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# Define Six Sigma With Example IT Essay

The quality performance is the foundation stone of all types of sectors. The progress of a business depends upon its performance quality. So looking into of the performance quality of a business is something which is inevitable. SIX SIGMA - The statistical representation, is a process of quality way of measuring, which helps the organization in the improvement of their quality.

Six Sigma is a systematical process of "quality improvement through the disciplined data-analyzing approach, and by improving the organizational process through the elimination of the defects or the hurdles which stops the organizations to attain the perfection".

Six sigma highlights the total quantity of the defects that has run into in an organizational performance. Any type of defects, apart from the customer specification, is considered as the defect, corresponding to Six Sigma. By using the statistical representation of the Six Sigma, it is simple to learn what sort of process is carrying out on quantitatively aspects. A Defect regarding to Six Sigma is nonconformity of the merchandise or the service of a business.

Since the essential aim of the Six Sigma is the use of the improvement on the given process, through a measurement-based strategy, Six Sigma is recognized as a signed up service draw or the trade tag. Six Sigma has its own guidelines and methodologies to be employed. To be able to accomplish that service mark, the procedure should not produce defects more than 3. 4. These numbers of defects are believed as "the speed of the defects in an activity should not go over beyond the pace 3. 4 per million opportunities". Throughout the Six Sigma calculation the number of defects can be calculated. For this there is a sigma calculator, which helps in the calculation.

## Defination of Six Sigma:

Six Sigma means Six Standard Deviations (Sigma is the Greek notice used to symbolize standard deviation in reports) from mean. Six Sigma technique supplies the techniques and tools to increase the capability and decrease the defects in virtually any process.

A process with "Six Sigma" functionality means having 12 standard deviations of process output between the top & lower standards limitations. Essentially, process variance is reduced so that only 3. 4 parts per million fall outside of the specifications limitations. The bigger the sigma number, the better.

The "Six Sigma" term also refers to a philosophy, goal and/or technique utilized to drive out misuse and increase the quality, cost and time performance of any business. Six Sigma implementation is achieved through a series of successful jobs. Process improvements and variation decrease are achieved through software of Six Sigma improvement jobs, which, are executed following either the DMAIC (Define, Measure, Analyze, Improve, Control) or DMADV (Define, Measure, Analyze, Design, Verify) methodologies. Black colored Belts & Green Belts are the key players in execution of Six Sigma improvement projects.

## History of six Sigma:

Six Sigma originated as a set of practices designed to improve manufacturing processes and eliminate defects, but its program was subsequently prolonged to other styles of business functions as well. In Six Sigma, a defect is thought as any process result that does not meet customer specs, or that could lead to creating an outcome that will not meet customer technical specs.

Bill Smith first designed the particulars of the technique at Motorola in 1986. Six Sigma was seriously encouraged by six preceding years of quality improvement methodologies such as quality control, TQM, and Zero Defects, based on the task of pioneers such as Shewhart, Deming, Juran, Ishikawa, Taguchi and more.

Like its predecessors, Six Sigma doctrine asserts that:

Continuous efforts to accomplish stable and predictable process results (i. e. , reduce process variance) are of vital importance to business success.

Manufacturing and business techniques have characteristics that can be measured, analyzed, improved upon and controlled.

Achieving suffered quality improvement requires commitment from the whole organization, especially from top-level management.

Features that place Six Sigma apart from previous quality improvement initiatives include:

A clear give attention to reaching measurable and quantifiable financial profits from any Six Sigma project.

An increased emphasis on strong and keen management authority and support.

A special infrastructure of "Champions, " "Master Black Belts, " "Black Belts, " "Yellow Belts", etc. to lead and execute the Six Sigma approach.

A clear dedication to making decisions on the basis of verifiable data, rather than assumptions and guesswork.

The term "Six Sigma" comes from a field of information known as process potential studies. Originally, it referred to the power of manufacturing operations to produce a very high proportion of outcome within specification. Operations that operate with "6 sigma quality" above the short term are assumed to produce long-term defect levels below 3. 4 defects per million opportunities (DPMO). Six Sigma's implicit goal is to improve all processes to that quality level or better.

