Improve performance
Business leaders frequently express their desire to improve their organizations' performance, while decreasing costs and reducing time spent on performing tasks. However, without a structured method to achieve these results, this desire often remains just an abstract goal – something to get around to once "real" business is taken care of.
Six Sigma Methodology
Organizations can improve their business processes by using the tools provided by the Six Sigma methodology, which can also increase performance and decrease process variation.
The term "Six Sigma quality" is often used to describe well-controlled processes. And, the company Motorola is most commonly associated with the term, after naming one of its key initiatives "Six Sigma Quality.”
Six Sigma Meaning
The Six Sigma methodology can help a company achieve breakthrough improvement through the concept of Six Sigma design. Sigma is a letter in the Greek alphabet and is frequently used as a measure of process variability in statistics. Six Sigma Requirements
Six Sigma requires that processes operate such that the nearest engineering requirement is at least plus or minus six sigma from the process mean, and a Six Sigma-capable process produces work that is nearly error free.
When operating at Six Sigma, a process will produce 3.4 parts per million (PPM) non-conformances. On a normal distribution table, a process can endure a shift of as much as 1.5 sigma in either direction before it is detected. The area beyond 4.5 sigma from the mean is 3.4 parts per million.
A World Standard
Six Sigma has become a world standard; thus, the methodology is important to today's organizations that are using it as part of their broader total quality management efforts to reduce process defects.
First used in the 1980s, the Six Sigma quality improvement and business strategy emphasizes three key points: 3.4 defects per million opportunities, reduction of cycle time and strategy infrastructure.
Six Sigma emphasizes that organizations accept no more than 3.4 defects per million products, including customer services. For instance, a company that manufactures airplane components originally reported defects of more than 10 parts per million, but was able to reduce these defects through Six Sigma implementation.
Another important point is Six Sigma's emphasis on reducing cycle times. Companies using the methodology will set aggressive goals of as much as a 30-50% reduction per year. The airplane components manufacturer not only reduced the time required to make each part, it was also able to reduce the time between parts being made and placed on the market.
The third Six Sigma point of emphasis is its focus on reducing costs, which can dramatically affect an organization's bottom line. Because it was able to produce parts with fewer defects in less time, the manufacturer reduced costs associated with lost time and replacing defective products.
Six Sigma Tools
Six Sigma provides organizations with the tools needed to reach their goals by incorporating two well- defined elements: six sigma strategy and six sigma infrastructure strategy The Six Sigma strategy entails all the people involved with a project working toward breakthrough improvement.
This is achieved by first defining a strategy or goal, then performing measurement, analysis, improvement, and control – the DMAIC model. infrastructure The Six Sigma infrastructure revolves around strong senior-level support and involvement. It's most successful when leadership is highly visible and fully engaged; without this level of commitment, Six Sigma initiatives rarely succeed.
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