SCOPE OF SIX SIGMA PRINCIPLES IMPLEMENTATION IN FACILITIES MANAGEMENT COMPANIES

Six Sigma is a methodology that supports Operational Excellence. While it has been known as a business improvement concept for decades in the corporate world, it is still in its initial stages of being utilized within facilities management. Its benefits within this sector include:

1. Improves the safety of the work environment.
2. Controls and enhances the quality of work.
3. Improves overall investment and benefits.
4. Validates results and enhance cost optimization.
5. Identifies & reduce major wastes.
6. Mitigates potential delays.
7. Identifies defects and eliminates reworks

Facilities Management Companies in India can apply Six Sigma principles in various areas to improve efficiency, reduce defects, and enhance overall quality. Here are some specific areas where Six Sigma can be applied within Facilities Management Companies:

?Service Delivery Processes: Six Sigma can be used to analyse and optimize service delivery processes within facilities management companies. This includes activities such as maintenance planning and execution, housekeeping, security management, waste management, and energy management.

For Example - Six Sigma principles can be applied in housekeeping operations to improve service quality and productivity. The identified key performance indicators (KPIs) such as Time motion study, average cleaning time per square meter, customer complaints, and employee productivity. By applying Six Sigma tools and methodologies, companies can optimize cleaning schedules / time, implement standardized processes, and trained staff on efficient cleaning techniques with updated methodologies.

As a result, one can achieve up to 30% reduction in customer complaints and around 15% increase in employee productivity.

Vendor Management: Facilities management companies often work with multiple vendors and contractors for various services. Six Sigma can help in streamlining the vendor selection process, assessing vendor performance, and improving overall vendor management to ensure consistent service quality and cost efficiency.

For Example: Implementing Six Sigma principles to enhance the vendor management processes. By establishing clear performance metrics, conducting regular performance reviews, and fostering stronger relationships with vendors, FM companies can achieve improved vendor performance, reduced costs, and increased customer satisfaction.

Service Quality and SLA Compliance:

Applying Six Sigma principles to service quality and SLA (Service Level Agreement) compliance can help facilities management companies to ensure consistent and satisfactory service delivery.

For Example - Companies could utilize Six Sigma tools to measure service quality metrics, identify areas of improvement, and implement process enhancements to meet or exceed SLA requirements consistently, resulting in higher customer satisfaction and retention rates.

Customer Satisfaction: Six Sigma methodologies like VOC can be applied to measure and improve customer satisfaction levels within the facilities management companies. This involves identifying key customer requirements, measuring performance against those requirements, and implementing improvements to enhance the overall customer experience.

Service Request Management: Implementation of Six Sigma methodologies to improve their service request management process. By streamlining the process, reducing response times, and eliminating errors, companies can achieve a significant reduction in service request resolution time and improved customer satisfaction.

?Inventory and Supply Chain Management: Facilities management companies need to manage inventories of various supplies, equipment, and spare parts. By applying Six Sigma principles, they can optimize inventory levels, reduce stock-outs, minimize inventory carrying costs, and streamline the supply chain to improve efficiency and reduce waste.

For example, FM companies could apply Six Sigma methodologies to analyse their inventory data, identify optimal reorder points, and reduce stockouts, resulting in improved inventory turnover and cost savings.

?Energy Management: Energy consumption is a significant aspect of facilities management. Six Sigma can be used to analyse energy usage patterns, identify opportunities for energy conservation, and implement energy-efficient practices to reduce costs and environmental impact.

For Example – Utilize the Six Sigma principles to optimize energy management in the respective units / facilities. By analysing energy consumption patterns, identifying areas of wastage, and implementing energy-saving measures / technologies, companies can achieve substantial cost savings and reduced their environmental impact.

Workplace Safety: Six Sigma can be utilized to enhance workplace safety at unit level. It can help identify potential hazards, analyse safety incidents, implement preventive measures, and establish robust safety protocols to ensure a safe working environment for employees and visitors.

Quality Assurance:

For Example: Implementing Six Sigma methodologies to improve quality assurance in the facilities management operations. By implementing robust quality control processes, conducting regular audits, and ensuring compliance with standards, companies can achieve higher service quality, reduce errors, and improve customer satisfaction.

Cost Optimization: Facilities management companies often manage tight budgets while delivering high-quality services. Six Sigma can be applied to identify cost-saving opportunities, eliminate waste, and optimize resource allocation to achieve cost efficiency without compromising service quality.

For Example - Implement Six Sigma in the maintenance operations to optimize asset performance and minimize downtime. Utilize the data-driven methodologies to analyze maintenance schedules, equipment breakdowns, and repair cycles. By applying Six Sigma principles, company can identify the areas for improvement, such as predictive maintenance techniques, proactive equipment inspections, and optimizing spare parts inventory. This can result in a 25% reduction in equipment breakdowns and a 10% decrease in maintenance costs.

These are just a few examples of areas where Six Sigma principles can be applied within Facilities Management Companies in India. The specific applications may vary depending on the company's size, scope, data and objectives.