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LEAN SIX SIGMA · STATISTICS GUIDE

How to Calculate
Sigma Level

Sigma level measures how good your process is at avoiding defects. Here's exactly how to calculate it — with the DPMO formula, a reference table, and worked examples.

What Is Sigma Level and Why Does It Matter?

Sigma level tells you how many standard deviations fit between your process mean and the nearest specification limit. The higher the sigma level, the fewer defects you produce.

The scale runs from 1σ (about 690,000 defects per million) to 6σ (just 3.4 defects per million). Most organisations operate at around 3–4σ without active improvement.

  • 1σ — 690,000 DPMO — 31% yield
  • 3σ — 66,807 DPMO — 93.3% yield
  • 4σ — 6,210 DPMO — 99.4% yield
  • 6σ — 3.4 DPMO — 99.99966% yield
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Step-by-Step: How to Calculate DPMO and Sigma Level

Follow these four steps:

  • Step 1 — Count your defects (total defects found in the sample)
  • Step 2 — Count your units (total items inspected)
  • Step 3 — Count opportunities (ways each unit could be defective)
  • Step 4 — Calculate DPMO: (Defects ÷ (Units × Opportunities)) × 1,000,000

Worked example: 500 invoices inspected, 38 defects found, 4 opportunities per invoice. DPMO = (38 ÷ (500 × 4)) × 1,000,000 = 19,000 DPMO ≈ 3.6σ

Use the Sigma Level Calculator →

Sigma Level Reference Table

Use this table to convert DPMO to sigma level:

Sigma LevelDPMOYield
690,00030.9%
308,53769.1%
66,80793.3%
6,21099.4%
23399.98%
3.499.9997%
Open the Sigma Level Calculator →