How to determine sigma level


Problem: How to determine sigma level and what would these examples be?

An insurance firm has set a standard that policy applications be processed within three days of receipt. If, out of a sample of 1,000 applications , 50 fail to meet this requirement, at what sigma level is this process operating?

Over the last year 1,054 injections were administered at a clinic. Quality is measured by the proper amount of dosage as well as the correct drug. In two instances the incorrect amount was given, and in one case, the wrong drug was given. At what sigma level is this process?

An electronics firm manufactures 500,000 circuit boards per month. A random sample of 5,000 boards is inspected by every week for five characteristics. During a recent week, two defects were found for one characteristic, and one defect, each, was found for the other four characteristics. If these inspections produced defect counts that were representative of the population, what is the overall sigma level for the process? What is the sigma level for the characteristic that showed two defects?

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Strategic Management: How to determine sigma level
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