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Sigma notation, often referred to as summation notation, can be used in many common situations. For example, it can be used to calculate the sum of deposits for a bank account. Banks add together all deposits and withdrawals to determine the current balance.
The z-score is like a common yard stick for all types of data. Each z-score corresponds to a point in a normal distribution and as such is sometimes called a normal deviate since a z-score will describe how much a point deviates from a mean or specification point.In Six Sigma parlance, z-score and process sigma are used interchangeably and are sometimes called z-equivelents.he further away a sample is from the spec limit the higher the z-score and process sigma. A higher process sigma means a less defective process. The term Six Sigma originates from the z-score.