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How Much Does Six Sigma Cost?

Wednesday, December 23rd, 2009

Most companies contemplating Six Sigma implementation have most of the costs worked out beforehand. This follows the assumption that taking additional work means involving more people. You either hire people on fee base or recruit them on your payroll at a cost. Well, then there is the cost of implementation above this, which can run into quite a few thousands of dollars depending upon the project on hand.But is that the cost of Six Sigma? There are several schools of thoughts and arguments about how to arrive at the cost of Six Sigma and one of which advocates an interesting theory. This appears to be the closest of all the definitions of Six Sigma.Cost of Six SigmaThe cost of Six Sigma is the cost of lost opportunities due to errand processes or procedures which could have been saved had the procedures or the processes been corrected at the expense of a fraction of the cost.Cost Consideration Before Project SelectionWhile contemplating the deployment, one needs to think about the composition of the team as well. The composition of the team can be so organized to as to contain the cost of hiring. The big question however, is whether the project team be placed within the purview of the QA department or be kept ...

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Tags: Absolute, Composition, Project Selection
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