Performance Management Systems and Strategies

PERFORMANCE IMPROVEMENT THROUGH SIX-SIGMA PRACTICES

The literal meaning of six-sigma is six standard deviations from mean. The word ‘sigma’ is a Greek term indicating standard deviation. Essentially, it helps in process improvement by making use of statistics as a tool to identify and address performance management issues. It was first started in Motorola and then gradually became a globally accepted tool to improve organizational performance. The underlying philosophy of six-sigma is that no process is error free. Hence organizations should continuously focus on achieving excellence through process improvement by recreating it every time. Using the DMAIC cycle, i.e., define opportunities, measure performance, analyse opportunities, improve performance, ...