MAHATMA EDUCATION SOCIETY’S

PILLAI COLLEGE OF ARTS, COMMERCE & SCIENCE

(Autonomous)

NEW PANVEL

PROJECT REPORT ON

“Application of Six Sigma with respect to Abbott Laboratories”

IN PARTIAL FULFILLMENT OF

BACHELOR OF

TY BAF

SEMESTER 5th – 2023-24

PROJECT GUIDE

Name-Sunita Saini Mam.

SUBMITTED BY: NITIN SINGH.

ROLL NO: 7197.

 *ABBOTT LABORATORIES*
INTRODUCTION:
Abbott Laboratories is a multinational healthcare company with a rich history dating back to
1888. Headquartered in Chicago, Illinois, Abbott is known for its wide range of medical products,
including pharmaceuticals, medical devices, diagnostics, and nutritional products. The company's
mission is to help people live healthier lives through the development of innovative healthcare
solutions. Abbott's diverse portfolio includes products such as nutritional formulas for infants,
diagnostic tests for various medical conditions, cardiovascular devices, diabetes care products, and
a range of pharmaceuticals. They are a global leader in areas like diagnostics, diabetes
management, and nutrition. With a commitment to research and development, Abbott has played
a significant role in advancing healthcare worldwide. The company operates in more than 160
countries, serving patients and healthcare professionals with a focus on improving health outcomes
and enhancing the quality of life for individuals of all ages.
In 1888, physician and drug store proprietor Dr. Wallace C. Abbott began producing accurate,
scientifically formulated medications with the goal of providing more effective therapies to
patients and the physicians providing their care. Under the pioneering leadership of Dr. Abbott,
our company was among the founders of the scientific practice of pharmacy, expanding its business
to meet rising global health needs by championing new areas of medical research. By continually
entering new areas—both scientific and geographic—we’ve established a now long-standing
tradition of helping people live healthier lives around the world.
In 1888 at the age of 30, Wallace Abbott (1857–1921), an 1885 graduate of the University of
Michigan, founded the Abbott Alkaloidal Company in Ravenswood, Chicago. At the time, he was
a practising physician and owned a drug store. His innovation was formulating the active part of
alkaloid medicinal plants morphine, quinine, strychnine and codeine as tiny “dosimetry granules”,
producing more consistent and effective dosages for patients than the liquid preparations
previously used, which deteriorated over time. In 1922, the company moved from Ravenswood to
North Chicago, Illinois.
ABBOTT INDIA LIMITED:
Since 1910, Abbott has been dedicated to helping people in India live healthier lives
through a diverse range of science-based nutritional products, diagnostic tools, branded generic
pharmaceuticals, and diabetes and vascular devices.
Headquartered in Mumbai, Abbott India Limited, a publicly listed company and a subsidiary of
Abbott Laboratories, takes pride in offering high-quality trusted medicines in multiple therapeutic
categories such as women's health, gastroenterology, cardiology, metabolic disorders and primary
care. One of India's fastest-growing pharmaceutical companies, Abbott India Limited is part of
Abbott's global pharmaceutical business in India. We have expertise across product development,
manufacturing, sales and customer service and are dedicated to providing high-quality, reliable
products with the expert clinical support our customers need. Abbott India Limited believes in
providing quality healthcare through a mix of global and local products for people in India.
Mission:
"Helping people live their best and healthiest lives."
At Abbott, we’re committed to helping you live your best possible life through the power of
health. For more than 125 years, we’ve brought new products and technologies to the world -- in
nutrition, diagnostics, medical devices and branded generic pharmaceuticals -- that create more
possibilities for more people at all stages of life. Today, 74,000 of us are working to help people
live not just longer, but better, in the more than 150 countries we serve.
This mission statement underscores Abbott's unwavering commitment to improving the health and
well-being of individuals worldwide. Abbott strives to achieve this mission by developing and
providing innovative healthcare products and services that contribute to better healthcare
outcomes, greater quality of life, and improved overall health for people of all ages and
backgrounds. Whether through pharmaceuticals, diagnostics, nutrition products, or medical
devices, Abbott's mission remains centered on enhancing and extending lives through its
contributions to the field of healthcare.
Abbott's mission is not just a statement but a driving force that shapes its core values, business
strategies, and everyday operations. Let's delve deeper into what this mission signifies and how
Abbott Laboratories actively fulfills it:
1. Advancing Healthcare Innovation: At the heart of Abbott's mission is an unwavering
dedication to innovation. The company continuously strives to develop cutting-edge solutions and
technologies that address some of the most pressing healthcare challenges. This commitment to
innovation has resulted in breakthrough pharmaceuticals, diagnostic tools, medical devices, and
nutritional products that have transformed the way healthcare is delivered and experienced.
2. Improving Quality of Life: Abbott's mission is fundamentally about improving the quality of
life for individuals of all ages. Through its extensive portfolio of products and services, Abbott
touches every stage of life, from infant nutrition to advanced cardiac care. Whether it's ensuring
proper nutrition for newborns, providing life-saving medications, or offering innovative medical
devices, Abbott aims to enhance the overall well-being of people and enable them to lead healthier,
fuller lives.
3. Global Impact: Abbott's mission is not limited by geographical borders. Operating in more than
160 countries, Abbott's products and services reach millions of individuals worldwide. This global
reach allows the company to make a meaningful impact on diverse populations, addressing unique
healthcare needs and disparities around the world.
4. Commitment to Patients: Central to Abbott's mission is a deep commitment to patients. The
company prioritizes patient-centricity in its research, product development, and healthcare
solutions. Abbott's diagnostic tests aid in timely and accurate diagnoses, while its pharmaceuticals
and medical devices contribute to improved patient outcomes and treatment options.
5. Corporate Responsibility: Abbott understands that its mission extends beyond business
success. The company embraces corporate responsibility and sustainability as integral components
of its mission. Initiatives like the Abbott Fund focus on providing healthcare services, education,
and access to medical care in underserved communities. Additionally, Abbott is dedicated to
reducing its environmental footprint and promoting sustainable practices.
6. Continuous Progress: Abbott views its mission as a continuous journey. The company remains
committed to evolving and adapting to the ever-changing landscape of healthcare. It actively
collaborates with healthcare professionals, research institutions, and partners to drive progress and
innovation in healthcare.
In summary, Abbott Laboratories' mission, "Helping people live their best and healthiest lives,"
embodies its purpose, values, and actions. Through relentless innovation, a global presence,
patient-centered approaches, corporate responsibility, and a commitment to improving lives,
Abbott demonstrates its dedication to advancing healthcare and making a positive difference in the
world. As the healthcare industry continues to evolve, Abbott's mission remains a steadfast guiding
principle that shapes its future endeavors and contributions to the well-being of individuals and
communities worldwide.

