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QMS-Six Sigma Introduction

Date post: 06-Apr-2018
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Brief Introduction Brief Introduction to Six Sigma to Six Sigma
  • 8/3/2019 QMS-Six Sigma Introduction


    Brief IntroductionBrief Introduction

    to Six Sigmato Six Sigma

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    Introduction to Six SigmaIntroduction to Six Sigma

    Six Sigma was the expression given as a synonym by Motorola in 1986 fortheirquality program. Since then, a general definition has developed, and ithas become a useful technique for measuring quality. It has become a tool

    used particularly among technology driven companies such as Allied Signal,General Electric, Kodak and Texas Instruments.

    What is Six Sigma?

    Six Sigma is a statistical measurement of only 3.4 defects per million

    Six Sigma is a management philosophy focused on eliminating mistakes,waste and rework. It establishes a measurable status to achieve and

    embodies a strategic problem-solving method to increase customersatisfaction and dramatically reduce cost and increase profits.

    Six Sigma gives you discipline, structure, and a foundation for solid decision-making based on simple statistics. The real power of Six Sigma is simple

    because it combines people power with process power.

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    Introduction to Six SigmaIntroduction to Six Sigma

    What can Six Sigma do for your organization?

    If your organization is focused on customer satisfaction, then Six Sigma willoffer you a method and some tools for the identification and improvement ofboth internal and external process problems to better meetcustomer needs byidentifying the variations in your organizations processes that might influencethe customers point of view, negatively.

    What does it mean to be Six Sigma anyway?

    Its goal is to reduce output variability through process improvement. SixSigma refers to an organisations measure of quality that strives for near


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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    There has been a tremendous amount of discussion around definingSix Sigma within businesses and organizations.

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    I start the explanation with..

    1Customer Focus

    Ensuring all outputs meet

    customer specifications.


    Data Driven

    Data is necessary toidentify input, processand output areas forimprovement.


    Robust Methodology

    Data alone cannot solve allyour customer or businessissues. A methodology fordefect definition,measurement, analysis,improvement and control.

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    Six Sigma is :

    The symbol for a statistical measure called the standard deviation.

    This measure helps describe the shape of a bell curve like the one below.

    When one knows the average ( X) and standard deviation () of a process,

    one can improve that process to near perfection

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    A 3- sigma level translates to ;

    Airline crashes each week.

    15,000 dropped newborn babies per year. Banks would lose thousands of cheques daily.

    3 quality literally costs businesses between 25-40% of their annual operating

    income in waste and rework.

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    Six Sigma -- Practical Meaning

    99.99966% Good (6 Sigma)99% Good (3.8 Sigma)

    Seven articles lost per hour

    One unsafe minute every sevenmonths

    1.7 incorrect operations per week

    One short or long landing everyfive years

    68 wrong prescriptions per year

    One hour without electricityevery 34 years

    20,000 lost articles of mail perhour

    Unsafe drinking water for

    almost 15 minutes each day

    5,000 incorrect surgicaloperations per week

    Two short or long landings atmost major airports each day

    200,000 wrong drugprescriptions each year

    No electricity for almost sevenhours each month

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    Six Sigma Road Map;

    Measure the businessProcess performance

    What are the key

    metrics for thisbusiness process?

    Are metrics valid andreliable?

    Do we have adequatedata on this process?

    How will I measureprogress?

    How will I measureproject success?

    Determine rootcauses/opportunities

    Current state analysis

    Cost benefit Analysis? Who will help make

    changes? Resource

    requirements What could cause this

    change effort to fail? What major obstacles

    do I face in?completing thisproject?

    Define our customer,CTQs and coreBusiness processes

    What is the BusinessCase for the Project?

    Identify The Customer Current state map Future State map Recommendations &


    Implement Solutions Generate, design and


    improvements toimprove productivityand service levels

    re-integrate thevarious subprojects?

    Reinvest/Or Keep thesaves made

    Institutionalizeimprovement &implement ongoing

    monitoring control risk, quality,

    cost, schedule, scope,and changes to theplan

    Monitor and reportservices

    Monitor availability

    against SLAs Monitor Security.

    Define Analyse Implement ControlMeasure

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    With Six Sigma companies have seen stunning improvements .

    Company ROI Time Frame

    Allied Signal $1.2 billion 2 YearsGeneral Electric $1.1 billion 9 Months

    Polaroid $100 million 1 Year Lockheed Martin $10 million 9 MonthsSiebe PLC $100 million 9 monthsCrane's $10 million 1 Year

    Source: Six Sigma Academy

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    So How Do You Make Six Sigma Work?

    Cleaning company example

    Anyone hiring you to perform cleaning services is your customer.

    Who is your customer?

    What are their requirements? These should be specified in the request for eachcustomer. (SLA)

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    What are the correct metrics?

    Remember, you can't improve what you don't measure.

    What's important to your customer?

    Ask them. Interview them. Create a written survey and allow them to return the survey to you anonymously.

    Here are a few ideas about what I require from my cleaning company on a daily basis:

    All rubbish removed All glass & mugs cleaned

    All rugs completely dirt free All floors shiny No dust on desk surfaces All movable objects (chairs, wastebaskets, tables, etc.) replaced in proper position

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    How do you measure these requirements?

    Define a unit, opportunity and defect.Measure your process.Randomly pick a day a week and visit the facility

    when the cleaning group is done

    Then ask yourself

    Is every wastebasket empty? Is every pane of glass and counter-top clean?Can you flip over a rug and see dirt on the floor?How well a cleaning process is running?

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    How do you improve your processes?

    1. Look at what is causing your defects.2. Create a pareto diagram of your defects.3. Focus on the major issues using the Six Sigma DMAIC methodology.

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    Brief Introduction to Six SigmaBrief Introduction to Six Sigma

    With Six Sigma a company can;

    Measure how many defects it has in a process. It can systematically figure out how to eliminate them.

    Reduce costs Improve productivity

    Increase market share,

    and achieve other positive results..

    The best organizations are at about 3 to 4 sigma, which is about 6,200

    defects per million opportunities