How essential is Six Sigma?
Sigma and your business processes; How essential is Six Sigma to your business, and is it worth it to you to employ individuals who are adept and/or certified?
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Jun 2, 2014
SME's in services - not that essential broadly speaking, although some aspects of it can be relevant however those components of it can be gotten from other simpler and more straight forward efficiency driving models. For larger manufacturing or service organizations then in my opinion much benefit to be gained and better ROI. Having said that if I was a LSS specialist I'd see ways of applying parts of it in any business.
Jun 2, 2014
Six sigma does not work for call centers! Just an updated version of system selling with a few more whistle and buzzers.
Jun 2, 2014
It all depends. It can be used to create a strong culture of continuos service improvement which can help drive the company to new heights.
It can be used to make significant improvements on a particular service or project.
However, it can also be a complete diversion if its not done well, and cause more inefficiencies that it solves
Its all down to implementation
Hope this helps
Jun 2, 2014
Its dependent on creating a culture of six sigma. Being able to measure everything across the board. Having one person is good, but having everyone at the office knowing what it is and living it is the difference maker.
Jun 2, 2014
Hi Jeremy,
Six Sigma is a nice buzz word, it can be used in part or as a complete entity and it’s all at your discretion. The principle is life changing and in most cases it only applies to manufacturing were in my opinion it’s essential because of the impact on your reputation and on the bottom line implicitly for the cost of Non-Quality. The Quality of your product is in the eye of your client, Halloween costume is an only time deal but most other products are not. What happens with your image if a kid chokes on your product and no action to prevent this was put in place? How much can you save in labor and materials if you improve the quality of you final product and you client accepts 2 times more units? Cost of non-quality also include, warranties, returns, lost clients, lawsuits, time spend fixing all this issues etc.
Jun 2, 2014
For business's outside the fortune 1000 group it is not needed. Having all your business processes documented and reviewed is very important regardless of the size of the business.
Jun 2, 2014
I have to respectfully disagree with most of the responses to your question. My firm's core service is Six Sigma consulting and while it's true some consulting firms make the application rigid for an experienced Six Sigma consultant it really shouldn't be. What Six Sigma needs is metrics and if you don't have that, Six Sigma can help create a process to obtain them. While it will necessitate some upfront investment it is not cost prohibitive. It also is not a methodology reserved solely for Fortune 500 companies. Six Sigma is a methodology and as such certain aspects can be applied for every situation. The key is that like all solutions one size does not fit all. Before you ask how essential it is, I would ask what do you want to achieve?
Jun 2, 2014
Jeremy,
I think as all the people who answered many people do not give much weight to Six Sigma. This is a fine attitude for your question is it worth it to you to employ individuals who are certified (adept does not fly), most of us will say no we dont want to pay extra for such a certification. However, as you will soon be a job seeker there may well be companies who will not consider you if you do not have it. For that reason if you can get the training paid for as part of your military service, I would do it in a heart beat (nobody will hold it against you).
Maybe you cant get it paid for but currently have the time; that is a bit tougher to answer. As you transition and need to get people to grasp that you were responsible for pieces of equipment worth millions and millions of dollars and they dont know what that means in civilian terms, designations like Six Sigma can help them because they know what it means (it fits a check box). I work with many people in transition and though I would like to say your experience matters, designations can really help.
Jun 2, 2014
So after, I started typing you got some very good answers just above mine.
Jun 2, 2014
Whether it is 6 Sigma or another approach to quality management, yes, it is worth it to hav someone who knows how to get your peoople involved. I don't know how large your group is, but there are many adaptations that truly get results.
Jun 2, 2014
Six-Sigma isn't "essential" at all. Period. In fact, while companies can benefit from improvements in quality of both processes and products, trying to improve everything simply because it CAN be improved is costly in terms of time, energy and money. In fact, it can be damaging to morale to work on improvement time after time and see little or no improvement to the company's bottom-line.
Six Sigma, if applied, should be applied in conjunction with an approach such as ToC (Theory of Constraints), which can help you and your management team discover WHAT needs to improve and set priorities based on the amount of improvement in THROUGHPUT (i.e., revenues less truly variable costs) compared to changes in OPERATING EXPENSES and INVESTMENT (if any) required to effect the proposed changes.
