Six Sigma is a structured approach utilized by businesses to ensure and enhance quality delivery to their customers. It involves statistical analysis to measure and identify areas for improvement.
The Six Sigma process was developed by Bill Smith, a Quality and Reliability engineer at Motorola Corporation. Smith found that actual product failure rates were much higher than predicted during the design phase. These high failure rates resulted in additional warranty costs and decreased customer satisfaction. Smith proposed a formalized methodology that would analyze and control quality and reliability processes, and this process became known as Six Sigma.
Many large and small businesses have successfully implemented Six Sigma programs, and General Electric Corporation is a notable example of a company that saved over $10 billion dollars in the first five years after implementing their own Six Sigma program.
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