When reasonable allowances are made for many of the failure costs in the market place including lost business, ill will and the likelihood of a lawsuit, it then becomes apparent that the lowest cost position is at very low defects.
While appraisal and prevention costs may appear to increase, most have found that the entire cost structure is decreased as unnecessary checks are eliminated and redundancy reduced. Even with some increase in appraisal and prevention cost the overall cost profile is better at very low defect levels.
Six Sigma Plus target a performance level of 3.4 ppm or less defects. While not quite zero it represents a very high performance standard that
has been achieved for some processes.
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