understanding the benefits and limitation of six sigma methodology

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7/23/2019 Understanding the Benefits and Limitation of Six Sigma Methodology http://slidepdf.com/reader/full/understanding-the-benefits-and-limitation-of-six-sigma-methodology 1/3 Understanding the benefits and limitation of six sigma methodology Article Summary Six Sigma is a management methodology which allows companies to use data to eliminate defects in any process. For a process to have achieved Six Sigma, a process must not produce a defect that is anything outside of customer specifications more often than 3.4 times per million opportunities. Six sigma is both a philosophy and a methodology that improve quality by analying data with statistics to find the root cause of quality problems and to implement control. Six Sigma is a customer!driven quality!control program that is most commonly associated with "eneral #lectric $"#%, which embraced the program even though it was developed by &otorola. Six Sigma wor's through the use of two sub methodologies( )&*+ which stands for )efine, &easure, *nalyse, +mprove and ontrol and is used for existing processes, and )&*)- which is used for new processes and stands for )efine, &easure, *nalye, )esign and -erify. +mplementing Six Sigma within a business offers a number of benefits. owever there are six advantages that this methodology will offer any company +n /012, &otorola introduced a new form of business strategy that prompted a revolution in how  business dealt with quality control and proect implementation. his strategy offered businesses  preemptive measures to reduce errors. his system is now 'nown as the Six Sigma methodology, which focuses on recogniing and removing causes of defects and errors in processes that manufacture products intended to meet or even exceed customer expectations. &easurements used in this process are based on process strategies emphasiing reductions in variations which hypothetically elicited natural improvements in the process itself. *t first, this methodology was met with some s'epticism from managers and organiations because of its statistical complexity. owever, after wor'ing

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Page 1: Understanding the Benefits and Limitation of Six Sigma Methodology

7/23/2019 Understanding the Benefits and Limitation of Six Sigma Methodology

http://slidepdf.com/reader/full/understanding-the-benefits-and-limitation-of-six-sigma-methodology 1/3

Understanding the benefits and limitation of six sigma

methodology

Article Summary

Six Sigma is a management methodology which allows companies to use data to eliminate

defects in any process. For a process to have achieved Six Sigma, a process must not produce a

defect that is anything outside of customer specifications more often than 3.4 times per million

opportunities.

Six sigma is both a philosophy and a methodology that improve quality by analying data with

statistics to find the root cause of quality problems and to implement control. Six Sigma is a

customer!driven quality!control program that is most commonly associated with "eneral #lectric

$"#%, which embraced the program even though it was developed by &otorola.

Six Sigma wor's through the use of two sub methodologies( )&*+ which stands for )efine,

&easure, *nalyse, +mprove and ontrol and is used for existing processes, and )&*)- which

is used for new processes and stands for )efine, &easure, *nalye, )esign and -erify.

+mplementing Six Sigma within a business offers a number of benefits. owever there are six

advantages that this methodology will offer any company

+n /012, &otorola introduced a new form of business strategy that prompted a revolution in how

 business dealt with quality control and proect implementation. his strategy offered businesses

 preemptive measures to reduce errors.

his system is now 'nown as the Six Sigma methodology, which focuses on recogniing and

removing causes of defects and errors in processes that manufacture products intended to meet or 

even exceed customer expectations. &easurements used in this process are based on process

strategies emphasiing reductions in variations which hypothetically elicited natural

improvements in the process itself. *t first, this methodology was met with some s'epticism

from managers and organiations because of its statistical complexity. owever, after wor'ing

Page 2: Understanding the Benefits and Limitation of Six Sigma Methodology

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with and twea'ing the system, businesses now realie how beneficial this comprehensive

analysis tool really is.

Benefit

5ne of the biggest advantages of using Six Sigma lies in the methodology statements which

assert that 6no proect shall be approved if a bottom line impact has not been clearly defined6.

7ith goals being unmista'ably defined, there is less vagueness to deal with and decisions are

implemented that are derived from statistical data and research, not haphaard assumptions.

5ther benefits include8

#mphasis on achieving attainable goals

+mplementing proects that will produce results

#ffective use of scientific techniques and precise tools

+nfuses upper management with passion and dedication

+ntegrated concepts benefiting employees and customers

Using information that has real world meaning

Limitation

7hile Six Sigma is rapidly spreading throughout a variety of industries and organiations, some

limitations can be said to exist within its procedures and measurements. 9roects which are

directed are selected by organiations subectively rather than obectively, which means that

goals may be mista'enly thought of as attainable and favorable when in fact they may eventually

 be a waste of resources and time.

*lso, researchers investigating the trend have noticed that some individuals calling themselves

6experts6 in Six Sigma methodology actually do not comprehend the techniques and complex

tools necessary to effectively implement the quality control process in an organiation. hus,

these companies hiring 6experts6 are being treated to a substandard version of the principles

which will do nothing to help their company and only lend a warped perspective of what it is

supposed to do.

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+n order to 'eep this from happening further, the Six Sigma community must come together and

stand up for strict training and certification standards to be issued throughout.

6 unexpected ways Six Sigma can benefit your company

/. +mproved ustomer :oyalty

;. ime &anagement

3. <educed ycle ime

4. #mployee &otivation=. Strategic 9lanning

2. Supply hain &anagement