Six Sigma is a listed service symbol and brand of Motorola Inc. By 2006[update] Motorola reported over US\$17 billion in savings from Six Sigma.

Other early adopters of Six Sigma who achieved well-publicized success include Honeywell (recently known as AlliedSignal) and Standard Electric, where Jack Welch introduced the method. Because of the late 1990s, about two-thirds of the Fortune 500 organizations experienced started Six Sigma initiatives with the purpose of minimizing costs and increasing quality.

## Six Sigma central concepts

First and simply, Six Sigma is an excellent improvement technique.

Six Sigma in addition has become a generic 'brand' for a couple of concepts that many organizations have used, and continue steadily to use, to improve quality, also to provide quality and performance improvement services and training.

In this respect Six Sigma has captured corporate thoughts. Six Sigma is an greatly popular vehicle for initiating and assisting the process of organizational change. Six Sigma is becoming a business in its own right. Start to see the names of a few of the major US organizations that contain adopted Six Sigma in recent times.

Six Sigma is an extremely flexible concept: for an statistical engineer Six Sigma might be considered a development quality metric; to a customer service staff, or a CEO, Six Sigma can symbolize a commercial culture.

The manifestation Six Sigma was first used in the framework of quality improvement by American Motorola engineers in the mid 1980's.

Initially within Motorola Six Sigma was solely a quality metric that was used to reduce defects in the creation of electronic components.

Six Sigma is therefore a technique which requires and promotes team market leaders and teams to have responsibility for implementing the Six Sigma processes. Significantly these folks have to be been trained in Six Sigma's methods - especially the use of the measurement and improvement tools, and in marketing communications and romantic relationship skills, essential to involve and serve the needs of the internal and exterior customers and suppliers that form the critical processes of the organization's delivery chains.

Training is therefore also an essential factor of the Six Sigma technique, and a lot of it. Consistent with the alluring pseudo-Japanese 'Six Sigma' name (Sigma is in fact Greek, for the notice 's', and a long-standing icon for a device of statistical deviation measurement), Six Sigma terminology uses sexy labels for other elements within the model, for example 'Black Belts' and 'Green Belts', which denote people with different levels of expertise (and to an extent qualifications), and various responsibilities, for putting into action Six Sigma methods.

Six Sigma clubs and notably Six Sigma team market leaders ('Dark Belts') use a vast selection of tools at each level of Six Sigma implementation to define, solution, analyse and control deviation in process quality, also to manage people, groups and marketing communications.

When an organization decides to apply Six Sigma, first the executive team has to determine the strategy - which can typically be termed a noticable difference initiative, which bottom part strategy should concentrate on the essential procedures essential to meet customer anticipations.

This could total twenty or thirty business process. At the very top level they are the main techniques that enable the organization to add value to goods and services and offer those to customers. Implicit in this particular is an knowledge of what the clients - internal and exterior - actually want and need.

## METHODS:

Six Sigma projects follow two job methodologies encouraged by Deming's Plan-Do-Check-Act Routine. These methodologies, comprising five stages each, keep the acronyms DMAIC and DMADV.

DMAIC can be used for projects targeted at improving an existing business process.

DMADV is used for projects aimed at creating new product or process designs.

## DMAIC

The DMAIC job strategy has five stages:

Define the problem, the tone of the client, and the task goals, specifically.

Measure key aspects of the existing process and gather relevant data.

Analyze the data to research and verify cause-and-effect relationships. Determine what the romantic relationships are, and attempt to ensure that factors have been considered. Seek out real cause of the defect under analysis.

Improve or enhance the existing process based after data analysis using techniques such as design of tests, poka yoke or miscalculation proofing, and standard work to create a new, future point out process. Create pilot runs to determine process capabilities.

Control the future condition process to ensure that any deviations from aim for are corrected before they result in defects. Control systems are integrated such as statistical process control, production boards, and visible workplaces and the procedure is continuously supervised.

features five stages:

Define design goals that are constant with customer demands and the enterprise strategy.

