Manufacturer leverages Green Belt training to save $30,000 per project with 10:1 ROI
An international manufacturer revamped their continuous improvement program, and wanted to increase the problem solving skill set of their leadership teams. The corporate improvement team requested Lean Six Sigma Green Belt training to be conducted virtually, but spread out over 2 months (4 hours per session, 16 total sessions, 2 sessions per week).
On average, each project has estimated or validated on average about $50,000 per project, with a median savings of $30,000 per project (more typical outcome).
The investment cost into the training was between $2000-3000 per person, typically about 10 people per class. Each student’s time commitment is 64 hours of training, coaching sessions with us (about 5-10 hours per person), plus the time to work on the project with their team (approximately 4 hours per week for about 5 months after training is completed, or about 80 hours per person). That equates to a total of 160 hours of their time (or 4 full weeks).
The return on investment has been less than one month (at least 10:1 return), which makes this an easy decision on whether to enroll in this program. In addition, the skills they learned in the program will be leveraged on all future projects and activities for that employee (leading to even more benefits). We also see more engagement and excitement from the student that the company invested in growing their knowledge and skills.
Here are the most recent numbers for each wave of training:
Class | # Trained | # Projects Completed* | Annual Benefits* | Avg per Project |
Class #1 – Dec 2023 – Jan 2024 | 10 | 7 | $500,000 | $70,000 (median = $50,000) |
Class #2 – Feb – Mar 2024 | 11 | 6 | $200,000 | $33,000 (median = $26,000) |
Class #3 – May – Jun 2024 | 9 | 4 | $144,000 | $36,000 (median = $17,500) |
Group 4 – Sept – Oct 2024 | 13 | TBD | TBD | TBD |
Total | 43 | 17 | $844,000 | $50,000 (median = $30,000) |
Due to differences in time zones for International employees, we were also very flexible to work out a time each day that works best for these teams, which included evenings and early morning sessions.