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Introduction to Six Sigma
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A very basic introduction to Six Sigma from www.treqna.com
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<p>Six sigma Introduction</p> <p> All Rights Reserved TreQna 2005</p> <p>expectatio ns</p> <p>Awareness with respect to origin and history of Six Sigma. The utility and benefits Introduction to Six Sigma as methodology The Six Sigma organization</p> <p> All Rights Reserved TreQna 2005</p> <p>contentsSix Sigma Intro BPMS DMAIC 15 min</p> <p> All Rights Reserved TreQna 2005</p> <p>Two Meanings of Sigma</p> <p> The term sigma is used to designate the distribution or spread about the mean (average) of any process or procedure. For a process, the sigma capability (z-value) is a metric that indicates how well that process is performing. The higher the sigma capability, the better. Sigma capability measures the capability of the process to produce defect-free outputs. A defect is anything that results in customer dissatisfaction.</p> <p> All Rights Reserved TreQna 2005</p> <p>Origin of Six Sigma Motorola</p> <p>the company that invented Six Sigma The term Six Sigma was coined by Bill Smith, an engineer with Motorola Late 1970s - Motorola started experimenting with problem solving through statistical analysis 1987 - Motorola officially launched its Six Sigma program</p> <p> All Rights Reserved TreQna 2005</p> <p>The Growth of Six Sigma GE</p> <p>the company that perfected Six Sigma Jack Welch launched Six Sigma at GE in Jan,1996 1998/99 - Green Belt exam certification became the criteria for management promotions 2002/03 - Green Belt certification became the criteria for promotion to management roles</p> <p> All Rights Reserved TreQna 2005</p> <p>The Growth of Six Sigma</p> <p>The GE model for process improvements</p> <p>Define</p> <p>Measure Analyze Improve Control</p> <p>Combination of change management &amp; statistical analysis</p> <p> All Rights Reserved TreQna 2005</p> <p>The Growth of Six Sigma</p> <p> All Rights Reserved TreQna 2005</p> <p>Business Process Management System</p> <p>BPMS</p> <p> All Rights Reserved TreQna 2005</p> <p>The Need of BPMS To understand the process; its mission, flow and scope To know the customers and their expectations To identify, monitor and improve correct performance measures for the process</p> <p> All Rights Reserved TreQna 2005</p> <p>The MethodologyMap process steps, identify input/ output measuresDefine Process Mission Map Process</p> <p>MSA, DCP, indicators and monitors</p> <p>Service excellence and process excellenceDevelop Dashboards Identify Improvement Opportunities</p> <p>VOC and VOP</p> <p>Build PMS</p> <p>Define purpose of the process, its goal and its boundaries</p> <p>Identify Critical to Quality and Critical to process</p> <p>Visual representatio n of performance</p> <p>The DMAIC cycle</p> <p> All Rights Reserved TreQna 2005</p> <p>Six Sigma Improvement Methodology</p> <p>DMAIC</p> <p> All Rights Reserved TreQna 2005</p> <p>What is DMAIC ? A logical and structured approach to problem solving and process improvement An iterative process (continuous improvement) A quality tool with focus on change management</p> <p>Effectiveness</p> <p>E</p> <p>=</p> <p>Quality Acceptance Improvement</p> <p>Q</p> <p>x</p> <p>A</p> <p> All Rights Reserved TreQna 2005</p> <p>The ApproachPractical Problem</p> <p>Statistical Problem</p> <p>Statistical Solution</p> <p>Practical Solution</p> <p> All Rights Reserved TreQna 2005</p> <p>MethodologyD Define M Measure A Analyze I Improve C Control All Rights Reserved TreQna 2005</p> <p>Identify and state the practical problem</p> <p>Validate the practical problem by collecting data</p> <p>Convert the practical problem to a statistical one, define statistical goal and identify potential statistical solution Confirm and test the statistical solution</p> <p>Convert the statistical solution to a practical solution</p> <p>DefineD Define M Measure A Analyze I Improve C Control All Rights Reserved TreQna 2005</p> <p>VoC - Who wants the project and why ?</p> <p>The scope of project / improvement</p> <p>Key team members / resources for the project</p> <p>Critical milestones and stakeholder review</p> <p>Budget allocation</p> <p>D</p> <p>MeasureD Define M Measure A Analyze I Improve C Control All Rights Reserved TreQna 2005</p> <p>Ensure measurement system reliability- Is tool used to measure the output variable flawed ? - Do all operators interpret the tool reading in the same way ?