Six Sigma is a quality management tool, which is often used to improve an organization’s performance and productivity. It was originally created by Motorola, a multinational telecommunications firm based in the US, in 1986. The initial purpose of creating Six Sigma was to help improve Motorola’s manufacturing process. Due to its flexible nature this business management strategy was gradually adopted by almost all major industries, such as health care, hospitality, banking, engineering, marketing, and construction. Read this article to know what Six Sigma is used for and the benefits of using it.
Six Sigma: How it Helps Businesses
Six Sigma is a methodology based on statistical analysis. It helps businesses take a systematic and well-informed approach towards achieving their goals. Here are the various capabilities of Six Sigma, and how it can help businesses –
- Flowcharting – Six Sigma uses flowcharting to analyze the current process of a business. Flowcharting is also referred to as process mapping, a step by step documentation of the process. A flowchart may include information about different decision points, such as how an order is received, how work is delegated, and how billing is done. This systematic documentation of the process helps recognize the drawbacks in the system and take further steps to improve it.
- Developing New Processes – Upon recognizing problem areas, Six Sigma strategizing improvement plans and develops new processes to eliminate waste. Anything that does not contribute to the ultimate goal of the business is considered as a waste. In order to streamline the process, Six Sigma can also be combined with other process improvement programs such ad LEAN.
- Training and Certification – Six Sigma is often used by corporations to train their employees. Training is offered at different levels. Depending upon training level, there are different types of certification, such as black belt, master black belt, green belt, and yellow belt. These training programs help professionals improve their knowledge base as well as gain new perspective on how to deal with a problem. Different types of Six Sigma training programs are designed for different professional positions and ranks. For example, there is Six Sigma training for managers, quality leaders and lower rank employees. An individual or a corporation needs to choose a program type depending upon their specific requirements.
Finally, the Six Sigma methodology helps in reduction of defects. Once employees have been trained in the Six Sigma process, they can easily identify a particular problem that is repetitively affecting customer satisfaction. Six Sigma enables employees to take the required action towards resolving the problem from the root. This ensures reduction in defect and improves customer satisfaction in the long run.
Successful implementation of Six Sigma, can go a long way to help a business reduce costs, increase revenues, and improve the morale of their employees.
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