ENTOUCH Smart Building Solutions

10 Tips in Using Lean 6 Sigma to Reduce Facilities Spend

Lean Six Sigma is not a new principal, but its application in facilities management is still relatively new. By definition, it can help Facilities Managers reduce spend. Moreover, according to Tracy Carbasho of TradeInc.com, the usefulness of Lean Six Sigma can be applied to any work order process. It provides a data-based approach to identifying and correcting problems, as well as ensuring continuous improvement resulting in more Facilities Managers turning to Lean Six Sigma to reduce facilities spend. However, it’s important to understand, first, why Facilities Managers, who perform vital functions, are faced with decreasing budgets and how Lean Six Sigma can help.

Why Are Facilities Management Budgets in Retail Shrinking?

Facilities management budgets are shrinking in response to a variety of factors. More retail customers are choosing to shop online, and engagement through smart devices, including smartphones, has pushed the amenities of some facilities into oblivion while retailers and other industries focus on digital initiatives to improve the shopping experience over brick & mortar investments. The days of increasing foot traffic in retail stores by merely offering Wi-Fi are over, and companies find it harder to attract and retain new customers. Companies face the dual challenge of economic and political uncertainty all while looking for ways to reduce overhead expenses, and, unfortunately, the facilities management budget is often the first area where the C-suite may roll back the budget.

How Does Lean Six Sigma Reduce Facilities Spend?

Lean Six Sigma provides a means of ensuring a company’s facilities management department is successful and enabling improvements stated in the FM world as “Doing more with less” (ok, well, that’s not just an FM phrase, but you get the idea). As explained by TechTarget, the use of Lean Six Sigma principles can help companies reduce processing costs by up to 50 percent and reduce waste. In facilities management, this means less money spent on manual systems, completing reactive, deferred maintenance, and fewer items becoming part of the maintenance backlog.

Critical Tips in Leveraging Lean Six Sigma in Facilities Management

The correct use of Lean Six Sigma in facilities management means using data to make informed decisions in a continuous process. Facilities Managers could spend weeks studying lean Six Sigma, but it will never prove its value without implementation. Facilities Managers must enact real changes in their organizations to use it to reduce facilities spend. To streamline the application of Lean Six Sigma principles in your department, follow these tips.

  1. Identify strengths and weaknesses.
  2. Digitize as much as possible.
  3. Analyze data to define better ways to achieve the same result, if not a better one.
  4. Eliminate redundancies.
  5. Collaborate to overcome weaknesses.
  6. Validate results with data.
  7. Simplify the number of facilities management systems in use.
  8. Schedule maintenance activities, but use data to refine the schedule.
  9. Manage significant changes to the company from a central location, such as digital, cloud-based system.
  10. Consider the use of outside resources, like ENTOUCH.

Following these tips will provide a fast-track to the introduction of Lean Six Sigma principles throughout your organization. Furthermore, training team members on why Lean Six Sigma will help your organization, like reducing spending to use capital in other areas, can help with change management as well.

Implement Lean Six Sigma Principles in Your Facilities Management Department Now

The benefits and value of Lean Six Sigma in facilities management are clear. The management methodology allows Facilities Managers to expand their use of data and new technologies to reduce the total cost of facilities spend. Facilities Managers should begin the process of evaluating their strengths and weaknesses and leveraging Lean Six Sigma in their departments. Take advantage of lean facilities management practices by contacting ENTOUCH by calling 1-800-820-3511 or visiting ENTOUCH online today.