Charter For Six Sigma

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HOW TO SETUP THE PACE OF PROJECT

OBJECTIVE
UNDERSTAND THE IMPORTANCE OF CHARTER

DIFFERENT SECTIONS OF CHARTER
IMPORTANCE
The charter is outlined to setup the pace of the project

It should clearly define the overall structure of the
project, its team, Tollgate, Communication plan and
roles & responsibilities

It should follow a basic principle of SMART

It should be approximately of 01 page or can be
extended in two pages.
ORGANS
Business case
Problem statement
Goal statement
Scope
Milestones/Tollgate
Team with Roles & Responsibilities
Business Case
A detailed objective for the project in 5-10 lines
The business case should induce fear of detrimental loss as
well as motivation for improvement to attain profits
It should clearly bring out the need for approval
What all will be done & what can be the dire consequences
if not done
How to Do?
(i) Talk abt organization
(ii) Where are we missing?
(iii) What is the impact on the organisation because of
this miss?
Problem Statement
It should again reflect the problem & impact
Impact should be in terms of C-Sat, I-Sat or E-Sat.
How big is the Problem( Reflect the magnitude)
It should not say anything about the causes
GOAL STATEMENT
A goal has to be very Specific, Measurable, Attainable,
Realistic/Relevant and must be Time bound.
It should have words like Improve , Increase ,
Decrease, Eliminate or control
It should clearly measure the improvement being
brought into the process.
It must be end with a specific date
The statement must not be vague.
SCOPE
Consists of
(a) In-Scope
(b) Out Scope
In-scope should be very specific and not generic and
must mention to what all it is applicable and what shall
be the limitations wrt to the project. Basically it should
mention the premise of application of the project.
Out Scope is what all is not covered in the premise of
application of the project.
TOLLGATE/MILESTONES
As explained in the goal statement that the project has
to be time bound therefore, each stage must have
milestones which should be logged for the
understanding of all the stake holders especially the
sponsor.
The dates should normally be the completion phases
of DMAIC
It must also cater for the Pre-DMAIC phase.
TEAM : ROLES & RESPONSIBILITIES
The project leader must clearly identify the sponsor
and who all would require to be available for
consultation or be an active member of the project.
The roles must be clearly defined as per the phase and
to what extent the personnel will be required to pitch
in.
The frequency of interaction along with the Process
should be indicated.
Names of Champion ,BB , GB , Project Team Members,
Project Leader & their roles should be charted clearly.

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