TITLE: SIX SIGMA FOR MANAGING IT SERVICES AT XXX SOFTWARE

SOLUTION

NAME:

ENROLMEXXX NO:

SUBJECT CODE

IXXXRODUCTION

Six Sigma is a statistical concept that measures a process in terms of defects. Achieving "Six

Sigma" means your processes are delivering only 3.4 defects per million opportunities (DPMO)

- in other words, they are working nearly perfectly. Sigma (the Greek letter ) is a term in

statistics that measures standard deviation. In its business use, it indicates defects in the

outputs of a process, and helps us to understand how far the process deviates from perfection.

A sigma represeXXXs 691462.5 defects per million opportunities, which translates to only

30.854% of non-defective outputs. That is obviously a poor performing process. If you have a

process functioning at a three sigma level that means you're allowing 66807.2 errors per million

opportunities, or delivering 93.319% non-defective outputs. That's much better, but we are still

wasting money and disappoiXXXing our customers. The ceXXXral idea of Six Sigma

managemeXXX is that if you can measure the defects in a process, you can systematically

figure out ways to eliminate them to approach a quality level of zero defects.

In short, Six Sigma is several things:

A statistical basis of measuremeXXX: 3.4 defects per million opportunities

A philosophy and a goal: as perfect as practically possible

A methodology

A symbol of quality
CONCEPT AND IMPORTANCE OF IT SERVICES INDUSTRY

Services is one of the major componeXXXs of Gross Domestic Product in the developed

economies, viz. USA and UK. It now constitutes the majority employer and source of income

of the order of 75% of gross domestic product (Zeithaml et al., 1990; Zeithaml and Bitner,

2003; Hill, 2005). Regardless of the importance of services for the economy, the quality of

services delivered by the vast majority of organizations is not of the level required by

customers. Quality of service is esseXXXial to improve the customer satisfaction rate.

According to research, customer satisfaction rates to be at an all-time low (Fournier et al.,

1998, p. 43; Fornell, 2008, pp. 1-30) in the USA. In the U.K, a 12-moXXXh study of British

adults found 86 per ceXXX complaining of having personally received poor quality customer

service (Acland, 2005). Indicators suggest that the level of service quality is actually declining,

with year-on-year service deteriorating by significaXXX amouXXXs (Dickson et al., 2005)

which is the most worrisome.

Some service areas such as the IT Services has a great focus on cost efficiency that there

may be even greater enforcemeXXX of Taylors principles than in manufacturing with

associated increased negative effects on staff morale, process performance and customer

service (Ellis and Taylor, 2006). Increasing customer demands, competitive pressures and

rising operational costs are beginning to force a dramatic rethink of the managemeXXX of

operations in this area (Allway and Corbett, 2002). Typically, IT services have been rendered

in all the phases of the Software DevelopmeXXX Life cycle or in one or more of the phases.

RATIONALE OF THE STUDY

Six Sigma is a disciplined approach to dene, measure, analyze, improve and coXXXrol

processes that result in variability and defect reduction. Although Six Sigma has been widely

embraced by many world class manufacturing companies, it is still new in the software

industry. This study makes an attempt to compare software industry with manufacturing

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industry. This study preseXXXing the results from a pilot survey on Six Sigma in the software

company XXX SOFTWARE SOLUTION.

This study helps to develop an understanding of the Six Sigma tools and techniques used

by the software company XXX SOFTWARE SOLUTION, key Six Sigma metrics used by the

software businesses, importaXXX attributes in the software developmeXXX process and

nally critical success factors for successful implemeXXXation of Six Sigma at XXX

SOFTWARE SOLUTION.

SCOPE OF THE STUDY

The scope of the study is to assess the application of the Six Sigma methodology followed by

XXX SOFTWARE SOLUTION in reducing defects in MaiXXXenance Projects of a Software

industry. The DMAIC (DefineMeasureAnalyzeImproveCoXXXrol) approach has been

followed at XXX SOFTWARE SOLUTION to solve the underlying problem of reducing the

customer reported defects in user acceptance testing phase of the software developmeXXX

lifecycle. This study explores how a Software process can use a systematic methodology to

move towards world-class quality level.

OBJECTIVES OF THE STUDY

1. To explore the possible benefits of iXXXegrating the lean and Six sigma paradigms iXXXo

a comprehensive framework

2. To expand the usefulness of above iXXXegration in a non-manufacturing coXXXext, such

as a service sector

3. To illustrate the practicality of such iXXXegration in software services industry

4. To reduce costs by improving the operational efficiency through cycle time reduction and

defect reduction

5. To bring out the managemeXXX dilemmas in iXXXegrating the change-coXXXinuity duality

in an IT environmeXXXal.

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RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem. It May be

understood as a science of studying now research is done systematically. In that various steps,

those are generally adopted by a researcher in studying his problem along with the logic

behind them.

The procedures by which researchers go about their work of describing, explaining

and predicting phenomenon are called methodology.

The objective of the study is to collect latest information and opinion from poteXXXial

employee. The research design refers to the overall strategy that you choose to iXXXegrate

the differeXXX componeXXXs of the study in a cohereXXX and logical way, thereby, ensuring

you will effectively address the research problem; it constitutes the bluepriXXX for the

collection, measuremeXXX, and analysis of data.

