How do you monitor process improvements?
Monitoring process improvements is a crucial part of Lean Six Sigma, a methodology that aims to eliminate waste, reduce variation, and enhance customer satisfaction. By tracking the performance and outcomes of your improvement projects, you can ensure that they are aligned with your goals, identify any gaps or issues, and sustain the benefits over time. In this article, we will discuss how to monitor process improvements using some of the tools and techniques of Lean Six Sigma.
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Surya SharmaAssociate Partner at McKinsey & Company | Top Voice 2024 | Leadership | Sustainability | Transformation
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Juliano AnjosAnalista da Qualidade |🏆23x Top Voice | Black Belt LSS |…
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Umang PrasadLinkedIn Top Voice (Lean Six Sigma) | IIM Alumnus | Operational Excellence | Passionate about Elevating Performance &…
Before you start implementing any process improvements, you need to define what metrics you will use to measure the success of your projects. These metrics should be relevant, reliable, and realistic, and reflect the voice of the customer and the voice of the process. You also need to establish baselines for your current state, which are the values of your metrics before any changes are made. Baselines will help you compare your before and after results, and quantify the impact of your improvements.
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Choose metrics that are directly related to the goals and objectives of your improvement projects, if these metrics should align with key performance indicators (KPIs) that reflect the desired outcomes and impact of the changes being implemented. Ensure that the metrics you select can be measured accurately and consistently using reliable data sources and measurement methods, then this may involve establishing standard operating procedures for data collection, validation, and analysis to ensure reliability and consistency over time. Set realistic targets or benchmarks for each metric based on historical performance, industry standards, best practices, and stakeholder expectations, if these targets should be challenging yet achievable...
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Defining metrics helps in measuring the performance of the process and its standing, whether it is below par, at par, or above par. Further helps in deep diving in these data metrics to evaluate the improvement needed by listening to the VOC (Voice of Customer), and implementing the same to improve the processes at site level or team level or individual level.
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A way to ensure KPIs are monitored is by employing dashboards for real-time data visualization and analytics. Conduct regular audits to ensure adherence to new processes and engage your teams in a Continuous Improvement (CI) culture. Solicit feedback for ongoing optimization and utilize PDCA (Plan-Do-Check-Act) cycles to iterate on implemented changes. PDCA ensures sustained enhancement and alignment with organizational objectives. Regularly review outcomes against set benchmarks to gauge success and identify areas for further improvement.
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Regularly assess the performance of a process, comparing it to defined objectives and key performance indicators (KPIs). This continuous assessment helps identify areas where improvements are needed.
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Monitor process improvement by: 1. Define KPIs. 2. Collect data consistently. 3. Analyze trends and variances. 4. Take corrective actions. 5. Communicate and document. 6. Seek ongoing feedback. 7. Celebrate successes. 8. Iterate for continuous improvement.
Once you have defined your metrics and baselines, you need to collect and analyze data on a regular basis to monitor the progress and performance of your process improvements. You can use various tools and techniques to collect and analyze data, such as surveys, interviews, observations, checklists, charts, graphs, histograms, control charts, Pareto charts, and root cause analysis. Data analysis will help you identify trends, patterns, anomalies, and opportunities for further improvement.
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Use key performance indicators that are clear and relevant KPIs related to the improvement tactic. Monitor these indicators regularly to assess the impact and effectiveness of the implemented changes. Adjust the strategy based on KPI insights for continuous enhancement. Visuals are always helpful with grounding yourself and the team in the progress. Utilize control charts to see process stability and variations. Tracking data over time helps distinguish between common cause variations (expected) and special cause variations (unexpected). This aids in maintaining the gains achieved and making data-driven decisions for further refinements. It also engages the team in understanding their impact and roles in the improvement process.
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I would recommend not only using KPIs but also PPIs (Process Performance Indicators) to monitor the processes in scope. Sometimes, the impact of actions on KPIs takes time to materialize, as seen in consumer-related processes, for example. In such cases, it's important to ascertain whether the process has improved and then relate it to the KPI later.
Feedback loops are mechanisms that allow you to receive and respond to information from your customers, stakeholders, and team members about your process improvements. Feedback loops can help you validate your assumptions, test your solutions, evaluate your results, and adjust your actions accordingly. You can use different methods to create feedback loops, such as focus groups, customer reviews, surveys, audits, coaching, and mentoring.
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I love feedbacks on process improvements, users are the best source of real insights. Put in place a structured cadence to get frequent feedback and work on the feedback. Share the insights with broader group to bring visibility.
Control plans are documents that describe how to maintain and monitor the improved process, and prevent it from reverting to the old state. Control plans specify the roles and responsibilities of the process owners and operators, the control methods and tools to be used, the frequency and criteria of monitoring and evaluation, and the corrective and preventive actions to be taken in case of deviations. Control plans help you standardize and document your process improvements, and ensure their sustainability and consistency.
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To implement a control plan based on Lean Six Sigma methodology, I follow these steps: 1. Identify the key process characteristics (KPCs). 2. Establish control limits for each KPC. 3. Determine the frequency of monitoring. 4. Identify the person(s) responsible for monitoring the process. 5. Develop a process for taking corrective action. In addition I usually include as well: a) Engage the process owners and operators. b) Use visual management tool (a specially interactive visual)
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The control plan is crucial for handing over actions and standards to the area. It is also a critical phase in which the sponsor and the overall area need to step up and take full accountability for the implemented standards, eventual corrective actions, and achieved results.
The final step in monitoring process improvements is to review and report the results of your projects to your stakeholders and sponsors. You should review and report the results periodically, using the metrics and baselines that you defined at the beginning. You should also highlight the benefits and challenges of your process improvements, and provide recommendations for future actions. Reviewing and reporting results will help you communicate your achievements, celebrate your successes, and learn from your failures.
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Usually I'm focussing on these steps: 1. Identify the key performance indicators (KPIs) 2. Collect data on the KPIs. 3. Analyze the data. 4. Compare the results to the baseline. 5. Identify areas for further improvement. 6. Report the results to stakeholders. - The KPIs that you monitored - The results of your analysis - A comparison of the results to the baseline - Any areas for further improvement - Recommendations for future action
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In this context of monitoring process improvements it is worth mentioning that we have moved passed the era of only running around with a stop watch. Key word is Process Mining. Nowadays there are tools available (e.g. Celonis, QPR) that can help you in understanding your processes, detect suboptimal processes, deviations and bottleneck in an automated way. Of course the requirement is that relevant process data is logged in the systems.
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Remember to display your data visually and coach people to see what you see. The more simple and easier the better to start. If possible do not use computer aid system for visualisation initially. Go for the white board and RGA conditions.
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Monitor process improvements by: -Metrics Tracking: Use KPIs aligned with project goals to measure progress. -Regular Reviews: Conduct frequent assessments against benchmarks or targets. -Data Analysis: Analyze data trends to spot deviations or areas needing attention. -Feedback Loops: Gather input from stakeholders for ongoing insights. -Control Plans: Implement control measures to sustain improvements and prevent regression. -Adaptation: Adjust strategies as needed based on monitoring results for continued enhancement.
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