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What is Six What is Six Sigma? Sigma? How is it How is it related to Lean? related to Lean? Deb Lucia Deb Lucia Practice Manager, Lean Practice Manager, Lean Manufacturing & Manufacturing & Engineering Engineering

What is Six Sigma?

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Page 1: What is Six Sigma?

What is Six What is Six Sigma?Sigma?

How is it related How is it related to Lean?to Lean?

Deb LuciaDeb Lucia

Practice Manager, Lean Practice Manager, Lean Manufacturing & Manufacturing &

EngineeringEngineering

Page 2: What is Six Sigma?

Six Sigma Vs. Six Sigma Vs. Lean ManufacturingLean Manufacturing

Six sigma and lean manufacturingSix sigma and lean manufacturing are methods to improve are methods to improve business and manufacturing processes and drive profitability business and manufacturing processes and drive profitability of companies.  Both six sigma and lean manufacturing, are of companies.  Both six sigma and lean manufacturing, are proven concepts and have saved companies billions of dollars proven concepts and have saved companies billions of dollars and are the leading continuous improvement methods utilized and are the leading continuous improvement methods utilized today.  today. 

Lean Manufacturing Lean Manufacturing Focuses on eliminating the 7 or 8 Focuses on eliminating the 7 or 8 wastes and is based on the philosophy of getting all levels of wastes and is based on the philosophy of getting all levels of an organization involved. It was developed by Toyota in the an organization involved. It was developed by Toyota in the late 1950’s. late 1950’s. TPS - Toyota Production SystemTPS - Toyota Production System means lean means lean manufacturing.manufacturing.

Six sigma is a philosophy of doing business with a focus on Six sigma is a philosophy of doing business with a focus on eliminating defects through fundamental process knowledge.  eliminating defects through fundamental process knowledge.  Six sigma methods integrate principles of business, statistics Six sigma methods integrate principles of business, statistics and engineering to achieve tangible results. and engineering to achieve tangible results.

Page 3: What is Six Sigma?

7 or 8 Wastes of Lean7 or 8 Wastes of Lean

1. Defects 1. Defects 2. Overproduction2. Overproduction3. Transportation3. Transportation4. Waiting4. Waiting5. Inventory5. Inventory6. Motion6. Motion7. Processing7. Processing8. Skills – Not utilizing people’s talents8. Skills – Not utilizing people’s talents

Use the acronym 'DOTWIMP' to remember the 7 Use the acronym 'DOTWIMP' to remember the 7 Wastes of Lean.Wastes of Lean.Use ‘Tim Woods’ to remember the 8 WastesUse ‘Tim Woods’ to remember the 8 Wastes

Page 4: What is Six Sigma?

Lean TerminologyLean TerminologyABNORMALITY MANAGEMENTABNORMALITY MANAGEMENT — The ability to see and respond to an abnormality (any violation of standard — The ability to see and respond to an abnormality (any violation of standard

operations) in a timely manner.operations) in a timely manner.ACTIVITY BASED COSTINGACTIVITY BASED COSTING – An accounting system that assigns costs to a product based on the amount of resources – An accounting system that assigns costs to a product based on the amount of resources

used to design, order and make it.used to design, order and make it.ANDONANDON — A visual signal. Typically, a light mounted on a machine or line to indicate a potential problem or work — A visual signal. Typically, a light mounted on a machine or line to indicate a potential problem or work

stoppage.stoppage.AUTONOMATIONAUTONOMATION — English translation of — English translation of JidokaJidoka.. Imparting human intelligence to a machine so that it automatically Imparting human intelligence to a machine so that it automatically

stops when a problem arises.stops when a problem arises.BALANCED PLANTBALANCED PLANT — A plant where all available capacity is balanced exactly to market demand. — A plant where all available capacity is balanced exactly to market demand.BOTTLENECKBOTTLENECK — An area or workstation in a manufacturing environment that limits throughput of the entire process. — An area or workstation in a manufacturing environment that limits throughput of the entire process.CHAKU-CHAKU LINECHAKU-CHAKU LINE — Meaning — Meaning load-loadload-load in Japanese, this describes a work cell where machines off-load parts in Japanese, this describes a work cell where machines off-load parts

