{"id":2230,"date":"2013-07-05T09:26:51","date_gmt":"2013-07-04T23:26:51","guid":{"rendered":"http:\/\/pdtraining.com.au\/blog\/?p=2230"},"modified":"2015-09-01T13:06:37","modified_gmt":"2015-09-01T03:06:37","slug":"lean-sigma-training-law-complexity-cost","status":"publish","type":"post","link":"https:\/\/pdtraining.com.au\/blog\/lean-six-sigma-training\/lean-sigma-training-law-complexity-cost\/","title":{"rendered":"What is the Law of Complexity and Cost? Lean Six Sigma Training &#8211; Sydney, Brisbane, Perth"},"content":{"rendered":"<figure class=\"figure alignright\"><a title=\"Lean Process Improvement Training Course Sydney, Brisbane, Perth\" href=\"\/courses\/lean-process-improvement-training-course\"><img loading=\"lazy\" decoding=\"async\" class=\"  \" style=\"margin: 4px;\" title=\"Lean Process Improvement Training Course in Sydney, Brisbane, Perth\" alt=\"Lean Process Improvement Training Course in Sydney, Brisbane, Perth from pdtraining\" src=\"\/blog\/wp-content\/uploads\/2013\/07\/photodune-763409-goal-xs-300x199.jpg\" width=\"300\" height=\"199\" \/><\/a><figcaption>Improve processes using Lean methodologies<\/figcaption><\/figure>\n<p><strong>The complexity and cost to produce something which is complex is more expensive than something that is lower quality or produced at a slower speed.<\/strong><\/p>\n<p>Attend the 1-day <a title=\"\/courses\/lean-process-improvement-training-course\" href=\"\/courses\/lean-process-improvement-training-course\" target=\"_blank\">Lean Six Sigma Process Improvement Training Course<\/a> delivered by pdtraining in Sydney, Brisbane, Perth and other cities to learn about how the law of complexity and cost affects decisions related to process improvement, and more.<\/p>\n<p>&nbsp;<\/p>\n<figure><a title=\"book a lean ix sigma training course now\" href=\"https:\/\/pdtraining.com.au\/bookings\/publicclassbooking.aspx\" target=\"_blank\"><img decoding=\"async\" class=\"aligncenter\" alt=\"book now button sales training sydney\" src=\"\/blog\/wp-content\/uploads\/2013\/05\/book-now-button.jpg\" \/><\/a><\/figure>\n<h3>What is Complexity?<\/h3>\n<p>Complexity in <a title=\"\/lean-six-sigma-training-courses\" href=\"\/lean-six-sigma-training-courses\" target=\"_blank\">Six Sigma<\/a> means non-value added high cost manufacturing processes. The Law of Complexity and Cost adds more non-value-added cost and work than either poor quality (low Sigma) or slow speed (un-Lean).<\/p>\n<h3>What Causes Complexity?<\/h3>\n<p>There are two significant contributors to complexity:<\/p>\n<ul>\n<li>Complexity escalates under differentiation, and occurs when we strive to develop a variety of offerings, features, and attributes. As an example, consider a cell-phone manufacturer with a growing number of cell phone models in its portfolio. Each model will require its own R&amp;D, Marketing, and Support.<\/li>\n<li>Complexity escalates under sheer volume of back-operational work. Consider the production of a jet plane which involves hundreds of thousands of engineering specifications and processes that need come together for a final product.<\/li>\n<\/ul>\n<p>Both scenarios are always at immense strategic risk when faced by a less-complex competitor.<\/p>\n<h3>How to Simplify?<\/h3>\n<p>Complexity reduction or elimination of non-value added <a title=\"\/courses\/lean-six-sigma-awareness-training-course\" href=\"\/courses\/lean-six-sigma-awareness-training-course\" target=\"_blank\">processes<\/a> is central to Six Sigma and <a title=\"\/blog\/lean-six-sigma-training\/lean-sigma-training-australia-identifying-muda-waste-manufacturing-process\/\" href=\"\/blog\/lean-six-sigma-training\/lean-sigma-training-australia-identifying-muda-waste-manufacturing-process\/\" target=\"_blank\">Lean thinking<\/a>.<\/p>\n<p><strong>There are two approaches to reducing complexity:<\/strong><\/p>\n<ul>\n<li><b>Standardisation:<\/b> Standardising the internal tasks and components of an offering so that a fewer number of them can be assembled into many different products.<\/li>\n<\/ul>\n<p>A practical example can be found in the automotive industry. Instead of 8 different vehicles built on 8 different platforms, the manufacturer condenses its engineering designs into one platform. Consider how GM now shares one platform across Chevrolet, Cadillac, Buick, and GMC.<\/p>\n<ul>\n<li><b>Optimisation:<\/b> Eliminating offerings that generate a loss particularly where you are strategically disadvantaged or see a declining market. Almost every organisation has products that refuse to generate profit. These should be removed or re-priced to generate adequate return.<\/li>\n<\/ul>\n<p>The standardisation process achieves low cost without the market penalisation that an optimisation strategy may suffer.<\/p>\n<figure><a title=\"book a lean ix sigma training course now\" href=\"https:\/\/pdtraining.com.au\/bookings\/publicclassbooking.aspx\" target=\"_blank\"><img decoding=\"async\" class=\"aligncenter\" alt=\"book now button sales training sydney\" src=\"\/blog\/wp-content\/uploads\/2013\/05\/book-now-button.jpg\" \/><\/a><\/figure>\n<p><a title=\"\/blog\/change-management\/change-management-training-identifying-wifm\/\" href=\"\/blog\/change-management\/change-management-training-identifying-wifm\/\" target=\"_blank\">Related Article&#8230;<\/a><\/p>\n<h4 style=\"text-align: center;\"><a title=\"\/pd-training-reviews\" href=\"\/pd-training-reviews\" target=\"_blank\">Pdtraining <\/a>delivers 1000\u2019s of professional development courses each year in Brisbane, Sydney, Parramatta, Melbourne, Adelaide, Canberra and Perth, so you can be assured your training will be delivered by a qualified and experienced trainer.<\/h4>\n<h4 style=\"text-align: center;\">All public\u00a0<a title=\"\/courses\/lean-process-improvement-training-course\" href=\"\/courses\/lean-process-improvement-training-course\" target=\"_blank\">Lean Six Sigma Process Improvement Training <\/a> courses include am\/pm tea, lunch, printed courseware and a certificate of completion.\u00a0 Customised courses are available upon request so please contact pdtraining on\u00a01300 121 400 to learn more.<\/h4>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The complexity and cost to produce something which is complex is more expensive than something that is lower quality or produced at a slower speed. Attend the 1-day Lean Six Sigma Process Improvement Training Course delivered by pdtraining in Sydney, Brisbane, Perth and other cities to learn about how the law of complexity and cost [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[439],"tags":[1070,2077,709,1071,1072,708],"views":24,"_links":{"self":[{"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/posts\/2230"}],"collection":[{"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/comments?post=2230"}],"version-history":[{"count":8,"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/posts\/2230\/revisions"}],"predecessor-version":[{"id":4623,"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/posts\/2230\/revisions\/4623"}],"wp:attachment":[{"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/media?parent=2230"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/categories?post=2230"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pdtraining.com.au\/blog\/wp-json\/wp\/v2\/tags?post=2230"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}