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Six Sigma: The Breakthrough Management Strategy Revolutionizing the World's Top Corporations
The extraordinary breakthrough management program--heralded by GE, Motorola, and AlliedSignal--that is sweeping corporate America with its unprecedented ability to achieve superior financial results.
Six Sigma is the most powerful breakthrough management tool ever devised, promising increased market share, cost reductions, and dramatic improvements in bottom-line profitability for companies of any size. The darling of Wall Street, it has become the mantra of Fortune 500 boardrooms around the world because it works.
What is Six Sigma? It is first and foremost a business process that enables companies to increase profits dramatically by streamlining operations, improving quality, and eliminating defects or mistakes in everything a company does, from filling out purchase orders to manufacturing airplane engines. While traditional quality programs have focused on detecting and correcting defects, Six Sigma encompasses something It provides specific methods to re-create the process itself so that defects are never produced in the first place.
Most companies operate at a three- to four-sigma level, where the cost of defects is roughly 20 to 30 percent of revenues. By approaching Six Sigma--fewer than one defect per 3.4 million opportunities--the cost of quality drops to less than 1 percent of sales.
This is because the highest quality also results in the lowest costs. When GE reduced its costs from 20 percent to less than 10 percent, it saved a billion dollars in just two years--money that goes directly to the bottom line. This is the reason Wall Street and corporations as diverse as Sony, Ford, Nokia, Texas Instruments, Canon, Hitachi, Lockheed Martin, American Express, Toshiba, DuPont, and Polaroid have embarked on corporate-wide Six Sigma programs.
Six Sigma should be of paramount importance to every forward-thinking executive and manager determined to make their company world-class in their industry.
Six Sigma is the most powerful breakthrough management tool ever devised, promising increased market share, cost reductions, and dramatic improvements in bottom-line profitability for companies of any size. The darling of Wall Street, it has become the mantra of Fortune 500 boardrooms around the world because it works.
What is Six Sigma? It is first and foremost a business process that enables companies to increase profits dramatically by streamlining operations, improving quality, and eliminating defects or mistakes in everything a company does, from filling out purchase orders to manufacturing airplane engines. While traditional quality programs have focused on detecting and correcting defects, Six Sigma encompasses something It provides specific methods to re-create the process itself so that defects are never produced in the first place.
Most companies operate at a three- to four-sigma level, where the cost of defects is roughly 20 to 30 percent of revenues. By approaching Six Sigma--fewer than one defect per 3.4 million opportunities--the cost of quality drops to less than 1 percent of sales.
This is because the highest quality also results in the lowest costs. When GE reduced its costs from 20 percent to less than 10 percent, it saved a billion dollars in just two years--money that goes directly to the bottom line. This is the reason Wall Street and corporations as diverse as Sony, Ford, Nokia, Texas Instruments, Canon, Hitachi, Lockheed Martin, American Express, Toshiba, DuPont, and Polaroid have embarked on corporate-wide Six Sigma programs.
Six Sigma should be of paramount importance to every forward-thinking executive and manager determined to make their company world-class in their industry.
318 pages, Paperback
First published January 1, 1999
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Displaying 1 - 11 of 11 reviews
March 23, 2019
#171
In my marathon to learn about management and career oriented books I came across this gem. I started this book with the thoughts of skimming it but once I started I read very carefully. It helped me in understanding what is Six sigma and methods and various roles inside it.
Great book for beginners!
In my marathon to learn about management and career oriented books I came across this gem. I started this book with the thoughts of skimming it but once I started I read very carefully. It helped me in understanding what is Six sigma and methods and various roles inside it.
Great book for beginners!
May 31, 2019
Although some insight into Six Sigma is given and I'll keep a couple of quotes in mind it sounds like a sales pitch more often than not..
Most interesting quotes:
1) "you can't improve what you don't measure"
2) "you don't know what you don't know"
3) there's also an interesting analogy between an architect designing a garage and the flexibility needed to account variability in all processes
Most interesting quotes:
1) "you can't improve what you don't measure"
2) "you don't know what you don't know"
3) there's also an interesting analogy between an architect designing a garage and the flexibility needed to account variability in all processes
May 1, 2021
The concepts in the book are amazing, however the writing does fall short and it too heavily relies on “application” rather than just telling me the concept. The book itself would have done better had it followed it’s own preachings.
May 25, 2024
Out of all the books I’ve read about Six Sigma and LSS, this is one of the most generic book out there.
It’s alright for anyone who wants to learn some information about it, but for people who are certified and needs a refresher or just wants to read it to add more knowledge, good luck.
It’s alright for anyone who wants to learn some information about it, but for people who are certified and needs a refresher or just wants to read it to add more knowledge, good luck.
