SQCDME is the mnemonic acronym deriving from the set of objectives and indicators belonging can be listed as the six benefits.
These goals are obtainable provided organization has the process in place to achieve them. SQCDME helps to remember the major clusters of indicators:
S: Safety
The most important, always on top of the list and always be in priority. Improved Safety can be explained as a Zero Accidents.
Q: Quality
Quality can be defined in terms of grade, consistency and conformance to the specifications for a product. Main objective to achieve improved quality is to have satisfied customers with zero complaints.
C: Cost
In today’s competitive environment it is important to reduce cost invested in producing a product to lead to maximum profits. Costs can be managed by reducing waste, improving efficiency, also taking into account the cost of labor, material, quality and equipment etc.
D: Delivery
On time delivery means deliver at right time, in right quantity and in right place. Improvements made to how often products are delivered on-time helps to avoid the need for storing finished products, or parts for the next batch, when they aren't in use.
M: Morale
An organization should incorporate different methods to increase the morale of the employees and workers. High morale leads to positive impact on many other areas of the organization which in return result in consistently better performance and output.
E: Environment
An organization practicing such tools lead to environment that is highly conducive not only to waste minimization and pollution prevention but also workplace. It also fosters a systemic, employee-involved, continual improvement which results in good workplace environment as well as our social responsibility towards mother nature.
Benefits of SQCDME:
The SQCDME approach offers an organization benefits like better safety, improved quality, lower costs, more reliable delivery, improved morale and a better environment.
These direct benefits also result in secondary or indirect advantages to the organization. Any effort an organization makes towards SQCDME objectives has long-reaching benefits to the business, employees, customers, and even the community.
SQCDME objectives and performance indicators can be defined for organization and users. For best results must be periodically reviewed with top management. This can be achieved by training everyone, including employees and adding cross functional teams.
