What is Six Sigma?
Six Sigma at many organisations simply means a measure of quality
that strives for near perfection. Six Sigma is a disciplined,
data-driven approach and methodology to eliminate defects (driving
towards six standard deviations between the mean and the nearest
specification limit) in any process - from manufacturing to
transactional and from product to service.
The statistical representation of Six Sigma describes quantitatively
how a process is performing. To achieve Six Sigma, a process must not
produce more than 3.4 defects per million opportunities. A Six Sigma
defect is defined as anything outside customer specifications. A Six
Sigma opportunity is then the total quantity of chances for a defect.
Process Sigma can easily be calculated using a Six Sigma calculator.
The fundamental objective of the Six Sigma methodology is the
implementation of a measurement-based strategy that focuses on process
improvement and variation reduction through the application of Six Sigma
improvement projects.
This is accomplished through the use of two Six Sigma
sub-methodologies: DMAIC and DMADV. The Six Sigma DMAIC process (define,
measure, analyse, improve, control) is an improvement system for
existing processes falling below specification and looking for
incremental improvement.
The Six Sigma DMADV process (define, measure, analyse, design,
verify) is an improvement system used to develop new processes or
products at Six Sigma quality levels. It can also be employed if a
current process requires more than just incremental improvement. Both
Six Sigma processes are executed by Six Sigma Green Belts and Six Sigma
Black Belts, and are overseen by Six Sigma Master Black Belts.
According to the Six Sigma Academy, Black Belts save companies
approximately $230,000 per project and can complete four to six projects
per year. General Electric (GE), one of the most successful companies
implementing Six Sigma, has estimated benefits on the order of $10
billion during the first five years of implementation.
GE first began Six Sigma in 1995 after Motorola and Allied Signal
blazed the Six Sigma trail. Since then, thousands of companies around
the world have discovered the far reaching benefits of Six Sigma.
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