6sigma

What is Six Sigma?

Six Sigma at many organizations simply means a measure of quality that strives for near perfection. Six Sigma is a disciplined, data-driven approach and methodology for eliminating defects in any process.

The statistical representation of Six Sigma describes quantitatively how a process is performing. To achieve Six Sigma, a process must not produce more than 3.4 defects per million opportunities. A Six Sigma defect is defined as anything outside of customer specifications.

Origin and meaning of the term "six sigma process"

Sigma (the lower-case Greek letter s) is used to represent the standard deviation of a statistical population. The term "six sigma process" comes from the notion that if one has six standard deviations between the process mean and the nearest specification limit, there will be practically no items that fail to meet

In a capability study, the number of standard deviations between the process mean and the nearest specification limit is given in sigma units. As process standard deviation goes up, or the mean of the process moves away from the center of the tolerance, decreasing the sigma number and increasing the likelihood of items outside specification.

Six Sigma equates to meeting requirements

99.9997% of the time…

Path to Six Sigma

4 Sigma 6,210 Defects

2 Sigma 308,537 Defects

3 Sigma 66,807 Defects

5 Sigma 233 Defects

6 Sigma 3.4 Defects

Sigma levels and Defects per million

opportunities (DPMO)

What it means to be @ Six SigmaIs 99% (3.8) good enough? 99.99966% Good – At 6

20,000 lost mails per hour 7 lost mails per hour

Unsafe drinking water almost 15 minutes each day

One minute of unsafe drinking water every seven months

5,000 incorrect surgical operations per week

1.7 incorrect surgical operations per week

2 short or long landings at most major airports daily

One short or long landing at major airports every five years

200,000 wrong drug prescriptions each year

68 wrong drug prescriptions each year

Example quoted from GE Book of Knowledge - copyright GE

BenefitsThere are numerous benefits of six sigma as a way to address  issues and problems.  Among the benefits of six sigma is the decrease in defects that are allowed to reach the customer. Other benefits of six sigma  include:

Focus on customers.Improved customer loyalty.Reduced cycle time.Less waste.Data based decisions.Time management.

Sustained gains and improvements. Systematic problem solving. Employee motivation. Data analysis before decision making. Faster to market. Team building. Improved customer relations. Assure strategic planning.. Reductions of incidents. Measure value according to the customer.

Better safety performance. Understanding of processes. Effective supply chain management. Design and redesign products/services. Knowledge of competition, competitors . Develop leadership skills. Breakdown barriers between departments and functions. Management training. Improve presentation skills. Integration of products, services and distribution. Use of standard operating procedures. Better decision making. Improving project management skills. Sustained improvements. Alignment with strategy vision, and values.

Increased margins. Greater market share. Supervisor training. Lower costs to provide goods and services. Fewer customer complaints.

SIX SIGMASIX SIGMA

FOCUS:FOCUS: VariationVariation

GOAL:GOAL: Reduce/ Eliminate Reduce/ Eliminate VariationVariation

ORIENTATION:ORIENTATION: Problem- focusedProblem- focused

APPROACH:APPROACH: DMAIC/DMADVDMAIC/DMADV

DETERMINANT TOOL:DETERMINANT TOOL: Math- StatisticsMath- Statistics

What is DMAIC ?

• A logical and structured approach to problem solving and process improvement

• An iterative process (continuous improvement)

• A quality tool with focus on change management

When To Use DMAIC?• The DMAIC methodology should be used

when a product or process is in existence at your company

• but is not meeting customer specification or is not performing adequately.

DDefine

MMeasure

AAnalyze

IImprove

CControl

Identify and state the practical problem

Measure the process to determine current performance

Pinpoint the deep root causes

Lay in a solution that makes the root causes go away

Ensure the new process behaves as intended

Methodology

Describe the Problem

Team Formation

Map the “as-is” process

Budget Allocation

Define: What is important to the customer?

DDefine

Establish Goal

TOOLS used:

•Benchmarking•Cost and Benefit Analysis•Gantt Chart

Collect Data

Validate Measurement System

Measure

MMeasure

Construct Process Flow

TOOL used:

•Process Flow Diagram

Analyze Data

Identify Root Causes

Analyze

AAnalyze

TOOLS used:

•Affinity Diagram

•Cause & Effect Diagram

•Pareto Chart•Reality Tree•5 Whys

Prioritize root causes

Innovate pilot solutions

Validate the improvement

Improve

IImprove

TOOLS used:

•DOE•Control Chart

Ensure measurement system reliability for significant factors

Improved process capability

Sustenance Plan

- Is tool used to measure the input / process variables flawed ?

- Do all operators interpret the tool reading in the same way ?

- Statistical Process Control

- Mistake Proofing

- Control Plan

Control

CControl

TOOLS used:

•Control Chart

DMADV

DefineDefine MeasureMeasure AnalyzeAnalyze DesignDesign VerifyVerify

What is DMADV Methodology?

The acronym DMADV sounds pretty much similar to DMAIC. The similarity ends after the first three letters DMA.

DMADV is also known as DFSS, an abbreviation of "Design For Six Sigma

When To Use DMADV?

The DMADV methodology, instead of the DMAIC methodology, should be used when:

A product or process is not in existence at your company and one needs to be developed

The existing product or process exists and has been optimized (using either DMAIC or not) and still doesn't meet the level of customer specification or six sigma level

DDefine

MMeasure

AAnalyze

DDesign

VVerify

Define

Define design goals that are consistent with customer demands and the enterprise strategy.

