Scenario
A global bank decided to adopt Six Sigma as a way to distance itself from its competitors. Its leaders determined that, by improving cycle time and reducing defects, customers across all businesses would receive better service. This would also result in more cross-sell opportunities, a greater share of the market and increased profits. This would ultimately distance the bank from its closes rivals.
Approach Adopted
The rollout of Six Sigma was carefully planned. Consideration was given to what had worked and what had not in the past, not just in the bank but also in other companies.
One of the critical success factors identified was the importance of reinforcing three desired behaviors:
Supporting colleagues
Suggesting improvements
Participating in cross-functional process redesign teams
Because these behaviors were not typical in the bank, it formed a task force to identify the best way to implement them. The outcome was the design of a three-tiered recognition program addressing each of the three behaviors. The program was later adopted by the bank in more than 40 countries.
The first tier took the form of a recognition card that staff members could award to their colleagues when they had gone out of their way to be of assistance. On the back of the card, an employee would write what the colleague had done to be supportive. The card would be sent to that person as a thank you and a copy would go to the head of the quality area. At the end of every quarter, the CEO would draw one of the copied cards out of a barrel and the winner would receive additional recognition in the form of points. The more points someone received, the bigger the reward.
The second tier was a forwarded suggestion scheme. Staff members submitted their suggestions for improvements online. They received an instant thank you and a reply within 24 hours whether their idea would be adopted. For every idea adopted, the originator received points.
The third tier was a thank you to the people who were part of a Six Sigma redesign project. It would encourage the desired behaviors while rewarding staff members who demonstrated them. Redesign projects lasted six months on average and team members had to contribute in addition to their normal workload. When a project reached completion, each member of the team could receive up to 1000 points. At any time, a staff member could then go online and cash in their rewards in four categories—travel, personal/professional development, entertainment and relaxation and charity donations. As an example, 500 points could be cashed in for a weekend trip for two or a new DVD player.
The program was kept simple. The fact that staff members could choose their own rewards and that it took only a half-day a month to manage made it very popular. The reinforcement of key behaviors assisted in overcoming many of the challenges in rolling out Six Sigma.
