Using Six Sigma Methodology to Improve Travel Request Process in Oklahoma DRS

Lyuda PolyunStatistical Research Specialist, Oklahoma DRS

9/16//2013

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What is Six Sigma?• Methodology for continuous improvement.

• Methodology for creating products/ processes that perform at high standards.

• Set of statistical and other quality tools arranged in unique way.

• Way of knowing where you are and where you could be!

• Quality Philosophy and a management technique.

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Improvements Based on Data

“In God we trust; all others bring data.”

- W. Edwards Deming

Good decisions are based on Data.

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Origins of Six Sigma

1987 Motorola Develops Six Sigma Raised Quality Standards

Other Companies Adopt Six Sigma GE

Promotions, Profit Sharing (Stock Options), etc. directly tied to Six Sigma training

Dow Chemical, DuPont, Honeywell, Whirlpool

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Sigma Numbers

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Six Sigma and Lean Six Sigma• Six Sigma was designed to specifically focus on

process variation.

• Lean has a tool set that is geared to improve process flow.

• Don’t separate them - combine them.

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Using Lean in Government• Creating value for the customer while using the

fewest resources possible. Getting the right service in the right amount to the right person at the right time.

• A way of thinking to adapt to change, eliminate waste, identify and solve problems, and continuously improve.

• The best tool to reduce costs/wastes while also increasing service/capacity.

• Do more with less.

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Improvement Events

Improvements fall into the following categories:

•Kaizen events •BPIs – Business Process Improvements •Benchmarking •Just Do Its •Organizational Culture of Improvement

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DMAICSix Sigma Improvement

Methodology

• A logical and structured approach to problem solving and process improvement.

• An iterative process (continuous improvement).

• A quality tool with focus on change management.

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DMAIC Methodology

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Selecting a Project• Process with the obvious defects.• Process with the capability issues.• Has the potential to result in increased revenue,

reduced cost or improved efficiency.• Project should have identifiable process inputs and

outputs.• A good Six Sigma project should never have a pre-

determined solution.• Has collectable data.

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Define – Phase 1 of 5

In this phase, the leaders of the project create a Project Charter, a high-level view of the process, and begin to understand the needs of the customers.

•Define the problem by developing a Project Charter.•Define process by developing maps of the process – SIPOC.•Define your customer and their requirements – Voice of the Customer: Customer Survey.

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Project Charter

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Measure – Phase 2 of 5

Measurement is critical.

•Determine how the process currently performs:

Value Stream Mapping

•Create a plan to collect the data:

Data Collection Plan

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Value Stream Map

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Data Collection

There is very little data on what customers truly need, how they are doing, or what are the problems/issues?

•What are the error rates on applications? •Why do we get phone calls? •How long should this process step take? •Are our instructions clear to customers? •What are our sources of complaints? •Etc.

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Make Data Collection Simple • Use check lists, frequency plots, and concentration

diagrams.

• Collect data by the people working with the process – creates engaged staff.

• Data drives problem identification which drives problem solving closest to the problem.

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Data Collection Plan

Defects Measurements

Time Measurements

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Benchmarking

Benchmarking is a way of discovering what is the best performance being achieved in another company, competitor or the industry.

•OMES Process•OKDHS Process

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Analyze – Phase 3 of 5

What does your data tell you?

•Visually inspect the data (Defects measurements)

•Closely examine the process

Time Analysis

Value Added Analysis

Value Stream Mapping

•Brainstorm potential cause(s) of the problem

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Defects Measurements

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Request Type

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Authorization Documents

Needed 399Sent 338

Resent 11 3.3%

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Cancelations

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Hotel Invoice Received From Customer

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Voice of the Customer: Survey Findings• 51% of customers travel 1-4 times per year.• 25% travel 5-11 times per year.

• 26.6% combine business travel with personal.• 72% of travelers know their plans in advance of 10

working days or more.• 76% of the respondents indicated that it takes 0-4 hours

to complete the booking from start to finish.

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Issues experienced with the current process

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Value Stream Map

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Identified Areas Needing Improvements

• Changes are made in 57% of requests.• Called for missing invoice in 12% of the cases.• HRD requests constitute 48% of all cases (possibly

design a new process for HRD).• 15% of requests are classified as “Other.”• Approval process for HRD requests: supervisors :

12.6h (5h for direct A900s).• VA/NVA analysis revealed that supervisor approvals

for HRD requests and collecting hotel invoices are Non Value Added activities the team is spending 15.6h performing.

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Improve – Phase 4 of 5

How will you fix the problem?

•Brainstorm solutions that might fix the problem.•Develop maps of processes based on different solutions (To-Be Maps).•Select the best solution(s).•Implement the solution(s).•Measure improvement.

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HRD Requests Future State Value Stream

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Unique Requests Future State Value Stream

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Root Cause Analysis – Fishbone Diagram

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Improvements to the Process• Eliminated waste and reduced the travel request cycle

time for HRD requests from 5.7 days to 3.6 days.• Numerous changes to the Sharepoint Travel Form

and travel resources.• Modified Form.• Created system of accountability for people who

consistently abuse rules of the travel process. • Pilot: allow frequent travelers to use agency’s p-card.• Office Improvements.• Event Coordinator Position.

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Control – Phase 5 of 5

How do you sustain the new improvement?

•Continuously improve the process using Lean principles.•Ensure the process is being managed and monitored properly.•Apply new knowledge to other processes in your organization.•Share and celebrate your success.

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Contact Information

Lyuda PolyunStatistical Research Specialist, Oklahoma DRS

lpolyun@okdrs.gov

linkedin.com/in/lyudapolyun

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