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Lean Sigma Glossary / Abbreviation List
Acronym Definition Description
α Alpha The maximum risk or probability of
making a Type I Error. This probability
is always greater than zero and is usually
established at 5%. The researcher makes
the decisions to the greatest level of risk
that is acceptable for a rejection of Ho. β Beta The risk or probability of making a Type
II Error, or overlooking an effective
treatment or solution to the problem.
μ Population mean Symbol used to describe the average for
an entire population
σ Population standard deviation Symbol used for standard deviation of
entire population. Measure of the
spread of the process (width of the
distribution).
% R & R Gage % Repeatability and Reproducibility Addresses what percent of the Total
Variation is taken up by measurement
error.
Affinity Diagram A management tool that assists with
general planning. It makes disparate
language information understandable by
placing it on cards and grouping the cards
together in a creative manner. "Header"
cards are used to summarize each group. ANOVA Analysis of Variance Hypothesis test used to analyze the
difference in means between two or more
samples.
Assessment A systematic process of collecting and
analyzing data to determine the current,
historical or projected status of an
organization.
Assignable Cause The name for the source of variation in a
process that is not due to chance and
therefore can be identified and
eliminated.
Audit "The inspection and examination of a
process or quality system to ensure
compliance to requirements. Audit can
apply to an entire organization or be
specific to a function or production step."
(Dr. Joseph M. Juran)
Baseline Measurement A beginning point based on an evaluation
of the output over a period of time to
determine how the process performs
prior to any improvement effort.
Benchmarking The process of finding and adapting best
performance.
Best Practice A superior method or innovative practice
that contributes to improved
performance.
BB Black Belt A process improvement project team
leader who is trained and certified in the
Six Sigma breakthrough methodology
and tools and who is responsible for
project execution.
Boxplot "A graphic summary of a distribution
where the overall dispersion and the
central tendency or mean of the data are
highlighted." (Arturo Onnias)
Brainstorming An idea-generating technique that uses
group interaction to generate many ideas
in a short time period. Ideas are solicited
in a non-judgmental, unrestricted
manner from all members of a group.
Designates a process step that the
business requires to stay in business.
Capability The total range of inherent variation in a
stable process. It is determined using
data from control charts.
Capability index A calculated value used to compare
process variation to a specification.
Examples are Cp, Cpk. Can also be used
to compare processes to each other.
Cause An established reason for the existence of
a defect or a problem.
C/E or C&E Cause and Effect Matrix Prioritization matrix used to assist in
focusing in on the root causes of process
problems.
Central Tendency The tendency of data gathered from a
process to cluster toward a middle value,
somewhere between the high and low
values of measurement.
Champion An upper level business leader who
facilitates the leadership,
implementation, and deployment of the
process quality initiative and
breakthrough philosophies.
Charter A written commitment by management
stating the scope of authority for an
improvement group. Resources,
including time and money, are specifically
addressed.
Checksheet A form for recording data on which the
number of occurrences of an event can
be recorded as ticks or checks.
Code of Conduct Expectations of behavior mutually agreed
upon by a team. (Also called "norms" or
"rules of engagement.")
Common Cause A source of process variation that is
inherent to the process and is common to
all the data.
CI Confidence Interval An interval that can be said, with X%
certainty, to contain the true process
mean or standard deviation. “We are
95% confident that the true process
mean is in this interval.”
Conformance The state of meeting and/or exceeding
customer requirements and expectations.
Consensus A state where everyone in the group
supports an action or decision, even if
some of them don't fully agree with it.
Consensus Decision A decision made after all aspects of an
issue, both positive and negative, have
been reviewed or discussed to the extent
that everyone openly understands,
supports and participates in the decision.
Control Keeping a process within boundaries;
minimizing the variation of a process.
Control Chart A problem solving statistical tool that
indicates whether the system is in or out
of control, as determined by computed
control limits.
Control Limits "Defines natural boundaries of a process
within specified confidence levels" [upper
control limit (UCL), and lower control limit
(LCL) defined on a control chart]. (J. R.
Russell)
Cost-benefit Analysis A way to compare the costs and benefits
of plans. Can be used for comparing the
financial outcomes of different actions
and determining if a particular action
makes sense financially.
COPQ Cost of Poor Quality Cost associated with poor quality
products or services. Examples:
Product inspection, Sorting, Scrap,
Rework, and Field Complaints.
Cp Process Capability Index A calculated value used to compare
process variation to a specification. Can
also be used to compare processes to
each other.
CPD Customer Percent Defective The percentage of products or services
that are successfully completed on the
first attempt without requiring remedial
action or rework.
process variation to a specification. Can
also be used to compare processes to
each other.
Countermeasure Action taken to counter the verified root
cause of a problem.
