (CTQ) • Operations • Reducing cost • Eliminating waste • Improving productivity

  20. Why do Kaizen events? • Kaizen events enable groups to quickly drive improvement in all areas of the business. • Kaizen events can obtain significant and measurable results in just a short amount of time • Kaizen events involve the knowledge and experience of all associates to drive excellence

  21. Six Sigma

  22. Six Sigma • Developed by Motorola • Eliminate defects • Reduce variation • Data and statistically driven • DMAIC methodology • Define, Measure, Analyze, Improve, Control

  23. The Statistics • Sigma is a Greek letter used in statistics to measure standard deviation • The Six Sigma goal is to develop a process results of 6 standard deviations from the mean • This would mean no more than 3.4 defects (those products outside the customers specifications) per million

  24. Six Sigma roles • Customers • Define issues and request Six Sigma projects • Champion • Organizational mentor and problem solver • Master Black Belts • Full time advisors, mentors, and coordinators of projects • Black Belts • Full time project facilitators • Green Belts • Employees that implement Six Sigma along with their regular job activities

  25. DMAIC - Define • The define segment is critical to the success of any Six Sigma project • It is an agreement between the project team and the sponsors of the project as to what the project is and what is to be accomplished • Scope creep is a very real enemy • Definition should include: • Clear statement of intended improvement • High level process map • A “Voice of the Customer” understanding • Project link to overall corporate strategy

  26. DMAIC - Measure • Six Sigma is fact based and data driven • The Measure step is designed to ascertain the problem point and factually document that conclusion • Data collection and determination of the current baseline capability

  27. DMAIC - Analyze • The Analyze stage of DMAIC involves review of the data from baseline activities to help identify the location or cause of defects to the process • Common tools used during Analyze are • 5 Whys • Brainstorming • Pareto Charts • Cause and effect diagrams • This allows for a more focused plan during the improvement Stage

  28. DMAIC - Improve • The purpose of the Improve stage is to prove that the proposed solution will bring about the desired result • Tools used during the Improve stage include • Brainstorming • Flow charts • Kaizens • 5S • Pilots are conducted to test solutions

  29. DMAIC - Control • The control phase is often the most important • It is designed to put in place systems to ensure no reoccurrence of the problem • Regular monitoring of the process • Standardized documentation for review and training

  30. DMAIC - Leverage • Leverage is not found in all Six Sigma programs • Leverage is the concept that the lessons learned during a project be shared • Other parts of the organization may be able to take those lessons and apply to their own processes

  31. Lean Six Sigma in Practice

  32. Replace the Office Clean-up Day • Replace the annual Clean-up Day or Office Purge with a 5S program • Team oriented versus individual • Analyze how you work to be more efficient • Workstation layouts • Team/departmental flows • Standardization

  33. Positives of an Office 5S Program • Creation of a cleaner, more efficient, less stressful work environment • A work place that you can take pride in • A workplace that says “We are a world class company” • Less time spent finding the information and tools you need to do your job • Fewer lost documents • Safer workplace • More efficient….value added • It is vital to document the work done andcreate a plan to monitor, sustain, and continue to improve

  34. Kaizen • Example: Review storage of unstructured Team/Department e-documents on individual and shared resources • Hard drive, Shared file servers, E-messaging systems, collaborative sights • Team Kaizen using 5S methodology to develop standardized systems for lifecycle management of unstructured information

  35. Six Sigma Black Belt Projects for RIM • Not many known • DuPont project on discovery processing

  36. Questions

  37. Thank You • Roger Hansen, CRM • hansenrw62@yahoo.com