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LOG351 Lean Six Sigma For Supply Chains

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Answer:

Analysis tools for solution

Improve is the stage involving identifying and selecting solutions. Potential solutions aim at eliminating and reducing root causes, prevent recurring of problems and reduce differences in the problem. Solving the problem includes

  • Generating solutions
  • Select, evaluate and prioritize solutions
  • Develop pilot studies
  • Carry out a tollgate review

Provide recommendations and implementation

Ninja van logistics is an organization that provides logistic services in Singapore. The main clients are state regulatory agencies and e-commerce businesses like Zalora, Toys R Us, and Watsons. Customer satisfaction is the backbone of any company. For a company to succeed, they have to focus on customer needs through the voice of a customer (VOC) (Martin, 2014). VOC is a method that is used to identify needs of the customer and the benefits customers get from those needs. Clients’ needs and expectations differ and therefore a VOC analysis helps to minimize complexity when serving customers and provide scale economies. Customer survey approach collects information on customer satisfaction and expectations to assist the company to create strategies for service improvement (Montgomery, Runger, & Hubele, 2007).

For Ninja van to satisfy its clients, they need to understand the needs and their impacts to the customers (Yang, 2005).  They can do this by applying the following techniques

  1. Brainstorming

This method aims at making people improve creativity within the company.it uses ideas from all members that are free from judgments and criticisms. Based on the problem of delayed deliveries, thinking and creativity are the forms the basis of discussion in order to consider and collect many solutions and ideas within a short time. The process begins by identifying a problem, gather ideas and revisit the list then decide on one the best ideas (Nave, 2002).

  1. Analytical Hierarchy Process (AHP)

The Analytical Hierarchy Process (AHP) is an improvement tool used for decision making and problem-solving in an environment requiring skills and knowledge. AHP acts as a guide to project teams to select a relevant decision that suits their understanding of the need.  APH  is a model representing an issue in a hierarchy involving decision objectives, the criteria, and contribution towards attaining the goal and alternatives.

AHP diagram

  1. Affinity Diagram

They help the company to organize verbal information, opinions, ideas and solutions into related categories. It is usually combined with brainstorming to come up a concrete solution. The company may use it to classify different problems in order to come up with a solution.

Affinity diagram

Effort/Impact Matrix

It is a tool that is used make informed and quick decisions to implement long-lasting solutions. The facilitator leads members into a discussion of solutions generated to assess the effects and efforts needed in each solution. Further, each solution placed on an impact matrix and quick wins are selected and may consider other options as well e.g. those that use less effort but have more impacts on the business. In order to meet client needs, use high efforts for more impacts. The company can break the solution to manageable portions.

Impact matrix diagram

Recommended improvement tool

While ninja aims at delivering orders on time and reducing defects while delivering, customers expect the company to:

  • Offer real-timedistribution of ordered items.
  • Good customer service and delivery
  • Reduce damages during delivery.
  • Satisfy the clients in services provided.
  • Understand and prioritize their needs.

Ninja Van should use affinity diagram, brainstorming and impact matrix to generate solutions. This is because:

Brainstorming

Will help the Ninja Van Company to make a clarification and review the real problem of reducing defective when delivering orders. Managers will be able to generate ideas from the project team. Generating many ideas from each member will help come up with a strong idea of the problem. In brainstorming, members are given an allowance of time to discuss and write down their ideas. The project team can gather information then comment on them later. It is effective since it will give clear and consolidated ideas which represent the VOC.

Affinity Diagram

Use of affinity diagram will be effective since it will assist project teams to organize ideas, opinions, verbal data and solutions into similar categories. It is good since it can be used together with brainstorming. The ideas generated from brainstorm are then put in related categories and use the best solutions that represent the problem (Ittelson, 2009).

Effort/Impact Matrix

This project will be effective for the project team since it helps make faster and informed decisions on the relevant potential solutions for implementation. It gives an opportunity to assess relative and relevant solutions to business, the impact, and efforts of implementation needed for the solution. It uses an impact chart before deciding on the solution (Montgomery, 2010).

References

George, M. L., Rowlands, D., & Price, M. (2005). The Lean Six Sigma Pocket Toolbox, McGraw-Hill, New York, NY. New York: McGraw-Hill.

Ittelson, T. (2009). Financial Statements: A Step-by-Step Guide to Understanding and Creating Financial Reports, Second Edition. NJ: Career Press Inc., NJ.

Martin, J. (2014). Lean Six Sigma for Supply Chain Management: The 10-Step Solution Process, Second Edition. New York: McGraw Hill.

Montgomery, D. (2010). Design and Analysis of Experiments. New Jersey: Wiley.

Montgomery, D., Runger, G. C., & Hubele, N. F. (2007). Engineering Statistics. New Jersey: Wiley.

Nave, D. (2002). How to compare Six Sigma, Lean, and Theory of Constraint, Quality Progress. NY. Retrieved from Nave, D. (2002), “How to compare Six Sigma, Lean and Theory of Constraints”, Quality Progress, Vol. 35 No. 3, pp. 73-78.

Yang, K. (2005). Design for Six Sigma. New York: McGraw-Hill.

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