Critical Characteristic A characteristic dependent on the
functioning of budget constraints,
competitive edge and/or customer
satisfaction of the product.
Critical Dependencies The interrelationships existing within or
among processes that are primary drivers
of defects or errors in a product or
service.
CPIV Critical Process Input Variable The vital few process input variables that
have the greatest effect on the output
variable(s) of interest. They are called
“X’s”, normally 2 – 6 true critical
variables.
different organizational units or functions
that are part of a team to solve problems,
plan, and develop solutions affecting the
organization as a system.
CVA Customer Value Added Term used in Value Analysis of a process.
Designates a process step that the
customer is willing to pay for.
CT Cycle Time The average time from a unit entering
the process until it is completed as a
finished good.
CTQ Critical to Quality A requirement that a customer values is
considered Critical to Quality. What the
customer pays for.
Defect Any instance or occurrence where the
product or service fails to meet customer
requirements
Defect Opportunity A type of potential defect on a unit of
throughput (output) that is important to
the customer (i.e. Specific fields on a
form that creates and opportunity for
error that would be important to the
customer).
Defective Any unit with one or more defects. See
also Defects
DMAIC Define, Measure, Analyze, Improve, Control 5 steps during a Six Sigma project
DMADV or DMADVI Define, Measure, Analyze, Design, Validate
or Define, Measure, Analyze, Design, Verify,
Implement
New process design tool. Commonly
used acronym for Design for Six Sigma
methods.
DOTWIMP Defects, Overproduction, Transportation, Seven wastes
Waiting, Inventory, Motion, Processing
DPMO Defects Per Million Opportunities The number of defects in every million
opportunities. By taking into account
opportunities for defects, and not just
defects, we can compare processes of
differing complexity.
DPU Defects Per Unit The number of defects in a unit or
product. This measure does not take
into account the number of opportunities
for defects, just the number of defects. DOE Design of Experiments An efficient method of experimentation
which identifies, with minimum testing,
factors (key process input variables) and
their optimum settings that affect the
mean and variation.
Empowerment Act of placing accountability, authority,
and responsibility for processes and
products at the lowest possible level.
Whether or not a person is truly
empowered depends on their acceptance
of responsibility and accountability, their
capabilities, and the seriousness of the
consequences.
ENT Entitlement The best a process measure could be.
External Failure Nonconformance identified by external
customers.
Y = F(x1, x2, x3, ……)
F Function relating process inputs to process
outputs
FMEA Failure Modes and Effects Analysis Method used in measure to understand
risks of failure in a process.
quality troubles and restoring the status
quo." (Dr. Joseph M. Juran)
FPY First Pass Yield The percentage of products or services
that are successfully completed on the
first attempt without requiring remedial
action or rework.
Five “whys” A technique for discovering the root
cause(s) of a problem and showing the
relationship of causes by repeatedly
asking the question "Why?"
Gage bias (Accuracy) The difference between the true or
reference value and the observed
average of multiple measurements of the
identical characteristic on the same part.
Gage repeatability The variation in measurements obtained
with one measurement instrument when
measuring the identical characteristic on
the same part.
Gage reproducibility The variation in the average of the
measurements made by different
appraisers using the same measuring
instrument when measuring the identical
characteristic on the same part.
Gap Analysis The comparison of a current condition to
the desired state.
Goal "A broad statement describing a desired
future condition or achievement without
being specific about how much and
when." (Government Performance and
Results Act of 1993)
GB Green Belt A part-time process improvement project
team leader who is trained and certified
in the Six Sigma breakthrough
methodology and tools and who is
responsible for project execution.
Typically works on smaller scoped
projects than B B’s.
H o Null Hypothesis A statement of no change or difference.
This statement is assumed true until
sufficient evidence is presented to reject
it. “If p is low, Ho has to go”
a
This statement is considered true if Ho is
rejected.
Hawthorne effect Every change results (initially, at least) in
increased productivity. Often occurs
early in a project, where process
participants realize the process is under
study.
Histogram A graphic way of summarizing data by
plotting possible values on one axis and
the observed frequencies for those values
on the other axis. It helps one visualize
the central tendency and dispersion of
the data.
House of Quality A product-planning matrix developed
during quality function deployment that
shows the relationship of customer
requirements to the means of achieving
these requirements. The matrix
indicates the impact each of the means
has on one another.
Implementation A structured approach that addresses all
and how) of incorporating improvements
into the process or system.
Improvement The organized creation of beneficial
change; the attainment of unprecedented
levels of performance. Levels of
improvement range from incremental to
major; e.g., "breakthrough"
improvement.
I/O Input Output Type of process map that includes
process steps and their inputs and
outputs.
