Evaluating Six Sigma methodology to improve logistical measures of food distribution SMEs

Purpose – The purpose of this paper is to investigate the implementation of the Six Sigma methodology as a systematic business strategy and quality initiative to improve the critical logistical measures within small-to-medium-sized food distributors. Design/methodology/approach – The first stage was the conducting of structured questionnaires to verify the applicability in terms of capability, resources and culture in the targeted industry. The second stage was the implementation of two industrial case studies to investigate the impacts of Six Sigma on logistical measures. Findings – It was found that Six Sigma is applicable and beneficial in small-to-medium-sized food distributors. It was also found that required training, personal characteristics of managers, size of the organisation, education level and workplace of the employees are the most effective elements to adopt Six Sigma for these organisations. Research limitations/implications – Cultural factors including high level of secrecy in information...

[1]  R. Andersson,et al.  Similarities and differences between TQM, six sigma and lean , 2006 .

[2]  James R. Evans,et al.  Successful implementation of Six Sigma: benchmarking General Electric Company , 2000 .

[3]  Tan Kay Chuan,et al.  An exploratory qualitative and quantitative analysis of Six Sigma in service organizations in Singapore , 2009 .

[4]  Kim Buch,et al.  Employee expectancies for six sigma success , 2006 .

[5]  Farhad Nabhani,et al.  Reducing the delivery lead time in a food distribution SME through the implementation of six sigma methodology , 2009 .

[6]  Richard Cuthbertson,et al.  Supply chain best practices – identification and categorisation of measures and benefits , 2008 .

[7]  B. Gaudenzi,et al.  Managing risks in the supply chain using the AHP method , 2006 .

[8]  J. Antony,et al.  Six sigma in small‐ and medium‐sized UK manufacturing enterprises: Some empirical observations , 2005 .

[9]  Maneesh Kumar,et al.  Six sigma in service organisations: Benefits, challenges and difficulties, common myths, empirical observations and success factors , 2007 .

[10]  J. Antony.  What is the role of academic institutions for the future development of Six Sigma , 2007 .

[11]  Evangelos Psomas,et al.  The impact of “soft” and “hard” TQM elements on quality management results , 2009 .

[12]  Douglas C. Montgomery,et al.  Common myths of six sigma demystified , 2008 .

[13]  Andrew Lee‐Mortimer.  Six Sigma: a vital improvement approach when applied to the right problems, in the right environment , 2006 .

[14]  Bongsug Chae,et al.  Supply chain management six sigma: a management innovation methodology at the Samsung Group , 2007 .

[15]  Felix T.S. Chan,et al.  Feasibility of performance measurement system for supply chain: a process‐based approach and measures , 2003 .

[16]  Marcus Assarlind,et al.  Multi‐faceted views on a Lean Six Sigma application , 2012 .

[17]  R. McAdam,et al.  A multilevel case study critique of six sigma: statistical control or strategic change? , 2004 .

[18]  Andrew Thomas,et al.  Developing an SME based six sigma strategy , 2006 .

[19]  Amrik S. Sohal,et al.  A conceptual model for the successful deployment of Lean Six Sigma , 2012 .

[20]  Jeroen de Mast,et al.  Six Sigma and competitive advantage , 2006 .

[21]  Tilo Pfeifer,et al.  Integrating six sigma with quality management systems , 2004 .

[22]  Dinesh Khanduja,et al.  A case study : Application of Six Sigma methodology in a small and medium‐sized manufacturing enterprise , 2012 .

[23]  Ravi S. Behara,et al.  Customer satisfaction measurement and analysis using six sigma , 1995 .

[24]  Joao S. Neves,et al.  The challenges of six sigma in improving service quality , 2009 .

[25]  Mahesh S. Raisinghani,et al.  Six Sigma: concepts, tools, and applications , 2005, Ind. Manag. Data Syst..

[26]  Peter Hines,et al.  Quality‐based pricing: a catalyst for collaboration and sustainable change in the agrifood industry? , 2006 .

[27]  S. Dani,et al.  Fragile food supply chains: reacting to risks , 2010 .

[28]  Helena Forslund,et al.  Order‐to‐delivery process performance in delivery scheduling environments , 2008 .

[29]  Thanh Nguyen,et al.  Food safety and quality systems in Canada , 2004 .

[30]  P. Jonsson,et al.  Dyadic integration of the performance management process: A delivery service case study , 2007 .

[31]  Tirthankar Dasgupta,et al.  Using the six-sigma metric to measure and improve the performance of a supply chain , 2003 .

[32]  Jesús J. Cambra‐Fierro,et al.  Creating satisfaction in the demand‐supply chain: the buyers' perspective , 2008 .

[33]  S. Rahman.  Quality management in logistics: an examination of industry practices , 2006 .

[34]  Rodney McAdam,et al.  An absorptive capacity interpretation of Six Sigma , 2010 .

[35]  J. Antony,et al.  Does size matter for Six Sigma implementation?: Findings from the survey in UK SMEs , 2009 .

[36]  Young Hoon Kwak,et al.  Benefits, obstacles, and future of six sigma approach , 2006 .

[37]  Jiju Antony,et al.  Can Six Sigma be effectively implemented in SMEs , 2008 .

[38]  Andreas Otto,et al.  General process-oriented management principles to manage supply chains: theoretical identification and discussion , 2004, Bus. Process. Manag. J..

[39]  Manoj Kumar Tiwari,et al.  Six Sigma implementation framework for SMEs – a roadmap to manage and sustain the change , 2011 .

