Presented at: AGIFORS 56 th Airline Operations Annual Symposium, Santiago, Chile, October 13, 2016 Abstract— This case study is a practical implementation of the Lean Six Sigma (LSS) method to improve on-time performance and specifically, reduce connecting baggage related delays at Kenya Airways. The project contributes significantly to the financial bottom and top lines as flight delays impact (1) direct ground handling operating costs, (2) passenger compensation costs and (3) so-called “soft” costs or lost revenue opportunities due to brand damage. Using the Define – Measure – Analyze – Improve and Control (DMAIC) continuous improvement cycle the connecting baggage handling was identified as the main contributor to aircraft turnaround delays. The required data was then collected, tested and used to determine the process baseline performance. In a deep dive analysis, the root causes for process variation were identified, resulting in three main improvement areas: (1) out-station loading sequence determination, (2) baggage off-loading and (3) baggage loading. Three pilot cases studies are currently being executed to test solutions to (1) address the out-station loading sequence determination, (2) redesign the narrow body turnaround process to eliminate waste and (3) improve team work between baggage handling and ramp teams by aligning key performance indicators. Using the LSS improvement approach, Kenya-Airways has redesigned its baggage handling process to be better in line with it business model, serving a majority of connecting passengers. Delay costs analysis indicate that continuously improving the baggage handling process can save up to 7.5% of Kenya-Airways’ delay-related costs. Index Terms—Lean Six Sigma, Baggage Handling, Airline Operations I. INTRODUCTION The airline industry is extremely competitive, with notoriously small profit margins. Therefore, the industry requires to continuously improve its operations and reach for operational excellence. The LSS continuous improvement cycle is an excellent tool that enables airlines to control the right inputs to drive process improvements. This article provides a practical case study on how the Kenya Airways’ ground services department applied the Lean Six Sigma continuous improvement cycle to improve on-time performance and reduce baggage connectivity delays at Jomo Kenyatta International Airport. The project is carried out using Define – Measure – Analyze – Improve – Control (DMAIC) improvement cycle. This article provides a detailed overview of the steps taken, the decisions made and full results of the project for the five phases of the DMAIC cycle. II. DEFINE BAGGAGE HANDLING IMPROVEMENT PROJECT The starting point of the case study is twofold, namely the creation of customer value and the reduction of operational and opportunity costs. The project goal is defined during the Define phase and is the result of (1) the user satisfaction statement and (2) the operations delay cost analysis. A. Defining Customer Value The user satisfaction statement is used to determine what is Critical To Quality (CTQ’s) for Kenya Airways (KQ) guests. This analysis includes three elements: (1) a user needs assessment, (2) an analysis of opportunities to improve and (3) an industry benchmark analysis. From the user needs assessment shown in Figure 1, Kenya Airways’ three main user needs are: (1) on-time performance, (2) a seamless guest experience, (3) a smooth and correct delivery of the check-in luggage. Fig. 1. User needs assessment. This Pareto analysis chart shows the score points of the Kenya Airways passenger needs. Solid bars are user needs addressed in this research. [1] 0% 20% 40% 60% 80% 100% 0 5 10 15 20 25 30 35 40 45 50 Flight disruptions / On-time performance/ Not wasting… Seamless experience Guest Acknowledgment Check-in baggage/ Cargo handling/ Lost… Luxury Flexibility regulations and policies / Processes /… Give aways / Fam. Tickets / Bundled packages Value / Price sentitive Priority boarding / Seating arrangements Lounge access Medical services onboard / Oxygen / Med. Facilities /… Loyalty program Passenger / Agent communication In-flight entertainment Identified User Needs Score Points Improving the baggage connection process using the lean six sigma approach Willem-Jozef C.D. Van Goethem, Francis Musila, Thomas A. Omondi and Yvette Bogaert Presented at the AGIFORS 56 th Annual Symposium in Santiago, Chile on 10-14 October 2016. W-J.C.D. Van Goethem MSc. is active as independent aviation consultant and lean six sigma specialist for Kenya Airways Ltd to improve the baggage handling process. (Corresponding author wj@goethem.be; www.goethem.be). F. Musila MSc is the Ground Services Director at Kenya Airways Ltd. T. Omondi- Achola BSc. MBA is the Strategy & Performance Management Director at Kenya Airways Ltd and currently Phd researcher in Aerospace Engineering at Delft University of Technology. Yvette Bogaert, holds a Master Black Belt Certification and is currently lean six sigma trainer with The Lean Six Sigma Company and Change consultant with YB Consulting