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TOTAL QUALITY MANAGEMENT

INTRODUCTION: - A role of management is to lead an organization in itsday to day operations as well as to maintain it as a viable entity into thefuture. Quality has become an important factor to success in this latter strategic responsibility.

Total Quality Management is a management approach that originated in the1950's and has steadily become more popular since the early 1980's. TotalQuality is a description of the culture, attitude and organization of acompany that strives to provide customers with products and services thatsatisfy their needs. The culture requires quality in all aspects of thecompany's operations, with processes being done right the first time anddefects and waste eradicated from operations.

In the late 1980s, providing customer satisfaction in customer terms becomes a specific goal of business organization. Providing high quality wasrecognized as a key element for success. At the end of the twentieth century,

business organizations were involved in what has become a quality

revolution. It began in Japan and has spread to other parts of the world. Itinvolves an entirely new way of thinking about and dealing with quality thatencompasses the entire organization. This new approach has been given avariety of names viz., “SIX SIGMA” at Motorola, “ Leadership through

quality” at Xerox, “ Perfect design quality” at Intel and “Total quality

control ” at Hewlett-Packard , but more often referred to as “Total Quality

Management”.

DEFINITION: - Total Quality Management (TQM) is a philosophy thatinvolves everyone in an organization in a continual effort to improve qualityand achieve customer satisfaction.

SALIENT FEATURES OF TQM APPROACH

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1. Intense focus on the customer- both external and internal customers.2. Concern for continuous improvement- quality can always be

improved.3. Improvement in the quality of everything the organization does- not

only related to final product, but also to services, response tocomplaints and the like.

4. Accurate measurement of every critical performance variable in thecompany’s operations.

5. Empowerment of employees- TQM involves the people on the line inthe improvement process. Teams are empowered for finding andsolving problems.

SIX BASIC CONCEPTS OF TQM

1. A committed and involved management to provide long-term top-to- bottom organizational support.

2. An unwavering focuses on the customer, both internally andexternally.

3. Effective involvement and the utilization of the entire workforce.4. Continuous improvement of the business and production process.

5. Treating suppliers as partners.6. Establish performance measures for the processes.

PRINCIPLES OF TQM

Total quality management stresses on three principles:

1. CUSTOMER SATISFACTION : - It is a relative that varies from onecustomer to another. Also a customer may be satisfied with today’s products but not satisfied in the future. For example, while onecustomer may consider a FORD automobile perfectly satisfactory,another may not. Each person defines quality in relation to his or her own needs and means at a particular point of time.

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DIMENSIONS FOR CUSTOMER SATISFACTION

• Fitness for use• Reliability and life of product

• Value for money

• After-sales-services and support

• Packaging

• Customer information and transit

• Maintainability

• Speed of service(delivery)

• Company image

• Customer confidence in the organization

2. EMPLOYEE INVOLVEMENT: - This in quality management iscrucial in achieving and sustaining high levels of quality. Employeesmay have to be empowered to take preventive and if necessarycorrective actions without management approval. Employees must beinvolved in quality management by encouraging them to use qualitycontrols tools and techniques to track performance and identify areasneeding improvement. Employee training and motivation are essential

for achieving and sustaining high levels of service quality. 3. CONTINUOUS IMPROVEMENT: - It is a never ending process

and is driven by knowledge and problem solving.From the producer’s viewpoint, variation from specifications cannot

be tolerated. The producer must specify quality attributes of the product or the service as carefully as possible and then strive to meetthose specifications. While improving the process overtime, producersshould continuously strive to improve quality that is doing a better jobof meeting customer needs by reducing variability in all processes and

by introducing new products when needed. As producers gain a better understanding of customer expectations and as better technology

becomes available, quality can be continuously improved.

SEVEN UNDERLYING PRINCIPLES OF TQM

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1. Strive for quality in all things

2. The customer is the criterion of quality3. Improve the process or system by which products are produced4. Quality improvement is continuous, never ending activity5. Worker involvement is essential6. Ground decisions actions in knowledge7. Encourage team work and cooperation

ELEMENTS OF TQM

To be successful implementing TQM, an organization must concentrate onthe eight key elements:

1. Ethics2. Integrity3. Trust4. Training5. Teamwork 6. Leadership7. Recognition8. Communication

Key Elements

TQM has been coined to describe a philosophy that makes quality thedriving force behind leadership,design, planning, and improvement

initiatives. For this, TQM requires thehelp of those eight key elements.These elements can be divided intofour groups according to their function. The groups are:

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I. Foundation - It includes: Ethics, Integrity and Trust.

II. Building Bricks - It includes: Training, Teamwork and Leadership.

III. Binding Mortar - It includes: Communication

.IV. Roof - It includes: Recognition.

I. Foundation

TQM is built on a foundation of ethics, integrity and trust. It fostersopenness, fairness and sincerity and allows involvement by everyone. This isthe key to unlocking the ultimate potential of TQM. These three elementsmove together, however, each element offers something different to theTQM concept.

