About this Presentation
This presentation provides an overview of theory of constraints, lean and six sigma. A case study is presented where the effects of using the trio of theory of constraints, lean, and six sigma (TLS); lean alone and six sigma alone is conducted. The use of TOC to guide lean and six sigma use was significantly better than either lean or six sigma alone. Lessons learned are also presented. The purpose of the study was to determine how to best optimize profits. To achieve that objective we needed to compare and contrast methodologies and evaluate and statistically quantify the impact of each. Based on the results we wanted to deploy the best method. The results of twenty-one plants were compared: eleven used six sigma, four used lean and six used TLS. The results of comparing lean and six sigma were insignificant. The difference between TLS and lean and six sigma was highly significant (P-value =0.000.). While TLS, lean and six sigma all offered benefits, TLS showed 3.9 times greater financial benefit than the other two. A model of how the three methodologies fit together is provided.
What Will You Learn
To help you get the most value from this session, we’ve highlighted a few key points. These takeaways capture the main ideas and practical insights from the presentation, making it easier for you to review, reflect, and apply what you’ve learned.
TLS approach contributed almost four times higher in financial results than either Lean or Six Sigma.
89% of the financial gains within the period of the study came from TLS projects.
Six Sigma contributed to 7% of the financial gains and Lean contributed to 4%.
Instructor(s)
