variation in a process by removing the causes of variation therefore increasing the output quality of the process. Some examples of companies that have successfully implemented a Six Sigma program are:
International Journal of Computer Applications (0975 – 8887) Volume 8 – No. 4 , October 2010 21 GE boasts gains of $2 billion to the bottom line in 1999 and $2.4 billion in 2001 because of Six Sigma. Motorola saved $15 billion in the first 10 years of Six Sigma implementation Dupont realized more than $1.6 billion in cost savings the first four years of Six Sigma. Many other companies and even municipalities have had similar success by implementing Six Sigma (Greg Brue and Rod Howes, 2006). Implementing Six Sigma requires having the ―right people in the right seats‖ to be Successful (Jim Collins, 2001) CONCLUSION This paper explores the contribution of TQM and SIX SIGMA in the organizations. TQM has been used successfully in variety of organizations, including manufacturing and service organizations. Firms that want to implement TQM effectively must have patience. It is widely accepted that TQM takes a long time to implement as it requires major organizational changes in culture and employee mindset. To get the benefits from TQM, one must be patient. It improves performance in the long-haul. Finally, we believe that TQM has still a long way to go. Recent surveys show that about 30 percent of manufacturing plants in United States have widely embraced TQM (Tanincez, 1997). Investigations show that organizations that have implemented TQM successfully have better financial results than the average company‘. Well – known investigations of this issue include Hendricks and Singhal (1997) and Eriksson and Hansson (2003), who both, over two time periods, compare financial indicators of quality award recipients with comparable ‗ average compani es ‗. Teambuilding is an essential element of Six Sigma. One of the most basic tents of Six Sigma is constant improvement. The Six Sigma Quality Control Program mandates training in all aspects of organizational processes. Any business processes that incorporate Six Sigma must be refined and this refining process requires training. One of the greatest advantages that the Six Sigma Quality Control Program offers organizations is the reported return on investment. Finally, Six Sigma can introduce an increased aptitude for change. The purpose of this paper has been to better understand what Six Sigma is as described by a rapidly developing body of literature. Six Sigma is generally described as a metric, a mindset, and methodology for strategic management and process improvement. And how the Six Sigma and TQM are helpful in an industry. Six Sigma provides an effective mechanism to focus on customer requirements, through improvement of process quality. The Six Sigma Approach is customer-driven. For a business or a manufacturing process, the Sigma Capability is a metric that indicates how well the process is being performed.
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