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October 2002

Six Sigma:
The Pursuit
of Perfection

Why perfection is much more than a manufacturing

defect ideal, and how Primus knowledge solutions

help companies deliver on the principles of Six

Sigma in customer service interactions.


Six Sigma: The Pursuit of Perfection | October 2002

Six Sigma Defined


Six Sigma is the disciplined methodology of defining, measuring, analyzing, improving,
and controlling the quality in all of a company's products, processes, and transactions—
with the ultimate goal of virtually eliminating defects. It is a concept that grew out of
several concurrent quality initiatives at Motorola in the early 1980s and rapidly spread
to other technology manufacturing companies (General Electric and Allied
Signal/Honeywell).

Sigma is the letter in the Greek alphabet (o-) used by statisticians to mark a bell curve
showing the likelihood that something, like receiving your morning newspaper, will
deviate from the norm and how many standard deviations from the norm it occurs. In
the simplest terms it means variation from an ideal outcome. It is a statistical tool for
measuring defects, defined as anything that deviates from the ideal, whether the ideal
is a perfectly manufactured product or a discrete customer service interaction. Six Sigma,
the highest level on the Sigma chart, is defined as no more than 3.4 defects (missing
newspapers) per 1 million opportunities, or 99.9997 percent perfect.

As a means of comparison, at a Four Sigma (99.9% perfect) level of


performance we would experience:
• Two unsafe landings at O’Hare International Airport in Chicago each day
• 16,000 pieces of lost mail by the U.S. Postal Service every hour
• 500 incorrect surgical operations each week
• 50 newborns dropped by their doctor at birth every day
• 32,000 missed heartbeats per person each year

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Six Sigma: The Pursuit of Perfection | October 2002

Six Sigma in the Organization


While Six Sigma is essentially a statistical way of measuring and removing manufacturing
defects, over the last two decades it has become much more to both American and
European companies. It is now known variously as

• A program
• A concept that concentrates on the customer rather than the product
• A way of life intended to change culture in an organization

Once known as an initiative that was limited to eliminating product defects, Six Sigma
has grown into a full-fledged management discipline.

As a program, it is a highly structured methodology for improving business processes


and in most cases represents the latest incarnation of the Total Quality Management
(TQM) movement. It brings the methods and analytic tools of engineers to bear on
defining the issues that matter most to customers and where changes to work processes
can most positively impact those issues.

As a concept it leads to a corporate culture change, a paradigm shift that begins with
the expectation of five nines (99.9997% non-defects), and drives a passion for continuous
improvement by all stakeholders within an organization.

As a way of life, Six Sigma signifies a mission within the enterprise. It catalyzes a
culture change, provides context around why an organization is in business, and
promotes the need for improvement through knowledge.

The Role of Profound Knowledge


in Quality Improvement
W. Edwards Deming, the father of the TQM philosophy, believed that quality is achieved
only through profound knowledge. His system of profound knowledge is based upon
four principles:

• Appreciation for a system


• Knowledge about variation
• Theory of knowledge
• Psychology

Deming firmly believed that a person or a corporation could not adequately implement
TQM without profound knowledge.

Appreciation for a system


A system is a network of interdependent components, generally people, products, and
processes, that work together to accomplish the goals of the organization. To achieve
total quality, all elements of the system must work in concert. People in the system have
an obligation to work for the greater good of the whole corporation.

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Six Sigma: The Pursuit of Perfection | October 2002

Knowledge of variation
In its simplest terms, variation, or change, is a constant in life. Minor variations (nothing
to worry about) are significantly different from major variations (reason for immediate
action). The principles of Six Sigma call these common cause and special cause,
respectively. Management has two responsibilities. The first is defining the metrics that
separate common cause from special cause; the second is knowledge of the system,
which enables management to know the difference between the two. If every little bump
in the road caused a panic, calamity and chaos would rule the enterprise.