Inspection Process of measuring, examining or
testing a product service against some
requirement to identify nonconformance
before it reaches a customer.
Internal failures "Product failures that occur before the
product is delivered to external
customers." (Dr. Joseph M. Juran)
documentation of standardized
processes.
JIT Just In Time A concept where an item is delivered,
just-in-time, where and when it is
needed.
Kaizen In the business world, The word Kaizen
has been utilized by the Japanese to
characterize a business strategy involves
everyone in an organization working
together to make improvements 'without
large capital investments'
Kanban "A communications tool in the
'just-in-time' production and control
system. A kanban, or signboard, is
attached to specific parts in a production
line signifying the delivery of a given
quantity. When all parts have been used,
the same sign is returned to its origin
where it becomes an order for more."
(Kaizen Institute)
KJ Jiro Kawakita Name of a noted Japanese
anthropologist. Created method for
summarizing and characterizing large
quantities of anthropological data
gathered during his expeditions.
KPIV Key Process Input Variable The vital few process input variables that
have the greatest effect on the output
variable(s) of interest. They are called
“X’s”, (normally 2 – 6)
are called the “Y’s”, (usually 1). May be
process performance measures or
product characteristics.
LCL Lower Control Limit Demonstrates lower limit of process
expected variability. Points outside of
control limit should be investigated to
determine assignable cause. Formula is
(process sample mean – 3 x sample
standard deviation). 99% of the
process variation falls within the lower
and upper control limits.
Little’s Law CT = CT * TH
LSL Lower Specification Limit Lowest acceptable value or measurement
customer is willing to accept. Lower
limit of customer requirement.
MBB Master Black Belt A person who is “expert” in S ix Sigma
breakthrough techniques and project
implementation. MBBs play a key role in
training and coaching Black Belts.
Measurement System The complete process used to obtain
measurements. It consists of the
collection of operations, procedures,
gages and other equipment, software,
and personnel used to assign a number
or value to the characteristic being
measured.
MSA Measurement System Analysis Method to understand the capability of
the measurement system.
time that communicates vital information
about a process or activity. A metric
should drive appropriate leadership or
management action. Physically, a metric
package consists of an operational
definition, measurement over time and
presentation.
assist in data analysis.
Multi-Vari Type of multiple variable process study Assists in identifying the primary x’s that
impact your Y’s. A graphic way of
depicting variation within a single entity,
machine or process, or between entities
(produced at the same time or over
time). Allows the study of process
inputs and outputs in a passive mode
(natural day-to-day process).
Multi-vari Chart A graphic way of depicting variation
within a single part, machine or process,
or between parts (produced at the same
process inputs and outputs in a passive
mode (natural day-to-day process).
Multivoting A structured voting process used to
reduce a large number of items, usually
ideas, to a more manageable number for
further processing or analysis.
NGT Nominal Group Technique A tool for generating a list of ideas or
opportunities (allows individuals to
express their opinion). Voting and
ranking determine priorities.
NVA Non-Value Added Term used in Value Analysis of a process.
Designates a process step that is not
required by the business or the customer.
Normal distribution A continuous, symmetrical, bell shaped
frequency distribution for variable data.
Out of control Describes a process that has variations
that fluctuate outside the computed
control limits. This condition normally
indicates the process is not operating as
desired or that external factors have been
introduced. A process "out of control" is
not stable and therefore is not
predictable.
p p-value Test statistic used in Hypothesis testing.
“If p is low, Ho has to go.”
P/T Precision to customer tolerance ratio Addresses what percent of the tolerance
is taken up by measurement error.
Includes both repeatability and
reproducibility.
Paradigm A set of rules and regulations that defines
boundaries and tells what to do to be
successful within these boundaries.
Pareto Chart A statistical method of measurement to
identify the most important problems
through different measurement scales;
e.g., frequency, cost, etc. It directs
attention and efforts to the most
significant problems.
PPM Parts Per Million Same as DPMO.
PDSA Plan Do Study Act Plan-Do-Study-Act: a structured, cyclical
methodology for developing and
implementing actions of any type: Plan
for the action by collecting and analyzing
data and developing alternatives; Do,
implement the selected alternative
(preferably on a small scale); Study,
evaluate results and compare expected
values; Act, standardize action and/or
Wheel)
Prevention A quality assurance strategy that
attempts to identify and correct
unacceptable service or product
characteristics during the design,
development or production phases.
Probability The chance of an event happening or a
condition occurring in a random trial.
Process The combination of people, equipment,
materials, methods, and environment
that produce output – a given product or
service. It is the particular way of doing
something.
Process map A step-by-step pictorial sequence of a
process showing process inputs, process
outputs, cycle time rework operations,
and inspection points.
referred to as the customer
requirem ents. They are called the “Y’s”,
(usually 1). May be process
performance measures or product
characteristics.
