1002. What is the History of Six Sigma

What is the History of Six Sigma?

While the formal corporate emergence of Six Sigma is widely credited to Motorola in the late 1980s, the methodology is actually built upon mathematical, statistical, and operational principles that span back over two centuries.

Understanding the history of Six Sigma requires tracing how pure statistical theories evolved into industrial tools, continuous improvement cycles, lean production systems, and ultimately global corporate management strategies.

1. Mathematical Foundations: Gauss and Shewhart (19th Century – 1920s)

The statistical roots of Six Sigma began long before modern manufacturing lines existed:

• Carl Friedrich Gauss (19th Century): Developed the concept of the normal distribution curve (the Gaussian curve), establishing the foundations for measuring statistical variation.

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• Walter Shewhart (1924): Known as the “Father of Statistical Quality Control.” While working at Bell Laboratories, Shewhart created the Control Chart, applying statistical distribution theory to industrial processes. He defined a process requiring correction as one operating beyond $3\sigma$ from the central mean. Shewhart shifted statistics from theoretical academia to practical manufacturing control.

2. The Quality Pioneers: Deming and the Japanese Quality Revolution (1940s – 1970s)

Following World War II, statistical quality management expanded internationally:

• W. Edwards Deming: Developed the Plan-Do-Check-Act (PDCA) cycle while working for the U.S. Department of Agriculture. As a consultant in post-war Japan, Deming taught statistical process control to Japanese industrial leaders, earning him recognition as “the American who taught quality to Japan.”

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• The Toyota Production System (TPS): Kiichiro Toyoda, Eiji Toyoda, and Taiichi Ohno at Toyota integrated Deming’s principles with concepts like Just-in-Time (JIT) and Jidoka (autonomation). This established the foundation for modern Lean manufacturing, focusing on waste reduction and operational velocity.

3. The Genesis at Motorola: Bill Smith and Bob Galvin (1970s – 1987)

The true corporate genesis of Six Sigma took place at Motorola:

In 1970, Japanese management acquired Motorola’s Quasar television manufacturing plant in Illinois. By applying strict quality control, Japanese managers reduced defect rates to 5% of what they had been under Motorola’s previous management. This stark contrast forced Motorola executive leadership to re-evaluate their quality strategy.

┌─────────────────────────────────────────────────────────────────────────┐
│                     The Evolution of Six Sigma                          │
├───────────────────┬───────────────────┬───────────────┬─────────────────┤
│ 19th Century      │ 1920s - 1950s     │ 1980s         │ 1990s - Present │
│ Gauss             │ Shewhart & Deming │ Motorola      │ GE & Global     │
│ Normal Curve      │ Control Charts    │ Bill Smith    │ Jack Welch      │
│ Distribution      │ PDCA Cycle        │ 3.4 DPMO      │ Global Business │
│                   │                   │ 6σ Program    │ Strategy        │
└───────────────────┴───────────────────┴───────────────┴─────────────────┘

Key Milestones at Motorola:

• 1981: CEO Bob Galvin challenged Motorola to achieve a 10-fold increase in operational performance within five years.

• Parts Per Million (PPM): Engineer Bill Smith (recognized as the “Father of Six Sigma”) alongside Dr. Mikel Harry realized that measuring defects per thousand was insufficient for complex electronics. They shifted the measurement metric to Defects Per Million Opportunities (DPMO).

• The 3.4 DPMO Target: Smith calculated that aligning process capabilities to fit six standard deviations (6 σ) within specification limits would yield no more than 3.4 defects per million opportunities (accounting for a 1.5 σ process shift).

• January 15, 1987: Bob Galvin officially launched “The Six Sigma Quality Program” across Motorola, setting aggressive performance targets: a 10-fold defect reduction by 1989, a 100-fold reduction by 1991, and full 6 σ capability by 1992.

Motorola’s campaign earned them the inaugural Malcolm Baldrige National Quality Award in 1988, proving the financial viability of $6\sigma$ metrics.

4. Corporate Scaling: AlliedSignal and General Electric (1990s)

Following Motorola’s success, major corporations adopted the framework:

• AlliedSignal (1990s): CEO Larry Bossidy implemented Six Sigma across AlliedSignal (now Honeywell), demonstrating that the framework applied equally to administrative and business workflows, not just shop-floor assembly.

• General Electric (1995): CEO Jack Welch made Six Sigma the centerpiece of GE’s corporate strategy. Welch mandated that executive bonuses be tied to Six Sigma adoption and embedded belt certifications into career advancement tracks. By 1998, GE reported over $750 million in cost savings directly attributed to Six Sigma projects.

By 2000, Six Sigma had matured into a standalone global industry encompassing consulting, accredited belt certifications (Yellow, Green, Black, Master Black Belt), and software integration across aerospace, healthcare, finance, and automotive sectors.

Timeline Summary of Six Sigma History

Frequently Asked Questions (FAQ)

Q1: Who is considered the father of Six Sigma?

Bill Smith, a senior engineer and scientist at Motorola, is recognized as the Father of Six Sigma. He introduced the statistical calculations and defects per million opportunities (DPMO) framework to CEO Bob Galvin in the 1980s.

Q2: What role did Jack Welch play in the History of Six Sigma?

Jack Welch, CEO of General Electric, transformed Six Sigma from an engineering quality tool into an executive-level business strategy in 1995. By tying certification to leadership promotion, GE proved that Six Sigma generates massive financial returns ($750M+ savings in three years).

Q3: How are Lean and Six Sigma historically connected?

Lean developed from the Toyota Production System focusing on speed and waste elimination, while Six Sigma developed at Motorola focusing on statistical defect reduction. In the early 2000s, these frameworks converged into Lean Six Sigma to address both process speed and process variation simultaneously.

Written by Ravi Prakash—Quality Expert (38+ yrs exp). Connect on LinkedIn or Contact Us.

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