Break Down the Business Issue

Creating project should be appropriate with the business issue of the organization to get the right direction of the improvement. Business issues usually are concept in general objectives (Big Y) and must be detailed in small objectives (little y) that more practical to be implemented. Let us study of the simple case bellow:

“The Paper Manufacturing Business has issuing the Management Policy to increase the 25% outcome/profit by increasing export and cost down the material.”

Based on the management policy above, the business strategy has a plan to deploy their KPI by increasing sales, reducing material cost, quality, and productivity. In the term of some organization, the performance usually indexed by KPI (Key Performance Index). KPI is the way of the organization direction to setup the target. Big Y can be deployed from the KPI (Big Y equal with KPI). But, not all of the KPI can be selected as the Big Y because of its function only focuses in the big issue.

Big Y must be representing the Management task or strategy and the Big Y is the object that should be controllable, measurable and attainable by Six Sigma activities. The schema of Big Y deployment as is shown bellow.

Picture D.3 Breakdown Business Issue