Process Master Ltd

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Six Sigma

ProcessPad and Six Sigma

Yes it’s true. Senior management is tired of seeing all the graphs and charts used to explain the behavior of complex systems.

It is not that senior managers don’t want to gain an in-depth understanding of how a complex system works. But it’s that they don’t have the time or energy when confronted with the same methods used the ancient Egyptians (hieroglyphics). Most organisations are still relating complex concepts with static Visio pictures. Graphs and pictograms are a great improvement over text descriptions, but a dynamic visualization in Process Pad of your process conveys vast knowledge by linking the named BPMN icon in a process with the textual explanation of it.

And additionally, that icon is also linked to the performance statistics of that process step.

Management will be able to gain as deep an understanding as they want without devoting pyramid building effort to get that understanding. You see, no matter how good your idea, you have to be able to sell the concept to those that can authorize the project. And before management is going to “buy” the concept they are going to have to understand the concept. A great idea that is not used is the same as a bad idea that is not used. A Process Pad depiction of the proposed change will convey the right information to show how your project will impact the bottom line.

Six Sigma Adoption

  • 20% of companies using Six Sigma organisation-wide
  • 24.8% of companies use Six Sigma in some parts of the organisation
  • 30.4% don't use Six Sigma at all
  • 22.4% don't use it yet, but plan to use
  • 2.4% used in the past, but not any more

In general the larger the company, the greater the adoption of Six Sigma

  • 1000+ employees - 22.4% use Six Sigma
  • 251 - 1000 employees - 27.2% use Six Sigma
  • 101 - 250 employees - 16% use Six Sigma
  • 51 - 100 employees - 10.4% use Six Sigma
  • 11 - 50 employees - 12% use Six Sigma
  • 1-10 employees - 12% use Six Sigma

 

Motivators for adopting Six Sigma (ranked)

  1. Competitive pressure
  2. Reacting to six sigma success of other companies
  3. Customers pressure
  4. Suppliers pressure
  5. Government initiatives
  6. Primary Benefits of Six Sigma (ranked)

Improvement in process capability (sigma level)

  1. Reduction of operational costs
  2. Reduction of cost of poor quality (COPQ)
  3. Increase in profitability
  4. Increase in productivity
  5. Reduction of cycle time
  6. Reduction of customer complaints
  7. Reducted inspection
  8. Improved Sales

 

Six Sigma - Critical Success Factors

  1. Management involvement & participation
  2. Communication
  3. Training
  4. Linking Six Sigma to business strategy
  5. Project prioritization and selection
  6. Cultural change
  7. Understanding Six Sigma methodology
  8. Organisational Infrastructure
  9. Project management skills
  10. Linking Six Sigma to employees
  11. Linking Six Sigma to customers
  12. Linking Six Sigma to suppliers

Obstacles to Six Sigma Adoption

  1. Time constraints
  2. Lack of leadership
  3. Lack of human resources
  4. Poor project selection
  5. Internal resistance
  6. Lack of knowledge about Six Sigma
  7. Poor training / coaching
  8. Lack of financial resources

 

Most widely used tools

  1. Process mapping
  2. Cause & effect analysis
  3. Project charter
  4. FMEA
  5. Histogram
  6. Process capability analysis
  7. Control Charts
  8. Run Charts
  9. SIPOC model
  10. Scatter plot
 
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