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How GE, Motorola,
and Other Top Companies are Honing Their Performance - The Six Sigma Way
by Peter S. Pande et al,
Robert P. Neuman, Roland R. Cavanagh
Six Sigma is a data-driven
management system with near-perfect-performance objectives that has
been employed to acclaim at leading corporations like General Electric.
Its name is derived from the eye-catching statistical target of operating
with no more than 3.4 defects per one million chances, but Peter Pande,
Robert Neuman, and Roland Cavanagh--associates in a firm providing Six
Sigma implementation, training, and management services--contend
its principles can be applied in businesses of all types to routinely
reduce costs, improve productivity, increase market share, and achieve
other positive results. The Six Sigma Way is their comprehensive self-help
guide to adapting and using the system under various conditions. Its first
two parts cover fundamentals and provide specific suggestions for
aligning the process with individual needs and goals. (These include sections
on balancing potential costs and benefits, clarifying objectives, and defining
time frames.) The final part, which accounts for more than half the book,
focuses on implementation through a detailed yet flexible five-step
"road map" tied to a company's core processes, key customers, current performance,
"high-potential improvement opportunities," and future practices. While
the procedure is quite complex, diligent managers should be able to bring
at least basic components to their organization with the tools and techniques
provided. --Howard Rothman |
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