automatically so that operators can take a piece directly from one machine to the next without waiting.automatically so that operators can take a piece directly from one machine to the next without waiting.CHANGE AGENTCHANGE AGENT —One who leads cultural change in an organization to move from the current state to a lean state. —One who leads cultural change in an organization to move from the current state to a lean state.CELLULAR MANUFACTURINGCELLULAR MANUFACTURING — An alignment of machines in correct process sequence, where operators remain — An alignment of machines in correct process sequence, where operators remain

within the cell and materials are presented to them from outside.within the cell and materials are presented to them from outside.CONSTRAINTCONSTRAINT — A workstation or a process that limits the output of the entire system. — A workstation or a process that limits the output of the entire system.CONTINUOUS IMPROVEMENTCONTINUOUS IMPROVEMENT — The commitment to creating a better product, work environment and business, every — The commitment to creating a better product, work environment and business, every

day or day or Kaizen.Kaizen.CYCLE TIMECYCLE TIME — The time it takes an operator to complete one full repetition of work. Globally, it is the time it takes before — The time it takes an operator to complete one full repetition of work. Globally, it is the time it takes before

the cycle repeats itself. the cycle repeats itself. 3Ds3Ds — Dirty, dangerous, difficult. — Dirty, dangerous, difficult.3P – Production Preparation Process 3P – Production Preparation Process is the development of a designed low waste product with low manufacturing is the development of a designed low waste product with low manufacturing

capital costcapital costELEMENTAL TIMEELEMENTAL TIME — Time allotted to a specific operational step, within standard work. — Time allotted to a specific operational step, within standard work.ERROR PROOFINGERROR PROOFING – Poka Yoke Process used to prevent errors for occurring or to immediately point out a defect as it – Poka Yoke Process used to prevent errors for occurring or to immediately point out a defect as it

occurs.occurs.EXTERNAL SET-UPEXTERNAL SET-UP — Elements of tooling set-up that can be performed safely while the machine is still running. — Elements of tooling set-up that can be performed safely while the machine is still running.FIFO FIFO – First in First Out– First in First Out

Page 5: What is Six Sigma?

Lean TerminologyLean TerminologyFIVE S (5S)FIVE S (5S) — The primary conditioning discipline for kaizen, the five Ss are defined as: — The primary conditioning discipline for kaizen, the five Ss are defined as: SeiriSeiri, Sort to segregate and discard. , Sort to segregate and discard.

SeitonSeiton, Set in order to arrange and identify. , Set in order to arrange and identify. SeisoSeiso, Sanitize or Shine to clean and inspect daily. , Sanitize or Shine to clean and inspect daily. SeiketsuSeiketsu, Standarize to , Standarize to revisit frequently, and revisit frequently, and ShitsukeShitsuke, Sustain., Sustain.

GLOBAL PRODUCTION SYSTEMGLOBAL PRODUCTION SYSTEM — An expansion of the — An expansion of the Toyota Production SystemToyota Production System, this is a strategy to enable lean , this is a strategy to enable lean manufacturing using kaizen methodology.manufacturing using kaizen methodology.

HANEDASHIHANEDASHI — A device that allows a machine to automatically unload a part without waiting for an operator. — A device that allows a machine to automatically unload a part without waiting for an operator.HEIJUNKAHEIJUNKA — Production leveling; creating a build sequence that is determined by SKU average demand. — Production leveling; creating a build sequence that is determined by SKU average demand.Hoshin Kanri -Hoshin Kanri - The selection of goals, projects to achieve goals, designation of people and resources for project complement The selection of goals, projects to achieve goals, designation of people and resources for project complement

and the establishment of metrics.and the establishment of metrics.Hoshin Planning:Hoshin Planning: Breakthrough Strategic Planning Breakthrough Strategic PlanningINTERNAL SET-UPINTERNAL SET-UP — Elements of tooling set-up that must be performed while the machine is not in motion. — Elements of tooling set-up that must be performed while the machine is not in motion.INVENTORYINVENTORY — Usually the highest cost category, inventory is all raw materials, purchased parts, work-in-progress and — Usually the highest cost category, inventory is all raw materials, purchased parts, work-in-progress and

finished goods that are not yet sold to a customer.finished goods that are not yet sold to a customer.JIDOKAJIDOKA — See " — See "autonomationautonomation." Japanese term for transferring human intelligence to a machine.." Japanese term for transferring human intelligence to a machine.JUST IN TIME (JIT)JUST IN TIME (JIT) — Manufacturing what is needed, when it is needed, in the quantity it is needed. — Manufacturing what is needed, when it is needed, in the quantity it is needed.KAIKAKUKAIKAKU — Radical improvement, usually in a business process, that affects the future value stream. — Radical improvement, usually in a business process, that affects the future value stream.KAIZENKAIZEN — A combination of two Japanese words Kai (change) and Zen (good). Usually defined as "continuous — A combination of two Japanese words Kai (change) and Zen (good). Usually defined as "continuous

