Six Sigma was devised to incorporate continuous improvement in the industry procedures through its methodological systems of identifying faults and correcting them. In short, it minimizes the number of errors that may occur while a task is being performed. This is achieved by way of daily scrutiny of the process and sharpening the techniques used therein. Initially, Six Sigma was implemented only in the manufacturing stream but eventually moved on to other fields where it has proved its mettle.
However, with advancing technology and increasing complexity of situations faced each day mere Six Sigma implementation is not enough. This is where the Business Process Management gets integrated with Six Sigma to create a better performance-enhancing tool.
Business Process Management are those set of activities, which are undertaken by a corporation to either better the current processes or alter them to suit new age requirements. This phenomenon supports and modifies the company’s processes and gives them useful management strategies, models the data flow, manages people, resources and systems at any given time.
Reason For The Merger
The coming together of BPM and Six Sigma was initiated since what one lacked the other could provide, thereby leading to a better approach towards analysis, understanding and improvising business techniques. For instance, Six Sigma lacks the ability to collect large amounts of data, which is instantly provided for by BPM. Likewise, BPM is deficient in analytical tools to solve a difficult and complex business crisis and needs Six Sigma methodology to intervene.
Usefulness Of The Union
Integrating Six Sigma and BPM has led to expansion of a corporation’s scope of functionality and its service quality. The following points explain the changes occurring due to the collaboration.
o It helps in processing long-term performance results of the organization since there is a considerable amount of reduction in the number of errors and useless inventory, which in turn eliminates customer dissatisfaction.
o The entire value chains of the institution are illustrated in a better and detailed manner, understood in depth and managed properly.
o Both the processes together give near perfect estimations, which aid in altering business policies if required and also bring about necessary changes in management procedures that enhance performance levels.
o As Six Sigma fails to effectively control business processes and most of the time relies on the manual methods and control mechanism, which hampers performance initiatives greatly. BPM involvement aids the controlling process and terminates the drawback instantly.
o Since Six Sigma cannot gather the extensive data required for any research and policy implementation, BPM fills in for this lapse by enhancing the projects by accelerating the collection and distribution of critical data.
o The product design is improved due to combine application of BPM and Six Sigma. Such companies are at a better advantage of creating a superior product right at the inception time.
o Initializing physical, feature wise market growth is possible by focusing on customer expectations and undertaking surveys since BPM is apt at supplying buying patterns and customer attitude records. Punching Six Sigma data into the BPM system is much faster and more precise.
Business process modelling