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A leaner public sector

Through lean and Six Sigma initiatives, public-sector agencies can improve performance and productivity—but the impact won’t stick if they ignore the “soft” side of making operational change happen.

AUGUST 2009 • Maia Hansen and John Stoner

Source: Public Sector Practice

leaner public sector article, public sector budgeting, Public Sector

For several years, government leaders have been seeking ways to reduce waste through operational-improvement programs inspired by lean manufacturing, Six Sigma, or both.¹ Classic lean techniques for eliminating waste, variability, and inflexibility have been used successfully in a variety of agencies, from those with processes that somewhat resemble manufacturing (such as defense-related logistics units) to others where the ideas might seem less obviously relevant (such as intelligence agencies or policy-making bodies).

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	Lean and Six Sigma basics During the past 20 years, lean and Six Sigma have become the most prominent performance-improvement programs adopted by global manufacturing and, more recently, service companies and government agencies. Both lean and Six Sigma are built on the driving principle that a business is improved by relentlessly solving problems that affect the customer. But what’s the difference between the two? Lean Lean, which has its origins in the Toyota Production System, is focused on improving process flows in a system for the ultimate benefit of the customer or end user. The idea is to remove the key sources of loss from the process—waste, variability, and inflexibility—in a continuous search for ways to increase efficiency. All activities that...