1. Ethics - Ethics is the discipline concerned with good and bad in any

situation. It is a two-faceted subject represented by organizational andindividual ethics. Organizational ethics establish a business code of ethicsthat outlines guidelines that all employees are to adhere to in the

performance of their work. Individual ethics include personal rights or wrongs.

2. Integrity - Integrity implies honesty, morals, values, fairness, andadherence to the facts and sincerity. The characteristic is what customers(internal or external) expect and deserve to receive. People see the oppositeof integrity as duplicity. TQM will not work in an atmosphere of duplicity.

3. Trust - Trust is a by-product of integrity and ethical conduct. Withouttrust, the framework of TQM cannot be built. Trust fosters full participationof all members. It allows empowerment that encourages pride ownership andit encourages commitment. It allows decision making at appropriate levels inthe organization, fosters individual risk-taking for continuous improvementand helps to ensure that measurements focus on improvement of process and

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are not used to contend people. Trust is essential to ensure customer satisfaction. So, trust builds the cooperative environment essential for TQM.

II. Bricks

Basing on the strong foundation of trust, ethics and integrity, bricks are placed to reach the roof of recognition. It includes:

4. Training - Training is very important for employees to be highly productive. Supervisors are solely responsible for implementing TQMwithin their departments, and teaching their employees the philosophies of

TQM. Training that employees require are interpersonal skills, the ability tofunction within teams, problem solving, decision making, job management

performance analysis and improvement, business economics and technicalskills. During the creation and formation of TQM, employees are trained sothat they can become effective employees for the company.

5. Teamwork - To become successful in business, teamwork is also a keyelement of TQM. With the use of teams, the business will receive quicker and better solutions to problems. Teams also provide more permanentimprovements in processes and operations. In teams, people feel more

comfortable bringing up problems that may occur, and can get help fromother workers to find a solution and put into place. There are mainly threetypes of teams that TQM organizations adopt:

A. Quality Improvement Teams or Excellence Teams (QITS) - These aretemporary teams with the purpose of dealing with specific problems thatoften re-occur. These teams are set up for period of three to twelve months.

B. Problem Solving Teams (PSTs) - These are temporary teams to solvecertain problems and also to identify and overcome causes of problems.

They generally last from one week to three months.

C. Natural Work Teams (NWTs) - These teams consist of small groups of skilled workers who share tasks and responsibilities. These teams useconcepts such as employee involvement teams, self-managing teams andquality circles. These teams generally work for one to two hours a week.

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7. Leadership - It is possibly the most important element in TQM. Itappears everywhere in organization. Leadership in TQM requires the

manager to provide an inspiring vision, make strategic directions thatare understood by all and to instill values that guide subordinates. For TQM to be successful in the business, the supervisor must becommitted in leading his employees. A supervisor must understandTQM, believe in it and then demonstrate their belief and commitmentthrough their daily practices of TQM. The supervisor makes sure thatstrategies, philosophies, values and goals are transmitted downthrough out the organization to provide focus, clarity and direction. Akey point is that TQM has to be introduced and led by top

management. Commitment and personal involvement is required fromtop management in creating and deploying clear quality values andgoals consistent with the objectives of the company and in creatingand deploying well defined systems, methods and performancemeasures for achieving those goals.

III. Binding Mortar

7. Communication - It binds everything together. Starting from foundationto roof of the TQM house, everything is bound by strong mortar of communication. It acts as a vital link between all elements of TQM.Communication means a common understanding of ideas between thesender and the receiver. The success of TQM demands communication withand among all the organization members, suppliers and customers.Supervisors must keep open airways where employees can send and receiveinformation about the TQM process. Communication coupled with thesharing of correct information is vital. For communication to be credible themessage must be clear and receiver must interpret in the way the sender

intended.

There are different ways of communication such as:

A. Downward communication - This is the dominant form of communication in an organization. Presentations and discussions basically

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do it. By this the supervisors are able to make the employees clear aboutTQM.

B. Upward communication - By this the lower level of employees are ableto provide suggestions to upper management of the affects of TQM. Asemployees provide insight and constructive criticism, supervisors must listeneffectively to correct the situation that comes about through the use of TQM.This forms a level of trust between supervisors and employees. This is alsosimilar to empowering communication, where supervisors keep open earsand listen to others.

C. Sideways communication - This type of communication is important because it breaks down barriers between departments. It also allows dealingwith customers and suppliers in a more professional manner.

IV. Roof

8. Recognition - Recognition is the last and final element in the entiresystem. It should be provided for both suggestions and achievements for

teams as well as individuals. Employees strive to receive recognition for themselves and their teams. Detecting and recognizing contributors is themost important job of a supervisor. As people are recognized, there can behuge changes in self-esteem, productivity, quality and the amount of effortexhorted to the task at hand. Recognition comes in its best form when it isimmediately following an action that an employee has performed.Recognition comes in different ways, places and time such as,

Ways - It can be by way of personal letter from top management. Also

by award banquets, plaques, trophies etc.

