yellow belt training

SIX SIGMA YELLOW BELT TRAINING

2

Content

Origin & meaning of Six Sigma

Need of Six Sigma

DMAIC Methodology

Some vital tools used during Six Sigma

Overview of: Green Belt project Lean Six Sigma Quality Management System TQM

Objectives of the training

Understand the need for Six Sigma

Explain the Six Sigma DMAIC process

Clarify the roles of the Sponsor and the Project Leader

Understand the key differences between traditional problem solving methods and the Six Sigma approach

Demonstrate the 7 basic tools

Develop an awareness of the various Six Sigma tools and their applicability

Outline the key attributes of a Six Sigma project

4

“Often, problems are knots with many strands, and

looking at those strands can make a problem seem

different.”

5

Quality is a state in which value entitlement is realized for the customer and provider in every aspect of the business relationship.

Business Quality is highest when the costs are at the absolute lowest for both the producer & consumer.

Six Sigma provides maximum value to companies in the forms of increased profits and maximum value to consumers with high-quality products and services at the lowest possible cost.

Defect is any process output that does not meet customer specifications, or that could lead to creating an output that does not meet customer specifications.

Cost of Poor Quality (COPQ) is the cost that would disappear if systems, processes, and products were perfect.

Before We Start…

6

Process & Process Capability

• Process is a unique combination of tools, materials, methods, and people engaged in producing a measurable output; for example a manufacturing line for machine parts. All processes have inherent stastical variability which can be evaluated by statistical methods.

• The Process Capability is a measurable property of a process to the specification, expressed as a process capability index (e.g., Cpk or Cpm) or as a process performance index (e.g., Ppk or Ppm). The output of this measurement is usually illustrated by a histogram and calculations that predict how many parts will be produced out of specification (OOS).

• Process capability is also defined as the capability of a process to meet its purpose as managed by an organization's management and process definition structures ISO 15504.

• Two parts of process capability are: 1) Measure the variability of the output of a process, and 2) Compare that variability with a proposed specification or product tolerance.

Six Sigma is a Business PhilosophySix Sigma is a Business Philosophy

Six Sigma

• Six Sigma is a disciplined, data-driven approach and methodology for eliminating defects in any process – from manufacturing to transactional and from product to service.

• To achieve Six Sigma, a process must not produce more than 3.4 defects per million opportunities (DPMO).

• A Six Sigma opportunity is then the total quantity of chances for a defect. Customer focused business improvement process.

• Defect reduction in a process or product.

• Common measurement scale called the Sigma capability or Z.

• Six Sigma capability corresponds to an efficiency of 99.9996%.

• 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.

8

Six Sigma Table

Sigma level DPMO Percent defective Percentage yield Cpk

1 691,462 69% 31% 0.33

2 308,538 31% 69% 0.67

3 66,807 6.7% 93.3% 1.00

4 6,210 0.62% 99.38% 1.33

5 233 0.023% 99.977% 1.67

6 3.4 0.00034% 99.99966% 2.00

Six Sigma was developed by Bill Smith, QM at Motorola It’s implementation began at Motorola in 1987 It allowed Motorola to win the first Baldrige Award in 1988 Several major companies in the world have adopted Six Sigma

since then .…and applied to Manufacturing processes to improve product quality

Texas Instruments, Asea Brown Boveri, AlliedSignal, General Electric, Bombardier, Nokia Mobile Phones, Lockheed Martin, Sony, Polaroid, Dupont, American Express, Ford Motor,

…….

GE applied the Six Sigma methodology to improve all business processes and it became a way of running the business.

Six Sigma is a Competitive ToolSix Sigma is a Competitive Tool

History

10

What is Sigma

Sigma (upper case Σ, lower case σ) is the eighteenth letter of the Greek alphabet.

In the system of Greek numerals it has a value of 200.

Sigma is used to show standard variation. In probability theory and statistics, the standard deviation of a

statistical population, a data set, or a probability distribution is the square root of its variance.

It shows how much variation there is from the "average" (mean). A low standard deviation indicates that the data points tend to

be very close to the mean, whereas high standard deviation indicates that the data are spread out over a large range of values.

