November 30, 2006

SIPOC Diagrams

We have a habit sometimes of only looking at a portion of the puzzle. Sometimes it is just necessary for being able to focus and manage your time appropriately, other times there is a need to collectively see the same picture. A situation where it is useful to see the entire process collectively is when you are trying to find a problem within a business process. The Six Sigma tool to help teams see the global big picture view of the process is the SIPOC diagram.

A SIPOC diagram is a high-level map of the process with the suspected problem. The diagram portrays a clear concise illustration of the entire process to allow the team to see the picture from the same perspective.

The SIPOC diagram consists of five elements:

  1. Supplier – The suppliers are the individuals, departments, or organizations that provide the materials, information, or resources that are worked on in the process being analyzed.
  2. Inputs – The inputs are the information or materials provided by the suppliers. Inputs are transformed, consumed, or otherwise used by the process.
  3. Process – The process is the steps or tasks that transform the inputs into outputs: the final products or services.
  4. Outputs – The outputs are the products or services that result from the process.
  5. Customers – The customers are the individuals, departments, or organizations that receive the outputs, the products or services, generated by the process.

The SIPOC diagram purpose is to provide a clear, simplistic illustration of the process under inspection. It is the airplane view of the cat herding farm.

Creating a SIPOC diagram involves five steps:

  1. Name the process - Naming the process involves identifying the process the sigma team is examining. This gives the team a reference point and enhances the team's focus. Make sure to name the process after the key functions the process performs; this will enhance the sigma team's focus on the entire process in question, rather than on one aspect of that process.
  2. Establish the process boundaries - Establishing the process boundaries involves defining where the process begins and ends. This helps prevent the team from straying into unrelated processes.
  3. Identify key outputs and customers - Identifying key outputs involves listing the products or services that result from the process. Identifying key customers involves listing the recipients of these outputs.
  4. Identify suppliers and key inputs - Identifying suppliers involves listing the people or sources who provide the materials or information for the process. Identifying the inputs involves listing the materials or information provided.
  5. Identify and order the key process steps - Identifying and ordering the steps entails listing up to seven tasks or activities that are involved in transforming the inputs into outputs. You can also refer to these steps as the core process of the larger process. On the SIPOC diagram, the core process transforms the inputs into outputs. This process is displayed in the middle box on the chart.

The ultimate goal to creating a SIPOC diagram is to develop a new set of key process steps that present the solution to the identified problem.

The SIPOC diagram is yields a broad perspective of the process it's investigating. The diagram illustrates complex processes in a simple flowchart, helps teams stay on course, and ensures that all team members are viewing the process in the same way.

Posted by Elyse at November 30, 2006 1:17 PM
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