A Six Sigma DMAIC project was launched to reduce Housekeeping and Admin Supplies within the YMCA, which was costing them $1.3 million per year. The project set a goal to reduce costs by 5%, which could save them $64,000 per year.
The team gathered and analyzed the spending data, and reviewed key suppliers used within different categories to spot waste and opportunities.
They used SIPOC, Process Mapping, Waste Analysis, Pareto charts, Fishbone Diagram and FMEAs to help understand the opportunities and develop improvement ideas. As a result, they consolidated purchases to reduce overall costs, and established new guidelines for standard invoicing coding, and saved almost $100,000 per year, which surpassed their project goal.
You can watch a short summary of this project in the video below, or go to https://www.youtube.com/watch?v=hPC3fq8SlA8