The Standard Deviation

1

T USL

Upper Specification Limit (USL)Target Specification (T)Lower Specification Limit (LSL)Mean of the distribution ()Standard Deviation of the distribution ()

3

1 Sigma - 68%

2 Sigma - 95%

3 Sigma - 99.73 %

(X – X)2

n-1 =

Target

CustomerSpecification

Target CustomerSpecification

1

2

3

A 3 process because 3 standard deviationsfit between target and spec

3

0.27% Defects up-to 6.6 %

Before

What Is Six Sigma

After

6No Defects!

Reducing Variability Is The Key To Six Sigma

13

Six Sigma -Tools

• 5 Whys • Analysis of variance• ANOVA Gauge R&R • Axiomatic design• Business Process Mapping• Catapult exercise on variability • Cause & effects diagram (also known as fishbone or Ishikawa diagram) • Chi-square test of independence and fits • Control chart• Correlation• Cost-benefit analysis• CTQ tree• Quantitative marketing research through use of Enterprise Feedback Management (EFM) systems • Design of experiments• Failure mode and effects analysis (FMEA) • General linear model• Histograms• Homoscedasticity• Quality Function Deployment (QFD) • Pareto chart• Pick chart• Process capability• Regression analysis• Root cause analysis • Run charts• SIPOC analysis (Suppliers, Inputs, Process, Outputs, Customers) • Stratification • Taguchi methods• Taguchi Loss Function• TRIZ

The Focus of Six Sigma

Dependent Output Effect Symptom Monitor

X1 . . . XN

Independent Input-Process Cause Problem Control

f (X)f (X)YY

Would you control target or the shooter to get the Gold Medal?

How are we viewed by our customers?

• Reactionary, not preventative• Adequately responsive to customer

needs• Problems not permanently solved• Hard perennial problems not solved. • Inconsistent• Flawed Startups

Customers look for our competitors

The Need for Six SigmaThe Need for Six Sigma

How do we want to be viewed by our customers?

• Proactive• Quick, agile• Having robust products• System experts• Flawless during startups• Continuously improving through

an Enterprise-wide problem prevention/problem solving culture

Our Customers’ Best Supplier

The Need for Six SigmaThe Need for Six Sigma

17

Six Sigma - DMAIC Vs DMADV

DMAIC Define the project goals and

customer (internal and external) deliverables

Measure the process to determine current performance

Analyze and determine the root cause(s) of the defects

Improve the process by eliminating defects

Control future process performance

When To Use DMAIC The DMAIC methodology should

be used when a product or process is in existence at your company but is not meeting customer specification or is not performing adequately.

DMADV • Define the project goals and customer

(internal and external) deliverables

• Measure and determine customer needs and specifications

• Analyze the process options to meet the customer needs

• Design (detailed) the process to meet the customer needs

• Verify the design performance and ability to meet customer needs

When To Use DMADV• A product or process is not in

existence at your company and one needs to be developed

• The existing product or process exists and has been optimized (using either DMAIC or not) and still doesn't meet the level of customer specification or six sigma level

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6 DMAIC Process

Develop Charter and Business Case

Map Existing Process

Collect Voice of the Customer

Specify CTQs / Requirements

Measure CTQs / Requirements

Determine Process Stability

Determine Process Capability

Calculate Baseline Sigma

Refine Problem Statement

Identify Root Causes

Quantify Root Causes

Verify Root Causes

Institutionalize Improvement

Control Deployment

Quantify Financial Results

Present Final Project Results and Lessons Learned

Close Project

Select Solution (Including Trade Studies, Cost/Benefit Analysis)

Design Solution

Pilot Solution

Implement Solution

Define

Measure

Analyze

Improve

Control

DMAIC = Define, Measure, Analyze, Improve and Control

19

Six Sigma COPIS Model

Customers Suppliers

Outputs InputsProcess

Steps

The Voice of the Customer (VOC) is aggressively sought and rigorously evaluated and used to determine needed outputs and hence the optimal process configuration needed to yield those

outputs and their necessary inputs for which the best suppliers are identified and allied with.

