Six Sigma at 3M
1. What are the potential benefits and risks of implementing Six Sigma at 3M? Benefits:
Six sigma not only provides a platform to improve existing processes but also enables 3M to design new processes in an efficient manner so that it results in lowered costs, increased sales, improved customer satisfaction, improved managerial development, increased cash flow and increased pace of development of 3M. 3M Acceleration was implemented by 3M to improve efficiency and pace of product development and commercialization cycles so that 3M could reap greater benefits on their investments. Also new and better products reach the customers faster through 3M Acceleration which leads to better customer satisfaction. As part of the Six Sigma initiative, 3M tried to improve their online presence as well via E productivity. By doing so, 3M will be able to better connect with the consumers which enables them to render quality service to the customers. Application of Six Sigma also demanded to make purchase decisions in smarter and more systematic way. By purchasing better, 3M can offer quality products to customers at competitive prices which will enhance their brand further. Six Sigma will also enable 3M to manage costs better. 3M can cut down on unnecessary spending by careful tracking of both direct and indirect costs. Six Sigma is a competency that can be transferred within organization. Six sigma is a core competency of 3M; it is ingrained in 3M’s system. It’s a difficult competency to build within a corporation (across firms in a corporation) and hence it’s inimitable, serving as 3M’s competitive advantage. Common approach with common goals.
Project, people and tool selection is another key aspect of Six sigma. Any errors in the selection of project, people or tool might lead to devastating effects. Six sigma places lot of emphasis on orderly and consistent approach to provide improved products with little variation. Six sigma requires detailed...
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