[40]  Aziz Ahmed,et al.  Critical issues in packaged food business , 2005 .

[41]  P. Miguel,et al.  Benchmarking Six Sigma application in Brazil: Best practices in the use of the methodology , 2009 .

[42]  J. A. T. Pina,et al.  Management and measurement of quality in ISO 9000 organisations: An empirical study in Spain , 2008 .

[43]  S.M.A. Suliman,et al.  Integrating Six‐Sigma with other reliability improvement methods in equipment reliability and maintenance applications , 2008 .

[44]  K. Tan,et al.  The current state of six sigma application in services , 2007 .

[45]  Rick L. Edgeman,et al.  Six sigma seen as a methodology for total quality management , 2001 .

[46]  Chee-Chuong Sum,et al.  Strategic logistics management in Singapore , 2001 .

[47]  Graeme Knowles,et al.  A conceptual model for the application of Six Sigma methodologies to supply chain improvement , 2005 .

[48]  Jiju Antony,et al.  Assessing the status of six sigma implementation in the Indian industry: Results from an exploratory empirical study , 2009 .

[49]  Dennis W. Krumwiede,et al.  The relationship of logistics to supply chain management: developing a common industry definition , 2001, Ind. Manag. Data Syst..

[50]  E. Barber,et al.  How to measure the “value” in value chains , 2008 .

[51]  Tony Bendell,et al.  A review and comparison of six sigma and the lean organisations , 2006 .

[52]  David Parker,et al.  Critical success factors for Lean Six Sigma programmes: a view from middle management , 2012 .

[53]  Florian Johannsen,et al.  A Six Sigma approach for integrated solutions , 2009 .

[54]  H. Günter,et al.  Measuring Supply Chain Performance: Current Research and Future Directions , 2006 .

[55]  Lesley Walls,et al.  Developing statistical thinking for performance in the food industry , 2007 .

[56]  Manoj Kumar Tiwari,et al.  An application of Six Sigma methodology to reduce the engine-overheating problem in an automotive company , 2005 .

[57]  Joe B. Hanna,et al.  Research approaches in logistics : trends and alternative future directions , 2007 .

[58]  Terry L. Esper,et al.  SUPPLY CHAIN MANAGEMENT AND ITS RELATIONSHIP TO LOGISTICS, MARKETING, PRODUCTION, AND OPERATIONS MANAGEMENT , 2008 .

[59]  Arto Haikonen,et al.  Dynamics of organizational learning and continuous improvement in six sigma implementation , 2007 .

[60]  James Tannock,et al.  A variation management system supporting six sigma , 2007 .

[61]  Catarina Delgado,et al.  The implementation of lean Six Sigma in financial services organizations , 2010 .

[62]  Stephen Blumenfeld,et al.  Six Sigma, quality management systems and the development of organisational learning capability: Evidence from four business process outsourcing organisations in India , 2012 .

[63]  Augustine A. Lado,et al.  Customer focus, supply‐chain relational capabilities and performance : Evidence from US manufacturing industries , 2011 .

[64]  Pekka Järvinen,et al.  Exploring Six Sigma and CI capability development: preliminary case study findings on management role , 2004 .

[65]  S. G. Deshmukh,et al.  Supply chain performance measurement framework for small and medium scale enterprises , 2009 .

[66]  Shaw K. Chen,et al.  The impact of ISO 9000 on TQM and business performance , 2007 .

[67]  A. Sohal,et al.  Factors critical to the success of a Six-Sigma quality program in an Australian hospital , 2008 .

[68]  Manoj Kumar Tiwari,et al.  Implementing the Lean Sigma framework in an Indian SME: a case study , 2006 .

[69]  Frank T. Anbari,et al.  Success Factors in Managing Six Sigma Projects , 2004 .

[70]  Peter Hines,et al.  Achieving consumer focus in supply chains , 2007 .

[71]  J. Antony,et al.  Six Sigma and leadership: some observations and agenda for future research , 2012 .

[72]  A. Gunasekaran,et al.  The successful management of a small logistics company , 2003 .

[73]  Maneesh Kumar,et al.  Comparing the quality management practices in UK SMEs , 2008, Ind. Manag. Data Syst..

[74]  Ismail Sila,et al.  Quality in supply chains: an empirical analysis , 2006 .

[75]  Godecke Wessel,et al.  Six sigma for small and medium-sized enterprises , 2004 .

[76]  Dag Näslund,et al.  Lean, six sigma and lean sigma: fads or real process improvement methods? , 2008, Bus. Process. Manag. J..

[77]  Richard Wilding,et al.  Customer perceptions on logistics outsourcing in the European consumer goods industry , 2004 .

[78]  Edward D. Arnheiter,et al.  The integration of lean management and Six Sigma , 2005 .

[79]  Jiju Antony,et al.  Six sigma for service processes , 2006, Bus. Process. Manag. J..

[80]  Maruf,et al.  Six Sigma in Service Organizations , 2012 .

[81]  Wendy L. Tate,et al.  Green, lean, and global supply chains , 2010 .

[82]  J. Trienekens,et al.  Quality and safety standards in the food industry, developments and challenges , 2008 .

[83]  Jeroen de Mast,et al.  A rational reconstruction of Six Sigma's Breakthrough Cookbook , 2006 .

[84]  Andrew Thomas,et al.  Applying lean six sigma in a small engineering company – a model for change , 2008 .

[85]  Ronald H. Ballou,et al.  The evolution and future of logistics and supply chain management , 2007 .

[86]  R. Mayer.  Production and operations management - 4/E , 2002 .