From Concept to Market: the Voice of the Customer

How does Six Sigma Work?

6 Sigma

Methods

Manufacturing

EngineeringMarketing

Purchasing

Software

HR

Finance

... Can Be Applied To Every Business Function

Where to apply…..

Executive ChampionExecutive Champion

Responsible for providing resources to BB/GBs

Help in team selection

Track progress of project

Generally is supervisor of BB/GB. May help in selection of the project

SponsorSponsor

Call for need of project (Project identification)

Beneficiary of the project

Validate current status and status after completion of project

Allocates resources for the project

Ensure compliance to controls established as a result of the project

Project Leader (Black Belt / Green Belt)Project Leader (Black Belt / Green Belt)

Lead the project

Ask for resources required

Call meeting of stakeholders and seek help from EC when stakeholders are not responding

Ensure team involvement and sponsor’s buy in for solution

Publish weekly progress report & call for help when required

Roles and Responsibilities

Deployment ChampionDeployment Champion

Mentor and guide BBs/GBs

Provide technical help when BBs/GBs reach a roadblock

Publish Summary report of all projects

Raise alarm when things are not moving

MBBMBBTrain BB/GB

Assess the skills of BB/GB

Certification of GBs and BBs after completion of projects

Deployment of Global policies and procedures

CFO/FinanceCFO/Finance

Assess the saving potential at start of project

Validate savings against the targets achieved at completion of project

Roles and Responsibilities

Titles

Yellow Belt (YB):Yellow Belt (YB): Should understand the DMAIC process and use the Six Sigma philosophy (Stakeholder involvement).

Green Belt (GB):Green Belt (GB): Should be able to use DMAIC process with basic Six Sigma tools for project execution. Lead Six Sigma projects in their functions.

Black Belt (BB):Black Belt (BB): Should be able to use advanced tools in projects and teach Green Belt level techniques / tools. Identifies Six Sigma projects and leads project teams. Mentors Green Belts. Process experts in their functions.

Master Black Belt (MBB):Master Black Belt (MBB): Should be able to train Black Belts and Green Belts. Mentors Black Belt projects. Drivers of cultural change. Process experts in any function. Can develop new tools.

Example - Pizza Delivery Service

Dabbawala and Co. a fast food company, owned by Mr. Dabbawala Pizza, runs a pizza delivery service in and around Delhi. Dabbawala and Co. which was doing very well over the last four years, notices a drop in sales over the past five months. Customer complaints about deliveries have been gradually on the rise.

Several complaints from customers regarding irregular deliveries were bothering Dabbawala.

He had increased the number of delivery personnel to improve delivery performance. But his customers were still leaving him.

Pizza Hut, a multinational fast food chain, had set up shop in downtown and was becoming more popular with the customers.

Dabbawala neither had the financial muscle to match Pizza Hut’s advertising blitz nor could afford the expensive packaging to lure his customers back.

1. How does the customer view Dabbawala’s Quality?

2. Who are the stakeholders - Customer and Process Improvement Team?

3. Which of his processes should he try to improve in order to improve Sales?

The Define Phase

Grow revenues

ImproveSales

So what’s new

Get moreorders

Divisional directive

Plant objectives

Functional goals

Employees

A. IDENTIFY PROJECT CTQs:

A requirement of the customer is that the Pizza should be delivered on time. Thus for the customer, Delivery Delivery is Critical to Critical to the Qualitythe Quality of Dabbawala’s service (CTQCTQ).

Voice of Customer (VOC) Affinity Diagram CTQ Tree.

