A review of how to identify and categorize financial benefits from a project.
A review of how to identify and categorize financial benefits from a project.
Sorry for the trouble you're having Amir. This video here is working fine for me. I'm not sure what other files can't be played that you're referring to, but they all seem to be working fine on my end. If you continue to have trouble playing the videos, then check out this page that can help you troubleshoot the issue: http://statstuff.com/about/misc-information/video-troubleshooting If this doesn't help and you continue to have trouble with it, then please contact me directly at matt@statstuff.com. Thanks!
Hi Matt
none of these 11 files can be played?
is there anything wrong on my PC or on your site.
thank you in advance
Thanks for the kind feedback, Sundaresen! I agree that the piece of paper doesn't qualify folks but unfortunately many recruiters and hiring managers require it anyway. That's why I recently began offering a certification assessment to validate the capability and skills for those who have a LSS cert. But it can also be used for folks who don't have a cert yet. I wouldn't put it on the same level as a cert, but it can be a fast & affordable way to validate your capability even if you don't have a cert yet. Here's an article I posted about it https://www.linkedin.com/pulse/before-you-hire-black-belt-matt-hansen
Hi Matt, I have always hesitated to take a 6 Sigma course due to the price, but thank for this free training. Having a piece of paper does not qualify us as being good to implement, but having a good understanding and implement it is more valuable to companies. Unfortunately, companies want to see a piece of paper as proof. Anyway, brilliant work. How can we download the diagram in the slides?
Thanks Roger, that's a very valid point. I agree with you that measuring profit would be better than measuring just revenue, but without strong support from a Finance stakeholder, it can be challenging to get that exact measurement. Perhaps it's better said to measure increased profit when possible, otherwise use revenue if the associated costs can't be measured (or aren't provided).
My ultimate goal is to get folks using these balanced cash-based financial perspectives (including profit as you suggested) rather than the fictitious values I've seen folks frequently pull out of the air (like what I describe as categories 2, 3, or 4 in the financial benefits). That's one of the ways I'll often challenge BBs who claim to have saved $X millions - so I can see how they actually calc'd that value to determine if they really made a financial impact or not.
Thanks for adding your insights here!
Hi Matt. I instruct my Six Sigma students that increased revenue should not be counted as project "savings". What should properly be credited as savings is the incremental impact to gross profit that occurs as a result of the project. An extreme example to prove this point is a company that is currently losing money. Increasing sales revenue will simply increase the losses in this case. Your video seems to imply that if revenue is increased by $1M then we should count that $1M as "savings". Please comment. Thanks, Roger
Thanks Monier, I really appreciate the feedback and am so glad you found it to be helpful!
This course is one of top three online courses I have joined in my life up to date . The way the instructor uses in illustrating topics is wonderful and joyful and easy to follow. Thanks a lot Matt and keep this high sprit of commitment and professionalism . In few words this course is one of those I recommend others to take.
Hello Matt,
Thanks for this wonderful information. Its so incredible , however just one comment in the too much music in the background! As you notice, many people can focus so well when it is silent, but with the running music in the back ground puts the whole situation to be a daunting factor and the take one takes to understand something is longer or even not to understand at all.
I pray you eliminate the music in the back ground
Very respectfully,
Eve
Below are 36 videos (less than 10 hours of content) selected from the 121 videos in the Advanced Training Path. These videos go beyond the basics of Lean Six Sigma to help you apply the tools & concepts, but without getting as complex or detailed as the certification level in the Advanced Training Path. |
1. StatStuff Orientation (What is StatStuff?) ![]() ![]() This video welcomes you to StatStuff by explaining some general concepts about how the videos are designed and how the site works. |
2. Introduction to Lean and Six Sigma ![]() ![]() An introduction to the fundamental concepts of the Lean and Six Sigma methodologies using the IPO model. |
3. Lean and Six Sigma Project Methodologies ![]() ![]() An introduction to five project methodologies (Lean, DMAIC, DMADV, DFSS & PMI) and when to use each. |
4. Corporate CTQ Drilldown ![]() ![]() A review of how to align a project opportunity to the overall business strategy and needs by understanding the business CTQs in a CTQ Drilldown. |
5. Project Financial Benefits ![]() ![]() A review of how to identify and categorize financial benefits from a project. |
6. Prioritization Using a QFD Tool ![]() ![]() A review of how a Quality Functional Deployment (QFD) tool can be used to prioritize items, such as project opportunities. |
7. Project Pre-Assessment Using a Min/Max Analysis ![]() ![]() A review of why it’s important to do a project pre-assessment and how to do it using a Min/Max Analysis. |
