UL Asia
Issue 10 (Summer, 2004)  
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What is Six Sigma?

Do you really know what's going on in your function? In any organization or function, when you don't know what you don't know, it's going to cost you. For too many organizations, the cost (often hidden) of defects and waste in the way they operate are huge.

When you consider how many errors may be lurking in company-wide processes, the financial impact on overall productivity, customer satisfaction, and profitability multiplies dramatically.

The Six Sigma approach is all about identifying what you don't know, emphasizing what you should know, and taking action to reduce errors and rework that cost you time, money, opportunities and customers.

Six Sigma is a statistical concept that measures a process in terms of defects. Achieving Six Sigma means that your processes are delivering only 3.4 defects per million opportunities (DPMO) — in other words, almost perfect. Sigma is a Greek letter that measures standard deviation. In business terms, it indicates how far the process deviates from perfection.

Six Sigma was first developed and proven by Motorola in the 1980s. Companies such as TI, IBM, Allied Signal, and GE have successfully implemented Six Sigma and reduced costs literally by millions of dollars.

Sigma Level  & Deffect Rate Chart
Differences between processes at 6 sigma level and
those closer to the industry average of 3.8 sigma

3.8 Sigma
(98.930% GOOD)

6 Sigma
(99.99966% GOOD)
20,000 lost e-mails every hour 7 e-mails lost every hour
Unsafe drinking water for almost 15 minutes each day One unsafe minute every seven months
5000 incorrect surgical operations every week 1.7 incorrect surgical operations every week
Two short or long landings at most major airports each day One short or long landing every 5 years
200,000 wrong drug prescriptions every year 68 wrong drug prescriptions every year
No electricity for almost 7 hours each month One hour without electricity every 34 years
Six Sigma methodology consists of four of five phases:
Define the projects, goals and deliverables.
Measure the current performance of the process.
Analyze and determine the root causes of the defects.
Improve the process to eliminate defects.
Control the performance of the process.

The Six Sigma methodology uses statistics solely as tools for data. What's more critical are changes in the organization culture and a constant commitment from top management that permeates through the entire organization.

Key to this cultural change are players known as champions, black belts and green belts — agents to facilitate this change.

Six Sigma is exciting. But it requires discipline, tenacity, and an unwavering dedication to the pursuit of perfection. Once you embrace that, the opportunities for improvement are almost endless.

Get your organization's six sigma implementation efforts to a flying start by leveraging UL's expertise. UL's manufacturing solutions arm offers a complete range of Six Sigma Training Programs and implementation assistance. For more information please contact Frederick Sy, Regional Manager for Knowledge Solutions by e-mail at Frederick.C.Sy@hk.ul.com.
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In this issue
International Market Access
UL Apex becomes CB National Certification Body
International Harmonization
Bang & Olufsen acquires CCC certification for 14 initial product
RC14001
UL FUSTART Sets You Ready for Follow-Up Inspections
What is Six Sigma?
  UL University
  News Bites
Standards Update
Past Issues
Issue 9 (Spring 2004)
Issue 8 (Winter 2003)
Archive  
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