SIPOCQUALITY TOOL OF THE MONTH

WHAT IS IT?

SIPOC is a quality tool used
for identifying all the relevant
elements of a process
improvement project before
work begins. Typically, the SIPOC
methodology is deployed during aSix Sigma project to scope it out,
by defining an effective businessprocess from start to finish.

PROCESS: RECRUITING STAFF

SUPPLIERINPUTSPROCESSOUTPUTSCUSTOMERS

Hiring manager

Request to filla vacancy

1. Specify need

New memberof staff

Hiring manager

HRGrowing businessdemand2. Authorise
recruitment

Induction

HRRecruitment
agenciesLacking specificskills within business

3. Place advert

Candidates

4. Assess applicants
5. Offer appointment
6. Confirm start date

Figure 1: A SIPOC table for recruiting staff

Candidates

WHEN AND HOW
CAN I USE IT?
The tool’s name (SIPOC)
prompts the project or business
improvement team to consider thesuppliers (S) of their process, theinputs (I), the process (P), the team
who is improving the outputs (O) ofthe process, and the customers (C)who receive the process outputs.
The SIPOC tool is also useful formaking informed decisions onthe following:EXAMPLE

The managing director of a financial services company wanted to simplify and improve theefficiency of the organisation’s recruitment process. By utilising his Six Sigma experience,
he identified a project charter and a cross-functional team, consisting of the company’s HRadvisor and a business process specialist to support the project objectives.
The first step was to develop a simple SIPOC table (see Figure 1, above) to recruit anemployee. The team were responsible for defining the outputs of recruiting an employee,
identifying the customers who will receive the outputs of the recruitment process, defining
the inputs required for the recruitment process to be effective, and identifying the suppliersof the inputs required by the recruitment process.
All the information gathered would enable the team to define the start and end points of
the recruitment process and the scope boundaries, including: risks, process dependencies,interfaces and whether further recruitment and HR processes need to be linked together.
After utilising the SIPOC methodology, the team were able to successfully map out theimproved recruitment process, which is currently being used to swiftly and fairly recruit anemployee with minimal waste.

STEPS

The following steps are usually adopted when creating a SIPOC for process definition:
1 Begin with the business process that is

earmarked for improvement by agreeing
the process scope and team members (eg,process specialists, quality or continual
improvement experts).
2 Define the outputs of the process.
(Tangible things that a process produces,eg, report/data.)

3 Identify the customers that will receive

the outputs of this process.
4 Define the inputs required for theprocess to operate efficiently.
5 Identify the suppliers of the inputs
required by the process.
6 Map the new or revised process. Thistypically triggers the start of the wider Six
Sigma improvement project.

• Who supplies the inputs tothe process?
• What requirements are placedon the inputs?
• Who are the true customers ofthe process?
• What are the requirements ofthe customers?

DID YOU
KNOW?

SIPOC was developedin the 1980s by Motorola aspart of a wider and uniqueapproach to quality control,
called ‘Six Sigma methodology’.
Later in the 1990s, Jack Welch– former CEO of General Electric(GE) – popularised the Six
Sigma approach by making it
an integral part of GE’s global
business strategy.

DESIGN: JO DOVEY

WORDS: WILLIAM RANKIN