supported by a hand full of powerful analytical tools.
Continuous improvement is driven by the execution of carefully selected projects.
A goal of the six sigma approach is to take small steps forward and no steps backward.
Six Sigma is a quality objective that specifies the variability required of a process in terms of the specifications of the product so that product quality and reliability meets and exceeds today's demanding customer requirements.
Sigma - the lower case Greek letter that denotes a statistical unit of measurement used to define the standard deviation of a population. It measures the variability or spread of the data. What is Sigma?
“ The best Six Sigma projects begin not inside the business but outside it, focused on answering the question—how can we make the customer more competitive? What is critical to the customer's success? . . . One thing we have discovered with certainty is that anything we do that makes the customer more successful inevitably results in a financial return for us.”
After implementing Six Sigma in a wide range of processes throughout the organization, one global automotive company added approximately $52 million to the bottom line in 2000 and $300 million in 2001. The company then achieved waste elimination savings of more than $350 million in 2002! Impacts the Bottom Line…
Senior Champion : Owns Six Sigma for the Business.
The Champion typically has day-to-day responsibility for the business process being improved and their role is to ensure the Six Sigma project team has the resources required to successfully execute the project.
Black B elt :
A Six Sigma expert highly skilled in the application of rigorous statistical tools and methodologies to drive business process improvement. Leads the project team .
Master B lack B elt :
A Black Belt achieves "Master" status after demonstrating experience and impact over some period of time. Master Black Belts address the most complex process improvement projects and provide coaching and training to Black Belts and Green Belts.
A Six Sigma practitioner trained in the methodology and tools to need to work effectively on a process improvement team. Green Belts may act as team members under the direction of a Black Belt or may lead their own less complex, high impact projects.
Project Sponsors :
A member of the leadership team that is responsible for selecting Six Sigma projects and is ultimately accountable for a project's results.
A company or individual with experience and expertise in Six Sigma business improvement implementations who is hired for a limited time to advise and facilitate Six Sigma implementation.
In 1999, one large multinational chemical company launched a corporate-wide Six Sigma program across all of its businesses and functions, predicting business improvements totaling $1.5 billion by the end of 2003.
In fact, the company achieved its goal at the close of 2002 -- a full year ahead of schedule!
When customers of one satellite communication links provider became upset with contract approval times, a Six Sigma team solved the problem by changing old assumptions on how much scrutiny was needed for a contract and by deploying new, streamlined procedures.
The result? Customer satisfaction increased and revenue was boosted annually by $1 million!
Six Sigma in Financial Services leads to higher quality and lower costs
When one financial services leader observed that its customers preferred getting account information from its costly call center and not its website, a Six Sigma project team reworked the site content to more effectively answer customer questions.
Customers now prefer using the website, saving the company thousands of dollars a year!
When a leading European retail chain known for providing good bargains to its customers needed to improve its ability to source a diverse range of products within aggressive time and budget dictates, it leveraged Six Sigma to optimize and integrate procurement processes.
The result? Savings of 20% over budgeted procurement costs and increased margins.
Six Sigma can also help fine tune the marketing mix. By applying experimental design methods, marketers can evaluate many stimulus-response combinations.