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Six Sigma
An Introduction
If Quality is not delivered. . . .
There will be 20,000 wrong prescriptions each year
500 wrong surgical operations per week
2000 lost pieces of mail each hour
Quality Perspectives
• Quality from design perspective
• Quality from customer perspective
• Quality from operations perspective
Ultimate Quality
“is meeting or exceeding
customer satisfaction”
What is Six Sigma?
A six sigma quality level corresponds to a process
variation equal to half the design tolerance while
allowing the mean to shift as much as 1.5 standard
deviations from the target.
Six Sigma
Quality
Productivity
Cost
Profitability
Better meet
customer
expectations
6σ Focus
•A focus on customer
•Participation and teamwork by everyone in the
organization
•A process focus supported by continuous
improvement and learning
Our presentation
1. DMAIC methodology
2. Difference between DMADV and DMAIC
3. Implementing Six sigma
4. Define
5. Measure
6. Analyze
7. Improve
8. Control
9. Advantages and limitations
Define
•Project
team
•Pareto
analysis
Measure
•Six sigma
Focus
•Techniques
Analyze
•Statistical
Methods
•Tools for
analysis
Improve
•Improveme
nt focus
•Tools
Control
• SOPs
• SPC
Implementing Six Sigma
DMADV vs. DMAIC
DMAIC DMADV
 It is used when the
product or process is in the
respective industry
 It is used for development
of new products or for
products that are non existent
in the industry
Define
Measure
Analyze
Improve
Control
Define
Measure
Analyze
Design
Verify
The “Define” phase
What is defining the problem?
It entails:
• Selecting the problem to address
• Clearly defining the improvement opportunity
• Building commitment among all stakeholders and
• Understanding the process and customer
• Requirements from a high-level perspective.
Project Team
Champion
Sponsor
Team leader
Facilitator
Timekeeper
Scribe
Team member
Common Problems
 Conformance problem
 Unstructured performance problems
 Efficiency problems
 Product design problems
 Process design problems
Choosing the best problem
 Impact on customers and organizational
effectiveness
 Probability of success
 Impact on employees
 Fit to strategy and competitive advantage
 Financial return
Choosing the best problem
Pareto analysis
Most common sources of defects
Frequency
Defects
The “Measure” phase
What is Measuring?
“Measurement is the act of quantifying the
performance dimensions of products, services,
processes and other business activities.”
The “Measure” phase
What is Measuring?
It focuses on:
• Understanding the current performance
• Collecting any necessary data needed for analysis
• Assessment of the measurement system to ensure
validity
The “Measure” phase
Selecting process metrics
Identify all customers of the system
Define the work process that provides the product
Define the value-adding activities that compose the
process
Develop specific performance measures
Evaluate the performance to ensure their
usefulness
The “Measure” phase
Data Collection techniques
Check Sheets
Sampling
Histograms
Control charts
Process capabilities
Check Sheets
The “Measure” phase
Data Collection techniques
Check Sheets
Sampling
Histograms
Control charts
Process capabilities
Histogram
The “Measure” phase
Data Collection techniques
Check Sheets
Sampling
Histograms
Control charts
Process capabilities
The “Analyze” phase
What is Process Analysis?
“Analysis refers to an examination of processes,
facts, and data to gain an understanding of why
problems occur and where opportunities for
improvement exist.”
Statistical Techniques
 Statistical inference
Regression and Correlation
Scatter Diagrams
The “Analyze” phase
Tools for process analysis
Cause-and-Effect Diagrams
Flowcharts
The “Analyze” phase
Tools for process analysis
The “Analyze” phase
Tools for process analysis
Cause-and-Effect Diagrams
Flowcharts
The “Analyze” phase
Flowchart
Operation
Transportation
Inspection
WIP
Storage
The “Improvement” phase
What is Process Improvement?
“It is the apex of the DMAIC methodology and
defines the step in which the processes are to be
improved to deliver the requirements to the
respective customers.”
