Thursday, 20 March 2014

Six Sigma Project Charter



The purpose of a project charter is to define the focus, scope, direction, and motivation for a team. The project champion typically creates the preliminary charter with the team leader. The project team reviews the draft and provides input for the champion’s final approval.
Below points are very vital while defining the Project Charter:
i.                     Business Case
ii.                   Problem Statement
iii.                  Goal Statement
iv.                 Scope
v.                   Milestones
vi.                 Roles and Responsibilities

1.       Business Case: It establishes the rationale for the project. A business case should set out the benefits gained from carrying out a project charter. Benefits need not only be in terms of finance such as revenue, cost reduction, etc., but also the benefit that the customer receives. Below mentioned are few of the characteristics of a good business case:

i.                     Reason of undertaking the project
ii.                   Benefits gained from undertaking the project.
iii.                  Consequences of not doing the project.

2.       Problem Statement: In the problem statement s, we identify what to measure; means the problems are being defined in specific terms. They present facts such as the product type and the error made. Below mentioned questions should get properly answered in problem statements:

i.                     What is the problem?
ii.                   When and where the problem does occur?
iii.                  Whom it is impacting?
iv.                 How big the problem is?
v.                   What is the impact of the problem?

3.       Goal Statement: Goal Statement documents the reasons for undertaking the project in clear and concise language i.e. the results anticipated from the project. The targets are stated as measurements. The Goal Statement should contains below mentioned points:

i.                     Definition of improvement the team is seeking to accomplish.
ii.                   It should be realistic and not aggressive.
iii.                  Should be SMART (Specific, Measureable, Attainable, Relevant, Time Bound).

4.       Scope: Project Scope identifies boundaries for the project. It clearly gives the answers to  questions, like:

i.                     Is the scope clear and attainable?
ii.                   Can the project be completed in defined time line?
iii.                  Who is the decision-making authority?
iv.                 Is the team’s area of influence clarified?
v.                   What information is needed to identify the urgent issues?

5.       Milestone: Milestone identifies start date and completion dates as well as dates for other important checkpoints. It sets the timelines for all the stages of DMAIC (Define, Measure, Analyze, Improve, and Control). These dead line dates must be agreed with all the team members and set by Project Champion.

6.       Roles and Responsibilities: It clearly describes the roles and responsibilities of all the team members or groups involved in the process. This is required so that each team members should be aware about his/her responsibilities and accountabilities, like:

i.                     Role of Champion
ii.                   Role of Master Black Belt, Black Belt and Green Belt
iii.                  Role of all project team
iv.                 Frequencies of interaction or meeting
v.                   Purpose of interaction or meeting
vi.                 Process of interaction or meeting

 

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