VISION:
Abbott Laboratories' vision is to lead in shaping the future of healthcare. They aspire to be a
premier global healthcare company by advancing science, developing cutting-edge technologies,
and delivering innovative solutions that enhance health and well-being. Abbott is committed to
improving lives through a diverse portfolio of healthcare products and services, ranging from
diagnostics and medical devices to nutrition and pharmaceuticals. Their vision centers on driving
positive health outcomes, improving access to care, and addressing emerging healthcare
challenges, ultimately making a lasting impact on individuals and communities worldwide.

Abbott Laboratories, a global healthcare company, is driven by a clear and aspirational vision
statement:
"To be the most admired company in healthcare."
Abbott's vision reflects its ambition to not only be a leader in the healthcare industry but also
to set the standard for excellence and innovation, earning admiration from customers, employees,
partners, and stakeholders alike. Let's explore what this vision signifies and how Abbott strives to
achieve it:
1. Industry Leadership: Abbott aspires to be at the forefront of the healthcare sector. This means
setting trends, pioneering breakthroughs, and continuously pushing the boundaries of what is
possible in healthcare. By being a leader, Abbott aims to shape the future of healthcare for the
better.
2. Admiration: Abbott seeks to earn admiration from various stakeholders, including patients,
healthcare professionals, investors, and the broader community. This admiration is not solely based
on financial success but also on the company's contributions to improving healthcare, its ethical
practices, and its commitment to corporate social responsibility.
3. Innovation: A fundamental part of Abbott's vision is a dedication to innovation. The company
aims to be admired for its ability to develop and provide cutting-edge healthcare solutions. This
commitment to innovation leads to the creation of products and services that address unmet
medical needs and drive positive change.
4. Impactful Healthcare: Abbott's vision underscores its commitment to making a meaningful
impact on healthcare outcomes. By being admired in healthcare, the company strives to enhance
the quality of patient care, improve health outcomes, and contribute to the well-being of
individuals and communities.
5. Ethical Practices: Achieving admiration also entails upholding the highest standards of ethics
and integrity. Abbott aims to be a company that not only delivers exceptional healthcare solutions
but does so with a strong sense of responsibility and ethics.
6. Stakeholder Satisfaction: Abbott recognizes that its vision extends beyond financial success
to include the satisfaction of all stakeholders. This encompasses meeting the needs and
expectations of customers, employees, shareholders, and the broader community.

