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Lean Six Creativity
Article information:
To cite this document: Roger W. Hoerl, Martha M. Gardner, (2010),"Lean Six Sigma, creativity, and innovation", International
Journal of Lean Six Sigma, Vol. 1 Iss: 1 pp. 30 - 38
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http://dx.doi.org/10.1108/20401461011033149
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IJLSS
1,1 Lean Six Sigma, creativity,
and innovation
Roger W. Hoerl and Martha M. Gardner
30 GE Global Research, Niskayuna, New York, USA
Abstract
Purpose – Creativity and innovation have recently emerged as the latest focus of the popular
business media, replacing established approaches, such as Lean Six Sigma (LSS). Some have gone so
far as to suggest that LSS inhibits organizations from being creative and innovating. This paper aims
to dig beneath the surface of the media reports to examine what creativity and innovation actually are,
and how they relate to LSS.
Design/methodology/approach – The paper reviews current literature on creativity and
innovation, and based on extensive experience implementing LSS, compare and contrast the
approaches, searching for common ground.
Findings – Not surprisingly, the paper finds that the terms creativity and innovation are typically
not well defined in the media, and are used more as “buzzwords.” In reality, it argues, LSS clearly
stimulates creativity. However, it is not the best method for identifying ideas for breakthrough
innovation. Therefore, to have a holistic improvement system, organizations must combine LSS with
other methods and approaches that are better suited to breakthrough innovation. It suggests one such
approach: via a practical healthcare example, it contrasts this approach with a singular focus on
disruptive innovation, which is too often recommended as a panacea in the media.
Practical implications – The findings suggest that organizations should develop holistic
improvement approaches that are not based on one methodology, no matter how good that
methodology is. The paper provides practical guidance as to how such a holistic approach should be
constructed, and identify the critical role that LSS plays in this approach. LSS will clearly still be
needed.
Originality/value – The paper provides a balanced viewpoint on continuous improvement and
innovation, avoiding a position of advocacy of one versus the other. This proper context should help
organizations properly integrate both into a broader improvement system.
Keywords Continuous improvement, Health services, Six sigma, Innovation, United States of America
Paper type Viewpoint
Introduction
All one has to do is look at any recent issue of The Harvard Business Review to realize
that innovation is a major focus in the business world these days. Although different
folks have different definitions of innovation, there is no doubt that it is the hot topic of
the day. Many conferences and meetings are being held to uncover the secrets behind
successful innovation. New innovation processes are being defined and this, of course,
leads to many questions, such as how to integrate these new processes into current
processes used for new product development, such as design for Six Sigma (DFSS), or
whether there should be brand new processes. Some discussion has even speculated
International Journal of Lean Six that folks who are good at Lean Six Sigma (LSS) may not be good at innovation and
Sigma vice versa. The authors believe that if LSS is viewed as rigorous application of the
Vol. 1 No. 1, 2010
pp. 30-38 scientific method, then innovation does not need to be an either/or discussion, but
q Emerald Group Publishing Limited rather a discussion about what is best for the specific problem or question at hand.
2040-4166
DOI 10.1108/20401461011033149 To probe this further, we first give an honest assessment of LSS, followed by
a discussion of the differences between creativity and innovation, and then our view on LSS, creativity,
the role of LSS Sigma as it relates to both of these topics. Finally, we provide a specific and innovation
example of what happens with a myopic focus on innovation – the case of the US
healthcare system.
Concept Feasibility
development assessment
Design for Six Sigma (DFSS) methodology
to develop a product right the first time.
Product development Clearly define problems that need to be
solved in the system, solve them, and
Product Prototype and understand the variability in the system
Design
definition test
Product launch
Production
Commercialize
ramp
Lean and DMAIC (Manufacturing
Ongoing operations services)
Figure 1.
The process of innovation Continuous
with LSS roles improvement
respect to the CTQs, recognizing that a key output of this phase is understanding of the LSS, creativity,
variability in the system. Multiple prototypes may be shared with the customer for and innovation
detailed feedback. The overall goal is to ensure quality is designed into the product so
that first time yield and customer acceptance is high.
As teams approach the product launch phase, lean concepts are critical. Being first
to market typically means a higher success rate and higher profits. Eliminating waste
helps an organization gain efficiencies in all aspects of their business processes, 35
especially those that impact the customer. The ease with which customers can do
business with your organization can be just as important as the performance of your
product.
