This is applicable all the more so for businesses that just cannot afford to keep solving the same types of problems over and over again and deriving satisfaction from such dubious achievements. So what is the right approach to problem solving? Well, for that you just need to have a look at the time-tested Six Sigma root cause analysis tool that stresses locating and eliminating the root causes of the problem rather than finding quick-fix solutions.
In effect, it basically helps businesses to find long-lasting solutions for all types of problems that occur repeatedly when left unchecked in their natural state. For better understanding, let us discuss how exactly does the Six Sigma root cause analysis tool helps businesses to find the most appropriate solutions.
Defining and Measuring the Problem
The first step in the root cause analysis process deals with the identification and measurement of the problem. In this step, all the various aspects are considered such as when exactly does the problem occur, where exactly it occurs, what damage potential does it have, why exactly does the business needs to solve the problem and how will the business benefit by solving the problem.
All this is usually done by comparing the VOC (Voice of the Customer) that represents customer expectations and the VOP (Voice of the Process) that represents what customers are currently receiving. Using this approach helps businesses to devise effective solutions that are in line with customer needs and requirements.
Finding the Root Causes and Devising Effective Solutions
After identifying the problem, the next step deals with finding the root causes and also understanding their relationship with each other. This is usually done by collecting sample data related to the problem and consequently using the root cause analysis tool for finding the main factors responsible for the defined problem.
This step also deals with finding the most appropriate solutions that not only solve the given problem, but also ensure that the problem does not reoccur in the near future. Usually multiple solutions are suggested and put through advanced simulation tests to check their applicability.
From among these, the solution that best fits the bill is selected for final implementation.
Implementing and Controlling
A business may have zeroed in on the most appropriate solution, but its responsibilities do not end there. It's because the business still needs to implement the solution and put in place control systems that will help in verifying the success or failure of the implemented solution.
It is only when the implemented solution passes the control tests can the business claim success for its problem solving initiatives.
Problems are inherent to business processes, and no tool or technique can ever claim to eliminate the occurrence of new problems. Six Sigma root cause analysis is preferred because it at least ensures that existing problems do not reoccur and are resolved in the most appropriate manner.
Consumer outlook has undergone considerable changes due to business globalization and revolutionary information exchange paradigms. Changing business conditions created by the flurry of increasing competition has led to diminishing margins for error. Exceeding the expectation levels of customers assumes the central position in the current and future era of business. It is for this reason that Six Sigma has assumed critical importance in the current business environment.
What is Six Sigma?
Six Sigma is a two-way quality management approach towards achieving zero errors by removing process defects for existing products and by designing verified process flow for new products. From a consumer's point of view, Six Sigma is a highly disciplined process that enables product and service deliveries to a near perfect standard.
The term Six Sigma (also 6 sigma) signifies the statistical benchmark for quality assurance. Sigma is the standard deviation (allowable, standardized figure from the mean acceptance level), and when the measured number of deviations beyond the mean tolerance limit is six, you are barely producing quality products. Simply put, this means that if you found six defects in your products, you are very close to poor quality production.
Implementation Of Methodology
The choice of implementation of Six Sigma methodology depends on whether improvement is required on existing processes (DMAIC) or on new process/product design creation (DMADV).
DMAIC
In Six Sigma, DMAIC methodology involves defining improvement goals, measuring the existing standards at baseline for future reference and analyzing the relationship between defects and their causes. This Six Sigma methodology also entails improving processes to deliver consistent goal achievement in accordance with company strategy and consistent with customer demand. The analysis process of this Six Sigma methodology sets the stage for midway course correction, called improvement.
DMADV
This 6 sigma methodology applies to the creation of new processes for product development. This Six Sigma implementation differs from the DMAIC methodology at the final two stages. Defining and measuring the design and product goals and capabilities are the first two stages. The next stage is analyzing alternatives and evaluating to choose the best product design. The next stage consists of implementing the best design. The final stage entails verifying the design, pilot (or test) runs and testing implementation before the final presentation.
Several organizations such as Motorola, (which is a pioneer of Six Sigma), Microsoft, GE and the United States Navy have successfully implemented Six Sigma and reaped huge dividends. Six Sigma has benefited corporations with multiple products across various business sectors. Healthcare, banking and insurance, telecommunications, software, and construction are just some of the industries successfully implementing Six Sigma.
Six Sigma implementation requires organizations to play five key roles at various levels. At the top is executive leadership which includes the CEO, champions, master black belts, and black belts. Then there are the green belts, which dedicate 100% of their efforts towards the concerted implementation of the program until the end of the project. The difference between the green belts and the rest of the team is that the employees in the green belt level share the additional responsibility for Six Sigma implementation along with their normal work responsibilities.
Criticisms Of Six Sigma
Despite its scientific approach towards quality improvement, there are criticisms against Six Sigma. The most vocal one is the viewpoint that there is nothing new about Six Sigma as it imitates already existing and proven techniques. To a certain extent, this argument has some credibility. But proponents of Six Sigma believe that as long as 6 sigma achieves more predictable results with far lower effort, there is no harm in accepting and implementing it. Criticisms notwithstanding, what Six Sigma does is apply concerted efforts at utilizing existing techniques with new approaches.
Tony Jacowski has sinced written about articles on various topics from University, Six Sigma and Information Technology. Tony Jacowski is a quality analyst for The MBA Journal. Aveta Solution's Six Sigma Online offers online and certification classes for lean six sigm. Tony Jacowski's top article generates over 90500 views. to your Favourites.