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DEPARTMENT OF STATISTICS
DR. R ICK EDGEMAN, PROFESSOR & CHAIR SIX SIGMA BLACK BELTREDGEMAN@UIDAHO.EDU OFFICE: +1-208-885-4410
SIX SIGMA
ORIGINS & DESTINATIONS,
SUSTAINABILITY & QUALITY CULTURE
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DR. R ICK L. EDGEMAN, PROFESSOR & CHAIR & SIX SIGMA BLACK BELT
DEPARTMENT OF STATISTICS, UNIVERSITY OF IDAHO
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REDGEMAN@UIDAHO.EDU
DR. R ICK L. EDGEMAN, PROFESSOR & CHAIR & SIX SIGMA BLACK BELT
DEPARTMENT OF STATISTICS, UNIVERSITY OF IDAHO
HTTP://WWW.WEBPAGES.UIDAHO.EDU/~REDGEMAN/RLE/EDGEMAN-Q&P-2005-CONF.PPTHTTP://WWW.WEBPAGES.UIDAHO.EDU/~REDGEMAN/RLE/EDGEMAN-Q&P-MAY-2005.DOC
REDGEMAN@UIDAHO.EDU
SIX SIGMA from PRODUCTS to POLLUTION to PEOPLE:MIGRATION from ENGINEERING & BUSINESS to the
N ATURAL and SOCIAL ENVIRONMENTS
SIX SIGMA from PRODUCTS to POLLUTION to PEOPLE:MIGRATION from ENGINEERING & BUSINESS to the
N ATURAL and SOCIAL ENVIRONMENTS
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IS A H IGHLY STRUCTURED STRATEGY FOR A CQUIRING, A SSESSING, AND A CTIVATING CUSTOMER, COMPETITOR, ANDENTERPRISE INTELLIGENCE LEADING TO SUPERIOR PRODUCT,
S YSTEM, OR ENTERPRISE INNOVATIONS AND DESIGNS THAT
PROVIDE A SUSTAINABLE COMPETITIVE A DVANTAGE.
IXS IGMA S
DEPARTMENT OF STATISTICS
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Often, problems are knotswith many strands, &
looking at thosestrands can makemake a problemseem different.
Mr. R ogers
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ORIGIN
DESTINATION
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D e p l o y m e n t
C o m p e t
i n g S t a k
e h o l d e
r C o n
c e r n s
By When
How?
E t h i c a
l
Legal
M o r a l
ORIGIN
DESTINATION
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Consider the difficulty - in the material sense -
of making something out of nothing.
Our generation consistently makes inefficient useof resources, human and natural alike.
It may well be possible to make something- and make it better - out of less.
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Define
Control
Improve Analyze
Measure
Define the problem andcustomer requirements.
Measure defect rates anddocument the process in itscurrent incarnation.
A nalyze process data and
determine the capability of the process.
Improve the process andremove defect causes.
Control process performance &ensure that defects do not recur.
INNOVATION & THE DMAIC ALGORITHM
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Define
Verify
Design Analyze
Measure
Define customer requirements andgoals for the process, product or service.
Measure and match performanceto customer requirements.
A nalyze and assess the design forthe process, product or service.
Design and implement the array of new processes required for the new
process, product or service. V erify results and maintainperformance.
DESIGN FOR SIX SIGMA (DFSS)
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Figure 1. Early intellectual focus of Six Sigma Innovation & Design whereinapplication and development occur primarily in business and engineering but with methodologies borrowed liberally from, e.g., statistics, the so-called sevenold or statistical tools of quality, and the seven new tools of quality. Initialthrust: improve quality and financial results with melded disciplines such as
Engineering Management or Management of Technology attempting to bringthese together in identifiable academic homes.
BUSINESS ENGINEERINGSix Sigma Innovation
and Design Origins
DEPARTMENT OF STATISTICS
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SSIDCurriculum
Deployment
Figure 2. The Magnet instructional model deploys a Six Sigma Innovation & Design(SSID) curriculum via central control at the unit, departmental, or college level typically as an initiative emanating from one of statistics, business, or engineering first
for its own students, but also to attract students from other, targeted fields from acrossthe institution.