In conclusion, Abbott Laboratories' vision to be "the most admired company in healthcare" reflects
its commitment to excellence, innovation, ethical practices, and making a positive impact on
healthcare worldwide. This vision serves as a guiding principle that shapes the company's strategic
direction and underscores its dedication to being a leader and a force for positive change in the
healthcare industry.

OBJECTIVES:
Abbott Laboratories, as a global healthcare company, sets various objectives to guide its
operations and strategies. These objectives align with its mission and vision and encompass a wide
range of areas within the healthcare industry. Additionally, Abbott emphasizes corporate
responsibility, including environmental sustainability and community engagement. They work
towards reducing their environmental footprint and making a positive impact on the communities
they serve. In summary, Abbott's objectives revolve around advancing healthcare, ensuring
financial success, and promoting social and environmental responsibility.
Here are some key objectives of Abbott Laboratories:
1. Innovation and Research: Abbott is dedicated to advancing healthcare through continuous
innovation and research. One of its primary objectives is to develop and introduce groundbreaking
products and technologies that address unmet medical needs. This includes pharmaceuticals,
diagnostic tests, medical devices, and nutritional products.
2. Patient-Centric Focus: Abbott places a strong emphasis on patient-centricity. One of its central
objectives is to improve patient outcomes and enhance the quality of life for individuals across the
globe. This involves developing products and services that prioritize patient needs and preferences.
3. Global Reach and Expansion: Abbott aims to expand its global presence and reach more
individuals in diverse markets. Expanding into emerging markets and strengthening its foothold in
established ones is a key objective. This includes ensuring that its products are accessible to people
in different regions.
4. Financial Performance: As a publicly traded company, Abbott has financial objectives to
deliver sustainable growth and profitability to its shareholders. These financial goals support its
ability to invest in research, development, and innovation.
5. Operational Excellence: Abbott seeks to achieve operational excellence across its various
business segments. This includes optimizing manufacturing processes, supply chain management,
and cost efficiencies while maintaining the highest standards of quality.
6. Sustainability and Corporate Responsibility: Abbott is committed to responsible business
practices and sustainability. This includes objectives related to reducing its environmental impact,
conserving natural resources, and contributing positively to the communities it serves.
7. Quality and Regulatory Compliance: Ensuring the highest levels of quality and compliance
with regulatory standards is a paramount objective for Abbott. This applies to all aspects of its
operations, from manufacturing to product safety and data integrity.
8. Partnerships and Collaborations: Abbott collaborates with healthcare professionals, research
institutions, and other industry stakeholders to drive innovation and improve healthcare. Building
and maintaining effective partnerships is an ongoing objective.
9. Market Leadership: Abbott aims to maintain and strengthen its leadership positions in key
market segments. Whether in pharmaceuticals, diagnostics, nutrition, or medical devices, the
company strives to be a leader in delivering healthcare solutions.
10. Employee Development and Well-being: Abbott values its employees and has objectives
related to their development, safety, and well-being. Nurturing a diverse and inclusive workforce
is a priority.

These objectives collectively reflect Abbott Laboratories' commitment to excellence, innovation,

ethical practices, and its dedication to advancing healthcare and improving the lives of individuals
around the world. These objectives guide the company's strategic decisions and actions as it
continues to shape the future of healthcare.
TOPIC: APPLICATION SIX SIGMA OF ABBOTT LABORATORIES.