Once organizations successfully launch a product, improvement must still be
emphasized. This is a critical point often overlooked by the media, or others in search
of a next flavor of the month. In every new product or service launch that we are aware
of, there have been some bugs that needed to be addressed to achieve desired
performance. Similarly, if businesses totally divert their attention to the next major
launch, without a balanced emphasis on improving existing products and services, the
new launch will gradually deteriorate in quality and process performance. Conversely,
if organizations rigorously utilize continuous improvement methods, such as LSS, to
implement continuous improvement and incremental innovation, the new product
quality and business results will improve over time, setting the stage for the next
breakthrough innovation.
Summary 37
Innovation appears to be the next business fad promoted by the popular and
professional media, replacing lean and Six Sigma. Part of the reason for the “demise” of
LSS is that it was clearly oversold, and some vocal proponents made promises that LSS
could not keep. Conversely, this reduction in popularity is not due to any conflict
between LSS and creativity, as we have shown that creativity is an integral part of the
DMAIC process. LSS is not the best method for identifying opportunities for disruptive
innovation, however. Innovation, especially disruptive innovation, is critically needed
for businesses to succeed long-term. However, a myopic focus on innovation, without
balancing this need with the need for basic problem-solving and continuous
improvement, is a path towards financial disaster. This last point has been predicted
by Bisgaard (2008), and also demonstrated by the US healthcare system. Organizations
seeking long-term success will need a balanced approach to business improvement that
includes methods for basic problem-solving, approaches to continuous process
improvement, such as LSS, and also systems to identify opportunities for disruptive
innovation.
References
Altshuller, G. (1992), And Suddenly the Inventor Appeared, Technical Innovation Center,
Worcester, MA.
Berwick, D.M., Godfrey, A.B. and Roessner, J. (2002), Curing Healthcare, Wiley, London.
Bisgaard, S. (2008), “Geared towards innovation”, Quality Progress, September, pp. 20-5.
Brassard, M. and Ritter, D. (1994), The Memory Jogger II, GOAL/QPC, Methuen, MA.
Central Intelligence Agency (2008), Central Intelligence Agency World Factbook, Central
Intelligence Agency, McLean, VA, available at: www.cia.gov/library/publications/
the-world-factbook/
Hindo, B. (2007), “3M’s innovation crisis: how Six Sigma almost smothered its idea culture”,
Business Week, June 11.
Kaiser Family Foundation (2007), Trends in Health Care Costs and Spending, Kaiser Family
Foundation, Menlo Park, CA, September, available at: www.kff.org
Montgomery, D.C. and Woodall, W.H. (2008), “An overview of Six Sigma”, International
Statistics Review, Vol. 76 No. 3, pp. 329-46.
National Coalition on Health Care (2008), Health Insurance Costs, National Coalition on Health
Care, Washington, DC.
Random House (1981), Random House Dictionary of the English Language, Random House,
New York, NY.
Reuters.com (2008), “R&D spending by US biopharmaceutical companies reaches record
$58.8 billion in 2007”, Reuters.com, March 24.
Science Daily (2008), “Medical errors cost US $8.8 billion, result in 238,337 potentially preventable
deaths, study shows”, Science Daily, April 8.
IJLSS Snee, R.D. and Hoerl, R.D. (2007), “Integrating lean and Six Sigma: a holistic approach”, Six Sigma
Forum Magazine, Vol. 6 No. 3, pp. 15-21.
1,1 US Congressional Budget Office (2008), Technological Change and the Growth of Health Care
Spending, US Congressional Budget Office, Washington, DC, January.
World Health Organization (2000), World Health Organization Assesses the World’s Health
System, press release, World Health Organization, Geneva, June 21.
38 World Health Organization (2008), World Health Statistics 2008: Global Health Indicators,
World Health Organization, Geneva.
Xu, K., Sikdar, C. and Gardner, M.M. (2006), “Six Sigma roles in innovation”, paper presented at
the IEEE International Conference on Management of Innovation and Technology,
Singapore.
Further reading
Montgomery, D.C. (2005), Introduction to Statistical Quality Control, 5th ed., Wiley, New York, NY.