March 8, 2025
DNF. By chapter 7 it was still examples of where this works, but no actual description of how to do "this".
December 22, 2012
Loy Machedo’s Book Review – Six Sigma: The Breakthrough Management Strategy Revolutionizing the World's Top Corporations by Mikel Harry Ph.D. and Richard Schroeder
There are some authors who come out books to educate, to entertain or to express. And then there are those who come out with books disguised as Secret Sales Brochures to do what Rod Tidwell (Cuba Gooding, Jr.) shouts in Jerry Maguire “Show me the Money”. Six Sigma by Mikel Harry and Richard Schroeder book does just that.
This is one book that falls short of stating a strategy or on the nuts & bolts of Six Sigma and goes on an incessant rant on what Six Sigma has done for Motorola, GE and a host of forgettable names. The book is nothing but a 300 paged advertisement designed with a sad intention to generate more business. Oh and by the way I do not know if it was some coincidence to state that Mikel & Schroeder were also the CEO & President of Six Sigma Academy which raked in over $10 Million in consulting and training fees in 1998.
Now, let’s understand this. Every new quality tool that comes out – TQM, Kaizen, the infamous and outdated ISO 9000 – almost all of them beat their hairy chest and shout in the corporate jungle “ We are the next new secret tool which will change the landscape of how business is being done”. And because you will adopt us – you will make a gazillion dollars in profits! But (yes, the big butt) you have to have our own so called certified experts leading and guiding the way, following everything we say and doing whatever we tell you – And then you can live happily ever after. (with the normal clichés of Cutting Costs, Increasing Profits, Improved Productivity and yes, Effective versus Efficiency).
That was the song I heard being sung when I was 18 years old. Nothing changed then and now at 35, I doubt anything will change. Now a days it sounds more like the Flavor of the month when going to an Ice Cream Parlor. In the end – it’s the same thing – just a different taste. Absolutely nothing revolutionary or nothing that can be called Break-through.
Now let’s suppose Six Sigma works – which is seems to be for a few companies. But then what are the drawbacks that will brand this as a fad destined to fail?
Here are my views:
1) Six Sigma will work only when all the employees are in sync or total harmony with the vision, values and variables of the company’s Decision. Can that be assured?
2) What kind of company can afford Six Sigma, along with the Black Belts, the Master Black Belt?
3) How many companies & employees want a team of selected experts to do nothing but keep an eye on the operations, find the faults and report these variations to the management?
4) Can Six Sigma help a failed product succeed? Forget that. Can it assure any product or service or company to survive the unpredictable sickness of the Global recession when companies are looking for ways and means to survive?
5) What point is it to have a Six Sigma process when a product may have a short shelf life? Or for a service when a team may not survive the challenges?
This book does nothing else but keep singing the song of how great and almighty Six Sigma is to the point of total and absolute boredom.
Moment of Truth
From these fancy-pansy titles like Black Belt and Master Black Belt, to the numerical value calculations of 3.45 that state what level the organization is currently at to hoping to reach to the point of greatness, Six Sigma is a glorious fad that is bound to die out very soon. Just as people have learnt how to play around and get the ISO certification – which eventually became a discontinued process as people realized it is nothing but a spiritual name for pea-brained documentation, Six Sigma is another new fad that will bleed itself to death. Slowly and Surely.
Overall Rating
2 out of 10.
The 2 is only because I got introduced to a few fancy terms of what Six Sigma is and to the terminologies of Six Sigma.
Loy Machedo
loymachedo.com | loymachedo.tv
There are some authors who come out books to educate, to entertain or to express. And then there are those who come out with books disguised as Secret Sales Brochures to do what Rod Tidwell (Cuba Gooding, Jr.) shouts in Jerry Maguire “Show me the Money”. Six Sigma by Mikel Harry and Richard Schroeder book does just that.
This is one book that falls short of stating a strategy or on the nuts & bolts of Six Sigma and goes on an incessant rant on what Six Sigma has done for Motorola, GE and a host of forgettable names. The book is nothing but a 300 paged advertisement designed with a sad intention to generate more business. Oh and by the way I do not know if it was some coincidence to state that Mikel & Schroeder were also the CEO & President of Six Sigma Academy which raked in over $10 Million in consulting and training fees in 1998.
Now, let’s understand this. Every new quality tool that comes out – TQM, Kaizen, the infamous and outdated ISO 9000 – almost all of them beat their hairy chest and shout in the corporate jungle “ We are the next new secret tool which will change the landscape of how business is being done”. And because you will adopt us – you will make a gazillion dollars in profits! But (yes, the big butt) you have to have our own so called certified experts leading and guiding the way, following everything we say and doing whatever we tell you – And then you can live happily ever after. (with the normal clichés of Cutting Costs, Increasing Profits, Improved Productivity and yes, Effective versus Efficiency).
