How Project Management Differs Six Sigma? - Henry Harvin

Digital transformation has been the same Decade’s hottest new buzz word.

New tools and techniques support the journey of large and small companies competing for a larger part of their business in a fast-paced competitive environment.

But, is it enough to smooth the transformation phase of a business?

Can implementation of a stand-alone technology eliminate a bottleneck in the manufacturing process or help troubleshooting a system design flaw?

Although digital transformation is fast-tracking the growth of a company, it must also be supported by management methods for quality control and business transformation.

Likewise, Organisations are focusing on Project Management and Six Sigma tools and methods…

As we going to discuss the difference between Project Management and Six Sigma

here, some give more insights…

These topics may give more insights that helps in understanding the topic…

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What is difference between Project management and Six Sigma?

Project management focuses more on getting the project up and running than on finely tuning its quality and performance. It uses instruments such as the critical path method to ensure the project is done rapidly and efficiently. Project management works best to implement a new process once, instead of continuously refining a current process.

Project management lacks the means to measure performance and incorporate sustainable improvement solutions. Instead, it looks at how various project elements are doing, and aims to boost those that are falling, instead of concentrating on the whole process.

Whereas…

As, Six Sigma is the choice method for reducing variance and eliminating the number of faults a process produces. Also, Six Sigma strongly relies on statistical analysis and offers an army of tools to analyze current performance and help find the root cause of problems.

Six Sigma can provide the information to prove where and how a process should be changed. Six Sigma ‘s highly organized and data-driven design lets teams test their approach after it has been put into action.

Knowing the difference between Six Sigma and helping you differentiate between those ventures that need Six Sigma ‘s life long-term guidance and those that need the fast shot to get them on their feet.

Principles on which Project Management works..

Project is a temporary action to construct a new product, service or result. It has a defined start and finish in time, and thus defined scope and resources.

  • Technology creation for an enhanced business method.
  • Constructing a bridge.
  • Recovery efforts after a natural disaster
  • Increasing sales to a new regional market.

And all need to monitor expertly to achieve the on-time, on-budget results, and quality in learning and execution that organizations need.

Whether you’re responsible to develop a website, designing a car, moving an organization into a new facility, updating an information system, or just about any project (large/small).

The goal of project management is to create an end product that will bring about some improvement for the benefit of the company that initiated the project. It is the implementation, preparation, and management of a number of tasks require to supply this end product.

  • Create something new or changed,
  • Have a fixed time period: a defined beginning and end
  • Is extremely complex with respect to the job or organizations involved
  • Include Risk Management.
  • Require a change in Management.
  • Ensuring that resources are using it efficiently and for the highest value
  • Meets the specific needs of the project stakeholders

Whereas, Six Sigma has 5 Principles..

The Six Sigma idea has a simple goal – to deliver close-to-perfect goods and services for business transformation for optimum customer satisfaction

Goals are attain by a two-prong approach:
Focus on Customer

This is based on the common idea that “the customer is the king.” The primary purpose is to offer the customer full profit. A business needs to understand its customers, their needs, and also what drives or commitment in this respect. This involves setting the quality level as specified by the demands of the consumer or industry.

Identify and measurement of Problem

Map the steps for identifying areas of waste in such a given process. Collect data to discover the specific area of issue to address or transform. Have clearly defined data collection objectives including the description of the data that will be collected.

The reasons for the data collection, the expected insights, the accuracy of the measurements, and the establishment of a simplified data collection system. Determine whether the data helps meet the goals, whether or not the data needs to update, or whether additional details need to obtain. Identify the issue. Ask questions and figure out the root cause.

Get Rid from the Junk

Once the problem identifies, make changes to processes in order to remove variation, thus eliminating defects. Remove activities in a process that does not add value to the customer.
If the value stream does not show where the problem lies, tools will be used to help you discover outliers and problem areas. In the end, the bottlenecks and falls in the process are removed by removing the junk mentioned above.

Keep the Ball Rolling

Involve all of the stakeholders. Adopt a systematic framework where your team leads and collaborates on their diverse problem-solving expertise. Six Sigma processes can have a significant impact on the organization, so the team needs to be knowledgeable about the principles and methodologies used.

