Ethical Aspects of 6 Sigma Methodology
The entire concept of 6-σ (Six Sigma) is based on satisfying customers. Although the methodology is said to have been first proposed by Bill Smith of Motorola company (Wiki, 2006), statisticians have been aware of this concept long ago. Smith only was the first to apply it in production processes in 80's. Since then, the methodology has been used in many organizations and had saved millions (Wiki, 2006).
The principle revolves around putting the stress on measuring and harnessing dispersion in the production process (opposed to stressing the importance of mean average) since dispersion is the determinant of the number of defective outcomes. (I would not delve into statistical aspect since it is irrelevant to the scope of this paper, but I will have to mention some though.) Thus, the methodology is aimed at increasing the number of standard deviations (generally marked s) so that 6 these standard deviations fall within the acceptable limits from each side of target mean. In other words, supporters of the methodology strive to mold the production process in such a way that over 99.99% of the outcomes are within the acceptable limits, or to be more precise, 3.4 defects per million opportunities (Saxena, 2006). This, in turn can be achieved by either of the two options. First, which is very costly but beneficial in long term, is to control the production process so that the sample of many output units (products or services) forms a much higher and thinner bell-shaped curve, this way naturally decreasing dispersion and concentrating most outcomes near the mean. The other option, which is the target of this paper, is to shift the planned specifications or acceptable limits as well as the target mean so that more outcomes are within the limits. (This technique is surely much more complex than what is covered in this paper.)
From the point of view of the producer - the one who applies 6-s - the methodology is rather beneficial, because it reduces the number of defects and makes the operations more stable. However, from the point of view of the consumer, this might not be as good as it seems, although 6-s is aimed at customer satisfaction. The problem, however, is that for customers the target expected outcome is satisfied in fewer number of times because the producer is oriented at reducing variance by shifting the entire production. So, even though vast majority of outcomes are within the specified customer requirements, the best desired outcome occurs significantly fewer times.
The ethical problem is that customers still want the best desired product/service more than simply satisfactory. And so, instead of simply maintaining the production at a certain level and focusing on quality and the target mean, the producers shift the target mean but put more stress on keeping production within acceptable consumer specifications. Therefore, the price the producer pays for reducing defects (barring the financial expenses) is that consumers receive less products of their target expected quality. Now, why can't the producers simply make the product as they did before, focus on the target expected outcome, and reduce unacceptable variations using some other techniques? Instead, producers save millions while consumers less frequently receive the best product/service though with only 3.4 defects per million outcomes. Thus, it is an ethical issue whether producers have a moral right to turn to such saving techniques, taking into account that clients benefit quantitatively, but not qualitatively.
Bibliography
1. Six Sigma. (2006). Wikipedia - the free encyclopedia. Retrieved June 19th 2006 from http://en.wikipedia.org/wiki/Six_Sigma
2. Statistical Six Sigma Definition. (2006). iSixSigma LLC. Retrieved June 19th 2006 from www.isixsigma.com/library/content/c010101a.asp
3. Saxena, S.K. (2006). Introduction to Six Sigma. Discover 6 Sigma. Retrieved June 19th 2006 from www.discover6sigma.org/post/2005/10/introduction-to-six-sigma/
Author Bio
Sean Priestley is master administrator and manager of NeWavEssays custom essay writing service.
Article Source: http://www.ArticleGeek.com - Free Website Content
More Resources
Unable to open RSS Feed $XMLfilename with error HTTP ERROR: 404, exiting
Related Articles
Top 10 Principles for Positive Business Ethics
This morning, I read about a company using on-line auctions to defraud customers. Last week, I consulted on an ethics complaint where a business coach betrayed a client's confidentiality.
Business Ethics: An Oxymoron?
Why do I believe good PR and business ethics are inextricably linked? It comes down to definitions. Ethics is learning what is right and what is wrong and then doing the "right thing.
The Everyday Business Ethics Crisis Or Im Mad as Hell and Not Going to Take it Anymore
Breaking news may feature the Enron debacle, WorldCom activities, or accounting problems but we live our everyday business life making ethical choices that affect our employment and businesses. Consider the ethical choices made in these situations:-A restaurateur hired a firm, used the firm's ideas, benefited from them and refused to pay for the services rendered.
No Credit is Due: Bad Telemarketing
Just a few minutes ago I was debating what to write about this week -- something interesting, perhaps, or maybe it was about time to give some credit to snails, I thought. Then, by some random stroke of luck, fate or writer's lightning (a term I created just now), I received a phone call from a credit card company.
