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Six sigma

Six sigma is a data-driven methodology that targets fewer than 3.4 process defects per million opportunities. It uses statistical tools and the structured DMAIC improvement cycle to reduce variation, defects and the associated costs.

ByHoang TruongUpdated

FrameworkSix sigma

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Six sigma improves a process through five sequential DMAIC phases: Define the problem and the customer's requirements, Measure the current performance baseline, Analyse the root causes of defects and variation, Improve the process by removing those causes, and Control the improved process to sustain the gains. The goal is fewer than 3.4 defects per million opportunities, using tools such as control charts and hypothesis testing.

Where it fits
SubjectCost AccountingPeripheralTopicStrategic & Lean Cost ManagementPeripheral

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PracticeCORE

A logistics company finds that 2% of deliveries arrive with damaged goods. It launches a six sigma project. The team has collected baseline performance data and is now applying regression analysis and process mapping to identify the root causes of package damage. Which DMAIC phase are they currently in?

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Six sigma — Edlintics Glossary