Six Sigma For Small Companies

February 27, 2020 RUN System

We often find that understanding Six Sigma is considered only for large multinational companies. Although it must be admitted that there are difficulties in implementing Six Sigma in a small company rather than a large business, but actually it can be done. Six Sigma can work in a variety of business sizes and scales because the nature of Six Sigma depends on the characteristics inherent in any business, not on the size of the business. Smaller organizations often lack the resources and expertise in change initiatives. However, they also have a more flexible flow of processes, shorter decision making chains, and higher visibility from senior management. Based on experience when implementing RUN Sytem as an ERP software, actually smaller organizations can actually more effectively build Six Sigma even faster than large companies if the scope of deployment is properly managed.

Deployment Scope

Not infrequently we implement the Six Sigma methodology when implementing ERP software in every company that uses the RUN System as an ERP application. But we also realize that not all organizations understand the importance of Continual improvement because most stakeholders are still comfortable with the current conditions so they tend to be resistant to change.

If your organization does not have the resources to create infrastructure for the entire Six Sigma organization, you can start with a pilot program within the scope of the department.

One that we value as an advantage of Six Sigma is that the centralized methodology is scalable so that it can be adapted to organizational situations and conditions. Six Sigma emphasizes intensive training and broad qualitative-analysis characteristics that work regardless of how large the size of the organization. Likewise, Six Sigma DMAIC (Define, Measure, Analyze, Improve, and Control) works regardless of the size of the organization or even the size of Six Sigma projects. You will be amazed that a small Six Sigma project can produce significant results. Breakthrough improvements in processes and bottom-line profitability come not from the quantity of resources, but the quality and intelligence with which they are employed.

Small and medium-sized organizations may not have greater corporate resources; However, in many cases, smaller organizations can be more agile, flexible and focused results. Approaching the initial implementation of Six Sigma through a pilot program will produce tangible results without overdoing your resources from this small project. These results can then be replicated throughout the organization, in many cases even faster than in large organizations.

Critical Issue in Small Organizations

When running a Six Sigma pilot project there are a number of important issues that need to be considered inherent in smaller organizations. First, the choice of the project is very important. The pilot project will have implications for the deployment of Six Sigma, so it must be a good one that can show significant and visible results in a short amount of time. The project must address one or more business objectives so that it contributes to one or more company actions. Each project must also be completed in three to four months, so it is important to be careful about the scope. Projects must be continuously monitored and evaluated.

Another problem is training. In smaller organizations, the training budget and time available for training is limited. Therefore, this is not practical for someone who must be absent from his job to attend the training period.

The Six Sigma implementation team can find resource problems that occur due to personnel limitations where the people available for the project function only work part time on the sidelines of their daily tasks and responsibilities. It is important in the initial project that ensuring that the people involved are the right people and do the right thing. A small force consisting of people who are committed to the right training. Besides that good communication between team members is also important.

After successfully completing the Six Sigma Pilot Project, this deployment was then extended to other areas of the organization, by incorporating learning points from the pilot projects that had been carried out. The thing to remember is that it doesn’t mean that small organizations will automatically succeed when deploying Six Sigma, but that making changes and getting results for improvement will be much easier.