improvement."improvement."KAIZEN BREAKTHROUGHKAIZEN BREAKTHROUGH — A time-sensitive, rapid-deployment methodology that employs a focused, team-based — A time-sensitive, rapid-deployment methodology that employs a focused, team-based

approach. Continuous improvement.approach. Continuous improvement.KANBANKANBAN — Visual signal. Typically a re-order card or other method of triggering the pull system, based on actual usage of — Visual signal. Typically a re-order card or other method of triggering the pull system, based on actual usage of

material. It should be located for use at the point of manufacturing.material. It should be located for use at the point of manufacturing.KITTING – KITTING – Supplying parts to assemblers in “kits”Supplying parts to assemblers in “kits”LEAD TIMELEAD TIME — The amount of time required to produce a single product, from the time of customer order to shipping. — The amount of time required to produce a single product, from the time of customer order to shipping.LEAN MANUFACTURINGLEAN MANUFACTURING — Using the minimum amount of total resources — man, materials, money, machines, etc. — to — Using the minimum amount of total resources — man, materials, money, machines, etc. — to

produce a product and deliver it on time.produce a product and deliver it on time.MACHINE AUTOMATIC TIMEMACHINE AUTOMATIC TIME — The time is takes for a machine to produce one unit, exclusive of loading and unloading. — The time is takes for a machine to produce one unit, exclusive of loading and unloading.MACHINE CYCLE TIMEMACHINE CYCLE TIME — The time it takes for a machine to produce one unit, including the time it takes to load and — The time it takes for a machine to produce one unit, including the time it takes to load and

unload.unload.

Page 6: What is Six Sigma?

Lean TerminologyLean TerminologyMUDAMUDA — Any activity that adds to cost without adding to value of the product. — Any activity that adds to cost without adding to value of the product.MURAMURA — Variations in process quality, cost and delivery — Variations in process quality, cost and deliveryMURIMURI — Unreasonableness; demand exceeds capacity. — Unreasonableness; demand exceeds capacity.NAGARA SYSTEMNAGARA SYSTEM — Accomplishing two or more activities with one motion. — Accomplishing two or more activities with one motion.NON-VALUE ADDEDNON-VALUE ADDED — Any activity that adds cost without adding value to the product or process. — Any activity that adds cost without adding value to the product or process.ONE-TOUCH EXCHANGE OF DIESONE-TOUCH EXCHANGE OF DIES — The reduction of die set-up activities down to a single step. — The reduction of die set-up activities down to a single step.ONE-PIECE FLOWONE-PIECE FLOW — A manufacturing philosophy which supports the movement of product from one workstation to the — A manufacturing philosophy which supports the movement of product from one workstation to the

next, one piece at a time, without allowing inventory to build up in between.next, one piece at a time, without allowing inventory to build up in between.OPERATOR CYCLE TIMEOPERATOR CYCLE TIME — The time it takes for a person to complete a predetermined sequence of operations, — The time it takes for a person to complete a predetermined sequence of operations,

inclusive of loading and unloading, exclusive of time spent waiting.inclusive of loading and unloading, exclusive of time spent waiting.OVERALL EQUIPMENT EFFECTIVENESS – OEEOVERALL EQUIPMENT EFFECTIVENESS – OEE – The equipment’s operational availability, performance effeciency or – The equipment’s operational availability, performance effeciency or

first-pass yield.first-pass yield.PACEMAKERPACEMAKER — A technique for pacing a process to — A technique for pacing a process to takttakt time time..PDCA -PDCA - (plan-do-check-act) (plan-do-check-act)POLICY DEPLOYMENTPOLICY DEPLOYMENT — Matching the strategic business goals of an organization to its available resources. — Matching the strategic business goals of an organization to its available resources.

