What does process efficiency typically refer to in Six Sigma?

Process efficiency in Six Sigma primarily refers to the ratio of output to input in a process. This concept emphasizes that efficiency is about maximizing the results achieved from the resources used. In this context, output can mean the products or services generated, while input refers to the resources, such as time, materials, and labor, consumed during the process. By focusing on this ratio, organizations can identify areas for improvement, aiming to reduce waste and increase productivity, thereby enhancing overall quality and performance.

Understanding process efficiency helps teams pinpoint inefficiencies and streamline operations, which is a fundamental principle in Six Sigma methodologies. By improving this ratio, organizations can achieve better performance without necessarily increasing resources, leading to significant long-term benefits.