The Social Implications of Computing
Directed by Mark Harrison, "Visions of Heaven and Hell" is a three-part cautionary tale come documentary commissioned by Channel Four, that warns of the impending infiltration of technology and pessimistically endeavours to communicate the sentient of an old Buddhist proverb which states "To every man is given the key to the gates of heaven; the same key opens the gates of hell." and within computerisation lies such a key thought a dismal set of apprehensive predilections.
Ethics in Business - Please Have Some
Is your business ethical?What I mean is "Does your business do the rightthing when faced with that decision?" It's asimple question, which many businesses strugglewith. I just don't understand the struggle part?I have worked for companies that believed they wereethical, and really have no clue.
The Collapse of Enron: Managerial Aspects
Executive summaryIts revenues made up US $139($184) billion, assets equaled $62($82) billion, and the number of employees reached more than 30,000 people in 20 countries around the world.While Enron Corporation was so highly praised by the outside observers, internally it had highly decentralized financial control and decision-making structure, which made it practically impossible to get coherent and clear view on corporations' activities and operations.
Minding Your Global Manners
To say that today's business environment is becoming increasingly more global is to state the obvious. Meetings, phone calls and conferences are held all over the world and attendees can come from any point on the globe.
Do Organizations Serve Us Or Do We Serve Organizations
We have seen an erosion in the confidence that society has in organizational leadership and its integrity recently with the numerous accounting scandals that have become public.Clearly this has led to the demise of several large organizations.
Enron's Ultimate Victim: Ethics
FROM the 'MORAL HIGH GROUND', where we imagine ourselves, the Enron fiasco should have come as no surprise. Enron is simply a quintessential example of the degradation of principles such as trust, loyalty and ethical standards.
The Armaments Industry and Holy (?) Roman Emperors
"The time for fixing every essential right on a legal basis is while our rulers are honest and ourselves united. From the conclusion of this war we shall be going down hill.
The Only Thing You Get for Free in Life is Hungry!
My grandfather was a very wise man. Simple but wise.
Business Ethics
There is much talk today about ethics in business - as there should be, but there should be more than talk; there should be a high moral code for all executives who are responsible to both their customers and their shareholders.I have been the president and CEO of one publicly owned company and also was president of another that was responsible to customers who traded equities.
Laws and Ethics?. Who's Kidding Who?
Years ago I read an article by a renowned psychologist wherein he wrote his studies found one percent of all human beings would never lie, cheat or steal. One percent would always lie, cheat or steal and given the right set of circumstances, the rest of us would likely lie, cheat and/or steal.
Brain Development and Due Process
DUE PROCESSAfricans, especially Nigerians are stereotyped on the internet and offline in foreign countries as corrupt, cheats and thieves.Whenever I have to introduce myself to foreign contacts, whether online or offline, I must make visible effort to prove my contact wrong, because he or she instantly sees me as a scammer-419, another Nigerian cheat or thief.
Better Business Boundaries
To get a new client, we might be inclined to make concessions no matter what the cost: offer a second or extra long sample session; reduce fees; set session times we don't want to work. We might leap at any opportunity before looking at the possible return on investment of time.
Business Ethics: An Oxymoron
An oxymoron: the juxtaposition of contradictory words or concepts. That is what we have with the term "Business Ethics".
Vice of Buggery at FTC
At the Federal Trade Commission we have seen attorneys who suffer from the vice of buggery get promoted to higher and more important international divisions. Now then, are these attorneys who have personal sexual problems and are breaking the laws of sodomy not wanted in the main group of Federal Trade Commission Employees? Is the FTC worried about sexual harassment laws? Are they worried about on-the-clock Men's Restroom "Quickies" and the possibility of the need for an unflattering in-house employee investigation becoming public? Is the Federal Trade Commission afraid to fire these buggerists, for some employee unlawful termination suit? Is buggery so pervasive that the FTC has to invent new titles for these guys so they can be moved up in rank to other divisions? If so why doesn't the FTC adopt a "Don't Ask, Don't Tell Policy" to prevent special treatment of those who suffer from buggery? Can't the FTC get psychological help for these men who thrust their penis up another man's rectum? Obviously these human organs were not set up to do that.
Work Ethics - A Paradigm Shift
Work ethics is a hot topic in today's business and educational worlds. Yet, how do we define this hybrid phrase with the word work meaning more than a specific outcome and the word ethics being more than the values that enhance that outcome?When we say we are going to work, work becomes the place of employment.
Six Reasons to Give
If you run a business, you undoubtedly feel many pressures on your time and money. Why would you want to add "giving to the community" to your "to do" list? Here are six reasons .