Communicating those goals throughout the organization and linking everyone to the same objectives.Communicating those goals throughout the organization and linking everyone to the same objectives.POKA YOKEPOKA YOKE — A Japanese word for mistake proofing, a — A Japanese word for mistake proofing, a poka yokepoka yoke device prevents a human error from affecting a device prevents a human error from affecting a

machine or process; prevents operator mistakes from becoming defects.machine or process; prevents operator mistakes from becoming defects.POINT KAIZENPOINT KAIZEN — An improvement activity intensely directed at a single workstation, performed quickly by two or three — An improvement activity intensely directed at a single workstation, performed quickly by two or three

specialists. Typically follows a full-blown specialists. Typically follows a full-blown kaizenkaizen event. event.PROCESS CAPACITY TABLEPROCESS CAPACITY TABLE — A chart primarily used in a machining environment that compares machine load to — A chart primarily used in a machining environment that compares machine load to

available capacity.available capacity.PRODUCTION SMOOTHINGPRODUCTION SMOOTHING — A method of production scheduling that, over a period of time, takes the fluctuation of — A method of production scheduling that, over a period of time, takes the fluctuation of

customer demand out of manufacturing. Producing every part, every day.customer demand out of manufacturing. Producing every part, every day.PULL SYSTEM – PULL SYSTEM – A method of replenishment that is signaled by a “pull” on the system indicating a need to replenish.A method of replenishment that is signaled by a “pull” on the system indicating a need to replenish.

Page 7: What is Six Sigma?

Lean TerminologyLean TerminologyQUALITY FUNCTION DEPLOYMENTQUALITY FUNCTION DEPLOYMENT — A methodology in which a cross-functional team reaches consensus about — A methodology in which a cross-functional team reaches consensus about

final product specifications, in accord with the wishes of the customer.final product specifications, in accord with the wishes of the customer.QUEUE TIME –QUEUE TIME – The time a product spends in a line waiting for the next process. The time a product spends in a line waiting for the next process.QUICK CHANGEOVER (SMED) –QUICK CHANGEOVER (SMED) – The ability to change tooling and fixtures rapidly to run multiple products on the The ability to change tooling and fixtures rapidly to run multiple products on the

same machine.same machine.SENSISENSI — A revered master or teacher. — A revered master or teacher.SET-UP REDUCTIONSET-UP REDUCTION — Reducing the amount of downtime during changeover from the last good piece to the first — Reducing the amount of downtime during changeover from the last good piece to the first

good piece of the next order.good piece of the next order.SINGLE-MINUTE EXCHANGE OF DIES (SMED)SINGLE-MINUTE EXCHANGE OF DIES (SMED) — From the last good part to the first good part on the new set-up — From the last good part to the first good part on the new set-up

accomplished in anything less than 10 minutes. AKA "Single-digit set-up."accomplished in anything less than 10 minutes. AKA "Single-digit set-up."STANDARD OPERATIONSSTANDARD OPERATIONS — The best combination of people and machines utilizing the minimum amount of labor, — The best combination of people and machines utilizing the minimum amount of labor,

space, inventory and equipment.space, inventory and equipment.STANDARD WORKSTANDARD WORK — Pre-determined sequence of tasks for the operator to complete within — Pre-determined sequence of tasks for the operator to complete within takttakt time time..STANDARD WORK COMBINATION SHEETSTANDARD WORK COMBINATION SHEET — A document showing the sequence of production steps assigned to a — A document showing the sequence of production steps assigned to a

single operator. It is used to illustrate the best combination of worker and machine. single operator. It is used to illustrate the best combination of worker and machine. STANDARD WORK LAYOUTSTANDARD WORK LAYOUT — A diagram of a work station or cell showing how standard work is accomplished. — A diagram of a work station or cell showing how standard work is accomplished.STANDARD WORK IN PROCESSSTANDARD WORK IN PROCESS — Minimum material required to complete one cycle of operator work without — Minimum material required to complete one cycle of operator work without

delay.delay.STOP-THE-LINE AUTHORITYSTOP-THE-LINE AUTHORITY — When abnormalities occur, workers have power to stop the process and prevent the — When abnormalities occur, workers have power to stop the process and prevent the

defect or variation from being passed along.defect or variation from being passed along.SUB-OPTIMIZATIONSUB-OPTIMIZATION — Optimizing each piece of equipment; keeping all machines running, no matter the cost or — Optimizing each piece of equipment; keeping all machines running, no matter the cost or

consequence. Typically this inflates the number-one cost of production: material.consequence. Typically this inflates the number-one cost of production: material.SUPERMARKETSUPERMARKET — A shop floor, line-side location where parts are sorted and made ready for presentation to — A shop floor, line-side location where parts are sorted and made ready for presentation to

operators. operators.