Measure and identify CTQs (characteristics that are Critical To Quality), product capabilities, production process capabilities, and risks.

Analyze to develop and design alternatives, make a high-level design and evaluate design capacity to select the best design.

Design details, enhance the design, and arrange for design confirmation. This phase may require simulations.

Verify the look, set up pilot works, implement the development process and palm it over to the procedure owner(s).

In order to achieve the fundamental aims of Six Sigma, there are Six Sigma methodologies to be implemented. That is done through the use of Six Sigma improvement assignments, which is achieved through the two Six Sigma sub-methodologies. Under the improvement projects came the recognition, selection and positioning things according to the importance. The major two sub-divisions of the improvement jobs are the Six Sigma DMAIC and the Six Sigma DMADV. These sub-divisions are considered as the processes and the execution of these procedures are done through three accreditations. The three types of accreditations used for the execution of the Six Sigma DMAIC and Six sigma DMADV are:

"Six Sigma Green Belts and Six Sigma Black colored Belts, which is overseen by Six Sigma Grasp Dark Belts".

## Six Sigma Methodology :

It contains the key points which define Six Sigma as it stands. Understanding these ideas can persuade make life very hard for everyone involved, no matter how serious or trivial the matter may seem initially. If you take the time in your Six Sigma Training to check out functional applications and examples of how Six Sigma has been used or can be used, you'll likely find many more benefits to the process than if you had gone through the process together, with only definitions and suggestions to rely on. Rather than detailing that Six Sigma offers data evaluation and way of measuring that can result in better solutions for various market sectors, you should find out exactly how that idea could or would work in a particular industry.

For example, in the manufacturing industry, Six Sigma Projects can be intended to increase efficiency and decrease the number of flaws that occur. In the end, this is primarily what Six Sigma was made to do. However, if you want to consider it up a notch, consider Six Sigma Training in relation to customer service. You could utilize a Six Sigma Process to figure out a much better customer movement for your business, as well as a more efficient method of handling customer problems, or earnings if you operate a store.

Six Sigma Training can in the end be employed to just about any industry out there, as long as the proper guidelines are create and the right examination is done. Definitely you wouldn't be anxious about product improvement within an industry that does not have any product per se, and so on. When it comes to choosing Six Sigma Projects, you mustn't just jump right in. You will need to determine the condition that you're trying to solve, and then figure out how that problem impacts your business or organization. Once you've done that, you need to determine if the data structured factual research would help to derive a remedy to these problem. If it would, then Six Sigma Projects are befitting the job. If not, you'll have to find another problem fixing strategy to use.

The great thing about the request of Six Sigma is that it is never the same thing twice. Some individuals only use certain tools or elements of the Six Sigma Process in their process improvement projects, while some will use it by the book frequently to get the most from their process improvement. It can offer a organized answer to process improvement, but it continues to be flexible enough to be the thing you need it to be.

## Quality management tools and methods used in Six Sigma

Within the average person phases of an DMAIC or DMADV project, Six Sigma utilizes many established quality-management tools that are also used beyond Six Sigma. The following table shows a synopsis of the main methods used.

5 Whys

Analysis of variance

ANOVA Gauge R&R

Axiomatic design

Catapult exercise on variability

Cause & results diagram (also called fishbone or Ishikawa diagram)

Chi-square test of freedom and fits

Control chart

Correlation

Cost-benefit analysis

CTQ tree

Quantitative marketing research through use of Organization Reviews Management (EFM) systems

Design of experiments

Failure mode and effects examination (FMEA)

General linear model

Histograms

Homoscedasticity

Quality Function Deployment (QFD)

Pareto chart

Pick chart

Process capability

Regression analysis

Root cause analysis

Run charts

SIPOC research (Suppliers, Inputs, Process, Outputs, Customers)

