Six Sigma Enterprise Resource Planning (ERP)
Many businesses nowadays are realizing the importance of having a well set up system which enables the proper flow of information across all areas in the firm. This flow has a lot of benefits, including improved efficiency, more transparency, less flaws and defects, improved quality, and ultimately, better overall business results. This will have a direct effect on profits, which are bound to increase. One such tool which is used to achieve this is the Six Sigma Enterprise Resource Planning (ERP). Let us discuss what it is all about, while outlining its importance.
A Six Sigma Enterprise Resource Planning (ERP) system makes use of a specialized, integrated software package which enables management information to flow both internally and externally. This process includes appropriating a better communication system and flow of information at all levels, including employees, managers, executives and even external stakeholders. This system is very advanced in that it does not rely on periodic updates, but makes use of real-time feeds.
An ERP will include a large, common database which will be made up of various categories and which will support all the relevant applications. This calls for specialized personnel in the firm’s IT department, who will make sure that everything is working smoothly. The ERP system will incorporate various elements. Common ones include a business intelligence system, a management portal, document management, and workflow management.
When incorporated with the Six Sigma notion, the system will also include information about the qualitative targets set so as to reduce defects and flaws. This is the main objective of utilizing Six Sigma mentalities. These will also incorporate statistical computations so as to make the whole process more effective and accurate. Best of all, it will allow all Six Sigma data to be readily available to all team members at the touch of a button.
In order to facilitate the achievement of such goals, the system also includes the possibility to make customizable reports, as well as send messages or chatting systems to any person involved in the process or particular decision. As a result, better information flow can be attained.
These methodologies will enable any firm to run much more efficiently. Various organizational processes will be integrated and conceptualized in order to lead to the attainment of the firm’s goals. Each process’ results will be monitored and checked so as to ensure that improvements are attained. By analyzing the effectiveness of each process, one can manage to avoid inefficient procedures. Afterwards improved process plans can be drawn, and the possibility for more automation can also be introduced.
Better tracking can be achieved, which improves efficiency and reduces time consuming tasks and errors. This is thanks to better synchronization, and improved data migration. When an ERP is used in conjunction with Six Sigma, the attainment of goals can be made more feasible and effective.
Everyone involved will have clear guidelines and proper information which allows for better and more effective methods and processes to be worked out. The checking and monitoring process will be made better, and the results will be made available quickly, and worked upon just as easily. Duplications and wastes are greatly reduced. Ultimately, the firm will benefit from lower costs, better communication, and at the end of the day, higher profits with a Six Sigma Enterprise Resource Plan.
Comments are closed.