Define Tollgate Review and Project Charter Finalization, Sign-off
The define phase tollgate review represents the formal transition point between scoping a problem and executing deep operational measurement. Up to this point in the DMAIC roadmap, the improvement team has defined the problem triad, established explicit scope boundaries, structured RACI governance, and applied diagnostic tools like SIPOC and Is/Is Not matrices.
Before committing organizational resources to data collection in the Measure phase, the team must consolidate these outputs into a final project charter and present them to the Executive Sponsor or Champion for formal approval.
1. Consolidation of Define Phase Deliverables
Passing a define phase tollgate review requires presenting a fully populated charter backed by verified diagnostic outputs.
┌────────────────────────────────────┐
│ Define Tollgate Gatekeeping │
└─────────────────┬──────────────────┘
│
┌──────────────────┬───────────────────────┼───────────────────────┬──────────────────┐
▼ ▼ ▼ ▼ ▼
【 Strategic Triad 】 【 Scope Boundaries 】 【 Team & RACI 】 【 Diagnostic Tools 】 【 Risk Assessment 】
Business Case, In-Scope vs. Champion, Belt, SIPOC, Is/Is Not, Initial hurdles
Problem & Goals Out-of-Scope SMEs & Owners High-Level Map & mitigation
Every item in the Define Phase checklist must be thoroughly validated:
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Finalized Project Charter: Incorporating verified baseline metrics, quantified Cost of Poor Quality (COPQ), and SMART target statements.
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Validated Process Scope: Clear In-Scope vs. Out-of-Scope limits preventing scope creep.
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Customer Voice Mapping: Conversion of Voice of Customer (VOC) feedback into measurable Critical to Quality (CTQ) specifications.
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High-Level Process Mapping: Approved SIPOC and macro process flows ($3$ to $7$ steps) defining operational inputs and outputs.
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Resource Commitment: Signed RACI matrix confirming dedicated time allocations for team members.
2. Comprehensive Master Project Charter Template
Below is the integrated, consolidated template used during the formal approval meeting:
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SIX SIGMA PROJECT CHARTER MASTER TEMPLATE
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1. PROJECT IDENTIFICATION
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Project Name : Billing Invoice Error Rate Reduction
Executive Champion: VP of Finance Process Owner: Billing Operations Mgr
Belt Lead : Black Belt (Ravi Prakash) Target Start : Sept 16, 2023
2. BUSINESS CASE & STRATEGIC ALIGNMENT
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High billing error rates reduce cash flow velocity and increase accounts
receivable aging. Fixing this process directly supports the corporate VOB
goal of reducing annual operational expenditure by 5%.
3. PROBLEM STATEMENT (DATA-DRIVEN)
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Over the last 6 months, B2B Billing experienced an average invoice defect rate
of 8.5% against a standard threshold of <= 1.5%. This performance gap caused
$120,000 in annual rework labor and customer payment delays.
4. GOAL STATEMENT (SMART)
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Reduce B2B invoice error rates from 8.5% to <= 1.5% by Dec 31, 2023, yielding
an estimated annual financial COPQ savings of $98,800.
5. PROJECT SCOPE & BOUNDARIES
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IN-SCOPE : North American B2B Invoicing Pipeline; SAP Billing Module 4.2.
OUT-SCOPE : B2C Consumer Payments; European Operations; Payment Collections.