Theory of knowledge
According to Deming, all knowledge is built on theory. Theories convey predictions of
the future. Predictions require observations to systematically test outcomes. This is
what Six Sigma provides to the system of profound knowledge: predictions about the
quality of the system in question, based on observation.

Primus’ theory of knowledge is based on the differences between tacit and explicit
knowledge. Tacit knowledge is embedded in the consciousness of an individual. It is
the personal knowledge our brains have absorbed through repetition or affirmation. It
is what enables us to perform a task without thinking about it. Explicit knowledge is the
knowledge we can express in symbols, words, pictures, and numbers. It is necessary
for knowledge workers to use both kinds of knowledge in a social environment which
enables and encourages the sharing of individual knowledge to improve the quality
of service provided to the organization’s customers.

Psychology
The psychological element of profound knowledge is mostly concerned with cultural
change management. Facilitating the transfer of knowledge from one individual to the
rest of the workgroup requires the creation of a culture that not only rewards knowledge
creation and sharing but ensures that job loss is not the end result. The psychology of
fear can be a powerful inhibitor to true knowledge creation and management. If I know
something that no one else in the workgroup knows, my job security is high. When I
share that knowledge with everyone else, my job security diminishes, unless I work in
an environment that rewards knowledge sharing.

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Six Sigma: The Pursuit of Perfection | October 2002

Facilitating Profound Knowledge within Six Sigma


The Six Sigma process builds and rewards knowledge workers. It is inherent in the
aspects of process management and process improvement. Knowledge workers are in
the business of finding and creating knowledge. They are also responsible for collaborating
to improve knowledge in their organization.

To deploy Six Sigma effectively, organizations have to turn all employees into
knowledge workers, which requires the development of a system that incorporated all
four facets of profound knowledge. Thus a Six Sigma culture needs a way to produce
Six Sigma knowledge. This is where Primus is unique. The knowledge system Primus
has developed is firmly based on profound knowledge principles and is constructed to
deliver Six Sigma knowledge.

Reducing Service Defects


When Six Sigma principles are applied to customer service, all variances from the ideal
level are defects in the service. A discrete bit of customer service could be an interaction
with a customer service agent, or a self-service interaction on the web. Knowledge-Centered
Support is a disciplined methodology to capture, structure, improve, and reuse knowledge
that is gained through the customer service experience with the goal of delivering the
highest quality service to the customer, thereby reducing costs. Why do we need Six
Sigma in customer service, and why is knowledge the key point of leverage?

• Time (and therefore cost) to respond to issues in the complex multi-vendor arena
continue to rise.
• Finding, training, and keeping quality personnel is more expensive, and support
remains a stressful, short-term training ground for the rest of the company versus a
place that attracts and retains the best employees.
• Engineering cannot determine the business implications and customer impact of new
products without the effective transfer of knowledge gained through the process of
servicing customers.
• Call centers are constrained in improving quality (and reducing costs) by the number
of expert resources available.
• Outsourcing efforts are hard pressed to keep up with the pace and growth of products.
• Customers will not be loyal to self-help systems or expensive premium packages if
the value is not clearly demonstrated.

The key point of leverage is knowledge—the effective transfer of knowledge to


appropriate resources.

The objective is to capture new knowledge the first time it


is discovered by the organization and share it with all who
need to know. As the knowledge is used, it is improved upon
until it reaches its highest state of accuracy and usefulness.

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Six Sigma: The Pursuit of Perfection | October 2002

Primus Delivers Six Sigma Knowledge


Delighting Customers
Although Six Sigma has typically been applied as a quality tool to improve performance
of a manufacturing operation, the concepts are equally applicable to the performance
of a service organization. In manufacturing a defect is anything that deviates from the
product ideal. In customer service a defect is anything that does not delight customers.
Our experience in this rigorous environment indicates that customers require:

• Fast response to their issues


• Accurate solutions
• Relevant solution—within the context of their use and experience base
• Consistency in service
• Fewer product defects

Designed for Six Sigma Processes


Primus is a Six Sigma-oriented company and has been since the beginning. Primus
eServer has feaures that, combined with a Solution Quality Management Program
(SQMP), provide the ability to assess solutions as Six Sigma defects per million
opportunities (DPMO). Primus delivers a knowledge-centered support methodology,
Knowledge-Centered Support, that meets the Six Sigma requirement of being based
upon a system of profound knowledge.

