Six Sigma Financial Tracking and Reporting: Measuring Project Performance and P&L Impact (Six SIGMA Operational Methods)

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9780071458917: Six Sigma Financial Tracking and Reporting: Measuring Project Performance and P&L Impact (Six SIGMA Operational Methods)

As Six Sigma and Lean Enterprise techniques continue to evolve and become more and more engrained in the business, it is harder and harder to track the impact of savings on a project by project basis. Especially when you have more than one project concentrating on different functional areas, through the use of case studies, worked out examples, and bench marking techniques, Michael Bremer, a Senior Instructor at Motorola University, helps you to put the right infrastructure in place for project identification, project scoping, and financial reporting.

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From the Back Cover:

Move Six Sigma Savings to Your Bottom Line

Most business process improvement activities do not yield the P&L dollar savings impact that executives expect to see. If this is a challenge in your organization, you need Six Sigma Financial Tracking and Reporting. This operating manual shows Master Black Belts, Black Belts, Project Champions, Sponsors, and Six Sigma and Lean Manufacturing/Enterprise practitioners how to increase the yield of savings dollars that hit the bottom line. This is a major challenge for any improvement initiative.

Loaded with advanced yet practical approaches, leadership pearls, and analytical solutions you can use to get more out of your improvement activities, this book:

  • Clarifies why some savings do not have a P&L impact
  • Explains the interplay between Six Sigma savings and business activities
  • Makes it easier for operations managers, accountants, and engineers to speak the same language

Success stories and actions taken at Motorola, Agilent, Allied Signal, General Electric, a private healthcare foundation, and other organizations will hold your interest and provide a steady stream of innovative ideas that will demystify accounting procedures, clarify the role of leadership, and gain more alignment inside the organization.

Achieve a clear line of sight from project savings to financial accounts:
Model for getting savings into the P&L * Designing bridge P&L model structure--Define in DMAIC * Tracking and communicating bridge metrics--Measure in DMAIC * Identifying the things that are "off track"--Analyze in DMAIC * Planning corrections to keep "on track:--Improve in DMAIC * Adjusting the support systems to sustain the P&L bridge--Control in DMAIC * Getting the savings in struggling or transitioning industries

As Six Sigma and Lean Enterprise techniques continue to evolve and become more engrained in business, it is harder to track the impact of savings on a project basis. Through the use of case studies, worked-out examples, and benchmarking techniques, this team of experts from Motorola University helps you to put the right infrastructure in place for project identification, project scoping, and financial reporting. You will be able to:

  • Achieve a clear line of sight from project savings to financial accounts
  • Prove the net worth of your improvement projects to your CFO
  • Find ways to justify cost avoidance on your bottom line
  • Examples of how to financially track Six Sigma projects
  • Establish metrics that represent reality
  • Simplify metrics you use to measure project impact

With this powerful resource you will learn how to get reported roject savings into the P&L, simplify financial reporting, and shepherd projects to successful completion. With this book, your Six Sigma or Lean Manufacturing team can accomplish more projects each year, achieve a superior ROI, and quickly surpass your competitors following traditional improvement approaches.

About the Author:

Michael Bremer is President of The Cumberland Group—Chicago, as well as adjunct senior consultant for Motorola University. He is a nationally recognized speaker on process improvement, leadership, and management team effectiveness. He is a board member of the Association for Manufacturing Excellence—Midwest Region.

Brian McKibben is a Co–Chief Executive Officer of Flow-Works, Inc., and a Vice President of The Cumberland Group—-Chicago. He is a board member of the Association for Manufacturing Excellence—Midwest Region, and is past president of the Chicago chapter of the Institute of Industrial Engineers.

Thomas McCarty is Executive Vice President and Six Sigma Practice Leader at Jones Lang LaSalle Americas, Inc., responsible for improving the business performance of suppliers, partners, and customers through consulting on performance, process, and continuous improvement.

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