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SCIENCE &TECHNOLOGY-
INTENSIVEFIELDS
Figure 3. Six Sigma Innovation & Design as solutions provider with limitedexpansion of SSID to new fields as well as some new learning within SSID from otherfields as depicted by the two-way arrow and the semi-permeability of the inner-circle.
New areas, e.g., Systems & Entrepreneurial Engineering (SEE) are identified.
ENGINEERINGBUSINESS EXPANDING
SIX
SIGMA
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SSIDCore
Figure 4 . The radiant instructional model has a core of courses in Six SigmaInnovation & Design provided by the central unit, but with elective SSID courses in
boundary crossing and discipline specific areas offered to students from and inother technology-intensive fields across the institution. Other fields follow.
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Product & Systems Innovation & Design
Commercial Feasibility
Interdisciplinary Teams & Projects
Technical Feasibility
Disciplinary Breadth
Selling the Solution
I n t e l l i g e n t S y s t e m s I n n o v a t i o n & D e s i g n .
C o n c e p t T
e c h n i c a l F e a s i b i l i t y C
o m m e r c i a l F e a s i b i l i t y . Project Management
SIX SIGMA INNOVATION & DESIGN COLLABORATION
Figure 5. Six Sigma Innovation & Designs Core Curricular Trajectory
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University Requirements:Disciplinary Breadth
A c a d e m i c M a o r :
F u n c t i o n a l D e t h
Interdisciplinary Teams & Projects:Disciplinary Integration
Statistics
Quality Innovation & Design MentorsTechnical Feasibility & Project Management
Mentors Mentor:Program Management
Six Sigma Innovation
Quality Innovation & Design
Technology / Entrepreneurship
Design for Six Sigma
E n t r e p r e n e u r i a l M e n t o r s :
I n t e
l l e c t u a
l P r o p e r t y
O f f i c e o f T e c
h n o l o g y C o m m e r c i a l
i z a t
i o n
p p a
SixSigma Mentors
Innovation & Design Capstone
Legal Environment
S s t e m s
I n n o v a t i o n & D e s i n
SIX SIGMA INNOVATION & DESIGN COLLABORATION
Figure 6. An Six Sigma Innovation & Design curriculum featuring a commoncore and extensive intra- and extra-program engagement.
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Entrepreneurial Mentors
Faculty Mentors Six Sigma M entors
Innovation & DesignMentors
MentorsMentors
Disciplinary Integration
Interdisciplinary Teams & Projects
Intellectual Property /Tech. Commercialization
F u n c t i o n a l D e t h
Corporate Mentors
Public Sector Private Sector
SIX SIGMA INNOVATION & DESIGN COLLABORATION
Figure 7. The people providing core level breadth and depth in an academic
Six Sigma Innovation & Design program. The model is both intra- and extra-institutional.
Six Sigma Black Belts
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Raise Friends: A Core Expansion and Fusion
Strategy Built on CRM
Applications willFollow
Initiate
Learn & Inform
Invite
Engage
Establish
Enrich
Outreach
Reciprocate
Deepen the Win-Win Vision
Formalize
Exchange
Gather Intelligence
Extend:Broaden, Deepen, Lengthen
Deliver:Provide the Win-Win
RESULT
Su amigo esmi amigo
Leverage:
Your friend is my friend
Figure 8. Spreading the Six Sigma Innovation & Design Gospel
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BUSINESS ENGINEERING
SCIENCE &TECHNOLOGY-
INTENSIVEFIELDS
Figure 9. Mutual enrichment of Six Sigma Innovation & Design and other fields asindicated by increasingly permeable boundaries and two-way arrows. Stimulated by
interdisciplinary intra- and entrepreneurial innovation and invention and creation of new markets encourages SSID to both lend to and borrow from other fields .