What is SIX SIGMA,

Six Sigma (6σ) is a set of techniques and tools for process improvement. It was introduced
by American engineer Bill Smith while working at Motorola in 1986. The term "Six Sigma" refers
to a statistical measure of how far a process deviates from perfection. A process that operates at
six sigma has a failure rate of only 0.00034%, which means it produces virtually no defects. Six
Sigma was developed by Motorola in the 1980s, and it has since been adopted by many other
companies around the world, including General Electric, Toyota, and Amazon. It is used in
industries such as manufacturing, healthcare, finance, and service industries to improve customer
satisfaction, reduce costs, and increase profits.
Six Sigma is a set of methodologies and tools used to improve business processes by reducing
defects and errors, minimizing variation, and increasing quality and efficiency. The goal of Six
Sigma is to achieve a level of quality that is nearly perfect, with only 3.4 defects per million
opportunities. This is achieved by using a structured approach called DMAIC (Define, Measure,
Analyze, Improve, Control) to identify and eliminate causes of variation and improve processes.
Six Sigma is a disciplined and data-driven approach widely used in project management to achieve
process improvement and minimize defects. It provides a systematic framework to identify and
eliminate variations that can impact project performance.
The etymology is based on the Greek symbol "sigma" or "σ," a statistical term for measuring
process deviation from the process mean or target. "Six Sigma" comes from the bell curve used in
statistics, where one Sigma symbolizes a single standard deviation from the mean. If the process
has six Sigma’s, three above and three below the mean, the defect rate is classified as "extremely
low."

SIX SIGMA METHODOLOGY:

The two main Six Sigma methodologies are DMAIC and DMADV. Each has its own set of
recommended procedures to be implemented for business transformation.
1. DMAIC is a data-driven method used to improve existing products or services for better
customer satisfaction. It is the acronym for the five phases: D – Define, M – Measure, A –
Analyse, I – Improve, C – Control. DMAIC is applied in the manufacturing of a product
or delivery of a service.
2. DMADV is a part of the Design for Six Sigma (DFSS) process used to design or re-design
different processes of product manufacturing or service delivery. The five phases of
DMADV are: D – Define, M – Measure, A – Analyse, D – Design, V – Validate. DMADV
is employed when existing processes do not meet customer conditions, even after
optimization, or when it is required to develop new methods. It is executed by Six Sigma
 Green Belts and Six Sigma Black Belts and under the supervision of Six Sigma Master
Black Belts. We'll get to the belts later.
The two methodologies are used in different business settings, and professionals seeking to master
these methods and application scenarios would do well to take an online certificate program taught
by industry experts.

The Six Sigma Tools

1. Cause and Effect Analysis

2. Flow Chart
3. Pareto Chart
4. Histogram
5. Check Sheet
6. Scatter Plot
7. Control Chart

Six Sigma Levels

The Six Sigma training levels conform to specified training requirements, education criteria, job
standards, and eligibility.

• White Belt
This is the simplest stage, where:
Any newcomer can join.
People work with teams on problem-solving projects.
The participant is required to understand the basic Six Sigma concepts.

• Yellow Belt
Here, the participant:
Takes part as a project team member.
Reviews process improvements.
Gains understanding of the various methodologies, and DMAIC.

• Green level
This level of expertise requires the following criteria:
Minimum of three years of full-time employment.
Understand the tools and methodologies used for problem-solving.
Hands-on experience on projects involving some level of business transformation.
Guidance for Black Belt projects in data collection and analysis.
Lead Green Belt projects or teams.

• Black Level
This level includes the following:
Minimum of three years of full-time employment.
Work experience in a core knowledge area.
Proof of completion of a minimum of two Six Sigma projects.
Demonstration of expertise at applying multivariate metrics to diverse business change settings.
Leading diverse teams in problem-solving projects. Training and coaching project teams.
• Master Black Belt
To reach this level, a candidate must:
Be in possession of a Black Belt certification.
Have a minimum of five years of full-time employment, or Proof of completion of a minimum of
10 Six Sigma projects.

A proven work portfolio, with individual specific requirements, as given here, for instance.
Have coached and trained Green Belts and Black Belts.
Develop key metrics and strategies.
Have worked as an organization's Six Sigma technologist and internal business transformation
advisor.

