Six Sigma
6
2
What is Six Sigma?
• Sigma is the Greek letter “” that represents the
“standard deviation” or variability of a group of
items from their average value.
• A Six Sigma program is therefore a variability
reducing program.
– The key objectives include improved processes, product
performance, and reliability
 Six Sigma is a reference to
a particular goal of reducing
defects to near zero.
4
What is the Cost of Quality?
 Goal: Improve cost, quality, and schedule
performance via process improvement and
reduction of process variations.
Sigma Level Defects Per Million Opportunities Cost of Quality
2 308,537 (Noncompetitive companies) N/A
3 66,807 25-40% of sales
4 6,210 (Industry average) 15-25% of sales
5 233 5-15% of sales
6 3.4 (World Class) 1% of sales
Note: Each sigma improvement represents a 10% net
improvement in income.
ZERO DEFECT
PROGRAM
ZERO DEFECT PROGRAM
• “Zero Defects is a management tool aimed at the reduction of defects
through prevention”
• ZD considers the domain beyond 3.4 defects per million
opportunities. In other words, it considers the designing of processes
and all,
Parameter Six Sigma Zero defect concept
Objective Managing defects Prevention of defects
Key idea Three defects per million
opportunities.
Work right the first time and every
time
Associated cost Comparatively less Comparatively higher cost
Instruments Statistical quality control tools plus
problem solving algorithms
Continual improvement through
leadership
Performance standards Few defects are acceptable No defects are acceptable
Scope Limited to quality of the product or
service
Applicable to every job in the
organisation
Involvement of the worker Moderate worker involvement Worker can and should identify the
problem
Workforce needed Moderate number of green belts and
black belts are needed
Very limited number of additional
employees needed.
Comparison between Six sigma and ZD
ZERO DEFECT NEWS
OHSAS
OHSAS 18001
Occupational Health and Safety Management System (OHSMS)
promotes a safe and healthy working environment by providing a
framework that helps organizations to:
• Identify and control health and safety risks
• Reduce the potential for accidents
• Aid legal compliance
• Improve overall performance
The Advantage of OHSAS 18001
• A reduction in lost working days
• Fewer workplace accidents
• Fewer medical claims
• Recognition by insurers and regulators
• Improved employee motivation, retention and satisfaction
• Reduced legal costs
• Less time and money spent on accident-related investigation and
paperwork
Cont.
• A safer workplace
• Morale for workers
• Reduced costs of maintenance
• Provides Training to workers
• Monitoring organization for safety circumstances
• Easily Integrated with Quality/Environmental Systems
• Increase Stakeholders’ confidence in your organization.
How will OHSAS 18001 Helps Your
Business?
• Improved performance and morale of your staff Improved efficiencies
in health and safety budgeting for prices like coaching, making certain
that cash is well spent and associated with real wants of the
organization
• Greater support of stakeholders that you just area unit taking all cheap
steps to guard the business against injury to your name and breach of
legislation
• OHSAS 18001 is more and more a pre-requisite for corporations
desire to tender for contracts among sure industries.

6 Sigma Implatation

  • 1.
  • 2.
    2 What is SixSigma? • Sigma is the Greek letter “” that represents the “standard deviation” or variability of a group of items from their average value. • A Six Sigma program is therefore a variability reducing program. – The key objectives include improved processes, product performance, and reliability  Six Sigma is a reference to a particular goal of reducing defects to near zero.
  • 4.
    4 What is theCost of Quality?  Goal: Improve cost, quality, and schedule performance via process improvement and reduction of process variations. Sigma Level Defects Per Million Opportunities Cost of Quality 2 308,537 (Noncompetitive companies) N/A 3 66,807 25-40% of sales 4 6,210 (Industry average) 15-25% of sales 5 233 5-15% of sales 6 3.4 (World Class) 1% of sales Note: Each sigma improvement represents a 10% net improvement in income.
  • 6.
  • 7.
    ZERO DEFECT PROGRAM •“Zero Defects is a management tool aimed at the reduction of defects through prevention” • ZD considers the domain beyond 3.4 defects per million opportunities. In other words, it considers the designing of processes and all,
  • 8.
    Parameter Six SigmaZero defect concept Objective Managing defects Prevention of defects Key idea Three defects per million opportunities. Work right the first time and every time Associated cost Comparatively less Comparatively higher cost Instruments Statistical quality control tools plus problem solving algorithms Continual improvement through leadership Performance standards Few defects are acceptable No defects are acceptable Scope Limited to quality of the product or service Applicable to every job in the organisation Involvement of the worker Moderate worker involvement Worker can and should identify the problem Workforce needed Moderate number of green belts and black belts are needed Very limited number of additional employees needed. Comparison between Six sigma and ZD
  • 9.
  • 10.
  • 11.
    OHSAS 18001 Occupational Healthand Safety Management System (OHSMS) promotes a safe and healthy working environment by providing a framework that helps organizations to: • Identify and control health and safety risks • Reduce the potential for accidents • Aid legal compliance • Improve overall performance
  • 12.
    The Advantage ofOHSAS 18001 • A reduction in lost working days • Fewer workplace accidents • Fewer medical claims • Recognition by insurers and regulators • Improved employee motivation, retention and satisfaction • Reduced legal costs • Less time and money spent on accident-related investigation and paperwork
  • 13.
    Cont. • A saferworkplace • Morale for workers • Reduced costs of maintenance • Provides Training to workers • Monitoring organization for safety circumstances • Easily Integrated with Quality/Environmental Systems • Increase Stakeholders’ confidence in your organization.
  • 14.
    How will OHSAS18001 Helps Your Business? • Improved performance and morale of your staff Improved efficiencies in health and safety budgeting for prices like coaching, making certain that cash is well spent and associated with real wants of the organization • Greater support of stakeholders that you just area unit taking all cheap steps to guard the business against injury to your name and breach of legislation • OHSAS 18001 is more and more a pre-requisite for corporations desire to tender for contracts among sure industries.