Places - Good performers can be recognized in front of departments, on performance boards and also in front of top management.

Time - Recognition can be given at any time like in staff meeting, annualaward banquets, etc.

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NEED FOR TQM

1. TQM adds value to the services offered to the customers.2. All personnel are involved, which improves motivation and

commitment.3. TQM provides assurance that performance and processes are well

understood.4. TQM is economic in the long term to both the company and its

customers.

THE SCOPE OF TOTAL QUALITY MANAGEMENT

The three core principles of the total quality namely (a) focus on thecustomer (b) participation and team work and (c) continuousimprovement and learning are supported and implemented by:

(i) An integrated organizational infrastructure(ii) A set of management practices and(iii) A wide variety of tools and techniques

INFRASTRUCTURE: It refers to the basic systems of management thatare necessary to function as high-performing organization. The elementsof an infrastructure that support the core principles of the total qualityare:

(i) leadership(ii) strategic planning(iii) human resource management

(iv) process management(v) data and information management

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PRACTICES: Practices are those activities that occur within a managementsystem to achieve high performance objectives. Examples of activities and

the corresponding practices are listed below:

ACTIVITIES PRACTICES

Reviewing company performance

Determining employee

satisfactionCo-ordinating design and

production/delivery processes toensure trouble-free introductionand delivery of products andservices

Leadership

Human resource management

Process management

TOOLS: Tools include various graphical and statistical methods to planwork activities, collect data, analyze results, monitor progress and solve

problems. For example, a chart showing trends in defects in manufacturingas workers progress through a training program is a simple tool to monitor the effectiveness of the training program.

BENEFITS OF TQM

TANGIBLE BENEFITS INTANGIBLE BENEFITS

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• Better product quality

• Productivity improvement

• Reduced quality costs

• Increased market

• Increased profitability

• Reduced employeegrievances

• Effective team work

• Enhancement of jobinterest

• Improvement in humanrelation work area morale

• Participation culture

• Customer satisfaction

• Enhanced problem solvingcapacity

• Improved corporate healthand character of the

company

• Better company image

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Improvedcompetitive

position

Higher prices

Increased

market share

Continuousqualityimprovement

Increasedrevenue

Increased profits

Increased defect-freeoutput

Reducedcost of operations

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TOOLS OF TQM: There are various tools for total quality management.But the researcher has focused on three aspects viz. six sigma, daily work

management and 5s.

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T Q M – F o c u s A r e a s

5 S

S i x S i g m a G r e e n

B e l t P r o j e c t s

D a i l y W o r k

M a n a g e m e n t

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SIX SIGMA

Sigma is the GREEK letter statistician use to represent the “standarddeviation”. The sigma or standard deviation, tells how much variability thereis within a group of items. More variation the bigger is the standarddeviation.

The term “Six Sigma” is reference to a particular goal of reducing defects tonear zero. In statistics terms, therefore, the purpose of Six Sigma is to reducethe variation to achieve very small standard deviation so that almost all

products or services meet or exceeds customer expectations.

Six Sigma is a statistical concept that measures a process in terms of defects.Achieving Six Sigma means that processes are delivering only 3.4 defects

per million opportunities. In business use, it indicates defects in output of a process, and helps to understand how far the process deviation from

perfection.

The central idea of Six Sigma management is that if one can measure thedefects in process, it can systematically figure out ways to eliminate them, toapproach a quality level of zero defects.So, short, Six Sigma is several things:

a statistical basis of measurement: 3.4 defects per millionopportunities

A philosophy and a goal: as perfect as practically possible a methodology

a symbol of quality

SIGMA LEVEL DEFECTS PER MILLION

OPPORTUNITY

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2 308,537

3 66,8074 6,2105 2336 3.4

BENEFITS OF USING SIX SIGMA

Six Sigma allows achieving the constancy of purpose that is the secret tosuccess, by focusing efforts on understanding the variations in processes and

defects that results. Basic results are:• Money

• Customer satisfaction

• Quality

• Impact on employees

• Growth

• Competitive advantage

Money:

Money is generally most important reason for using Six Sigma for processesthat are inefficient, waste time and other resources.Here are few questions to consider:

What is the value of scrap?

What is the cost of rework?

What is the cost of excessive cycle times and delays?

What is the cost of business lost because customers are dissatisfied

with product or services? What is the cost of opportunities lost because one didn’t have time or

resources to take advantage of them?

What is the total cost of poor quality in an organization?

One should know the answers of these questions in terms of dollars. Byknowing the answers one realizes importance of reducing process variation

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and defects. If the person does not know the answers then he need to getknowledge that gives the power of making necessary changes.

