Sigma (σ)

In statistics, sigma (σ) represents the standard deviation, a measure of how spread out data points are around the average (mean). A small sigma indicates that the data points are generally close to the mean, showing consistency. A large sigma means the data varies widely, with points more dispersed. It helps us understand the variability in a dataset and is essential for assessing reliability, consistency, and risk. For instance, in quality control, a small sigma suggests products are consistently meeting standards, while a large sigma might indicate inconsistencies needing attention.