Glossary of Terms

The following terminology and definitions have been identified as important for establishing an aligned understanding of their specific usage in a UBC context.

Links to external sources have also been provided to support the comprehensiveness of certain definitions.

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5S

Five related Japanese terms all beginning with S that describe workplace practices conducive to visual management and lean production. Translated into English they are Sort, Straighten, Shine, Standardize, and Sustain.

Activities

The things that go on within a process or sub process. They are usually performed by a single unit (a person, a machine, or a department). An activity is usually documented in an instruction.

Baseline

A baseline is the measurable result for the state prior to the change. It provides a comparison value to the post result and assists in setting realistic and/or aspirational targets. Sampling techniques may be used to keep the baseline collection reasonable in effort.

Benefit

A benefit is a positive outcome of a change. A benefit is the measurable improvement resulting from an outcome perceived as an advantage by one or more stakeholders and which contributes towards one or more strategic objective(s).

Benefits Realization Management (BRM)

Benefits Realization Management (BRM) provides organizations with a way to measure how projects and programs add value to the organization. Ultimately answers “What is the project or program wanting to achieve?”.

It is a process used by the IRP to ensure that Workday delivers benefits, to UBC, in terms of improvements to business processes. Learn more on the BRM page.

Black Belt

An individual who receives approximately four weeks of training in DMAIC, analytical problem-solving, and change management methods. A Black Belt is a full-time Six Sigma team leader solving problems under the direction of a Champion.

Breakthrough Improvement

A rate of improvement at or near 70 percent over baseline performance of the as-is process characteristic.

Cause and Effect Diagram (also known as Fishbone Diagram and Ishikawa Diagram)

A pictorial diagram in the shape of a fishbone showing all possible variables that could affect a given process output measure. Four common categories or “bones” are material, machine, man, and method.

Champion

A Champion recognizes, defines, assigns, and supports the successful completion of Six Sigma projects; he/she is accountable for the results of the project and the business roadmap to achieve Six Sigma within their span of control.

Common Causes of Variation

Those sources of variability in a process which are truly random, i.e. inherent in the process itself.

Continuous Flow

Producing and moving one item at a time (or a small batch) through a process in a continuous manner, with each step producing just what is needed by the next step. Also known as Single-piece flow or make one, move one.

Continuous Improvement

Continuous Improvement is a process of incrementally improving work by enhancing processes or services that generate the most value, and by reducing or eliminating as many waste activities as possible.

Control Chart

The most powerful tool of statistical process control. It consists of a run chart with statistically determined upper and lower control limits and a centerline.

Cost of Poor Quality (COPQ)

The costs associated with any activity that is not doing the right thing right the first time. It is the financial quantification of any waste that is not integral to the product or service which your company provides.

Critical to Quality (CTQ)

Any characteristic that is critical to the perceived quality of the product, process, or system.

Customer

Any entity or person who uses or consumes a product or service, whether internal or external to the providing organization.

Cycle Time (CT)

The time it takes one operator to go through all work elements before repeating them. Sometimes referred to as processing time.

Defect

Item of work that does not meet customer expectations or defined specifications, such as time, length, color, finish, quantity, temperature, etc.

Deployment (Lean Six Sigma)

The planning, launch, training, and implementation management of a Six Sigma initiative within a company.

DMAIC

Define, measure, analyze, improve, and control (DMAIC) is a data-driven quality strategy used to improve processes. It is an integral part of a Six Sigma initiative, but in general can be implemented as a standalone quality improvement procedure or as part of other process improvement initiatives such as lean.

DPMO

Defects per million opportunities; the total number of defects observed divided by the total number of opportunities, expressed in parts per million. Sometimes called Defects per Million (DPM).

DPU

Defects per unit; the total number of defects detected in some number of units divided by the total number of those units.

Enabling Process

Activities within a process that provide necessary support such as order processing, accounts payable, and hiring processes.

Failure Mode and Effects Analysis (FMEA)

A procedure used to identify, assess, and mitigate risks associated with potential product, system, or process failure modes.

Flowchart (also known as Process Flow Diagram)

A graphic model of the flow of activities, material, and/or information that occurs during a process.

Gemba

Gemba is a Japanese term meaning “the real place.” In business, gemba refers to the place where value is created. Gemba can really be any site, such as a building site in construction, the sales floor in retail, or somewhere the service provider interacts directly with the customer e.g. a car dealership showroom. The whole point of gemba is that problems in a business process or production line are often easily visible, and the best improvement comes from going to ‘the real place’, where leaders can see the state of the process for themselves.

