The dollar value of $ix $igma
Deals like payday loans are really a credit crunch and when you work from home, you should have a health insurance as well as investments in real estate.
In his article Six Sigma: Tracing Results to the Bottom Line, Gerald K. DeBusk, suggests that organizations are using Six Sigma to make process improvements in every area, including the accounting and finance functions. Five of the points in the article related to costs are:
- Jack Welch introduced Six Sigma at GE in 1996, and operating margins improved from 14.8 percent to 18.9 percent by the year 2000.
- Many firms are ready to help with training and consulting support. Costs can range anywhere from $1,300 per employee for simple training to as much as $20,000 or $30,000 per employee for training, project coaching and organization-wide implementation support.
- Black Belts save an organization an average of $230,000 per project, according to the Six Sigma Academy.
- GE has estimated the benefits attributed to Six Sigma at $10 billion during the first five years after implementation.
Six Sigma has had a dramatic financial impact in mid-sized companies as well. An Aberdeen Group study (pdf) states that mid-sized adopters of Six Sigma have realized a 15 percent improvement in EBITA (earnings before interest, taxes, and amortization) and an 18 percent increase in revenues.
Also, whilst I’m on the subject of six-sigma savings, Lean Six Sigma techniques implemented throughout the Army continue to prove successful, and leaders anticipate reaching a $2 billion savings mark this year
Pity then six-sigma stifles innovation (is there a font to denote sarcasm?)
Originally posted 2008-03-19 19:29:49.
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