The last thing any company should want to do is spend time, energy and money on "Improvements" that do not have a relatively immediate impact on improved cash-flow and profitability.
Jun 2, 2014
Food, Clothing and Shelter are the only aspects in life that are truly essential. Everything else is a "want," that can complicate, mar, cloud, bias, our decisions. Each person is going to have to investigate what their constraints are (using the ToC concept as referred to here) and find the linkage between implementing LSS and their EBIT (career or business/professional). Good luck!
Jun 2, 2014
First, Mr. Shepherd, Thanks and salutations to you for what you are or have done for our nation. You must be transitioning through a difficult time trying to get back into the mainstream of the US economy. Wishing you the best.
When everything works, one is likely to assume that they don't need anything else. When nothing works, one feels that they would need anything to make it work.
A Lean Six Sigma (LSS) practitioner is likely to say LSS is oxygen, while a non-practitioner would tend to state, it is a hobby or non-essential.
With all humility, both of them are biased in their conclusions. One only raises risk by basing decisions that are biased. Get your facts and then make a decision.
There are several people who have done extremely well leveraging the principles of LSS and equally and probably several more who have shined in their fields without it.
So, I would focus on asking of the principles of success, rather than whether ISO, LSS, CMMI, SEO, etc etc are essentials?
Hope to make a difference in your life as you transition from your veteran experience. If you wish to discuss it further, please contact me offline.
Have a safe day!
Cheers,
Dr. Shree
Jun 2, 2014
If you have a high volume production line, Six Sigma statistical tools may help you identify problem areas.
Six Sigma is usually less effective in analyzing administrative/ transactional environment.
Jun 2, 2014
You are absolutely right, the first Lean Six Sigma project was actually (allegedly) performed in the logistics of a product that Motorola couldn't ship on time. Later on, it became known for its violent relevance to manufacturing. GE then took it and spread it across all of its business units convincing the world that it applies to any process, business, career, etc. The world today, still wishes to believe or disbelieve what it wants to like anything else. Spiderman, Santa Clause, Batman etc...Check your local network and find a belt and get some feedback and make decisions on available data is what I would say. It has been a great journey for me and that is in itself a biased evaluation I would you caution you on. Good luck!
Jun 2, 2014
Moshe - not to disagree with you, but we used 6sigma in marketing and public relations and it worked well. It takes creating a culture of people that understand it and can apply it.
Jun 2, 2014
We used it in a marketing cycle time reduction as well and it succeeded as we made use of the methodology appropriately. It has been used in sales, HR, customer service and all non-manufacturing environments. However, the world still thinks it is meant for manufacturing applications. What a myth?
Jun 4, 2014
Six Sigma has it's own unique point - Statistics based problem identification (SPC), driving solutions and implementation. All the other Six Sigma tools are similar or identical to other implementation methodologies.
So, using Six Sigma in Marketing, Sales and Inventory is not really more effective than any other methodology the organization is committed to.
Jun 4, 2014
Your first comment was it is restricted to a high volume production, which is not necessary as we have executed it in a sales environment where the sales transaction itself takes months in a year and a few of them (products) get sold. Second, you also quoted here that all other tools of LSS (Lean Six Sigma) are similar or identical to other implementation methodologies. You are right and I never argued that. Quick point here is even though all other tools are the same, it is not the tool, but the sequential structuring that made the methodology much more effective than the traditional approaches. As far as it not being more effective in sales and marketing, it is the same argument that manufacturing, transactional and services function also claimed until we started working with them. To your point, if one doesn't need the methodology, he doesn't need it and if they find that their methodology is not working (or ineffective), then he may need LSS. Thanks for sharing.
Jun 5, 2014
Six Sigma is a technique used for process improvement if you didn't know how do continuous process improvement before you got 6 sigma then you certainly didn't know how to do it once you got 6 sigma. Almost every American company is in trouble and 6 Sigma can't and hasn't helped them. If 6 Sigma was such a great technique there would not be so many companies in trouble. 6 Sigma does not provide management development training and without that training 6 sigma does not work. 6 Sigma merely tells you what you should already know. It can't help you identify problems and teach you hove to fix those problems. 6 Sigma is something that is not needed at all, if I had one month in any company I would have that company running like a well tuned machine.