Specialized training and knowledge are therefore need to reduce the risk of a project or new design failures and to ensure the system performs optimally.

Ensure a sensitive and flexible environment

The essence of Six Sigma is the change and transformation of business. When a defective or inefficient process removes, a change in the working practice and employee approach is called for.

A strong culture of speed and flexibility to procedural changes can ensure simplified implementation of the projects. The people and departments involved will be able to adapt to change with ease, so procedures should be designed for quick and smooth adoption to facilitate this.

What are Project Management methods?

Project Initiation:

It is the first and foremost stage of Project Management. In this stage project, value and Feasibility is measure. Project Managers use two evaluating tools to decide to pursue the project or not.

Planning:

Once the project receives the yellow light, a clear plan is need to guide the team and to keep them on budget and on time. Planning is a blueprint and guidance for resource collection, financing collection, and the procurement of required materials.

The project plan offers guidance for the team to deliver quality results, manage risk, create awareness, communicate benefits to stakeholders and supplier’s management.

The project plan helps the team to understand the cost, timeline and scope of the project.

Execution:

This phrase of Project management is all about satisfying customer. Team leaders make this happen by allocating resources and keep them focused on their assigned tasks.

Execution depends on the process of planning. The team’s work and efforts during this phase are taken from the project plan.

Monitoring and Control:

Sometimes monitoring and control combined with the stage of execution. Because they often used at the same time. The project plan and team tasks needs to be constantly monitored. Calculating key performance indicators, Track variations allott time and cost are monitor by the team.

Closing:

This is the last and vital stage of Project management. When the project is ready to delivered to end user or customer. It helps the team to evaluate and document the project and move for next one. Previous mistakes and successes help in building better processes and team.

Whereas… The Six Sigma Methodology…

DMAIC and DMADV are the two principal Six Sigma methodologies. Each has its own set of advised organizational change procedures to implement.

DMAIC is a data-driven tool for developing current goods or services to better serve customers. For the 5 phases it is the acronym: D – Defining, M – Measure, A – Analysis, I – Improving, C – Control.    DMAIC is apply in the production of a product or in the provision of a service.

DMADV is part of the Six Sigma Design (DFSS) process use to design or re-design various manufacturing or service delivery processes for the product.
DMADV’s five phases are: D-Define, M-Measure, A-Analysis, D-Design, V-Validate.

DMADV is use where current procedures do not meet customer requirements, often after optimization, or when the implementation of new methods is necessary. This is done by Six Sigma Green Belts and Six Sigma Black Belts, both under Six Sigma Master Black Belts guidance. We’ll get later on to the belts.

The Six Sigma cycle begins with a customer centered approach.

Define

Phase 1: From a consumer point of view the business issue is describe.

Step 2: Set goals. What is it you want to do? What tools are you going to use to meet the targets?

Phase 3: Map the operation. Verify that you are on the right course with the stakeholders.

Measure

The second phase focuses on project metrics and the instruments used in the measurement. When do you feel better? How do you quantify that?

Step 1: Measure the numbers or supporting data for your problem.

Step 2: Defines yardstick for performance. Sets the “Y” mark.

Step 3: Assess what measurement device to use. Can that help you attain your result?

Analysis

Step three analyses the process of identifying the determining variables.

Step 1: Determine how efficient and effective your process is. Does this process help you attain what you need?

Step 2: Quantify numbers for your targets. Reduce defective goods by 20%, for example.

Step 3: Using historical data, identify variances.

This process analyses how the “X” impact “Y” changes. This step is where you define how you can improve the application of the process.

Step 1: Find reasons for that. Test for which of the “X” variables identified in Process III affects “Y.”

Phase 2: Uncover relationships among variables.

Step 3: Establish process sensitivity, defined as the accurate estimates that some variables may have, and still fall within acceptable limits, such as the quality of any given product. Which limits do X need to keep Y within specifications? What operating conditions could affect the result?

Using methods such as robust optimisation and validation collection, process tolerances can be achieved.

