The Lean Six Sigma was originally created to eliminate waste and improve manufacturing quality to no more than 3.4 defects per million opportunities. Banks have used the Lean Six Sigma to support their growth strategy, financial services companies have used it to put mergers on track, and retailers have used it to increase efficiency while also improving customer service in the store. As you can see, the Lean Six Sigma has many benefits and has worked for a multitude of companies – no matter the type. So, what is the lean six sigma? Keep reading the article to find out further information.
Lean Six Sigma Approach
The Lean Six Sigma is a tool that is used by businesses in order to streamline manufacturing and production processes, as we stated above. However, the main emphasis of the lean six sigma is to cut out unnecessary and wasteful steps in the process of creating a product. By removing these steps, it ensures that the steps that are taken add value to the product. According to the lean methodology, you should determine if something has value by taking into consideration whether or not a consumer would be willing to pay for it. Any part of the production process that doesn’t add value is removed from the equation. This helps to ensure that the process is profitable and that the businesses flow runs smoothly.
Benefits to Lean Six Sigma
While implementing Lean Six Sigma has strategic advantages, there are also additional benefits that companies tend to enjoy. For instance, as an organization begins to reduce its waste, it increases employee productivity. This happens because, with less waste, there is less rework. The Lean Six Sigma also increases employee motivation, which then affects employee satisfaction. One of the greatest benefits of implementing Lean Six Sigma is an increase in customer loyalty. This occurs because of the increase in speed at which products and services are delivered. This allows your customer satisfaction to increase and then leads to retention, better known as more business!
If your company is looking for a new implementation to have the business running more smoothly and to reap additional benefits like an increase in employee satisfaction, customer loyalty, and productivity – then the Lean Six Sigma may be the right fit for you. While this is not a cure-all to fix company problems instantly, it is a new way of doing better business.
Major General (Retired) Mike Diamond is CEO and founder of Diamond Strategy Group. Diamond Strategy Group is a leadership development and consulting company. We focus on improving the quality of leadership within organizations by utilizing the same methods Mike and his consultants have used in both military and civilian sectors. We invite you to stay connected! Visit us online at www.DiamondStrategyGroup.com and connect with Mike at Diamond Strategy Group on LinkedIn, Facebook, Twitter, or e-mail us at info@diamondstrategygroup.com!
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