November 2008

Integrated Business Leader (IBL)Webinar

2

Six Sigma codified

Six Sigma is the standard

Merging of Lean & Six Sigma

The Next Generation: SPM

1990-94 1994-2001 2001-06 2007 & beyond

Lean Six Sigma Evolution

New opportunities:

• Availability of information (financial, operating data)

• More autonomy and leverage at lower levels in the organization

• Well developed frameworks and tools

• Existing capabilities and skills enable jump-start to revitalize and customize process improvement efforts

New challenges:

• Existing operations are leaner – firms can’t support initiatives with armies

• Less top-down command and control from the C-suite

• Need results faster

• Risk-averse management

• Customers demanding better products, for less, faster…you only get one shot!

3

“We couldn’t deploy Six Sigma the same way today as we did at GE in the 90’s. Business environments have

changed significantly since then.”– Jack Welch

January, 2008

Lean Six Sigma Evolution

Process and quality improvement has evolved considerably since the early deployments at GE.

4

Lean Six Sigma Black Belts / Green Belts

Integrated Business Leaders

• Interpreting business strategy,• Analyzing business performance/results• Aligning Lean Six Sigma projects/resources to

highest-priority business needs• Effectively managing Belts/projects

• Proven, effective problem solving methodology• Working and solving complex business problems “…

for the last time …”

BusinessStrategy Business

Results

The Role Of Integrated Business Leaders

Efficient Use of LSS As A Proven, Effective Problem Solving Methodology To Solve Your Businesses Priority Problems

5

What Is IBL?

• A three-day workshop with a balanced blend of training and hands-on application to provide participants with broader business acumen aligned to modern process improvement methods.

• It provides a combination of knowledge and methods that help ensure corporate performance goals are properly measured and achieved while providing a significant return on investment.

• It is scaleable to the size of the program.

6

Why IBL?

• As a businesses initiate transformation through Lean Six Sigma, there is a need for a strategic framework to quickly assess the opportunities - the gap between the baseline and goals… IBL

• There is a need for practical understanding of the key business drivers that CEOs care about, allowing you to decipher Financial Statements and conduct high-level Business Analysis… IBL

• To ensure a clear understanding of the Lean Six Sigma roadmap; and an actionable plan for identifying, scoping, and chartering process improvement projects and selecting the right people to execute those projects… IBL

• To shorten project closure cycle time with tangible benefits – linked to the bottom line… IBL

• Get all the appropriate stakeholders, leaders, and manager on board. … IBL

7

Pro

jec

t B

en

efit

s

Project Cycle Time

Lean Sigma Projects Benefits and Cycle

IBL vs. Traditional Approach

Why IBL?

8

Who Should Attend IBL Course?

• Stake Holders / Executives

• Leaders / Managers

• Deployment/Project Champions

9

IBLIntro

IBLIntro

FinancialAcumen

FinancialAcumen

Lean-Sigma Tools

Lean-Sigma Tools

Results &Benefits

Results &Benefits

IBL Workshop Topics

The specifics for each topic are provided in the following slides.

Pre-Workshop

Pre-Workshop

ChangeMgmt.

ChangeMgmt.

Post-Workshop

Post-Workshop

Project Ident, Selection, Scope, Definition

Project Ident, Selection, Scope, Definition

10

Pre-Workshop

• What

11

How to Apply IBL?

Financials Cycle

The financial reports present the past performance; which may be used to identify opportunities for improvement; and to an extent, may help

predict the future of the firm based on the improvements.

FinancialStatements

FinancialAnalysis

Predict/MeasureBenefits

SPM/BRM&

Improvements

Start

12

Financial Acumen

• Financial Basics & Definitions

• Business Velocity

• Financial Statements- Income Statement- Balance Sheet- Statement of Cash Flow

• Project Selection-Definition & BB Selection

• Class Exercise

13

The major portion of the BRM is dedicated to depicting the business units and functions which contribute to the creation of customer value

BRM Analysis

14

BRM & VSM Development

Quick Win Projects*

Six SigmaProjects

DFSS Projects

Collaborative Project

Selection

Execution of Improvement

Projects

Lean Projects

Step 1 Step 2 Step 3

Assessment of existing process performance with financial impact

analysis

Collaborative validation of

existing process performance and on improvement

opportunities

Well-defined improvement projects are

conducted with financial and

quality benefits realized

Types of Projects

* Quick Win Projects are often executed as part Step 2 leading to the realization of immediate benefits

Project Identification-Definition

15

Improvement Tools (Lean Sigma)

• DMAIC

• 12-Steps BTS

• Business and Process/Product Metrics

• Overview of (Qualitative & Quantitative Tools)- Understanding and Evaluating Process Variation- Measurement and Capability Analyses- Risk Assessment and Control Plan

• Class Exercise

16

Results and Benefits

• Results and Short Term/Long Term Benefits

• Leverage

• Class Exercise

17

Change Management

• Project Team Personalities

• Leading Change

• Class Exercise

18

Post-Workshop

• What

19

Wrap-Up

• Questions?

• Next Steps

• Contacts

20

The following are trademarks and service marks of Six Sigma Academy International, LLC: Breakthrough Lean®, Breakthrough Strategy®, Breakthrough Value Services®, Breakthrough Change StrategySM, Breakthrough DesignSM, Breakthrough DiagnosisSM, Breakthrough ExecutionSM, Breakthrough Sigma LeanSM, Breakthrough Six SigmaSM, Breakthrough Software DesignSM, FASTARTSM, Six Sigma Gold BeltTM, SOLVING YOUR BUSINESS PROBLEMS FOR THE LAST TIMESM. Six Sigma is a federally registered trademark of Motorola, Inc. MINITAB is a federally registered trademark of Minitab, Inc. SigmaFlow is a federally registered trademark of Compass Partners, Inc. VarTran is a federally registered trademark of Taylor Enterprises.

Six Sigma Academy International, LLC

630 Fifth Ave., Suite 1900

New York, NY 10111

Tel. (212) 332-3797

www.6-sigma.com