LEGAL & SOCIETAL A PPLICATIONS
ENVIRONMENTALM ANAGEMENT &
ENGINEERINGSIX SIGMA
AND
R ECIPROCITY
H EALTH &
BIOMEDICALFIELDS
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SOCIETAL
A PPLICATIONS
ENVIRONMENTAL
M ANAGEMENT &ENGINEERING
SIX SIGMA FUSION
ENGINEERING
H EALTH &BIOMEDICAL
FIELDS
SCIENCE &TECHNOLOGY-INTENSIVEFIELDS
BUSINESS
Figure 10. Anno Domini 2020 Vision for Six Sigma: Boundary-less model forfusion of Six Sigma Innovation & Design with other fields wherein increasingly
free exchange of information, methods and strategies concurrently expands thefrontiers of multiple fields and blurs their boundaries.
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Extract Fossil Fuels & Minerals, and Produce PersistentSubstances Foreign to Nature, at Rates that are not Faster than
Their Slow Redeposit into the Earths Crust Reduce the Use of the Four Generic Resources Used in Construction:Energy, Water, Materials and Land.
Maximize Resource Reuse and / or Recycling Use Renewable Resources in Preference to Non-Renewable Resources
Minimize Air, Land and Water Pollution at Global and Local Levels Create a Healthy, Non-Toxic Environment Maintain and Restore the Earths Vitality and Ecological Diversity
Minimize Damage to Sensitive Landscapes, Including Scenic,Cultural, Historical and Architectural
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Ensure Financial Affordability for Intended BeneficiariesPromote Employment Creation
Enhance Competitiveness in the Marketplace by AdoptingPolicies and Practices that Advance Sustainability Use Full-Cost Accounting and Real-Cost Pricing to
Set Prices & TariffsChoose Socially & Environmentally Responsible Suppliers
and ContractorsInvest Some of the Proceeds from the Use of Non-RenewableResources In Social and Human-Made Capital to Maintain
the Capacity to Meet the Needs of Future Generations
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Ancient JewishConception:
Profit as R esiduethat which remains after themeeting of all obligations.
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Improve the Quality of Human Life,Including Poverty Alleviation
Make Provision for Social Self-Determination and
Cultural Diversity in Development PlanningProtect and Promote Human Health Through a
Healthy & Safe Working EnvironmentImplement Skills Training and Capacity Enhancement of
Disadvantaged PeopleSeek Fair or Equitable Distribution of theSocial Costs of Development
Seek Equitable Distribution of the Social Benefits of Development
Seek Intergenerational Equity
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Construct Durable, Reliable and Functional StructuresPursue Quality in Creating the Built Environment
Use Serviceability to Promote Sustainable Construction
Humanize Larger BuildingsFill in and Revitalize Existing Urban Infrastructure with a FocusOn Rebuilding Mixed-Use Pedestrian Neighborhoods
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Figure 11. BEST Sustainability Model
S u s t a i n a b i l i t y @
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S u s t a
i n a b l e
C o m p
e t i t i v
e
A d v a
n t a g
e
P r o c e s s e s
C u s t o me r
Policy & Strategy
P e o p l e
Figure 12: Business Excellence and the EFQM Criteria
P e o p
l e
Socie t y
P e r f o r m a n c e
R e su l t sO r i e n t a t i o n
P a r t
n e r s h i p
s R
e s o u r c
e s
Leadership
B a l a n c e d
S t a k e
h o l d e
r -
D r i v e
n M a s t e
r P l a n
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ORIGIN
DESTINATION
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HTTP://WWW.WEBPAGES.UIDAHO.EDU/~REDGEMAN/RLE/EDGEMAN-Q&P-2005-CONF.PPT
HTTP://WWW.WEBPAGES.UIDAHO.EDU/~REDGEMAN/RLE/EDGEMAN-Q&P-MAY-2005.DOC
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IXCUSTOMER & COMPETITIVE INTELLIGENCE FOR
S YSTEMS INNOVATION & DESIGN
S IGMA S
DEPARTMENT OF STATISTICS
DR. R ICK EDGEMAN, PROFESSOR & CHAIR SIX SIGMA BLACK BELT
REDGEMAN@UIDAHO.EDU OFFICE: +1-208-885-4410
ESIGN OR
D F
What is Quality?W at s ua ty
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What is Quality?To Satisfy Customers Requirements
Continuously
W at s ua tyTo Satisfy Customers Requirements
Continuously
What is QualityManagement?To Achieve Quality at Low Cost.
