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The application of modified Defect Per Million Opportunities (DPMO) and sigma level to measure service effectiveness
Linköping University, Department of Management and Engineering, Quality Technology and Management . Linköping University, The Institute of Technology.
2009 (English)In: International Journal of Six Sigma and Competitive Advantage, ISSN 1479-2494, Vol. 5, no 2, 173-186 p.Article in journal (Refereed) Published
Abstract [en]

This paper presents an application of Dissatisfaction Per Million Opportunities (DisPMO), Delight Per Million Opportunities (DePMO), right-side and left-side sigma levels to measure the service effectiveness of a property developers selling process based on the service outcome (customer satisfaction). The thoroughness of sales staff in explaining the buying process and printed sales materials significantly affect the overall buying satisfaction, thus these attributes are assigned as the Critical-To-Quality (CTQ) attributes. Based on the extended data using simulation technique, it is found that measuring sigma level based on output (DPMO) or outcome (DisPMO) lead to consistent results and the sigma level of the property developers selling process is more or less at the same level as most service organisations. Hence, the logic of DPMO and sigma level is consistent and comparable whether the measurements are based on indicators that are usually identified within the boundary of an organisation (i.e. output) and outside the boundary of an organisation (outcome).

Place, publisher, year, edition, pages
2009. Vol. 5, no 2, 173-186 p.
Keyword [en]
Customer satisfaction; DPMO; House-building construction; Service effectiveness; Sigma level; Simulation
National Category
Social Sciences
URN: urn:nbn:se:liu:diva-21326DOI: 10.1504/IJSSCA.2009.025168OAI: diva2:241065
Available from: 2009-09-30 Created: 2009-09-30 Last updated: 2009-12-22Bibliographically approved

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Setijono, Djoko
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Quality Technology and Management The Institute of Technology
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