SIX SIGMA

Six Sigma

Abstract

In this study we try to explore the concept of Six Sigma. The main focus of the research is on six sigma and its relation with the cost minimization and improvement of the product by detecting the errors and flaws. The research also describes the origin of the six sigma. The paper also talks about the benefits of the six sigma and mentions that by minimizing the faults the approach of six sigma allow the organizations get maximum customers satisfaction.

Six Sigma

The Origins of Six-sigma

The six sigma approach has not evolved overnight. In fact, it has developed over the years and has evolved from the concept of normal curve. Mathematicians used the word sigma since 1920s. It was used as a unit measurement in product quality variation. Although many people helped in developing this concept, but the major credit goes to Bill Smith who worked as an engineer at Motorola (Michigan, 2010).

It was decided by the Motorola engineers that the existing standard was not worth it and they needed to change system for better quality. For this purpose this new and better standard was developed (Durcikova, 2004).

After the success at Motorola, many companies all over the world have adopted this approach and are making profits out of it. Six-sigma is more than the concept of TQM and is very beneficial for the company which uses it (Peter Brewer and Nancy, 2004).

The Six-sigma Approach

Six-sigma has been defined as the statistical unit of measurement, a sigma that measures the capability of the process to achieve a defect free performance. Six-sigma has the ability to produce products and services with only 3.4 defects per million, which is a world-class performance. Six-sigma has also been described as a high performance data-driven approach in analyzing the root causes of business problems and solving them. It can therefore be considered a business improvement tool (define measure, analyze, improve and control) and a business culture similar to the Six-sigma programs at General Electric, Honeywell and Motorola (McLachlan 2009).

Six-sigma is not a passing fad and the companies are actually gaining from it. It has been claimed by fortune 500 companies that after the six-sigma approach their quality has been improved manifold (McLachlan, 2009).

The concept of six-sigma has an organization wide scope as it is concerned with all the level and processes of the organization. It also affects the customer loyalty and satisfaction manifold. A process which will have less than 3.4 defective per 1,000,000 units is six-sigma. Six-sigma basically directs towards perfection and thus everyone stays involved in the process. Everyone involved in the process strive for improvement. The following are few goals of the six-sigma approach (Michigan, 2010).

Six-sigma makes the product more defects-intolerant. The management and the people directly involved in the production strive for better quality. They analyze all the process elements including the defect rate, predictability of process and how the process can be error free (Martens, 2009).

The six-sigma methodology for solving problems is same as other ...