Six Sigma Marketing

R. Eric Reidenbach

Description

Six Sigma Marketing challenges the way both the Six Sigma community and the marketing area think about business and the way they currently do business. It does so by providing a detailed and structured approach—one that is entirely data driven—to unleash the power of Six Sigma on the crucial need for revenue growth.
Six Sigma Marketing (SSM) is a fact-based, data-driven disciplined approach to growing market share by providing targeted product/markets with superior value. It is organized around the following elements:
Customer value is the driving strategic metric. It replaces the emphasis on customer satisfaction embraced by both Six Sigma and marketing, and provides a much stronger link to market-share gains and revenue increases.
SSM has a unique set of powerful tools designed around the idea of customer value to concentrate the organization’s efforts on both acquisition of new customers and retention of current customers.
It uses a modified DMAIC (define, measure, analyze, improve, control) model that is not only very familiar to the Six Sigma community but also friendly to and easily understood by marketers.
It strives to make marketing a more effective and efficient factor within the organization.
Its goal is defect reduction. A defect is defined as failure to provide satisfactory customer events. Customers interact with an organization in many ways: sales, billing inquiries, service, repairs, parts, and so forth. Each event, or interaction, has the ability to increase or decrease their loyalty and hence the organization’s market share.
SSM expands the traditional view of marketing to include emphases not only on pricing, product, promotion, and distribution, but also on processes.
SSM takes elements from both Six Sigma and marketing and forges them into a powerful and focused discipline designed to increase the enterprise’s market share and top-line revenues. It is a structured approach that addresses the need for more effective and efficient marketing activities in order to achieve value proposition goals at lower costs. It represents what many have called the next generation in Six Sigma—one not focused solely on reducing costs or defects, but actually on increasing revenues and market share.
COMMENTS FROM OTHER CUSTOMERS Average Customer Rating (5 of 5 based on 1 review) “Dr. Reidenbach has hit a transformational home run with this new book. My former company deployed Six Sigma Marketing to great success. Dr. Reidenbach was urged by some of our Black Belts to come up with a way to turn our investment in Six Sigma towards the objectives of growing revenues and increasing share. This he did and the process is well documented in his new book. Our market share took off and value became part of our culture. I find the discussion of the difference and use of customer satisfaction versus customer value to be of great utility. Companies that have already invested in Six Sigma will find Six Sigma Marketing as a great blueprint for extending their focus from cutting costs to growing market share. The format is highly user-friendly and one that is very familiar to Six Sigma practitioners. If you read only one business book this year, make it Six Sigma Marketing by Dr. Reidenbach.” A reader in Perth, Australia

Sujets

• Business
• Qualité, hygiène, sécurité, environnement
• Marketing
• Economics
• Marketing et communication

Informations

• Publié par: ASQ Quality Press
• Date de parution: 06 février 2009
• Nombre de lectures: 1
• EAN13: 9780873891790
• Langue: English