That was the song I heard being sung when I was 18 years old. Nothing changed then and now at 35, I doubt anything will change. Now a days it sounds more like the Flavor of the month when going to an Ice Cream Parlor. In the end – it’s the same thing – just a different taste. Absolutely nothing revolutionary or nothing that can be called Break-through.
Now let’s suppose Six Sigma works – which is seems to be for a few companies. But then what are the drawbacks that will brand this as a fad destined to fail?
Here are my views:
1) Six Sigma will work only when all the employees are in sync or total harmony with the vision, values and variables of the company’s Decision. Can that be assured?
2) What kind of company can afford Six Sigma, along with the Black Belts, the Master Black Belt?
3) How many companies & employees want a team of selected experts to do nothing but keep an eye on the operations, find the faults and report these variations to the management?
4) Can Six Sigma help a failed product succeed? Forget that. Can it assure any product or service or company to survive the unpredictable sickness of the Global recession when companies are looking for ways and means to survive?
5) What point is it to have a Six Sigma process when a product may have a short shelf life? Or for a service when a team may not survive the challenges?
This book does nothing else but keep singing the song of how great and almighty Six Sigma is to the point of total and absolute boredom.
Moment of Truth
From these fancy-pansy titles like Black Belt and Master Black Belt, to the numerical value calculations of 3.45 that state what level the organization is currently at to hoping to reach to the point of greatness, Six Sigma is a glorious fad that is bound to die out very soon. Just as people have learnt how to play around and get the ISO certification – which eventually became a discontinued process as people realized it is nothing but a spiritual name for pea-brained documentation, Six Sigma is another new fad that will bleed itself to death. Slowly and Surely.
Overall Rating
2 out of 10.
The 2 is only because I got introduced to a few fancy terms of what Six Sigma is and to the terminologies of Six Sigma.
Loy Machedo
loymachedo.com | loymachedo.tv
November 4, 2015
This book is a nice introduction to Six Sigma and also the DMAIC process for those who are unfamiliar with it. The authors give several examples from companies who have implemented Six Sigma with great results, which helps to see how the process can be implemented in different situations. The book is an easy read and won't take anyone too long to finish it and get a clear idea of what Six Sigma really is.
My biggest complaint with the book is that it comes across as too much of a sales pitch at times. The authors make big claims about the savings Six Sigma can generate, but tend to ignore the fact that different companies are going to see wildly different results no matter how well Six Sigma is implemented. For example, I don't want to hear that a 1 sigma increase in quality will result in X% decrease in expenses; the precise percentage is going to depend on so many other variables that it seems pointless to list a number there (I can't remember exactly which percentages were used in statements like this). I'd rather hear that one company has achieved X% in savings, or that companies generally save X% of their revenue. The authors make too many definitive statements that are frankly hard to believe, which made me skeptical to some of the other claims.
Those complaints aside though, the reader will definitely learn what Six Sigma is and can hopefully begin to decide whether or not it is something worth pursuing in their own company. Also the explanations of DMAIC were very helpful as well. I'm not if this is the best book to learn about these concepts, but it's certainly not a bad one.
My biggest complaint with the book is that it comes across as too much of a sales pitch at times. The authors make big claims about the savings Six Sigma can generate, but tend to ignore the fact that different companies are going to see wildly different results no matter how well Six Sigma is implemented. For example, I don't want to hear that a 1 sigma increase in quality will result in X% decrease in expenses; the precise percentage is going to depend on so many other variables that it seems pointless to list a number there (I can't remember exactly which percentages were used in statements like this). I'd rather hear that one company has achieved X% in savings, or that companies generally save X% of their revenue. The authors make too many definitive statements that are frankly hard to believe, which made me skeptical to some of the other claims.
Those complaints aside though, the reader will definitely learn what Six Sigma is and can hopefully begin to decide whether or not it is something worth pursuing in their own company. Also the explanations of DMAIC were very helpful as well. I'm not if this is the best book to learn about these concepts, but it's certainly not a bad one.
April 21, 2008
This was my first encounter six sigma and I was captured by it. However, I had a college professor who considered it to be just a fad and even gave a paper I wrote on it a very low score. I wonder what he thinks now?
August 4, 2011
Yes, I read this in high-school. Tell me about it, honors economics.
December 24, 2012
Eliminate waste, black belts, stretch goals, formula to stay successful and competitive, Drucker was GE success vs Jack.
Read
August 3, 2011Stole it from the cruise !!! buahahaha
Displaying 1 - 11 of 11 reviews