The document discusses Six Sigma, a methodology used to improve processes and reduce defects. It aims to eliminate waste and inefficiency to increase customer satisfaction. Six Sigma projects follow the DMAIC or DMADV methodologies which involve defining problems, measuring key aspects, analyzing data, improving processes based on findings, and controlling changes. The goal is to achieve no more than 3.4 defects per million opportunities. Widespread use of Six Sigma can lead to benefits like reduced costs, improved quality, and increased profits and customer loyalty.
2. A quality management system (QMS) is a collection of business
processes focused on consistently meeting customer requirements
and enhancing their satisfaction. It is aligned with an organization's
purpose and strategic direction
Improving process efficiency brings about many benefits to the
organizations in terms of costs and time, reduced warranty and
customer support costs.
Process efficiency leads to improved profit per product.
3. Six Sigma is a set of techniques and tools for process
improvement.
Quality Management program developed by MOTOROLA in
1986
It is a methodology that provides businesses with the tools to
improve the capability of their business processes.
It leads to defect reduction and improvements in profits,
employee morale and quality of product.
Any business who wants to produce quality products that
deliver on customers’ expectation will do well to employ staff
with Six Sigma
4. The word Sigma is always used by mathematicians and engineers as
a symbol for a unit of measurement in product quality.
The higher the process sigma, the more of the process outputs,
products and services, meets customer requirements- or fewer the
defects.
The term sigma is often used as the scale for levels of ''goodness'' or
quality. using this scale ''Six Sigma'' equates to 3.4 defects per
million opportunities (DPMO)
5.
6. Six Sigma originated at Motorola in the early 1980s, in response to achieving
10X reduction in product-failure levels in 5 years.
Engineer Bill Smith invented Six Sigma, but died of a heart attack in the
Motorola cafeteria in 1993, never knowing the scope of the craze and
controversy he had touched off.
Six Sigma is based on various quality management theories (e.g. Deming's 14
point for management, Juran's 10 steps on achieving quality).
9. The word Sigma is a statistical term that measures how far a given process
deviates from perfection.
The central idea behind Six Sigma: If you can measure how many "defects"
you have in a process, you can systematically figure out how to eliminate
them and get as close to "zero defects" as possible and specifically it means
a failure rate of 3.4 parts per million or 99.9997% perfect.
10.
11. Six Sigma's aim is to eliminate waste and inefficiency, thereby increasing
customer satisfaction by delivering what the customer is expecting.
Six Sigma is a data driven methodology, and requires accurate data collection
for the processes being analyzed.
Six Sigma is a methodology used by organizations to eliminate defects in any
process. To achieve a six sigma for a process it should not contain any defect
that is outside of customer specification.
Six Sigma is a business-driven approach for
Improving Processes
Lowering Defects
Reducing costs
Increasing customer satisfaction
Increased profits
12. Clearly define the customer's explicit requirements.
Count the number of defects that occur.
Determine the yield-percentage of items without defects.
Use the conversion chart to determine DPMO and Sigma Level.
13. When the collected data is evaluated, sigma is calculated. it given an
approximate number of defects.
A Six Sigma defect is defined as anything outside of customer
specifications.
A Six Sigma opportunity is the total quantity of chances for a defect.
First we calculate DPMO and based on that a Sigma is decided from a
predefined table
14. It gives your business an accurate picture of the efficiency of your
process. Depending on the Defects-per-Million-Opportunities, your
company can decide whether it is necessary to launch a Six Sigma project
that will improve the process and reduce the number of opportunities for
defects per million products.
If the DPMO is too high, you run the risk of negatively affecting
customer satisfaction which in turn will reflect negatively on your
business.
Six Sigma business improvement projects focus on reducing errors and
increasing customer satisfaction and thereby nurturing a healthy business.
15. Defects Per Unit - DPU
Total Number of Defects
DPU = -----------------------------------
Total number of Product Units
Total Opportunities - TO
TO = Total number of Product Units x Opportunities
Defects Per Opportunity - DPO
Total Number of Defects
DPO = ------------------------------
Total Opportunity
Defects Per Million Opportunities - DPMO
DPMO = DPO x 1,000,000
16. As stated above, Number of defects is the total number of defects
found, Number of Units is the number of units produced, and
number of opportunities means the number of ways to generate
defects.
For example, the food ordering delivery project team examines 50
deliveries and finds out the following
Delivery is not on time (13)
Ordered food is not according to the order (3)
Food is not fresh (0)
17. So now, DPMO will be as follows
DPMO = 13+3
----------- *1,000,000 = 106,666.7
50*3
• According to the Yield to Sigma Conversion Table106,666.7 defects per
million opportunities is equivalent to a sigma performance of between 2.7
and 2.8.
20. It is used for projects aimed at improving an existing business process.
Define the system, identify the customer and their requirements, and the
project goals, specifically.
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.
21. Improve based on the research
and analysis done in the previous
stage
The Six Sigma team implements
the improvements to fix the
problems and prevent them for
occurring in future. Six Sigma
team uses the quality
management system to closely
track the open corrective actions
and to ensure that they are
successfully implemented.
22. Control
The Six Sigma team ensures that there are controls in place to keep the
improved process on the new course.The quality management system allows
the team to audit the order-to-delivery process to ensure the improvements
have taken hold to prevent the process from reverting back to the "old way".
23. It is the model for designing new processes.
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 capabilities, and risks.
Analyze to develop and design alternatives, create a high level design and
evaluate design capability to select the best design.
24. 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).
25. There is one more methodology called DFSS − Design For Six Sigma.
DFSS is a data-driven quality strategy for designing or redesigning a
product or service from the ground up.
Sometimes a DMAIC project may turn into a DFSS project because the
process in question requires complete redesign to bring about the desired
degree of improvement.
26. • Better quality
Employee Motivation
Reduced Cycle time
Improved Customer Loyalty
Profits go up
better monitering of processes
better involvement of people
27. Requires skilled man force
Immediate results can not be seen
Utilizes lot of time which is great disadvantage in the current world of
speed
28. Six Sigma looks at all work as a series of processes with inherent
variations, which can cause waste or inefficiency. Focusing on those
processes with greatest impact on business performance, as defined by
leadership teams, the methodology involves statistical analysis to quantify
repeated common cause variations - which can then be reduced by the Six
Sigma team. Six Sigma becomes a continuous process for quality
improvement and cost reduction flowing throughout the company.