The following success stories demonstrate the results we have delivered for our clients using Six Sigma techniques.
Case:
This firm was experiencing a sales cycle that was approximately 8 months long. The
growth goal was to reduce the sales cycle by approximately 40%. They were all
wondering how to emulate changes in the real world when they had been challenged
to close the project in less than six months.
Course of action:
The Six Sigma team built a process model that represented the real world sales
operation. They then made systematic improvements and tested the outcomes on the
computer.
Results:
As a result of the model the team has been able to meet and surpass the goal of
cutting the sales cycle by 36%.
IT Innovation SuccessCase:
This consumer products company decided to focus on helping their clients (primarily
large corporations) enhance their visual media and reduce the time it took to develop
the visual aspects of packaging, brochures, billboards, sales displays, etc. Reducing
cycle time and enhancing visual technology processes became their central goal.
Course of action:
To accomplish this objective, the Six Sigma team decided they needed computer
mapping/flowcharting tools and modeling to determine critical workflow bottlenecks
and improve cycle time. Such a massive undertaking required high end technology.
The team decided to use simulation modeling to help them evaluate and fine-tune the
data and results.
Results:
Results from simulation modeling showed two activities as bottleneck areas. Running
the model with new times showed the job cycle dropping by 22 days (from 155 to 133
days). However, activity utilization stayed above 95% (a good sign!). Process
engineering using new technology, which would cut at least ten days from the two
activities, was recommended to the customer.
Legal Process SuccessCase:
The process of obtaining a patent crossed so many organizational boundaries that
certain, unusual patent cases set up a chain of events which could exceed the
statutory bar. Not being able to see the entire process interact made it difficult to spot
potential problems.
Course of action:
The Six Sigma team collected information about the entire intellectual property
process and constructed a process map to do simulation modeling. This allowed
Them to model their current process and evaluate how implementing changes to it
would affect the system over time.
Results:
The process map allowed the intellectual property department and management to
see the problems and the solutions. As a result, they will increase the frequency of
the patent board meetings and outsource patent searches and other time consuming
legal processes. These changes will shorten the time required to process each
invention disclosure and patent application significantly. Unusual process flows that
could cause them to lose a patent or invention were identified and corrected.
Financial Services Success ICase:
In one financial services Six Sigma project in the southern United States, a
customer segment of“40-and-over” individuals with incomes in excess of $80,000
identified requirements of more “human” contact, flexible hours and accurate
answers to first time questions.
Course of action:
The organization analyzed their current process and found there were gaps in
availability of resources at specific times and they often provided inaccurate
answers to their customers. The team assigned to the project was able to examine
a process, assess defect levels and validate proposed corrections, proving the
results were both correct and sustainable.
Results:
The revised process adjusted schedules and led to new training modules that
prepared representatives to provide correct responses the first time. Customer
satisfaction and hence retention increased 55%.
Financial Services Success IICase:
Another financial services group identified a need for fast response to credit
applications.
Course of action:
The Six Sigma team evaluated the existing application review process and outlined
every opportunity to compress cycle time. They developed a revised process and
tested the operation to verify that delivery of service met customers’ expectations.
Results:
Not only was the business able to meet the need; they actually exceeded the routine
expectation and established a marketable advantage that increased overall revenue
by > 20%.
Administration SuccessCase:
A major US company was having difficulty with its cash conversion cycle time.
Course of action:
A baseline of the process was performed from order input through collection. The baseline showed that
due to the complexity of the process there were many process and organizational locations where
problems could and did occur. There was no short list of solutions that would eliminate the errors
negatively impacting cash conversion. Furthermore, the feedback loops, which could have reduced the
number of repeated errors were cumbersome, which prevented learning and improving from occurring.
There was a relatively high turnover rate and the complexity of the process made training a lengthy and
expensive process.
The following changes were made to improve the cash conversion cycle time:
- Redesign the organization into customer support teams, with each required function being represented on each team
- Mistake proof critical processes
- Co-locate the team members into autonomous groups
- Develop goals and metrics to evaluate the customer team performance and focus the team on the overall process.
- Provide a progressive training platform for associates.
Results:
The new process allows for teams to become familiar with their unique customers’ requirements and to
improve the existing process with a continuous and short feedback loop. Metrics allow them to focus
on the critical few versus the trivial many aspects of their process.
Production SuccessCase:
A supplier to a major US manufacturer made the decision to stop providing critical components. As a
result several programs are at jeopardy as they require the use of this supplied component. The supplier
made the decision because the equipment was 30-40 years old, yields had traditionally run at 60% and the
margins were low. There were no other suppliers found that would produce these critical components.
The manufacturer was forced to buy the exiting equipment and produce the components. The goal was to
produce the parts, for which there was no existing knowledge, and to improve the yield if possible. It was
also a foregone conclusion that new equipment would have to be purchased.
Course of action:
A baseline of the extrusion process was performed and a vast list of potential factors was identified
during Process Mapping. It was also determined, through Measurement System Studies that the
measurement systems were not capable of measuring the parts. The measurement systems were
improved and several screening designed experiments (DOEs) were conducted. Results showed a few key
factors to be important. Follow-up optimization experiments were run. In addition, some of the input
devices that were not working on the equipment were repaired. The process was producing 100% yield
within 3 months on existing part numbers. The next step was to produce parts that had not been
previously produced. The first parts off of the new die met the desired specification, although slightly off
target. Based on the process knowledge gained from the previous experiments one of the critical factors
was adjusted. Within one shift the new parts were being produced to specification and on target.
Finally the purchase order for new equipment was cancelled.
Results:
Total cost savings: $3,000,000. Time to completion: 3 - 4 months.
Inventory Management SuccessCase:
A major US corporation identifies a cash flow problem. Further analysis reveals that inventory levels are
high and turns are below most major competitors. In addition a technology change and a proliferation of
models amplify the issue.
Course of action:
A baseline of the existing order fulfillment process is conducted. It quickly highlights some key leverage
points in the order fulfillment process. Furthermore it becomes apparent that much of the current
inventory is present due to internally generated variation versus customer driven order variation.
As a result the following changes are made to accomplish the goals.
- Implementation of a Pull System for the order fulfillment process. This pull system spans from supplier through manufacturing, logistics to the customer. The previous order fulfillment process was managed via an MRPII system.
- Determination of inventory levels using economic and statistical methods in an integrated approach.
- Implementation of appropriate inventory management models to minimize cost given various real world conditions in the supply chain (flow production, batch production, remanufactured parts inflow etc.).
- Revision of the planning process to support the order fulfillment process.
- Training of analysts to determine the appropriateness of forecast models.
- Reduction of internally generated variation
Results:
Inventory reduction post full implementation: > $20,000,000

