For companies considering a Six Sigma initiative, read what Robert Krakauer, executive VP of strategic operations and CFO of MagnaChip had to say about their new initiative in their Q1 results release:

“During the quarter, we initiated a Six Sigma management system that is expected to result in improved product quality, substantial cost savings, and enhance our industry leading profile. This initiative specifically focuses on three areas within MagnaChip: sales & marketing, R&D, and production. Our Six Sigma initiatives will allow us to more effectively deliver industry-leading solutions to our consumer electronics and communications customers worldwide and place us on the same corporate development path as recognized global industry leaders. This program is not only limited to enhancing cost savings and quality but will be actively used to improve overall business management, innovation and execution.”

He first gives three reasons for Six Sigma at MagnaChip:

1) To improve product quality
2) To reap the benefits of substantial cost savings
3) To enhance their industry leading profile

Next he tells us what business areas Six Sigma is focused (which is quite a change from the traditional manufacturing mindset):

1) Sales & marketing
2) Research & Development
3) Production

Finally, he closes with additional benefits the company expects Six Sigma to deliver, namely:

1) Allow them to deliver solutions to their customer more effectively
2) Will put them on the same corporate development path as recognized global industry leaders
3) Improve overall business management, innovation and execution

This one paragraph alone embodies the essence of Six Sigma. Either Robert Krakauer really knows his Six Sigma or he’s got an awesome speech writer. I’d like to see more companies make public announcements like this.