Page 8: What is Six Sigma?

Lean TerminologyLean TerminologyTAKT TIMETAKT TIME — The total net daily operating time divided by the total daily customer demand. — The total net daily operating time divided by the total daily customer demand.THEORY OF CONTRAINTS (TOC)THEORY OF CONTRAINTS (TOC) – A lean management philosophy that stresses removal of constraints to increase – A lean management philosophy that stresses removal of constraints to increase

throughput while decreasing inventory and operating expenses. TOC’’s set of tools examine the entire continuos throughput while decreasing inventory and operating expenses. TOC’’s set of tools examine the entire continuos improvement system.improvement system.

THROUGHPUTTHROUGHPUT — The rate at which the entire system generates money. — The rate at which the entire system generates money. TIME-BASED STRATEGYTIME-BASED STRATEGY — Organizing business objectives around economy-of-time principles. — Organizing business objectives around economy-of-time principles.TOYOTA PRODUCTION SYSTEMTOYOTA PRODUCTION SYSTEM — Based on some of the first principles of Henry Ford, this describes the philosophies of — Based on some of the first principles of Henry Ford, this describes the philosophies of

one of the world’s most successful companies. The foundation of TPS is production smoothing, the supports are one of the world’s most successful companies. The foundation of TPS is production smoothing, the supports are just-in-timejust-in-time and and jidokajidoka..

VALUE ADDEDVALUE ADDED — Any activity that transforms a product or service to meet the customer need. — Any activity that transforms a product or service to meet the customer need.VALUE ANALYSISVALUE ANALYSIS — Evaluating the total lead-time and value-added time to identify the percentage spent in value added — Evaluating the total lead-time and value-added time to identify the percentage spent in value added

activities.activities.VALUE STREAM MAPVALUE STREAM MAP (or Value Chain Map) — A visual picture of how material and information flows from suppliers, through (or Value Chain Map) — A visual picture of how material and information flows from suppliers, through

manufacturing, to the customer. It includes calculations of total cycle time and value-added time. Typically written for the manufacturing, to the customer. It includes calculations of total cycle time and value-added time. Typically written for the current state of the value chain and the future, to indicate where the business is going.current state of the value chain and the future, to indicate where the business is going.

VISUAL CONTROLSVISUAL CONTROLS — Creating standards in the workplace that make it obvious if anything is out of order. — Creating standards in the workplace that make it obvious if anything is out of order.VISUAL MANAGEMENTVISUAL MANAGEMENT — System enabling anyone to quickly spot abnormalities in the workplace, regardless of their — System enabling anyone to quickly spot abnormalities in the workplace, regardless of their

knowledge of the process.knowledge of the process.WASTE – WASTE – Any activity that consumes resources but does not add value to the product or service a customer receivesAny activity that consumes resources but does not add value to the product or service a customer receives ((muda).muda).WORK-IN-PROCESS (WIP)WORK-IN-PROCESS (WIP) — Inventory waiting between operation steps. — Inventory waiting between operation steps.WORK SEQUENCEWORK SEQUENCE — The correct steps the operator takes, in the order in which they should be taken. — The correct steps the operator takes, in the order in which they should be taken.

Page 9: What is Six Sigma?

Six Sigma Vs. Six Sigma Vs. Lean ManufacturingLean Manufacturing

Huge difference between "lean Tools" and Six Sigma tools.

Lean = Improved process flow and the elimination of waste in a continual mode of improvement

Any of the following mean Lean Manufacturing:TPS, Continuous Improvement, Kaizen, Lean Manufacturing, JIT

TPS engages all the employees of a company from the CEO to factory worker.

Six Sigma = Reduced process variation Six Sigma holds the improvement process in the Six Sigma holds the improvement process in the

hands of a select group of “belted” individualshands of a select group of “belted” individuals

Page 10: What is Six Sigma?

Six SigmaSix Sigma In 1986, Bill Smith, a senior engineer and scientist at In 1986, Bill Smith, a senior engineer and scientist at

Motorola, introduced the concept of Six Sigma to Motorola, introduced the concept of Six Sigma to standardize the way defects are counted.standardize the way defects are counted.

Six Sigma provided Motorola the key to addressing quality Six Sigma provided Motorola the key to addressing quality concerns throughout the organization, from manufacturing concerns throughout the organization, from manufacturing to support functions. The application of Six Sigma also to support functions. The application of Six Sigma also contributed to Motorola winning the Malcolm Baldrige contributed to Motorola winning the Malcolm Baldrige National Quality award in 1988.National Quality award in 1988.