Its focuses
 Flexibility
Cycle times
Agility
 Breakthrough improvements
The “Improvement” phase
Lean Six Sigma
Lean Six Sigma
Six
Sigma
TPM
Lean
Tools for process improvement
Flowcharts
Kaizen Blitz
Poke-yoke
 5S
 SMED
 TPM
The “Improvement” phase
Lean Six Sigma
Kaizen blitz
 Kaizen is “improvement for good”
 Blitz team
 Rapid Improvements
Tools for process improvement
Flowcharts
Kaizen Blitz
Poke-yoke
Lean Six Sigma
Tools for process improvement
Flowcharts
Kaizen Blitz
Poke-yoke
 5S
 SMED
The “Improvement” phase
Tools for process improvement
5S
The “Improvement” phase
 Sort
Set in order
Shine
Standardize
Sustain
Tools for process improvement
Flowcharts
Kaizen Blitz
Poke-yoke
 5S
 Single Minute of Exchange of Dies (SMED)
The “Improvement” phase
Quick changeovers (SMED)
The “Improvement” phase
The “Control” phase
What is Process Control?
“It is the activity of ensuring that project
improvements will be sustained by tracking key
performance measures and CTQs.”
The “Control” phase
Components of Process Control
 A standard goal
 A means of measuring accomplishments
Comparison of actual results with standard,
along with feedback to form the basis for
corrective action
The “Control” phase
Sustaining the developed processes
 Inspection
Corrective measures
Short term
Long term
 Audits
 Standard Operating Procedures
SPC
The “Control” phase
Statistical process control (SPC))
Prerequisites of six sigma
What is needed?
 Committed leadership from top management
Integration with existing initiatives
Disciplined customer and market intelligence
gathering
 A bottom-line orientation
 Training
Continuous reinforcement
Advantages of six sigma
Fruits that six sigma yields
Began in 1920s as manufacturer of car radios
In 1970s it changed its focus from products to
customers
In 1987 it announced its goal of “six sigma”
Six sigma saved Motorola a total of $17 billion in
the years between 1986 and 2008
Advantages of six sigma
Fruits that six sigma yields
Ford started to work on six sigma in 1999
 Six sigma team comprised of top 350 people in
2000 for six sigma training
$6 million were invested to purchase
 Results in $300 million savings
Limitations of six sigma
Difficulties
 The challenge of having quality data
The right selection and prioritization of the projects
 The Cost of Poor Quality (COPQ) and sigma quality
level needs more justification
Six Sigma
Six Sigma

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Six Sigma

  • 2.
  • 3. If Quality is not delivered. . . . There will be 20,000 wrong prescriptions each year 500 wrong surgical operations per week 2000 lost pieces of mail each hour
  • 4. Quality Perspectives • Quality from design perspective • Quality from customer perspective • Quality from operations perspective
  • 5. Ultimate Quality “is meeting or exceeding customer satisfaction”
  • 6. What is Six Sigma? A six sigma quality level corresponds to a process variation equal to half the design tolerance while allowing the mean to shift as much as 1.5 standard deviations from the target.
  • 8. 6σ Focus •A focus on customer •Participation and teamwork by everyone in the organization •A process focus supported by continuous improvement and learning
  • 9. Our presentation 1. DMAIC methodology 2. Difference between DMADV and DMAIC 3. Implementing Six sigma 4. Define 5. Measure 6. Analyze 7. Improve 8. Control 9. Advantages and limitations
  • 10.
  • 12.
  • 13. DMADV vs. DMAIC DMAIC DMADV  It is used when the product or process is in the respective industry  It is used for development of new products or for products that are non existent in the industry Define Measure Analyze Improve Control Define Measure Analyze Design Verify
  • 14.
  • 15. The “Define” phase What is defining the problem? It entails: • Selecting the problem to address • Clearly defining the improvement opportunity • Building commitment among all stakeholders and • Understanding the process and customer • Requirements from a high-level perspective.
  • 17. Common Problems  Conformance problem  Unstructured performance problems  Efficiency problems  Product design problems  Process design problems
  • 18. Choosing the best problem  Impact on customers and organizational effectiveness  Probability of success  Impact on employees  Fit to strategy and competitive advantage  Financial return
  • 19. Choosing the best problem Pareto analysis Most common sources of defects Frequency Defects
  • 20.
