India is transforming into a digital economy. It is slowly emerging as the hub for “Digital Skills”. Employing over 3.9m people, IT industry is also the largest employer within private sector. IT and BPM industry’s revenues stood at $ 154 bn in 2016-17 compared to $ 143 bn in 2015-16. According to Invest India, a non-profit venture under the Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Government of India: The total revenue of $ 154 bn in 2016-17 comprised of $ 116 bn in exports and close to $ 38 bn in domestic share. The domestic market is catered by hardware segment and IT services, which contributed approx. $ 15 bn and $ 26 bn in 2017-18, respectively. Exports of $ 117 bn is further segmented as: IT services accounting for 56.4% of total IT exports, BPM accounting for 22.2% share and software products and engineering services occupying 21.3% share.
Despite its origin in the manufacturing sector, Six Sigma isn’t just about it; the focus is processes, tools and techniques. Elimination of wastes is its fundamental driver. A Lean Six Sigma project lets nature of the defect which is listed and defined by the customer, dictate which tools and methodologies are most appropriate. Lean Six Sigma is a continuous improvement methodology. More and more companies are hiring professionals who have knowledge about Lean Six Sigma applicability in order to improve the results. IT industries are continuously under pressure to improve its services because of the ongoing competition. When applied to IT operations, both internal processes and line of business processes are measured and improved by using Lean Six Sigma tools. "IT is a big user of processes: testing and hardware implementation and software development," says Doug Debrecht, vice president and CIO at Raytheon Aircraft, where the entire IT workforce has had some form of Six Sigma training. "Six Sigma has given us a good toolset that we can use consistently and repeatedly to analyze how we have things set up and running."
The Lean Six Sigma methodology is divided into five phases DMAIC: Define-to ensure good experience for customer, Measure- to ensure that the analysis and solutions are performance based, Analyze- to ensure that not just the symptom but the true root cause is identified, Improve- to ensure variation gets eliminated and lastly, Control- to ensure the solutions are fully implemented. "IT always gets caught up in insatiable demands and lost ROI. Six Sigma solves both those problems," says Charles P. Costa, executive vice president and CIO at Chase Financial Services, which assigns a Six Sigma team to most IT projects worth more than $1 million. "Six Sigma gives us a very precise way to demonstrate the real value of technology, and it helps us improve the way we deliver that value."
Textron used the DMAIC process and the Voice of the Customer tool, among others, to tackle datacenter sprawl. "We found we had over 80 data centers inside our company," says Ken Bohlen, Textron’s executive vice president and chief innovation officer. "We used Voice of the Customer to canvass our customer base and ask some very specific questions," such as what critical information was stored where. By making customer needs the top priority, Textron has been able to shut down 40 of the data centers, which were supporting legacy or underused applications. Bohlen says his long-term goal is to get down to five data centers.
For reaping success from Six Sigma in IT industry it is important to pick the right people as taping motivated employees for training produces high performance teams. These workers work together as internal SWAT teams to tackle a given situation and find solutions for the problems. Also, for IT industries particularly, it is strongly urged to avoid substituting Six Sigma for thinking and to first use the tools and techniques which are perfectly known. Applying Six Sigma tools in a software project can show
improvement and transformation in the way a process related to that activity is behaving. Lean Six Sigma implementation in the IT industry reduces overall operating costs and improves efficiency and effectiveness of the business and IT processes, workforce productivity and quality of performance of products and services. Lean Six Sigma’s promising management concept can bring evident advancements in any industry which uses it.
For KPMG Lean Six Sigma Training registrations mail to in-fmsixsigma@kpmg.com or call at +91 9555688555 or +91 9022033666.
GREAT ARTICLE
ReplyDeleteI think this will boost IT businesses
ReplyDelete