Lean Six Sigma Expert Explains How Companies Leave Revenue on the Assembly Line

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Every business owner is looking for a way to save on the bottom line. But are they looking in all the right places? Rucker and Associates Managing Partner Victor I. Klein explains how manufacturers can use Lean Six Sigma to save on transactional costs and accelerate business performance.

Victor Klein

It requires them to approach the Lean Six Sigma process is much the same way as a transactional company does—which means taking the invisible processes of product design, market research, and so forth, and mapping them so that they become tangible.

Every business owner is looking for a way to save on the bottom line. Executives in manufacturing are no different.

But are they looking in all the right places?

In a recent article, Rucker and Associates Managing Partner Victor I. Klein writes that manufacturers often ask for help using Lean Six Sigma to improve physical processes when searching for cost-saving measures. But the principles can – and should – be applied to transactional costs.

“By ignoring invisible (or transactional) costs, opportunities to significantly improve your bottom line can be missed,” Klein writes. “And with business transactions comprising 15 percent of the cost of producing a product, this is an area certainly worthy of attention.”

Klein and his team at Rucker and Associates use keen insight to help organizations accelerate business performance. In the process of consulting with organization teams to implement Lean Six Sigma procedures, his group breaks down the physical and invisible processes, and explains how the transactional approach can be used for any business, from manufacturers to advertising agencies. For manufacturing companies, it can be a difficult shift in focus.

“It requires them to approach the Lean Six Sigma process is much the same way as a transactional company does—which means taking the invisible processes of product design, market research, and so forth, and mapping them so that they become tangible,” he writes. “But, by making this shift, the rewards can be great."

Klein has 26 years of experience in Lean and Six Sigma improvement initiatives. His experience leading hundreds of team-based Kaizen events has resulted in expertise in visualizing, leading and executing dramatic plant-wide transformation at Siemens and GE Medical Systems.

His Kaizen workshops often focus on continued testing and standardization of improvements around inventory, quality and productivity. All told, they mesh within Lean Six Sigma improvement strategies to help organizations learn, take action and improve their performance.

Victor’s extensive background includes program applications across industry, including: higher education, government, marketing firms, delivery, the financial industry as well as industrial applications in medical, electronics, plastics and the automotive industry.

According to Jim Buckman of the University of Minnesota, “Recent Kaizen improvements constitute a more disciplined quality improvement in the last few months than I have observed in the last two decades.”

Buckman would know about quality initiatives. He is executive director of the Joseph M. Juran Center for Leadership in Quality at the University’s Curtis L. Carlson School of Management. In this role, he oversees the University’s repository of research, new ideas and scholarship related to quality improvement.

To learn more about how Lean Six Sigma can make a dramatic difference in organizational transactions, read Klein’s article in its entirety at http://www.ruckerassociates.com

Rucker and Associates is an insightful consultancy dedicated to helping companies discover dramatic new efficiencies using Lean Manufacturing and Six Sigma improvement methodologies. Rucker’s hands-on mentoring process with clients produces dramatic results – training teams to accelerate change and implement continuous improvement. The company has extensive success in process change within manufacturing, service and distribution, healthcare, higher education, retail and construction organizations. Every Rucker project features an unconditional guarantee.

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