Life Success Habits


Success in Business - Using Six Sigma

Jack Welch, legendary former CEO of GE referred to Six Sigma as "the most important intiative GE has ever undertaken". Let's look at what Six Sigma is and isn't.

  • Six Sigma is not about big business - it's about successful business, whatever the size.
  • Six Sigma is a process improvement methodology that can be applied to any type of business to streamline operations and maximise the return on resource invested. That translates are more profit!
  • Six Sigma uses operational data - and data doesn't lie. It removes subjective interpretation and ideological business fads from the process of gaining business success.
  • Six Sigma was developed, tested and proven by Motorola in the early 1980's and have been successfully deployed by thousands of businesses throughout the world.


Six Sigma Model

The six sigma model uses six phases:

  1. Select - process for improvement based on the likley effort required and the probability for success, and where an improvement has a direct benefit to the customer.
  2. Define - the project team, the process data to be collected and 5 to 10 core metrics to measure the process, and how the project will be managed and results communicated.
  3. Measure - collecting data and validating the measurement systen to ensure data can be trusted.
  4. Analyze - data to identify and quantify opportunities for improvement. Also identify the cost:benefit of moving forward to the improvement phase - the business case.
  5. Improve - define the cause of the problem and redesign the process to eliminate the problem. Implement the solution.
  6. Control - put measures in place to maintain the new improved process, and continue the improvement effort. These measures also validate the results of the improvement.


Six Sigma Project Outcomes

The outcomes include:

  • Identify and eliminate hidden waste and cost
  • Identify and eliminate defects
  • Increase profit margins
  • Increase customer satisfaction
  • Increase employee satisfaction and commitment.


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