Gatlin Education Six Sigma Green Belt - OVERVIEW Why Do Six Sigma - Page 10

Sigma Levels Just as in the IRS example, we can calculate defect rates for most processes, whether we are manufacturing sprinkler parts, designing aircraft, providing technical support, driving an ambulance, serving lunch, or nearly any other process deemed critical to our customer. Bear in mind that cycle time is often a critical characteristic for both service or manufacturing industries. Failing to meet the customer expectation for cycle time is also a defect. As we'll discuss in more detail later, it is also important to include any process 'rework' that might increase our costs or hide our true defect rate. The term rework originates in manufacturing, where defective parts can often be tweaked, re-assembled, or otherwise modified to 'work'. Since they are usually sold along with their "first time good" counterparts, there is a tendency to exclude them from the defect count. However, since there was additional work necessary to make them saleable, they should be included as defects so the true potential for improvement is measured. These so-called Hidden Factory costs are usually much more significant than meets the eye. Do service processes have rework? You bet! Have you ever had to talk to a supervisor to get a problem resolved at a department store? That's rework.