  • 21. The “Measure” phase What is Measuring? “Measurement is the act of quantifying the performance dimensions of products, services, processes and other business activities.”
  • 22. The “Measure” phase What is Measuring? It focuses on: • Understanding the current performance • Collecting any necessary data needed for analysis • Assessment of the measurement system to ensure validity
  • 23. The “Measure” phase Selecting process metrics Identify all customers of the system Define the work process that provides the product Define the value-adding activities that compose the process Develop specific performance measures Evaluate the performance to ensure their usefulness
  • 24. The “Measure” phase Data Collection techniques Check Sheets Sampling Histograms Control charts Process capabilities
  • 26. The “Measure” phase Data Collection techniques Check Sheets Sampling Histograms Control charts Process capabilities
  • 28. The “Measure” phase Data Collection techniques Check Sheets Sampling Histograms Control charts Process capabilities
  • 29.
  • 30. The “Analyze” phase What is Process Analysis? “Analysis refers to an examination of processes, facts, and data to gain an understanding of why problems occur and where opportunities for improvement exist.”
  • 31. Statistical Techniques  Statistical inference Regression and Correlation Scatter Diagrams The “Analyze” phase
  • 32. Tools for process analysis Cause-and-Effect Diagrams Flowcharts The “Analyze” phase
  • 33. Tools for process analysis The “Analyze” phase
  • 34. Tools for process analysis Cause-and-Effect Diagrams Flowcharts The “Analyze” phase
  • 36.
  • 37. The “Improvement” phase What is Process Improvement? “It is the apex of the DMAIC methodology and defines the step in which the processes are to be improved to deliver the requirements to the respective customers.”
  • 38. Its focuses  Flexibility Cycle times Agility  Breakthrough improvements The “Improvement” phase
  • 39. Lean Six Sigma Lean Six Sigma Six Sigma TPM Lean
  • 40. Tools for process improvement Flowcharts Kaizen Blitz Poke-yoke  5S  SMED  TPM The “Improvement” phase
  • 41. Lean Six Sigma Kaizen blitz  Kaizen is “improvement for good”  Blitz team  Rapid Improvements
  • 42. Tools for process improvement Flowcharts Kaizen Blitz Poke-yoke Lean Six Sigma
  • 43. Tools for process improvement Flowcharts Kaizen Blitz Poke-yoke  5S  SMED The “Improvement” phase
  • 44. Tools for process improvement 5S The “Improvement” phase  Sort Set in order Shine Standardize Sustain
  • 45. Tools for process improvement Flowcharts Kaizen Blitz Poke-yoke  5S  Single Minute of Exchange of Dies (SMED) The “Improvement” phase
  • 46. Quick changeovers (SMED) The “Improvement” phase
  • 47.
  • 48. The “Control” phase What is Process Control? “It is the activity of ensuring that project improvements will be sustained by tracking key performance measures and CTQs.”
  • 49. The “Control” phase Components of Process Control  A standard goal  A means of measuring accomplishments Comparison of actual results with standard, along with feedback to form the basis for corrective action
  • 50. The “Control” phase Sustaining the developed processes  Inspection Corrective measures Short term Long term  Audits  Standard Operating Procedures SPC
  • 51. The “Control” phase Statistical process control (SPC))
  • 52.
  • 53. Prerequisites of six sigma What is needed?  Committed leadership from top management Integration with existing initiatives Disciplined customer and market intelligence gathering  A bottom-line orientation  Training Continuous reinforcement
  • 54. Advantages of six sigma Fruits that six sigma yields Began in 1920s as manufacturer of car radios In 1970s it changed its focus from products to customers In 1987 it announced its goal of “six sigma” Six sigma saved Motorola a total of $17 billion in the years between 1986 and 2008
  • 55. Advantages of six sigma Fruits that six sigma yields Ford started to work on six sigma in 1999  Six sigma team comprised of top 350 people in 2000 for six sigma training $6 million were invested to purchase  Results in $300 million savings
  • 56. Limitations of six sigma Difficulties  The challenge of having quality data The right selection and prioritization of the projects  The Cost of Poor Quality (COPQ) and sigma quality level needs more justification