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Home > Executive Briefing >Risk & Compliance management and its relationship to value

Six Sigma Tips

Mike Allison

Six Sigma is a methodology with a great pedigree. Incorporating learning from mistakes of the past using other methods, the Six Sigma process makes sure each step is set up for success.

Six Sigma actually has two methodologies; one for process improvement and one for fundamental design change. In this article, we look at the most often used methodology – DMAIC, which is for process improvement.

Define, Measure, Analyse, Improve and Control are the phases of Six Sigma that define the acronym. This structured approach ensures that projects without real impact on the business don’t get on the priority list – just as it should be in a well-managed business. There are hundreds of books and articles on DMAIC, so we won’t repeat them – please refer to the references at the end of the article for introductory reading.

The key message we want to convey is that many businesses don’t adopt the right approach to introducing Six Sigma. Millions of dollars are wasted on training that never gets used. Here are some tips to avoid this waste:

  1. Start small. Most businesses have lots of “low-hanging fruit” that can bring quick benefits. You don’t need the advanced techniques in Six Sigma to realise these benefits, so don’t pay for the training. However, the methodology is important, to prioritise improvements that make the most impact on the business.
  2. Train Just-In-Time. Retention of learning has a 72-hour half-life. We forget half of what we learn within 72 hours, unless it is reinforced. So, learning an advanced technique which won’t be used for 6 months is a complete waste of time and money.
  3. Involve the stakeholders in the process. Techniques can be taught as they are needed and process owners/operators will develop an infectious enthusiasm for improving things.
  4. Manage DMAIC. Make sure the Manager responsible for the process is briefed on the questions to ask that ensure the team is on the right track at each stage of the process.
  5. Build in the outcome. Use the management system to capture the gains and new knowledge.
  6. Celebrate success. You don’t have to spend a fortune on this. The important things are recognition of a job well done and two-way communication between management and workforce.

A recent project made huge savings, using only basic tools. Flowcharting the process revealed that a key activity was simply not identified, resulting in costly rework. Creating a procedure with that activity in the correct sequence solved the problem.

Are you thinking of embarking on a Six Sigma program?

Contact us first to discuss how to really make it effective and deliver the bottom line.

Reference

“What is Six Sigma?”, Peter S. Pande and Larry Holpp, McGraw-Hill, 2002 [describes the reasons why companies are implementing it and written from the perspective of both employees and managers]

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