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When is a company ready for Six Sigma ? October 1, 2007

Posted by Coolguy in Six Sigma.
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Ernst & Young measured 500 companies in 1992, on three categories: Profitability, Productivity & Quality. They concluded that Six Sigma approach achieves best results if implemented by high-performance organizations. Medium and Low performance companies should consider some building block steps first.

  • Low Performance: Concentrate on basics, Problem Solving, Cost Mgmt, Customer innovation
  • Medium Performance : Set goals & monitor, Process simplification, Department improvement teams, involve middle management.
  • High Performance: Benchmark against other firms, empower employees, Communicate strategic plans, continuously improve.

Six Sigma may not be right if:

  • Company has strong process improvement efforts in place
  • Current changes are overwhelming company people and resources
  • Potential gains are not sufficient to finance investment to support Six Sigma.
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1. Six Sigma Introduction and Goals « Executive in wait - May 23, 2008

[…] When is a company ready for Six Sigma ? […]


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