6 Sigma Categories
Business & Career Improvement
Benefits of Using the Six Sigma Process
Business operations are continually more strained in regard to being required to produce more with fewer resources. Many owners and leaders are uncertain of how to keep with emerging consumer trends and increased cost constraints at the same time, which requires the need to get creative and implement programs that are effectively able to change the course of the future for the company. Leaders interested in this option should know the benefits of using the Six Sigma process to ensure their operations are as well managed as possible.
Six Sigma is a process that measures output performance against an example of what is considered a perfect rate and result of production. This concept is one of the leading principles in lean manufacturing and typically requires businesses to completely overhaul their methods of production and employee training models. The implementation of this concept has helped countless businesses around the globe.
Companies interested in this particular program are often uncertain of where to begin their efforts. Many leaders are not even certain if they should be making this decision at all for their organization. Understanding the multitude of benefits associated with implementing the Six Sigma Methodology is usually quite helpful to any business leader in their efforts.
An initial benefit that is commonly realized with this program is that it is applicable across multiple industries. Companies that operate in any particular sector of the economy are able to benefit greatly from this program as it is usually based on principles to follow within any setting as opposed to direct best practices from competitors. Taking the core Six Sigma principles and making them a reality for any organization merely requires a full understanding and training in the methodology.
Businesses also realize a significant increase in their efficiency when this program is implemented. The entire premise by which the program works is based on the timeliness and accuracy that is attained with per unit production while eliminating flaws with each standard deviation that is ultimately reached. Businesses find these increases to be associated with a multitude of additional benefits that are implemented throughout the company. Because this solution is based on statistical and mathematical theory, decisions are always made based upon facts rather than at random.
Cost savings on per unit production are also typically realized. The lower cost of production is associated with lower output times and decreased shrink and waste of raw materials that are all a function of six sigma manufacturing. These cost decreases are able to become part of a growing amount of working capital to attract investors and reinvest into the company.
Increased customer service is also typically realized by companies that implement this program. Consumers that receive defective or unsatisfactory levels of service are known to take their business elsewhere, which costs the business money and degrades a reputation. Creating products and services that are perfected and proficient avoids this complication entirety.
Six Sigma process implementation also includes an increase in employee morale. The model used in this particular concept requires continual and highly effective training which has long been associated with increasing levels of employee buy-in and morale levels. This secondary benefit is often responsible for being able to reach heightened levels of lean manufacturing.