Six Sigma Quality Resources for Finance & Financial Services In association withDeLeeuw Associates, a division of CSI
 Main Site > Financial Services Channel > Culture Evolution  > Quality Background Search:
 
 for    
Publications
Marketplace
| iSixSigma
Stuff
| iSixSigma
Blogosphere
| Events
Calendar
| The
Dictionary
| Discussion
Forum
| Find
a Job
| Post
a Job
| Industry
News
| Newsletter
Signup
| Sigma
Calculator
| Online
Surveys
2008 Version! DMAIC Training Slides: 1,176 Slides + Instructor Notes and More for $99.99
iSixSigma Magazine Signup
 iSixSigma Live!  
  
  Summit & Awards
  Speaker Proposals
 Free Newsletters!  
  Sign Up Now!
  Manage Subscriptions
  New To Six Sigma?
  Six Sigma Q&A
  Cert. Practice Test
  Problem Solving Wizard
  ISSSP Info
ISSSP Is The Official Six Sigma Society of iSixSigma
 Channels 
  iSixSigma Main
  Europe
  Healthcare
  Military
  Software / IT
 Quality Directory 
  Recent Articles
  Certifications/Awards
  Consultants
  Culture Evolution
   Sponsors
   Teams
   Training
  Methodologies
  News & Events
  Organizations
  Product/Service Guides
  Statistics & Analysis
  Tools & Templates
  Voice of the Customer
  Free Whitepapers
 Related Topics 
  Innovation
  Outsourcing/Offshoring
  Business Process Mgt
 Quick Access 
  Help
  Search
  Advertise Here
  Article Archives
  Newsletter Archives
 User Feedback 
  Please suggest site
  improvements.
 
  [ larger form ]

Before Deployment: ‘Minding Your Ps to Get Your Q’

Bookmark This Page Bookmark This Page
Email This Page Email This Page
Format for Printing Format for Printing
Cite This Article Cite This Article
Submit an Article Submit an Article
Six Sigma Article Archive Read More Articles
Related Tools & Articles
  • Discussion Forum
    "Some challenges to consider in the financial services industry...Where is the company on the maturity cure? Are measurements such dashboard reports and scorecards already being used to access performance of products, services and processes?..."

    Contribute to this Discussion

    B
    New from iSixSigmaRoot Cause Analysis Course - Spanish Edition

    Root Cause Analysis Course

    Lean Six Sigma Overview Course
    y Bryan Carey

    Change agents involved in an effort to introduce Lean Six Sigma into an organization go through a honeymoon stage where there is consensus on the following:

    • There is a need to become a quality-focused organization.
    • The Six Sigma path to quality is all about customers' needs and expectations.
    • Decisions should be based on data.
    • This will be a continuous learning-doing-improving cycle.
    • Quality is the goal.

    What cannot always be agreed upon – and in numerous occasions is not even asked out loud – is an honest assessment of the organization's maturity in the continuous improvement process and its readiness for adopting a Lean Six Sigma culture. In order to meet the expectations and requirements of the internal organization, those leading the deployment must mind their "Ps," answering two fundamental questions:

    Will Lean Six Sigma be rolled out through a Push approach or a Pull approach?

    And, in order to help make that decision in an objective fashion:

    How is the company Positioned on the quality learning curve in terms of culture and infrastructure?

    At a recent Lean Six Sigma roundtable in New York, Michael Fischbach, senior vice president from Bank One, presented the concept of the Continuous Improvement Maturity Assessment Model (Figure 1). Fischbach's premise – based on more than 15 years of experience in the change management and continuous improvement fields – is that not all environments are ready for a wide-scale rollout of Lean Six Sigma. Specifically, services organizations and financial services in particular, need to understand where they fall on the readiness continuum before choosing an approach to incorporating Lean Six Sigma into their environments. Although a global rollout across all functional processes and platforms is ultimately the approach with the biggest return, a pilot project is a viable precursor to a broader implementation.

     Figure 1: Position on Learning Curve Indicates Readiness for Lean Six Sigma

    Finding an organization's place on the assessment curve is as much a political act and art as it is an objective process. However, Fischbach believes that – at minimum – to demonstrate an organizational grasp of continuous improvement basics, a company should already be utilizing or be knowledgeable of the following:

    • Metrics
    • Scorecards
    • Business reviews
    • Simple problem solving
    • Voice of the Customer (customer data available)

    In addition, there may be other elements to consider as an organization does a gut-check of where it falls on its commitment to quality and its readiness for Six Sigma on a grand scale. Examples may be:

    • Quality standards such as participation in TQM, Baldrige, ISO 9000
    • Strategic plans that link to projects, quality functions, mission statements
    • Customer satisfaction programs, segmentation, retention programs
    • Project management methodology, planning, implementation, project office
    • Continuous improvement programs, cost of quality, process mapping
    • Human resource programs, leadership development, teams formation
    • Training that includes quality, facilitation, feedback

    Understanding an organization's position on all of the elements above will help senior management objectively determine whether it is just starting on its way to establishing a quality-friendly environment, whether it has already developed the capability to execute in a quality fashion, or whether it has achieved quality as a way of life.

    Pull Approach Versus the Push Approach

    If the company is in the early stages of the process, it makes sense to utilize a pull approach for the introduction of Lean Six Sigma and pilot a project in the area of true need. This pilot project approach, coupled with high support from the management group, leads to a high probability of success. The key is to make a true commitment to execution in order to demonstrate success in terms of payback and speed. This is the catalyst that will create interest and the pull for more Six Sigma projects in the organization.

