Lean Six Sigma as a Dynamic Capability in Banking Firms

This chapter challenges the traditional view of Quality Management and advocates a dynamic capabilities approach as a counter-intuitive approach to management. This chapter establishes Lean Six Sigma (LSS) as a Dynamic capability (DC) using longitudinal case evidence. Using an iterative triangulation method to reflect its strategic value towards creating competitive advantage in quality, this chapter evaluates LSS to be recognized as a DC. Using a purposive sample of three global banks, the primary data was collected using multiple rounds of interviews with select top- and mid-management personnel, site visits, participation in LSS project meetings and execution, study of management archives and reported data on public domains. For triangulation, this primary data was synthesized with the results noted from the research literature on both LSS and DCs, which were studied independently by previous researchers. A cross-comparison of the case studies was performed to derive useful findings. The novel Continuous Improvement (CI) approach reinforces the strategic orientations of LSS beyond its operational applications as a CI practice.