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In this paper, we apply the Lean Six Sigma (LSS) approach to demonstrate the continuous improvement in forecasting the manufacturing costs for a flat panel display equipment manufacturer. Soft systems methodology (SSM) was selected as a tool and applied to the improvement phase of the LSS approach, as it is a problem-solving methodology that is suitable for complex problems. A very important aspect of SSM is its reliance on being a participative process where knowledge and resultants can only be gained through debate. The purpose of the debate is finding a compromise that everyone can accept. The results show that the application of LSS approach with SSM effectively improves the supportive activities as well as the manufacturing processes.
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