Identify and state the practical problem

You will define the goals of the project and that of the customers (both internal and external)

Measure

DDefine

MMeasure

AAnalyze

Validate the practical problem by collecting data

Measure and determine customer needs and specifications

Here you will quantify the customer needs as well as the goals of the management

DDesign

VVerify

DDefine

MMeasure

AAnalyze

DDesign

VVerify

Convert the practical problem to a statistical one, define statistical goal and identify potential statistical solution

Analyze the process options to meet the customer needs

Analyze the options, existing process to determine the cause of error origination and evaluate corrective measures

Analyze

Analyze to develop and design alternatives, create a high-level design and evaluate design capability to select the best design.

VVerify

DDefine

MMeasure

AAnalyze

DDesign

Design

Design (detailed) the process to meet the customer needs

Design a new process or a corrective step to the existing one to eliminate the error origination that meets the target specification

Design details, optimize the design, and plan for design verification. This phase may require simulations.

DDefine

MMeasure

AAnalyze

DDesign

VVerify

Verify

Verify the design performance and ability to meet customer needs.

Verify, by simulation or otherwise, the performance of thus developed design and its ability to meet the target needs

Verify the design, set up pilot runs, implement the production process and hand it over to the process owners.

Methodology

DDefine

MMeasure

AAnalyze

DDesign

VVerify

Identify and state the practical problem

Validate the practical problem by collecting data

Convert the practical problem to a statistical one, define statistical goal and identify potential statistical solution

Design (detailed) the process to meet the customer needs

Verify the design performance and ability to meet customer needs.

Difference Between DMAIC And DMADV

The difference, as one can see now, exists only in the way last two steps are handled. In DMADV, instead of the Improve and Control steps which focuses on readjusting and controlling by one way or other, deals with redesigning the process to fit customer needs.

Difference Between DMAIC And DMADV

The DMADV methodology can not be better explained than by comparing it with DMAIC methodology despite their fundamental differences.

6 Sigma Training

Executive Leadership includes the CEO and other members of

top management. They are responsible for setting up a vision for Six Sigma implementation. They also empower the other role holders with the freedom and resources to explore new ideas for breakthrough improvements.

CHAMPIONS Champions are responsible for Six Sigma

implementation across the organization in an integrated manner. The Executive Leadership draws them from upper management. Champions also act as mentors to Black Belts.

GREEN BELTS

Green Belts are the persons, trained on the

improvement methodology of Six Sigma,

who will lead a process or quality

improvement team as "part" of their job.

Extensive product/process knowledge in

their company is a must in their task of

effecting such improvement.

BLACK BELTS

Black Belts are the persons, usually selected

from the Green Belts, to spearhead process

improvement projects under the Six Sigma

implementation, on a "full-time" basis. They

act as agents of change, and need to

possess statistical abilities, leadership

qualities and interpersonal skills.

Six Sigma Organizational Architecture

Six Sigma - Three Dimensions

ToolsOrganization

Methodology

Process variation

LSL USL

Upper/Lower specification

limits

Regression•••••••••••••••••••

••••••••

• ••••••••••••

•

•••••

Driven by

customer

needs

Enabled by quality team.

Led by Senior Mgmt

Define Measure

Analyze Improve ControlVendorVendorProcess BProcess BProcess AProcess ACustomerCustomer VendorVendorProcess BProcess BProcess AProcess ACustomerCustomer

VendorVendorProcess BProcess BProcess AProcess ACustomerCustomer VendorVendorProcess BProcess BProcess AProcess ACustomerCustomer

Process Map Analysis

0

5

10

15

20

25

30

35

L K A F B C G R D

0%

20%

40%

60%

80%

100%

Frequency Cumulative Frequency

Pareto Chart

Roles and Responsibilities…

Quality Leader/Manager (QL/QM)The quality leader's

responsibility is to represent the needs of the customer and to improve the operational effectiveness of the organization

Master Black Belt (MBB)

MBBs work with the owners of the process to ensure that quality objectives and targets are set, plans are determined, progress is tracked, and education is provided

Process Owners (PO)…

they are the responsible individuals for a specific process

BLACK

BELT

Black Belts are the heart and soul of the Six Sigma quality initiative

main purpose is to lead quality projects and work full time until they are complete

can typically complete four to six projects per year with savings of approximately $230,000 per project

Green

Belt

Green Belts are employees trained in Six Sigma who spend a portion of their time completing projects, but maintain their regular work role and responsibilities.

The Quality Team

Master Black BeltMaster Black Belt

Black BeltBlack Belt Black BeltBlack Belt

Green BeltGreen Belt

Green BeltGreen Belt

Green BeltGreen Belt

- Thought Leadership- Expert on Six Sigma- Mentor Green and Black Belts

- Thought Leadership- Expert on Six Sigma- Mentor Green and Black Belts

- Backbone of Six Sigma Org- Mentor Green Belts- Full time resource- Deployed to complex or

“high risk” projects

- Backbone of Six Sigma Org- Mentor Green Belts- Full time resource- Deployed to complex or

“high risk” projects

- Part time or full time resource

- Deployed to less complex projects in areas of functional expertise

- Part time or full time resource

- Deployed to less complex projects in areas of functional expertise