8. Key Roles in a Lean or Six Sigma Project ![]() ![]() A review of the project and functional roles in Lean Six Sigma projects like Green Belt, Black Belt, Sponsor, Champion, etc. |
9. Developing a Project Strategy Using IPO-FAT Tool ![]() ![]() A review of how to build a strategy for a project and how the IPO-FAT tool can be used for developing that strategy. |
10. Introduction to Lean ![]() ![]() An introduction to Lean including a brief history, the philosophy of Lean, and a summary of some common Lean tools and concepts. |
11. Problem Resolution Using DMAIC ![]() ![]() A review of how the DMAIC methodology follows the typical steps we follow when trying to resolve a problem. |
12. The DMAIC Roadmap (Levels 1 & 2) ![]() ![]() A high-level roadmap through the DMAIC methodology that navigates the user through the various tools and concepts for leading a Six Sigma project. |
13. Adapting Lean to Six Sigma DMAIC Flow ![]() ![]() A description of how the Lean tools and concepts can be adapted to the Six Sigma DMAIC methodology. |
14. Define Phase Roadmap (Level 3) ![]() ![]() A detailed roadmap through the Define phase of the DMAIC methodology that navigates the user through the various tools and concepts for leading a Six Sigma project. |
15. Measure Phase Roadmap (Level 3) ![]() ![]() A detailed roadmap through the Measure phase of the DMAIC methodology that navigates the user through the various tools and concepts for leading a Six Sigma project. |
16. Analyze Phase Roadmap (Level 3) ![]() ![]() A detailed roadmap through the Analyze phase of the DMAIC methodology that navigates the user through the various tools and concepts for leading a Six Sigma project. |
17. Improve Phase Roadmap (Level 3) ![]() ![]() A detailed roadmap through the Improve phase of the DMAIC methodology that navigates the user through the various tools and concepts for leading a Six Sigma project. |
18. Control Phase Roadmap (Level 3) ![]() ![]() A detailed roadmap through the Control phase of the DMAIC methodology that navigates the user through the various tools and concepts for leading a Six Sigma project. |
19. Risk Analysis: The Reason We Use Statistics ![]() ![]() A review of the importance of risk in our decision-making and how statistics can be used to measure that risk. |
20. Analysis of Behavior & Cognition (ABC) Model ![]() ![]() A review of the ABC model that explores how we think so we can understand the risks and evidence behind our decisions and how to influence others. |
21. Transfer Function ![]() ![]() A review of the transfer function and the critical part it plays as a fundamental concept in the DMAIC methodology. |
22. Hypothesis Testing: Overview ![]() ![]() An introductory overview to an extended series about hypothesis testing. This lesson includes the general 4 step process used for hypothesis testing. |
23. Overview of Statistical Terms and Concepts ![]() ![]() A high-level review of the fundamental terms and concepts associated with statistics, such as population vs. sample data, distributions, etc. |
24. Building a Problem Statement ![]() ![]() A review of what a problem statement and background statement are and the characteristics of an ideal problem statement. |
25. Defining the Project Y ![]() ![]() A review of why we need to define a project Y and some methods for ensuring we’re defining the right project Y. |
26. Identify Root Causes: C&E Diagram ![]() ![]() An extension of the topic on identifying root causes using a cause & effect (C&E) diagram that will lead toward building a data collection plan (DCP). |
27. Identify Root Causes: 5 Whys ![]() ![]() An extension of the topic on identifying root causes using a 5 Whys approach that will lead toward building a data collection plan (DCP). |
28. Identify Root Causes: C&E Matrix ![]() ![]() An extension of the topic on identifying root causes by showing how the C&E Matrix is used after a C&E diagram and 5 Whys for building a DCP. |
29. MSA: Overview ![]() ![]() The first of an extended series on conducting a measurement system analysis (MSA) to help test the reliability of collected data. |
30. Calculating a Sample Size ![]() ![]() A review of how to calculate a sample size using a Sample Size Calculator. |
31. Variation Over Time (Short/Long Term Data) ![]() ![]() A review of short and long term data and the impacts that variation has over time. |
32. Hypothesis Testing: Finding the Right Statistical Test ![]() ![]() An extension on a series about hypothesis testing, this lesson reviews a chart that can help you find the right statistical test for your analysis. |
33. Hypothesis Testing: Statistical Laws and Confidence Intervals ![]() ![]() An extension on a series about hypothesis testing, this lesson introduces some statistical concepts that are fundamental to most hypothesis testing. |
34. Hypothesis Testing: Proportions (Compare 1:1) ![]() ![]() An extension on a series about hypothesis testing, this lesson reviews the 2 Proportions Test as a measurement of proportions. |
35. Hypothesis Testing: Relationships (Overview) ![]() ![]() An extension on hypothesis testing, this lesson introduces the concepts of a correlation and regression as part of measuring statistical relationships. |
36. Hypothesis Testing: Relationships (Compare 1:1) ![]() ![]() An extension on hypothesis testing, this lesson reviews the Pearson Correlation and Fitted Line Plot as part of measuring statistical relationships. |