What is Six Sigma, and what does it have to do with process improvement?
A number of related things are meant by the term “Six Sigma.” First, the word sigma is a mathematical term for measuring variation. One sigma represents a high degree of variability (7 mistakes/defects out of 10 opportunities for defects). Six sigma represents a very low degree of variability (3.4 mistakes out of 1,000,000). Next, “Six Sigma” the name for a rigorous form of process improvement that grew out of the Total Quality Management movement of the late 1980s and early 1990s. It is credited with hundreds of millions of dollars in bottom-line savings in many large corporations, such as GE, Allied Signal, Raytheon, and many others. It is a highly disciplined approach to decision making that helps people focus on improving processes to make them as near perfect as possible. Applying Six Sigma does not mean requiring all processes to operate at a “Six Sigma” level of performance. Instead, it means achieving a sophisticated understanding the nature of the variations inherent in your b
