By Praveen Gupta, A. William Wiggenhorn
Six Sigma has develop into a well known strategic device to enhance enterprise functionality and profitability. Many books disguise uncomplicated Six Sigma recommendations, yet none aspect the main serious component to its development method: functionality measurements.Without a robust seize of functionality metrics, a firm may have no transparent, quantitative indication of its caliber development. The is a distinct method of measuring functionality. It permits businesses to trace their advancements in caliber and profitability - and make alterations if such advancements usually are not as much as expectancies - whereas enforcing Six Sigma. with no complete functionality size process, your organization cannot desire to harvest the various merits of Six Sigma. This guidebook will help you enforce a winning, statistically rigorous Six Sigma program.* presents numerical equipment for comparing a corporation's Six Sigma luck (or lack thereof)* Written via an writer with twelve years instructing event at Motorola collage* Builds at the well-known enterprise Scorecard method
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Extra resources for Six Sigma Business Scorecard : Creating a Comprehensive Corporate Performance Measurement System
Sample text
Continual improvement, corrective action, preventive action As the list illustrates, the requirements are quite comprehensive. The ISO 9001:2000 system is based on process thinking: 1. 2. 3. 4. Plan for setup. Do for excellence. Check for verification. Act for improvement. PROCESS THINKING To perform well, the process owner needs to control inputs, process activities, and the process output. Control means that the process owner understands the requirements as well as receiving, producing, or supplying according to the requirements.
Com. This page intentionally left blank. SIX SIGMA BUSINESS SCORECARD This page intentionally left blank. C H A P T E R O N E TRENDS IN PERFORMANCE MEASUREMENTS o survive and grow, a business enterprise must meet its stated objectives. How do we know if a business is meeting its goals? Just as we go to a doctor for a checkup to confirm our physical well-being, a business also needs monitor its health. It needs to measure its performance frequently to evaluate its past performance and identify areas where it must improve in the future.
Click Here for Terms of Use. 18 CHAPTER TWO much less than the yield at each process. For example, if process and parts yields were at 99 percent for each component of the operation, the overall yield for the entire operation would be much less, as shown in Figure 2-1. The overall yield is calculated by multiplying the process yield at each process. 99 (for 99 percent yield) is multiplied 100 times. The figure shows that as soon as the process or the product complexity exceeds 100, the probability of making errors increases such that almost every unit of output must be repaired at least once.