Evaluating Performance of Projects Using Six Sigma Approach

Researchers have attempted to improve the project performance using principles like lean, just-in-time, total quality management, etc. However, little research is done to quantitatively assess project performance by using six sigma metrics. In this manuscript, we present weighted Rolled Throughput Yield (RTY), and hence six sigma, based methodology to evaluate the performance of projects, considering multiple criteria. Here, we consider a project decomposed into work breakdown structure of multiple levels. This approach considers seven criteria, classified under five groups namely, quality, cost, time, safety and environmental sustainability for evaluating the performance. Analytical Hierarchy Process (AHP) is used to assign weights to the criteria. RTY obtained is converted into a sigma value. The results are relevant from practical point of view since we consider various elements for performance evaluation, namely, a) complex series-parallel structure of processes in a project; b) hierarchical structure of the project; c) multiple criteria for Sigma Level (SL) computation; d) performance based on “correct first time” concept; e) flexible approach enabling the manager to add/delete the criteria depending on the need. We explain the developed methodology using two practical case studies. This is the first time that the particular six sigma metric is applied to assess the performance of construction and innovation projects. This approach is simple, lucid, yet effective, and we hope it will be useful to researchers and practicing managers alike

Evaluating the Performance of Public Urban Transportation Systems in India

Evaluating the performance of public transportation systems facilitates operational improvement and strategic decisions. The purpose of this study was to evaluate the relative performance of 26 public urban transportation organizations in India using various criteria. We grouped these 19 criteria as Operations, Finance, and Accident-based. First, we evaluated the importance of these criteria groups using the Analytic Hierarchy Process (AHP). Then, we evaluated the organizations (Decision Making Units, DMUs) using various criteria within each criteria group using Data Envelopment Analysis (DEA). Finally, a ransportation Efficiency Number (TEN) was developed that quantified the overall performance of the DMUs considering the 19 criteria. Included is a discussion on the applicability of this approach, thus helping practicing managers understand the lacuna, if any, and set mutual benchmarks and benefits from the experience of others. This approach helps make strategic decisions for policy-making and achieves better results

Evaluating the Performance of Public Urban Transportation Systems in India

Evaluating the performance of public transportation systems facilitates operational improvement and strategic decisions. The purpose of this study was to evaluate the relative performance of 26 public urban transportation organizations in India using various criteria. We grouped these 19 criteria as Operations, Finance, and Accident-based. First, we evaluated the importance of these criteria groups using the Analytic Hierarchy Process (AHP). Then, we evaluated the organizations (Decision Making Units, DMUs) using various criteria within each criteria group using Data Envelopment Analysis (DEA). Finally, a ransportation Efficiency Number (TEN) was developed that quantified the overall performance of the DMUs considering the 19 criteria. Included is a discussion on the applicability of this approach, thus helping practicing managers understand the lacuna, if any, and set mutual benchmarks and benefits from the experience of others. This approach helps make strategic decisions for policy-making and achieves better results

A Comparative Evaluation of Public Road Transportation Systems in India Using Multicriteria Decision-Making Techniques

In this paper, we evaluate the performance of major public road transport organizations in India. The contribution of the paper lies in integrating four multicriteria decision-making (MCDM) techniques to assess the relative performance of public road transportation systems on twenty-three criteria across two consecutive years. The paper classifies the criteria into functional heads and establishes the relative importance of heads using the analytical hierarchical process (AHP). The efficiency scores of each organization referred to as a decision-making unit (DMU) were computed for the classified heads using the Data Envelopment Analysis (DEA) approach. The multicriteria optimization and compromise solution technique “VlseKriterijumska Optimizacija I Kompromisno Resenje” (VIKOR) was used to assign a final rank to each of the DMUs using computed efficiency scores and established weights. Finally, we analyzed the performance of the DMUs across the two consecutive years using the Malmquist Productivity Index (MPI). Our key findings are as follows: First, the performance of all DMUs has improved in the second year with respect to the first year; second, significant improvement is observed in the “expenses” functional head which carries a substantial weight among the functional heads; third, barring few DMUs, the performance of the majority of DMUs has worsened in the “accident” functional head; fourth, while few DMUs have been consistently very good performers in both the years, there are also few DMUs which have consistently performed poorly in both the years. The inferences drawn from the study can be leveraged for future policy formulations by the state government and local municipal corporations and for sharing best practices among the DMUs