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Six Sigma and Statistical Methods

Six Sigma methodologies use statistical tools used to transform raw data into information. Based on the results, further actions are taken. Statistical tools and related aspects of Six Sigma methodology comprises about half of Six Sigma. In addition, Six Sigma places a lot of emphasis on graphical interpretation of data collected during the course of measurements.

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Six Sigma Core Concepts

By definition, Six Sigma is a series of systems of metrics that are used to measure defects and improve quality by application of a methodology to reduce defect levels to under 3.4 instances per million. Six Sigma is a trademark of Motorola that, by its implementation, saved the company some $17 billion. It has so much evolved and come of age that comparison with the original process is hardly possible. Fundamentally, Six Sigma manages process variations that cause defects and systematically and statistically tackles the unacceptable deviations from the defined standards and works towards eliminating defect incidences.

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Six Sigma and Upper Management

The one ultimate reward that counts for any business organization is improvement of bottom line profitability and the return of satisfied customers. This end result must justify all the initiatives taken by upper management. Upper management utilizes a tool called “cost of poor quality (or “COPQ”) as a barometer for evaluating six sigma projects. Apparently, it is the only way to get upper management to accept six sigma. The upper echelons of corporations have come to realize the importance of six sigma for its tangible economic benefits.

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Owner Builder Lessons for the Project Management Industry

Owner builder residential construction projects offer a terrific point of comparison from which businesses can learn volumes about effective (or ineffective) project management strategies and techniques.

Owner builders are individuals who wish to save a lot of money by eliminating the costs of hiring a general contractor. Therefore, owner builders manage the construction of their own homes. They don’t necessarily have to do any of the labor themselves to be official owner builders. But, owner builders must oversee the planning and construction.

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Selecting Black Belts

Invariably, selecting the right Black Belts is crucial for the success of Six Sigma. According to Dr. Michael Harry, one of the founders of the Six Sigma Academy Inc, “Training individuals as Black Belts gives them the skills necessary to implement, sustain, and lead a highly focused Six Sigma initiative within a target business area or unit”.

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Six Sigma Environment

It is not easy to implant the concept of Six Sigma into the culture of a company. This is because Six Sigma hardly bears any comparison with other quality management tools, barring a few similarities with Malcolm Baldridge National Quality Award. But unlike the Baldridge Award, Six Sigma gets to the core of the business sphere with proven tools. But what really stands out as the major difference between Six Sigma and all other quality management tools is the whole army of highly trained employees coming from various professional and organizational backgrounds, not just from the quality assurance specialization. This is why they are called internal change agents.

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Preparing For Management Responsibilities

The Webster dictionary describes a manager as ‘someone who handles or directs with a degree of skill’. But this definition is not rigid as are the responsibilities. Alternatively, you can think of a manager as someone who controls resources and expenditures. A manager has 4 basic roles to play in such areas as planning, organizing, directing or leading and supervising. Is this all that it takes to become a manager? Unfortunately not; you have to be answerable for failures while credit may not be given to you for successes (unless you are the owner). To understand how to prepare for management responsibilities, let’s look first at desirable managerial characteristics:

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Why Six Sigma?

The advantages of Six Sigma do not exactly lie in huge cost benefits that can be realized by its implementation. The glaring examples of many corporations having saved billions of dollars are true benefits but the intangible results, such as having met the expectations of customers, and being able to improve employee relations are also paramount. Because some corporations have experienced its failure to meet stated goals, some critics often raise questions about the feasibility of implementing Six Sigma, while still others are dismissing it plainly.

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Is Six Sigma The Ultimate Management Tool?

Today, Six Sigma covers a very wide range of industries such as healthcare, banking, manufacturing and construction, to name a few. The 2 methodologies adopted by Six Sigma take care of the existing process and the new processes that still need to be developed, through DMAIC and DMADV respectively. DMAIC and DMADV are acronyms for process improvement methodologies. The methodology is hailed as the finest quality management system or tool that the industry has ever seen.

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Six Sigma Champions & Master Black Belts

The responsibility of developing a Six Sigma company successfully rests as much on Champions & Master Black Belts as it does on Black Belts and Green Belts. But the importance of their roles in the implementation can’t be understated, as the necessary contribution from them is substantial. A Champion is a leader bestowed with authority and the huge responsibility of overseeing the smooth and complete implementation of Six Sigma.

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