Six Sigma and Project Management Literature Review
INTEGRATION OF SIX SIGMA AND PROJECT MANAGEMENT
LITERATURE RESEARCH
1. Introduction
In today's global business environment, the importance of first-to-market, customer service, cost-competitiveness, and quality are key factors in determining an organization's success, or undesirable failure. Manufacturers, engineering and transactional firms share a drive to lower costs, reduce cycle time and offer a diverse product mix as they pursue higher profits and an increased market share in a growing global environment.
As an effort to secure a competitive edge in its respective industries, organizations are seeking ways to increase efficiency and guarantee successful execution of critical business processes. A variety of systems such as Total Quality Management, Total Quality Control and Six Sigma have been implemented by organizations to help guide the efforts of creating new products, reducing product costs, improving manufacturing or organizational capabilities, realizing new market share or entering new markets. These systems rely on teams of people to identify the voice of the customer (both internal and external), taking into account the organization's competencies. They also require an ongoing portfolio of projects aimed at creating revenue or reducing costs.
Some organizations have integrated two or more systems. One melding of systems that hold significant promise is the integration of the Six Sigma methodology with the tools and processes of Project Management which is the main topic of this work. In this sense it is important to say that the purpose of this Literature Research is to demonstrate how organizations are able to achieve sustainable and effective process improvement by identifying how the combination of Project Management best practices with certain Six Sigma methodologies provides the structure and discipline required to identify process improvement opportunities, develop sustainable solutions, and lead organizations through the
LITERATURE RESEARCH
1. Introduction
In today's global business environment, the importance of first-to-market, customer service, cost-competitiveness, and quality are key factors in determining an organization's success, or undesirable failure. Manufacturers, engineering and transactional firms share a drive to lower costs, reduce cycle time and offer a diverse product mix as they pursue higher profits and an increased market share in a growing global environment.
As an effort to secure a competitive edge in its respective industries, organizations are seeking ways to increase efficiency and guarantee successful execution of critical business processes. A variety of systems such as Total Quality Management, Total Quality Control and Six Sigma have been implemented by organizations to help guide the efforts of creating new products, reducing product costs, improving manufacturing or organizational capabilities, realizing new market share or entering new markets. These systems rely on teams of people to identify the voice of the customer (both internal and external), taking into account the organization's competencies. They also require an ongoing portfolio of projects aimed at creating revenue or reducing costs.
Some organizations have integrated two or more systems. One melding of systems that hold significant promise is the integration of the Six Sigma methodology with the tools and processes of Project Management which is the main topic of this work. In this sense it is important to say that the purpose of this Literature Research is to demonstrate how organizations are able to achieve sustainable and effective process improvement by identifying how the combination of Project Management best practices with certain Six Sigma methodologies provides the structure and discipline required to identify process improvement opportunities, develop sustainable solutions, and lead organizations through the
References: [1] Anbari F.T. A Systems Approach to Six Sigma Quality, Innovation, and Project Management. Proceedings of the 7th International Conference on Systems Thinking, Innovation, Quality, Entrepreneurship and Environment (STIQE 2004). Maribor, Slovenia; 2004. [2] Anbari F.T. An Integrated View of the Six Sigma Management Method and Project Management. Proceedings of IPMA 17th World Congress on Project Management. Moscow, Russia; 2003. [3] Anbari F.T. Six Sigma Method and Its Applications in Project Management. Proceedings of the Project Management Institute Annual Seminars & Symposium, San Antonio, TX; 2002. [4] Kwak Y.H., Anbari F.T. Benefits, Obstacles, and Future of Six Sigma Approach. Technovation: The International Journal of Technological Innovation, Entrepreneurship and Technology Management 2004, 26 (5-6), pp. 708-715. [5] Kwak Y.H., Anbari F.T. Success Factors in Managing Six Sigma Projects. Proceedings of the Project Management Institute Research Conference. London, UK; 2004. [6] Kwak Y.H., Wetter J.J., and Anbari F.T. Business Process Best Practices: Project Management or Six Sigma? Project Management Institute Research Conference. Montreal, CA; 2006. [7] Kwak Y.H., Wetter J.J., Anbari F.T. Understanding the Interrelationships between Project Management and Six Sigma Method. International Journal of Operations and Production Management 2005. (Submitted). [8] Lynch D.P., Cloutier E.T. 5 Steps to Success. ASQ Six Sigma Forum Magazine 2003; 2, 2; ABI/INFORM Global, pp. 27-33 [9] Maximiano A.C, Soler A.M. A Project Management Strategy for Six Sigma Projects. In: Dinsmore P, Cabanis-Brewin J. The AMA Handbook of Project Management. New York: AMACOM Books; 2006. [10] Meyer L, Scrima T. Business Process Optimization: Combining Project Management and Six Sigma Best Practices to Better Understand and Optimize Critical Business Processes. Integrated Project Management Company Inc.; 2006.