</p> <p>Prepare data collection planHow many data points do you need to collect ? How many days do you need to collect data for ? What is the sampling strategy ? Who will collect data and how will data get stored ? What could the potential drivers of variation be ?</p> <p>Collect data</p> <p>M</p> <p>AnalyzeD Define M Measure A Analyze I Improve C Control All Rights Reserved TreQna 2005</p> <p>Understand statistical problem</p> <p>Baseline current process capability</p> <p>Define statistical improvement goal</p> <p>Identify drivers of variation (significant factors)</p> <p>A</p> <p>Analyze Identify Drivers of VariationRoot Cause Analysis (fish bone) A brainstorming tool that helps define and display major causes, sub causes and root causes that influence a process Visualize the potential relationship between causes which may be creating problems or defects Primary Cause Secondary Cause</p> <p>Backbon e</p> <p>Proble mRoot Cause</p> <p>A</p> <p> All Rights Reserved TreQna 2005</p> <p>Analyze Identify Drivers of VariationControl Impact Matrix A visual tool that helps in separating the vital few from the trivial many</p> <p>ControlVital Few</p> <p>Impact</p> <p>High Control High Impact</p> <p>Cost IneffectiveLow Control High Impact</p> <p>Cost IneffectiveHigh Control Low Impact</p> <p>Trivial Many</p> <p>Low Control Low Impact</p> <p>A</p> <p> All Rights Reserved TreQna 2005</p> <p>Analyze Identify Drivers of VariationPareto Chart Pareto principle states that disproportionately large percentage of defects are caused due to relatively fewer factors (generally, 80% defects are caused by 20% factors)35 30 25 20 15 10 5 0 L K A F B C G R D 100% 80% 60% 40% 20% 0%</p> <p>Frequency All Rights Reserved TreQna 2005</p> <p>Cumulative Frequency</p> <p>A</p> <p>Analyze Identify Drivers of VariationProcess Map Analysis Visually highlights hand off points / working relationships between people, processes and organizations Helps identify rework loops and non value add stepsCustomer Process A Process B Vendor</p> <p>A All Rights Reserved TreQna 2005</p> <p>Analyze Identify Drivers of VariationHypothesis Testing A statistical tool used to validate if two samples are different or whether a sample belongs to a given population Null Hypothesis (Ho) is the statement of the status quo Alternate Hypothesis (Ha) is the statement of difference Homogeneity of Variance One way ANOVA Moods Median</p> <p>Chi-Square</p> <p>Regression</p> <p>A</p> <p> All Rights Reserved TreQna 2005</p> <p>ImproveD Define M Measure A Analyze I Improve C Control All Rights Reserved TreQna 2005</p> <p>Map improved process</p> <p>Pilot solution</p> <p>Identify operating tolerance on significant factors</p> <p>I</p> <p>ControlD Define M Measure A Analyze I Improve C Control All Rights Reserved TreQna 2005</p> <p>Ensure measurement system reliability for significant factors- Is tool used to measure the input / process variables flawed ? - Do all operators interpret the tool reading in the same way ?</p> <p>Improved process capability</p> <p>Sustenance Plan- Statistical Process Control - Mistake Proofing - Control Plan</p> <p>C</p> <p>Control Sustenance PlanControl Plan Have the new operating procedures and standards been documented ? What Statistical Process Control (SPC) tools will be used to monitor the process performance ? Who will review the performance of the output variable and significant factors on closure of the project and how frequently ? What is the corrective action or reaction plan if any of the factors were to be out of control ?</p> <p>C</p> <p> All Rights Reserved TreQna 2005</p> <p>Six Sigma Organization</p> <p> All Rights Reserved TreQna 2005</p> <p>Six Sigma - Three DimensionsCustomer Process A Process B Vendor</p> <p>Define</p> <p>Measur e</p> <p>Analyze</p> <p>Improve</p> <p>Control</p> <p>Driven by custom er needsLSL US L</p> <p>Process Map Analysis</p> <p>Led by Senior Mgmt</p> <p>Methodology</p> <p>Organization</p> <p>Tools</p> <p>Upper/Lower specification limits</p> <p> Regression35 30 25 20 15 100% 80% 60% 40% 20% 0% L K A F B C G R D</p> <p>Enabled by quality team.</p> <p>Process variation</p> <p>10 5 0</p> <p>Frequency</p> <p>Cumulative Frequency</p> <p>Pareto Chart</p> <p> All Rights Reserved TreQna 2005</p> <p>The Quality TeamMaster Black Belt</p> <p>- Thought Leadership - Expert on Six Sigma - Mentor Green and Black Belts</p> <p>Black Belt</p> <p>- Backbone of Six Sigma Org Black Belt - Full time resource - Deployed to complex or high risk projectsGreen Belt Green Belt</p> <p>Green Belt</p> <p>- Part time or full time resource - Deployed to less complex projects in areas of functional expertise</p> <p> All Rights Reserved TreQna 2005</p> <p>Thank You</p> <p> All Rights Reserved TreQna 2005</p>
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