Six Sigma or Not

The Question: 

Dear Business Solutions, should my company invest the hundreds of thousands of dollars necessary to install Six Sigma?  Signed 6sigma.
 

Our Response:  Dear 6sigma, this is an excellent question.  Many companies have embraced six sigma in a headlong rush to keep up with the latest management practice (fad?).

Six Sigma is slowing in popularity as the inevitable gaps are found in the benefits.  It has produced some excellent results, particularly in manufacturing organizations where the statistical approach is readily applied.  It begins to weaken in effect as it is sold to non-manufacturing companies and companies too small to benefit from the significant investment in money and time required.  Fully trained personnel (cost up to $50,000 each) are expected to devote all their time to six sigma projects.  Can you really afford that and if you can why should you pay that much for an uncertain payout?

Before you sign on the dotted line, it is imperative that you talk to peer companies who have applied six sigma for 3 to 6 years.  They may tell you the truth.  Check their numbers before you accept them at face value.  There is a huge incentive to inflate six sigma project success.  An estimated 40% of all six-sigma initiatives are failing to achieve their goals.

I suggest you also read our article on six sigma.

Learn how to achieve six-sigma results without spending $$$$