In this series of columns, we have been discussing the TBIA Business Intelligence Capability Maturity (BI-CMM) Model, which provides a foundation for evaluating and improving BI quality. Six Sigma BI combines the strengths of the Six Sigma approach with the audit and improvement blueprint in the TBIA BI-CMM to create the highest quality, lowest cost BI assets. Six Sigma BI is a customer-focused, metrics-based approach that refers to a better and smarter way of creating and managing BI assets. Six Sigma means putting the customer first and striving for a product that is near perfection. Six Sigma principles have produced significant results in the business world for years. Using a Six Sigma approach to improving the quality of BI assets can provide more value to an organization than any number of new BI applications.
What is Six Sigma?
Six Sigma describes a measure of quality that reflects a goal of near perfection. The Six Sigma Way is a disciplined, data-driven approach and methodology for eliminating defects and improving quality. Six Sigma is a statistical term that, in effect, translates as “near perfection.” A Six Sigma goal means the product is 99.9997 percent defect free (68 percent = 2 Sigma; 93 percent = 3 Sigma, 99.4 percent= 4 Sigma; 99.5 percent= 5 Sigma). Sigma means standard deviation which is a statistical term that describes how much variation exists in a set of data. Thus, we may set a goal of 3-second response time for a certain category of query. Striving for Six Sigma quality would mean that if we measure response time for 10,000 queries, we want to find that 9,997 of those queries would meet the goal of a response time of 3 seconds or less. (Actually, we usually speak in terms of a million opportunities (i.e., queries). So, the definition is not quite accurate. There are also other aspects to the measurement process – i.e., short-term versus long-term variations in the data, etc. However, the basic principle is to strive for a near perfect product.)
The Three Aspects of Six Sigma BI
Figure 1
Applying Six Sigma to BI requires a new approach to the creation and management of BI assets. Understanding the BI customer, defining the goals for BI success, and the integrating the Six Sigma principles are all keys to success. Customer needs are crucial. Near perfection is the goal. The blueprint for achieving a Six Sigma level BI includes an iterative improvement process, which is based on metrics, monitoring, analysis and control. Three primary aspects of a Six Sigma BI initiative are:
- Focus on the customer. Who is the customer? What are their perceptions and expectations for a quality BI product? We will need to define and monitor the product factors that are critical to quality for the customer.
- Push for perfection. Develop and use a rigorous, iterative, metrics based program for creating, monitoring, managing and improving the BI product and assets.
- Understand the BI assets. Define, understand, audit and assess the BI assets. Identify and relate the underlying factors within the BI asset base to those factors which have been identified as critical to quality for the customer in the product.
In this first column on Six Sigma BI, I will concentrate on the first aspect: focus on the customer. Who is the customer? How exactly do we focus on the customer and where does this fit into the program for improving the BI product and the creation and management process.
Focus on the Customer
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