Since then, the impact of the Six Sigma process on Since then, the impact of the Six Sigma process on improving business performance has been dramatic and improving business performance has been dramatic and well documented by other leading global organizations, well documented by other leading global organizations, such as General Electric, Allied Signal, and Citibank. such as General Electric, Allied Signal, and Citibank.

Today, Motorola continues to implement Six Sigma Today, Motorola continues to implement Six Sigma throughout its own enterprise, and extends the benefit of throughout its own enterprise, and extends the benefit of its Six Sigma expertise to other organizations worldwide its Six Sigma expertise to other organizations worldwide through Motorola University.through Motorola University.

Six Sigma was derived from the statistical term of sigma Six Sigma was derived from the statistical term of sigma which measures deviations from perfectionwhich measures deviations from perfection

Page 11: What is Six Sigma?

Six Sigma HistorySix Sigma History 1986: Motorola Defines Six Sigma and in 1987 Chief Executive declares

Motorola will be at 6σ by 1992 (5-year goal) 1988: Original Six Sigma consortium is formed:

Motorola, Raytheon, ABB, CDI, Kodak 1989/1990: IBM, DEC try Six Sigma -- and fail 1993: AlliedSignal adds a new level to Six Sigma : Dedicated Black Belts

with a supporting infrastructure 1995: Jack Welch of General Electric adopts Six Sigma 1996-1998: Six Sigma implementation expands significantly as companies

observe the success of Allied and GE :Siebel, Bombardier, Whirlpool, Navistar, Gencorp, Lockheed Martin, Polaroid,Sony, Nokia, John DeereSiemens, BBA, Seagate, Compaq, PACCAR, Toshiba, McKesson, AmEx, ...

1999: Starting to see exponential growth. Formal Six Sigma training begins at ASQ: Johnson & Johnson, Air Products, Maytag, Dow Chemical, DuPont, Honeywell, PraxAir, Ford, BMW, Johnson Controls, Samsung

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Sigma LevelsSigma Levels

Sigma LevelSigma LevelA value from 1 to 6 that signifies the maximum A value from 1 to 6 that signifies the maximum number of defects per million:number of defects per million:1 Sigma = 690,000 defects/million = 31% accurate1 Sigma = 690,000 defects/million = 31% accurate2 Sigma = 308,537 defects/million = 69.1463% 2 Sigma = 308,537 defects/million = 69.1463% accurateaccurate3 Sigma = 66,807 defects/million = 93.3193% 3 Sigma = 66,807 defects/million = 93.3193% accurateaccurate4 Sigma = 6,210 defects/million = 99.3790% accurate4 Sigma = 6,210 defects/million = 99.3790% accurate5 Sigma = 233 defects/million = 99.9767% accurate5 Sigma = 233 defects/million = 99.9767% accurate6 Sigma = 3.4 defects/million = 99.999997% accurate6 Sigma = 3.4 defects/million = 99.999997% accurate

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Six Sigma Key ConceptsSix Sigma Key Concepts At its core, Six Sigma revolves around a few key At its core, Six Sigma revolves around a few key

concepts.concepts. Critical to QualityCritical to Quality: : Attributes most important Attributes most important

to the customerto the customer DefectDefect: : Failing to deliver what the customer Failing to deliver what the customer

wantswants Process CapabilityProcess Capability: : What your process can What your process can

deliverdeliver VariationVariation: : What the customer sees and feelsWhat the customer sees and feels Stable OperationsStable Operations: : Ensuring consistent, Ensuring consistent,

predictable processes to improve what the predictable processes to improve what the customer sees and feelscustomer sees and feels

Design for Six Sigma (DFSS)Design for Six Sigma (DFSS): : Designing to Designing to meet customer needs and process capabilitymeet customer needs and process capability

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Six Sigma MethodologySix Sigma Methodology Six Sigma has two key methodologies: Six Sigma has two key methodologies: DMAIC and DMADV. DMAIC and DMADV. DMAIC is used to improve an existing DMAIC is used to improve an existing

business process. business process. DMADV is used to create new product DMADV is used to create new product

designs or process designs in such a way designs or process designs in such a way that it results in a more predictable, mature that it results in a more predictable, mature and defect free performance. and defect free performance.

