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LEAN SIX SIGMA & BUSINESS PROCESS MANAGEMENT

How do you achieve long-term business success, especially in today’s dynamic business environment with growing global competition? The answer is simple - it is the ability to adapt. Adaptability enables a business to stay ahead of new competitors, evolving technology and ever-changing customer needs. Lean Six Sigma and BPM can help you with this.

Innovative operational improvement solutions can lead a business to a successful transformation. Lean Six Sigma (LSS) and Business Process Management (BPM) are the most widely used approaches among them.

LSS and BPM – The Concepts and The Combined Power

LSS and BPM are standalone change methods with one common goal.  That is to empower companies to better optimize and manage processes efficiently for effective continuous Business Process Improvement. Let’s explore the concepts and how powerful they can be if combined together:

The LSS & BPM Concepts

LSS mainly focuses on finding the variations in processes and understanding how they impact the overall business operation. It allows organizations to figure out what is preventing them from making their business processes more predictable and stable.  This is to minimize tolerances in output and achieve pre-defined objectives.

On the other hand, BPM links improvement and process design efforts directly to the management system as well as the organizational strategy. This allows organizations to achieve efficiency and increase profitability by focusing on their customer needs and business needs through effective process performance.

Also, a BPM environment clearly identifies three things: (a) the expected participants involved in the improvement of a process (b) the production of that process, and (c) proper utilization of that production. These, in turn, reveal the limitations or bottlenecks in an operation, which Lean Six Sigma is not able to offer.

LSS & BPM – The Combined Power

Lean Six Sigma

 

 

In reality, Lean Six Sigma (LSS) and Business Process Management (BPM) have much to contribute to each other. There are many touch points of Lean Six Sigma and BPM in an organization.  Hence if these were connected, it can give a company a competitive advantage over others.

First of all, Lean improves a number of activities at a time. Whilst Six Sigma focuses on a single activity or a group of steps implemented to achieve a specific improvement. Therefore when the project is long drawn, both of them lose focus of the bigger picture.  Yet this is where BPM steps in.

Ideally, a BPM environment is especially relevant for the foundation of Lean Six Sigma. Furthermore, when it comes to supporting broader and less defined improvement efforts, Lean Six Sigma depends on the models and associated information provided by BPM. It looks at the enterprise-wide process management and creates a framework for facilitating the ongoing changes.

Therefore A BPM environment helps in monitoring, evaluating and controlling processes.  Hence eventually, optimizing initiatives at a higher level across various technologies and applications within a business. Furthermore it complements and accelerates Lean and Six Sigma by expediting the process of change. That is, integrating the data-driven focus of Lean Six Sigma with the real-time controls and automation of BPM can offer the following benefits:

  • Better approach to problem-solving
  • Enhanced control and automation
  • Faster real-time execution of processes
  • Reduced delivery time
  • Improved long-term performance
  • Better characterization, understanding and management of entire value chain
  • Proper alignment of resources
  • Identification, measurement and monitoring of KPIs
  • Agility and speed
  • Stronger customer focus
  • Increased revenues

The combination of Lean Six Sigma and BPM is quite promising for achieving continuous business improvement. However the realization of this effective collaboration is rarely applied by organisations. Most noteworthy is that collectively, these two disciplines can create a lean enterprise solution. Consequently providing the basis for sustainable growth of an enterprise and helps it become agile to an ever-changing business environment.

Find out more about PRIME

PRIME Analyser

"Even if we are still under the process improvement journey, PRIME has given us a solid platform to achieve the process excellence.
I would recommend PRIME for any future endeavors within the Business Process Management projects."

 

Alana Tibbitts
Manager (Business Systems &
Support) | Office Of The General
Manager

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