CQSDI 2008

Converging SCOR & Lean Six Sigma:

Supply Chain Excellence

A United Space Alliance Supply Chain Case Study

Laura Mills, C.P.M. Amy Petitt Scott L. Sealing
Lean Six Sigma Black Belt Lean Six Sigma Black Belt Project Lead, SCM

March 3, 2008

1
Agenda

• Overviews:
– Supply Chain Operations Reference model
(SCOR)
– Six Sigma and Lean
• Toolset Integration
• Supply Chain Optimization

2
Complimentary, not Competitive
• Standard framework
• Identification of Improvement opportunities
• End-to-End Visibility

SCOR

LEAN Converge SIX SIGMA

Making Complex Supply Chains Simpler

3
 Establishing a Framework
• SCOR provides a valuable framework and infrastructure.
• Lean focuses on reduced
lead time and reduced costs.
• Six Sigma focuses on SCOR
improved quality and
reduced costs.
• The convergence combines Lean Focus Six Sigma
the benefits and power of Focus
all three methodologies. Shorter Delivery
Times
Improved Product
Quality

Improvement
Resulting in sustainable Opportunities &
Improvement Opportunities Reduced Costs

4
Convergence Continuum

Identify
Opportunities
SCOR

Implement Prioritize
Solutions Opportunities
Lean
Six Sigma
Discover
Root Causes
5
Convergence is a Structured Approach
SCOR
Combined
Lean 6 Business
Business
Strategy
Strategy

Supply Chain
Supply Chain
SCOR Benchmarking
Benchmarking

Supply Chain
Supply Chain
Assessment
Assessment

Value
Value Stream
Stream
SYNERGISTIC
Mapping
Mapping
Lean Six
Six
Six Sigma Projects
Sigma Projects
Sigma and Kaizen
and Kaizen

Bottom-line
Bottom-line
Results
Results

Convergence bridges the gap between strategic

enterprise planning & continuous improvement