For classroom presentation Feb 2012

1. SIX Define
SIGMA Control Measure
Six
Sigma
Improve Analyze
Presented By:
Mukul, MBA CMP

2. WHAT IS SIX • Six Sigma is a business management strategy,
SIGMA? originally developed by Motorola, USA in 1986.
• Six Sigma seeks to improve the quality of process
outputs by identifying and removing the causes
of defects (errors) and minimizing variability in
manufacturing and business processes.
• It uses a set of quality management methods,
including statistical methods, and creates a
special infrastructure of people within the
organization ("Black Belts", "Green Belts", etc.)
who are experts in these methods.

3. ABOUT SIX • Six Sigma originated as a set of practices
SIGMA designed to improve manufacturing processes
and eliminate defects.
• A six sigma process is one in which 99.99966% of
the products manufactured are statistically
expected to be free of defects (3.4 defects per
million).
• It has a clear focus on achieving measurable and
quantifiable financial returns.
• Has an increased emphasis on strong and
passionate management leadership and
support.
• It has a clear commitment to making decisions
on the basis of verifiable data, rather than
assumptions and guesswork.

4. Define Measure Analyze Improve Control
• Identify, • Collect data • Analyze data, • Improved • Establish
evaluate and on size of the establish and strategy standards to
select
selected confirm the • Develop maintain
problem. vital few ideas to process.
projects for • Identify key determinants remove root • Design the
improvement customer of the causes controls,
• Set goals requirements. performance. • Design and implement and
• Form teams. • Determine key • Validate carry out monitor.
product and hypothesis. experiments • Evaluate
process • Optimize the financial impact
characteristic. process. of the project.

5. METHODS OF • Six Sigma projects follow two project
SIX SIGMA methodologies inspired by Plan-Do-Check-Act
Cycle.
• These methodologies, composed of five phases
each, bear the acronyms DMAIC and DMADV.
• DMAIC is used for projects aimed at improving
an existing business process.
• DMADV is used for projects aimed at creating
new product or process designs.
DMAIC DMADV

6. DMAIC • Define the problem and the project goals, specifically.
MEANING • Measure key aspects of the current process and collect
relevant data.
• Analyze the data to investigate and verify cause-and-
effect relationships. Seek out root cause of the defect
under investigation.
• Improve or optimize the current process based upon
data analysis using techniques such as design of
experiments, mistake proofing, and standard work to
create a new, future state process. Set up pilot runs to
establish process capability.
• Control the future state process to ensure that any
deviations from target are corrected before they result
in defects. Implement control systems such as statistical
process control, production boards , visual workplaces,
and continuously monitor the process.

7. DMADV • The DMADV project methodology, also known as DFSS
MEANING ("Design For Six Sigma"), features five phases:
• Define design goals that are consistent with customer
demands and the enterprise strategy.
• Measure and identify CTQs (characteristics that are
Critical To Quality), product capabilities, production
process capability, and risks.
• Analyze to develop and design alternatives, create a
high-level design and evaluate design capability to
select the best design.
• Design details, optimize the design, and plan for
design verification. This phase may require
simulations.
• Verify the design, set up pilot runs, implement the
production process and hand it over to the process
owner(s).

8. WHO ARE • At least 25% of the fortune 200 claim to have a
serious six sigma program
IMPLEMENTING
SIX SIGMA
• Financial: Bank of America, GE Capital,
• Electronics: Allied Signal, Samsung, Sony
• Chemicals: DuPont, Dow Chemicals
• Manufacturing: GE Plastics, Johnson and
Johnson, Motorola, Nokia, Microsoft, Ford.
• Airline: Singapore, Lufthansa, Bombardier
• And hundreds of others in Americas, Europe,
Sub Continent

9. SIX SIGMA
RESULTS
• Six Sigma Savings as % of revenue vary from 1.2
to 4.5 %.
• For $30 million/year sales-- Savings potential
$360,000 to $ 1.35 million.

10. WHAT MAKES • Versatile.
SIX SIGMA
• Breakthrough improvements.
DIFFERENT?
• Financial results focus.
• Process focus.
• Structured & disciplined problem solving
methodology using scientific tools and
techniques.
• Customer centered.
• Involvement of leadership is mandatory.
• Training is mandatory.

11. BENEFITS OF • Generates sustained success.
SIX SIGMA
• Sets performance goal for everyone.
• Enhances value for customers.
• Accelerates rate of improvement.
• Promotes learning across boundaries.
• Executes strategic change.

12. THANK YOU