What is QualityManagement?To Achieve Quality at Low Cost.
What is Total Quality
Management?To Obtain Total Quality by InvolvingEveryones Daily Commitment.
What is Total Quality
Management?To Obtain Total Quality by InvolvingEveryones Daily Commitment.
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Total Quality
Management?
Total Quality
Management? The Objective of TQM is to Improve
Continuously Each and Every Activity inthe Company, Focusing on the Customer.
Quality is:Defined by the
Customer!!!
The Objective of TQM is to ImproveContinuously Each and Every Activity in
the Company, Focusing on the Customer.
Quality is:Defined by the
Customer!!!
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Culture
Culture
q The TQM philosophy derives from one foundationalidea: everything must be geared towards customer satisfaction , the engine which drives the companyand on which its future survival depends.
q
The quality of a product or a service is the valueassigned to it by customers, that is, the amountthey are prepared to pay. Thats all.
q Anything which is not in line with this expectation,anything unnecessary or redundant should bediscarded.
q The TQM philosophy derives from one foundationalidea: everything must be geared towards customer satisfaction , the engine which drives the companyand on which its future survival depends.
q
The quality of a product or a service is the valueassigned to it by customers, that is, the amountthey are prepared to pay. Thats all.
q Anything which is not in line with this expectation,anything unnecessary or redundant should bediscarded.
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Culture
Culture
q TQM aims to trim this non-value addedfat by complete overhaul of the
management system, using continualimprovement as a guideline.q To this end, people must be empowered
and must become part of cohesive worksystems; they must be given the meansto do what they do best: in addition tonails, they must also be given a hammer.
q TQM aims to trim this non-value addedfat by complete overhaul of the
management system, using continualimprovement as a guideline.q To this end, people must be empowered
and must become part of cohesive worksystems; they must be given the meansto do what they do best: in addition tonails, they must also be given a hammer.
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Cultural PrinciplesCultural Principlesq The processes, that is the operating
procedures at all levels of thecompany, must be thoroughly broughtunder control and optimized. Theconsistency of the whole is moreimportant than the optimization of
each individual unit.q Management must be guided by this
concern for consistency.
q The processes, that is the operatingprocedures at all levels of thecompany, must be thoroughly broughtunder control and optimized. Theconsistency of the whole is moreimportant than the optimization of
each individual unit.q Management must be guided by this
concern for consistency.
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Cultural PrinciplesCultural Principlesq This synergy makes it possible to better control the three
elements of Quality, Cost and Delivery (QCD) which arethe three components of a response tailor-made to meetcustomer expectations.
q This applies within the company as well, where thecustomer-supplier relationship is fundamental in each linkof the chain.
q Anything which is not customer-driven, within or outsidethe company, is merely waste.
q This synergy makes it possible to better control the threeelements of Quality, Cost and Delivery (QCD) which arethe three components of a response tailor-made to meetcustomer expectations.
q This applies within the company as well, where thecustomer-supplier relationship is fundamental in each linkof the chain.
q Anything which is not customer-driven, within or outsidethe company, is merely waste.
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What is a Process?What is a Process?q A process is a set of successive operations targeting aspecific result.
q It involves input (data, materials, products in variousstages of completion) from suppliers or previousprocesses, which it transforms and transmits either toa process downstream, or to a customer.
q In other words, a process is a series of tasksperformed with specific resources.
q
A process is a set of successive operations targeting aspecific result.
q It involves input (data, materials, products in variousstages of completion) from suppliers or previousprocesses, which it transforms and transmits either toa process downstream, or to a customer.
q In other words, a process is a series of tasksperformed with specific resources.
In House Customers and OutsideIn House Customers and Outside
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In-House Customers and OutsideCustomers
In-House Customers and OutsideCustomers
q The expectations of the outside customer, the buyer oruser of the product, may be seen in the context of in-house customer / supplier relationships, which play avital role in improving company performance.
q The in-house supplier is the product, service or advice,which represents the end-product of one stage in theprocess.
q The in-house customer is the office, shop or servicewhich carries out the next stage.
q The expectations of the outside customer, the buyer oruser of the product, may be seen in the context of in-house customer / supplier relationships, which play avital role in improving company performance.
q The in-house sup plier is the product, service or advice,which represents the end-product of one stage in theprocess.
q The in-house customer is the office, shop or servicewhich carries out the next stage.
