Six Sigma and SME Term Paper

Pages: 3 (741 words)  ·  Bibliography Sources: ≈ 5  ·  File: .docx  ·  Level: College Senior  ·  Topic: Business - Management


Six Sigma and SMEs

SMEs Defined

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

SMEs are also defined by greater flexibility with respect to production capabilities (Bigras & Gelinas, 2004; Filion, 1991). SMEs are typically characterized by less comprehensive and sticky bureaucracies and more versatility in production. Many adapt well to environmental changes (Bigras & Gelinas, 2004). SMEs are also much smaller than 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 many cases (Bigras & Gelinas, 2004). More often than not SMEs rely on hierarchical structures for support which can make the decision making process move much more swiftly.

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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 rely less on standard processes than do larger organizations, making six-sigma implementation more challenging and often a more time consuming effort.

Term Paper on Six Sigma & SME Assignment

Aragon-Sanchez & Sanchez-Marin (2005) also define SMEs by their flexibility, organizational processes and hierarchical management style. They suggest that SMEs are often defined by their proactive and innovative strategies that enable cooperation agreements with other firms (p. 287). The authors suggest that a strategic overhaul in SMEs is more cost prohibitive and may impact an organizations culture more so than in a large enterprise 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 that an organization take steps to delivery what the customer wants, needs, seeks and feel sand ensure that predictable processes are available to improve… [END OF PREVIEW] . . . READ MORE

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How to Cite "Six Sigma and SME" Term Paper in a Bibliography:

APA Style

Six Sigma and SME.  (2005, October 29).  Retrieved June 4, 2020, from

MLA Format

"Six Sigma and SME."  29 October 2005.  Web.  4 June 2020. <>.

Chicago Style

"Six Sigma and SME."  October 29, 2005.  Accessed June 4, 2020.