Control

You determine in this final phase that the performance objective identified in the preceding phase is well enforced and that the designed enhancements are sustainable.

Step 1: Validate the to be used measuring system.

Step 2: Develop process capability. Is the goal being fulfilled? Will the objective of reducing defective product by 20 per cent, for example, be achieve?

Step 3: Implement the process once the preceding step is met.

Six Sigma Techs

To achieve the desired result, the Six Sigma approach also uses a combination of statistical and data analysis methods such as process mapping and design and validated qualitative and quantitative techniques.

Brainstorm

Brainstorming is the key process of every problem-solving method and is often use in the DMAIC methods “improve” phase. Before somebody starts using any tools it’s a required operation. Via intense freewheeling group discussions, brainstorming includes bouncing ideas and creating new ways to solve a question.

Analysis of root cause

This method helps to get to the root cause of the issues under consideration and is used during the DMAIC process “analyse” step.

Customer Speech

It is the mechanism used by either internally or externally means to collect the “customer’s favour” or customer input. The technique aims at providing the best products and services for the customer. This measures client’s evolving requirements through direct and indirect approaches.

The question “why” is being posed in the 5 Why s technique, again and again, finally leading to the core problem. While “five” is a rule of thumb, the actual number of questions may be higher or lower, whatever it takes to get clap

The system 5S

This strategy is rooted in the Japanese working place energy theory. The 5S system is designed to eliminate waste and eliminate bottlenecks from ineffective work environment tools, equipment, or funds. Seiri (Sort), Seiton (Set in Order), Seiso (Shine), Seiketsu (Standardize), and Shinseki (Sustain) are the five steps in use.

Kaizen (Continuous Improvement)

The Kaizen technique is an effective strategy that enables a continual improvement engine for both the business. It is the procedure of monitoring, classifying and implementing improvements continuously. This is a valuable activity especially for the manufacturing industry. Collective and continuing reforms make sure waste and observe small efficiency.

Benchmark

Benchmarking is the technique which hires a set measuring standard. To gain an independent appraisal of the given situation, it involves making comparisons with other companies. Trying to compare important processes or departments within a business can involve performance benchmarks.

Poka-yoke (proofing for mistakes)

The name of this method originated from the Greek phrase meaning “to avoid errors,” and implies preventing the possibility of mistakes. During the production process employees spot and eliminate waste and inefficiency and human errors in the poka-yoke method.

Mapping the Interest Source

The mapping technique for value streams charts the current material flow for designing a future project. The aim is to eliminate inefficiencies and waste within the value stream and generate leaner operations. It defines seven different waste types and three different types of waste disposal operations.

Project Management tools

  • Practical knowledge and understandings of the project management tools
  • Gantt charts leads to successful projects.
  • Project management tools are frequently used in the process of planning, organizing and communicating to team while constantly managing resources, budgets, and schedules.

Whereas… The Six Sigma Tools

  • Flow Chart
  • Pareto Chart
  • Histogram Check
  • Sheet Scatter Plot
  • Control Chart

Six Sigma Rules

The Six Sigma training levels comply with unique curriculum conditions, education qualifications, job expectations, and eligibility criteria.

White Belt

That is the easiest stage, in which:

Any newcomer is happy to join.

People are working on project fixing issues with teams.

To recognize the core concepts of Six Sigma the student is needed.

Yellow Belt

Participant Here…

  • Takes part in as a member of the project team.
  • Improvements to the review process.
  • Gains knowledge of the various methodologies, and of DMAIC.

Green-level

The following requirements are required for that field of skills:

  • Understand the methods and methodologies used to solve problems.
    • Projects requiring any sort of company change are hands-on training.
    • Guidelines for Black Belt data collection and data analysis projects.
    • Lead the projects or teams in the Green Belt. 

Black level

This level shall include the following:

  • Minimum of three full-time employment years
  • Work experience in the core area of knowledge
  • Proof of completion of at least two Six Sigma project.
  • Presentation of expert knowledge in applying multivariate metrics to a variety of business change settings
  • Leading various teams in problem-solving project activities.
  • Teams of project training and coaching.

