Running head: MBA6151 - UNIT 4 CASE STUDY 1 Unit 4 Case Study MBA6151 Operations Research By Huong Nguyen ID 247 387 Ho Chi Minh, Vietnam For Dr. Todd Senft MBA Faculty Columbia Southern University
MBA6151 - UNIT 4 CASE STUDY 2 Founded in 1902 as the Minnesota Mining and Manufacturing Company, today 3M has become a diversified technology company that operates in more than 60 countries serving customers in approximately 200 countries around the world. In the past, 3M was a quality company with a lot of well-known and high quality products like Scotch tape and Post-it. But its financial performance was “flat” and unlikely to get improved without major changes. Nowadays, 3M holds the leading position in electronics, industrial, telecommunications, health care, consumer and office and so on as well as a component of the Standard & Poor’s 500 index and belongs to the group of 30 stocks making up Dow Jones Industrial Average (Schroeder, Goldstein, & Rungtusanatham, 2013). Six Sigma program’s benefits, costs, risks, and tracking: Six Sigma approach was implemented to 3M’s process and business improvement to energize the whole company, increase sales and cash flow as well as customer satisfaction, and strengthen management improvement. Six Sigma was aimed to significantly improve 3M’s existing processes and to design new products using the DFSS (Design for Six Sigma) methodology. Six Sigma benefits all of the key constituents of 3M. Shareholders will be happy seeing a strong and financially healthy company which means a good and solid investment for them. Employees will be excited about their work, learning new processes and developing leadership skills. Customers will benefit from a better responsive and a faster 3M that offers more competitive products and services with more uniformity and consistent quality. Especially, reducing defects – Six Sigma’s objective – makes it easier for customers to do business with 3M. After two years deploying Six Sigma, 3M capital expenditures decreased from $980 million to $677$ million in 2003, sales went up to $21 billion in 2005, profits increased approximately 22%
MBA6151 - UNIT 4 CASE STUDY 3 per year and the stock price also went up (Schroeder, Goldstein, & Rungtusanatham, 2013). In
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- Summer '19