Stratification

Taguchi methods

Taguchi Reduction Function

TRIZ

The Six Sigma ensures the quality control, total quality management and zero defects. Through the execution of the Six Sigma it is made sure that the goals are arranged on the improvement of all processes to attain the level of better quality. "The Six Sigma" shows the organization's potential of highly in a position control in producing the outputs within the limited technical specs. Therefore it can be said that the procedures that manages with the Six Sigma quality, is able to create a quality products at a low rate of defects. Whenever a process attains the qualification of Six Sigma quality, it is clear that the organization has attained the typical deviations form the means of the production till the specific limitations, and so can ensure that there is no room for the items to fail to meet the requirements. Entirely we can consider the Six Sigma as the professionalizing of the quality management functions

## Symbol used for six sigma ()

Six Sigma is an enterprise management strategy actually produced by Motorola, USA in 1981 By 2010[upgrade], it looks forward to widespread application in many areas of industry, although its request is not without controversy.

Six Sigma seeks to improve the quality of process outputs by figuring out and removing the causes of defects (mistakes) and lessening variability in production and business procedures. It uses a set of quality management methods, including statistical methods, and creates a special infrastructure of folks within the business ("Black Belts", "Green Belts", etc. ) who are experts in these procedures. Each Six Sigma job carried out in a organization follows a precise collection of steps and has quantified goals. These goals can be financial (cost reduction or income increase) or whatever is crucial to the customer of that process (pattern time, basic safety, delivery, etc. ).

## Sigma levels

A control graph depicting a process that experienced a 1. 5 sigma drift along the way mean toward top of the specification limit starting at midnight. Control charts are being used to keep up 6 sigma quality by signaling when quality professionals should investigate an activity to find and eliminate special-cause variation

To boost your organization's process-sigma level, you must reduce the amount of variance that occurs. Having less variation gives you the following benefits:

Greater predictability in the process.

Less waste and rework, which reduces costs.

Products and services that perform better and go longer.

Happier customers who value you as a provider.

The simple example below illustrates the concept of Six Sigma. Note that the quantity of data in this example is bound, but it assists to describe the idea sufficiently. Two companies deliver pizza to your house. You intend to determine which can better meet your needs.

You always want your pizza sent at 6 p. m. but are willing to tolerate a delivery anytime between 5:45 p. m. and 6:15 p. m. In such a example, the mark is 6 p. m. and the customer specs are 5:45 p. m. on the low sideand 6:15 p. m. on the high aspect.

## There are several areas in which Lean Six Sigma can be employed to manufacturing businesses. Some examples are:

a) Reduce quality problems (scrap/rework) in processing processes.

b) Reduce processing routine time (time of order to delivery)

c) Improve employee efficiency (efficiency)

d) Reduce finished goods inventory levels

e) Improve customer service performance scores

f) Reduce cost of making & assembly (supplier aspect costs)

g) Reduce maintenance costs (better techniques)

h) Reduce warranty charges for products

i) Improve client satisfaction scores

j) Reduce the price tag on non quality

k) Reduce non-value added activities (processing steps)

l) Improve equipment usage (improve throughput)

m) Reduce work-in-process inventories between processes

n) Improve inspection types of procedures (sampling techniques)

o) Reduce a chance to meet customer requirements

p) Reduce time to develop services (production related)

q) Improve work area organization

r) Improve process balance / control

s) Reduce deviation in making quality

t) Standardize workplace

u) Deploy process move concepts

v) Improve employee engagement scores

w) Improve product performance by controlling critical features

x) Improve planning & forecasting of demand (source chain issues)

y) Decrease the amount of obsolete inventory

z) Improve related transactional techniques: accounting, human resources, purchasing etc.

Some of these projects are more fitted to Six Sigma type jobs, others are Lean type jobs / processes, plus some may require both Trim and Six Sigma toolkits.

## In building industry, Six Sigma consumption can be realized with following details:

Recurring problems are present at each level of construction. When I say recurring, it means recurring for the business (may not be recurring for individual projects)

If you research a construction project, it comprises of large number of individual processes which range from soil screening to landscaping design to structural designs to foundations, superstructure, interiors and exteriors. There are always a whole lot of purchase and logistic techniques as well.

A significant amount of these operations are common to all or any projects. If functions and their linkages were robust lots of the individual problems wouldn't normally appear at the first place. The remaining can be reduced.