The Define Phase - Step A

B. DEVELOP TEAM CHARTER:

The Business CaseWhy should the project be done

Problem and Goal StatementDescription of the problem/opportunity

Roles and ResponsibilitiesThe team, expectations and responsibilities

Stakeholder Analysis, TMAP, Gantt Chart

The Define Phase - Step B

C. DEFINE PROJECT SCOPE:

Identify the high level process to be improvedDefine boundaries of project

SIPOCStratification AnalysisContract Sheet

The Define Phase - Step C

The 7 Basic Tools - 1

STRATIFICATION ANALYSIS:Stratification analysis (Is / Is Not Matrix) is helpful in defining the conditions surrounding the problem - bounding or scoping

Is Is Not Distinctions

GeographySouth, East and Central Delhi

West and North Delhi

West and North Delhi are sub-contracted

Output Delivery timeMixups, Hygiene, Temperature

CustomerLower and Middle Income

Higher IncomePremium service for higher income group

Time After Aug 09 Before Aug 09Increased employees in Aug 09

The Define Phase - Summary

The Define phase is owned by the Project Sponsor. The three steps of the Define phase are:

1. Identify Project CTQ2. Develop Team Charter3. Define Project Scope

VOC, Affinity Diagram, CTQ Tree, Gantt Chart, SIPOC, Stakeholder Analysis, TMAP, Stratification Analysis

Grow revenues

Widen Customer

Base

Reducevariation in

delivery time

ImproveDeliveryprocess

Divisional directive

Plant objectives

Functional goals

Employees

A. IDENTIFY CTQ CHARACTERISTICS

Translate the CTQ to a measurable output of the delivery process

Delivery time can be measured in many ways:

1. No. of times the delivery person delivered during the shipping window (Discrete measure)2. Time taken to travel from Dabbawala’s location to customer location (Continuous measure)3. Actual delivery time as seen by customer (Continuous measure)

Delivery time is the Project Y.

The Measure Phase - Step A

B. DEFINE PERFORMANCE STANDARDS:

What are the customer’s requirements on Delivery time?What is the definition of a defect?1. Capture the Target (mean) delivery time - On time2. Get the allowable variation on Y - +/- 30 minutes

VOCCompetitive Benchmarking

The Measure Phase - Step B

Target

Los

s

Y

Loss (Deviation)2

LATE DELIVERY

153045 15 30 450

LSL USL

Visualize customer requirementsVisualize customer requirements

Customer does not want

earlier than this

The customer tolerance

window is 30 minutes on either side

This is the target

delivery time

EARLY DELIVERY (MINUTES)

Customer does not want later than this



Preparation for data collection:

1. The Y or the Delivery Process Output2. The Xs or the Inputs to the Delivery Process

Generate a list of XsBrainstorming Process Map (PMAP)Failure Modes Effects Analysis (FMEA)Cause & Effect Diagram or FishboneQuality Function Deployment (QFD)Prioritization MatrixCheck-sheet


CHECK-SHEET (DATA COLLECTION FORM)

Check-sheet is a data collection sheet used to record occurrences of an event to look for patterns in the data in order to quantify the problem and to facilitate understanding.

Categories Jan 6 Jan 7 Jan 8 Jan 9 TotalMisinterpretedLabel

llll llll llll llll llll l llll llllllll

llll lll 47

Traffic llll lll llll llll llll ll 24

Parking lll llll ll ll llll l 18

Large Order llll lll llll ll 15

Locating home ll l l lll 7

Others l ll l 4

NO. OF LATE DELIVERIES

Prepare to collect data on the Xs also !Prepare to collect data on the Xs also !

The Measure Phase - Step C

C. EVALUATE MEASUREMENT SYSTEM:

CAUTION: Objects in mirror are closer than they appear

Measurement system mayintroduce variation into data

Actual process variation + measurement variation = data

Identify and remove contribution to variation from measurement system

Ensure reliable dataMSE, Gage R&R, Test – Re-test, Kappa Method, Intra-Class Correlation

The Measure Phase - Summary

A data collection plan is done in the Measure phase. It sets the expectations for the project. This phase is owned by the Project Leader. The three steps of the Measure phase are:

1. Identify CTQ characteristic2. Define Performance Standards3. Evaluate Measurement System

The list of tools available for the Measure phase are:

Brainstorming, PMAP, FMEA, MSE, GR&R, C&E Diagram or Fishbone, Quality Function Deployment or QFD, Prioritization Matrix,

Learn more about the PMAP, FMEA and MSE in the Six Sigma Green Belt Training.