Extrait

Six Sigma Marketing
From Cutting Costs to
Growing Market Share
H1367 Reidenbach.indd i 3/31/09 3:40:31 PMH1367 Reidenbach.indd ii 3/31/09 3:40:31 PMAlso available from ASQ Quality Press:
Competing for Customers and Winning with Value: Breakthrough
Strategies for Market Dominance
R. Eric Reidenbach and Reginald W. Goeke
Strategic Six Sigma for Champions: Keys to Sustainable Competitive
Advantageginald W. Goeke
Value-Driven Channel Strategy: Extending the Lean Approach
R. Eric Reidenbach and Reginald W. Goeke
Managing the Customer Experience: A Measurement-Based Approach
Morris Wilburn
Proving Continuous Improvement with Prof t Ability
Russ Jones
The Executive Guide to Understanding and Implementing Lean Six Sigma:
The Financial Impact
Robert M. Meisel, Steven J. Babb, Steven F. Marsh, and James P. Schlichting
Transactional Six Sigma for Green Belts: Maximizing Service and
Manufacturing Processes
Samuel E. Windsor
Lean Kaizen: A Simplif ed Approach to Process Improvements
George Alukal and Anthony Manos
Root Cause Analysis: Simplif ed Tools and Techniques, Second Edition
Bjørn Andersen and Tom Fagerhaug
The Certif ed Manager of Quality/Organizational Excellence Handbook:
Third Edition
Russell T. Westcott, editor
Enabling Excellence: The Seven Elements Essential to Achieving
Competitive Advantage
Timothy A. Pine
To request a complimentary catalog of ASQ Quality Press publications,
call 800-248-1946, or visit our Web site at www.asq.org/quality-press.
H1367 Reidenbach.indd iii 3/31/09 3:40:31 PMH1367 Reidenbach.indd iv 3/31/09 3:40:31 PMSix Sigma Marketing
From Cutting Costs to
Growing Market Share
R. Eric Reidenbach
ASQ Quality Press
Milwaukee, Wisconsin
H1367 Reidenbach.indd v 3/31/09 3:40:31 PM American Society for Quality, Quality Press, Milwaukee 53203
© 2009 by
All rights reserved. Published 2009
Printed in the United States of America
15 14 13 12 11 10 09 5 4 3 2 1
Library of Congress Cataloging-in-Publication Data
Reidenbach, R. Eric.
Six sigma marketing: from cutting costs to growing market share / Eric
Reidenbach.
p. cm.
Includes bibliographical references and index.
ISBN 978-0-87389-768-6 (alk. paper)
1. Marketing—Management. 2. Marketing—Quality control. 3. Six sigma.
(Quality control standard) I. Title.
HF5415.13.R368 2009
658.8'02—dc22
2009007648
No part of this book may be reproduced in any form or by any means, electronic,
mechanical, photocopying, recording, or otherwise, without the prior written
permission of the publisher.
Publisher: William A. Tony
Acquisitions Editor: Matt Meinholz
Project Editor: Paul O’Mara
Production Administrator: Randall Benson
ASQ Mission: The American Society for Quality advances individual,
organizational, and community excellence worldwide through learning, quality
improvement, and knowledge exchange.
Attention Bookstores, Wholesalers, Schools, and Corporations: ASQ Quality
Press books, videotapes, audiotapes, and software are available at quantity
discounts with bulk purchases for business, educational, or instructional use. For
information, please contact ASQ Quality Press at 800-248-1946, or write to ASQ
Quality Press, P.O. Box 3005, Milwaukee, WI 53201-3005.
To place orders or to request a free copy of the ASQ Quality Press Publications
Catalog, including ASQ membership information, call 800-248-1946. Visit our
Web site at www.asq.org or http://www.asq.org/quality-press.
Printed on acid-free paper
H1367 Reidenbach.indd vi 3/31/09 3:40:31 PMContents
List of Figures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xi
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xiii
Chapter 1 What Is SSM? . . . . . . . . . . . . . . . . . . . . . 1
A Too-Common Situation . . . . . . . . . . . . 1
The Challenge . . . . . . . . . . . . . . . . . . . . . 3
SSM Defined . . . . . . . . . . . . . . . . . . . . . . 4
Chapter 2 Value Drives SSM . . . . . . . . . . . . . . . . . . 17
Satisfaction Does Not Equal Value . . . . . 18
A Distinction of Importance . . . . . . . . . . 18
Value Versus Satisfaction . . . . . . . . . . . . . 20
Happy Customers Are Not Always
Profitable or Loyal Customers . . . . . . 23
One Final Word . . . . . . . . . . . . . . . . . . . . 28
Chapter 3 Integrating Six Sigma and
Marketing with the Competitive
Planning Process . . . . . . . . . . . . . . . . . . 31
Planning Hierarchies . . . . . . . . . . . . . . . . 31
The Competitive Planning Process . . . . . 34
vii
H1367 Reidenbach.indd vii 3/31/09 3:40:33 PMviii Contents
Chapter 4 Define: Identifying Marketing
Opportunities for Business Growth . . . 51
Product/Markets (P/Ms) . . . . . . . . . . . . . . 53
Product Lines . . . . . . . . . . . . . . . . . . . . . . 53
Market Segments . . . . . . . . . . . . . . . . . . . 54
Prioritizing Market Opportunities . . . . . . 59
Chapter 5 Measure: Defining Value for
Targeted Product/Markets . . . . . . . . . . 67