The idea in Six Sigma is approximately making the processes robust ( so the email address details are right the first time, every time)

Not all procedures are evenly important. Operations that subject are those that relate closely to pain areas (for customers/ management). These processes need improvement.

In each project, individual project managers, site engineers face a whole lot of issues that they solve. These problems do get resolved in the task (once they have triggered a wait or cost in the precise task). Normally there is absolutely no system to aggregate learning from the experiences of these professionals and make use of it for process improvement. Also companies do not have structured mechanism to utilize tried and tested techniques to eliminate or reduce such issues in future tasks.

To be able to examine and improve management systems one requires a structured improvement procedure provided by Six Sigma

Six Sigma provides tried and tested approaches for a team structured approach which converts each problem area into a person "improvement project"

When functions improve, there is a reduction in problems and defects.

Primary defects in construction industry (and almost all of the project motivated sectors) are DELAY, REWORK and COST OVERRUNS and Six Sigma may be used to reduce these defects.

## Examples of Six Sigma execution in Fund and Banking

Common Six Sigma assignments discovered in Funding and Bank are the following.

Improving comments from customers and response processes

Reducing documentation errors

Improving the reconciliation techniques.

Reducing response delays.

Reducing or removing invoicing errors

Eliminating the opportunity of erroneous data entry

Reducing audit non conformities.

Reducing salary concern turn around time

Control spending over time

Reduce digital financial deal costs.

Reducing complaints.

Enhancing (internal or external) customer satisfaction

## Example Trim Six Sigma Assignments in IT

Lean and Six Sigma can be used in IT in several areas:

a) Improve quality (bug-free) of the IT product/service.

b) Reduce the price of service (minimize non-value added costs)

c) Improve usage of machines and other hardware resources

d) Decrease the time to deliver products & services (job management)

e) Improve office organization (including messages etc)

f) Improve staff productivity

g) Improve client satisfaction scores

h) Ensure products are robust to customer usage

i) Improve sales & marketing activities

j) Reduce setup times for product features

## Six sigma and quality management glossary

Many of the terms are incredibly specifically related to Six Sigma. Others are used in a general 'quality management' framework and also in Six Sigma. As already discussed, Six Sigma tends to embrace a great many other methodologies. Many of these terms are quite technical since they occur in the statistical, executive and mathematical aspects of Six Sigma. The more technical mathematical conditions and acronyms are one of them glossary not to provide comprehensive explanations, but instead to allow initial popularity and a basis for further exploration, if you are so willing. This small glossary is not exhaustive because it would take about a decade to compile an exhaustive Six Sigma and Quality Management glossary. This is just a few highlights, some details of clarification, words of caution, items of slight amusement, and conditions of special word. The really clear STBO terms havent been included. If you need a more detailed listing try the one on the isixsigma website which could keep you occupied for days and nights. If you wish to nominate an item of Six Sigma or Quality Management terminology for addition here - especially an amusing or intriguing example - please send if you ask me. Despite being completely exciting of course, Six Sigma is possibly is one of the driest subjects I've ever experienced therefore will benefit from as much light relief since you can suggest.

acceptance, and satisfactory quality level (ACL) - Popularity has at least two different meanings in Six Sigma terminology, so be cautious to understand which one is being referred to. Firstly, acceptance associated with quality is the quality expectation of the client, external or internal. Acceptable Quality Level (ACL) means the same basically, in more formal Six Sigma-speak, and that will frequently be indicated in terms of ratio defects. Secondly popularity identifies the buy-in or contract of people afflicted by proposed actions and changes, notably stakeholders. While not strictly area of the Six Sigma battery of encouraging tools, I can strongly recommend Sharon Drew Morgen's facilitative communications concepts for anyone fighting stakeholder approval (and general organisational change as well for that matter. )

ANOVA, ANCOVA, MANOVA, MANCOVA - Despite first impressions they are nothing to do with Russion gymnastics or ice-skating steps. ANOVA is an acronym for analysis of variance, a specialised deviation calculation method worried about evaluating means and tests hypotheses, best left to engineers and mathematicians. So can be the related methods, ANCOVA (analysis of covariance), MANOVA (multiple research of variance), and MANCOVA (multiple examination of covariance). Unless you are an engineer or a mathematician you will likely have better things to do than get to grips with this level of statistical capability. Conditions such as these illustrate why we need to work in multi-disciplined clubs.