A. ESTABLISH PROCESS CAPABILITY

•What are the chances of your process creating defects?•Baseline the current process:

•Measure variation in current process output•Evaluate against Performance Standards

•Understand variation in your data with the help of:HistogramBox and Whisker plotDot plotStandard DeviationVarianceSum of Squares

The Analyze Phase - Step A


HISTOGRAM

The Histogram is a graphical data summary tool which groups observed data into pre-defined bins in order to analyze the data values and distribution. Target time

hrsDelivery time

hrs

12:30 12:1812:30 12:2613:30 13:3413:30 13:4213:00 13:0713:00 13:0613:30 13:2313:30 13:4112:30 12:2612:30 12:37

Target time hrs

Delivery time hrs

13:00 12:3813:00 13:0913:00 12:4913:00 13:0513:30 13:3112:00 12:0412:00 12:0812:00 12:1013:00 13:1813:00 13:01

Target time hrs

Delivery time hrs

13:30 13:4513:30 13:2112:00 12:1712:00 11:5812:00 12:1712:00 11:4612:00 11:5312:30 12:3312:30 12:3013:30 13:28


CREATING A HISTOGRAM:Using the concept of the late and early deliveries, take the target time as the reference, and find the number of minutes by which each delivery is late or early.

1. Subtract Target time for each data point from the Delivery time

2. Define 5 predetermined bins (class intervals) of size equal to 10 minutes, from -25 to 25 on a horizontal line

3. Place each data point vertically in a bin according to its value

4. Draw a bar equal to the height of stacked up points

-25 25-15 -5 5 15


LATE DELIVERY

153045 15 30 450

Measure the process outputMeasure the process output


NU

MB

ER

OF

DA

TA

PO

INT

S

Dabbawala has an

average delivery time () 2 minutes late and a

standard deviation () of 10 minutes


LATE DELIVERY

153045 15 30 450

Measure the Process OutputMeasure the Process Output


USLLSL

10 minutes

30 minutesZ =

Process standard deviation

Customer toleranceZ =

Z = 3


ProcessCapability

Defects per Million

Opportunities

2 308,537

3 66,807

4 6,210

5 233

6 3.4

Higher Z implies lower defectsHigher Z implies lower defects

Inspect in Quality

Manufacture in Quality

Design in Quality

It is cost effective to

Sweet Fruit Design for Processability

Bulk of FruitProcess Characterization and Optimization

Low Hanging FruitSeven Basic Tools

Ground FruitLogic and Intuition

3 Wall, Beat Up Suppliers

4 Wall, Improve Processes

5 Wall, Improve Designs

Mikel Harry, 1994

Getting the Competitive Edge

Do you know the Sigma capabilities of the following processes?

U.S. Manufacturing industry average

Japanese manufacturing industry average

Flight fatality in airline industry

Airline Baggage handling

Doctor prescription writing

Tax advice by Internal Revenue Service in U.S.

4.0

5.5

6.4

3.2

2.8

2.5

Sigma capability, Z

Industry Benchmarks

Six Sigma is a MetricSix Sigma is a Metric

Target

USLLSL

CenterProcess

ReduceSpread

The Analyze Phase - Step B

Process Off Target Excessive Variation in ProcessTarget

USLLSL

Target

USLLSL

Understand your ProblemUnderstand your Problem

B. DEFINE PERFORMANCE OBJECTIVES

Hypothesis testing

Quiz - Characterize

Six Sigma is aA. Statistical Quality ToolB. Business PhilosophyC. U.S. Management style

The goal of Six Sigma is toA. Reduce defects to 3.4 per millionB. Improve productsC. Reduce variation

In the Pizza Delivery Service example, what is the CTQ?A. LunchB. TimeC. Delivery

If a process is Six Sigma (Z=6), it implies A. Process is 99.99% goodB. Products are 99.99% defect freeC. There are only 3.4 defects in a million opportunities

What is the Y?A. Measurable Process OutputB. Voice of the CustomerC. Process Input

Who gives the USL and LSL?A. ManagementB. CustomerC. Derived from the process data

In the example, the Voice of the Customer is characterized byA. Delivery timeB. No. of deliveries madeC. Tolerance around the Target

In the example, the delivery service is characterized byA. Mean delivery timeB. Tolerance around the TargetC. Mean & variation of the delivery time

C. IDENTIFY SOURCES OF VARIATIONTo find root causes or Xs

Fishbone or C&E Diagram (Ishikawa)PMAPFMEAQFD

Fishbone (Ishikawa) is another of the 7 basic tools. It is also known as the Cause & Effect Diagram. It is a hierarchy of causes that starts with the primary cause and then steps several layers in detail to drive towards possible root causes.