    If, on the other hand, the assessment of the organization shows that it is much further down the path of quality, then a larger-scale rollout is less risky and will have greater payback in a shorter period of time.

    Here is a synopsis of Push and Pull approaches with pros and cons.

     Approach What Is it? Pros and Cons
     Push+ Management believes that Lean Six Sigma will fundamentally transform the way company does business
    + Management is ready to make the rollout the single most critical imperative for the company
    + Management is committed to achieve "full deployment" in 6 to 12 months (Full deployment = 1%+ of employees as Black Belts)

    Pros
    + Overwhelms organizational opposition
    + Largest mass generates largest results and momentum
    + Highest ROI from economies of scale on cost and acceleration of benefits


    Cons
    + Requires intense top level headroom and commitment
    + Requires intense planning effort upfront
     Pull+ Typical commitment is to only one or two waves (25 to 50 Black Belts and 5 to 10 Champions)
    + Typically no major impact to broader organization; may be large impact if focused in just one or two business units
    + Pilots used as test cases for decision on further deployment and through success create interest from broader organization
    Pros
    + Low total cost
    + Exposure to other organizations' application of process
    + Good approach if "experimentation" is a key objective


    Cons
    + Smaller business impact
    + Higher risk of rejection because organization may not think management is serious
    + Sample size may be too small to validate approach

    Regardless of the approach, the following principles need to be at work for a small- or a large-scale deployment of Lean Six Sigma:

    • Management engagement
    • Dedicated and well-respected deployment Champion
    • Accountability for project results
    • Dedicated resources
    • Black Belts with leadership and process skills
    • Value-based project selection
    • Recognition of the history and culture of the organization

    Getting agreement on what is being sought is easy. The Q everyone is striving for is Quality. Quality can be thought of as the ability to deliver products and services that fulfill or exceed the requirements or expectations of all stakeholders. Bottom line, quality is primarily about getting the right answer for the ultimate customer. But, by saying "all stakeholders," it is important to realize that change must move through the halls and corridors of the organization (associates, internal customers, management and culture) before there can be any delivery to the streets upon which the final customers reside.

    In other words, the company must meet the expectations and requirements internally, before it can deliver the right answers externally. To do that, the organization needs to mind its Ps (understand its Position on the curve, Push or Pull) to get the Q (Quality).

    About the Author

    Bryan Carey, an executive vice president of DeLeeuw Associates, LLC, is the leader of the company's Lean Six Sigma for Financial Services practice. He has more than 20 years experience as an executive in project and change management in the banking industry. At NationsBank/Bank of America, he had senior leadership roles in some of the largest mergers and change initiatives in the history of the financial services industry. Mr. Carey earned a bachelor's degree from the University of Notre Dame and an MBA from the University of South Carolina. He is a certified Six Sigma Green Belt. He can be reached at bcarey@deleeuwinc.com.

     
    Rate This Article: 
      Poor    Excellent     
              1    2    3     4    5
    Copyright © 2000-2008 iSixSigma – All Rights Reserved
    Reproduction Without Permission Is Strictly Prohibited – Copyright Requests


    Publish an Article: Do you have a Six Sigma tip, learning or case study?
    Share it with the largest community of Six Sigma professionals, and be recognized by your peers.
    It's a great way to promote your expertise and/or build your resume. Read more about submitting an article.


    Download the iSixSigma Toolbar for 1-Click access. Search Your Way. Everyday. Without Delay.
    Get 1-Click iSixSigma access. Search Your Way. Everyday. Without Delay.

    BEST SELLING PRODUCTS (iSixSigma Publications)
    1. 2008 VERSION! Six Sigma DMAIC Training Slides
      The complete Lean Six Sigma DMAIC course prepares participants to perform the role of a LSS Black Belt; covering what’s ...
    2. NEW VERSION! Process Management Training Slides
      The OSSS Process Management course is designed in two phases comprised of:352 Powerpoint slidesInstructor notesSlide exp...
    3. Root Cause Analysis Course
      Having worked in the quality organization for over 20 years, the developers of this course have continually ran into cor...
    4. Certified Lean Six Sigma Black Belt Assessment Exam
      Interested in assessing your knowledge of Lean Six Sigma? Preparing for certifications? Testing your students and traine...
    5. Gage R&R Excel Template
      Gage Repeatability and Reproducibility (R&R) studies measure the amount of measurement variation that is attributabl...
    6. Certified Lean Six Sigma Green Belt Assessment Exam
      This assessment exam is useful for students interested in assessing their knowledge of Lean Six Sigma on the Green Belt ...
    7. Six Sigma for Green Belts E-book
      The ebook contains over 1,000 pages of Six Sigma tools and techniques, statistics, project management, change management...
     

    Six Sigma AdLinks
    Valeocon: Six Sigma for Financial Services



    Google AdWords
     
    Home | Discussion Forum | Event Calendar | Job Shop
    Link To iSixSigma | Rate This Page | Report A Problem | Free Content For Your Site | Submit Article For Publishing
     Terms of Service. ©2000-2008 iSixSigma. All rights reserved. v3.0lb, 3.1-C-246
    About iSixSigma · Contact Us · Privacy Policy · Site Map
    nogeo