6. MILESTONE SCHEDULE
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Define Phase : Sept 30, 2023 (Approved) | Analyze Phase : Nov 10, 2023
Measure Phase: Oct 15, 2023 | Improve Phase : Dec 05, 2023
| Control Phase : Dec 30, 2023
7. TEAM STRUCTURE & RACI GOVERNANCE
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Executive Champion : Accountable (A) | Billing SMEs : Responsible (R)
Process Owner : Accountable (A) | Financial Lead : Consulted (C)
Black Belt Lead : Responsible (R) | Frontline Staff : Informed (I)
8. FORMAL AUTHORIZATION & SIGN-OFFS
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Executive Champion Signature: _______________________ Date: _______________
Process Owner Signature : _______________________ Date: _______________
Lead Black Belt Signature : _______________________ Date: _______________
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3. The Tollgate Approval Workflow and Evaluation Checklist
The define phase tollgate review is an active decision-making session, not a passive status report. The Champion evaluates the submission against five core criteria before authorizing passage to the Measure phase:
| Tollgate Evaluation Standard | Key Gatekeeping Question | Approval Status |
| 1. Business Case Validity | Is the financial return (COPQ) large enough to justify resource commitment? | [ ] Passed |
| 2. Problem Precision | Is the problem statement free of solutions and pre-determined root causes? | [ ] Passed |
| 3. Metric Measurability | Is the primary output metric (Y) clearly defined and measurable? | [ ] Passed |
| 4. Boundary Feasibility | Is the scope realistic enough to complete within the 12-to-16-week timeline? | [ ] Passed |
| 5. Resource Availability | Are team members allocated sufficient time by their operational managers? | [ ] Passed |
The Three Possible Tollgate Outcomes
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Approved: The Champion signs the charter, releasing budget and resources for the Measure Phase.
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Conditional Approval: Minor adjustments required (e.g., refining scope limits or obtaining financial controller sign-off).
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Recycle / Redirection: The business case is insufficient or the problem requires restructuring before proceeding.
Successfully passing the define phase tollgate review provides the team with formal authorization to begin baseline data collection.
Frequently Asked Questions (FAQ)
Q1: What happens if a project fails the define phase tollgate review?
If a project is redirected at the define phase tollgate review, the Belt lead must address the Champion’s concerns—such as narrowing the scope, recalculating financial impact, or removing solution bias—and resubmit the charter for approval.
Q2: Who has final authority to sign off on the Define Phase Tollgate?
The Executive Sponsor (or Champion) holds ultimate authority for signing off on tollgate approvals and authorizing project resource allocation.
Q3: Can data collection begin prior to Define Tollgate approval?
Preliminary exploratory data can be collected to form the problem baseline, but formal Measurement System Analysis (MSA) and comprehensive sampling must wait until the charter is authorized.
CSSC Certification Practice Exam Questions
1. During a Define phase tollgate review, what is the primary role of the Executive Champion?
A) To collect daily operational process data.
B) To evaluate project viability, approve resource allocations, and sign off on the charter.
C) To perform Measurement System Analysis (MSA).
D) To draft technical workflow instructions.
- Correct Answer: B) To evaluate project viability, approve resource allocations, and sign off on the charter.
- Explanation: The Champion serves as the executive gatekeeper responsible for resource allocation and strategic authorization.
2. Which document consolidates problem statements, goal statements, scope limits, team roles, and milestone schedules for tollgate sign-off?
A) Process Control Plan
B) Measurement System Analysis
C) Six Sigma Project Charter
D) Design of Experiments (DOE) Report
- Correct Answer: C) Six Sigma Project Charter
- Explanation: The Project Charter is the foundational agreement summarizing all initiation parameters for executive approval.
3. What is the main objective of the Define Phase Tollgate in the DMAIC framework?
A) To test root causes using ANOVA.
B) To confirm that the problem is well-defined, aligned with business goals, and authorized for Measurement.
C) To implement permanent poka-yoke solution controls.
D) To execute statistical hypothesis tests.
- Correct Answer: B) To confirm that the problem is well-defined, aligned with business goals, and authorized for Measurement.
- Explanation: The Define Tollgate validates project scoping and strategic alignment before committing resources to detailed measurement.
Previous Post in the Series – 1016. Define Phase Tools-Application, Examples, and Tollgate Preparation.
Next Post in Series: 1018. Introduction to the Measure Phase: Operational Definitions and Data Collection Strategy
Written by Ravi Prakash—Quality Expert (38+ yrs exp). Connect on LinkedIn or Contact Us.
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