Savings Savings Savings

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    Has anyone any tips on turning round a deployment when all the management cares about is savings?

    I’ve read many times that is one of the signs that a deployment is failing and would like to turn it around before it goes too far down this path.



    Best way to “save” is to lay everybody off and stop purchasing materials. Oh, then you won’t continue to generate revenue after you run out of inventory? So, cost savings isn’t the only objective – need to save into the future as well.

    I’m serious, ‘though. If savings is the only objective, then fire everyone and stop purchasing raw materials. You’ll save everything but the overhead (and eventually that will go away as well).



    Try doing some research on SS for Growth, this site and elsewhere. You might get some useful ideas. A lot of people have the idea that it’s all about savings. If so, why would we even care about quality?




    If your activity is delivering to the bottom line, it is not failing.

    Take a look at your company’s strategy, sometimes bottom line is what they need in years 1 & 2. It’s knowing when to transition thats the trick.


    Mike Carnell

    I am with Stan on this. Juran made the comment a long time ago “the basic language of upper management is money.” It is still true today.

    I guess I don’t get what the issue is. This is business. In business you do things that create ROI. If you don’t create ROI they take away your money and give it to someone who will create ROI.

    I have seen a lot of “Quality” guys who love to get infront of top level management and just wander around blathering about Process Capability, Means, medians, modes, standard deviation, variance, etc and then wonder why they don’t get invited back. That is about as stupid as going to the factory floor refering to it as a Gemba and blathering on about Muda. They speak English. If you want them to understand you then you speak English (understanding you is the point of talking to them). If you want Upper Management to understand you then speak their language. They can last a lot longer without your support than you can last without theirs.

    Next time someone tells you that upper management being focused on savings is a sign that it is failing, give them a Six Sigma answer. Ask for their data that proves it. They will dance around and when they are done ask again. Keep doing it until they either produce data or stop BS’ing you.

    I am guessing this whole thing started from one of those herbal tea drinking pontificators that got spanked by some management person because they were not doing anything tangible.

    Just my opinion.


    Ravi Prakash B

    If the Management is not talking about savings, then you have a problem. You Start with what is the impact on the bottom line or what is the impact on top line. If you are not able to talk both, you have the third option. What does the customer say and then you need to convert back to the top line and bottom line.

    What is the use of a project and work on a project if it does not “add value”. The Value for the management is only savings or increased profits.

    If a project does not add “Value” then the best thing is that the project fail and additional costs are not incurred.

    All I want to say is that the most important thing in a project is that Management Support. and for management support you need tell them what they know. In today’s world, To achieve improvement is one thing and to project the impact of the improvement is the important thing.

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