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Six sigma methodologies use statistics to measure performance. Goal is to measure variation within the
output. Six sigma techniques focus on reducing the variation, and thereby reducing defects. This results
in quality delivery of output to customers.
There are many benefits to organizations that embrace Six Sigma. Some of them are –
Increased profitability – This is a result of cost reduction. Cost reduction due to improvement in quality.
Lower the number of errors, lower is the cost of re-doing the same. This is “Cost of Quality”.
Waste reduction - Waste reduction is another major benefit of six sigma implementation. We spoke about
8 Fatal Lean Wastes in one of my earlier blogs. Reduction of wastes like transportation, motion,
overproduction, others results in efficient processes. Timelines for delivery improve and re—work reduces.
Teams focus on meeting customer expectations rather than individual targets or goals.
Service sector pioneers have busted the myth in the last decade. Six Sigma has significant
application in the service sector. The case studies and corporate success stories are visible.
In a start-up environment as well, the principles apply with some variations. The important part is to
look at this as a strategy, than an improvement initiative.