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Lean Six Sigma and digitize procurement

Lean Six Sigma and digitize procurement Purpose – The purpose of this paper is to demonstrate how the lean Six Sigma method can be applied to procurement, processes where there is an extensive use of information technology and communication (ICT) systems. The paper defines a method to streamline, digitize and reduce waste in procurement processes by using the “lean Six Sigma and digitize” methodology. Design/methodology/approach – A framework was developed and applied to the procurement processes, based on the analysis of best practices and on several implementations. Findings – It was found that the digitization of a procurement process which is not streamlined can generate problems. A process must be mapped to highlight waste and low quality. Only when the new process is improved, taking into account also that it will be possible to use ICT supports, can it be digitized. The new process will digitize only value‐added activities recognized by the users and by the organization. Practical implications – The paper should be of interest to the academic world, as well as to management working in all types of organizations. Originality/value – Within the field of lean Six Sigma and information and telecommunication technology, there has been a continuous debate as to whether both approaches are complementary or contradictory. This paper fulfils an identified need to study the interactions between a modern example of information technology and its role within procurement, making a valid contribution within this field of research. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Lean Six Sigma Emerald Publishing

Lean Six Sigma and digitize procurement

Bernardo Nicoletti
International Journal of Lean Six Sigma , Volume 4 (2): 20 – May 31, 2013
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References (60)

Publisher
Emerald Publishing
Copyright
Copyright © 2013 Emerald Group Publishing Limited. All rights reserved.
ISSN
2040-4166
DOI
10.1108/20401461311319356
Publisher site
See Article on Publisher Site

Abstract

Purpose – The purpose of this paper is to demonstrate how the lean Six Sigma method can be applied to procurement, processes where there is an extensive use of information technology and communication (ICT) systems. The paper defines a method to streamline, digitize and reduce waste in procurement processes by using the “lean Six Sigma and digitize” methodology. Design/methodology/approach – A framework was developed and applied to the procurement processes, based on the analysis of best practices and on several implementations. Findings – It was found that the digitization of a procurement process which is not streamlined can generate problems. A process must be mapped to highlight waste and low quality. Only when the new process is improved, taking into account also that it will be possible to use ICT supports, can it be digitized. The new process will digitize only value‐added activities recognized by the users and by the organization. Practical implications – The paper should be of interest to the academic world, as well as to management working in all types of organizations. Originality/value – Within the field of lean Six Sigma and information and telecommunication technology, there has been a continuous debate as to whether both approaches are complementary or contradictory. This paper fulfils an identified need to study the interactions between a modern example of information technology and its role within procurement, making a valid contribution within this field of research.

Journal

International Journal of Lean Six Sigma – Emerald Publishing

Published: May 31, 2013

Keywords: Lean Six Sigma; Procurement; Service; Digitization; Information systems; Information and communication systems

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