Return on investment (ROI) measures/evaluates an investment. It can be thought of in general terms as: (gain from investment) (cost of investment) / cost of investment The specifics of a calculation will vary depending upon the type of investment being assessed. The best ROI references on iSixSigma can be found at the following links: Ask…
While Six Sigma improvement projects have many potential benefits to a company, their financial impact often gets the most attention. Business leaders want to know that they are getting a return on their investment in Black Belts. In our most recent research study, we look at Black Belt project pay-offs, where companies are targeting their…
Business Execution software specialist, i-nexus, celebrates 10 successful years in 2011, highlighting increased ROI from existing customers alongside the addition of global leaders such as Best Buy and 3M to its client portfolio.
According to George Wilbanks, managing director of Russell Reynolds’ Asset and Wealth Management practice, many investment firms are looking especially hard for technology executives who have some kind of training in continuous improvement. “In the last two years, with so much volatility we’ve had in the markets, they’ve been asking for Six Sigma qualifications,” he…
As the calendar flips to 2011, several technology experts and software providers have made predictions about how Lean Six Sigma and other process improvement methodologies will shape IT departments in the coming year. Collected here are four of their forecasts for the next 12 months.
When organizations embark on a continuous improvement program, one of the first steps is to determine how they should measure the success of their projects and program. iSixSigma asked experienced Master Black Belts for their thoughts on the topic.
A recent study from the United Kingdom found that expenditures on change management activities can reap huge rewards for relatively little cost, with a return on investment (ROI) as high as 650 percent. According to the report from British consulting firm Changefirst, more than 40 percent of the 2,500 change managers surveyed from 120 organizations…
The University of Oklahoma Lean Institute will officially launch its new Lean and Green training program for Oklahoma businesses in Fall 2010. Lean and Green teaches organizations how to identify and eliminate environmental waste from their own operations through three intensive days of training spread over 10 to 12 weeks.
According to the report from Changefirst, more than 40 percent of change managers believe at least a third of the financial gains could be attributable to change management activities alone. This means that, after nine months, for every £1 spent on change management these organisations were getting £6.50 as a return.
Businesses are in business to make money. But calculating the true value of any project (Lean Six Sigma or otherwise) with respect to its impact on margin has always been challenging, mainly due to the ambiguity of turning notions into dollar values. For instance, it is clear that training employees will improve expertise and productivity,…
During the past four years the Internet channel has seen the migration from an exploratory revolution of new functionality to creating a viable profitable business. It is no longer feasible to place additional technological enhancements on the web without considering the payback model in which returns and/or cost savings can be generated. This young Internet…
How will we remember the past eighteen months? Many will remember it as a time of economic slump, with lay-offs, low spending and a war in Iraq. The economic situation is not likely to improve during the remainder of 2003, leading organizations to focus on delivering value to their customers while demonstrating hard return-on-investment. Any…
When to involve suppliers in a Six Sigma initiative is a topic that comes up in every organization that has made the commitment to improve. “We are only as good as our suppliers.” This statement by Göran Lande, quality manager at Sony Ericcson, at a recent Six Sigma conference, sums up the situation. It is…
Six Sigma is a systematic data-driven approach that works across most processes, products and industries. It focuses on improving process performance to enhance customer satisfaction and bottom-line results. Yet, some organizations take a look at Six Sigma and conclude that it will not work for them. Why? Because the organizations know that Six Sigma was…
John Lopez-Ona, president and CEO of Six Sigma Qualtec, offers his perspective on Six Sigma and return on investment from how to measure ROI in a Six Sigma initiative to the critical success factors in achieving a satisfactory ROI.
iSixSigma-Editorial
Randy Woods
Chris Schweighardt
Richard Bellanca
Subrata Kar
Andreas Kleinert
R. Kannan
John Lopez-Ona