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The Six Sigma Way

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The Six Sigma Way

How GE, Motorola, and Other Top Companies Are Honing Their Performance

McGraw-Hill,

15 min read
10 take-aways
Audio & text

What's inside?

Six Sigma: If it’s good enough for Jack Welch, it’s good enough for you.

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Editorial Rating

7

Qualities

  • Applicable

Recommendation

Continual improvement is the key to survival in today’s business climate, and as companies like GE and Motorola have proven, Six Sigma is a useful tool for ingraining the quest for perfection in an organization. After reading The Six Sigma Way, you’ll probably be ready to jump out of your chair and immediately follow in these companies’ footsteps by launching a Six Sigma initiative of your own. The authors, three consultants who teach firms to implement Six Sigma efforts, convincingly extol the money-saving and efficiency-enhancing virtues of the holistic approach. This book offers a lot of jargon and complex concepts, but the material is presented in easily understood charts and lists, and there are plenty of concrete examples. getabstract.com recommends The Six Sigma Way to managers who have heard wondrous tales of Six Sigma, but would like a more down-to-earth explanation of how it can be used and the benefits it offers.

Summary

Theory + Common Sense

Companies large and small can improve profitability by practicing the theories of the Six Sigma school. GE head Jack Welch is an adherent to Six Sigma, which combines management theory and common sense to produce a philosophy that focuses on customer needs, improving processes and using facts to make decisions. Six Sigma attempts to create a flexible improvement program that adapts to a company’s needs. There’s no one correct way to implement a Six Sigma system. Each company is different, with its own unique problems and challenges.

Six Sigma Themes

  1. Focus on the customer. Six Sigma success is measured with the customer in mind.
  2. Make decisions based on facts. Many management decisions are based on opinions and assumptions. Six Sigma focuses on facts and data.
  3. Process is king. Six Sigma requires managers to master processes, such as designing products and measuring performance.
  4. Manage proactively. Anticipating events, rather than reacting to them, helps make managers more creative and effective. The reactive approach signals that management isn’t in control...

About the Authors

Peter S. Pande is president of Pivotal Resources, a consulting firm that has helped companies such as Citicorp and Chevron implement Six Sigma systems. Robert P. Neuman is a consultant and speaker in the area of Six Sigma methods. Roland R. Cavanagh is a professional engineer who has worked with companies such as America West Airlines, Commonwealth Edison and Tencor Instruments. All three authors also have done consulting work with GE and all live in California.

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