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Presenting Six Sigma by the ASQ Six Sigma Forum. Overview What is Six Sigma? What can Six Sigma do?...

Date post:26-Dec-2015
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  • Slide 1
  • Presenting Six Sigma by the ASQ Six Sigma Forum
  • Slide 2
  • Overview What is Six Sigma? What can Six Sigma do? How does Six Sigma work? Six Sigma infrastructure The DMAIC methodology
  • Slide 3
  • A methodology that uses metrics and statistical analysis to improve processes, services, and products What is Six Sigma?
  • Slide 4
  • A business philosophy that makes customer requirements top priority What is Six Sigma?
  • Slide 5
  • A management system that unifies culture, standardizes processes, and raises performance standards What is Six Sigma?
  • Slide 6
  • Developed and deployed at Motorola Six Sigma helps Motorola win Baldrige Award 1994-96 SS enters chemicals, healthcare, services 1996-98 SS enters finance, education, government GE and Allied Signal results popularize the methodology for manufacturing 1988 1985-87 1999-2003 Six Sigma development milestones
  • Slide 7
  • Improve performance: reduce defects, systematize and stabilize processes, improve customer satisfaction What can Six Sigma do?
  • Slide 8
  • Reduce costs: improve efficiency, eliminate waste, reduce costs of poor quality What can Six Sigma do?
  • Slide 9
  • Improve the bottom line: $ GE: $3 billion in Six Sigma savings in the year 2000 alone $ Honeywell: $600 million dollars in savings in just one year $ Dow Chemical: $25 million investment regained within only one quarter What can Six Sigma do?
  • Slide 10
  • The Greek letter refers to standard deviation, a measure of the variation of data about its average. When we measure a processs sigma value, we measure the number of units of standard deviations between the process center and the closest specification limit. What is ?
  • Slide 11
  • 6 Sigma 6 Standard Deviations Upper Spec Lower Spec Target Process Center A 6 process has 6 standard deviations between the target and the nearest specification limit
  • Slide 12
  • Higher = less variation = fewer defects = better performance Lower Specification Limit (LSL) Upper Specification Limit (USL) 6 process
  • Slide 13
  • A 6 process results in only 3.4 defects per million opportunities (DPMO) 3.46 2335 6,2104 66,8073 308,5372 690,0001 DPMOSigma level
  • Slide 14
  • 4 99.4% error free Electrical outages one hour per week 6 out of every 1,000 invoices contain incorrect info 6 99.9997% Outages two seconds per week 3.4 out of every 1,000,000 invoices How much better is 6?
  • Slide 15
  • The infrastructure: Executives and Champions secure organizational support for improvement projects run by Black Belts and Green Belts How does Six Sigma work?
  • Slide 16
  • Green Belts All staff Master Black Belts Black Belts Project Team Members Champions Executives Six Sigma infrastructure
  • Slide 17
  • Part-time SS (retain previous job duties) Assist BBs with data collection and analysis Lead teams and run projects GBs Half- to full-time Lead problem-solving projects Train and coach project teams BBs Full-time Develop metrics and help establish strategic direction Train and coach BBs and GBs MBBs
  • Slide 18
  • Up to 80% of time on Six Sigma Project owners: remove obstacles, provide resources, review progress Translate company mission, goals, and metrics into individual projects Champions 25% of time on Six Sigma Drive overall program Align Six Sigma with organizational culture and vision Executives
  • Slide 19
  • Why the Belt terminology?
  • Slide 20
  • The methodology: teams apply the DMAIC (define, measure, analyze, improve, control) methodology to root out and eliminate the causes of defects How does Six Sigma work?
  • Slide 21
  • DMAIC Methodology no Improve Define Measure Analyze Control Modify design? yes Redesign
  • Slide 22
  • Define Identify processes to be improved Define defects, customer requirements, and opportunities for improvement Define Establish project objectives, parameters, and metrics
  • Slide 23
  • Define phase tools High-level, as-is business process map Voice of the Customer (VOC): determine what is critical to customer satisfaction Cost of quality/cost of poor quality (COQ, COPQ) Team charter
  • Slide 24
  • Collect data on performance Map the process Determine Critical to Quality (CTQ) characteristics Validate measurement system and establish a baseline Estimate process capability Measure
  • Slide 25
  • Measure phase tools Detailed process map Failure modes and effects analysis (FMEA) Control charts Gage reproducibility and repeatability (Gage R&R) Process capability
  • Slide 26
  • Identify possible sources of variation; narrow the search for key variables Perform hypothesis testing and correlation/regression Analyze Outline areas for improvement; recommend redesign when necessary
  • Slide 27
  • Analyze phase tools Confidence intervals Multi-vari analysis Analysis of variance (ANOVA) Correlation/regression Hypothesis testing 0 5 10 15 20 0246810 Correlation = 1 9.69.59.49.39.29.19.08.98.8 8.7 9.4 9.3 9.2 9.1 9.0 8.9 8.8 8.7 8.6 R-Sq = 92.0 % Y = 1.02031 + 0.872922X Regression Plot H o = Null H a = Alternate
  • Slide 28
  • Improve Determine effect of key process variables on undesirable variation Develop and test potential solutions to reduce variation Implement validated solutions
  • Slide 29
  • Improve phase tools Completely randomized blocks Design of experiments (DOE) Full-factorialmeasures and analyzes the responses of all possible combinations of factors and factor levels Fractional-factorialmeasures and analyzes responses for a balanced portion of the full- factorial array Response optimization Response surface methodology
  • Slide 30
  • Monitor the improved process Implement controls to hold the gains Establish and document new standard operating procedures Transfer responsibility to process owners Control
  • Slide 31
  • Control phase tools Control plans Evolutionary operation (EVOP) Statistical process control (SPC) Process capability analysis 20100 4 3 2 1 0 U=1.930 UCL=3.794 LCL=0.06613 Lower Control Limit Upper Control Limit Center Line
  • Slide 32
  • How do we get started? Explore the business need: VOC, COQ, defect analysis Identify staff: Champions, BBs, GBs Send staff for training: Executives, 1-2 days GBs, 2 weeks Champions, 1 weekBBs, 4 weeks
  • Slide 33
  • How long until we see results? Most projects require 4-8 months for completion and sustained results Ideally, an implementation never ends new projects are continually launched to keep the company improving
  • Slide 34
  • Questions? Looking for more information? Please visit www.sixsigmaforum.com
  • Slide 35
  • Copyright 2004 American Society for Quality. All rights reserved. www.sixsigmaforum.com
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