Green Belt

An individual who receives approximately two weeks of training in DMAIC, analytical problem-solving, and change management methods. A Green Belt is a part-time Six Sigma position that applies Six Sigma to their local area, doing smaller-scoped projects and providing support to Black Belt projects.

Histogram

A bar chart that depicts the frequencies (by the height of the plotted bars) of numerical or measurement categories.

Implementation Team

A cross-functional executive team representing various areas of the company. Its charter is to drive the implementation of Six Sigma by defining and documenting practices, methods, and operating policies.

Input

A resource consumed, utilized, or added to a process or system. Synonymous with X, characteristic, and input variable.

Just-in-Time (JIT) Production

A system of production that makes and delivers just what is needed, just when it is needed, and just in the amount needed.

Kaizen

Kaizen is a Japanese word meaning ‘change for the better’ and is also known as ‘continuous improvement’. It is a mindset or philosophy rather than being a tool to use.   

Essentially, Kaizen is a belief that everything can be changed and everything can be more efficient. Creating a Kaizen culture entails using personal ingenuity to identify and solve problems in an organization. The strategy aims to collect knowledge from all employees within an organization to accomplish incremental improvements on a regular basis. What matters is not only the individual, but rather the collective whose collated achievements will be greater. 

Kaizen is based on a number of principles, namely:  

  • Good processes bring good results  
  • Go see for yourself to grasp the current situation (see gemba) 
  • Speak with data, manage by facts  
  • Take action to contain and correct root causes of problems  
  • Work as a team  
  • Kaizen is everybody’s business  

Kaizen Event

A group process improvement activity that utilizes a concentrated combined meeting and observation format to create significant improvement in a process within a short period of time.

Kanban

A signaling device that gives authorization and instructions for the production or withdrawal of items in a pull system.

Lean

A business system for organizing and managing product development, operations, suppliers, and customer relations that requires less human effort, less space, less capital, less material, and less time to make products with fewer defects to precise customer desires. 

Lean Six Sigma

Lean Six Sigma (LSS) is a combination of Lean and Six Sigma methodologies. Lean focuses on efficiency through eliminating process wastes and adding value, while Six Sigma focuses on quality and consistency through reducing process variation. Together, they guide us in achieving more efficient service delivery and creating a continuous improvement culture across UBC.

Master Black Belt

An individual who has received training beyond a Black Belt. The technical, go-to expert regarding technical and project issues in Six Sigma. Master Black Belts teach and mentor other Six Sigma Belts and support Champions.

Measure

Quantitative, qualitative, and binary measures are used to track and assess the status of an outcome against a baseline and desired target. Measures can also be called metrics and KPIs.

Metric

A measure that is considered to be a key indicator of performance. It should be linked to goals or objectives and carefully monitored.

Muda

One of the most prominent Japanese words associated with Kaizen,  Muda’ means waste. The Kaizen philosophy aims at cutting business waste through improving quality, increasing efficiency, reducing overproduction and unnecessary activities. Ultimately, this will result in saving both money and time.

Natural Language Processing

Natural language processing (NLP) is a branch of artificial intelligence dealing with the machine handling of written and spoken human communication. NLP focuses on the interactions between computers and human (natural) languages, notably how to create and run programs that process and analyze large amounts of natural language data. It consists of methods drawn on linguistics and statistics, coupled with machine learning, to model language in the service of automation.

Non-value-added (NVA)

Any activity performed in producing a product or delivering a service that does not add value, where value is defined as changing the form, fit, or function of the product or service and is something for which the customer is willing to pay.

Objective Statement

A succinct statement of the goals, timing, and expectations of a Six Sigma improvement project.

Opportunities

The number of characteristics, parameters, or features of a product or service that can be classified as acceptable or unacceptable.

Outcome

Outcomes are a new measurable operational state achieved as a result of a change in behavior or circumstances.

Output

A resource or item or characteristic that is the product of a process or system. See also CTQ.

Pareto Chart

A bar chart for attribute (or categorical) data presented in descending order of frequency.

Pareto Principle

The general principle originally proposed by Vilfredo Pareto (1848-1923) that the majority (80 percent) of influence on an outcome is exerted by a minority (20 percent) of input factors.

PDCA

Acronym for a process improvement methodology (Plan, Do, Check, Act), created by Walter Shewart in the 1930s. Also referred to as PDSA (Plan, Do, Study, Act).

Poka-Yoke

A translation of a Japanese term meaning “to mistake-proof.”