What is Six Sigma?

What is Six Sigma? Principles of applying the six sigma method to businesses

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Six sigma method is a method to help businesses improve their competitiveness against competitors. In a process improvement approach, reducing errors, reducing costs, helping customers to be satisfied with the products that the company provides. So the method? What is Six Sigma?? Let's Johnson's Blog Learn about this information through the article below!

What is Six Sigma?
What is Six Sigma?

What is Six Sigma?

Six Sigma It is a method to help improve business and quality management processes based on statistics with the aim of finding errors and omissions. 

Then identify the root cause of that error, which helps to reduce the error rate, and correct the error to increase the accuracy of the Six sigma process. 

This method also helps businesses capture and identify with customer requirements more thoroughly so that the business is more customer-oriented. 

Six sigma also uses the statistical method of errors arising and counting those errors in a process. Then fix those errors from there. Six levels of Six Sigma including:

Sigma levelError on 1 million productsPercentage error 
One sigma690.00069%
Two sigma380.00030,8%
Three sigma66.8006,68%
Four Sigma6.2100,621%
Five sigma2300,023%
Six sigma3,40,0003%

>>> See more: What is 5S? and basic information about 5S that you should know

The benefits of the Six Sigma method for businesses

Keep customer loyalty and satisfaction

Keep customer loyalty and satisfaction
Keep customer loyalty and satisfaction

Using Six sigma tools to reduce error rates so that businesses can focus on providing customers with better product and service quality, increasing customer satisfaction. 

Reduce costs, increase profits

Through the Six sigma tool, businesses will be able to eliminate the waste of production stages with low productivity or inefficient workers including time and materials thanks to the error rate. 

From there, the causes can greatly reduce the error rate in the future. From there, profits can be increased and the cost of sales of each product can be reduced. 

>>> See more: What is Kaizen?? Compare 5S and Kaizen

Reduce management costs

Management expenses in the business are also reduced because the business will not have to spend too much when the error rate is reduced, and that situation will not happen again in the future. 

Strategic planning

Six sigma is a very important step in a company's project because it is like a strategic vision. The business will then set out its goals and mission and conduct a SWOT analysis and focus on its area of strength and development. 

Strategic planning
Strategic planning

Business expansion

Businesses will be able to create Six sigma standard process and reduce the sources of defects so that difficulties in the project will be reduced and can progress to expand the production scale. 

>>>See more: The production management models Commonly applied in businesses today

Improve corporate culture

The human factor is extremely important to develop the company in a stronger way. From there, if the environment is competitive, employees will also compete and establish a culture of fair and progressive competition for the business. 

Principles of effective application of Six Sigma method

Customers are the focus

Six sigma focuses on understanding the voice of customers and that is the business philosophy of the business. Need to improve the process to a standard based on customer expectations and needs. 

Proactive management

Six sigma focuses on defect handling and seeks to be proactive and increase business accuracy so product defects can be addressed and improved. 

>>> See more: Business strategy consulting The key to business success

Emphasize data and facts

Six sigma helps that project and business and answers the following 2 questions when making a decision:

Emphasize data and facts
Emphasize data and facts
  • What data and facts are most important and needed?
  • How does six sigma use informational data to maximize benefits?

Unlimited Collaboration

Six sigma will create a smooth process and always follow unlimited rules between functions, agencies and departments in the business including diagonal, horizontal, vertical. 

>>> See more: What is OEE?? Formula to calculate OEE? Example of calculating OEE

Towards perfecting mistakes

Standard six sigma is not yet 100% accuracy. Six sigma makes the business not in a hurry and creates absolute perfection. From there, the company's plan will be improved in a more complete and effective way and avoid failure.

But as long as that business is exempt from the consequences for the business limit and learns lessons in the process later. 

>>> See more: What is Kanban? and related information that you should know


Hopefully with some information Johnson's Blog offer about What is Six Sigma? will help readers better understand this concept and draw many lessons for the upcoming project. 


Johnson Vu – Deputy General Director of Viindoo Technology Joint Stock Company

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