Six Sigma was started at Motorola but gained great visibility as a result of its
ID: 468476 • Letter: S
Question
Six Sigma was started at Motorola but gained great visibility as a result of its implementation at General Electric under the tutelage of Jack Welch. Just-in-Time came to the United States as an adaptation of the Toyota Production System. Lean became part of the business lexicon as a result of James P. Womack and Daniel T. Jones's book Lean Thinking: Banish Waste and Create Wealth in Your Corporation. Discuss the differences and similarities between these three approaches to quality. Examine whether the three approaches can be used independently or in combination with each other. Support your answer with examples. Think of how you would decide the best approach to quality for your company.
Explanation / Answer
Differences: The key focus of six sigma is on improvement of business processes. The objective of six sigma is to reduce process variations to 3.4 defects per million opportunities. By reducing the variations the quality is improved.
The key focus of just-in-time (JIT) is on efficiency. This process is used by manufacturing organizations to place order in small quantities and do away with the need of holding large inventories. As the need of holding large inventories is done away with, the lead time is reduced and the production costs are also reduced.
The key focus of lean manufacturing is to add value for the consumers by increasing efficiency. Activities involved in the manufacturing process are examined to analyze which activities add value for the consumer and which activities do not add value. This allows the manufacturing company to maximize value addition and to manufacture only those products that are ordered by the consumer.
Similarities: The aims and objectives of six sigma, JIT and lean are similar. The objectives are to make improvements, reduce and minimize waste and maximize the satisfaction of the consumer.
The three approaches can be used in combination with each other as the three concepts are complementary. The three methodoligies can be used in combinations in a manufacturing organization to enhance the total quality management (TQM) in the organization. For example, GE Capital uses a combination of six sigma and lean.
My company is a service company providing consultancy services. The approach that should be used is a combination of six sigma and lean. Six sigma will help in minimizing the errors in processes. As our output is dependent on people processes it is imperative to reduce variations in these processes. Lean will help as add value in our service offerings.