1. 1 Six Sigma MEPRS Management Metrics TMA MEPRS Program Office Management Control and Financial Studies Division

2. 2 By the end of this presentation, you will be able to:  Describe the origin and goals of Six Sigma  Identify how Six Sigma is used in healthcare and other industries  Understand and correctly interpret the S2M3 tool  Understand how individual MTF characteristics can affect its position among its peer group/cohort.  Locate tools to help you begin exploring data quality opportunities

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4. 4 Six Sigma in Healthcare:  Using Lean Six Sigma, Morton Plant Hospital in Clearwater, FL, improved patient satisfaction over 50%, reduced emergency department length of service by 21%, and recovered over $4 million in cost of quality (aka rework).  Kaiser Permanente Colorado used Lean Six Sigma to evaluate and improve Medicaid enrollment processes. A three-month project resulted in a 45 percent gain in Medicaid membership while increasing Medicaid revenue by more than $1 million annually.  The Nebraska Medical Center used Six Sigma to improve the completeness and availability of physician orders for patients; the project occurred within a Six Sigma program that has returned about $7.5 million in savings.

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7. 7 The Bell Curve Mean/ Avg Mean minus 1 St Dev Mean plus 1 St Dev

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9. 9 Graph 1

10. 10 Graph 2

11. 11 Graph 3 For a little over 950,000 scripts, we would expect the expenses to be around $9,000,000 [1] but at Madigan for the same number of scripts, the expenses are around $11,500,000 [2]. Madigan [1] [2]

12. 12 You can now:  Describe the origin and goals of Six Sigma  Identify how Six Sigma is used in healthcare and other industries  Understand and correctly interpret the S2M3 tool  Understand how individual MTF characteristics can affect its position among its peer group/cohort.  Locate tools to help you begin exploring data quality opportunities

13. 13 Six Sigma MEPRS Management Metrics (S2M3) Questions?