Managing Context in Six Sigma Process Improvement Projects

In  a recently published paper, my co-authors and I use field studies, extant literature, and domain knowledge to develop a theory of managing context in Six Sigma process-improvement projects. By means of a participatory action research investigation involving ten projects in manufacturing and service firms, the paper examines the interrelationship among project context, elements, and success. Rich text-based information for each project was analyzed for the underlying patterns and relationships using the NVIVO 8 qualitative data analysis software package. The insights gained from this in-depth field investigation are presented in the form of 12 inductively derived research propositions that, when taken together, uniquely contribute to context-based theory-building in this area.

The results of the study emphasize that the overall configuration-based emergent theory (as presentedin in the figure below) needs to be considered for a holistic understanding of the impact of various themes on project success within different project contexts. Specifically, our study finds evidence about the existence of three underlying themes (identified for the first time in literature in this study) of expanded scope of analyses, clarity of metrics, and cross-functional integration, which together serve as a linchpin in determining the success of process-improvementprojects. Project elements of leadership engagement, strategic project selection, and psychological safety positively affect these three themes, albeit in different ways in different project environments. Although the link between project management elements and business outcome has been examined in extant literature, our field investigation revealed that the managerial and contextual factors are tightly intertwined in determining project success. The figure shows that, depending on the quadrant of specific level of complexity and uncertainty within which the project exists, project elements influence key project themes differently and, thereby, play a different role in project success. In addition, unlike in prior studies, we identify conditions under which some project elements, such as the use of structured methods and improvement specialists, can actually have a negative impact. Therefore, we provide a much more nuanced and finer-grained interpretation about the role that project elements andassociated project themes play in leading to project success underdifferent contextual conditions.



In essence, there is a reciprocal correspondence among the three themes and project context with respect to at least two project elements – the use of improvement specialists and the structured method. This view is in concert with the configurational perspective, which asserts that the effectiveness of an organization is contingent on the congruence between structural and environmental variables. This perspective calls for a holistic stance, whereby emergent order is generated from the interaction of various parts. Although the fit between structural and environmental attributes has been widely studied at the organizational level, its investigation in a project context is less common.The project context may be defined by the organization or division in which the project is undertaken, as well as by the varying levelsof complexity and uncertainty that distinguish one project from another.

Finally, it could be argued that organizational context, such as the maturity of a firm in implementing Six Sigma process improvement initiatives, can affect project success.We did not find that to be the case, and actually encountered instances that contradicted this caveat. For example, our findings indicate that a firm with a high level of Six Sigma maturity was unsuccessful in executing some of its projects, while a firm with a low level of Six Sigma maturity was successful in executing its project. These findings suggest that project level factors were perhaps more important determinants of project success in our action research investigation. Nevertheless, a closer examination of organizational Six Sigma maturity and its impact on project success would be an important topic for future research.

Source: Nair, A., Malhotra, M. K., Ahire, S. 2011. Toward a theory of managing context in Six Sigma process-improvementprojects: An action research investigation. Journal of Operations Management, 29(5): 529-548.