CHAMPION OF SIX SIGMA:

A Six Sigma Champion in an organization is responsible for mission propagation, vision
sharing, and adding values in the six-sigma deployment across the organization that will help the
company achieve its overall goal. They are frequently the link between higher-level organizational
managers and the project team's black belt. They are the enablers for higher-level project teams,
removing any roadblocks in the way of achieving a better project process.
The top 7 companies that implemented six sigma are as follows:
1. 3M
2. McKesson Business
3. Abbot
4. Textron
5. Chevron
6. Xerox
7. BAE Systems
 *APPLICATION OF SIX SIGMA OF ABBOTT LABORATORIES*

Abbott, a global healthcare company, has successfully employed the Six Sigma
methodology to improve various aspects of its business operations. By leveraging this data-driven
approach, Abbott has achieved significant advancements in efficiency, quality, and customer
satisfaction.

Abbott’s Journey to Transform Business Processes:

Tackling a Critical Challenge
Abbott, a leading healthcare company, has built its reputation on delivering high-quality products
and services to its global customer base. However, despite its success, the organization
encountered a complex problem that jeopardized its ability to maintain its competitive edge. The
manufacturing division of Abbott, responsible for producing critical medical devices, was facing
a significant increase in defects and process variations.
Painting the Picture:
In the heart of Abbott’s manufacturing facility, a bustling hive of activity could be
observed. Skilled technicians and engineers meticulously assembled intricate medical devices
designed to improve and save lives. However, amidst this flurry of activity, a growing concern
loomed over the manufacturing processes. Defective products were slipping through the cracks,
negatively impacting Abbott’s reputation for quality and reliability.

The Big Problem:

The surge in defects not only affected Abbott’s profitability but also tarnished its
relationship with customers, who relied on the company’s products to safeguard health and well-
being. These defects resulted in customer complaints, product recalls, and even potential harm to
patients. The severity of the problem was magnified by regulatory scrutiny and the risk of legal
repercussions.

Stakeholders Impacted:
Customers: For customers relying on Abbott’s medical devices, the rising defects jeopardized
their trust in the company’s ability to deliver safe and reliable products. The potential health risks
and inconvenience caused by defective devices left customers dissatisfied and undermined
Abbott’s reputation.

Employees: The manufacturing team responsible for producing the devices experienced
dwindling morale as defects continued to escalate. The hardworking individuals who took pride in
their craftsmanship felt disheartened and demotivated as their efforts did not yield the expected
outcomes. Employee morale suffered, leading to decreased productivity and heightened
frustration.
Shareholders: Abbott’s shareholders were gravely concerned about the financial implications of
the defect crisis. Product recalls, increased customer complaints, and potential litigation posed a
threat to the company’s profitability and shareholder value. The problem demanded a swift and
effective resolution to restore investor confidence.

The Impact on Profitability:

The rise in defects took a toll on Abbott’s financial health. The costs associated with
product recalls, investigations, and remediation efforts were significant. Additionally, the damaged
reputation resulted in lost business opportunities, decreased market share, and heightened
competition. The cumulative effect was a decline in profitability, raising alarms within Abbott’s
leadership team.

Addressing the Challenge with Six Sigma:

Recognizing the urgency and magnitude of the problem, Abbott embraced the Six
Sigma methodology as the catalyst for change. By implementing Six Sigma, Abbott aimed to
systematically identify the root causes of defects, reduce process variations, and enhance overall
operational efficiency. The company adopted a data-driven approach, empowering cross-
functional teams to analyze and optimize manufacturing processes.

The Transformation Begins:

Abbott’s leadership initiated a company-wide commitment to the Six Sigma journey.
Skilled Six Sigma Black Belts and Green Belts were assigned to lead improvement projects,
working closely with manufacturing personnel to identify critical process parameters, conduct
statistical analysis, and implement process controls. Abbott’s employees received comprehensive
training on Six Sigma tools and methodologies, fostering a culture of continuous improvement.

Positive Outcomes:
The implementation of Six Sigma at Abbott yielded remarkable outcomes. Defect rates
significantly declined, enhancing product quality and reliability. The manufacturing processes
were streamlined, resulting in improved efficiency and reduced waste. Customer satisfaction began
to rebound, strengthening.

