How Lean Six Sigma and Agile Can Work Together

Last Updated April 22, 2022

Agile methodology focuses on better management of projects. Lean Six Sigma methodology focuses on improving processes. Combining the two may be the key to maximizing process efficiency.

That’s the thinking behind what has been called Next Generation Agile, Agile Sigma or Continuous Development, which blends the tools and techniques of two methodologies: Agile and Lean Six Sigma. The idea is that while implementing both concepts alone can help improve business processes, using them together may enhance team collaboration, management support, project speed-to-market, performance, quality and customer satisfaction.

Before explaining how Agile and Lean Six Sigma could work together, here’s what each methodology can help accomplish separately.

Basics of Agile Methodology

Agile is the brainchild of software developers who were looking to break from traditional product development. They wanted a system that put the emphasis on speed while also maintaining quality control.

They wrote an Agile Manifesto that listed the four main points they valued above all else:

• Individuals and interactions over processes and tools
• Working software over comprehensive documentation
• Customer collaboration over contract negotiation
• Responding to change over following a plan

Done correctly, Agile helps improve project efficiency and team collaboration. It can also help project teams operate with more flexibility, allowing them to adapt to change quickly and develop a product in a faster time.

Basics of Lean Six Sigma

Lean Six Sigma combines the concepts of Lean and Six Sigma methodologies. At their core, the two methodologies focus on the following.

Six Sigma is used to reduce variation, defects, and errors in a process. Lean helps make a product or service faster and more efficient by identifying and eliminating waste. Both use various tools and techniques to improve operational efficiency and effectiveness.

While there are many aspects to Six Sigma, among the most applied concepts is DMAIC. It stands for:

• Define – What is the target goal and acceptable limitations for defects?
• Measure – How many defects are there and at what frequency?
• Analyze – What does the data tell us about the causes and defects including when, where and why they happen?
• Improve – How can we improve the process and eliminate/reduce the defects?
• Control – How do we make processes sustainable and build new improvements on top of the current improvements?

Lean allows an organization to methodically identify and eliminate anything in a process that does not provide a benefit to the end user (typically the customer). This laser-like focus on serving the customer and making a process efficient has made Lean a priority in many industries such as human resources, government and the military.

Lean Six Sigma is a continuous process that requires commitment to sustain, particularly from leadership.

Projects and Process

Those who become experts in Lean Six Sigma often are project leaders, who understand how the methodology marries well with other process improvement strategies such as Agile, project management and Business Process Management, according to Villanova University Lean Six Sigma instructor Tina Agustiady.

“Once you become an expert in Lean and Six Sigma, you will automatically be sought after as a project manager,” she said. “This is mainly because the process flows so well, and it is easy to use the skills from Lean Six Sigma and teach them to anyone. These experts can then begin managing projects which makes them natural project managers going forward.”

Generally speaking, Agile is used for short-term solutions to specific product development issues. Project teams work in “sprints” and teams hold quick “stand up” meetings every day. Everything is built around speed, collaboration and efficiency.

Lean Six Sigma helps put a culture of continuous improvement in place. No process is ever “complete.” Rather, it sets up a system that will optimize a process – and then helps you find ways to optimize it even further.

Agile focuses on projects. Lean Six Sigma focuses on process. Here’s how a combination of the two methodologies could work.

How the Methodologies Provide Value

Combining Agile and Lean Six Sigma is a continuation of the constant search for providing the best value to customers. There is value to adding the two concepts together.

Within Agile, there is not always accurate quantification of project value, and there can be inconsistent alignment with highest-priority process needs. With Lean Six Sigma, depending on the project, there might not be clear and consistent delivery of business value and a limited scope of analysis.

By mixing the two together, it’s possible for Lean Six Sigma to identify areas where projects need to be done to optimize processes. By then using Agile, it’s possible to ensure that the right projects are done as well as possible.

How Agile and Lean Six Sigma Support Each Other

A report from consulting firm CC Pace makes the case for combining Agile and Lean Six Sigma. The company identified ways Lean Six Sigma can support Agile project execution by providing:

• Grounded project vision and clear focus
• Stronger business cases
• Means to measure success
• Directed portfolio design

The report also suggests companies start with a low-level integration of the two methodologies, eventually building toward completely combining the two processes.

The potential for combining Agile and Lean Six Sigma is something organizations can explore as the drive for efficiency continues. For those with expertise in Lean or Six Sigma, it’s a trend they should be prepared to take on.

Interested in learning more about Villanova’s Lean Six Sigma or Agile program?