--
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-Customers
-Customers
q
Each acts as supplier and customer withrespect to and for the other.q A HOUSE DIVIDED AGAINST ITSELF CANNOT
STAND PRINCIPLE: This relationship encourages useful activity.
q GET YOUR OWN HOUSE IN ORDERPRINCIPLE: The in-house customer /
supplier relationship is one of the keys tosatisfying the outside customer.
q
Each acts as supplier and customer withresp ect to and for the other.q A HOUSE DIVIDED AGAINST ITSELF CANNOT
STAND PRINCIPLE: This relationship encourages useful activity.
q GET YOUR OWN HOUSE IN ORDERPRINCIPLE: The in-house customer /
supplier relationship is one of the keys tosatisfying the outside customer.
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. Judge of Value
. Judge of Value
q Customers assign a value to the product or service inaccordance with their needs and desires, either expressed orimplicit.
q In exchange for this value, they pay and often go into debt, andthis constitutes the sole source of income for the business.
q We need to move away from a strategy based on marketingproducts to one based on delighting customers.
q We need to know how to anticipate their needs, even to thepoint of influencing the ways their needs change.
q We have to provide customers with the service and the
reliability they expect at a competitive price with the timingand conditions which are most convenient for them.
q Customers assign a value to the product or service inaccordance with their needs and desires, either expressed orimplicit.
q In exchange for this value, they pay and often go into debt, andthis constitutes the sole source of income for the business.
q We need to move away from a strategy based on marketingproducts to one based on delighting customers.
q We need to know how to anticipate their needs, even to thepoint of influencing the ways their needs change.
q We have to provide customers with the service and the
reliability they expect at a competitive price with the timingand conditions which are most convenient for them.
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.Approach
.Approach
q Improving output means serving customers better,faster, and less expensively by consuming fewerresources.
q Anything which does not contribute either directlyor indirectly to customer satisfaction must beeliminated.
q Identify and eliminate everything except that whichis lean or just enough in all sectors and all levelsof activity with the goal of continual improvement:
q causes of rework,q poorly calculated investments,q excessive inventory,q skills under-utilized or poorly utilized.
q This step will lead to a streamlining or an overhaulof all processes.
q Improving output means serving customers better,
faster, and less expensively by consuming fewerresources.q Anything which does not contribute either directly
or indirectly to customer satisfaction must beeliminated.
q Identify and eliminate everything except that whichis lean or just enough in all sectors and all levelsof activity with the goal of continual improvement:
q causes of rework,q
poorly calculated investments,q excessive inventory,q skills under-utilized or poorly utilized.
q This step will lead to a streamlining or an overhaulof all processes.
..
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.Reducing Dispersion
.Reducing Dispersion
q Improving the process through greater controlmeans first and foremost controlling dispersion inthe quality of products and services offered.
q This means adhering to a permanent standard of quality within the limits acceptable to the
customer, either within the company or outside it.q Only then can we attempt to do even better by
enhancing or modifying the process.q This is a preliminary step towards challenging
existing processes.
q Improving the process through greater controlmeans first and foremost controlling dispersion inthe quality of products and services offered.
q This means adhering to a permanent standard of quality within the limits acceptable to the
customer, either within the company or outside it.q Only then can we attempt to do even better by
enhancing or modifying the process.q This is a preliminary step towards challenging
existing processes.
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.People
.People
q
Employees are a companys most precious resourceand the only one which can take control of processesand identify and reduce anything which does notmeet the lean or just enough standard.
q For that reason, people must be involved and
empowered and their value recognized.q Initiative and creativity must be developed in order to
encourage problem-solving.q Human resource development involves acquisition of
experience linked with a training component, whichmust focus on the importance of cooperation andteam work as incentives for better quality,productivity and safety.
q Employees are a companys most precious resourceand the only one which can take control of processesand identify and reduce anything which does notmeet the lean or just enough standard.
q For that reason, people must be involved and
empowered and their value recognized.q Initiative and creativity must be developed in order to
encourage problem-solving.q Human resource development involves acquisition of
experience linked with a training component, whichmust focus on the importance of cooperation andteam work as incentives for better quality,productivity and safety.
