Six Sigma Essay

1203 Words5 Pages
1.1.4 Six Sigma
Background:
In last 25 years many companies are adopting Six Sigma methodology as a process excellence tool. Few of them are GE, Motorola, Siemens, ABB, Citi Bank, Ford etc. Many Japanese and Korean companies like LG, Toshiba, Honda, Sony and Samsung have also implemented Six Sigma. In India many companies are implementing Six Sigma. Wipro, Mahindra & Mahindra, Tata motors, Larsen & Toubro, HDFC are some of them. Due to globalization world market is opened to Indian organizations and to compete with other countries they want to bring their products & services to world class level. To achieve this along with various methodologies Six Sigma is becoming popular in India.
The cultural differences between India & western countries, creates the need for different implementation strategy for India. For this a detail study of Indian
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He wants perfection and his expectations are ever increasing. Organizations are making all efforts to satisfy customer by improving processes and making near perfect, zero defect products.
A process is any repetitive action, may be a transactional, manufacturing or services. The defects and variation in processes affects productivity, quality and overall customer satisfaction by adversely hitting the bottom line. A new metric was required to measure the defects in processes and a methodology to control the variation in processes. Six Sigma fulfills this requirement of organizations.

Definitions of Six Sigma:
Sigma is a term used in statistics to represent standard deviation and Six Sigma is a statistical concept which measures process in terms of defects at the Six Sigma level. The sigma level of a process is calculated in terms of the number of defects in ratio to the number of opportunities for defects. Fig. 1.1 Sigma levels

Six Sigma level Defects Per Million Opportunities (DPMO) Yield
1 690,000

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