Lean Talent Demand Widens Lead Over Six Sigma

By Tim Noble

The ongoing recession and slumping sales have prompted many companies to reevaluate their priorities with regard to their continuous improvement initiatives. As a result, lean is showing signs of accelerating its edge over Six Sigma as the more desired skill set, according to a new study by The Avery Point Group, a global executive recruiting firm specializing in lean and Six Sigma talent.

Executive recruiting firms have a unique vantage point from which to observe trends in their focus practices areas. Trends in industry are often telegraphed into candidate requirements in job postings. In other words, employment needs can serve as a window into the latest corporate initiatives.

In its fifth annual study of Internet job postings in the area of corporate continuous improvement, The Avery Point Group reviewed online national job boards, conducting keyword searches for skills, qualifications, and credentials typically associated with lean and with Six Sigma. More than 3,000 job postings from late February 2009 provided a snapshot view of the overall demand for both areas of specialization. The results indicate that demand for lean talent continues to gain ground over Six Sigma as the more desired skill set, reinforcing the 2008 study that signaled an ongoing shift in focus toward lean.

Specifically, the 2009 study shows:

Lean talent demand exceeded Six Sigma by almost 11 percent, further widening its lead over 2008 results that showed only a slight edge for lean over Six Sigma.
For those companies seeking lean talent, only 44 percent are requiring candidates to possess Six Sigma knowledge as well. On the other hand, for those companies seeking Six Sigma talent, fully 49 percent of the roles also require candidates to possess lean knowledge.
In the broader job market, demand for lean and Six Sigma talent is down versus 2008 and 2007 peak levels. However, on a relative basis for the hiring that is taking place, companies are starting to shift more and more of their focus toward lean. This is perhaps an indication that they see lean as a better and more practical hedge against today’s tough economic challenges.

Part of the shift toward lean during this recession may be due to companies taking unprecedented and drastic actions, shedding large amounts of labor to bring their cost structure and inventories in line with plummeting sales. As the dust settles, and as companies regain their footing, some may find that their remaining operations aren’t as flexible or as effective at servicing their markets’ new realities. For some companies this situation can be a transformational opportunity to leverage lean, while for others it could spell further disaster.

Some forward-thinking companies are already seizing on lean as a competitive and strategic opportunity to transform their businesses. These companies see lean as a key to reducing waste, improving cash flow, and improving operational flexibility, thus enabling them to adjust more quickly to the new realities of today’s economic climate. As the nation exits the recession, these companies may be well positioned to leverage huge productivity gains as volume returns, outpacing their competitors by achieving higher inventory turns, greater operational flexibility, and lower operating costs.

Could the recession and the growing shift in talent demand toward lean signal the beginning of the end for Six Sigma and Six Sigma professionals? Not likely. The overall foundation of any continuous improvement initiative should be viewed as a collection of tool sets that includes both lean and Six Sigma, each applied when and where appropriate.

Overall, integrating both methodologies certainly offers benefits. In negotiating the steep challenges of today’s recession, however, more organizations may be better served by lean’s more immediate and practical focus on waste, flow, and flexibility, and more job seekers may find success by emphasizing and further developing the lean credentials they can offer.

About the Author

Tim Noble is the managing principal of The Avery Point Group, a global executive search firm specializing in lean, Six Sigma, and operations talent for clients in Europe and North America. Mr. Noble has more than 20 years of executive leadership experience in manufacturing, supply chain management, distribution, and executive search. Throughout his career he has held senior-level executive roles in Fortune 500 companies like General Electric (GE) and The Stanley Works (SWK). He also has extensive experience in lean manufacturing and is a GE-trained Six Sigma Master Black Belt.

For more information on The Avery Pont Group’s Annual Lean and Six Sigma Talent Demand Study, visit www.LeanSigmaTalent.com.