Sigma
SIX SIGMA and its Role in Quality Management
Sung H. Park Department of Statistics, Seoul National University Kwanak-ku, Seoul, 151-742, Korea parksh@plaza.snu.ac.kr Abstract Six Sigma was introduced into Korea in 1997, and it is regarded as a fascinating management strategy in many Korean companies. First of all, the reasons why Six Sigma is fascinating are given and a smart way to introduce Six Sigma is illustrated. Seven step procedures to introduce Six Sigma are explained. Next, the differences of problem-solving processes for project team activities for R&D, manufacturing, and service areas are compared. Third, a typical process for R&D Six Sigma is proposed, and major activities and scientific methods at each process step are suggested. Fourth, some differences between Six Sigma project team and quality circle team are presented. Finally, a Six Sigma model for e-business is proposed and briefly explained. 1. What is Six Sigma? Sigma is a letter in the Greek alphabet that has become the statistical symbol and metric of process variation. The sigma scale of measure is perfectly correlated to such characteristics as defects-per-unit, parts-per million defective, and the probability of a failure. Six is the number of sigma measured in a process, when the variation around the target is such that only 3.4 outputs out of one million are defects under the assumption that the process average may drift over the long term by as much as 1.5 standard deviations. Six Sigma may be defined in several ways. Tomkins(1997) defines that Six Sigma is "a programme aimed at the near-elimination of defects from every product, process and transaction". Harry(1998) defines that Six Sigma is "a strategic initiative to boost profitability, increase market share and improve customer satisfaction through statistical tools that can lead to breakthrough quantum gains in quality". Six Sigma was launched by Motorola in 1987. It was the result of a series of changes in the quality area
Sung H. Park Department of Statistics, Seoul National University Kwanak-ku, Seoul, 151-742, Korea parksh@plaza.snu.ac.kr Abstract Six Sigma was introduced into Korea in 1997, and it is regarded as a fascinating management strategy in many Korean companies. First of all, the reasons why Six Sigma is fascinating are given and a smart way to introduce Six Sigma is illustrated. Seven step procedures to introduce Six Sigma are explained. Next, the differences of problem-solving processes for project team activities for R&D, manufacturing, and service areas are compared. Third, a typical process for R&D Six Sigma is proposed, and major activities and scientific methods at each process step are suggested. Fourth, some differences between Six Sigma project team and quality circle team are presented. Finally, a Six Sigma model for e-business is proposed and briefly explained. 1. What is Six Sigma? Sigma is a letter in the Greek alphabet that has become the statistical symbol and metric of process variation. The sigma scale of measure is perfectly correlated to such characteristics as defects-per-unit, parts-per million defective, and the probability of a failure. Six is the number of sigma measured in a process, when the variation around the target is such that only 3.4 outputs out of one million are defects under the assumption that the process average may drift over the long term by as much as 1.5 standard deviations. Six Sigma may be defined in several ways. Tomkins(1997) defines that Six Sigma is "a programme aimed at the near-elimination of defects from every product, process and transaction". Harry(1998) defines that Six Sigma is "a strategic initiative to boost profitability, increase market share and improve customer satisfaction through statistical tools that can lead to breakthrough quantum gains in quality". Six Sigma was launched by Motorola in 1987. It was the result of a series of changes in the quality area
References: Bhote, K. R. (1989). Motorola 's long march to the Malcolm Baldrige National Quality Award, National Productivity Review, 8(4), pp. 365-376. Harry, M. J. (1998). Six Sigma: A Breakthrough Strategy for Profitability, Quality Progress, (May), pp. 60-64. Losianowycz G. (1999). Six Sigma Quality: A Driver to Cultural Change & Improvement, an invited lecture by Korean Standards Association at Seoul. (She is a senior lecturer at Motorola University.) Park, S. H. and Kim, K. H. (2000). "A study of Six Sigma for R&D part", Quality Revolution, 1(1), Korean Society for Quality Management, pp. 51-65. Park, S. H., Lee, M. J. and Chung, M. Y. (1999). Theory and Practice of Six Sigma, Publishing Division of Korean Standards Association, Seoul. Park, S. H., Lee, M. J. and Lee, K. K. (2001). Design for Six Sigma, Publishing Division of Korean Standards Association, Seoul. Tomkins, R. (1997, October 10). "GE beats expected 13% rise", Financial Times, pp.22.