Jun 6, 2014
If this is the case then you are in direct conflict with your comment..."If you have a high volume production line, Six Sigma statistical tools may help you identify problem areas..." The discussion (without digression) is on high volume versus low volume application. Once we get past that I would happily debate on the other aspects of LSS if I may.
Jun 2, 2014
I think it's too rigid for the fluidity of today's business. For the time, it was lauded and rightly so, but I don't believe it has much sway in today's market other than in very highly regulated industries.
Jun 2, 2014
Most of the pharmaceutical industries (that are regulated) complain that LSS is for a manufacturing environment were widgets are built. Theirs is a research and development process that is not susceptible to the LSS tools and methodology. If they want to benefit from it, they will find the reason to do so. If they don't want to do it, they would equally find reasons not to do it. In today's fluid world, there has been application of LSS in almost every industry.
This includes SEO solutions and in marketing strategies (starting with GE back in the 90s). One industry may call it differently, but the concepts of LSS are there. That said it is not to accept it, like anything else.
Jun 2, 2014
And I would not expect that as a Six Sigma coach, you would respond with anything else, it's natural to defend oneself if you're being attacked. Yje concepts are still there indeed, however they have been manipulated to suit today's market, a deviation of SS in no longer SS.
Jun 2, 2014
Yes, you don't have to take my comments or accept them as I may be biased being in LSS. Likewise, is your comment and so it is for the customer to decide. What I pointed out was SEO and other aspects are also deigned with the LSS concepts, excepting that it is not termed that way. LSS was practiced way before it was referred to that terminology or the methodology. Respect to your comments though. Thanks for sharing it and I didn't feel that anyone attacked me or my field. No regrets, peace.
Jun 2, 2014
Six Sigma is typically a Fortune 100 discipline. It is a fabulous process that requires serious and significant training to master as a 6 Sigma Black Belt.These individuals are usually well compensated for their talents. If you can afford them and are willing to adopt the 6 Sigma methodology it will certainly benefit the company. However, for smaller growing firms, I am not sure it is worth the investment.
Jun 2, 2014
Affordability is based on the ROI and so ensure you get the ROI you are looking for (especially the sustainable ROI and not a one-time payoff). Thanks for your candid feedback. Finally, one can deliver as a seasoned Yellow Belt and need not be a Master Black Belt. I have several of those who have done just that.
Jun 2, 2014
Six Sigma can be very helpful when working to drive efficiencies for your business. I think the real value comes, however, when it's not done as an isolated exercise but becomes a regular way of thinking in the approach of day to day work.
Jun 2, 2014
Very true, Karin, Six Sigma, and including transactional processes, Lean Six Sigma, is a way to oprate your business, in every way possible
Jun 2, 2014
Agreed with both of you. When the objective is established toward a win-win (usually with the customer), there is always victory written with a LSS approach. There are always lessons learned, however, it is known early enough if it would succeed or fail. Watch for periodic reviews to give you direction and magnitude on navigating it to success. Good luck!
Jun 2, 2014
Walter - I dont think you used it effectively. It is very much applicable to marketing.
Jun 7, 2014
In my opinion it starts with belief. If one does not believe it is most useless thing if one does it is the only useful thing. Completely agree with Lee Bonner ... LSS is applicable irrespective of size, sector, geography. Due to lack of awareness created by LSS professional like us it does not get due appreciation. With all due respect to all (without any judgement on any thinking), someone very aptly said "Cynics can never be convinced, ignorant can be"
Like all management philosophies Six Sigma is also a philosophy. Like wrong implementation of any strategy/method/philosophy, wrong implementation of Six Sigma (or Lean Six Sigma) will not yield results. Six Sigma is a way of thinking and does not get bound by six of organisation or sector / geography it operates in etc. What decides the successful outcome is the way it is implemented. I have been able to implement it in various different environments. Some environments were really full of cynics but with due support from main sponsor converting cynics was not very difficult. So, start of the program should be with due sponsorship rest the Six Sigma professionals (full time employees or consultant) are very much equipped to produce best results.