Unchecked defects could be the downfall of your business. This article will show how Six Sigma can help you reduce defects and increase your company's profits.
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Reduce Defects in your business using Six Sigma Methodologies

Business suffers from defects; sometimes the defects can be so costly that it can affect profitability. So many efforts were made to reduce defects. The final invention is Six Sigma Methodology.

Six Sigma is a data driven, disciplined methodology and approach used to eliminate defects. This methodology can be used for defect elimination in any process be it products, service, manufacturing or operations.

Statistical representation on how Six Sigma is used to achieve defect elimination is worked out quantitatively. The achievement of Six Sigma process is to reduce defects to 3.4 per million. This can be calculated using a Six Sigma calculator.

Types of Methodologies

Six Sigma Methodology uses two types of sub methodologies namely DMAIC and DMADV. DMAIC is used to improve the existing process. It is used to define measure, analyze, improve and control. DMADV is used for development of new systems. It is used to define measure, analyze, design and verify. Six Sigma Methodology is executed by Six Sigma Green Belt and Six Sigma Black Belt and it is overseen by Six Sigma Master Black Belts.

Cost Savings.

Six Sigma was first designed and developed by Motorola. It was a CEO driven challenge created in 1980 used to reduce product failure levels. They created a methodology which looked at root cause analysis and correction. Motorola divulged their framework for quality improvement to the world in 1990. Since then it has been used by manufacturing companies to reduce defects.

General Electric is one such manufacturing company that has achieved benefits through use of Six Sigma. The profits are of the order of $10 billion during the first five years of implementation of Six Sigma Methodology in General Electric.

Six Sigma Strategies

There are three types of strategies used in six sigma namely
1. Six Sigma Organization
2. Six Sigma engineering organization
3. Strategic selection of six sigma projects

In the first strategy the whole organization is involved in the applying the six sigma principles. It involves utilization of large resources for implementation of six sigma methodologies. Though many of the processes may not actually utilize six sigma all the credit goes to six sigma for any improvement.

The Six Sigma Engineering Organization uses Six Sigma only in the processes involving use of engineering. The advantage of this strategy is that the resource or personnel used have high technical and educational background to grasp the concepts easily.

The next strategy is used for improvement of the present quality processes which though doing well may require further enhancement.

Goals of Six Sigma

The main goal of Six Sigma is in customer satisfaction. Improvement of customer satisfaction can happen through reduction and elimination of defects, this in turn increases profitability. The underlying element of this goal is the Taguchi Loss Function which shows how increased defects cause customer dissatisfaction which in turn leads to financial loss. The metrics of Six Sigma can be mathematically calculated and related to each other.

Usage
Six Sigma Methodology can be used in various businesses. Business that requires process consistency like software and systems can use Six Sigma for their needs. Six Sigma is a very mature statistical and business theory. In manufacturing which is a mature field this concept is used in a very mature way. In software which is still in its evolving stage the Six Sigma Methodology is still in nascent stage.

Whatever be the business the need for Six Sigma Methodology is evident due to the need to reduce defects and provide quality to the customer.