Six Sigma Training and the Importance of Calculating the Z Score

Posted on September 16th, 2015 by blogger

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Can you determine how many grey strands would crop up per hundred strands of hair on your head? Never. But, you can surely figure out how many errors are going to occur per million chances in a process. And you can correct them. And improve the process. Well, that’s what Six Sigma is capable of!

Yes, it’s a powerful business model utilised by organisations for the sake of process improvement. Over the years, this model has helped businesses in cutting costs, enhancing productivity, maximising profit, and meeting business goals. This is why every organisation of today is rushing after a formal Six Sigma training to improve business.

Now, to know the possibility of a defect, the Z score or Z value is used. It is like a yardstick that facilitates a statistical method of standardising data on a single scale to enable a comparison. This Z score reveals the amount of deviation of a point from the mean. The formula looks somewhat like this:

Z = (x- µ) / σ

x = data point, µ = mean, σ = standard deviation

Here are some important considerations:

  • If Z = 0, the value is equal to the mean.
  • If Z > 0, the value is greater than the mean.
  • If Z < 0, the value is lesser than the mean.
  • If Z = 1, the value is 1 standard deviation greater than the mean.
  • If Z = -1, the value is 1 standard deviation less than the mean.

Thus, the lower the value of Z, the higher is the change of an error occurring. This value may range from 1 to 6. For any process, Six Sigma can be attained in its truest form if it has a Z score of 6. The defects calculated, then, would be 3.4 per million.

This score is like a benchmark set, which will keep motivating organisations to improve their processes and come up with better results. Improvement attempts will undoubtedly include limiting the variations happening within the process.

The Z score reveals important things about your business processes:

The Z score assists in the quality management and control. It helps in monitoring the quality of products and services and their impact on consumers.

Such analysis shows the scope of improvement in the production processes and enables the development of solutions to combat errors. Thus, it is an approach that ensures that the highest standard of quality is maintained and presented to consumers.

The idea was initially meant for limiting the numbers of defects in business processes. But, the approach has come of age now. The Z score can now be extended to maximise productivity as well. The objectives include reduction of loss due to improper functioning of process and poor practices of work.

But, do you know you need a formal training to apply the Z score?

Without attending the Six Sigma training, you will never be able to implement the Z score properly. An attempt sans proper guidance will be ineffective and futile. Instead of cost cutting, you will end up spending more, and instead of saving time, your operations will sloth.

Keep your business on track by taking up the course now. It’s time to learn the best practices and apply them across your organisation, don’t you think?

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