The customer centric focus of Six Sigma methodologies cannot be sidelined for any reason whatsoever. Although the end results of Six Sigma implementation (such as improvement of bottom line profitability and lean management) are quite significant, the ultimate value addition comes in the form of the return of satisfied customers. In the business world, constant pressure for innovation stems from increasing changes in customer demands and global technological challenges. Companies that get to the top and stay there are there in the first place because of their commitment to change through Six Sigma initiatives.
Six Sigma And The Customer
Six Sigma, a quality management tool founded on statistical approaches and devised by Motorola, helps improve customer satisfaction through significant changes to cost and product utility. The entire approach is innovative; with the implementation of Six Sigma, instead of attempting to fight with mechanics, the focus shifts automatically to strategies and integration of efforts.
Some companies are taking initiatives to take the Six Sigma methodology to customers, outside company walls and actively involving them in an effort to integrate them into the process. This approach is proving to be a resounding success by placing these corporations ahead of competition.
Engaging The Customer
Today's customers are wary that they get nudged into buying products by customer savvy marketers in the clutter that we call ?the market?. Six Sigma works to make things clear to the customers by sharpening the cutting edge (value) that customers are looking for in a product.
The customer is engaged strategically at a stage when plans are being drawn up. By listening to customers and involving them in the process, the company can gain an in ?depth understanding of why they are moving in the direction that they are moving, locally as well as globally. This approach also helps in building trust and loyalty.
Companies like Motorola, who implement Six Sigma, go beyond product development and profits in their commitment to customers. In addition to their regular help line, they have established another line dedicated to this purpose. Customers can use this line of communication for more detailed questions relating to either product or service, and track the status of their original question. This is a classic example of individual level quality demands being met through Six Sigma implementation.
Looking Ahead
Another strategic approach has been taken by GE Commercial Finance, and is a true revolutionary step in the commercial lending business. The ACFC initiative (At the Customer, For the Customer,) clearly showed what the customers needed and why, with over 30% of them answering, they needed Six Sigma. Effective communication with customers has made GE a favorite among consumers. GE has successfully implemented the initiative and in addition, is now sharing its Six Sigma experiences with smaller customers who can't afford to implement Six Sigma in their own companies.
With the ?belts? working from the front, companies can get into a win-win situation with their customers because of the feedback they receive. If this approach directly benefits the customers, it benefits the companies too. However old or large the company is, it gets to interact with its customers one-on-one. The positive result of this is seen in further building of a company's customer base and increased profitability. The goal of matching people with projects, made possible with Six Sigma, brings about a win-win situation for all.
Six Sigma Customer Satisfaction
The foundation of Six Sigma is customer satisfaction and cost reduction by using various metrics and statistical tools. This is a customer-focused approach equipped with strategies and discipline at all levels of administration, planning and production. Six Sigma is aimed at achieving only 3.4 defects per million opportunities.
Voice of the Customer
Six Sigma places highest priority on customer data input which provides the much-needed insight into what the customers need and what he or she is thinking about the products already on the market as a measure of performance. The design team needs to understand the requirements of the customer and predict whether the proposed (or the existing) design meets customer expectations.
How Is Customer Satisfaction Ensured?
All business activities are customer centric. Even the best product may not sell if it possesses useless value for the customers. A point in the case is the satellite phone Irridium? that Motorola developed some time ago. Although it was the first and the best in its class, it failed in the market because the customer did not find any value in that particular product.
1.Customer's Experience Of Defects and Costs: Customers have a different perspective about quality and cost. The variation in satisfaction levels across different market segments and regions needs to be analyzed as a first step towards reaching goals. In Six Sigma, customer input, however scattered it may be, when analyzed can be categorized making way for an in-depth understanding of company goals.
2.Product Relevance: The relevance of any product to the customer stems from its utility, cost and quality. A robust design is not just strong but simple, flexible and idiot-proof. It consistently produces a high level of performance despite huge variations in manufacturing and customer needs. Anything not adding value will not get customer attention.
3.Adjusting Process Capability to Customer Requirements: The need for adjusting the process capability is basically considered in DMAIC (a Six Sigma methodology for existing products), without putting significant burden on the cost. This begins with estimation of financial impact, feasibility studies of the technicalities involved and market uptake. The outcome of these studies will guide any process adjustments.
4.Controlling Process Variations: The uncertainties of processing are the variation that needs to be tackled as a critical step in achieving the 3.4 defect threshold. Uncertainties arise mainly due to a huge number of key elements in a process, outdated process steps and lack of control. Variability surrounding a product or process can be rooted out at the design and analytical stages.
5.Removing Roadblocks: The roadblocks for Six Sigma implementation can sometimes be within the organization, such as trans-jurisdictional roadblocks which sometimes threaten the effective implementation of Six Sigma. The Black Belts need Champions? intervention in removing these roadblocks.
6.Hitting the Finish line: Taking Six Sigma to its logical conclusion is no small matter, even for cash rich corporations. The millions of dollars that it takes for Six Sigma implementation and the long cycle for the results to show can unsettle even the strongest organizations. Finishing the task, despite allotment of huge funds, accessibility to knowledge base, depends primarily on the commitment level of senior leadership and a dedication to customer satisfaction.
Tony Jacowski has sinced written about articles on various topics from University, Six Sigma and Information Technology. 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 sigm. Tony Jacowski's top article generates over 90500 views. Bookmark Tony Jacowski to your Favourites.
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