Primus improves the quality of customer and supplier information at every touchpoint
or interaction. Primus products allow for effective knowledge management, creation,
and sharing through live interaction in a call center environment or through email and
web-based interactions.

Primus’ combined system (Primus eServer, Answer Engine, and Knowledge-Centered


Support) provides critical mass for gathering customer CTQ's, QFD knowledge, root
cause analysis, supplier content development, and customer touchpoint knowledge.

Primus supports Six Sigma initiatives through an unparalleled ability to reduce the level
of incorrect or irrelevant information being offered to customers and suppliers. With
knowledge improvement built into the Primus workflow, you don't just find information,
you can improve it across the enterprise.

Dependence on Employees
The Six Sigma methodology depends on people for successful implementation. Most
companies train Champions, Master Black Belts, Black Belts, and Green Belts. These
people are the driving force behind implementing Six Sigma strategies. This is where
a system of profound knowledge comes in.

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Six Sigma: The Pursuit of Perfection | October 2002

Six Sigma Black Belts must possess the Six Sigma knowledge and skills necessary to
implement, lead, and sustain the Six Sigma initiatives in each area of a business. Master
Black Belts lead, mentor, and coach other Black Belts, and their time is usually focused
on Six Sigma improvement. The Primus knowledge implementation uses the same
philosophy of coaches and mentors.

As the intellectual content of a job increases, the degree to which that job can be
standardized via workflow goes down. This lack of workflow standardization demands
an integration of structured and unstructured knowledge content. The development of
a system that can deliver Six Sigma knowledge is essential to success.

Primus’ Six Sigma Capabilities


6o- Attribute Primus Capability

Define Define the knowledge that is critical to quality. Identify


where existing knowledge resides, who needs access,
what channels will distribute knowledge, and how new
knowledge will be created, shared, and reused.

Measure Provide a clear understanding of knowledge defects,


what knowledge is useful, what knowledge needs further
refinement, and what knowledge is obsolete. Measure
first contact resolution/solution effectiveness.

Analyze Track new knowledge creation for problem resolution


by individual and team. Capture product defect
information in real time for sharing. Identify ongoing
product/service related issues by analyzing knowledge
reuse, creation timelines, and the variation in the
customer experience.

Improve Capture service and product defect information in


the customer’s terms. Refine and improve knowledge
in real time.

Control Rigorous security processes for controlling knowledge


creation and access. Exhaustive reporting capabilities
allow for identification and control of workflow processes.

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Six Sigma: The Pursuit of Perfection | October 2002

Primus Manages Six Sigma Knowledge


Across all Interaction Points

Applications
For Web Self-Service For Level-1 Agents For Expert Agents

Self-Service Console: The eSupport: the online Quick Resolve: the rapid iView: eServer’s
web-based self-help interface user’s window to problem-resolution interface complete solution-
for solutions found through solutions in the eServer that enables less technical viewing and authoring
Answer Engine searches of knowledgebase, with agents to describe a problem interface, with the full
online documents, complete searches based on in the customer’s own words, complement of querying,
with two access options — a plain English queries; access existing solutions that searching, authoring, and
simple ask-question box, or delivery of information might apply, and, if needed, escalation tools, as well
category tabs customized to a from multiple sources; escalate the problem to 2nd- as flexible administration
company’s support offerings to and escalation to live level agents for resolution features and one-click
help users refine their questions. agents via web or email. and solution authoring. linking to call tickets.

Primus® Self- Primus® Quick


Primus® eSupport Primus® iView
Service Console Resolve

Connectors Lotus Notes


Three Content Connectors Connector
Primus® Primus®
allow Answer Engine to search Answer eServer
corporate databases for Engine
relevant answers to plain- ODBC
Connector
English questions. The three
connectors extract and index
data from legacy systems, then
render it in the HTML format for Custom
Connector
quick access by Answer Engine.