Customer satisfaction:

The better any organization handles its customers (current & potential) thehealthier its revenue will be. But how can one satisfy customer mosteffectively?Six Sigma focuses on critical to quality (CTQ) expectation of customers:that what matters most. By using Six Sigma management methods, company

can target the vital few factors in processes that are allowing variations anddefects that keep organization away from meeting the CTQ expectations of customers. Organization can better align business goals with the requirementand expectations of customers.Six Sigma helps to get there by showing how to find the “breakthrough

points” in processes. That means not only identifying the waste streams in processes, but also understanding all elements that create them.

Quality:

Another reason for using Six Sigma is the value and impact of committing toquality as a goal in a very practical way. People who might not understandand appreciate other quality initiatives are more likely to recognize the valueof Six Sigma, because the focus is essentially simple-to reduce or eliminatemistakes.Quality is an ideal of extreme power. The following advantages onconsidering on quality:

It inspires employees.

It instills a culture and an attitude It creates an image in market and the community.

It attracts investors.

And Six Sigma is not just quality, but a Six Sigma level of quality. That isclosed to perfect 99.997% perfection

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Why not just 99.379% four sigma? That’s level of quality achieved by manymajor companies. Because that goal is not high enough. It’s been calculated

that if 99% were good enough, we would be accepting the following:

Every hour the postal service would lose 20,000 pieces of mail.

Every day our drinking water would be unsafe for almost 15 minutes.

Every week there would be 5,000 surgical operations that go wrongin some way.

Every month we would be without electricity for almost seven hours.

Impact on employees:

There are also benefits of six sigma that don’t translate into dollar- at leastnot directly. The effect on employees can be powerful. Let’s briefly consider a few of those effects.Six Sigma inspires employees. When the company is committed toimproving processes, to meeting customer expectations, to cutting coasts,employees will naturally feel motivated to do better. After all how many of employees want to do their jobs badly, to waste time and money, to fail tomeet the expectations of his customers?

Six Sigma promotes morale and a sense of self-esteem. It gives employeesopportunity to make a difference. Every employee is important in Six Sigma.Some will be involved in special roles, of course, as black belts or green

belts and so forth. But all of them will be encouraged to provide input on the processes around them. Every one of them has the opportunity to contributesignificantly to Six Sigma efforts.

Six Sigma instills a culture and an attitude. It emphasizes the importance of viewing processes, products, and services from the perspective of thecustomers. Since all employees are customers when they are away fromwork, they can identify with customers and particularly with their dissatisfaction and frustration when there are problems with products and

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services. They naturally empathize with customers, so they’ll feel more positive about the company when it focuses on the customers.

Six Sigma promotes professional development for employees. The moreemployees know about six sigma techniques and tools and the moremanagement can encourage them to think critically about processes, themore competent they become. That competence not only helps company, butalso makes employees more valuable on the job market which is anincreasingly important consideration.

Six Sigma concentrates on systematic improvement of processes. That

approach will appeal to the logic of employees, many of whom have problem wondered why certain processes work in ways that seems illogical.How many employees have managers heard complaint about inefficient

processes? Through six sigma, manager’s providing them with opportunitiesto improve those systems that confuse and frustrate them.Those are some basic benefits of six sigma for employees. And definitelyhave an impact on bottom line.

Growth:

As one meets the requirement and expectation of the customers moreeffectively and achieves higher customer satisfaction, one increases hisincome-which means money to invest in growing his business.The key to transforming costs into growth is in identifying the waste streamsin cost of goods or services sold (COGS or COSS) and making correction inthe processes.Competitive advantage:

Six Sigma allows one’s to become more competitive-regionally, nationallyor globally. At this point, one probable don’t need any justification for thatstatement. A company that reduces its cost of doing business, meets theexpectations of its customers more effectively, earns a reputation for quality,and fosters a culture of dedication and pride will certainly enjoys advantagesover its competitors. It can provide higher quality outputs at a lower cost.

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If one needs further proof of competitive advantages of Six Sigma, justcheck out the gains achieved by the companies that have invested in

implementing Six Sigma.

At GENERAL ELECTRIC, Six Sigma added more than $ 2 billion tothe bottom line in 1999 alone.

MOTOROLA saved more than $15 billion dollars in the first 10 yearsof its Six Sigma efforts.

ALLIEDSIGNAL reports saving $1.5 billion through Six Sigma.

Nobody can promise that one can cut costs by billions; performance resultsthrough Six Sigma are unique for each company. But it’s been estimated thatone should expect a return on investment of three or four times the cost of implementing Six Sigma. That should give company a significantcompetitive advantage.

SIX INGREDIENTS OF SIX SIGMA

1) Genuine focus on customers:

Although companies have long proclaimed that “the customer is number one” or “always right”, few businesses have actually succeeded in improvingtheir understanding of their customers processes and their requirements.Many companies claim to meet the customer’s requirement when theyactually spend lots of time trying to convince the customer that what they

bought is really what they wanted. Customer focus is the top priority in sixsigma. Performance measurement begins and ends with the voice of

customer (VOC). “Defects” are failures to meet measurable customer requirements. Six Sigma improvements are defined by their impact oncustomer satisfaction and the value they add to the customer.

