© 2012 Six Sigma QualtecSIPOC Version 1.0.0 SIPOC

© 2012 Six Sigma Qualtec SIPOC Version 1.0.0

SIPOC

© 2012 Six Sigma Qualtec SIPOC 2

uSIPOCs provide an understanding of a process by easily identifying what activities take place in the process, who has a hand in producing the output, who receives the output and how all the various stakeholders measure success.

uIdentifies all elements of a project as well as refining the project if its not well scoped.

uBuilds the information to proceed with more detailed mapping & root cause analysis, if warranted and desired

Value of a SIPOC


SIPOC Requirements

u Clearly define the start and stop points u Establish key process metricsu Identify the components of a process and their

ownersu Identify all the suppliers and their inputs to a

processu Identify all the customers and the output they

receiveu Establish customer and all stakeholder

requirements and how they measure success


Definition of a Process

u A process is a group of steps, tasks, or activities that has a beginning and an end.

u A process takes inputs, for example materials, information, and people, and in some way changes them to produce an output.

u Simply, it can be seen as: input-process-output.

Input Process Output


Examples of Common Processes

u Scheduling production u Queuing customer service

u Repairing or maintaining a

productu Billing u Preparing an annual report

u Distributing mail u Budgeting u Entering Ordersu Answering telephones u Communicating u Coaching or teaching

Every organization has hundreds, if not thousands of work processes. To understand the organization, you must understand its processes! Before you can change a process, you need to describe and characterize it!


SIPOC Model

Process(Added Value)


SupplierSupplier CustomerCustomer

Requirements and Feedback(Product and Process)




Inputs Outputs

Activities

A SIPOC is a visual view of the Charter that helps to align the team to the project scope and goals


Process Components

u Before you begin the task of graphically displaying the structure of your process, take some time to describe the major components of the process in keeping with the fundamental definition of a process. A process has these components:p Boundariesp Activitiesp Participantsp Process Ownersp Stakeholdersp Customers & Requirementsp Outputsp Inputs & Suppliers

(continued)


Process Components –cont.Process Boundaries

u Boundaries: the start and stop points of the process to be considered for this project team.

u The process boundaries determine the scope of your mapping effort, and the project.

u Don’t place the boundaries too far apart. p Think about a problem definition and use existing

knowledge of the problem to help set these boundaries.


Process Components –cont.Process Activities (or Steps)

u Process Activities (or Steps): these are the actual activities taking place within the boundaries. Name all steps taken to convert the inputs into outputs.

u You can initially be as detailed as you like. All the steps can be grouped into higher order categories at a later point in time. All that is happening is that you’re naming activities in sub-processes.

u Make sure the activities truly lie within the boundaries. If the boundaries are set as a function of the problem statement and you stray outside the boundaries, you are outside the problem statement.


Process Components –cont.Process Participants

u Participants: The people who actually perform the tasks of the process.

u Every person who plays a role in the conversion of inputs into outputs should be included in your list of participants. In general, you should list participants by name, title, or function.

(continued)


Process Components –cont.Process Owners

u Process Owner: The person who is ultimately responsible for the process and its output.

u In general, process owners are the key decision makers for the process. They allocate and control participants, manage inputs, outputs, and resources, and control most of the financial components of the process.

u The process owner is the “voice of the process” and answers to both good and bad performance of the process.

(continued)


Process Components –cont.Process Stakeholders

u Stakeholders: Individuals or organizations whose success in other areas depends on this process. Any person impacted by the process or the output of the process.

Note: The customer may also be considered a Stakeholder

(continued)


Process Components –cont.Customers

u Customer: The person, persons or organizations that use the output of the process.

u The Customer determines the requirements for what would define a successful output.

u Customers may be internal or external to your organization. In either case, they generally use your output as an input to one or more of their own processes.

u Most important, understand specifically, what it takes to make them happy!

(continued)


Process Components –cont.Output Requirements

u Requirements: What your customer needs, wants, or expects of your output.

u In general, customers want three things of your output. p They want it better, faster, and cheaper

u Requirement should be specific and measurable

(continued)


Process Components –cont.Process Outputs

u Output: The tangible product or intangible service that is created by the process and passed on to the customer.

u Outputs have two components that can be described by a noun and a verb: A “thing” is “done”.p Applications have been processed.p Machines have been repaired.p Ore has been mined.

u By expressing your outputs in a noun and verb format, you are forced to look at both the end product and the actions that are required to make it happen.

(continued)


Process Components –cont.Process Inputs and Suppliers

u Inputs: The materials, equipment, information, people, money, or other conditions that are required to perform the process.

u Suppliers: The people, functions, or organizations who supply the process with its inputs.

(continued)


Diagram the Process - Block Diagrams

u A block diagram is the simplest type of process map. It provides a quick and uncomplicated view of the process.

u Only rectangles for major process steps and diamonds for major decision points connected by lines with arrows are used in this type of map. The arrows indicate direction of flow.

u Use block diagrams to simplify large and complex processes.