Sometimes a DMAIC project may turn into Sometimes a DMAIC project may turn into a a DFSSDFSS project because the process in project because the process in question requires complete re-design to question requires complete re-design to bring about the desired degree of bring about the desired degree of improvement.improvement.

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Statistical Process Control Statistical Process Control MethodologyMethodology

Statistical process control is an important part of Six Statistical process control is an important part of Six Sigma methodology, which proceeds through the Sigma methodology, which proceeds through the following steps, also called following steps, also called DMAICDMAIC (Define, Measure, (Define, Measure, Analyze, Improve and Control):Analyze, Improve and Control):

1. Define1. Define - benchmarking, process flow mapping, - benchmarking, process flow mapping, flowchartsflowcharts

2. Measure2. Measure - defect metrics, data collection, sampling - defect metrics, data collection, sampling 3. Analyze3. Analyze - Fishbone diagrams, failure analysis, root - Fishbone diagrams, failure analysis, root

cause analysiscause analysis 4. Improve4. Improve - modeling, tolerance control, defect - modeling, tolerance control, defect

control, design changescontrol, design changes 5. Control 5. Control - SPC control charts, performance - SPC control charts, performance

management management

Page 16: What is Six Sigma?

Six Sigma Five PhasesSix Sigma Five PhasesBasic methodology consists of the following five phases Basic methodology consists of the following five phases DMADVDMADV (Define, Measure, Analyze, Design, and Verify): (Define, Measure, Analyze, Design, and Verify):

Define - Define - formally define the goals of the design activity formally define the goals of the design activity that are consistent with customer demands and that are consistent with customer demands and enterprise strategy. enterprise strategy.

Measure - Measure - identify identify CTQs CTQs (Critical to Quality), product (Critical to Quality), product capabilities, production process capability, risk capabilities, production process capability, risk assessment, etc. assessment, etc.

Analyze - Analyze - develop design alternatives, create high-level develop design alternatives, create high-level design and evaluate design capability to select the best design and evaluate design capability to select the best design. design.

Design - Design - develop detail design, optimize design, and develop detail design, optimize design, and plan for design verification. This phase may require plan for design verification. This phase may require simulations. simulations.

VerifyVerify - verify design, setup pilot runs, implement - verify design, setup pilot runs, implement production process and handover to process owners. This production process and handover to process owners. This phase may also require simulations. phase may also require simulations.

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DefineDefine MeasureMeasure AnalyzeAnalyze ImproveImprove ControlControlBenchmarkingBenchmarking Value Stream Value Stream

MapMapFishbone Fishbone DiagramsDiagrams

ModelingModeling SPC ChartsSPC Charts

Process Flow Process Flow MappingMapping

Cause & EffectCause & Effect FMEAFMEA Tolerance Tolerance ControlControl

Performance Performance MetricsMetrics

Flow chartsFlow charts Defect MetricsDefect Metrics Root Cause Root Cause AnalysisAnalysis

Defect ControlDefect Control Multiple Multiple RegressionRegression

Project Project Charter as a Charter as a TeamTeam

Statistical Statistical AnalysisAnalysis

ANOVAANOVA Design Design ChangesChanges

TrainTrain

Set Up a Plan Set Up a Plan & Guidelines & Guidelines for Teamfor Team

Data Data CollectionCollection

Run Charts, Run Charts, Time Series Time Series Chars, Time Chars, Time Value Charts, Value Charts, Pareto ChartsPareto Charts

Cause & Effect Cause & Effect DiagramDiagram

PilotingPiloting

Review Review Existing DataExisting Data

SamplingSampling Scatter PlotsScatter Plots Best PracticesBest Practices

SIPOCSIPOC

Six Sigma Tool Box

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Six Sigma Key People Six Sigma Key People RolesRoles

Executive LeadershipExecutive Leadership includes CEO and other key top management includes CEO and other key top management team members. They are responsible for setting up a vision for Six Sigma team members. They are responsible for setting up a vision for Six Sigma implementation. They also empower the other role holders with the implementation. They also empower the other role holders with the freedom and resources to explore new ideas for breakthrough freedom and resources to explore new ideas for breakthrough improvements. improvements.

ChampionsChampions are responsible for the Six Sigma implementation across the are responsible for the Six Sigma implementation across the organization in an integrated manner. The Executive Leadership draws organization in an integrated manner. The Executive Leadership draws them from the upper management. Champions also act as mentor to them from the upper management. Champions also act as mentor to Black Belts. Black Belts.

