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WhySixSigma@StarwoodWeThinkWe’reDifferentoday,if2.5(84%yield)then10dissatisfiedcustomerseveryday,everyproperty!WhySixSigmaComplex,multi-stepprocessStarwood=25MillionGuestsAnnuallyIf99%,then90%yield
9dissatisfiedperpropertyeverydayIf99.9997%then,99.997%yield10dissatisfiedperpropertyeveryyear99%x99%x99%x99%x99%x99%x99%x99%x99%x99%=90%Widevariabilityofperformancetocustomerexpectationsincoreprocessesacrossbusiness:MajoropportunityMajorriskNocommonmethodforsustaining,leveragingandtransferringinnovationacrossStarwood
LackofrobustprocessestosustainaboveaverageEBITDAgrowthrates:
InternalviewthatStarwooddoesn’tsystematicallysupportcollaboration,processimprovement,peopledevelopment,andbestpracticesharing.“CaseforChange”TheCaseforChange:
GuestSatisfaction-25MillionGuestsGlobalGSIComposite“HighlySatisfied”=3-6xmorestaysvs.“satisfied”O(jiān)pportunitySatisfiedcustomers=$2bn+RevenueBillionsofrevenuefromincreasedsatisfaction“Dissatisfiedcustomers”tell8-10people...…“internet”allowsdissatisfiedcustomerstobroadcasttothousandsofpeople20,250,000
peopleawareofdissatisfactionBillionsofpotentiallynegativeimpressionsZagatsExpediaTravelocityEThreatSatisfied41%HighlySatisfied50%Dissatis.9%Ifnot“highlysatisfied”,thencustomersdefectforpriceorlocation.12,500,000
“atrisk”customersProvideCustomersCompellingReasonToReturnWhatIsSixSigma?Youlistentothecustomer..Yougetthefacts...Youeliminatenon-valueaddedwork...Yougivethecustomerwhatshewants–consistently!SixSigma:What’snottolike?TheFoundationSixSigmais…VoiceoftheCustomer-Measure:
-Goal: Systemofmanagement:
ToBenefittheBusiness&itsCustomers,AssociatesandOwners
HowwellwearemeetingtheCustomersrequirementsCriticaltoQualityMeasuresDefinethecapabilityofaprocessImprovementthatreachesnear-perfectionAchievelastingbusinessleadershipandtopperformanceCustomerisanypersonororganizationthatreceivesaproductorservice(Output)fromourworkactivities(Process)ProcessisSeriesofActivitiesthat:TakeInputs,AddsValue,ProducesOutputSixSigma:ProcessFocusedSixSigmaApproach&ProjectsSixSigmaSequence
GenerateProjectIdeasTransfer“BestPractices”SelectProjectsDoProjectsEveryoneincluding:customers(Internal&External)EvenVendorsSixSigmaCouncilPropertyAreaDivisionalDMAICProjects:BB&TeamQuickHitsProcessownerDesignatebestpractice–SixSigmaCouncil(Division,Global)iDMAIC“Import”projectsProcessownerSixSigma:WhatItIsNot!
Statistics,statisticsandmorestatistics...
Numbersofprojects...Theonlywaywecanchange&improve...A“magicpotion”tosolveeverything...SomethingDONETOthebusinessbyspecialistsAsubstituteforsoundbusinessstrategy...SixSigmaRolesWhatisaBlackBelt?WhatisaMasterBlackBelt?Whatisyourrole?SixSigmaRoles:BlackBeltsWork
withpropertyleadershiptoidentifyopportunities
MobilizetheteammembersandothersinthepropertyCoach/trainteammembersinSixSigmamethods“just-in-time”Identifyimplementationsuccessbarriers&workwithotherstoovercomeRecommend&PilotwiththeteaminnovativebusinessprocessimprovementsAchieveandcapturemeasurablefinancial&guestloyaltyresults;
complete3to8projectsannually,dependingonsize,complexity&resourcesBBDoestheWork&Drivestheteam!Responsibility:Profile:“A+”talent;yourassociatewhoyoucanleastaffordtolose!Analytical“horsepower”,intellectualcuriosity&problemsolvingskillsLeadership
&influenceskillsFuturebusinessleadersSixSigmaRoles:MasterBlackBeltSupport,challenge&guide
projectselectionthroughtheSixSigmaCouncil(e.g.,whatprojectsshouldpropertyworkon).Leadership,direction,guidance&supporttoAMD,VP’s&GM’srelatingtoSixSigmaCoach&consulttoBlackBelts,&applySixSigmamethodsinareaofresponsibility(area,division,orcorporate)Analytical“horsepower”,intellectualcuriosity&problemsolvingskillsEnsurequality&robustnessofprojectintegrity&teamsolutionsDriveinnovationtransfer;prevent“reinventingthewheel”Achievemeasurablefinancialandcustomerloyaltyresults:completeapproximately15to30projects,dependingonsize,complexityandresources(approximately$5-$10MMannually)“PortfolioManager”Training&Tools—BlackBeltTrainingLeadingTeamsDMAIC1DMAIC2TrainingProjectSoftware&IntranetToolsE:TOOLPowerPointMiniTabExcelVisio&ProjectBlackBeltHiringAssessmentToolsBehavioralInterviewsComputerSkillsassessmentComprehension&NumericalRelationshipsOtherImportantSixSigmaRolesProjectSponsorsPeople(manytimesleadership)withintheexistingorganizationmostcloselyassociatedwithaproject.Theyaretypicallytheoneswhowillgainorlosethemostfromtheproject’ssuccessorfailureProcessOwnersPeopleresponsibleforon-goingpost-implementationsupportofprocesschanges/improvementsMustworkcloselywithProjectSponsorand/orBlackBeltthroughoutprojectImprovementTeamMembersParticipateinallstepsofdefiningandimplementingprojectsTheyarethesubjectmatterexpertsSixSigmaAPDRolloutAPDTimetableStaffMBBsPreliminarytimetabletoimplement1Q03SepOctNovDecJanFebAprJulAugMarSelectBBsMBB&BB“Wave1”training&trainingprojects$Propertycounciltraining(SSC)3to4PropertiesperFirstBBprojectsstartOwner“roadshows”DesignAPDarchitecture&rolloutGMtraining(LSS)BB“Wave2”training&trainingprojectsFirst“QuickHits”2$12Property“billing”iDMAICNov02BeyondHRASSESSMENTTOOL1$MBB’sStartJan1APDSixSigmaSummary45+full-timeresources,globally10,000trainingdaysProjects600+DMAIC,Transfer&QHprojectsintoControl
3to5YearGoalsGuests:ExceedexpectationswithlessvariabilityOwners:SubstantialFinancialBenefitAssociates:Toolstocosteffectivelytransferinnovation&improvecoreprocesses 2003Targets:AtleastFullBreakeven$600,000+BB’s,MBB’setc“BlackBelt”(40-45+/-):
Full-timeleadership&executionofproperty,area,ordivision-levelprojects
Associates:Workonprojectteams“MasterBlackBelt”(3-4):
SupportAMDsviadiagnostics,managetheprojectportfolio,andcoachBBswithinageographyDivisionManagement,AreaVP,GM:Project,processandbusinessresults
DivisionSixSigmaLeader:DrivingtheSixSigmainitiativewithinthedivisionDivisionSixSigmaAnalyst(1):Financialtracking,reporting&analysisofprojectsandresultsKey練Ro障le奪Acc濃oun型tab捆ili繩tyFTE=45+/-APD宏Six遼Sigm壺aOr廳gani謹zati悠onEVP考Si逃xS眠igm崗a10BBMBB#110B繭BMBB#2
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