You will know if your quality system is working when you are able to deliver products or services within the specification limits consistently. An inefficient process will generate an unacceptably high number of defects and produce them with a level of variation that hinders the ability to predict process performance.
Metric Stream shared this chart:
Defects Per Million and Cost of Poor Quality at Various Sigma Levels.
Sigma Level Defects per Million Cost of Poor Quality 2 308,537 Not Applicable 3 66,807 25%-40% of sales 4 6,210 15%-25% of sales 5 233 5%-15% of sales 6 3.4 < 1% of sales
You can see how costly and wasteful it is if you have an inefficient quality system. Apparently, Six Sigma can help improve your process through its methodology called DMAIC. Metric Stream shows how.
Define:
- Define the process to be improved by mapping the process flow in details
- Capture clearly the expectations of the process sponsor
- Define project boundaries the stop and start of the process
Measure:
- Develop a data collection plan for the order-to-delivery process
- Collect data from many sources (systems and audits) to determine issues and core process metrics
Analyze:
- Identify gaps between the current order-to-delivery metrics and goals
- Perform root cause analysis
- Identify corrective actions (CAPA) using technology and discipline
- Prioritize opportunities to improve
Improve:
- Develop and deploy implementation plan
- Institutionalize the improvements through the modification of processes and structures (staffing, training, incentives)
- Implement document change control to ensure process changes are followed
- Track and ensure closure of CAPA items
- Monitor corrective action effectiveness with real-time performance data and analysis
Control:
- Require the development, documentation and implementation of an ongoing monitoring plan
- Monitor order-to-delivery metrics and perform process audits to ensure improvements are here to stay.