Diagram the Process - Block Diagrams Block Diagram Example

u The block diagram below outlines the general structure of a travel vacation:

p Within each block, there are many more activities.

p Block diagrams do not generally provide enough detail for problem-solving. Use them only to help guide you towards the identification of your process boundaries.

SelectDestination and

Buy Tickets

Travel toDestination

Relax andSee Sights

TravelHome


Basic Steps to Build a SIPOC



SupplierSupplier CustomerCustomer





Inputs Outputs

Activities

(continued)


1. Name it - Define process to be reviewed2. Bound-it – Define the process start and stop points 3. Identify the process owner4. Identify the process output(s) 5. Identify the process customer(s)6. Identify the customers’ requirements for the each output.

7. Identify the process inputs

8. Identify suppliers who provide the inputs

9. Brainstorm process steps

10. Organize process steps in sequence

11. Number steps

12. Validate the process with a “walk through" of the actual process.

1. Name it - Define process to be reviewed2. Bound-it – Define the process start and stop points 3. Identify the process owner4. Identify the process output(s) 5. Identify the process customer(s)6. Identify the customers’ requirements for the each output.

7. Identify the process inputs

8. Identify suppliers who provide the inputs

9. Brainstorm process steps

10. Organize process steps in sequence

11. Number steps

12. Validate the process with a “walk through" of the actual process.

Basic Steps to Build a SIPOC –cont.

(continued)


Basic Steps to Build a SIPOC –cont.

StopStart

Suppliers Inputs Outputs Customers Requirements

1 2 3

4 65

Process Name

Process Owner

1

2

3

3

4 5 678

9,10,11, 12

Constructing the SIPOC in this specific order will greatly facilitate the teams ease with this task


Example SIPOC

ProcessStart

Decide to take a trip

OutputCustomer/

Requirements

Completed trip

Satisfied customer

Travel dates

Trip budget

Suppliers Inputs

AirlinesHotelsTour

providersCruise

line

Trip information

Arrive Home

Stop

Vacation ProcessProcess Owner: C Pacheco

Buy TicketsTravel to

DestinationRelax andSee Sights

TravelHome

SelectDestination


Summary

u A SIPOC defines the process at a high level and identifies key components:

Supplier – Whoever provides the input to your process

Input – The material or data that a process does something to or with

Process – The activities you must perform to satisfy your customer’s requirements

Output – The material or data that results from the operation of the process

Customer – Whoever receives the output of your process

u A SIPOC is used ensure all variables related to the problem statement are considered.


Examples and Templates

© 2012 Six Sigma Qualtec SIPOC

SIPOC Diagram Example #1a

ListSuppliersHere

List InputsHere

ListOutputsHere

ListCustomers Here

ListRequirementsHere

Insert Process Step 1






SIPOC Diagram Example #1b

Suppliers Inputs(Specifications)

Process(Name)

Outputs(Requirements)

Customer

Step/Activity1

Step Activity #2

.

.

.

Step Activity #n


SIPOC Diagram Example #2





Process: Name of ProcessProcess Inputs (x) Type Process Step Outputs (y)

Input 1:Input 2:Input 3:Input 4: STEP ONEInput 5:Input 6:

Process Inputs (x) Type Process Step Outputs (y)Input 1:Input 2:Input 3:Input 4: STEP TWOInput 5:Input 6:

Process Inputs (x) Type Process Step Outputs (y)Input 1:Input 2:Input 3:Input 4: STEP THREEInput 5:Input 6:


Matrix Comparison- SIPOC Diagrams

Supplier X X XInputs X X X XProcesses As Text X XProcess Flow Charted X XOutputs X X X XCustomers X X XEnablers X XInput Metrics XProcess Metrics XOutput Metrics XMetrics by Type X

Multi Process Capable X


Completed Best-in-class SIPOC Diagram

Suppliers Input Process Output CustomersProcess description:Developing a Data Warehouse

Project Manager Flat Files Data Warehouse Senior ManagementVendors Project Description Data Extracts Business OwnersIT Staff RFP Goal Data Cubes Report Consumers

Source Systems Requirements Reports Senior IT ManagementProject Manager Project Description Infrastructure IT Staff

Hardware Vendors RFP Goal Reporting SoftwareProject Manager RequirementsSoftware Vendors

IT ConsultantsSource Systems

Metrics Metrics MetricsTime to Load # of Steps Data Integrity

Terabytes Loaded # of Automated Steps Report UsageCost Goals/Restraints Time to Complete Process Cost of Package

Time to Load Time to Complete Process Cost of HardwareTerabytes Loaded # of Steps Cost of Maintenance

# of Automated StepsCost of Packaged

SoftwareTime to Complete Process Data Integrity

Report UsageCost of Package

Cost of Staff

Procure Hardware

Procure Software

Develope Data

Warehouse


Best-in-class SIPOC Diagram (template)

Suppliers Input Process Output CustomersProcess description:Brief description of entire process here

Metrics Metrics Metrics

STEP ONE

STEP TWO

STEP THREE

STEP FOUR

STEP FIVE

STEP SIX

Documents

© 2012 Six Sigma QualtecSIPOC Version 1.0.0 SIPOC