CGS 8m 8sigma
December 2, 2005 at 3:58 pm #41610
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If the cgs of a production unit is just over 8m USD, do you advise going for 8sigma, instead of staying at 6 already achieved0December 2, 2005 at 7:39 pm #130656
No. Set new specification limits for the cgs and recalculate the sigma value based on the new specification limit and then try to set a reasonable target value for sigma based on your business considerations. The net effect is the same as shooting for a higher sigma but now you are explicitly accounting for the change in specification limit for cgs.0
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