Process Spread The extent to which the distribution of
individual values of the process
characteristic (input or output variable)
vary; often shown as the process average
plus and minus some number of standard
deviations. Other related measures of
spread include the range, and variance. QA Quality Assurance Used to describe either a company’s
quality methods or quality department.
Assurance is typically more proactive.
Quality Audit "A systematic, independent examination
and review to determine whether quality
activities and related results comply with
planned arrangements and whether the
arrangements are implemented
effectively and are suitable to achieve the
objectives." (ASQC Quality Progress, Feb
92)
QC Quality Control Used to describe either a company’s
quality methods or quality department.
Control is typically more reactive.
QFD Quality Function Deployment A system that translates customer
requirements (voice of the customer) into
technical requirements for each stage of
development and/or production.
and minimum data points in a sample.
R & R Repeatability and Reproducibility Repeatability: The variation in
measurements obtained with one
measurement instrument when used
several times by one appraiser while
measuring the identical characteristic on
the same part.
Reproducibility: The variation in the
average of the measurements made by
different appraisers using the same
measuring instrument when measuring
the identical characteristic on the same
part.
RSM Response Surface Methods Method for using DOE to optimize
process parameter settings. Allows for
fine process adjustment for ultimate
optimization.
r b Rate of Bottleneck Process bottleneck rate or rate of the
workstation having the highest long term
utilization in that process.
RPN Risk Priority Number Metric used in FMEA to quantify risk.
Calculated by multiplying the Severity of
the Effect, the probability of Occurrence
of the Failure and the ability to Detect the
Failure. RPN = S x O x D
RTY Rolled Throughput Yield The multiplication of all the individual first
pass yields of each step of the entire
process.
s Sample Standard Deviation A measure of the average variation of a
sample (width of the distribution).
SBTI Sigma Breakthrough Technologies, Inc. A consulting firm that specializes in Six
Sigma implementation.
SMED Single Minute Exchange of Die
SIPOC SIPOC Map - Suppliers Inputs Process
Outputs Customers Single page process map that shows the scope of the process your project is examining.
SD Standard Deviation A measure of the spread of the process
(width of the distribution).
SOP Standard Operating Procedure Standardized procedure that is
documented and used by all process
participants.
SPACER Safety, Purpose, Agenda, Code of Conduct,
Expectations and Roles Meeting effectiveness technique. Every meeting should begin with review of safety procedures, meeting purpose, agenda, meeting code of conduct, meeting expectations and meeting roles.
Spec Specification The customer requirement for judging
acceptability of a particular characteristic.
or s Standard deviation A measure of the spread of the process
(width of the distribution).
Statistical control The condition describing a process from
which all special/assignable causes of
variation have been eliminated and only
common/random causes remain.
Applies to both the mean (location) and
standard deviation (spread).
SPC Statistical Process Control Method that uses control charting to
manage a process as it occurs.
Storyboard Technique to graphically display the
methodology used and progress made by
a process action team; a board,
specifically designated to display
information
Takt time The pace of the process required to meet
customer requirements. (Average work
time / Average Demand).
Tampering The process of adjusting a stable process
to try to compensate for a result that is
undesirable or for a result that is extra
good, the output that follows will be
worse than if the tamperer had left the
process alone.
TOC Theory of Constraints A management philosophy that focuses
the organizations scarce resources on
improving the performance of the true
constraint, and therefore the bottom line
of the organization.
TCS Total Customer Satisfaction
T, TH T o Throughput The average output of a production
process per unit of time.
Average time it takes a single unit to
traverse an empty production process
process variability. Points outside of
control limit should be investigated to
determine assignable cause. Formula is
(process sample mean + 3 *s). 99% of
the process variation falls within the
lower and upper control limits.
measurement customer is willing to
accept. Upper limit of customer
requirement.
U Utilization Utilization of any workstation, capital,
process or line is usually defined as
percent of time running divided by
VA Value Added Term used in Value Analysis of a process.
Designates a process step that is deemed
valuable either by the business or the
customer.
VSM Value Stream Map Type of process map that shows product
and information flow. Also shows
process data.
Variation Difference between individual
measurements. Differences are
attributed to common and/or special
causes.
VOC Voice of the Customer Customer requirements
WIP W o Work In Process The inventory between the start and end
points of a production process or series of
processes necessary to produce a
finished good.
WIP level for which the process achieves
maximum throughput.
X Process Input variable In a Six Sigma project, we determine the
inputs (X’s) that impact our process
outputs (Y’s).
or X-bar Sample mean Symbol used to describe the average of a
population sample.
Y Process Output variable In a Six Sigma project, we determine the
inputs (X’s) that impact our process
outputs (Y’s).。