Lean Six Sigma - a panacea for all Business Ills
The application of Lean Six Sigma principles in the last couple of decades have helped companies transform Businesses to drive strong bottom line results and enhance shareholder value
A recent Study by the Aberdeen Group came up with the following conclusions
- Aberdeen's recent survey of 600 Business Executives finds that those following the true rigors of Lean Six Sigma are better equipped to improve Operational Performance to immediately reduce Costs without losing sight of longer term goals of Profitability and Performance.
- Several Companies such as Motorola, Honeywell, GE have reported saving several millions of dollars. Toyota have been pioneers in this area for decades.
Over the past 20 years, use of Six Sigma, the popular business improvement methodology, has saved Fortune 500 companies an estimated $427 billion
About 53 percent of Fortune 500 companies are currently using Six Sigma – (It is 82 percent when you look at just the Fortune 100)
Corporate-wide Six Sigma deployments saved an average 2 percent of total revenue per year
Motorola saved $2.2 Billion within 2 years of implementing Six Sigma
GE achieved an increase in Net Income of up to $1 Billion in just two years
Johnson Controls, within the first year of implementing Six Sigma, saved $ 22 Million dollars working on as many as 160 Process Improvement Projects and that figure rose to 100 Million Dollars in 3 years
Ford realized savings in excess of $675 Million within the first 3 years