A Brief HistorySix Sigma became well known after Jack Welch, who made it acentral focus of his business strategy at General Electric in1995, and today it is used in different sectors of industry.Later, the Six Sigma processes were adopted at the GeneralElectric Corporation. Jack Welch said: "Six Sigma changed theDNA of GE."[ The Six Sigma process requires 99.99967% errorfree processes and products, (or 3.4 parts per million defects orless). Without the Six Sigma process controls, it may not havebeen possible for John F. Mitchell to launch the Iridium satelliteconstellation,
What is Six SigmaA quality-control program developed in 1986 by Motorola itemphasized cycle-time improvement and reducingmanufacturing defects to a level of no more than 3.4 per million.Six Sigma at many organizations simply means a measure ofquality that strives for near perfection. Six Sigma is adisciplined, data-driven approach and methodology foreliminating defects (driving toward six standard deviationsbetween the mean and the nearest specification limit) in anyprocess from manufacturing to transactional and from product toservice.
Why Six Sigma?• Increase profitability• Increase customer satisfaction• Higher product quality• Improve employee performance• Reduce defects in production
Theoria Motus Corporum Arithmeticae• Carl Gauss, a German mathematician, published "TheoriaMotus Corporum Arithmeticae." In this book, Gaussintroduced the concept of the bell curve, a shape that canoften represent the variation that occurs in a controlledprocess. In order to study further about the topic hedefined variations , Variation is defined as deviation fromexpectation.
Six Sigma Road MapDefineMeasureAnalyzeImproveControl
DMIAC project methodologyDefine theproblem: thevoice of thecustomer, andthe projectgoals, specificallyMEASURE :keyaspects of thecurrent processand collectrelevant dataANALYZE :thedata toinvestigate andverify cause-and-effect relationshipImprove :optimize thecurrent processbased upon dataanalysis usingtechniques suchas design ofexperimentationsCONTROL :he futurestate process toensure that anydeviations fromtarget are correctedbefore they result indefects
Toshiba before Six Sigma• Faced first net loss in 23 % in the year 1999• Reduced size of management• “Toshiba is a second tier company”- JohnPritchard
After Six Sigma Implementation• $1.3 billion in savings in2000• Was able to complete MIcampaign in 2001• Improved training processes• A Greater technique oftechnological assimilationlead to new innovation
Toshiba is now big on Six SigmaToshiba started “Management Innovation Campaign in 2001, having Six Sigma as a core methodology. MI2001 campaign was initiated to execute three pillars of Toshiba’s Management Innovation:(1) improvement of the management mechanism,(2) structural reform of the business,(3) reform of Toshiba’s corporate culture.We mainly used DMAIC to solve the current problems, and for new process or product creations, Toshibadeveloped its unique DFSS (Design for SixSigma) approach called DFACE. Toshiba is promoting this MI activities for whole Toshiba group wideincluding domestic and overseas subsidiaries, that is in China, in Asia, inAmerica and in Europe with communicating common words. Both DMAIC and DFACE are convenientmethods for solving important issues. But, the most important thing is how to build these methods into thecompany and how to manage them for solving business issues and achieve the business goal.
THANK YOUPresentation made byK.U.SANDEEP KUMAR