How Lean Six Sigma can Change Higher Education. Norma Simons Performance Innovation LLC Secretary ASQ Education Division

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1 How Lean Six Sigma can Change Higher Education Norma Simons Performance Innovation LLC Secretary ASQ Education Division

2 Learning Outcomes Understand the value of project selection Identify the parameters required for project management List the customers of a typical institution and their requirements Briefly outline the DMAIC process for problem solving List some concepts associated with identifying typical measurements to assess performance

3 Some Challenges in Higher Education Crushing debt Low graduation rates Internal Systems Runaway Costs Effects of Globalization Increase Tuition

4 The Approach Changes must be made to internal systems Total involvement of staff and academic personnel Need for collaboration with academic and non-academic personnel Develop and use a system of process management

5 Lean Six Sigma Requires a Fundamental Change to the System Previous performance level New Level of Performance

6 Some Current Wastes in Higher Education Lack of standardized processes Errors Duplication of efforts Ineffective use of resources Work around Excessive wait times Long lead times Long cycle times Excess inventory Ineffective use of problem solving techniques High drop out rates

7 Accreditation - HLC AQIP: Academic Quality Improvement Program Approach based on Baldridge Quality Award philosophy Focuses primarily on processes and improvements A systems Portfolio Quality Projects (3 ongoing quality projects)

8 Lean Six Sigma A Breakthrough Model Six Sigma Objectives Lean Objectives Shift Process Average Reduce Process Variation Standardize Processes Reduce: Waste Non-Value Added Work Cycle Time Improve Process Flow Reduce Process Complexity Lean Six Sigma Improves Quality, Cost, and Accountability

9 Project Selection

10 Project Difficulties Projects never come to a conclusion Projects do not produce data or show results Changes are not maintained over time Projects do not seem to fix underlying issues No structured process for project selection Effect of projects dissapear

11 Requirements Project Selection Process Project Management Knowledge Techniques to Manage and Maintain Change Performance Metrics Problem Solving Model and Tools

12 Value of project selection Burning Platform areas that are linked to the survival of the institution Pain points areas that might be bottlenecks Potential areas for waste loss of money Set priorities for the institution Linking project to the strategic plan Means of communicating to the institution on the areas that are important

13 Project Selection Process Lean Six Sigma Project Selection DMAIC Sustain Feedback

14 Project Distribution Target for Project Selection DMAIC Just do it Large Projects -World Hunger PDSA Too Easy Too difficult

15 Enterprise Value Stream Mapping Purpose of Enterprise Value Stream Map: Create a visual map of a process that has a major impact on the institution Identify issues/pain points that may influence the flow of the process Select projects and outline the scope Ensure that teams are able to keep the vision of the big picture as the project progresses

16 Enterprise Value Stream Map - Example

17 Sources for Project Selection Ideas from individuals outside of the university Surveys of students and other customers Review departmental metrics/performance Observing students Personal involvement in university processes Review of complaints/surveys Reviews from the Balance Scorecard Evaluate processes in crisis Employee Suggestions Etc.

18 Project Selection Process Source Customer Dissatisfaction Gather the Team/Council Brainstorm proposed projects Performance Gaps KPIs, Balanced Scorecard AQIP Requirements Other College goals or Requirements Or Value Stream Mapping Review list & restate Discuss the Criteria Discuss & commit to top projects Select projects with the highest score Use Criteria to score each project

19 Some Projects Faculty Growth and Evaluationevaluating/mentoring faculty Academic Advising- a process for academic advising Blackboard Course Load- improve the process to create Blackboard courses Approved Textbook List- a process to create a master textbook list Nursing Student Lifecycle Project- a process for early identification of nursing students who would not be admitted to professional nursing program Career Readiness a process for determining career readiness for students

20 Project Management

21 Developing the Project Charter Business Case Problem Statement Deliverables Team Members Scope Definition Measurements

22 Project Management Business Scope Case Definition Structured review process Outlining Project Charter Problem Statement Deliverables Team members Scope definition Measurements

