Using Lean Six Sigma in small and medium-sized enterprises for low-cost/high-effect improvement initiatives: a case study

Abstract

PurposeThe purpose of this paper is the implementation of Lean Six Sigma (LSS) in a manufacturing small and medium-sized enterprise (SME) in Greece in order to understand the contribution of LSS in its process improvement and to identify the parameters playing a crucial role in LSS adoption by SMEs. The ability to achieve high-effect improvements without cost investment is also examined to cope with low investment margin that is a characteristic of SMEs.Design/methodology/approachThis case study is based on the combination of Define, Measure, Analyze, Improve and Control (DMAIC) phases with the Yin's method for case studies for a complete and efficient implementation and presentation of the project.FindingsThe analysis of this case study revealed that by accomplishing specific critical success factors for the fulfillment of the LSS project, the company attained important benefits by utilizing only the working hours of employees. It was also found that the improvements of LSS projects can be measured using other metrics which can indirectly be translated into monetary terms.Practical implicationsThe paper can be a useful guide of how SMEs can achieve high-impact improvements with low or no investment cost utilizing LSS initiatives in small-scale projects.Originality/valueAccording to the literature, there is a need for more case studies concerning LSS implementation in SMEs. Examples of how low-cost/high-effect improvement initiatives can be implemented have not been adequately presented before. The assessment of the impact of improvement initiatives with non-monetary measures is also innovative.