What are the benefits of Lean Six Sigma?
Let’s put aside the term ‘Lean Six Sigma’ for now. Let’s think Performance Improvement.
Return on Investment for Businesses
In June 2012, following comprehensive research, a report was published for the Chartered Quality Institute and the Chartered Management Institute by the Centre for Economics and Business Research (Cebr). The key conclusions drawn from the research were:
- Insofar as they have been implemented by organisations in the different sectors of the economy, QM (Quality Management) systems have already contributed substantially to the success of those organisations.
- QM systems have, in aggregate, proven themselves important contributors to the health of the UK macroeconomy.
- Return on Investment data, estimated from a series of in-depth interviews indicated:
- An average Revenue RoI of 6:1 i.e. for every £1 spent on a QM programme, revenues were increased by £6
- An average Cost RoI of 16:1. This implies that for every £1 spent on a QM programme, costs were reduced by £16
- Profit RoI of 3:1, implying that for every £1 spent on QM, profits increased by £3
The evidence suggests that effective QM programmes can contribute to increases in share price, profit, revenue and customer retention, as well as employee, customer and user satisfaction.
1. QM programmes often induce significant cost savings for businesses
2. QM programmes are perceived to be a key driver of wider business success. Survey respondents reported their belief that the successful implementation of QM programmes is particularly important when working to retain customers, and justify price premiums on goods and services.
Return on Investment for Individuals
Businesses continue to search for ‘real problem solvers’ which provides an opportunity for individuals to gain the credentials of a Lean Six Sigma ‘practitioner’. Lean Six Sigma training is suitable for almost all people looking to further develop their skills and to facilitate personal development. The Return on Investment you could expect is:
1. The potential to earn up to £70k per annum. (sometimes even more!)
2. The skills that will enable you to become more proficient
3. Development of your leadership skills
4. Added value to your CV
5. A unique set of skills that make you stand out from the crowd
6. A career enhancing competency
More and more people are becoming Lean Six Sigma practitioners. The comprehensive training is a real means of adding personal value and of course your contribution to your company’s success.
Dembridge provides comprehensive training and consultancy services that can help you realise the true potential of Lean Six Sigma.