Great Ways Companies Can Use Six Sigma
Last Updated April 22, 2015
The Six Sigma methodology focuses on eliminating problems by analyzing the processes that create them. The ultimate goal is to reduce process defects to 3.4 per one million opportunities. But to find the true benefits of Six Sigma we must go much deeper.
Six Sigma certification empowers professionals to help an organization in various ways. Here are a few of the ways that Six Sigma can help support positive company growth.
Reduce output errors
Six Sigma works to eliminate errors and improve operations using three general things: metrics, methodology and philosophy.
- Metrics evaluate areas of production and output to identify process steps that may be at risk of causing errors
- Methodology examines how a process delivers goods or services to a customer. Six Sigma uses the DMAIC model to improve an existing process and the DMADV model to create a new process
- Six Sigma also uses a customer-focused philosophy to help organizations reduce variation by making better decisions
Lower Production Costs
The United States Army provided a great example, announcing savings of nearly $2 billion after implementing Six Sigma principles across several units. The Army lowered costs by optimizing scheduling, communicating at all levels of service and focusing on task management. The U.S. Army continues to apply Six Sigma principles to improve performance and increase cost savings.
Retain More Customers
Citibank® used Six Sigma methodology to streamline customer banking services and optimize business processes that were causing customer dissatisfaction and lost accounts. Citibank implemented a reporting process to identify areas of improvement from the customer perspective, then modified processes to meet customer needs. Their use of Six Sigma helped improve customer loyalty while increasing market share.
Employee Empowerment
Six Sigma methodology invests great faith in employees at all levels of the organization. Because front-line employees and middle managers often have a better understanding of the day-to-day workings of the production process, they have great potential in improving the quality of the process.
Six Sigma certification can provide you with solid quality improvement principles and tools to share with other employees. When your co-workers combine the Six Sigma knowledge you give them with their knowledge of the process, they too become empowered to participate in improvement efforts and make changes.
Efficient Resource Use
Six Sigma can also help organizations eliminate waste and preserve costly resources. This point was illustrated in a Dow Chemical Six Sigma case study presented at the Texas Technology Showcase in 2003. The study chronicled how Dow’s Styrene Unit Energy Envelope Project reduced energy output by 80 MMBtu per hour. Six Sigma successfully helped Dow improve plant efficiency and reduce emissions.
Obtaining a Six Sigma certification can be valuable to both you and your employer. But really understanding how to use your Six Sigma training to improve your organization’s productivity and financial performance can make you indispensable.
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