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IBM devises Green Sigma consulting service

August 31, 2008

IBM has devised the ‘Green Sigma’ consulting service to minimise usage of water and energy in businesses, with the application of data-analysis software and use of networked sensors. IBM was prompted to develop this device by the corporate initiative to “go green”.

The practice is derived from the ‘Lean Six Sigma’ management strategy, which was deployed for focussing on customer needs and enhancement of operational efficiency of the organisations. Green Sigma would perform accounting of energy and water consumption in a company at its own plant and those of its suppliers. The method is being piloted at 2 of IBM’s and its customers’ facilities.

IBM could succeed in reducing its consumption significantly by tracking usage and initiating corrective actions. It has already saved £167m ($310m) through similar schemes. It could also save 8 million gallons of gasoline by introducing work-at-home programme. IBM is going to make big business by helping businesses to go green.

The souring energy costs and water charges are compelling companies to take stringent corrective measures. But the global leader of IBM’s operation strategy practice, Dave Lubowe, claims that companies are aiming to fulfill corporate social-responsibility (CRS) by taking these initiatives. He adds that consumers are actively watching where companies put their money. Donating it to charities is no longer enough.

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