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Linking Balanced Scorecard and Six Sigma

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Balanced Scorecard

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Giacomo Merli
12
Giacomo Merli
Student (University), Italy

Linking Balanced Scorecard and Six Sigma

Within an enterprise, can I link and combine the methodologies of Balanced Scorecard and Six Sigma?
Do they offer completely different points of view, or can they be used in a complementary way?

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  Jose Villar
2
Jose Villar
Accountant, Ireland
 

Linking BSC and Six Sigma

It is a good idea to link both concepts. Six Sigma could be part of your strategy to enhance your processes by increasing the quality of the product.
Also Six Sigma uses a peculiar system to define the problem which could be put a good use in any area of the BSC.
The method uses 5 phases as you probably know:
Define; Measure; Analyse; Design; and Verify (DMADV).

  Zandstra
2
Zandstra
Netherlands
 

Linking BSC and Six Sigma

Both are quite complementary and can be a succesful combined. My former employer succesfully deploys what they named Balanced CTQ Management: a BSC approach based on the principles of Six Sigma.

  Marcel van der Heever
2
Marcel van der Heever
Management Consultant, South Africa
 

Linking BSC and Six Sigma

Six Sigma and BSC complement each other well. The organisation I work for has assisted a global bank to achieve such a solution and they have been running this management approach for more than five years.

  Giacomo Merli
0
Giacomo Merli
Student (University), Italy
 

Six Sigma Scorecard

Dear friends, thanks to all for your answers. You are helping me to deepen this argument which is becoming very interesting for me. I agree that this instrument can be useful for any organization and it can improve the way to apply and manage strategy, but at the same time I'm very disappointed that this manage tool is not sufficiently widespread in my country. I would have another question to you: have you ever read anything about Six Sigma scorecard? I've read some information on-line and I'd like to learn more about this approach.
Thank you very much.

  Shad Raza
2
Shad Raza
Manager, India
 

Linking BSC with Six Sigma

We have done this 5 years ago in my telecom company and it proved a really powerful tool which made employees more focused & reaped spectacular business results!
I was one of the core members of designing an effective implementation team...

  Paul Maguire
4
Paul Maguire
Business Consultant, United States
 

BSC and Six Sigma

Indeed, Six Sigma and Lean fit very well within the BSC framework, specifically within the internal processes perspective. Six Sigma speaks to the effectiveness of a process while Lean speaks to process efficiency. The BSC helps us to determine in which processes we must excel and Six Sigma / Lean helps us “get there”.
As a side note: DMADV (Define, Measure, Analyze, Design, and Verify) is usually associated with developing new processes (or products). DMAIC (Define, Measure, Analyze, Improve, and Control) is the more traditional Six Sigma project improvement approach.

  Osama Kamal
2
Osama Kamal
Management Consultant, Egypt
 

Six Sigma is Hard to Act and Achieve

Six Sigma needs cultural transformation, advanced mathematics and statistical methods to reach apparent zero defect. While BSC is a more smooth method, once you put numbers to upgrade and achieve the targeted result(s) in the area under improvement that changes.
Six Sigma may be "showy" in a way and a trial to counter-act the excellent Japanese methods of improvements, while BSC is practical, it just needs close follow up to prove success.

  Shad Raza
0
Shad Raza
Manager, India
 

Six Sigma Isn't a Fad But a Powerful Tool

@Osama Kamal : Sorry I don't agree with the statement that Six Sigma is "showy". It is a proven tool all over the world & if organization utilizes it seriously they can achieve enormous contribution not only to bottom & top lines but sea change in overall organizational behavior. Similarly while aligning with BSC will reap quantum jump into the transforming culture along with robust sustainable business performance. I, myself implemented in my earlier 3 organizations. Hence, it is not a fad but a powerful tool.

 

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More on Balanced Scorecard
Summary Discussion Topics
topic Balanced Scorecard Design Tips
topic Balanced Scorecard for Engineering Services
topic Weaknesses or Disadvantages of the Balanced Scorecard
topic Balanced Scorecard in Budget Formulation
topic Balanced Scorecard Trends and Developments
topic What the Balanced Scorecard DOES Address and What NOT
topic Formula to Calculate Balanced Scorecard
topic First Create Strategic Alignment + Line-of-sight
topic Balanced Scorecard for Financial Institutions
topic How to Determine the Efficiency of Balanced Scorecard
topic Individual Balanced Scorecard Measurement
topic Cascading the Balanced Scorecard from Corporate Level to Business Levels to Individual Level
topic Generating Data for the Balanced Scorecard
topic Balanced Scorecard in Public Sector
topic Balanced Scorecard for Universities
topic Developing a Balanced Scorecard for Projects
topic HR Use of Balance Scorecard
topic Balanced Scorecard in a Charity Organisation
topic A New Flow Oriented Scorecard: Bellwox Bureau (Value Turbine)
👀Linking Balanced Scorecard and Six Sigma
topic Balanced Scorecard for Reorganisation
topic The BSC is Now Being Stretched Beyond its Optimality
topic Spiritual Element in Balanced Scorecard
🔥 What are the Generations of the Balanced Scorecard?
topic 3 Types of Performance Measures
topic Balanced Scorecard for Start Up Companies?
topic Make Balanced Scorecard a Regulatory Requirement
topic Tool to Analyze the Control Proces in a Maintenance Division: BSC or EFQM?
topic Implementation of Balanced Scorecard in Outsourcing Industry
topic Balanced Scorecard for Software Development
Special Interest Group
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Balanced Scorecard



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