Essay - Smes Six Sigma and Smes Smes Defined Smes (Small to...

SMEs

Six Sigma and SMEs

***** Defined

***** (small to medium enterprises) are defined by a number of telltale characteristics, none the least ***** which include the entrepreneur as "a key figure in business oper*****tions" (Bigras & Gelinas, 2004: p. 253). Within SME's organizational structure ***** processes are often simpler. In many cases an owner-m*****ager is responsible for carrying out corporate vision and translating objectives into action oriented processes (Filion, 1991: 45). SMEs ***** typically defined by a high need for ********** and success, independence an autonomy (Bigras & *****, 2004). Many focus on the effectiveness rather than the efficiency of processes.

SMEs are also defined by greater flexibility with respect to producti***** capabilities (***** & Gelinas, 2004; Filion, 1991). SMEs ***** typically characterized by less comprehensive and sticky bureaucracies and more versatility in production. ***** adapt well ***** environmental changes (Bigras & Gelinas, 2004). SMEs are also much smaller ***** large enterprises and hence typically entail independent units of management, which may be dependent on the experience of top management or the manager owner in ***** cases (***** & *****, 2004). M*****e often than not SMEs rely on hierarchical structures for support which can make the decision making process move much ***** swiftly.

Strategic planning in the SME is often dictated by the environment and organizations perceptions of changes in that environment in the short and long term (Bigras ***** Gelinas, 2004). SMEs often ***** ***** on standard ***** than do larger organizations, making six-sigma implementation more challenging and often a more time consuming ef*****t.

Aragon-Sanchez & Sanchez-Marin (2005) ***** define SMEs by their flexibility, organizational *****es and ***** management style. They suggest ***** SMEs are often ***** ***** their proactive and innovative strategies that enable cooperation agreements with other firms (p. 287). The authors suggest ***** a strategic overhaul in SMEs is more cost prohibitive and may impact an ***** culture more so than in a large enterpr*****e environment.

Limitations of SME's To Implement Six Sigma

Six sigma is a quality driven process that requires organizational processes produce nearly flawless execution of processes. It suggests ***** an organization take steps to delivery what the customer wants, *****s, seeks and feel sand ensure that predictable processes are available to improve cus*****mer experiences. Predictable ***** processes ***** often difficult to establish in ***** SME environment.

***** one six ***** *****tegration ***** requires logistics integration which historically has ********** one of the more prevalent challenges *****s face in managing ***** (***** & Gelinas, 2004: p. 263). SMEs must *****ten change o*****erational and ***** styles to conform ***** ***** sigma strategies and replace traditional ways of doing business with more integrated systems to help synchronize transactions (Bigras & Gelinas, 2004: p. 263). This is particularly challenging for small industries where replacement ***** management methods or integrated practices is ***** feasible in most situations.

Why Cost Likely to Big Deterrent for ***** When Financial and HR Resources Limited

Cost is often a large deterrent ***** SMEs desiring six-***** implementation. Large enterprises ***** have