Overcoming Challenges: Learning and Adapting During Implementation;

Implementing the Six Sigma process at Abbott was not without its challenges and learning
experiences. As with any major organizational transformation, the company encountered a few
speed bumps along the way. However, these obstacles did not deter Abbott from its commitment
to achieving excellence and overcoming the identified problem.
Initial Challenges:
Change Resistance: Implementing a new methodology like Six Sigma required a significant
cultural shift within the organization. Some employees were initially resistant to change,
apprehensive about the new processes, and skeptical about its potential benefits. Overcoming this
resistance and gaining buy-in from all levels of the organization required effective change
management strategies, open communication, and leadership support.

Process Complexity: Abbott’s manufacturing processes were intricate and multifaceted, making
it challenging to identify and address the root causes of defects. The complexity of the processes
required an in-depth analysis and collaboration across various departments, which demanded time
and resources.

Learning and Adaptation

As Abbott progressed in its Six Sigma journey, the company gained valuable insights that
influenced its approach and decision-making. These learning experiences helped shape their
perspective and ensure the successful implementation of the methodology.
Data-driven Decision-making: Abbott recognized the critical importance of accurate and reliable
data for effective decision-making. Initially, the company encountered challenges in collecting,
analyzing, and interpreting data. To address this, Abbott invested in robust data collection systems,
standardized data formats, and trained employees to collect and analyze data accurately. This
emphasis on data-driven decision-making became a cornerstone of their Six Sigma
implementation.
Continuous Improvement Mindset: Abbott learned that successful implementation of Six Sigma
requires a commitment to continuous improvement throughout the organization. As the project
progressed, the company realized the need to foster a culture of innovation where employees were
encouraged to identify opportunities for improvement, propose solutions, and drive change. This
shift in mindset from a reactive to a proactive approach empowered employees and accelerated the
implementation process.

Optimizing Implementation
While Six Sigma provided the framework for process improvement, Abbott also focused on
finding the most efficient and cost-effective ways to implement the methodology.
Cross-functional Collaboration: Abbott recognized the importance of involving cross-functional
teams in the implementation process. By engaging employees from various departments, including
manufacturing, quality assurance, supply chain, and customer service, Abbott ensured a
comprehensive and holistic approach to problem-solving. This collaboration enabled the
identification of interdependencies and the implementation of integrated solutions.
Process Standardization: As Abbott progressed with Six Sigma, the company realized the
significance of process standardization for consistent and reliable results. Standard operating
procedures were developed and implemented, ensuring that best practices were followed across
all manufacturing facilities. This standardization simplified the implementation process, reduced
variation, and improved overall efficiency.

Achieving Transformation: Six Sigma’s Impact on Problem Resolution

The implementation of the Six Sigma process played a pivotal role in addressing the critical
problem that Abbott faced in its manufacturing division. Let’s delve into how Six Sigma helped
solve the company’s problem in detail:
Root Cause Analysis: Six Sigma employs a structured and data-driven approach to identify the
root causes of problems. Abbott utilized this methodology to conduct a comprehensive analysis of
its manufacturing processes, examining each step and identifying areas of concern. By utilizing
tools such as process mapping, fishbone diagrams, and statistical analysis, the company was able
to pinpoint the specific factors contributing to the rise in defects.
Process Optimization: Once the root causes were identified, Abbott applied Six Sigma principles
to optimize its manufacturing processes. The company focused on reducing process variations,
eliminating inefficiencies, and enhancing overall process control. By streamlining the
manufacturing steps, implementing statistical process control techniques, and establishing critical
process parameters, Abbott aimed to minimize defects and enhance product quality.
Data-Driven Decision-Making: Six Sigma emphasizes the importance of data in driving
decision-making. Abbott implemented robust data collection systems to gather accurate and
reliable information about the manufacturing processes. Through statistical analysis, Abbott was
able to identify patterns, trends, and correlations within the data, enabling informed decision-
making and targeted improvements. Data-driven insights provided the company with the necessary
evidence to prioritize improvement initiatives and allocate resources effectively.
Continuous Improvement Culture: Six Sigma fosters a culture of continuous improvement
within organizations. Abbott embraced this philosophy and encouraged employees to actively
participate in problem-solving and process improvement. Through cross-functional collaboration,
employees from different departments and levels of the organization were empowered to identify
opportunities for improvement, propose solutions, and implement changes. This collaborative
approach ensured that the Six Sigma implementation was comprehensive and incorporated diverse
perspectives.

