Six Sigma: What it is

Six Sigma is a set of techniques and tools for process improvement It was developed by Motorola in 19 ! Six Sigma became famous when "ac# Welch made it central to his successful business strategy at $eneral %lectric in 199& 'ost of deploying Six Sigma was between (S )* and )1+ ,illion he went ahead with it -oday many of the world.s leading corporations li#e /ow 'hemicals0 1M0 ,ombardier0 and Sony are using Six Sigma2 Six sigma equals to around 123 errors per 1 million processes handled2

Six Sigma in Manufacturing

Six Sigma basics are designed to improve manufacturing Many Manufacturing firms have praised Six Sigma and the amount of money they have been able to save through it Statistical tools are used in Six Sigma to gauge the performance and improve quality Statistical methodologies li#e 4istograms0 5areto 6nalysis are used to improve quality through Six Sigma

Company $eneral %lectric "5 Morgan 'hase -exas Instruments "ohnson 9 "ohnson 4oneywell

Annual Savings ) 7 ,illion 8 )12& ,illion since 199 ) !++ million )&++ million )!++ million

Six Sigma 5rocess

/M6I' process of problem solving i2e2 /efine0 Measure0 6naly:e0 Improve and 'ontrol is one of the most common Six Sigma methodology which is given below is applied in the manufacturing industry as well as the service industry Define: Identify0 evaluate and select pro;ects for improvement and select teams2 Measure: 'ollect data on si:e of the selected problem0 identify #ey customer requirements0 determine #ey product and process characteristics2 Analyze: 6naly:e data0 establish and confirm the < vital few < determinants of the performance2 Improve: /esign and carry out experiments to establish cause 9 effect relationships and optimi:e the process2 Control: /esign the controls= ma#e improvements0 implement and monitor2

Six Sigma in services

Since Six Sigma is generally thought to be for manufacturing service organi:ations are finding it difficult to adopt it Service organi:ations thin# that Six Sigma is only for Manufacturing businesses and as# how would it apply to us2 -ransactional Six Sigma focuses on people rather than 5roduct in service industry 5i::a ,ox example