Starting a Business Venture with Six Sigma
If someone needs a good business strategy, it has been proven that Six Sigma works. It was started by the very successful Motorola Company in 1986, and continues to be used today. Details on this particular business model for quality improvement will be further discussed in this article.
The Six Sigma Model has an overall method of quality control that is beneficial by keeping steps within each segment of business processes void of errors. The goal of this process is to minimize errors, defects, and variability by using various tools, methods, and statistics that are taught to individuals (usually company employees) through Six Sigma Training and Certification. In the end, there are financial targets that each division has to lead to the maximal profit for the overall company.
This method uses statistics immensely to understand the effectiveness of each business process. Through the use of these statistical tests, they can find defects or flaws in their current system. Upon these findings, different methods and tools are used to find solutions to help improve a company’s current processes, and therefore, in the future, their business model and profit margin.
This model was driven into existence because of its dependence on customer satisfaction. Producing a high quality product or offering a high quality service is the goal of any venture. Though it does cost more to make something of better quality, many businesses found that quality ended up being cheaper in the long run because of less waste and happier customers. High quality products need fewer repairs, and get returned less. In turn, profits are higher and customers are happier when a company implements the Six Sigma Methodology within their operations.
With these goals in mind, it helps to develop any business strategy where the company can see stable, predictable profits. This helps a company to almost foresee their financial state if the model is used to its optimum. This is good for the company, customers, and investors. In other words, if the Six Sigma methodology is not the right fit for a particular business for some reason, that business should adopt some other type of quality control model in order to ensure success.
Within a Six Sigma Company, individuals are organized into ranks, depending on their level of training in the methodology. In order of training from highest to lowest, these professionals are called; Master Black Belts, Black Belts, Green Belts, Yellow Belts, and White Belts. These individuals work together in teams based upon their level in the hierarchy. For example, Black Belts are often team leaders or project managers. Master Black Belts are usually responsible for training others in the Methodology. Yellow and Green Belts are often team members and support staff who are in charge of completing most of the data collection.
Many companies have their own business model or strategy to become successful. Many businesses do well or are modestly successful. If some businesses do not use a model, many of them fail. There is a large percentage of starting businesses that are not able to attain profitability. Larger companies have many more employees, and order needs to be developed in order to gain the most work out of each employee, which is why a stronger business model or strategy is often needed in these companies. With larger profits, it is also possible to hire and bring in people who are able to assess where these improvements need to be made, perhaps in the form of Six Sigma Consultants
The Six Sigma system is a well-known and successful business quality control strategy. In the world of business, the main goal is to make a profit. Six Sigma Companies are able to assess every detail down to the smallest aspect of their products or services. Knowing where improvements need to be made amounts to extra profit. Knowledgeable and well-trained individuals are utilized in order to obtain these results. Many other companies have adopted this strategy and implemented it into their system, and they have seen the results they were looking for. Starting out on the right foot by implementing the Six Sigma Methodology within your startup business venture might just be your own personal recipe for success!