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Dictionary of Lean Six Sigma Tools/Concepts

There are 6 entries in this dictionary.
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Term Definition
Value Stream Map (VSM)

Similar to a process map, it diagrams the flow of a process. However, it doesn't document decision points or detailed process steps, but instead focuses on the timeliness (efficiency) within the flow of products through the process by tracking value-added and non-value-added steps, process cycle times, take time, inventory, staffing, etc. 
Related StatStuff Video: 
   -Section 2-Lean, Lesson #12 - Value Stream Maps

Value-Added (NVA)

A step in a process that adds value (as defined by the customer's requirements) and represents what the customer is willing to pay for.
Related StatStuff Video: 
   -Section 2-Lean, Lesson #4 - Value Added

Variance

The average squared deviation (or differences) about the mean or (X - μ)2 / N  or σ2. It's intended to measure how spread out the distribution is from the mean.
Related StatStuff Video: 
   -Section 5-Measure Phase, Lesson #12 - Spread

Variation

See Spread

Voice of the Customer (VOC)

A term describing what the customer wants or is willing to pay for. It statistically represents the lower/upper specification  limits (LSL/USL) of a distribution where any data point or observation falling within those limits is considered to be acceptable by the customer and anything falling outside those limits is unacceptable or a defect. This is contrasted with the Voice of the Process (VOP).
Related StatStuff Video: 
   -Section 5-Measure Phase, Lesson #21 - Defining the VOC and Defects

Voice of the Process (VOP)

A term describing the measurable capability or performance of a process. It statistically represents the full range of observations (or capability) of the process and is compared to the Voice of the Customer (VOC). If the VOP extends beyond the VOC, then the process is failing and should be analyzed to find how to reduce the variation and improve the process capability to meet the customer's needs.
Related StatStuff Videos: 
   -Section 5-Measure Phase, Lesson #21 - Defining the VOC and Defects
   -Section 6-Analyze Phase, Lesson #3 - Process Capability: Overview

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