Page 32 - Six Sigma Demystified

Chapter 1 d e p loy m e n t s t r at e g y 13

hats,” usually because each function can’t be cost- justified as a full- time posi-
tion. Furthermore, many of these functions include tasks that are critical to the
daily operations, not just the longer- term survival of the firm. Managers may
question how they can afford to “lose” key people to the black belt role.
The key to resource allocation is the realization that the Six Sigma program
will very quickly pay for itself. When the huge amount of waste in a 3s organi-
zation (25 percent of revenue) is considered, it’s clear that there are tremen-
dous opportunities for these organizations. Many of these opportunities exist
simply because of resource constraints: People know the problem exists, have a
good understanding of potential solutions, yet lack the time to investigate and
deploy the best solution. Only by diverting or adding resources to the system
can waste be reduced and profitability improved. The deployment plan should
balance expenditures for training and project deployment with the achievable
savings predicted in the coming one to three years.
A mature Six Sigma program usually has about 1 percent of its workforce
committed as black belts. Once trained properly, these individuals work only
on black belt projects. In this regard, they are strictly overhead and contribute
nothing directly to the everyday operations.
Full- time black belts will lead four to seven project teams per year. Each
team consists of green belts, line personnel, and subject- matter experts involved
in the process targeted for improvement. These team members maintain their
operational roles in the organization and participate only when serving on a
project team. Team facilitators are also sometimes needed to help manage
group dynamics and build consensus.
In some organizations, green belts are also designated as project leaders,
responsible for completing one to five projects per year. Since this can present

conflicts with their daily operational duties, a preferred strategy is for full- time
black belts to lead projects. In Chapter 2 we will also discuss the limitations of
the green belt’s expertise as an issue with project leadership.
Master black belts provide coaching and other expertise to black belts. They
typically have expertise in advanced statistical analysis methods and change
management. One master black belt for every 10 black belts is the recom-
mended staffing. In addition, it is useful to appoint a master black belt to assist
the executive staff with Six Sigma deployment, technical training development,
and technical support for business- level Six Sigma projects.
Smaller companies may have floating black belts who provide expertise to a
number of Six Sigma teams throughout the organization. Companies with less
than a few hundred employees may use key support personnel in part- time