What is Six Sigma ?
Six Sigma (6σ) is a quality management methodology whose goal is to minimize defects (errors) in a process and maximize consistency, efficiency, and customer satisfaction.
Simple Meaning of Six Sigma
Six Sigma means a system : where there are only 3.4 defects per one million opportunities
(3.4 DPMO – Defects Per Million Opportunities) In other words, the process runs with about 99.99966% accuracy.
Objective of Six Sigma
– Reduce errors and waste
– Make processes stable and predictable
– Reduce costs
– Improve quality and customer satisfaction
How Does Six Sigma Work ?
Six Sigma mainly follows the DMAIC model:
Define
What is the problem?
What does the customer want?
Measure
Measure current performance
Collect relevant data
Analyze
Identify the root cause of problems
Analyze data
Improve
Implement solutions
Improve the process
Control
Sustain the improvements
Set up monitoring and control systems
Where Is Six Sigma Used ?
– Manufacturing
– IT & Software
– Healthcare
– Banking & Finance
– Education
– Logistics
– Government projects
Six Sigma Levels
Six Sigma uses a belt system similar to martial arts:
– Belt
– Role
– White Belt
– Basic awareness
– Yellow Belt
– Team member
– Green Belt
– Process improvement leader
– Black Belt
– Expert and project leader
– Master Black Belt
– Trainer and strategist
Six Sigma vs Lean
Six Sigma: Focuses on reducing defects
Lean: Focuses on reducing waste
– Together, they are called Lean Six Sigma
Benefits of Six Sigma
– Better product and service quality
– Cost savings
– Data-driven decision-making
– Strong problem-solving skills
– Career growth (certification is highly valued)
Here are some simple examples showing how Six Sigma can improve processes:
Banking: If a bank processes 10,000 loan applications and 200 contain mistakes, the process has errors. After applying Six Sigma, errors can be reduced to just 2–3 applications.
Restaurant: If a restaurant serves 5,000 meals and 100 orders are wrong, the process quality is low. With Six Sigma, wrong orders can be reduced to 1–2 only.
Software Development: If a software team releases 1,000 features and 50 have bugs, the process is weak. Six Sigma can reduce bugs to 1–2 features.
Logistics: If a delivery company ships 20,000 packages and 100 are delayed or lost, the process needs improvement. After Six Sigma, delays or losses can drop to 1–2 packages.
Retail: If a store receives 1,000 invoices and 20 have errors, Six Sigma can reduce invoice errors to almost zero.
RAJEEV VERMA 