2) Data and fact driven management:

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Although computers and internet have flooded the business world with dataone won’t be shocked to learn that many important business decisions are

still based on gut level hunches and unfounded assumptions. Six Sigmaterms clarifies which measures are key to gauging actual business

performance, then they collect and analyze data to understand key variablesand process drivers.

3) Process focus, management and improvement:

Six Sigma focus on the process as the key means to meeting customer requirements. One of the most impressive impacts of Six Sigma has been to

convince leading managers- particularly in service based functions and businesses that mastering and improving processes is not necessary evil, butan essential step towards building competitive advantage by delivering realvalue to customers. In one of its first meetings the Six Sigma team mustidentify the core business processes on which customer satisfaction stands or falls.

4) Proactive management:

To be proactive means to act ahead of events, the opposite of being reactive,

this means to be behind the curve. In the world of business, being proactivemeans making a habit of setting and then tracking ambitious goals,establishing clear priorities, rewarding those who prevents fires at least asmuch as those who put them out, and challenging the way things are doneinstead of blindly defending old ways. Six Sigma provides the tools and

practices to replace reactive with proactive management. Considering theslim margin for error in today’s business world, being proactive is the onlyway to fly.

5) Boundary less collaboration:

Coined at GENERAL ELECTRIC “boundarylessness” refers to the job of smashing the barriers that block the flow of ideas and action up and downand across the organization. Six Sigma requires increased collaboration as

people learn about their roles in the big process picture and their relationship

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to external customers. By putting the customers at centre of the businessfocus, Six Sigma demands an attitude of using processes to benefit

everyone, not only one or two departments.

6) Drive for perfection, tolerate failure:

As a consequence, Six Sigma teams often find themselves trying to balancedifferent risks. The biggest risk teams can take is to be afraid to try newmethods, spending time on data collection may seem risky at first glance,

but usually it results in better, more effective decisions. Not changing a process means work will go on as it always has, and result won’t get better.

Fortunately Six Sigma builds in a good dose of risk management, but thetruth is that any company shooting Six Sigma must be ready for occasionalsetbacks.

ROLES AND RESPONSIBILITIES

It takes courage to decide to do Six Sigma. It takes courage to implement it.To use the Six Sigma techniques and tools, to preserve, to make changes.One can’t find that courage in a methodology: one has to encourage and

promote it in the people who use Six Sigma.The success of Six Sigma relies on the people who are responsible for implementing. Six Sigma provides some powerful techniques and tools, butsuccess depends on the people who play the primary roles and assume thecentral responsibilities for putting those techniques and tools to work for organization. Dennis Sester, senior vice president of MOTOROLA serviceshas put it very succinctly: “Six Sigma is not a product you can buy, it is acommitment.”Six Sigma necessarily upsets the status quo. After all, if one says that they

are doing Six Sigma, there’s going to the major interruption or even uproar-as job descriptions are redefined and activities are radically changed. Thismust happen to make any real, permanent changes. Six Sigma cannot bemanaged on the sidelines: it’s a full contact sport that sets new rules andaims for much higher scores. Everyone is a player, regardless of individualcompany positions.

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However it’s important to point out that not everyone is slated for full SixSigma responsibilities one has to choose well who will run projects,

participate on teams, and pursue the objective using various Six Sigma toolslike metrics and other statistical measurements. Company needs the rightmix of the right talents to refocus on Six Sigma projects.

KEY PLAYERS

So who are the key players and what their roles. Basically they are five:

Executive leaders: to commit to Six Sigma and to promote itthroughout the organization.

Champions: to fight for the cause of black belts and remove barriers. Master black belt: to serve as trainer, mentor and guide.

Black belts: to work full time on project.

Green belts: to assist black belts part time.

It’s vital to understand and define key operational roles from the start. Allthe key players should know what’s expected of them and how all the roleswork together in the Six Sigma initiative. Each of the roles has a clearlydefined set of responsibilities.

EXECUTIVE LEADER

The key role of executive leaders is to decide to do Six Sigma and, to publicly endorse it throughout the organization. Company leaders must kick off and reinforce the comprehensive scope of Six Sigma to engageeveryone’s support and participation. It’s important of Six Sigma to be acompany wide initiative that point cannot be over emphasized and as they

begin this business changing enterprise. It rallies the employees, it endslegitimacy to their projects, and it sends the clearest signal that Six Sigma

and targeted outcomes are major company priorities.

There are few essential aspects that help build and round out the foundationfor successful executive leadership responsibility.

Determination: for starters, they need to show determination. Theyneed to be resolute in believing that Six Sigma will succeed. So after

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the initial fanfare of introducing Six Sigma, executive should bedetermined to get the training, understand the savings, perpetuate the

use of metrics, showcase black belt achievements, mark keymilestones, and keep the overall initiative on track. From the topdown and throughout all points in the organization, executive leaderscan inspire and promote a Six Sigma culture that continually

produces results.

