Six Sigma has been around for a while. Many corporations have seen a vast improvement in their operations once they implement the education and philosophies of Six Sigma and businesses have taken note ever since famed efficiency executive Jack Welch made Six Sigma the primary focus of General Electric’s management style.
So what exactly is Six Sigma? What will it actually do for your business? For one, it can help build customer loyalty, which leads to increased sales and profits, and leads to cost reduction in your overall business. After all, acquiring new customers is far more expensive than keeping a dedicated and loyal base of customers that are already happy with your business. It is a well-known point to, that a person who buys from you once is more than likely to buy from you again. The reason is that current customers already trust you and they have an intrinsic bond with you. So as long as you focus on the principles that increase the retention of your customers, you can benefit in a vast and inexpensive way. This is all something that Six Sigma advocates and teaches with its governing principles and strategies.
Unlike many other business management philosophies that exist and abound out there in the market place today, Six Sigma focuses specifically on efforts that deliver reliable and predictable results. The reasoning should be clear (but often is not) as to why this is the case. If you know what you are doing, and you know how it is affecting your overall business, you can either scale it up, scale it down, or get rid of it completely. Knowing the processes to profits, increased sales, and increased customer retention, are literally the keys to the gates of success. All manufacturing and business processes can be measured and analyzed – and should be. This is something Six Sigma focuses on – analysis of your ENTIRE business, both the manufacturing side and the sales side.
However, Six Sigma is not just about creating more sales by focusing on the customer. Six Sigma often focuses on the top-level of management of an organization to teach these philosophies and strategies to, but they know that in order to improve rapidly, the entire organization must be behind the Six Sigma principles and commit to them to empower themselves. Once the entire organization is committed to the Six Sigma principles, the business can see drastic improvements in its overall effectiveness and efficiency. One way to get an organization committed to the Six Sigma programs is by motivating your employees – another aspect that Six Sigma is a strong proponent of is teaching top-level management executives.
So how effective is Six Sigma actually? Six Sigma does not focus on speculation and assumptions, rather on research and strategy, proven strategy that is. As of 2006, Motorola has announced they have saved over $17 billion dollars thanks to the Six Sigma programs, so the question is not so much if Six Sigma will be helpful for your business, but rather when are you going to pick up the phone and call?
Garrett Burbidge is the owner of Pathway Business Solutions. I have always focused on the long term relationship that I have with my clients. Because of this I guarantee all of my clients that they will see the results that we’ve agreed on, and if they aren’t happy, I will continue to work with them at no cost until those results are achieved.