Modules

Attachment Reporting
CSR Assist eMail Assist
Management Database

Drawing on the strengths of both eMail Assist links to the Attachment Reporting Database
eServer and Answer Engine, eServer knowledgebase to Management allows includes a number of
Assisted Seeding pulls deliver email responses to agents and other tools for evaluating
documents from throughout the online questions — either support employees to and reporting call
enterprise into the automatically or with agent attach external center activity, such
knowledgebase for ongoing re- review. By integrating with documents to as first call close
use. Agents can view an external the leading email solutions in the rates, calls deflected
document as they’re creating a management systems, eServer knowledge- to the web, usage
solution, then drag in helpful text eMail Assist reduces the base. Agents can then activity for each
to complete the solution in a need for assisted service, email the solution, solution, and which
matter of seconds. The CSR while offering customers complete with the agents are creating
Assist option enhances eServer immediate, relevant linked document or or modifying solutions.
with content from any source responses any time of day. image, to the person
searchable by Answer Engine. seeking help.

Core Technologies
Answer Engine searches for answers in corporate documents eServer knowledgebase enables support
and databases in conjunction with eServer or as a standalone staff to continually capture, create, and
technology for delivery via the web. After typing questions in refine solutions as a natural part of the
plain English, users receive relevant answers from any of 225 workflow. As solutions are added to the
document formats. All the while, Answer Engine is tracking knowledgebase, they become available for
questions to help you improve content based on usage trends. shared use by anyone with access.

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Six Sigma: The Pursuit of Perfection | October 2002

Conclusion
Six Sigma has progressed far beyond the original production defect theory of two
decades ago to become a cultural methodology for managing the pursuit of perfection
in many aspects of organizational behavior. A rapidly growing application for Six Sigma
is the management of customer service environments which can be defined, measured,
analyzed, improved and controlled with the same rigor as manufacturing environments.
We believe that a critical component of customer service/support environments is
the cumulative organizational knowledge necessary to delight customers regardless of
the channel they choose to use. Primus delivers a set of solutions, proven in some of
the most demanding customer environments, that enable companies to achieve
Six Sigma knowledge.

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Six Sigma: The Pursuit of Perfection | October 2002

References
Deming, W. E. (1993) “The New Economics for Industry, Government, Education.”
Cambridge: MIT Center for Advanced Engineering Study.

Eckes, G. (2001) “The Six Sigma Revolution How General Electric and Others Turned
Process Into Profits.” John Wiley & Sons, Inc. NY, NY

Nonaka, I., Takeuchi, H. (1995) “The Knowledge Creating Company.” New York: Oxford
University Press.

Contact Information
For more information, visit
www.primus.com or email
sales@primus.com.
1601 Fifth Avenue, Suite 1900
Seattle, Washington 98101
206.834.8100 Main
206.292.8125 Fax
www.primus.com

This publication is provided "as is" without warranty


of any kind, either express or implied. Primus may
periodically modify or update the information in this
document without notice. Primus may also modify or
improve the product(s) and/or services described in
this publication without notice. If you contact Primus
with any information regarding this publication, that
information will be deemed to be neither confidential
nor proprietary, and Primus may use the information
in any way whatsoever. This white paper shall not be
deemed "documentation" and does not contain spec-
ifications for the purposes of determining Primus®
software warranties.

© 2002 Primus Knowledge Solutions, Inc. You may


only reproduce and distribute this publication in accor-
dance with your non-disclosure agreement with Primus.
All other rights reserved.

Primus, Primus eServer, Primus eSupport, Primus


Interchange, Primus Answer Engine, and Primus
Associative Search Engine are trademarks, registered
trademarks, or service marks of Primus Knowledge
Solutions, Inc. Other product and company names
mentioned in this publication are the trademarks of
their respective owners.

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