The member will learn how to formulate problem and goal statements
- To quote the famous American inventor, Charles Kettering, "A problem well stated is a problem half-solved." The importance of problem definition cannot be emphasized enough. In this movie, I'll explain how to develop effective problem and goal statements for a Six Sigma project. The problem statement describes the opportunity or problems to be addressed by the Six Sigma project. The opportunity or problem should not be a one-time occurrence, not a one-off problem that occurs sporadically.
It should be a recurring, chronic problem. The problem or opportunity should be specific and measurable. For example, it is specific to a process, product, or service and it is specific to a type of defect or performance deficiency. It should be measurable to indicate a size and impact of the problem in operational and financial terms. The opportunity or problem should be relevant and significant to the organization. Otherwise, why bother? Here's an example of a problem statement.
"Over the past 12 months, First Call Resolution "at our IT Help Desk is only 60%. "This is below the 75% required "in our service level agreement" or SLA. "Failure to meet this requirement will result "in a loss of $200,000 in penalties, "not to mention customer dissatisfaction, "nonrenewals, and the potential loss of clients." The opportunity or problem is a recurring, chronic problem stated in specific and measurable terms and it is relevant and significant.
The problem statement is very compelling. It makes you want to address it immediately. The purpose of the goal statement is to establish the target result to be achieved and by when. To do this effectively, the goal statement should be SMART, S-M-A-R-T. It is an acronym for Specific, Measurable, Attainable, Relevant, and Time-bound. S, specific as to what needs to be improved. M, measurable as to how much improvement to achieve. A, attainable that a target result is realistic and achievable.
R, relevant to the success of the business or organization. T, time-bound, the time-frame to get it done. In our example, the goal statement is "Improve First Call Resolution rate to 75% or higher, "while ensuring customer satisfaction, "within the next four months." As you can see, the goal statement is SMART. Specific to improving First Call Resolution rate. Measurable at 75% or more. It is an attainable and reasonable goal.
It is relevant to the success of the business, since that is the level required in the service level agreements. It is time-bound, as the goal must be achieved within four months. Let's show the problem and goal statements together. When the problem and goal statements are stated correctly, you and your project team benefit. Both statements show a compelling problem that needs to be addressed, how much needs to be improved, and by when. To summarize, the opportunity or problem is recurring, chronic, specific, measurable, relevant, and significant.
The goal must be smart, specific, measurable, attainable, relevant, and time-bound. When you learn how to develop effective problem and goal statements, you benefit because they compel you to act decisively with direction and focus as to what needs to be improved and why, by how much, and by when.
- What is Six Sigma?
- Understanding key concepts such as Y = f(x) and sigma level
- Selecting Six Sigma projects and team members
- Planning in the Define phase
- Gathering data in the Measure phase
- Analyzing data in the Analyze phase
- Selecting and evaluating solutions in the Improve phase
- Developing a control plan in the Control phase