Six Sigma in Project Management · Web viewOn the other hand, the goal of the Six Sigma methodology...

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Six Sigma in Project Management - Sam M. Al Maleh In my pursuit of self-improvement, I followed up on my MBA and PMP credentials with a Six Sigma Black Belt certification. Here, I wish to outline how the three distinct learning experiences converge and differ from a project management context. Most projects are process improvement projects [1], aimed at yielding better results than what is currently observed. This is the basis on which project management professionals ply their trade. It is also well aligned with the Six Sigma methodology (as well as Lean Management), which relies on generating and analyzing data to identify where bottlenecks to a process exist. The bodies of knowledge possessed by the varied organizations which are dedicated to these methods share many of the frameworks that we use as part of PMI's PMBOK. For example, scheduling is monitored with network diagrams, cost-benefit analysis is performed to prioritize projects, and RACI charts are the first step in stakeholder and responsibility analysis. What brings the two entities closer is the nature of Six Sigma itself. Popular in the military sector [2], Six Sigma yields a high degree of efficiency in a body of knowledge that can be adapted and adopted by different sectors from logistics to healthcare. Whereas lean is a management philosophy aimed at reducing waste and bottlenecks, Six Sigma, at its core, is a project that is built through a project team. In the Six Sigma project, we define the project's goal through a charter, plan and execute the work, and monitor the data to ensure that implemented changes are under control. Ultimately, the Six Sigma project is intended to ensure that a positive change is brought to how products, services, and processes are managed [3].

Transcript of Six Sigma in Project Management · Web viewOn the other hand, the goal of the Six Sigma methodology...

Page 1: Six Sigma in Project Management · Web viewOn the other hand, the goal of the Six Sigma methodology is improving results and eliminating defects or waste, a very specific goal in

Six Sigma in Project Management

- Sam M. Al Maleh

In my pursuit of self-improvement, I followed up on my MBA and PMP credentials with a Six Sigma Black Belt certification. Here, I wish to outline how the three distinct learning experiences converge and differ from a project management context.

Most projects are process improvement projects [1], aimed at yielding better results than what is currently observed. This is the basis on which project management professionals ply their trade. It is also well aligned with the Six Sigma methodology (as well as Lean Management), which relies on generating and analyzing data to identify where bottlenecks to a process exist. The bodies of knowledge possessed by the varied organizations which are dedicated to these methods share many of the frameworks that we use as part of PMI's PMBOK. For example, scheduling is monitored with network diagrams, cost-benefit analysis is performed to prioritize projects, and RACI charts are the first step in stakeholder and responsibility analysis.

What brings the two entities closer is the nature of Six Sigma itself. Popular in the military sector [2], Six Sigma yields a high degree of efficiency in a body of knowledge that can be adapted and adopted by different sectors from logistics to healthcare. Whereas lean is a management philosophy aimed at reducing waste and bottlenecks, Six Sigma, at its core, is a project that is built through a project team. In the Six Sigma project, we define the project's goal through a charter, plan and execute the work, and monitor the data to ensure that implemented changes are under control. Ultimately, the Six Sigma project is intended to ensure that a positive change is brought to how products, services, and processes are managed [3].

Figure 1 – Taiichi Ohno, Inventor of the Toyota Production System (TPS) [4]

Naturally, such frameworks should neither be taken for granted nor ignored. After all, frameworks are tools and not ends. That said, one thing that can be said for applying a Six Sigma methodology onto your

Page 2: Six Sigma in Project Management · Web viewOn the other hand, the goal of the Six Sigma methodology is improving results and eliminating defects or waste, a very specific goal in

project (ongoing or starting) is the strong reliance on data – hard facts and figures – which can be used to make better decisions, often supported by computational analysis from simple regression to an AI predictive tool. It is this benefit that makes it such a useful tool in this day and age.

In contrast, Six Sigma projects are identified by the progression through phases that have a vague similarity to the waterfall method we are accustomed to. Planning gives way to measurement and analysis, a deeper, more technical focus than the holistic overview our planning phases take. Control is meant to see whether the improvements implemented in a Six Sigma project are maintained after the fact, taking over the closing phase [5].

Why is this the case? Each roadmap is intended for a different goal. In PMBOK, the tools and methods are made with the goal of providing the best practices across multiple disciplines. For example, a project manager with an engineering background might rely on PMBOK for stakeholder or communication management, while a project manager from the health sector might benefit from network diagrams or burndown charts. On the other hand, the goal of the Six Sigma methodology is improving results and eliminating defects or waste, a very specific goal in comparison.

In your next project, it would be worthwhile to investigate which Six Sigma tools can be incorporated into the agile or waterfall method. Even if the project is not explicitly meant for creating an improved process or product, using a statistical analysis approach can bring great benefits to the planning and monitoring phases or in sprint retrospectives. This is especially true now, with the increasing use of predictive data modeling, machine learning, and artificial intelligence tools.

[1] Rever, H. (2008). Five key elements to process improvement project success. Paper presented at PMI Global Congress 2008 - North America, Denver, CO. Newtown Square, PA: Project Management Institute

[2] Six Sigma Daily (2012). Six Sigma and the Military: Improved, Highly Efficient Defense

[3] Anbari, F. T. (2002). Six sigma method and its applications in project management. Paper presented at Project Management Institute Annual Seminars & Symposium, San Antonio, TX. Newtown Square, PA: Project Management Institute

[4] The Toyota Production System (TPS) is an international role model for lean industries and a distinctive Toyota feature. It is a landmark for outstanding quality and applies to all stages of the Toyota business. Its inventor, Taiichi Ohno, was inspired by the way in which shelves were immediately replenished in the American supermarkets once the customers took what they needed. He applied and perfected the same principles in the warehouse. [Source]

[5] Jainendrakumar, T. D. (2008). Six Sigma vs. PMBOK: Complementary and Mutually Supporting Methodologies for Handling Projects. PM World Library