Six sigma is the process in which organizations provide tools that will improve the capability of their operations. The process helps increase performances and decrease the variations that cause defects in production, therefore maximizing profits, improving the quality of products, and increasing workers’ morale. Many companies have adopted the six sigma method since it enhances the quality of their products and services. The process involves training to ensure that the workers think statistically while performing their tasks. It also emphasizes solving problems before it leads to significant defects in the products. Defects cause losses that are likely not to be recovered. Avoiding the losses can be achieved by timely problem solving and prevention techniques. Management should also create an environment in which the business strategy can be implemented effectively. This is done by ensuring that the company policies meet the needs of the workers and customers effectively.
Six sigma integration in Motorola Company
Motorola was one of the companies that first implements the six sigma principles. Motorola is a high tech company that is recognized globally. In the 1980s, the company was known for its ability to produce high-tech products with good quality at an affordable price (Antony, Snee, & Hoerl, 2017). However, in 1970, the organization struggled to compete with the Japanese organizations since the Japanese targeted every operation the company planned to implement. The Japanese were, therefore, a significant threat to the company and other organizations during that time. Motorola customers in 1970 were not happy with the defects and low customer services, which kept other organizations at an advantage.
It was, therefore, necessary for Motorola to take action because they were losing their clients. The company gathered its engineers and researched about the best quality of their products at that time (Antony, Snee, & Hoerl, 2017). They then created a baseline that would help in producing goods of high quality in the organization. These involved creating a methodology that would help reduce Motorola products’ defects, making them more useful. Bill Smith created a formula, which involved four phases of six sigma and presented it to the board for approval. After approval, the company began following the four stages, including measuring, analyzing, improving, and controlling. As a result, the organization enhanced the quality of its product instantly.
Principles of six sigma methodology
Motorola followed the five principles of the six sigma process to be successful. The first principle is on the requirements of the customer. The engineers assigned to improve Motorola products’ quality focused on the customer’s needs to ensure its efficiency. The second principle used in the company was extensive measurement and evaluation of the products (Furterer, 2016). These helped the company to understand the effects more and how to present them to the clients. The third principle that helped the organization was proactive. These involved eliminating errors in the product to ensure that they continuously improve the performance of the products.
The fourth principle is to involve the six sigma cross-functional teams. The team’s primary function was to analyze the product and evaluate if there is a need to improve the products. This process sometimes involved testing the quality and comparing it to previous productions to document its improvement. The last principle is to endorse flexibility and diligence in the business (Furterer, 2016). The principles worked as a guide of operations in the company by ensuring that it achieves its continuous improvement goal and eliminates errors. The company’s high-quality goods made it more popular and marketable in the technology markets.
Effectiveness of six sigma in the organization
The six sigma methodology was instrumental in the company because it enabled the company to improve its quality over a short period. It, therefore, offered a significant impact on the projects of the organization by increasing their effectiveness. The methodology helped utilize the company’s tools and resources, thus, reducing costs and improving the profit margin (Zhang et al. 2015). Motorola company began following the four phases of six sigma; therefore, the methodology provided the company with a process/or guideline of operation, which gives manufacturing operations a chance to be improved.
The six sigma operations were also very beneficial because it increased communications between the management and its workers. It also offered the management an opportunity to communicate with its clients to learn about their requirements, giving them the capability to improve their products (Zhang et al. 2015). The methodology also provided the management and workers with an opportunity to understand statistical tools that significantly influence its production. Their process also raises the need to continuously train its employees on the new operations and products produced. These increased the organization’s effectiveness because the workers were skilled. They were also knowledgeable about the changing trends in the market.
Blink fitness is a gym business in the United States of America known for quality service and accessible spaces. The company encourages enjoying exercising for physical benefits. The firm has 140 gyms spread out around the country and has been listed in the 5000 topmost health club institutions. The business offers quality and affordable services to its customers. The organization opened a new location in Bronx, Bedford Park. The company opens new spaces regularly to ensure that its customers can access its services and lead a healthy life.
The new opening location is good because it gives the organization a chance to grow its profit margin and serve more people. The new location’s opening involved giving 50 locals a free membership for three months to understand the need to have a healthy lifestyle. Bedford is an excellent location because the beginning of the gym did not require a lot of paperwork. The region is also densely populated; therefore, the company is likely to receive a sizeable amount of clients if they offer quality services.
Factors influencing the location of the business
The first factor that influences the selection of location for a business is the demographic of the region. It is essential to consider who the possible customers are going to be for the company and the services they like been provided for (Al Qur’an, 2020). The demographic in the region will help business managers to decide which services to offer to their customers. Blink fitness gym selected a good location because most people in the area are in their mid-years. This group likes to exercises to prevent illnesses and ensure they live a healthy lifestyle. It is also a good location because the region is densely populated.
A business requires to be in a location where every person can access it. Therefore, it should be close to a mostly used street. The road towards the business should be free from traffic as much as possible. Blink gym requires a sufficient water and electricity supply because it opens early in the morning and closes late in the evening. There is a need to have an adequate supply of water for the use of the customers. Therefore, Bedford Park is the right region because there will be a continuous supply of water and electricity. Customers can also easily access the gym while performing other tasks during the day.
It is essential to analyze the competing companies in a location. The competition will involve a lot of struggling for a new business (Raut et al. 2017). The region where blink wanted to open their new branch did not have another gym. The only health institution around it was a hospital. These two institutions should complement each other for a healthy lifestyle. It is important to note that many people in society visit gyms for socialization. The space that the business had found was spacious and allowed its customers to interact freely. Competition can also lead company managers to work harder and perform better to attract more clients.
Another factor that makes the location of the new gym good is its proximity to the market. Many people from the market will be able to access the gym since it is close to them. Most people like to go to gyms closer to their homes and markets for safety and accessibility. Before choosing the location, it was important for the managers to analyze the region’s infrastructure (Raut et al. 2017). Good infrastructure makes it easy for the organization to be accessed by its customers. It is also very beneficial while communicating with the customers, therefore, increasing the organization’s effectiveness. The gym will be able to provide quality services to its customers.
A good location for business is essential since it helps in determining the sustainability of the company. People in the region can access the industry efficiently. The excellent infrastructure should surround a superb location to increase the effectiveness of operations and communication. There should also be an adequate supply of resources; therefore, the business must be a close distance from the market. A company needs to concentrate on improving its services and goods because of its completion. These place the organization in an advantageous position, making it easy to increase its profit margin.
Al Qur’an, M. (2020). Success factors influencing the selection of the location of international firms. Competitiveness Review: An International Business Journal.
Antony, J., Snee, R., & Hoerl, R. (2017). Lean Six Sigma: yesterday, today and tomorrow. International Journal of Quality & Reliability Management.
Furterer, S. L. (Ed.). (2016). Lean Six Sigma in service: applications and case studies. CRC press.
Raut, R. D., Narkhede, B. E., Gardas, B. B., & Raut, V. (2017). Multi-criteria decision making approach: a sustainable warehouse location selection problem. International Journal of Management Concepts and Philosophy, 10(3), 260-281.
Zhang, M., Wang, W., Goh, T. N., & He, Z. (2015). Comprehensive Six Sigma application: a case study. Production Planning & Control, 26(3), 219-234.