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Sector: Transportation and Travel
In 2002 Network Rail established itself within the UK framework and were faced with tackling the issue of delays, which was resulting in a massive loss of money in fines and much customer discontent. Network Rail implemented Lean Six Sigma to accomplish process improvement which proved to be a very successful decision. One project alone reduced costings by £400,000, depicting the importance of reducing waste, whilst other various projects improved productivity by 12%. Over 1200 people were trained to manage and apply developments, hence there was a substantial transmission of skills, knowledge, and understanding. Network Rail reduced train delays by 50%, whilst there were efficiency savings of £60 million. Lean Six Sigma enabled Network Rail to be self-sufficient and have full capability.
Staples have benefited from huge improvements in their company by implementing Lean Six Sigma, that consequently have produced millions in profit. Investing in Lean Six Sigma has achieved a ten-fold return, thus it has been a very worthwhile venture. Lean Six Sigma enabled Staples to cut the amount of time they spent on their projects, for example, an improvement in their workings of construction and lease negotiations reduced the time it took to build a new store. This consequently caused a sales increase that was equivalent to the annual sales of eight new stores. Unnecessary stock handling was eradicated and a team was assembled for receiving and placing stock which meant this task was completed on time. Also, item orders were integrated and promotional items were ordered in around sale dates which saved space in stores and produced inventory savings. The NAD supply chain budget was ahead by $30 million and $13 million of this was due to Lean Six Sigma.
The University of North Carolina has benefited greatly from implementing Lean Six Sigma in their Pharmacy Department, as business processes have been developed which has resulted in enhanced quality for customers. Before Lean Six Sigma, only senior pharmacists were allowed to sort out the drug carousel at the University. However, a drug chart was designed under Lean Six Sigma which reduced walking steps between the carousel machines and tray area by 40, meaning inexperienced technicians were able to sort the drugs. Many more similar developments were made under Lean Six Sigma.
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