Applying Lean Six Sigma to Records Management

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Applying Lean Six Sigma to Records Management
Charlotte Piedmont Chapter, September 18, 2008

• Roger Hansen, CRM

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Agenda

• Introduction to Lean Six Sigma
• Lean
• Six Sigma
• Practical application

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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

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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

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Key elements of Lean Six Sigma for RIM

• Customer focused
• Operationally based
• Value driven
• Waste reduction Muda
• Terms to know
• 5S
• Kaizen
• DMAIC

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Information as a Product

• Volume of information maintained is doubling
  every 18 months
• 40 of professionals 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
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Why do Lean Six Sigma?
DMAIC
DMAIC
Time
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• Lean

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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

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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

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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
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Lean Information Lifecycle Mgmt

• Review each element
• Creation of information
• Maintenance (Active)
• Use
• Storage and retrieval (Inactive)
• Disposition

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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

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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

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Lean Tools

• 5S
• Kaizen

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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 Ss
• Sustain - Stick to the rules. Show real progress.

2 Set in Order
1 Sort
5 Sustain
3 Shine
4 Standardize
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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

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Kaizen

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

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Kaizens Focus

• Customer
• Improving customer service
• Reducing lead-times to customers
• Enhancing quality (CTQ)
• Operations
• Reducing cost
• Eliminating waste
• Improving productivity

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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

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• Six Sigma

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Six Sigma

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

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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

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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

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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

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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

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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

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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

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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

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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

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• Lean Six Sigma in Practice

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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

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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 and create
  a plan to monitor, sustain, and continue to
  improve

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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

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Six Sigma Black Belt Projects for RIM

• Not many known
• DuPont project on discovery processing

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Questions
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Thank You

• Roger Hansen, CRM
• hansenrw62_at_yahoo.com