Startup Business Can Thrive With Six Sigma

Written By Chouhab on lundi 19 janvier 2009 | 05:27

By Craig Calvin

Many people believe that Six Sigma is only appropriate for large, multinational corporations, but immediate cost-saving results can be achieved by implementing six sigma in a startup company. For years, the most massive businesses on the planet have utilized Six Sigma to save billions of dollars through both cutting costs and increasing profit. Many believe that the implementation of Six Sigma strategies should be confined to large, public companies that employ thousands of employees and whose projects costs millions or billions of dollars to undertake. But the startup industry is a prime candidate for Six Sigma implementation, and start-up company managers especially can benefit from Six Sigma Certification. Six Sigma, at its core, forces managers to take an analytical, quantitative approach toward justifying new projects -- and no industry should be more cautious of wasting capital than the startup industry.

Considering employees, new startup managers who earn Six Sigma Black Belt certificates while at new companies with just a few employees will continue to grow as their careers progress and they eventually move on to larger companies. Six Sigma is a method of teaching how to increase profits by controlling costs, certainly two things that will never go out of style. The advantage of a startup company having managers with Six Sigma certification gives the employer the comfort of knowing that the manager is dedicated to running the company with a sharp eye toward the bottom line.

Startup companies are also plagued by lack of process control and optimization, a skill that is honed through six sigma training. 6 sigma certification can teach start up managers to scrutinize what processes they do have in place and identify areas where new processes need to be constructed. This type of 6 sigma training can help start up companies diminish their burn rates, increase their cash flows, and, ultimately, become profitable -- which is the entire goal of six sigma training in the first place.

A good startup manager understands his employees, but he also risks becoming too oriented with the social aspect of work to pay attention to the processes that are losing money for the company. A six sigma certification teaches the manager to zero in on the profitability of a project -- it teaches the focus and business dexterity that's needed to identify how to make projects profitable. Startup managers more than any manager in any other industry need this focus because it literally is the source of life or the cause of death in nearly all young, pre-profit companies.

Six sigma training also allows the startup manager to become a medium-sized company manager as the company leaves the incubation stage. In many cases, when the startup grows, the management team doesn't -- it's either acquired or the business goes public, and in both cases the management team is often replaced by professionals with impressive management backgrounds. 6 sigma certification provides the start up manager with professional mettle -- and, sometimes, a job.

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