The Analyze Phase - Step C

DeliveryTime

MACHINE MOTHER NATURE MATERIALS

MAN METHODS

Poor dispatching

Delivery person gets lost

Delivery person does not show up Poor handling of large orders

Run out of storage space on vehiclesWeather

Too many sacks

Develop a list of Xs that possibly affect YDevelop a list of Xs that possibly affect Y


Don’t know routes

High turnover

Get wrong information

Did not understand

labelsNo

teamwork

No training

Unreliable bikes

Delivery persons own junk

Cant locate employees homes

Not on std routes

Did not understand

labels

Too few delivery persons

Uneven distribution of delivery loads

MEASUREMENT

No money for repairs

Too many orders per person

Too few delivery persons

Large items difficult to carry

in bus /bikes

Sacks too small

Bus service unreliable in peak hours

Too much traffic

Parking space problem

FISHBONE

A. SCREEN POTENTIAL CAUSES

To find the Vital Few Xs and separate it from the Trivial ManyParetoANOVA (Analysis of Variance)RegressionChi-Square tests

Systematic data generation (if historical data is not sufficient)Design of Experiments (DOE)

Statistical Analysis to identify Vital Few XsStatistical Analysis to identify Vital Few Xs

The Improve Phase - Step A

The 7 Basic Tools -5

PARETOThis is also called the Pareto Principle or the 80/20 rule and is used to identify the Vital Few Xs.

Label

Traffic

Parking

Order Size

Location

Others

Cut-off level to be decided by team consensus based onProcess knowledgeResource availability

The Improve Phase - Step B

8. DISCOVER CAUSAL RELATIONSHIPS

To find out effect of Xs on the Y

X1

Y

X2

RegressionScatter Diagram


SCATTER DIAGRAMA Scatter Diagram is a graph that shows the relationship between two numerical variables, X and Y

NO. OF PIZZAS / DELIVERY PERSON

DE

LIV

ER

Y T

IME

S

PA

N

It is used to look for a cause and effect relationship between the two Numerical variables.

In this example, the Scatter Diagram shows that the Delivery time is less if the number of lunches per delivery person is less.

C. ESTABLISH OPERATING TOLERANCES

The Improve Phase - Step C

xL xT xU

USL

LSL

x

y

xfy

NO. OF PIZZAS PER DELIVERY PERSON

DE

LIV

ER

Y

TIM

E

A. VALIDATE MEASUREMENT SYSTEM ON X

The Control Phase - Step A

Measure

LSL USL

Tolerance

Ensure noise from measurement system on X is small compared to process variation

process

measurementMSE, G R&RTest - Retest,Kappa Method,Intra Class Correlation

B. ESTABLISH NEW PROCESS CAPABILITY

The Control Phase - Step B

LATE DELIVERY

153045 15 30 450EARLY DELIVERY (MINUTES)

USLLSL

Z = 4.5

C. IMPLEMENT PROCESS CONTROL

A good Control Plan should be put in place to ensure sustained improvement. This may include:

1. Use of Control Charts to monitor Xs2. Documentation of Control Plan3. Update of process documents such as PFMEA4. Error Proofing5. Standardization

The Control Phase - Step C

RUN CHART

A Run Chart is a time series plot of data that allows a team to study observed data for trends or patterns over a specific period of time. It captures instances when the process is changing more than statistically expected


