6. Zero defects
Quality is conformance to requirements
Defect prevention is preferable
Standard of Quality is zero defects
Quality is the measure on the basis of price
10. A Six Sigma process accepts a max 3.4 defective parts per million opportunities (DPMO)
leading to an efficiency of 99.9997%
Lower limits Upper limits
3.4 defects/million
±6
2,700 defects/million
±3
Mean
6
12. Benchmarking is a systematic procedure that measures a
firm’s processes, services, and products against other
metrics of measurement
⚫ Competitive benchmarking is based on comparisons with
a direct competitor
⚫ Functional benchmarking compares areas with those of
outstanding firms in any industry
⚫ Internal benchmarking compares an organizational unit
with superior performance with other units
Strategies for
Process
Benchmarking
“ In God we trust, everyone else brings data. ”
13. Quality is what the customer says it is.
Think of yourself as the customer.
Customer satisfaction is impossible without employee
satisfaction.
Improve continuously to stay agile.
Leadership and accountability make quality happen.
Focusing on quality increases efficiency; focusing on
efficiency often decreases quality.
If you can’t measure it, you can’t manage it.
Strategies for
Process
Improvement
14. Value Creation
• Customer is willing to pay for it
• Transforms a product or service
• Helps eliminate wastage
• Delivers correct the first time
16. Gap Analysis
Customer’s
expectations
concerning a
product or service
Customer’s
perceptions
concerning the
product or service
Previous
Experience
Word of mouth
communications
Image of product or
service
Customer’s own
specification of
quality
Management’s
concept of the
product or service
organization’s
specification of
quality
The actual product or
serviceGap 1
Gap 2
Gap 3
Gap 4
17. 5 Whys
Problem:
Orders are late going
out the door.•Product not completed
on time
•Spend too much time hunting
down tools
•Tools are located in various
places
•Different people store tools
in different places
•No standard protocol for tool
storage
Why?
Why?
Why?
Why?
Why?
18. Poka-Yoke
Poka-Yoke (Mistake-Proofing)
Poka-yoke – an approach for mistake-proofing processes using
automatic devices or methods to avoid simple human or
machine error, such as forgetfulness, misunderstanding, errors
in identification, lack of experience, absentmindedness, delays,
or malfunctions.
19. Poka-Yoke
Poka-Yoke 3 levels DESIGN
Design potential errors out of the product or process –
Eliminates any possibility that the error or defect might occur.
IDENTIFY
Identify potential defects and stopping a process before the
defect is produced – Requires time to stop a process and take
corrective action.
ELIMINATE
Find defects that enter or leave a process – Eliminates wasted
resources that would add value to nonconforming work, but
clearly result in scrap or rework.
20. PICK Chart
Possible Kill
Implement ChallengeG1
G2
G3
G4
G5
High Importance
High Dysfunction
High Importance
Low Dysfunction
Low Importance
High Dysfunction
Low Importance
Low Dysfunction
K1
K2
K3
K4
K5
M
1
M
2
M
3
M
4
M
5
G1
G2
G3
G4
G5
S1
S2
S3
S4
S5
B1
B2
B3
B4
B5
21. Mandates
Act Influence React
Address processes with customer touchpoints first
Start with the end in mind
See how far you can break down the tasks
Keep the list of resources to understand impact
New processes should generate data; gains should be measurable
Check for the application of resources sequentially
Keep eliminating mistakes – Poka Yoke
22. Team Mandates
How many people on a team?
Five people per team is best practice
o Smaller teams may not have fully realized solutions
o Larger teams may become bogged down in too many opinions
Who should be on the team?
Process Owner & Maker mandatory
Helps ensure process sees ‘light of day’
A Process Expert or benefactor view
Intimately understand the process or suggests usage
Outsider
Someone with ‘no skin in the game’
Outside perspectives can lead to unexpected solutions