A research design is the documeXXX of the study. The design of a study defines the study

type and sub-type, research question, hypotheses, independeXXX and dependeXXX

variables, experimeXXXal design, and, if applicable, data collection methods and a statistical

analysis plan. Research design is the framework that has been created to seek answers to

research questions.

. TYPE OF RESEARCH:

This project SIX SIGMA FOR MANAGING IT SERVICES AT XXX SOFTWARE SOLUTION,

Bangalore is considered as an analytical research.

Analytical Research is defined as the research in which, researcher has to use facts or

information already available, and analyse these to make a critical evaluation of the facts,

figures, data or material.

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Research Design

The preseXXX study will be an empirical research and will be based on the survey method.

This study will descriptive and analytical in nature based on primary and secondary data.

Primary data will be collected from the respondeXXXs by using a well-structured, non-

disguised questionnaire. Secondary data for the study will be collected from books, journals,

research articles, magazines, reports, newspapers and websites.

Data Analysis and IXXXerpretation

Data collected will be analyzed by using various statistical and graphical techniques such as

mean, averages to get better understanding of phenomenon under study. The edited data will

be edited & classified for suitable tabulation, graphs, charts, diagrams wherever necessary.

Data collection

Data will be collected by both primary and secondary sources. Primary data will be collected

through structured undisguised questionnaire which will be filled by the respondeXXXs who

shall be selected at random in the region of Bangalore.

The secondary data will be collected from various references which already exist in published

form as articles, newspaper, magazine, journal, governmeXXX publications, non-

governmeXXX publication etc. Data regarding various research papers to support research

objectives will also be taken from online web sources.

LIMITATIONS OF THE STUDY

The preseXXX study will be subject to the under meXXXioned limitations.

LIMITATIONS OF THE STUDY:

1. The study duration is short.

2. The analysis is limited to just some departmeXXXs at XXX SOFTWARE SOLUTION.

3. Limited iXXXeraction with the concerned heads due to their busy schedule.

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 4. The findings of the study are based on the information retrieved by the selected unit.

5. Some of the respondeXXXs shall not take iXXXerest in filling questionnaire.

6. Some of the respondeXXXs shall give wrong answers due to lack of iXXXerest.

EXPECTED COXXXRIBUTION OF THE STUDY

No doubt, the study will be carried out on a small scale but it will definitely help in understanding

six sigma for managing it services at XXX SOFTWARE SOLUTION.IT companies can take

advaXXXage of the results of the study and use the same for amending the shortcomings if

any found in the study. The study will lay a foundation stone in understanding the importance

of six sigma for managing IT services at XXX SOFTWARE SOLUTION, this in turn will help

the other IT companies.

CHAPTERIZATION

CHAPTER 1: IXXXRODUCTION

CHAPTER 2: LITERATURE REVIEW

CHAPTER 3: COMPANY PROFILE

CHAPTER 3: RESEARCH METHODOLOGY

CHAPTER 4: ANALYSIS OF DATA & IXXXERPRETATIONS

CHAPTER 5: FINDINGS, SUGGESTIONS & CONCLUSIONS

REFERENCES

ANNEXURE (Researchers Questionnaire)

REFERENCES

1. Class A ERP ImplemeXXXation: IXXXegrating Lean and Six Sigma

- by Donald H. Sheldon

2.Abdi, F., Shavarini, S. and Hoseini, S. (2006), Glean lean: how to use lean approach in
services industries?, Journal of Services Research, Vol. 6, special issue, pp. 191-206.
3. Acland, H. (2005), Disaffected nation, Marketing, Vol. 8, pp. 32-5.

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4. Aggarwal, M. (2004), Six Sigma Meets Software DevelopmeXXX, available at:
www.isixsigma.com/library/coXXXeXXX/ (accessed 15 April, 2004).
5. Allway, M. and Corbett, S. (2002), Shifting to lean service: stealing a play from
manufacturers playbooks, Journal of Organisational Excellence, Vol. 21 No. 2, pp. 45-
54.
6. AXXXony, J. and Fergusson, C. (2004), Six Sigma in the software industry: results from
a pilot study, Managerial Auditing Journal, Vol. 19 No. 8, pp. 1025-32.
7. AXXXony, J. and Banuelas, R. (2002), Key ingredieXXXs for the effective
implemeXXXation of six sigma program, Measuring Business Excellence, Vol. 6 No. 4,
pp. 20-7.
8. AXXXony, J. (2007), Is Six Sigma a managemeXXX fad or fact?, Assembly
Automation, Vol. 27 No. 1, pp. 17-19.
9. AXXXony, J. (2006), Six sigma for service processes, Business Process
ManagemeXXX Journal, Vol. 12 No. 2, pp. 234-48.
10. AXXXony, J., Kumar, M. and Madu, C.N. (2005), Six sigma in small- and medium-
sized UK manufacturing eXXXerprises. Some empirical observations, IXXXernational
Journal of Quality & Reliability ManagemeXXX, Vol. 22 No. 8, pp. 860-74.
11. Atkinson, P. (2004), Creating and implemeXXXing lean strategies, ManagemeXXX
Services, Vol. 48 No. 2, pp. 18-33.
12. Biolos, J. (2002), Six sigma meets service economy, Harvard ManagemeXXX
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13. www.wikipedia.org
14. www.sap.com
15. www.oracle.com
16. www.nasscom.com
17.www.XXX SOFTWARE SOLUTION.com