Confidence: executives need to actively display confidence not onlyin the Six Sigma method, but also in the people charged with makingit work. By actively showing their confidence with rewards and

incentives, company leaders inspire sustained commitment and efforton the part of employees. When an executive lets employees knowthat he or she believes in them, supports their success, and applaudstheir talents, employees will respond in kind. Confidence is a

powerful motivator.

Integrity: executive must back it all up with integrity. They need todo what they say they’re going to do. This inspires ever increasingconfidence among project teams that an executive’s word is good and

that there’s substance behind the statements. By following through oncommitments and staying true to a stated purpose, executivesdemonstrate a high standard of ethical leadership. Integrity stimulatesloyalty, and respect, both of which are motivators for employeesacross the organization.

Patience: executive leaders are responsible for practicing andmodeling patience. This may seems obvious, but it’s very hard to doin a business environment that demands instantaneous result and

immediate answers. Six Sigma projects take time; skipping steps or rushing the process will jeopardize the results.

CHAMPIONS

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Champions are critical to success or failure of any Six Sigma project. Theconcept of “Champion” dates back to the Middle Ages, to a word for field or

battleground. A champion was someone who took the field to battle for acause. In Six Sigma, a champion is an advocate who fights for the cause of

black belts and to remove barriers functional, financial, personal or otherwise- so that black belts can do their work.Champions are closest to the project and it’s not wrong in saying that they“own” it in every respect. Depending on the size of the company, championsare drawn from the rank of the executives and managers. Champions haveresponsibility for the daily oversight and management of each criticalelement. They need to report up to senior management about project and

they need to support their teams.Champion select black belt candidates, identify project areas, and establishclear and measurable goals for project. They must be fully engaged in the

process, allotting at least 20% to 30% of their time to ensuring that black belts can continue to focus on their projects and achieve the bottom lineoutcomes.The champion acts as advocate and defender, as mentor and coach. Thechampions are ultimately responsible for Six Sigma projects. The black beltand project teams are on the hunt of defects and waste, but it is the championwho selects the project and monitors its performance. Champions must

thoroughly understand the strategy and discipline of Six Sigma and be ableto educate others about its tools and implementation.

MASTER BLACK BELT

The master black belt serves as trainer, mentor and guide. He or she teachesthe roles; helps to select the right people and assists in screening andselecting projects that will best achieve the hidden dollars.

Once organization has Six Sigma initiative well under way, once they’veestablished all necessary elements, designated and trained people in their roles, started projects, and garnered some results, they can graduatemembers of teams to the ranks of the master belts.The master black belt is an expert in Six Sigma tools and tactics and avaluable resource in terms of technical and historical expertise. Teacher,

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mentors and lead agent of change, the master black belt ensures that thenecessary infrastructure is in place and that black belts are trained.

A master black belt is an invaluable asset as company begins Six Sigmainitiative coordinating and collaborating with upper management, advisingand coaching black belts, and ultimately keeping- champions- focused onwhat’s important in selecting projects and implementing Six Sigma.

BLACK BELTS

Black belt work full time on selected projects. As team leaders and project

heads, black belts are central to Six Sigma success. They are trained to diginto the chronic and high impact issues and fix them with Six Sigmatechniques and practices. They fix the problem, get rid of defects and findthe money. The black belt’s role is one of the great responsibility anddiscipline; it is the backbone of Six Sigma culture.Although champions are responsible for getting the bottom line results, sincethey select the projects and monitors progress, black belts are responsible for doing the work. They relentlessly pursue the project objectives, they striveto understand the causes and effects of defects, and they develop thenecessary steps to permanently eliminate them. They are selected to solve

problems within the Six Sigma framework and they are trained to betechnical leaders in using Six Sigma tools and methods to improve quality.Black belt manages risks, help set directions, and lead the way to quantumgains in product or service quality.

SELECTING BLACK BELTS

First of all not every employee is a black belt candidate. It’s a full time

discipline that combines leadership ability, technical skills, some statisticalknowledge, the ability to communicate clearly and motivated curiosity. If one know the members in staff, their skills sets, and their performance onecan accurately determine who might be a good candidate. The sidebar,“Rating a Black Belt candidate” provides and organized approach toevaluate employees in terms of their black belt potential.

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GREEN BELTS

Green belts assist black belts in their functional area. They work on projects part time usually in a limited specific area. They apply Six Sigma tools toexamine and solve chronic problems o projects within their regular jobs. Inthis way, knowledge is being transferred and used in even narrowapplications. They also help black belt to accomplish more in less time.They may help collect or analyze data, run experiments or conduct other

important tasks in project. Working in a complementary fashion with thecharter of executive leadership champions and black belts green belts areessential worker beesz , driving bottom line results.

