Six Sigma - Key Characteristics and Utilization
Six Sigma has achieved a high profile status and reputation for "saving" Motorola. Jack Welch of GE
has declared that six sigma is "…the way this Company now works."1 The fact that some six sigma practitioners are known as black belts, green belts and black belt masters contributes to the overall caché and allure of the methodology.
Key characteristics of the Six Sigma movement are:
- Strong customer focus
- Solid data and fact based
- Horizontal process focus
- Systematic problem solving and
- The goal to strive for perfection
Six Sigma has its foundation in Total Quality Management philosophies and incorporates concepts from many other approaches such as:
- Re-Engineering
- Balanced Scorecard
- Voice of the Customer and
- Design of Experiments
Yet Six Sigma stands on its own as a "next generation" level for corporate continuous improvement methodology. The Six Sigma process clearly works as is evidenced at Motorola, GE, AlliedSignal, Cisco Systems and many other prominent companies. It can effect strategic and cultural change within an organization or exist more matter-of-factly as a corner stone of a learning organization. However, if left alone and not actively cultivated, the process will deteriorate and no longer form an active part of the fabric of the organization. Deming felt that the push for quality had to come from the top, but it wasn't just their commitment - it also required action on their part!
Six Sigma brings customer focus to the science of management more than any other management philosophy - it is truly outward focused. There is a heavy reliance on data and measurement borrowing again from TQM as well as from the Balanced Scorecard. Six Sigma is flexible and comfortably blends concepts from many other methodologies. It stresses the need to adapt to the organization where it is being utilized.
It's root cause
analysis is based on TQM's statistical analysis
and cause/effect diagramming techniques. Also
it borrows mistake-proofing from Lean's Poka Yoke
and from Failure Modes and Effects Analysis (FMEA).
It's method of prioritization of projects is primarily
based on statistical analysis. However, when the
FMEA method is employed then the risk priority
number process as utilized.
From our perspective, Six Sigma could benefit from incorporating root cause identification techniques by utilizing logic tree diagrams and basing project prioritization on the concepts of constraints and buffers. Both of these techniques are hallmarks of the Constraint Management methodology.
Chet Kagel
HPK Group, LLC
1 Address to General Electric Company Annual Meeting, Cleveland, Ohio, April 21, 1999
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