Six Sigma :Benefits to Organizations

Presentation by Benchmark Six Sigma

Six Sigma Implementation

Six Sigma has:
Given organizations a new way of doing business Enabled them to have a wise application of statistical tools within a structured methodology Enabled repeated application of strategy to individual projects Complete projects that have had a substantial impact on the bottom line(profit) as well as the top line(revenue)

Six Sigma Implementation

Organizations use Six Sigma as a scientific and practical method to achieve improvements in a company

Scientific: Structured approach. Assuming quantitative data. Show me the money Practical: Emphasis on financial result. Start with the voice of the customer.

Show me the data

Where has Six Sigma been applied?

Service Management
Purchase

Design

Administration

Six Sigma Methods

Production

Quality Depart. HRM M&S

IT

Examples of Six Sigma companies

Six Sigma:GE Success Story

In 1995 GE mandated each employee to work towards achieving 6 sigma The average process at GE was 3 sigma in 1995 In 1997 the average reached 3.5 sigma GEs goal was to reach 6 sigma by 2001in critical processes From 1998 onwards GE realized benefits worth 2billion USD. GE was the first company to Implement Six Sigma in services and also in offshoring.

the most important initiative GE has ever undertaken. Jack Welch

Chief Executive Officer General Electric

GE Service company - examples

Approving a credit card application Installing a turbine Lending money Servicing an aircraft engine Answering a service call for an appliance Underwriting an insurance policy Developing software for a new CAT product Overhauling a locomotive

Six Sigma:Motorola Success Story

Following was the statement made by Robert W Galvin, Chairman of the Executive Committee, Motorola. This statement was made after first decade of Six Sigma Experience.

At Motorola we use statistical methods daily throughout all of our

disciplines to synthesize an abundance of data to derive concrete actions. How has the use of statistical methods within Motorola Six Sigma initiative, across disciplines, contributed to our growth? Over the past decade we have reduced in-process defects by over 300 fold, which has resulted in cumulative manufacturing cost savings of over 11 billion dollars*.

Six Sigma:AIRTEL Success Story

In 2002 Bharti group (Airtel) launched Six Sigma It has since than successfully applied Six Sigma in all its businesses and has realized savings worth billions of rupees. Six Sigma is an Integral part of its DNA with a dedicated team at each of its Circles. Airtels basic services businesses yielded 250% return on Investment in the first year of implementation itself. There are more than 150 Black Belts working in the entire group

Six Sixma: Success Stories from diverse Industries

Qualtecs Services
Six Sigma deployment created Breakthrough Performance, Captured Cost Savings Customer Delight

Fortune 50 Global Co. Power Steering

CIO recognized the need to get real-time information from his global team on the rationale and status for all his significant projects and

LG Electronics -England
Order Lead Time Reduction From 55 to 41 days Improving Forecast accuracy Inbound lead time reduction from 8 days to 6days Savings from Interest Charges Stock amount Freight Charges

Projects
Insurance Lending Securities

Benefits We have saved over $20 million dollars in savings in two years of using Six Sigma Qualtec's services!" - Max Gordon, Navistar

Savings

over 500 projects in 27 countries.

Benefits Increased Brand Image Enhanced Customer Satisfaction Savings USD 850K 10

Benefits CIO - We have saved over $500 million dollars from 500 Six Sigma Projects

Some other companies that have achieved success

Industry Wise Success Stories

Banking: Bank of America, American Express, HDFC, HSBC ITES: ICICI OneSource, Accenture, Satyam BPO, IBM Daksh Hospitality: ITC Hotels, GRT Hotels, Apollo Hospitals Manufacturing: Wipro, Nestle, Samtel, Samsung Retail: Reliance Retail Telecom: Bharti Cellular, Vodafone, Siemens, Tata IT: Wipro, Satyam, Acenture, Infosys, TCS, Birlasoft

Companies in almost all sectors have a Six Sigma success story