THE PROCESS OF IMPLEMENTING SIX SIGMA

(PROBLEM SOLVING APPROACH)

After six sigma roles and responsibilities here’s the heart of the matter- thesteps of doing six sigma. Like the proverb says, even a small deviation in a

process can have big consequences, deviation variation, defects or wastewhatever one calls it, the end result is same: it costs no matter that business-manufacturing, distribution or other services- ant hidden waste streams inany of processes ultimately siphon off dollars that should be going to bottomline.As one implement the core Six Sigma methodology he will be armed withthe tools that enable him to identify, correct and control the critical –to-quality (CTQ) elements so important to customers and reduce the cost of

poor quality (COPQ). Once started implementing the method full time with black belts and project teams, projects will start revealing costs that arehidden and returning that money to the company.

The DMAIC method:

Define

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Measure

Analyze

Improve control

Control

Sometimes the methodology is applied without the define phase. Peoplegenerally prefer using a four phase MAIC sequence, but one should befamiliar with the five phase DMAIC sequence as well.MAIC as “magic without G for guess work” as it is capable of creating andsustaining remarkable data driven results that continually boost profitabilitylevels. MAIC/DMAIC is the key to the Six Sigma problem- Sigma solving

method infact, it’s fair to say it is the problem solving method.Six Sigma, DMAIC/MAIC involves necessary steps in a sequence each of which is essential to achieving the desired outcome. One can’t skip or jumparound with the four or five phases and expect to get credible results. Byfollowing each step in proper order and completing the task for each. Onecan accurately understand, evaluate and work on all aspects of the CTQelement influencing the given process answer.

D- Define:

It’s important that one start Six Sigma by clearly defining the problem.That’s the purpose of the define phase.First define the chronic “big” issues existing in department or organization.It’s often useful to map processes, in order to better understand them locatethe problems. Then select a project to combat one or more of them it’scritically important to define parameters of the project. One needs to scopeout the project and understand at the outset what one wants to accomplishwith it. Understanding its scope and sequence exactly defines project’s ruleshow long it will run what are goals, and the tools and personnel in place to

achieve them.

Next, to hand over the project to black belts. They will build the projectteam to further scope out the CTQ elements and then start solving the issues.Even though any project necessarily is a limited event don’t limit the qualityof results by not fully knowing its scope and goal criteria. The more oneknow, the more likely they are to find what they are looking for.

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Central to the six sigma methodology is the use of a key equation that

defines which vital few factors need to be measured, analyzed, improved,and controlled for bottom line results. The vital few factors are those factorsthat directly explain the cause and effect relationship of the process output

being measured in relation to the inputs that drive the process. Typically,there are half a dozen or fewer factors that most affect the quality of outputsin that process, even if there are hundreds of steps in which a defect couldoccur.

M-Measure phase:

For starting measure phase, one must first identify the crucial internal processes that influence the CTQ measurements, which are the Y’s, the process outcomes. Once people working know what they are, then they canmeasure the defects generated in the process that profoundly affect the CTQstandard.So the example, if your customer expects a certain standard at a certain

price, you need to identify the vital few factors that affect that expectation.This is crucial, since determining the vital few allows you to concentrate

your efforts and resources. Then you must measure the impact of defects inthose areas. Defects are measurable characteristics of a process or its outputsthat are not within the acceptable customer limits or specifications.Once team members identify the defects, they can then ask how muchmoney company would save if they were eliminated. In doing so, impact-relating improved quality with improved profitability. There is a direct andmeasurable relationship between defects and dollars. In the measure phase,one can figure out that relationship exactly.The measure phase is completed when a black belt can successfully measure

the defect generated for a key process that affects the CTQ characteristics. Inthe measure phase, the black belt conducts a measurements system analysis,which includes gauge studies, and a through evaluation of capabilities of the

process.The purpose of a gauge (gage) repeatability and reproducibility study (gaugeR & R) is to ensure that measurement systems are statistically sound. Agauge R&R measures how is one measuring? So one know all aspects that

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measurement systems are functioning properly and that they are gettingmaximum value for their efforts. After all, company is going to be investing

a lot in rooting out the problems that measurements reveal so it makes senseto be sure that they are accurate and appropriate. Gauge R&G repeatsmeasurement under various conditions to test the measure against these four essential criteria:

Accuracy – How precise is the measurement? Repeatability – if the same person or piece of equipment measures

the same item, will the result be the same? Reproducibility – if other person or piece of equipment measures the

same item, will the result be the same? Stability – will accuracy, repeatability and reproducibility change

over time?

The measure phase is all about mapping the process, evaluating themeasurement system, using metrics, and estimating the process baselinecapability.

A-Analyze phase:

At the point, one tries to understand why defects are generated and then break down what multiple reasons (again, the X’s) are identified as causingthem. Put another way, managers are their black belt teams will ask whichinputs are affecting the outputs.In mapping and measuring process and identifying input variables that mayaffect critical to quality attributes, teams probably come up with someassumptions about relationship between business metric(critical to quality)that would affect it. So now one formulates hypotheses and statistically test

them to determine which factors are critical to the outcome.This where the Analyze phase becomes a cycle as long one goes through aseries of hypotheses testing. The cycle consists of the following steps:

Develop hypotheses about cause(s)

Analyze process and/ or data

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If a hypothesis is correct, add cause to the list of vital few. If thehypothesis is incorrect, refine it and go to step or reject it and do the

step one.

