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Why LSS/HPO?
By implementing Lean, Six Sigma, and High-Performance Organization (LSS/HPO) concepts into a single, integrated initiative, an organization can achieve the benefits of high customer satisfaction and excellent profitability through:

• Reduced cycle times
• Higher quality
• Lower costs
• Increased revenues
• Increased workforce motivation
• A culture of execution and accountability

Representative successes of initiatives that simultaneously paid attention to quality, waste elimination, and high-performance teams include the following:

  • In 1988 one of StorageTek’s production lines organized into HPTs and used advanced statistical tools to dramatically improve quality and costs. Within two and one-half years the product went from a mean time-to-failure of 200 months to mean time-to-failure that exceeded 2000 months—a 1000% increase in product quality. Workmanship errors decreased by 90%. Scrap cost was reduced by 85%. Rework costs were reduced by 73%. Process yield improved by 80%. Manufacturing cost was reduced by 60%.
  • In 1995, in a second LSS/HPO effort in a different division from the one mentioned above, StorageTek increased group productivity of four combined departments of knowledge workers by 60% and yielded $400,000 in cost savings, all within three months.
  • General Electric’s Durham, NC, plant that manufactures airplane turbines increased productivity by 250% from 1995 to 1997.