Standardization and Training: Abbott recognized the importance of standardizing processes and
providing comprehensive training to employees. By establishing standard operating procedures
and ensuring consistent adherence to them, Abbott minimized process variations and improved
overall efficiency.
Results and Impact:
The implementation of Six Sigma yielded tangible results for Abbott, addressing the company’s
problem and driving positive outcomes:
Reduced Defects and Improved Quality: By identifying and addressing the root causes of
defects, Abbott significantly reduced the number of defective products. This led to a notable
improvement in product quality, ensuring that the medical devices met or exceeded industry
standards.
Enhanced Customer Satisfaction: As the defect rates decreased, customer satisfaction improved.
Abbott’s commitment to delivering high-quality products resulted in increased customer
confidence and trust. The company’s reputation was restored, and customers were more likely to
choose Abbott’s medical devices over competitors’ offerings.
Improved Operational Efficiency: Through process optimization and standardization, Abbott
achieved improved operational efficiency. The manufacturing processes became streamlined,
reducing waste, minimizing variation, and increasing productivity. This efficiency translated into
cost savings and improved profitability.
Employee Engagement and Morale: The Six Sigma implementation empowered employees by
involving them in problem-solving and continuous improvement initiatives. This engagement
boosted employee morale, as they felt valued and recognized for their contributions. With a shared
focus on quality and efficiency, employees became more motivated, resulting in increased
productivity and a positive work environment.
FINDINGS:
The implementation of Six Sigma at Abbott yielded remarkable outcomes. Defect rates significantly
declined, enhancing product quality and reliability. The manufacturing processes were streamlined, resulting
in improved efficiency and reduced waste. Customer satisfaction began to rebound, strengthening.Moreover,
the implementation of Six Sigma fostered a culture of continuous improvement and employee engagement.
By involving employees in problem-solving initiatives and empowering them to contribute to the
improvement efforts, Abbott experienced increased employee morale, productivity, and a positive work
environment.

SUGGESTION:
Weakness is the internal factor that affect the growth of Abbott Laboratories, thus it needs to take care
of these areas in its firm and act accordingly to prevent such events. Following are some of the weaknesses
that Abbott Laboratories has to face:

1. Low reach in global market: Items recorded on the site might be accessible just in specific nations. Thus
restricts its reach in the countries which want access to their products.
2. High obligation: The obligation segment in the fiscal summary is exceptionally high. Thus it might make
a boundary to the monetary adaptabilities.
3. Low R&D expenses: After the year 2010, it has diminished its financial plan on innovative work
fundamentally. It might result in a debilitating R&D division as R&D is essential to bring up new things in
the business. This can impact the business negatively.
4. Market Capital/Share: portion of the overall industry of Abbott Laboratories is at a declining stage. Till
2011, it was the sixth biggest drug organization in the business with 76B in market capitalization.
CONCLUSION:
The lesson learned from this experience is that the structured approach of Six Sigma, with
its emphasis on data-driven decision-making, collaboration, and continuous improvement, can be
a powerful tool for organizations to address complex business problems effectively.

Additionally, Six Sigma brought about operational efficiency gains by streamlining manufacturing
processes, reducing waste, and increasing productivity. This positively impacted profitability and
positioned Abbott as a more competitive player in the healthcare industry. Moreover, the
implementation of Six Sigma fostered a culture of continuous improvement and employee
engagement. By involving employees in problem-solving initiatives and empowering them to
contribute to the improvement efforts, Abbott experienced increased employee morale,
productivity, and a positive work environment.

Abbott’s successful application of Six Sigma demonstrates the value it brings in terms of quality
enhancement, customer satisfaction, operational efficiency, and employee engagement. By
embracing this methodology, organizations can position themselves for sustained success in
today’s competitive business landscape.
★REFERENCE:

1. https://www.abbott.com
2.https://en.m.wikipedia.org/wiki/Abbott_Laboratories
3.https://www.comparably.com/companies/abbott/mission
4.https://www.simplilearn.com/what-is-six-sigma-a-complete-overview-article
5.https://www.isixsigma.com/dictionary/how-abbott-utilizes-six-sigma-methodology-to-enhance-
business-processes/