Master Black BeltsMaster Black Belts, identified by champions, act as in-house expert , identified by champions, act as in-house expert coach for the organization on Six Sigma. They devote 100% of their time coach for the organization on Six Sigma. They devote 100% of their time to Six Sigma. They assist champions and guide Black Belts and Green to Six Sigma. They assist champions and guide Black Belts and Green Belts. Apart from the usual rigor of statistics, their time is spent on Belts. Apart from the usual rigor of statistics, their time is spent on ensuring integrated deployment of Six Sigma across various functions ensuring integrated deployment of Six Sigma across various functions and departments. and departments.

Black BeltsBlack Belts operate under Master Black Belts to apply Six Sigma operate under Master Black Belts to apply Six Sigma methodology to specific projects. They devote 100% of their time to Six methodology to specific projects. They devote 100% of their time to Six Sigma. They primarily focus on Six Sigma project execution, whereas Sigma. They primarily focus on Six Sigma project execution, whereas Champions and Master Black Belts focus on identifying Champions and Master Black Belts focus on identifying projects/functions for Six Sigma. projects/functions for Six Sigma.

Green BeltsGreen Belts are the employees who take up Six Sigma implementation are the employees who take up Six Sigma implementation along with their other job responsibilities. They operate under the along with their other job responsibilities. They operate under the guidance of Black Belts and support them in achieving the overall guidance of Black Belts and support them in achieving the overall results. results.

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Minimum TrainingMinimum Training ExecutiveExecutive – 1 to 2 day workshop – 1 to 2 day workshop ChampionChampion – 1 week Green Belt training – 1 week Green Belt training Green BeltGreen Belt – 2 weeks of classes over 2 months – 2 weeks of classes over 2 months

Cert: 3 years of work and one project $2000 -Cert: 3 years of work and one project $2000 -$4000$4000

Black BeltBlack Belt – 4 weeks of study over 4 months – 4 weeks of study over 4 monthsCert: 3 yrs of work, 2 documented projects, Cert: 3 yrs of work, 2 documented projects, recertify every 3 yrs. $5000 - $6500recertify every 3 yrs. $5000 - $6500

Master Black BeltMaster Black Belt – two weeks extensive – two weeks extensive training with additional mathematical theory, training with additional mathematical theory, quality, lean, super project, mentoring quality, lean, super project, mentoring

Cert: 3 years of work, additional projects, Cert: 3 years of work, additional projects, recertify every three yrs. $5000recertify every three yrs. $5000

Page 20: What is Six Sigma?

Recognized TrainingRecognized Training

GEGE MotorolaMotorola ASQ American Society for QualityASQ American Society for Quality Six Sigma AcademySix Sigma Academy Institute of Industrial EngineersInstitute of Industrial Engineers ISSSP International Society of Six ISSSP International Society of Six

Sigma ProfessionalsSigma Professionals

Page 21: What is Six Sigma?

Six Sigma QuotesSix Sigma Quotes "... the most powerful breakthrough "... the most powerful breakthrough

management tool ever devised"management tool ever devised"Mikel Harry and Richard SchroederMikel Harry and Richard Schroeder

Six Sigma: The BREAKTHROUGH Management Strategy Revolutionizing the World's Top Six Sigma: The BREAKTHROUGH Management Strategy Revolutionizing the World's Top Corporations Corporations

"Six Sigma is arguably the most important "Six Sigma is arguably the most important business and industry initiative that has business and industry initiative that has involved statistical thinking and methods."involved statistical thinking and methods."

Ronald D. SneeRonald D. Snee"Impact of Six Sigma on Quality Engineering""Impact of Six Sigma on Quality Engineering"Quality EngineeringQuality Engineering Volume 12, Number 3, 2000 Volume 12, Number 3, 2000

"Six Sigma has spread like wildfire across the "Six Sigma has spread like wildfire across the company and its transforming everything we company and its transforming everything we do."do."

Jack Welch, CEO, GE Jack Welch, CEO, GE Business Week special reportBusiness Week special reportJune 8, 1998June 8, 1998

Page 22: What is Six Sigma?

Next step in Lean & Six Next step in Lean & Six Sigma?Sigma?

Next step is the Lean Six Sigma Next step is the Lean Six Sigma Process that combines the benefits Process that combines the benefits of both lean TPS systems and six of both lean TPS systems and six sigma into one program.sigma into one program.