Black Belt Master

  • In order to achieve this level, the applicant must:
  • Be in ownership of Certification for Black Belt
  • Have educated Green Belts and Black Belts.
  • Also have minimum of 5 years of full-time jobs or proof of finalization of a minimum of ten Six Sigma tasks.
  • A proven work equity, with individual particular criteria, as set out here, for example.

The project management institute (PMBOK) became one of the accepted standards in an organization, in today’s service-based surroundings, where anything and everything is a project. And this PMBoK is widely used around the globe in various verticals of the industry. In short, the ideas in both PMBoK and Six Sigma have a lot of in common.

Both try to create a comprehensive project plan, create interaction logistics, the status of the project regularly, manage schedule, cost, and resources.

Six Sigma is not yet another product development programme:

Six Sigma is not yet another product development programme:

Don’t rush to the conclusions that Six Sigma is yet another project management plan or quality management plan that your company has pursued. This is not a new concept of project management that has been repackaged with old concepts.

Six Sigma has much more to do with constant improvement through processes that include cultural and statistical methodologies. While Six Sigma complements current project management principles, it differs in several ways. All Six Sigma and the traditional project management approach aim to reduce errors, deficiencies, track costs and risks and to monitor schedules.

What is Six Sigma? | Pyzdek Institute

Six Sigma addresses Normal Project Management flaws:

There are several examples where the benefits of project management have not been realized. It was not because they did not add value, but because they were unable to improve the impact of the methodology or assess the benefits added by the process changes. This is where Six Sigma provides a special viewpoint.

By providing a systematic data-driven method with skills and equipment, firms can easily measure the change before and after Six Sigma projects. Utilizing Six Sigma in someone’s project activities, users can easily determine the basic performance of the procedures and also find out the root causes of the problems so that they should improve and outstrip their performance levels.

There are no partial steps in Six Sigma:

Six Sigma Approach allows project managers to push their tasks to new levels of focus and dedication. But in standard / traditional project, it is possible to do away with informal implementation. But there’s no half measure in Six Sigma, where you can’t implement it in tiny bits.

Whether you’re absolutely in or not, so you’re in for a long time, and you’re not looking for short-term benefits. Often, this full-fledged strategy is a positive thing for the company because the degree of dedication affects everybody and results in a major improvement in the procedures.

Six Sigma offers the following robust methods and techniques:

Project leaders face a lot of challenges when collecting data and assessing, problem-solving, reviewing and interpreting processes and monitoring metrics and providing benefits. The Six Sigma Approach offers all the tools and strategies available for the project manager to address the challenges set out above.

It does not replace current organizational methodologies, but serves as a complementary approach that replaces established ways of defining, addressing and evaluating challenges, as well as meeting customer and company expectations in an analytical manner.

Six Sigma overcomes the inefficiencies of performance activities:

Six Sigma can also be implemented to operational management inefficiencies and can directly support the creation and management of strategic management. The tools and techniques of Six Sigma are much more widely applicable than those commonly used in project management.

In fact, Six Sigma and its methods strive more to recognize the root cause of the issues and avoid them from repeating than to try to mitigate the harm of each project.

Data gathering is the key to anything in Six Sigma:

Six Sigma also varies from traditional project management in terms of accuracy in managing the organization’s vital business processes. This comprehensive approach gives you a well-defined project charter that describes the scope, benefits and milestones of the project. In addition, all decisions made should be focused on adequate data collection, which will help to increase savings.

In normal project management, a company goes into it without fully understanding what the financial benefits will be. However, Six Sigma has a critical control process (DMAIC: Describe, Calculate, Evaluate, Develop and Monitor) that helps to measure, recognize problems and provide practical solutions to each and every problem.

Then Six Sigma has made its way into organizational culture in the world, and business-critical projects are seeing tremendous benefits. Whereas, Six Sigma also includes other important methods in Total Quality Management (TQM), Statistical Process Control (SPC), Define, Measure, Analyse, Design and Verify (DMADV) and more.

Six Sigma provides a comprehensive approach to project management which brings about a major shift in the corporate culture that can bring a long-lasting improvement.

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