Six Sigma can be used for both operational and strategic management. It is regarded as a new quality management strategy that has the ability to replace QC (Quality Control), SQC (Statistical Quality Control), TQC (Total Quality Control), TQM (Total Quality Management). The development process of Six Sigma is shown in the figure below where scientific management tools such as Statistical Process Control (SPC), TPM (Total Productive Maintenance), QE (Quality Engineering) and Total Customer Satisfaction (TCS) are used. The Six Sigma development figure is as shown below:
Figure: Six Sigma development process
Most of the organisations which are not quite successful in implementing the other management strategies like the Total Quality Control (TQC) and Total Quality Management (TQM) like to introduce Six Sigma due to its benefits.
In the manufacturing sector, Six Sigma is coupled with lean manufacturing. Lean is a set of tools and techniques that focuses on reducing the wastes of an organisation, the constraints of process flow and reducing the non-value added activities. The wastes include over-production, transportation, waiting time, inventory, processing and scrap which can be eliminated, thus improving the quality. Lean manufacturing reduces inventory and floor space requirements. There are a wealth of benefits of Six Sigma which will help to address the issues and problems of the organisation. The benefits which the organisation can get by applying Six Sigma are as follows:
It is for its comprehensive advantages that today over 53% Fortune -500 companies trust Six Sigma and lean Six Sigma for their improvement.