Six Sigma Implementation in DELL and WIPRO

TOTAL QUALITY MANAGEMENT
REPORT ON TQM IMPLEMENTATION

At WIPRO and DELL
Submitted to
Dr. G. Muruganantham
M.B.A., NET, Ph.D.
Assistant Professor
Marketing and General Management
Submitted by
Indhuja.G
215116074
MBA-IInd Year
TQM at Wipro
OVERVIEW
Wipro is the world’s first CMMI level 5 certified software company. Earlier it was a vegetable oil
company and converted itself into global IT services giant after liberalisation. Now as they changed
its field of operations. They faced a lot of problems. Managers felt that there was a need of aligning
business operations with costumer needs and continuous improvement. Therefore, Wipro began
moving towards focus on Quality, thereby creating a learning environment that lead to
implementation of six sigma.
PROBLEM FACED AT WIPRO
1. Reduce the data transfer time.

2. Reduce the risk
3. Avoid interpretation due to LAN/WAN downtime.
4. Parallel availability of the switch for the other administrative tasks during the same period.
AT WIPRO, SIX SIGMA MEANT:
1. To have products and services meet global benchmark.

2. Ensure robust processes within the organisation.
3. Consistently meet & exceed costumer expectation.
4. Make quality a culture within.
CHALLENGES FACED:
1. Permission for high level managers was required.

2. Restructuring of organisation to provide infrastructure, training and confidence in process was
required.
3. Wipro had to select the project on the basis of high probability of their success and targeted to
complete them in short period to assess the success.
4. In order to select the project, the field data was collected and the process map was developed.
5. First step of implementation was to build a team of professionals and train them for various
stages of six sigma.
CHALLENGES THAT THEY FACED:
1. To find right kind of people and train them was a difficult job. This motivated Wipro to start
their own consultancy to train people.
2. It was difficult to identify resources that were required for short term and long term basis.
3. Experts were appointed to see the timelines, find out the gap, weak areas and to check the
outcome as per the plan.
BENEFITS TO WIPRO DUE TO SIX SIGMA IMPLEMENTATION:
1. The biggest projects were completed

2. Environment of low maintenance costs was created.
3. It improve performance through a precise quantitative understanding of the costumer’s
requirements thereby bringing in costumer focus.
4. There was a waste elimination and increased productivity upto 35%.
5. Installation failures down from 4.5% to 1% in hardware business.
TQM IN DELL
OVERVIEW
Implementation of Six Sigma in Dell is one of the prime and successful examples of a Company
using Six Sigma as an enabler to achieve successful results. Michael Dell built a successful model
using the Lean Six Sigma which has emulated Dell Inc. to a large extent. Around the year 2000, using
the six sigma methodologies and keeping it as a basis for improvement, one of the key initiatives led
by Michael Dell was known as Business Process Improvement (BPI). Even 5 years later, this program
is still growing stronger year by year and becoming a model which the companies want to adopt and
are trying to follow. Business Process Improvement is a set of tools and skills that have been
employed by Dell to improve, understand and investigate business processes. It is a process in which
any employee can get involved easily. If a group of employees face a similar problem then instead of
complaining, they collectively take the initiative for Business Process Improvement and it becomes a
project in the global database.
BENEFITS TO THE BUSINESS
It has led to huge cost savings (more than 1.55 Billion USD during FY04) and improvement in quality
to a significant extent.
BENEFITS TO THE EMPLOYEES
BPI has led to the empowerment of knowledge among the employees as they know the necessary
actions to be taken instead of complaining. It helps in enhancing the career opportunities.
BENEFITS TO THE CUSTOMERS
Better experience for the customers due to cost, quality and cycle time improvements. It has led to
improvement in customer satisfaction due to better performance in the organisation.
STRATEGIC DRIVERS FOR BPI
1. Executive Leadership/Development
2. Measurement Systems
3. Strategic Business Linkage
4. P&L Mapped Financial Results
5. Organizational Development
6. Recognition
7. Communication
8. Winning BPI Culture
NOTABLE CHANGES FOR CONSUMERS AND SUPPLIERS

Following BPI for quite a number of years, Dell has made significant changes in its way of dealing
with customers, thus enhancing customer satisfaction as well as suppliers. Essence of the latest
strategy is Lean. Instead of producing big batches of systems like competitors, Dell has decided to
follow lean strategy i.e. producing small batches which can be customized as per user’s preference.
Dell’s suppliers also build to order. Dell orders part and places them in production as soon as supplier
delivers them. With Dell, one doesn’t have to wait for the latest technology to incorporate them from
a batch manufacturer. It can be delivered almost immediately.
CONCLUSION
Dell has emerged as one of the strongest leader in everything they do right from supply chain to
customer service to marketing. It is harnessing the power of their employees efficiently and
effectively to achieve such big milestones. It has become possible with the BPI strategy followed
based on six sigma methodologies. It’s no wonder that Dell is #1 in Fortune’s America’s Most
Admired Companies list since they have earned it.

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What problems did Wipro face that led them to implement TQM?

What were the benefits of implementing Six Sigma at Wipro?

TOTAL QUALITY MANAGEMENT

REPORT ON TQM IMPLEMENTATION

PROBLEM FACED AT WIPRO

1. Reduce the data transfer time.

AT WIPRO, SIX SIGMA MEANT:

1. To have products and services meet global benchmark.

1. Permission for high level managers was required.

CHALLENGES THAT THEY FACED:

BENEFITS TO WIPRO DUE TO SIX SIGMA IMPLEMENTATION:

1. The biggest projects were completed

NOTABLE CHANGES FOR CONSUMERS AND SUPPLIERS

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