Re-engineering Your Business Processes with Six Sigma

Although the program has proven wildly successful incutter product that is the same every time.
many different cases, other companies have tried toObviously this can't work for people, because we are
implement the Six Sigma system with results thatalready produced and as a result different people will
can best be described as mixed. A large part of therelate to each other differently.
"mixed" (and you can read that as "negative"!) resultsThis isn't to say that people are without defects, but
can be attributed to an improper implementation ofin order to address issues within a retail business
the Six Sigma process.there needs to be additional components outside of
In many cases, the implementation of the processthe Six Sigma process.
will mean a complete re-engineering of the company.The Elimination of Variation
Let's take a look at some of the crucial areas to theIf there's anything that can make the Six Sigma
Six Sigma process.philosophy clear to anyone, it's that the goal of the
Is Six Sigma The Right Choice For Your Business?program is to eliminate variation in the production of
Right away, we need to make it clear that the Sixproduct. No variation means that there are no
Sigma process will not work to increase thedefects, and that is the goal of the system in order
profitability of every business. One key area is in theto successfully realize better profit.
retail sector. It's pretty easy to see how the SixThe elimination of variation takes place at almost all
Sigma system would work within a manufacturinglevels of employment within the company, from
context, and this is proven even more by theupper management Master Black Belts down to
different companies that experienced success underYellow Belts, who have received some training within
the system (Motorola, Caterpillar, General Electric,the Six Sigma philosophy but who have not
even Merrill Lynch). All of these companies focusedcompleted a program of their own. One way to
on shifting a product for their profit, thus themaintain a continuance within the implementation of
elimination of variation within the process was key toSix Sigma is to ensure that all persons who hold vital
ensuring that the product was quality every time.roles are Six Sigma certified.
When it comes to retail, only about half of theBecause of this extra training of personnel,
business is dependent upon the manufacturingimplementation of Six Sigma will mean re-engineering
process. It is of course desirable to sell goods withof a business at both the production and the
no defects and ensuring that the saleable materialspersonnel levels. It's important to understand in which
are without defect will save money. However, theindustries the principles will work and which will not so
principles that work so well for Six Sigma when itthat principles that are meant to apply to products
comes to manufacturing do not necessarily translateare not applied to people. In addition, the people put
well when it comes to the people side, an incrediblyin place to implement the system need to understand
important part of retail. Simply put, Six Sigma ishow it relates to the product.
meant to deal with defects; it's meant for a cookie