Sigma is a term used in statistics to represent standard deviation, an indicator of the degree of variation in a set of a process
Six Sigma is a management philosophy focused on eliminating mistakes, waste and rework. It establishes a measurable status to achieve and embodies a strategic problem-solving method to increase customer satisfaction and dramatically reduce cost and increase profits.
Six Sigma gives you discipline, structure, and a foundation for solid decision-making based on simple statistics. The real power of Six Sigma is simple because it combines people power with process power.
Six Sigma is a Process Improvement Methodology aming -
Reducing defects to a rate of 3.4 defects per million defect opportunities.
Identifying & eliminating causes of variations in business processes
Using statistical processes
Focusing of a very clear understanding of customer requirements / voice of customer
Six Sigma Level
Sigma means standard deviation
So, six sigma means six times the standard deviation.
Sigma Level | Defects per million | Defect as percent | Improvements | |
One Sigma | 690,000.0 | 69.0000% | 69 | |
Two Sigma | 308,000.0 | 30.8000% | 2 times | 30.8 |
Three Sigma | 66,800 | 6.6800% | 5 times | 6.68 |
Four Sigma | 6,210.0 | 0.6210% | 10 times | 0.621 |
Five Sigma | 230.0 | 0.0230% | 30 times | 0.023 |
Six Sigma | 3.4 | 0.0003% | 80 times | 0.00034 |
Objective of Six Sigma is only 3.4 defects (errors) out of every million defect opportunities i.e 99.9997% perfection
Difference between 99.0% & 99.9997% | ||||
99.00% | 99.9997% | |||
Delivery Target | 30,000 | 29700 | 29999.91 | |
300 | 0.0 |
Six Sigma: Principles
- Continual improvent
- Preventive Action
- Eliminates competition in groups - working for common cause
- Drive for Perfection, Tolerance for failure
- Setting of High Targets
Organization's Culture Change
- Methodical approach to problem solving
- Pro-active attitude
Six Sigma use a five phase improvement Cycle called DMAIC.