How do you use data collection to compare your performance with competitors?

1 Define your goals and metrics

Before you start collecting data, you need to define your goals and metrics. What are you trying to achieve with Lean Six Sigma? What are the key performance indicators (KPIs) that reflect your success? How do you align your goals and metrics with your customers' needs and expectations? You should also consider how you will measure your competitors' performance, using publicly available data or industry standards. For example, you might want to compare your delivery time, defect rate, customer satisfaction, or profitability with your competitors.

2 Plan your data collection

Once you have defined your goals and metrics, you need to plan your data collection. How will you collect the data? What sources and methods will you use? How much data do you need? How will you ensure the data is accurate, reliable, and relevant? You should also plan how you will store, organize, and protect the data, using tools like spreadsheets, databases, or software. For example, you might use surveys, interviews, observations, or records to collect data from your customers, employees, processes, or products.

3 Analyze your data

After you have collected the data, you need to analyze it. How will you interpret the data? What tools and techniques will you use? How will you visualize and communicate the data? You should use statistical methods and graphical displays to summarize, compare, and identify patterns and trends in the data. You should also use analytical tools like SWOT analysis, gap analysis, or benchmarking to evaluate your strengths, weaknesses, opportunities, and threats, and to compare your performance with your competitors. For example, you might use histograms, charts, tables, or dashboards to show how your data compares with your competitors' data.

4 Improve your performance

Finally, you need to use the data to improve your performance. How will you use the data to make decisions and take actions? What changes or improvements will you implement? How will you monitor and evaluate the results? You should use the data to identify and prioritize the areas that need improvement, and to design and test solutions that address the root causes of the problems. You should also use the data to track and measure the impact of the changes, and to celebrate and share the successes. For example, you might use the data to reduce waste, increase efficiency, enhance quality, or boost customer satisfaction.

Data collection is a powerful way to compare your performance with competitors and to drive continuous improvement with Lean Six Sigma. By following these four steps, you can collect and use data to achieve your goals and stay ahead of the competition.

5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?