More about 6Sigma
Six Sigma started its journey in 1986 as a data driven method to reduce variation in electronic manufacturing processes in Motorola Inc. in the USA. Six Sigma became famous when Jack Welch made it vital to his successful business strategy at General Electric in 1995. In Jack Welsch’s words, “Six Sigma is a quality program that, when all is said and done, improves your customer’s experience, lowers your costs, and builds better leaders.”
According to the Six Sigma Academy, Black Belts save companies approximately $230,000 per project and can complete four to six projects per year. General Electric, one of the most successful companies implementing Six Sigma, has estimated benefits on the order of $10 billion during the first five years of implementation.
No industry or sector has remain untouched by the application of six sigma. Today it is used as a business performance improvement methodology all over the world in diverse industry including general manufacturing, construction, banking and finance, healthcare, education, government, KPO/BPO, IT/ Software. At present IT/ ITES sector companies are dynamically implementing Six Sigma.
The term ‘six sigma’ comes from statistics and is used in statistical quality control (SQC), which evaluates process capability i.e. the numerical measure of the ability of a process to meet the customer specifications. A six sigma process is the one which produces 99.99966% statistically defect-free outputs. That is an equivalent of 3.4 defects per million opportunities (DPMO). Every six sigma project within an organization has assigned quantifiable value targets e.g. to reduce process time, reduce cost, increase in quality rating/ customer satisfaction index, reduce defect rate, etc.