Process Improvement Terms: Glossary for Beginners
What is Process Improvement?
Process improvement is all about finding better, smarter ways to get work done. By streamlining workflows, reducing inefficiencies, and optimizing resources, businesses can boost productivity, improve quality, and enhance customer satisfaction. If you’re a Manager or Director just starting to explore process improvement, you’ll likely come across a lot of new terminology. This glossary breaks down the key terms you need to know—no jargon, just clear and practical explanations to help you get started.
Glossary
Key Terms & Core Concepts
Process Improvement – The practice of identifying, analyzing, and enhancing existing business processes to optimize performance and achieve better results.
Continuous Improvement – An ongoing effort to improve products, services, or processes through incremental and breakthrough changes.
Operational Excellence – A philosophy that focuses on improving operational processes to deliver consistent and high-quality results efficiently.
Methodologies
Kaizen – A Japanese term meaning "continuous improvement," emphasizing small, ongoing positive changes that lead to major improvements over time.
Six Sigma – A data-driven methodology that focuses on reducing defects and improving quality by using statistical analysis and process control.
Lean – A systematic approach to minimizing waste while maximizing value in processes, ensuring resources are used efficiently.
Total Quality Management (TQM) – A company-wide approach to improving product and service quality by focusing on customer needs and continuous feedback.
Business Process Management (BPM) – A disciplined approach to identifying, analyzing, designing, and optimizing business processes for better efficiency and agility.
Tools & Techniques
Process Mapping – A visual representation of a workflow that helps identify inefficiencies and areas for improvement.
Root Cause Analysis (RCA) – A problem-solving technique used to identify the underlying cause of issues to prevent recurrence.
PDCA Cycle (Plan-Do-Check-Act) – A four-step iterative approach to continuous improvement.
5S – A workplace organization method (Sort, Set in Order, Shine, Standardize, Sustain) that enhances efficiency and safety.
Value Stream Mapping – A Lean tool that visualizes the flow of materials and information in a process to identify waste and inefficiencies.
Metrics & KPIs
Cycle Time – The total time taken to complete a specific process from start to finish.
First Pass Yield (FPY) – A quality metric that measures the percentage of products or services that meet quality standards without requiring rework.
Cost of Poor Quality (COPQ) – The total cost incurred due to defects, rework, and inefficiencies in a process.
How to Identify Process Improvement Opportunities
Knowing these terms is a great first step, but real impact comes from putting them into action. Whether you're looking to eliminate waste with Lean, improve quality with Six Sigma, or visualize workflows with process mapping, these concepts can help you work smarter. The key is to start small, track progress, and continuously refine your approach.
If you're unsure where to begin, start by assessing your current workflows and identifying areas that could be more efficient. Process improvement isn’t about overhauling everything overnight—it’s about making intentional, meaningful changes that add up over time.
Ready to Optimize Your Processes?
Process improvement can make a huge difference in how your business runs. If you’re looking for guidance on applying these principles to your organization, we’re here to help. Let’s work together to streamline your workflows and drive real results.