0

10

20

30

No

. lu

nc

he

s/p

ers

on

The DMAIC Steps and Deliverables

A. Identify project CTQs Identify customers, customer CTQs and Business Case

B. Develop Team Charter Problem statement, Project Scope,Team, Milestones

C. Define Project Scope High Level Process Map connecting customers to process

1. Select CTQ characteristic Identify measurable characteristic of CTQ (Y)

2. Define performance standards Confirm specification limits (requirements) for Y

3. Evaluate Measurement System Ensure measurement system is capable

4. Establish process capability Baseline the current process

5. Define performance objectives Understand statistical objective - reduce variation or shift means?

6. Identify sources of variation List significant causes (Xs) or factors7. Screen potential causes Determine vital few Xs, which will be controlled

8.Discover variable relationship Find causal relationship and optimal solution

9. Establish operating tolerances Validate the relation and determine specs on Xs

10. Measurement System Evaluation on Xs Ensure X measurement is capable

11. Establish process capability Establish improved capability

12. Implement process control Document control plan

It’s a common sense approachIt’s a common sense approach

STEP DELIVERABLES

Attributes of a Six Sigma GB project

1. Customer Focused: A Six Sigma GB project should address a customer CTQ

2. Data Driven: In a Six Sigma GB project, decisions should be made using data analysis and not on gut feelings or intuitions

3. Variation reduction: Six Sigma GB projects address the issue of variation in process outputs and is aimed at reducing variation

DMAIC Summary

Knowing Customer CTQsData driven improvementsFocus on the (Xs) of the processApplication of statistical tools to business

problemsUnderstanding process capability and its

impact on qualityAn environment that demands only the

highest performance standards.

Success will be defined when our customers notice !

Quiz

Characterize part consists ofA. Define and MeasureB. Define, Measure and AnalyzeC. Define, Measure and part of Analyze

Optimize part consists ofA. Analyze, Improve and ControlB. Improve and ControlC. part of Analyze, Improve and Control

In Six Sigma, Xs areA. Unknown variablesB. Excess variationC. Process Inputs

Which of the following is used to list Xs? A. DOEB. FishboneC. Pareto

The Pareto principle isA. Also called the 80/20 ruleB. Used to identify the Vital FewC. Useful in the Analyze phase

Which of the following tools is used to generate data?A. Analysis of Variance (ANOVA)B. DOEC. Regression

Which of the following cannot identify the Vital Few Xs?A. Analysis of Variance (ANOVA)B. DOEC. Regression

A Six Sigma GB project has toA. Finish in 3 monthsB. Show dollar savingsC. Address the variation issue

Total Quality Management

• Total quality management(TQM) is a management philosophy

• Seeks to integrate all organizational functions (marketing, finance, design, engineering, and production, customer service, etc.) to focus on meeting customer needs and other organizational objectives.

• TQM provides management with the ability to ensure quality through more streamlined and effective process-improvement channels.

• A great range of organizations have deployed TQM, including small companies, large companies, and government departments (e.g., NASA).

• TQM is no more relevant to any one type of organization than any other; on the contrary, it is a philosophy appropriate to any situation in which quality assurance is important.

Six Sigma vs. TQM

TQM Terminology Six Sigma Improvement Terminology

•Identify the Project

•Establish the Cause

•Define

•Diagnose the Cause •Measure

•Analyze

•Remedy the Cause •Improve

•Hold the Gains •Control

•Replicate Results

•Nominate New Projects

•Replicate

Quality Management

• Quality management can be considered to have three main components: quality control, quality assurance and quality improvement.

• Quality management is focused not only on product quality, but also the means to achieve it.

• Quality management therefore uses quality assurance and control of processes as well as products to achieve more consistent quality.

Quality Management System

• The International Organization for Standardization (ISO) created the Quality Management System (QMS) standards in 1987.

• The last major revision was in the year 2008 and the series was called ISO 9000:2000 series.

• are meant to certify the processes and the system of an organization, not the product or service itself.

• ISO 9000 defines a QMS as:

“ Management system to direct and control an organization with regard to quality”

The Benefits of a QMS

• Encourages active and effective leadership• Involves and empowers staff• Staff will clearly understand their

responsibilities• Ensures consistency • Focuses on root cause of problems

…Thank You