How And When To Choose The Right Six Sigma Training

The term "Six Sigma" may seem difficult to comprehend at times, but is actually very easy to explain. The term is derived from a character in the Greek alphabet, which is used for representing a standard variation in statistical mathematics. Statistically, Six Sigma can be defined as a near perfect method of production that restricts the number of defects to less than 3.4 for every million opportunities that exist for a defect to occur. This makes Six Sigma one of the preferred quality management techniques for achieving near perfect business processes through process improvement.

Data Driven And Disciplined Approach

Six Sigma follows a disciplined and data driven approach for eliminating defects in any type of business process, whether it is the product manufacturing process or after sale customer service. The two most commonly used methodologies in quality improvement projects are the DMAIC process (define, measure, analyze, improve, control) and the DMADV process (define, measure, analyze, design, verify). The former is used for improving the quality of business processes that have not met customer specifications and require improvement. The latter is used for developing new products or business processes that conform to Six Sigma quality levels. Both the processes are carried out under the guidance of Six Sigma Green Belts and Six Sigma Black Belts, who in turn are guided by Six Sigma Master Black Belts.

Companies often want to know exactly how many benefits can be derived from Six Sigma training. Just to get an idea, one can look at the financial data of General Electric, one of the companies that have successfully implemented Six Sigma training. It is estimated that the total value of benefits derived from the training was close to a staggering $ 10 billion in the five years after implementation. It is estimated that on an average, Six Sigma Black Belts help companies save $ 230,000 per project. Given that most companies can execute 4 to 6 such projects per year, the total savings can translate into $ 920,000 to $ 1,380,000 per year.

Selection Process

After selecting the most appropriate type of training, a company needs to find the right consultant who has the necessary skills and experience in implementing Six Sigma programs. The selection of the training consultant will depend on the type of Six Sigma program that the company is planning to implement. Some programs are implemented all throughout an organization whereas others are implemented in a specific area only such as individual functional departments. The decision regarding the selection of the consultant needs to be made only after consulting other employees, as they are the ones who will eventually interact with the consultant during the implementation process.

After getting approval from the employees, it is advisable to seek references from business associates in other companies that have implemented such projects and can provide the necessary insights. Companies need to interview potential trainers and ask questions regarding their previous work relationships, referrals, total number of candidates trained by them till date, training materials used, earlier projects they have worked on, and their qualifications. This is essential since companies need trainers with a great deal of real-world experience. Companies need to inquire in depth about the type of training that the trainer is willing to provide. Usually, companies prefer training firms that operate online help desks for helping clients in dealing with problems that might arise after the training has been completed.

Why Choose Six Sigma?

The advantages of Six Sigma do not exactly lie in huge cost benefits that can be realized by its implementation. The glaring examples of many corporations having saved billions of dollars are true benefits but the intangible results, such as having met the expectations of customers, and being able to improve employee relations are also paramount. Because some corporations have experienced its failure to meet stated goals, some critics often raise questions about the feasibility of implementing Six Sigma, while still others are dismissing it plainly.

Benefits of Six Sigma:

Obviously, in almost all cases, the reasons for Six Sigma failure have been external factors such as wrong or misguided selection of the tools, lack of application and lack of support from upper management. It is important to keep in mind that the successful implementation of Six Sigma requires a top down approach and perseverance throughout. Also important to the process is proper and thorough Six Sigma training.

Six Sigma Is All About Eradicating Business Problems.

Problem solving involves rational thinking. Somehow, companies always found themselves compromising quality with problem solving, which is the main reason why companies decide to implement Six Sigma and support Six Sigma training.

The top-down approach of Six Sigma requires dedication and application at all levels of the organization and on a continuous basis. The statistical methodology of Six Sigma sheds light on existing flaws and their causes after thorough analysis. Emphasis is placed on experimentation following analysis and redefining the processes and their goals. This is unlike other quality assurance methodologies. The benefits of supporting Six Sigma training for company professionals are apparent.

Financial Benefits: Cash flow increases due to creation of additional revenue. Through this process although cost decreases and increased profitability can be seen. It is important that all professionals involved in Six Sigma implementation have proper Six Sigma training. Although Six Sigma training is relatively expensive, the financial benefits of supporting it greatly outweigh the upfront costs.

Operational Benefits Of Six Sigma Training: employee satisfaction due to improvement in work flow, reduction in process times and steps, better usage of work space, etc. result from implementation of Six Sigma. One major operational reason for choosing Six Sigma is its success in waste reduction and redundancy. Waste reduction is measured in terms of improving time, product movement and decreasing material consumption.

Conceptually, the benefits of implementation of Six Sigma emerge from breaking the mindset that product processes are invariable. Benefits also emerge as a result of interconnected activities. The result of this methodical approach to quality management is evidenced by reduced fluctuations in processes. Stability of this kind triggers a series of positive chain reactions within organizations.

Success stories of Six Sigma training are evident in all fields of business. Since Six Sigma methodology encompasses the entire process of doing business, it is likely to show a flaw here or there, such as companies that embraced Six Sigma have found out. Howsoever small in number the failures may be, they are all due to differing reasons. However, any negative results can probably be traced back to either improper implementation or incomplete Six Sigma training.

What is Six Sigma?

Six Sigma is a revolution in the way businesses operate. It was first created in the 1980s by Motorola and then adopted by Jack Welch at GE although its roots come from W. Edwards Deming's work in the 1970s on production quality in Japan.

Overall Six Sigma can be broadly defined as three things:

1. A system of management to achieve lasting business leadership and world-class performance

2. A goal of reaching near-perfect performance

3. A statistical measure of the performance of a process or product.

In addition because Six Sigma is a widely used and enormously successful methodology for business process improvement it provides a wealth of tried-and-tested tools and techniques that can be leveraged by managers to assist them in improving operations.

The name "Six Sigma" comes from a statistical measurement of variation known as the standard deviation (Ã). This is used as a measure of how well a process or procedure is operating or, in other words, how many "faults", "defects" or "errors" it has, and is based on a "bell shaped" normal distribution curve.

If a process is operating at "1Ã" it has around 31% accuracy which means 69% of the product or service suffers from faults or errors. For a process operating at "4Ã" this has improved to 99.38% accuracy. At first glance 99.38% may sound pretty good, however this still means 6,210 faults per million opportunities (i.e. sales, customers served).

OK you say, fine. But what does this have to do with me?

The aim of Six Sigma improvement is to achieve wherever possible a 99.9997% accuracy. This still accepts that no product or process will ever be completely perfect, but it sets a limit on how many errors are acceptable to your business and ultimately to your customers.

If you think this is unrealistic or fanciful then be careful, because your competitors all over the world are implementing Six Sigma programmes across their organisations with EXACTLY this goal in mind.

Furthermore, Six Sigma initiatives have achieved high profile and massive improvements in customer service and in profitability. Even if you haven't heard about it yet, it is likely that if you work in a large organisation there is already a Six Sigma programme somewhere that will eventually cross your path.

The real difference between Six Sigma and other quality initiatives such as "TQM" is the degree to which management plays a key role in monitoring and owning program results and accomplishments. Many organisations are tying part of their executive remuneration directly into the successful delivery of Six Sigma initiatives.