The document discusses the evolution and limitations of the Six Sigma methodology, highlighting its transition from manufacturing to various industries and its struggle to gain broader acceptance among innovative companies. Key issues include a lack of focus on innovation and customer delight, which are crucial in today's knowledge economy. The document proposes the concept of 'Six Sigma 2.0,' which emphasizes adapting traditional methodologies to meet contemporary business challenges while enhancing customer satisfaction.

1. An Introduction to the next generation of Six Sigma
SigMax-e

2. Six Sigma Limitations
Robert Nardelli, used Six Sigma to take Home A Balanced
Depot to # 1 Retailer. Profitability soared – but at a approach,
cost. Gradually, worker morale drooped and taking account
customer sentiment followed. His successor, Frank of all stake
Blake (also GE) is dialing back giving more lee way holders is
important!
to Store Managers.
Ann Fudge, (also GE), CEO, tried to sell Six Sigma
to ad executives at Young & Rubicam – and flamed
out quickly Six Sigma
teaches
Dave Carter is going slow with Six Sigma in its
“selling” the
application to innovative processes at Raytheon. idea – not
“Most Six Sigma practitioners are very strong on steam rolling!
the left brain, innovation very much starts in the
right hemisphere”

3. Moving away from its roots…
• Initially designed for
improvements in
manufacturing environments,
Six Sigma now reaches well
into every industry, from
Financial Services to Health
Care to Tourism.
• Initially on the assembly line,
Six Sigma is now
implemented at every level,
from VPs to quality managers
to software engineers, and in
every process, from
Customer Service to Human
Resources to Accounting.

4. Moving away from its roots…
• While companies like GE have used six sigma
almost like a strategic tool, many enterprises, both
big and small, and especially the super successful
companies of the internet, are not known to have
adopted six sigma with the same passion, despite its
many, well published benefits.
• Some of the key reasons for six sigma failing to
conquer a larger ‘market share’ – or even ‘mind
share’ are:
– Eliminating defects is not the holy grail of the
knowledge economy
– Innovation is; and six sigma needs strengthening here
– Customer delight is; and six sigma needs
strengthening here too
– It is generally accepted today that while VOC is good
for feedback, it is not as good for product / service
development. We need to anticipate customer needs.
– Service and knowledge sectors do not generate as
much of ‘defect data’, and definitions of various terms
are not as sharp as six sigma would like.

5. Time for change?
"did not fully
• What this is telling us is that Six meet our
Sigma as practiced today, faces "there was a strong
requirements
resistance form some customer ",
resistance to the
segments (VOC – feedback). extreme numbers / "did not have
enough of
• Careful changes to some of its statistics focus",
content on
features – whether originally innovation".
intended or not – can make it much
more relevant for today’s Manager. ? ?
• We all know that the very
complexion of business is changing
today. Globalization, the internet,
?? ?
social media, more competition,
greater emphasis on innovation
and rising customer expectations
are just a few of the signs we see
everywhere.

6. Where to?
• We believe, there is immense
power in the core DMAIC / DMADV
methodology of six sigma. It has
the ‘openness’ as well as the rigor
to adapt to the changes in today’s
market place.
• The key areas requiring such
change are:
– A greater focus on process –
where numbers are not (readily)
available
– Introduction of a strong kit of
innovation and brainstorming
tools
– Shift focus away from ‘defect
reduction’ to ‘Customer Delight’
– beyond customer
expectations, beyond the VOC!

7. Six Sigma 2.0
• Six Sigma is a
–Disciplined,
–Data-driven, and
–Team-based
approach to solving problems.
• Its aim is to enhance customer satisfaction by
understanding the customer, defining their
requirements and giving them a superior
experience.
• The purpose of Six Sigma is to do things
–Better,
–Faster, and
–Cheaper.
• It can be used to improve
– Any Product,
– Any Process,
and in every facet of business, from production, to
human resources, to order entry, to technical support.

8. The 'Process' Approach to Problem Solving
Four Powerful Methodologies
(Cross business & Cross functional)
Understanding, Measuring & BPMS
Reporting Work
Improving Work DMAIC
Designing New Works DMADV
Changing The Way We Work CAP

9. The 'Process' Approach to Problem Solving
Practical Statistical Statistical Practical
Problem Problem Solution Solution
Observations Themes Opportunities Solutions *
(Particular (Generalised (General (Particular
Problem) Problem) Solution) Solution)
The Approach to Problem Solving
Employees across the Organization need simple tools (and
Handymen with more powerful tools) to perform these underlying
processes.
There are well-known, specific tools that employees can use for
each of these processes:
•Adapted from Ideo http://www.ideo.com & "TRIZ“
Russian acronym for the "Theory of Inventive Problem Solving." G.S. Altshuller and his colleagues in the former U.S.S.R.
developed the method between 1946 and 1985.

10. Exploiting Six Sigma 2.0
Six Sigma
No 2.0
Got
Problem? No
Yes
Know the Project
solution? Management
No
Yes Can Have No
implement Capability
? ?
Yes Yes
Kick Action

11. New elements of Six Sigma 2.0
• Generic problem solving
• Performance Management:
– Processes
– Projects
– People
• Creative thinking
• Change Management
• Moments of truth
• Automation You may as well call me Swiss Sigma ☺

12. Contact:
For more information…
Srikrishna Vadrevu
www.sigmax-e.com
Email: sri@sigmax-e.com
Tel: +603-8313-8135
Mob: +601-2221-2553
Srikrishna Vadrevu
Blog http://asciance.blogspot.com/