DICTIONARY
This dictionary is for technical terms associated with lean, lean six sigma, ISO 9000, ISO 13485, ISO 14001, AS 9100, business process management.
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Action Item – a task or set of tasks to be completed.
Action Plans – intermediate-term plans characterized by definable activity that has measurable results.
Activity – found within the modules, each one has a sequence of steps in which the various tools are applied to your own “real” situation.
Assessing – evaluating an action to determine its effectiveness or efficiency.
Average Completion Rate – how many “items/things” an organization can complete each hour/day/week, etc.
Balanced Scorecard – a strategic management system used to drive performance and accountability throughout the organization. The scorecard balances traditional performance measures with more forward-looking indicators in four key dimensions: learning and growth, business process, financial, and customer perspective.
Batch Processing – A term used to describe a method of manufacturing in which a group of parts is completed during one step and then moved to the next step in the process.
Bottleneck – A term used to describe a step or steps in a process where work is unwantedly delayed.
Business Factors – the issues that relate to your own business organization and that directly affect your decision-making.
Business Process – series and sequencing of steps required in order to complete a task or transaction.
Cell – A group of machines or operations that are arranged in a manner to produce a product, or a work product (services) for the purposes of completing the product or work product from start to finish.
Change Roadmap – the combination of past, present and future states of your organization combined with the drivers that are causing you to move from the Present to the Future State.
Collaborative Group – any team or group working together with common goals and objectives in a cooperative manner.
Contract – Agreed upon requirements between an organization and customer.
Core Processes – the activities that create the primary value stream (important to the customer) in an organization.
Culture of Learning – a group driven by the values of challenging their own beliefs based on data and open communications.
Current Process or Problem – an existing sequence of steps, actions, or activities.
Current State – the immediate and actual situation of an organization when viewed from multiple perspectives.
Customer – Organization or person that receives a product (may be internal or external).
Department Linkages – the direct links in workflow, accountability, and mutual responsibility between two or more areas of an organization.
Department Measures – quantitative measurement of activities or results that inform the performance of a department.
Departmental Risks – the actions or potential actions by various departments within an organization that threaten the successful operation of a particular department.
DMAIC – a six sigma methodology to improve the current capabilities of an existing process. DMAIC: Define, Measure, Analyze, Improve, Control.
Downtime – The length of time a piece of equipment, or production line is not operational.
Drivers – those activities that facilitate an organization’s moving from its Current State to one in the future.
Employee Learning and Growth – the process by which members of the organization engage in activities that contribute to their career development and personal growth.
Error-proofing – A preventive measure that is used to reduce or eliminate mistakes in a process.
Expectations Template – the tool used to define the expectations of an individual employee.
Factors – reasons behind the existence of an organization that, when taken together, contribute to driving an organization’s mission, vision & values.
Five (5) Why’s? – This is the process of asking why multiple times (up to 5) for the purpose of identifying a root cause.
Five (5) S – The 5 S’s are: Sorting, Set in Order, Sweep (Clean), Standardize, Sustain. 5S helps to establish a culture/system that is focused on an orderly and safe work environment.
Flow – In lean, creating flow is desirable: getting parts to travel through a process at a rate to match customer demand.
Framework – a foundational perspective on subject matter.
Future State – the desired state of an organization based upon a clear description of various aspects of the organization at some future point in time.
Future State Action Plan – the set of activities and processes that lead to the desired Future State.
Future Statements – concise statements describing various aspects of the organization at some point in the future.
Gap Analysis – the process by which current practice is compared with a higher benchmark practice, resulting in an understanding of the difference (gap) that requires improvement.
Global Factors – the big picture, high-level, high-impact issues, which are unavoidable because they are happening everywhere and in every industry.
Group Work – Working in a small- to medium-size group of 3–8 participants.
Histogram – a graph which is a frequency plot used to evaluate the distribution of a set of data.
Implementing – making a new activity or process become real.
Industry Factors – the issues that are specific to an “industry,” however you define it, in which an organization participates.
ISO 9000 - An internationally recognized standard utilized for managing an organization’s quality system.
Just-in-time – a strategy to reduce inventory and its carrying cost.
Kaizen – Japanese for continual improve improvement. Activities used in the workplace to continually improve all functions of a business, from manufacturing to management.
Kaizen Event – a blitz used to rapidly improve a process.
Lead Time – the total time of receipt of order to shipment of order, usually measures in days/weeks.
Lead Time (Process) – how long it will take an item to be completed through the entire process(es).
Lean Manufacturing – the methodology which focuses on the elimination of waste, and increasing process speed.
Lean Six Sigma – the combined methodology of lean and six sigma utilized to increase process speed, improve efficiency, and reduce or eliminate process variation.
Level Loading – Moving parts through each process step at a similar rate.
Measurable Goals – goals that have clear and quantifiable outcomes.
