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Six Sigma SWOT
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Table 3.1 Consolidated matrix of SWOT analysis on Six Sigma strategy.
Positive factors Negative factors
Internal 1. Customer focus 1. Heavy investment
2. Data-driven and statistical 2. Highly dependent on
approach to problem solving corporate culture
3. Top-down support and (receptiveness to change)
corporate-wide involvement 3. No uniformly accepted
4. Well-structured project standards
personnel and teams
5. Clear problem-solving
framework (DMAIC)
6. Project-based, result-oriented
approach
7. Systematic human resource
development
8. Performance tied to bottom
line
External 1. Highly competitive market 1. Resistance to change
and demanding customers 2. Highly competitive job
2. Fast development of market
information and data mining 3. Cyclical economic conditions
technologies
3. Growing research interest in
quality and reliability
engineering
4. Previous implementation of
quality programs has laid
foundation for adoption of
Six Sigma
run, as business leaders are usually hard-nosed individuals with more fascinating
stories to tell than a shallow Six Sigma vendor. Thus for organizations that have not
yet adopted Six Sigma for quality and business excellence, Six Sigma tends to be more
credible if its strengths and weaknesses, together with potential opportunities and
threats, can be laid out objectively for the appreciation of their senior managers. The
SWOT format is a concise way of highlighting the essential points.
It may also be remarked that among those already in the know, the understanding of
Six Sigma varies from organization to organization. Some regard it as a management
philosophy and some take it as a well-designed statistical package. Certainly, the
interpretation that would lead to beneficial exploitation of Six Sigma’s full potential
is to view it as both. Two of the key elements of Six Sigma successes are commitment
from top management and the corporate culture. If the top management is highly
committed and the corporate culture is dynamic and receptive to change, Six Sigma
can be used as a strategic guideline for better financial returns and business excellence.
At the operational level, Six Sigma projects will not create an impact if the requisite