Economics of the Electric Car
Tesla is the company that has propelled Elon Musk from obscurity to stardom. It’s hard to believe that the redundant electric vehicle market was made hugely popular by Elon Musk’s Tesla cars. Tesla cars are not an economy vehicle by any chance. Instead, the average price is close to $100,000. Tesla has become a role […]
HR Metrics and Workforce Analysis
HR Metrics and Workforce analysis is a useful strategic tool for HR which shares information and evidences about the functioning of the entire system by relying on facts and figures, as opposed to mere assumptions or personal opinions. Over a period of time, the HR Metrics has evolved with the usage of more quantitative and […]
Understanding the Confidence Interval
The confidence interval is a central concept of hypothesis testing. Although understanding its mathematical and statistical meaning is beyond the scope of this module, one needs to have a fair idea of the concept. Hence, a brief introduction of the confidence interval that is essential for the Six Sigma project team to understand is as […]
Export Marketing Channels
For any Business Organization which is eyeing a foreign market as a part of its Exports strategy, getting its Marketing and Supply chain in place forms a critical part of the initial process which will determine his initial foray into the markets. While doing business in foreign markets is very lucrative, the initial cost of […]
Step 4: Develop a Business Case for your Project
Now that we have the problem as well as the goal statement handy, it is time to ensure that these statements are well articulated in the business case. The management has to choose amongst several possible six sigma projects while granting its resources. The ones that do succeed in getting the resources from the management […]
Although the Six Sigma process has tried to make the process of developing problem and goal statements into a science, however in reality it still remains an art. This combined with the fact that goal and problem statements go a long way into the execution of the project make it important to understand what are the components that make some statements better than the other. Here are a few tips in this regard:
Problem and goal statements that are effective are written from the customers point of view. It is important to understand that the customer here is not the customer like marketing would refer to. There are internal customers within the organization. Anyone who receives the output of the process is a customer. Project Champions that spend time in understanding the customers real needs and planning goal and problem statements accordingly do better than others.
The Customers point of view is important. However it is also important to understand that the customer assigns varying degree of priorities to the various needs. Hence the needs need to be prioritised and segregated. The needs that are critical to quality (CTQ) must be paid more attention to while preparing the problem and goal statements.
Numbers tell you a story. This statement is true when it comes to six sigma. Words can be subjective. Using numbers to express the problem ensures that everyone has a similar understanding of the problem and it is not prone to numerous interpretations. Also numbers hold the key link of transitioning from the problem to the goal. The Problem is a level of the number, when it reaches another desired level it becomes a goal.
Problem and goal statements must be written in as few words as possible. It is common practise to write long statements full of business jargons. However, the Project champion must ensure that both these statements have the least possible jargons and are written in the fewest number of words possible.
A good problem statement does not imply causes, does not point fingers and does not suggest solutions. It is a problem statement, its job is to define a problem as accurately as possible. Similar is the case with goal statements. Goal statements are not meant to suggest solutions or causes. They must suggest what the state of affairs would be in ideal conditions.
Inculcating these measures will make both your problem as well as your goal statement robust and help you effectively define the purpose of your project.
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