23 Personnel Involved Champion Team Leader Team Members Sponsors Process Owner Subject Matter Experts

24 Phases of the Lean Six Sigma Breakthrough Methodology Define Measure Analyze Improve Control Who is the customer and what are their needs What are the most important causes of the defects or variation What actions are needed to sustain improvement How is the process defined and how are defects and/or variation measured How can the causes of the defects be eliminated or variation reduced

25 Gantt Chart - Sample

26 Sample of Phase Review - Define 1. Who does the team believe is the customer(s) of the project? 2. What are the needs of the customer(s) of the project? 3. What are the requirements of the customer of this project? 4. Has team developed a charter for the project: -Business Case -Problem Statement -Scope of the Project -Deliverables 5. Do the team members know their various roles and responsibilities? 6. Has the team developed a map of the current state? 7. Have key dates been determined?

27 Advantages of Project Management Ability to narrow the scope of the project Manage the project in terms of resources Phase reviews and sign-offs Outline project deliverables Final presentation and sign-offs

28 The Voice of the Customer

29 Who is the Customer The Student Anyone who has to take a hand-off from someone else

30 The Interview Process 3-5 individuals 2-3 Interviewers Facilitator Note Taker Observer Develop a relationship! Ask open ended questions Probe Deeply Record on tape if possible Debrief summarizing after the session is over Probe deeply, beyond the stated need. What problem do they need solved? Is there anything else Are you satisfied with Can you think of a time when.. Could you conceive of an example of What events led up to Describe the worst experience you ve had with What s your greatest pain Tell me about a time when Describe the ideal product for How does the product allow you to

31 Sample of a Survey

32 CTQ Tree At the end of the Survey

33

34 Structured Problem Solving

35 Problem Solving Techniques

36 Outline of the DMAIC Process Define Measure Analyze Improve Control Define the problem Measure the baseline of the effect of the problem Analyze data to determine root causes Improve the process Implement the solution Control the process, standardize, and document Sustain the gains

37 Lean Six Sigma Green Belt - Program Summary 37

38 Improvement Strategies Medium Gains Large Gains Launch New Product, Service, or Process Plan, Do, Study, Act (PDSA) Lean & Six Sigma (DMAIC) Design for Lean Six Sigma (DMEDI)

39 DMEDI or DMAIC Operation/growth goals DMEDI Define N Does a process exist Y DMAIC Define Measure Measure Explore Analyze Develop N Is gradual improvement possible Y Improve Implement Control

40 Measurement

41 Looking at Measurements Lagging indicators Leading Indicators

42 Internal & External Measures Reflection of Internal Process Results Internal Process I N TE R N A L M E A S U R E S Internal Process I N TE R N A L M E A S U R E S Internal Process E X T E R N A L M E A S U R E S End- Customer Reflection of Internal Process Results

43 Deploying External Measures Example Loan default Review data regression analysis Identify signals of default Dropping out Attendance Switching programs Grades

44 VOC vs. VOP What does this mean for Higher Education? Customer requirements increasing Voice of Process The Voice of the process is independent of the Voice of the Customer

45 Importance of Measurement Gaps in measurement systems: No data collected The wrong data collected Data collected only on the KPIs (Y s) and not the (X s) Lack of an effective measurement system Inadequate use of data Poorly defined metrics

46 Sustainability Organizational culture Reward and recognition systems Recognizing the need for improvement Ensuring that Lean Six Sigma become a way of life Linking measurements to strategy and overall direction of the company Adjusting measurement systems so that they can evaluate effectiveness and efficiency of processes Effective use of the audit process- changing from compliance to performance audits

47 Lessons Learned

48 Cultural Accomplishments People are anxious to be involved in projects High demand for training Desire for VOC data Rapid adoption of specific tools Desire to find root cause, metrics, manage processes, have a process owner Differentiating between leading and lagging indicators Projects are shorter, don t show drift, remain focused

49 Accomplishments cont. Encourages discussions across the silos Tools encourage different and unique thinking Changes the conversation focus on processes vs. blaming departments or people Provides a structured approach DMAIC Introduction to a problem solving methodology Emphasizes the need to go deep find systemic issues Avoid the temptation to jump to solutions Relevance of selecting problems/issues that relate to strategic issues

50 Thank You Norma Simons President Performance Innovation LLC

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