Hypothesis testing uses a series of detailed analyses to calculate the probability that the factors that team’s identified as the vital few truly havemust important impact on the critical to quality outcomes. Then move fromstatistical conclusions to devising practical solutions developing plans for taking corrective action. When managers and their projects teams are in theAnalyze phase, they are continually brainstorming in a statistical sense theyare challenging the status quo and really looking into what vital few factors

are influencing the outcome of a given process eliminating the trivial manyto reveal the significant few.

I-Improve phase:

After one have carefully (sometimes painstakingly) measured and analyzedthe situation they arrive at the existing point of actually testing theory to findan equation to solve the problem. In the improve phase one confirms keyvariables and quantity the effects of those variables on critical to qualityoutcomes. As a result one can identify the maximum acceptable range of

each variable to ensure that measurement system can actually measure thatvariation.

When one reaches the Improve phase they can modify each variable so thatis stays within the acceptable range. When one can turn a defect on or off totruly improve both sides of the Y=Y equation they can manipulate the vitalfew factor(X’s) to achieve the outcome(Y) they want.

C-Control phase:

The control phase is where one maintains the changes made in the X’s in theequation in order to sustain the improvements in the resulting Y’s. In this

phase, they continue to document and monitor processes via defined metricsand other measurement to asses their capability over time. In some cases, thecontrol phase never exists, because one eliminates the problem entirely.

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Following the logical sequence of DMAIC the control phase allows tomaintain a higher level of quality and productivity. By mapping processes

and then measuring and analyzing each factor, one knows how to improveand control them. These control mechanisms can be both macro and micro inscope.

DAILY WORK MANAGEMENT

Daily work management relates to management of activities pertaining toarea of responsibility & which are repeated on daily/routine basis.

Daily work management is the act of ensuring that the activities:-for which each individual work area is responsible,which are repeated regularly on the basis of standards, etc.,are performed reliably.

NEED FOR DAILY WORK MANAGEMENT

1. To avoid fire fighting/managing crisis:-We do fire fighting for

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• planning/frequent changes in schedule

• Tool maintenance

• No action on feedback of operator

• Absenteeism

• Material quality

• Training of operator

• Inter-department coordination

• Change control

• SOP not followed

• Inadequate facility

•

Equipment maintenance• Responsibility

• Delayed delivery from supplier

• Rain…

2. To avoid quick fix:-It means

• To depend primarily on experience, common sense, or past practicesfor the solution to a problem.

• To attempt to solve problems without data collected & analyzed totest a theory.

• To believe that methods used successfully by others will solve the problems of this organization.

• To focus problem solution related to end product or on another unit of the organization.

• To believe that the solutions to most problems are immediatelyapparent.

3. Need to maintain current level of performance and simultaneously aim for

small small gradual improvements.

4. Enabling senior people focus their time on improvement/future planning.

5. Management of regular/routine/transactional activities.

6. Avoiding the DRIP phenomenon.

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PRINCIPLES OF DAILY WORMANAGEMENT

• Built in quality

• Determine CTQ of the process to reduce variation

• Understand and eliminate WASTE-unnecessary variation is a waste

• Anything which does not satisfy Customer/add value is a loss

• Other losses- Mistakes which require rectification- Production of items- not as per customer requirement- Processing steps - which aren’t actually needed- Unnecessary movement of people- Transport of material from one place to another without any

purpose- Waiting for upstream activity output

- Producing for no customer - Adherence to quality characteristics along with other needs of

fulfillment of a satisfied customer.- Daily management starts with education and ends with

education.- PDCA(plan,do,check,act)- Attitudinal problem

# We have no problems# This is the best in the given circumstances

- “We have lot of problems”- make problems visible.- Solve root cause of problem(5 Whys)

HOW TO INITIATE DAILY MANAGEMENT

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1. Formation of departmental team

2. Collection of initial sectional information

3. Determining treatment for each section (production/service)

4. Setting standards

• Performance

• Work methods

5. Developing decision tree to facilitate corrective actions

6. Training to concerned staff for the above

FLOW CHART FOR DAILY MANAGEMENT

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Clarify job objective and job description

Establish job evaluation criteria (control points) andtargets for control points

Define job flow in relation to others (usefunctional deployment maps) & establish jobstandards like SOP, check-sheets etc.

Implement job standards

A

Are results as per targets incontrol

points?

Take actionsto preventrecurrence

Continue to control process using jobstandards.Review performance on control pointsas per defined frequency.

Update job standards/control points based on customer feedback/internal

problems.

Clarify job objective and job description

Establish job evaluation criteria (control points) and targets for control points

Mann 4

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