Six Sigma – DMAIC

Introduction

Six Sigma is a set of methodologies and tools used to improve business processes by reducing defects and errors, minimizing variation, and increasing quality and efficiency. The goal of Six Sigma is to achieve a level of quality that is nearly perfect, with only 3.4 defects per million opportunities. Six Sigma is a disciplined and data-driven approach widely used in project management to achieve process improvement and minimize defects. It provides a systematic framework to identify and eliminate variations that can impact project performance. The etymology is based on the Greek symbol “sigma” or “σ,” a statistical term for measuring process deviation from the process mean or target. “Six Sigma” comes from the bell curve used in statistics, where one Sigma symbolizes a single standard deviation from the mean.

Six Sigma is achieved by using a structured approach called DMAIC (Define, Measure, Analyse, Improve, Control) to identify and eliminate causes of variation and improve processes:
Define – This involves identifying the underlying issue of a given manufacturing process. Operations managers must then decide how to improve the process and what improvement goals to set.
Measure – This entails measuring a process’s performance as-is to establish a baseline with the right metrics.
Analysis – This involves understanding why the manufacturing process is underperforming.
Improvement – Once the underlying causes of underperforming processes or business practices have been identified, operations managers can proceed to find potential solutions.
Control – The group adds controls to the process to ensure it does not regress and become ineffective once again.

Practical Implementation:

Microsoft
Microsoft used Six Sigma to help eradicate defects in its systems and data centres and systematically reduce IT infrastructure failures. The company first established standards for all of its hardware and software to create a baseline measurement for detecting defects. It then used root-cause analysis, including collecting data from past high-priority incidents, server failures, and recommendations from product group members and customers, to pinpoint potential problem areas. Large amounts of data were collected on a daily and weekly basis from various servers. The incidents were prioritized based on how severely the defects affected the business and the company’s underlying services. Data analysis and reporting identified the specific defects, after which remediation steps for each defect were established. As a result of Six Sigma, Microsoft says it improved the availability of its servers, boosted productivity, and increased customer satisfaction.

Ventura County, California, Government
Ventura County, California, credited the use of Six Sigma for a savings of $33 million. The county government began to use the program in 2008 and has trained more than 5,000 employees in the methodology. The county says the savings are due in part to the introduction of more efficient new systems and by eliminating unnecessary, but time-consuming, steps from its prior processes. For example, the VC Star newspaper reported in 2019 that the county saved “$51,000 with an appointments system that reduced labor costs and rates for maintenance of county vehicles [and] almost $400,000 annually by implementing a new system to track employee leaves of absence.”

Penned by:

Mr Kedar Adiga