UC Berkeley Wasting Money- and not on its students!

The ASUC Auxiliary believes in business strategies (cough) of something called Core Values, Toyota (Lean), and Motorola (Six Sigma) so much that they have to devote part of their site to it.

The Motorola one’s eye-catching: Some may remember the episode of 30 Rock titled “Retreat to Move Forward,” which featured many “Six Sigmas.” Well, “black belts”? “Green belts”? Stifling creativity? It is clear the the Associated Students of the University of California Auxiliary (ASUC Auxiliary) has implemented this training and invested in it. According to the Business and Administrative Strategies site:

BAS has sent several employees to training to learn the application of Six Sigma. Most recently, BAS sent three future Six Sigma® Green Belt leaders to Motorola University, the recognized leader in this training. These trained employees have been applying Six Sigma methodologies in their day-to-day work. BAS looks to fuse Six Sigma and Lean concepts to achieve consistent improvements throughout the organization.

Sounds like an expensive waste of student funding to me. So what, 6-10 employees have been sent away on this expensive training? I would guess that it is these employees:

ASUC Auxiliary
Tom Spivey, tspivey@berkeley.edu
Marilyn Stager, mstager@berkeley.edu

Business Services
Melissa Nematollahi-Rad, mrad@berkeley.edu
Eric Anglim, eanglim@berkeley.edu

Library Bindery
Mike Foley, MikeFol@berkeley.edu

Office of Continuity Planning
Paul Dimond, dimond@berkeley.edu

Parking & Transportation
Alesia Woods, alesiaw@berkeley.edu

Recreational Sports
Seamus Wilmot, swanmot@berkeley.edu

AVC-BAS Office
Denise Cronin, cronin@berkeley.edu
Tom Holdford, holdford@berkeley.edu

Let’s look at what GE, the corporation, spent on Six Sigma training and deployment from 1996-1999 (There are other companies who have implemented it, but have refused to disclose their spending). $1.6 billion. Now, GE had a total revenue in those four years of $382 billion.

The University of California reported an operating revenue of $5,360,700,000 from 2008-2009. Over $5 billion. Multiplied by 4 for four years, that’s $21,442,800,000. $21 billion.

For the very very rough purposes here, let’s assume GE and the University of California are comparable. GE is a corporation with a board of directors and stockholders, gleaning money from taxpayers, and the University of California has a board of regents, top executives, and a whole lot of employees and students who pay into the system.

Estimation by simple math: if GE spent .419% of its revenue on training people (.00419*$382 billion), then if the UC spent .419% of its revenue on Six Sigma, that would be $89,812,774. That’s nearly $90 million of University student fees blown on paying our watchdog/nanny organization (The ASUC Auxiliary) to enjoy team-building exercises and vague words about success.

Of course, the University refuses to disclose where its “Operating Expenditures” are going, only that they totaled $5,231,700,000 from 2007-2008.

Yet, CSU East Bay offers a certification program for individuals who want to be Six Sigma certified, and estimates the tuition costs for one program to be from $1,925 – $2,725. UC San Diego, however, lists the cost to be $4995 for one individual to complete the program. Assuming 6 individuals at around $5,000 apiece, (generously not including travel and material costs) that’s still $30,000 that the University is using to streamline its…

watchdog/nanny organization that already pays its top exec, Nadesan Permaul, $129,000 a year.



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