Capturing the VOM . . . . . . . . . . . . . . . . . 69
Create the Competitive Value Model . . . . 78
The Competitive Value Model . . . . . . . . . 82
Chapter 6 Analyze: Identifying Value Gaps . . . . . 91
The Competitive Value Matrix . . . . . . . . . 92
Understanding Value Gaps . . . . . . . . . . . . 94
The Customer Loyalty Matrix . . . . . . . . . 98
The Competitor Vulnerability Matrix . . . 104
Chapter 7 Improve: Closing/Growing
Value Gaps . . . . . . . . . . . . . . . . . . . . . . . 107
Value Streams and Processes . . . . . . . . . . 108
The Linkage Challenge . . . . . . . . . . . . . . 109
Linking the VOM to Specific Value
Streams and Processes . . . . . . . . . . . . 111
SSM Mapping . . . . . . . . . . . . . . . . . . . . . 119
Chapter 8 Control: Monitoring the
Competitive Value Proposition
and Customer Defects . . . . . . . . . . . . . . 123
Monitoring Your Competitive Value
Proposition . . . . . . . . . . . . . . . . . . . . . 125
H1367 Reidenbach.indd viii 3/31/09 3:40:33 PM Contents ix
Monitoring Customer Events . . . . . . . . . . 128
Requirements of an Effective
Monitoring System. . . . . . . . . . . . . . . 129
Chapter 9 Deploying SSM . . . . . . . . . . . . . . . . . . . . 135
Business Philosophy . . . . . . . . . . . . . . . . 136
Top Management Support . . . . . . . . . . . . 138
Resources . . . . . . . . . . . . . . . . . . . . . . . . . 139
Training . . . . . . . . . . . . . . . . . . . . . . . . . . 140
Incentives 140
Success . . . . . . . . . . . . . . . . . . . . . . . . . . . 141
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143
H1367 Reidenbach.indd ix 3/31/09 3:40:33 PMH1367 Reidenbach.indd x 3/31/09 3:40:33 PMList of Figures
Figure 2.1 Eroding market share of automakers. . . . . . . . . . . . . 19
Figure 2.2 Customer definition of value and quality. . . . . . . . . . 21
Figure 2.3 Market share and customer satisfaction. . . . . . . . . . . 24
Figure 3.1 The integration of Six Sigma and marketing. . . . . . . 32
Figure 3.2 Planning hierarchy. . . . . . . . . . . . . . . . . . . . . . . . . . . 33
Figure 3.3 The competitive planning process. . . . . . . . . . . . . . . 35
Figure 3.4 Prioritizing value opportunities. . . . . . . . . . . . . . . . . 36
Figure 3.5 Marketing mix objectives. . . . . . . . . . . . . . . . . . . . . . 43
Figure 3.6 Actions for Objective 2.1 (95 percent of all shop
and field service work completed on time as
promised). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47
Figure 4.1 The define stage. . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
Figure 4.2 The Market Opportunity Matrix. . . . . . . . . . . . . . . . 57
Figure 4.3 A generalized P/M Matrix. . . . . . . . . . . . . . . . . . . . . 60
Figure 4.4 P/M Matrix for a commercial bank. . . . . . . . . . . . . . 61
Figure 4.5 P/M Matrix for a heavy-equipment dealer. . . . . . . . . 63
Figure 5.1 The measure/analyze stages. . . . . . . . . . . . . . . . . . . . 68
Figure 5.2 A comparison of four survey techniques. . . . . . . . . . 73
Figure 5.3 Levels of measurement. . . . . . . . . . . . . . . . . . . . . . . 74
Figure 5.4 Sample size calculator. . . . . . . . . . . . . . . . . . . . . . . . 77
Figure 5.5 Attribute components. . . . . . . . . . . . . . . . . . . . . . . . . 80
Figure 5.6 Competitive Value Model: Wireless telecom. . . . . . . 82
Figure 5.7 Value model for providing electricity to large
industrial clients. . . . . . . . . . . . . . . . . . . . . . . . . . . . 86
Figure 5.8 Value model for compact tractors. . . . . . . . . . . . . . . 87
Figure 6.1 The measure/analyze stages. . . . . . . . . . . . . . . . . . . . 92
Figure 6.2 Competitive Value Matrix for wireless telecom
competitors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93
Figure 6.3 Competitive Value Model: Wireless telecom. . . . . . . 95
xi
H1367 Reidenbach.indd xi 3/31/09 3:40:33 PMxii List of Figures
Figure 6.4 CTQ gap analysis. . . . . . . . . . . . . . . . . . . . . . . . . . . . 96
Figure 6.5 The Customer Loyalty Matrix. . . . . . . . . . . . . . . . . . 98
Figure 6.6 Profile of value groups. . . . . . . . . . . . . . . . . . . . . . . 100
Figure 6.7 Usage and economic value of value groups. . . . . . . 101
Figure 6.8 Profile of value groups based on CTQ scores. . . . . . 102
Figure 6.9 Customer focus attributes by value group. . . . . . . . . 103
Figure 6.10 Competitor Vulnerability Matrix for AT&T. . . . . . . . 105
Figure 7.1 The improve/control stages. . . . . . . . . . . . . . . . . . . . 108
Figure 7.2 The linkage process. . . . . . . . . . . . . . . . . . . . . . . . . . 110
Figure 7.3 Value model: Wireless telecom. . . . . . . . . . . . . . . . . 113
Figure 7.4 Competitive Value Matrix: Wireless telecom. . . . . . 113
Figure 7.5 Value gaps at the CTQ level. . . . . . . . . . . . . . . . . . . . 114
Figure 7.6 Value gaps at the attribute level. . . . . . . . . . . . . . . . . 116