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Importance Of Six Sigma In The Business World

Aug 17, 2007
Better Than TQM

Six Sigma is important because it scores much higher over other quality improvement techniques such as TQM. Business organizations employing TQM just focus on achieving predetermined quality levels, which certainly improves efficiencies but does not allow the organization to realize the full potential. Six Sigma is different as the focus here is to make consistent quality improvements until business processes are fully optimized. As soon a certain quality level is achieved, the organization shifts gears and starts concentrating on achieving other levels of quality. The whole process continues until all the business processes are fully optimized.

Data Driven Approach

6 Sigma concepts and methodologies stress the use of statistical tools and techniques for improving quality and reducing defects. The dependence on hard facts and figures automatically ensures that whatever decisions are taken will have the desired affect on the quality of goods or services and the efficiency of business processes.

An experienced production manager may be the right person to make quality-improvement decisions but if the decisions are based solely on gut feelings and preconceived notions, the decisions may not have the desired effect, especially if the task is to make adjustments in a complex business process. The inherent ability of Six Sigma to produce the desired results has thus increased its importance in today's business world.

Helps Increase Customer Satisfaction And Build Loyalties

Another reason for the ever-increasing popularity and importance of Six Sigma is that it really helps when it comes to handling competition, which has increased considerably in today's business world. Business organizations worldwide have realized that in order to beat the competition, they will have to offer better quality products or services to their customers and that too at competitive rates.

Six Sigma helps because it enables business organizations to achieve the above stated objective, which ultimately results in greater customer satisfaction and helps in building customer loyalty. Having a loyal group of customers is always important for any business because it ensures a constant flow of revenues even when there is a cyclical downturn in the industry.

The importance of 6 Sigma has increased manifold in the last two decades and is set to increase even more in the coming years as more and more businesses realize its benefits. 6 Sigma is anticipated to maintain its dominance over all other existing quality improvement techniques because it is flexible and can be altered to suit the requirements of new businesses that might come up in the near future. We can never be too sure about the future but as far as the present is concerned, Six Sigma is certainly calling the shots across all types of industries worldwide.
About the Author
Tony Jacowski is a quality analyst for The MBA Journal. Aveta Solution's Six Sigma Online offers online six sigma training and certification classes for lean six sigma, black belts, green belts, and yellow belts.
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