Metrics – the numerical information that quantifies performance dimensions of processes, products, and/or services.
Mission – the high level singular purpose to which an organization is dedicated.
Module – set of learning activities and tools that are built around a single and focused theme.
Non-conformance – a departure from an intended level that occurs when a process or product does not meet requirements.
One-Piece Flow – this is the concept of moving one piece at a time through a series of process steps for the purpose of completing a product or assembly; one-piece flow can reduce bottlenecks and be used to tune a production line to meet customer demand.
Opportunities for Improvement – a measurable change, often created by a Gap Analysis, that is likely to result in improvement to an activity, process or organization.
Owner – the organizational member who is accountable for a specific activity or action plan.
Pareto Chart – A bar graph used to identify the most significant group(s) of problems/errors. Pareto rule is often called the 20/80 rule, that is, 80% of the problems occur in approximately 20% of the process steps.
Past State – the earlier or previous state based upon the measurement of several Factors.
Performance Gap – the difference between best practice and an organization’s current performance.
Plan-Do-Check-Act (PDCA) – the Deming cycle of learning that describes a continual improvement methodology.
Planning – the functions and processes that review requirements and defined parameters to suggest new operating and capacity plans and changes to existing plans, but are not used for the activities that carry out (execute) those plans.
Process – any activity that takes inputs, adds value and provides an output(s).
Process Approach –the identification, interaction, application and management of systematic activities in an organization.
Process Cycle Efficiency (PCE) – is a critical measure for what percentage of the total cycle time is spent on value-added activities and how much of it is non-value add (waste).
Process of Learning – the sequence of activities that results in a change in knowledge, skills, attitudes, or beliefs.
Product – Result of activities or processes -- may include: hardware, software, manufactured/processed goods, services.
Pull System – A process set up to produce parts based on customer demand. In lean one would use one-piece flow or batch-flow methodologies.
Quality – Degree to which a set of characteristics fulfills requirements; meeting or exceeding customer requirements.
Quality Management – coordinated activities to direct and control an organization with regard to quality.
Results-Based Model – a model of organizational behavior that is driven by results.
Risk Neutralizer – an activity designed to help mitigate identifiable risks.
Roadmap to the Future State – the combined descriptions of the Past, Present and Future State along with the key drivers that are likely to result in getting to the desired future state.
Root Cause – the “deep” reason behind a problem which, until it is solved, will result in only short-term fixes or temporary progress. Asking WHY five times can help you get to the root cause.
Seven Wastes (Muda) – over production, defects, excess inventory, waiting, motion, transportation, over processing.
SIPOC – a high level map that helps teams understand the linkages of Suppliers, Inputs, Process, Outputs, Customers.
Six M’s – The causes of variation in a process: Man (Generic), Machine, Methodology, Measurement, Mother Nature, Material.
Six Sigma – a methodology for determining and reducing/eliminating variation in a process, thereby improving quality.
Standard Operating Procedures (SOP) – A written set of instructions that every person follows; SOPs are used to reduce variation in a process.
Supplier – Subcontractor or vendor.
Support Processes – these activities enable the core processes.
Sample Activity – an experiential example with a tool or template.
Scorecard Measurable Goals – measurable departmental goals based on the Balanced Scorecard categories.
Self-Directed – working alone to follow identifiable learning objectives.
Stakeholders – all people, regardless of their employment status, who have a direct interest in the outcome of some process or set of activities within a department or organization.
Strategic Initiative (sometimes called a strategic goal) – a major area of short- or long-term focus that requires significant improvement or breakthrough during a particular timeframe.
Selected Planning Cycle – the timeframe in the planning cycle, usually in yearly increments.
Strategies – longer-term sets of tasks or activities designed to arrive at the future state.
Strategy Owner – the organizational member who is most accountable for the strategy or strategic initiative.
System Factors – organization or process level factors -- those measurable causes of success and failure that are beyond the control of individual
Takt Time – Takt is German for the word rhythm, or beat. Takt time is the rate at which a company must produce product to satisfy customer demand.
Templates – worksheets that have been configured for multiple uses.
Timeline – going out in the future, where it is possible to monitor.
Tools – found within each module, these provide an opportunity for creating a disciplined process.
Transformational Change – altering or making-over who we are by creating a shift in our current state to a new “improved” state, which includes the integration of technology, process, and people.
Understanding – seeing the big picture on a deep level.
Values – embedded beliefs and behaviors found in high-performing organizations.
Value-add (VA) – This is the activity or process steps that are essential to delivering a product or service to a customer. These are the activities the customers are willing to pay for.
Variation – A reliable process is one that produces the desired output each time without little differences (variation). The goal of a six sigma program is to reduce or eliminate process variation.
Vision – a set direction with clear customer focus, clear values, and high expectations.
Work-In-Process (WIP) or Things-In-Process (TIP) – how much work is waiting to be completed, also referred to as queue time.
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