balanced scorecard - A complex strategic analysis and improvement methodology produced by Kaplan and Norton which in its own right can take a seat outside Six Sigma, but that can be included within Six Sigma methods, and in any event might be used or referenced in the context of quality and performance improvement. dark noise/white sound - Technical terms relating to respectively non-random and arbitrary causes of variance.

business improvement marketing campaign - A Motorola Six Sigma buzz-phrase, which signifies a leadership effort to increase the business's 'big Y's'.

business process management - A standard generic appearance in its right, but also a Six Sigma term for the initial strategic aspect of Six Sigma. Six Sigma's proper first phase was created to develop management's commitment to Six Sigma, and also management's active involvement in the Six Sigma process (which suggests why a powerful brand for the effort, ie. , Six Sigma, is helpful. . ).

cause-effect diagram - Also known as the fishbone diagram, this is a generally used tool for mapping and analysing causal factors towards an end productivity, so that contributing factors (and weaknesses can become more easily diagnosed). Used especially in Six Sigma as a team brainstorming analysis tool. Called a fishbone diagram because the diagram plots contributing factors along parallel diagonal lines which each join a central horizontal time-line (like the back-bone) which culminates at one end with the primary issue or question.

CTQ - Critical To Quality - An element within an activity which has a major impact on the procedure quality, and usually the quality of a critical process, or it would be improbable to be obtaining Six Sigma attention.

defect - A essential and generic Six Sigma term for just about any failure in conference customer expectation (inside and exterior customers) - any failure within the delivery process.

DFSS - Commonly used abbreviation in Six Sigma activities and marketing communications, it means Design For Six Sigma, and describes the technique of using tools, training, measurements, and verification so that products and techniques are designed first to meet Six Sigma requirements. A far more specific version is DMADV: Define, Measure, Analyze, Design, and Verify

frequency distribution/frequency distribution examination or checksheet - Occurrence circulation and the checksheets and other regularity distribution way of measuring tools form an essential facet of Six Sigma data research. Identifying regularity of variant in processes is central to Six Sigma, since customers are specifically sensitive to deviation, arguably even more than isolated failures.

green belt - A Six Sigma team member that has received Green Belt training and who works part-time on Six Sigma jobs under the assistance of a Dark belt team leader.

just in time (JIT) - Just WITH TIME, commonly abbreviated to JIT, explains operational or creation methods predicated on minimising stock levels, the aim of which is to reduce capital used in stock, which also has knock-on advantages to reducing space for storage, decreasing reliance on logistics, easier source string management, and better overall quality. Just In Time is truly a capability arising from improvements within the business operation, rather than cause of improvement itself.

master dark belt - A highly experienced Six Sigma practitioner, typically worried about overseeing Six Sigma activities from an organizational point of view.

materials requirements planning (MRP) - production quality management methodology concentrating on planning stock (materials and the different parts of a wide range) levels and supply according to development schedules.

pareto rule, pareto diagram, pareto analysis - The Pareto Process is usually and more commonly known as the 80:20 rule. The Pareto Theory was named after its originator Vilfredo Pareto, (1848-1923) an Italian economist and professor of political economics at Lausanne University or college, who first found out the 80:20 'guideline' of 'predictable imbalance', that (as far as Six Sigma can be involved) offers a basis for focusing on the 20% of activities that generate 80% of results, or the 20% of failures that are responsible for 80% of the misuse, etc. Pareto first made his discovery while analysing wealth distribution among the English, in 1897.

## CONCLUSION:

Hence the essential aim of the Six Sigma is the application of the improvement on the specified process, via a measurement-based strategy, Six Sigma is recognized as a documented service mark or the trade tag. . Six Sigma has its own guidelines and methodologies to be applied. . Also six sigma, the statistical representation, is a process of quality way of measuring, which helps the organization in the improvement of their quality.

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