Case Study: Lean Six Sigma Improves Order Quality at Ingersoll Rand Security Technologies
IR took on the task of improving the order entry process, utilizing the DMAIC approach and Six Sigma tools. As a result of these efforts, defects were reduced dramatically. The process itself is approaching a 70-percent reduction in defects, moving from 0.5 sigma to 3.53 sigma. Customer satisfaction has also improved tremendously.
Improve Pricing Quality with Six Sigma Methods
This article describes a situation faced by a real company–we’ll call it Acme Industries Inc.–in which it was compelled to adapt its Six Sigma manufacturing expertise to improve its pricing processes. The initial goal of generating $500,000 in incremental revenues during the first year was handily exceeded in only three months. More important, a subsequent across-the-board list-price increase was fully reflected in the top line for this product. By contrast, other product lines realized less than half the increase. That list-price increase, together with the tighter controls the Six Sigma team developed and implemented, resulted in $5.8 million in incremental sales in just the first six months following the project’s implementation, all going straight to the bottom line.
Aluminum Trailer Company
Aluminum Trailer Company Merges Lean and Green Principles
Aluminum Trailer Company (ATC) president Steve Brenneman discusses how the recession spurred his company to use Lean techniques in 2009 battle a drop in sales. Through a combination of streamlined material, information and part flows, the establishment of standards, and the communication of said standards through his company, Brenneman was able to cut warehouse space in half while slashing the sales cycle from 7 to 3 weeks. In 2010, Brenneman shifted the focus to greening his company by using Deming’s PDCA (Plan, Do Check, Act) methodology to upgrade to more efficient lights, encourage plastic, wood, wire, and cardboard recycling for line staff, and cut paper use 50% in the office.
Louisiana-Pacific Corp Earnings Call Yields Surprises
Curtis M. Stevens, CEO of Louisiana-Pacific Corp, mentions how Lean Six Sigma assists his company in being more efficient and effective at its manufacturing facilities, which produce building materials, industrial wood products and pulp.
Plasticard-Locktech International (PLI)
Plasticard-Locktech International (PLI) Invests $4.6 Million, Utilizes Six Sigma For Quality Control
Plasticard-Locktech International (PLI) will be investing $4.6 million in facilities and equipment. This includes 30,000 square feet of production space and 42 new jobs, thanks in part to the adoption of Six Sigma for quality control. Six Sigma has helped PLI develop a system of checks to ensure high quality products and satisfied customers.
General Cable Drives Down Costs Annually Thanks To Lean Six Sigma
Adopting lean and six sigma over a decade ago has allowed General Cable to remain competitive in an extremely price-sensitive and cyclical industry. The company has 6 master black belts, 64 black belts, 211 green belts, 290 lean technicians that enable them to have a consistency of response — in other words, everyone has both the tools and knowledge to handle situations. As a result of this continuous improvement mindset, General Cable is expected to drive down costs by several percentage points annually.