Toshiba Launches Six Sigma Performance Improvement Program

20-Apr-00

As part of a Toshiba Corporation company-wide initiative to enhance productivity and customer satisfaction, Toshiba America Consumer Products, Inc. (TACP) launched an all-encompassing performance improvement program based on Six Sigma methodology. Taking its name from a statistical term based on the number of defects per million, Six Sigma is a performance improvement methodology that has become part of the corporate culture of many of the world's largest and most successful companies. Six Sigma applies to every phase of operations and marketing - from product planning to customer satisfaction. Rick Calacci, Toshiba's Vice President, National Field Sales, commented on the company's Six Sigma initiative, noting, ""As our market share in home entertainment continues to increase, it's imperative for us to carefully evaluate and fine-tune every aspect of how we do business. Consumers today are more educated than ever about home entertainment products, and they require not only the best possible products, but also the highest level of service in all phases of our business. Our Six Sigma initiative will push us to ensure the Toshiba brand continues to live up to its reputation for quality. The closer we get to our goal of becoming the number one consumer electronics manufacturer, the harder and more efficiently we have to work to attain that position."" Toshiba's Six Sigma activities began when Toshiba Corporation President and Chief Executive Officer Taizo Nishimuro announced the company-wide ""Management Innovation 2001"" initiative. TACP began its involvement in the program last summer, when all upper management personnel were trained in Six Sigma methodology, including managers at TACP's manufacturing division in Lebanon, Tennessee and marketing and sales executives at TACP's New Jersey headquarters. The company is currently in the process of training all its management personnel in Six Sigma methodology, with a directive for all employees to apply Six Sigma to their everyday job functions.About Six Sigma Methodology The term Six Sigma technically refers to a defect rate of just 3.4 parts per million. The Six Sigma philosophy goes far beyond the delivery of virtually defect-free products, further mandating that managers and employees at all corporate levels scrutinize processes, analyze and rectify errors, and put measures in place to ensure errors do not re-occur. Six Sigma methodology extends to literally all aspects of doing business, including the optimization of cycle time, faster responsiveness to customer inquiries, cost-management, maintenance, inventory management and other crucial business activities. Other Toshiba companies in North America participating in the Six Sigma training program include Toshiba Medical Systems, Toshiba America Information Systems, Toshiba America Electronic Components, Toshiba International Corporation, Toshiba Display Devices and Toshiba America Inc., headquartered in New York. Toshiba America Consumer Products, Inc. is an independent operating company, owned by Toshiba America, Inc., a subsidiary of Toshiba Corporation, a world leader in high technology products with subsidiaries worldwide.