More and more small businesses are recognizing how Six Sigma’s methodologies and tools can benefit them just as much as the big corporations who are implementing multiple Six Sigma projects several times a year.
Making Six Sigma work for small businesses means balancing the benefits of implementation against the investment in training. Because small businesses tend to have smaller budgets, they have no margin for a project’s failure, unlike larger companies who have the ability to adjust and repeat Six Sigma implementations if necessary.
Introducing Six Sigma to Your Small Business
It is sensible for small businesses to use the professional services of a Six Sigma consultant who can present a comprehensive overview of implementation costs and consequences, as well as discuss the organization’s internal resources and capabilities, management involvement, and the potential distraction from routine business. A Six Sigma consultant can also help upper management overcome any employee resistance and create internal messaging to get the entire organization on board and enthusiastic.
Getting Started: Performance Assessment and Gap Analysis
No matter the size of a company, all Six Sigma journeys should begin with a performance assessment and gap analysis. The assessment should include interviewing managers and employees to review performance baselines. This should include customer complaints and feedback for particular trends and patterns, as well as organizational structure to assess internal communication, effectiveness and synergy.
The gap analysis may be conducted by the outside consultant so as to ensure objectivity and thoroughness. After identifying opportunities for improvement, the organization can then develop and implement an initial Six Sigma plan, and all employees may begin Six Sigma awareness training.
A Six Sigma business scorecard can then be developed that will keep track of things like employee involvement, recognition, profitability and process performance. Some questions that may be asked to establish performance measures are:
- What is the purpose of the key process?
- What is the expected deliverable?
- How will we know the process has been successful?
Small businesses who take the time to develop these scorecards often report numerous benefits such as:
- Scorecards are a quick and easy way to start the Six Sigma process and allow employees to track their own progress.
- Checks and balances, as well as accountability, are improved.
- Assessment of progress is companywide
Of course, this is a general overview of the process. There may be many more analyses and processes that must be completed for your small business to realize a successful Six Sigma project, all of which can be recommended and supervised by a certified Six Sigma consultant.
Six Sigma Benefits for Small Businesses
Once implemented, many small businesses should expect to experience one or more of the following benefits:
- Improved teamwork, particularly among managers
- More employee involvement, creating personal pride and motivation
- The ability to correctly gather data to assist in decision making
- Comprehensive tools to determine root causes and solve problems
- Increased customer satisfaction
- Improvement in on-time deliverables
- Improvement in production and communication
- Increased profit margins
How Small Businesses can Sustain Six Sigma Improvements:
A challenge for any business, particularly smaller ones, is to sustain the Six Sigma methodology in order to continually reap benefits from it. Small businesses can do this by taking the following steps:
- Ensure all employees have been properly trained in the process
- Implement changes as quickly as possible without sacrificing quality
- If budget allows, continue to use consultants as your Six Sigma experts
- Overcome resistance and skepticism by including all team members and management in decisions
- Conduct monthly performance reviews
- Adjust measurements as needed based on any issues that may arise
- Keep dialogue going through company meetings and internal messaging
- Encourage employees to own the processes they are connected to
The Six Sigma methodology encourages teamwork and helps small business managers focus and refine their processes to achieve higher quality and increased efficiency. No matter what the size or how much of a budget an organization has, Six Sigma offers tools that will uncover areas in need of improvement, increase customer satisfaction and bolster bottom lines.