Opportunities for Green Six Sigma
There are two powerful trends that are shaping the way organizations do business today. They are the demand to increase production efficiency and the imperative to reduce negative impact on the environment. Savvy process improvement personnel have discovered that these two requirements are not mutually exclusive or even unrelated. In fact, when a Six Sigma quality improvement project includes environmental improvement objectives, the project is more likely to be funded and become a permanent part of operations.
Environmental improvement projects are not passed over because management opposes them or doesn’t care about the environment. Most of these projects fall by the wayside because by themselves they are not viewed as significant enough to capture management’s attention and gain a share of the organization’s limited capital and resources.
Combining Six Sigma methodology with environmental improvement projects sweetens the deal. Combined projects are more appealing to management because they can claim to pay both environmental and quality improvement dividends.
Four factors have helped bring Six Sigma and environmental improvement together:
Environmental tools and expertise – These help organizations minimize waste, prevent pollution, and move towards more environmentally friendly processes and products.
Environmental management systems – This technology encourages organizations to institutionalize environmental management activities and make continual improvement.
Businesses seeking sustainability – Incorporating both corporate social responsibility and Six Sigma improvement into the DNA of a new process helps it to have a long life.
Histories of Results – There are a growing stack of case histories proving that proactive environmental management enhances an organization’s bottom line.
Who Benefits from Green Six Sigma
The benefits of creating projects that are both environmentally sensitive and Six Sigma compliant are not just classroom theory. These benefits have been proven in documented case studies by corporations with a commitment to environmental preservation and a focus on the bottom line.
General Electric – GE conducted over 200 energy audits to identify waste in its worldwide facilities. This effort reduced greenhouse gas emissions by 250,000 metric tons and saved $70 million in energy costs.
Baxter Healthcare – A Baxter Healthcare facility analyzed its water use and developed an action plan to save 170,000 gallons of water per day and $17,000 within 3 months. This project required little capital investment and eliminated the need to expand its wastewater treatment plant.
Canyon Creek Cabinet Company – The company launched a project including value stream mapping and Kaizen events. The project reduced volatile organic compound emissions by 55,100 lbs per year, decreased hazardous wastes by 84,400 lbs per year and saved almost $1.2 million per year.
Merging Six Sigma and environmental improvement efforts enhances process performance and gives businesses three compelling reasons to continue to use this dynamic combination.
Fast and Dramatic Results – Six Sigma can produce quick results. When environmental issues are integrated into Lean activities, companies have seen quick and compelling environmental results.
Continual Improvement of Culture – Lean and Six Sigma tools can make environmental professionals’ jobs easier.
Avoiding of Pitfalls – Integrating Six Sigma and environment improvement can help prevent adverse environmental impacts and regulatory penalties.
Projects that combine Six Sigma and environmental improvement are more likely to acquire the funding and support they need in the beginning and be sustained over the long term after completion.