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.Improvement
.Improvement
q The Goal of TQM is progress - not perfection - there is noideal state which, once reached, will allow the company torest from its endeavors.
q What matters is the degree of progress achieved and itsrapidity: progress is based on the S-PDSA Cycle (or, better,modified Deming Cycle)
q Along with innovation, continual improvement focuses onsolving problems and finding reliable solutions.
q This includes daily progress in routine matters as well aslarge-scale cross-functional improvements, withoutnecessarily resorting to additional investment.
q The Goal of TQM is progress - not perfection - there is noideal state which, once reached, will allow the company torest from its endeavors.
q What matters is the degree of progress achieved and itsrapidity: progress is based on the S-PDSA Cycle (or, better,modified Deming Cycle)
q Along with innovation, continual improvement focuses onsolving problems and finding reliable solutions.
q This includes daily progress in routine matters as well aslarge-scale cross-functional improvements, withoutnecessarily resorting to additional investment.
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Demings
S-PDSA Cycle
Demings
S-PDSA Cycle
S -Establish
Baseline
DO
P L A N
S T U D Y
ACT(implement)
HO
LD THEGAIN
S T
A N D A R
D I Z
E
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Progress Through S-PDSA
PeopleProcesses
Reducing Waste
C u s t o m e r S a t i s f a
c t i o n Cost
Delivery
Quality
ModelModel
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ModelModel
Customer DrivenMaster
Plan
Daily Control
CrossFunctionalManagement
QCDPHoshin
Planning
UNIT OPTIMIZATION
HOR IZO
NT
AL
I NTEGR ATIO
N
7 QCTools /
Statistics
Suggestion SystemsSelf-Directed Work Teams
Quality Circles
VER TICAL
ALIG
NME
NT
Q.A./QFD
Info.Systems
AuditTools
Customer/
Supplier
Senior Executive
Teams
Cont. Imp.&Standardization
Organ-izational
Break-Through
VerticalTeams &
HorizontalCoordination
SevenManage-
Ment &
PlanningTools
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ControlControlq Daily Control is the application of PDSA to
daily incremental continuous improvement:
q Hoshin Planning draws information from the
ongoing data collection and analysis of the Daily Control process to identify broad system problemsin which breakthrough is needed.
q Once breakthroughs have occurred, they canbecome the focus of daily continuous
improvement.
q Daily Control is the application of PDSA todaily incremental continuous improvement:
q Hoshin Planning draws information from the
ongoing data collection and analysis of the Daily Control process to identify broad system problemsin which breakthrough is needed.
q Once breakthroughs have occurred, they canbecome the focus of daily continuous
improvement.
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Management Managementq Cross-functional management concerns the systems by
which functions & departments work together to achievecommon organizational targets such as quality, cost,delivery & product ( QCDP ).
q Quality Function Deployment (QFD) or listening to the voiceof the customer can identify areas for planning breakthrough
q The Hoshin Planning process often requires cooperation acrossfunctions as well as vertical alignments.
q Cross-functional management concerns the systems bywhich functions & departments work together to achievecommon organizational targets such as quality, cost,delivery & product ( QCDP ).
q Quality Function Deployment (QFD) or listening to the voiceof the customer can identify areas for planning breakthrough
q The Hoshin Planning process often requires cooperation acrossfunctions as well as vertical alignments.
l
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Planning Planning
q Hoshin --- That by which we navigate - Theorganizational NORTH STAR.
q Policy Management --- Policy Deploymentq Focused Planningq Hoshin Kanri
q Hoshin --- That by which we navigate - Theorganizational NORTH STAR.
q Policy Management --- Policy Deploymentq Focused Planningq Hoshin Kanri
Where We Are
The Destinationthat we MUSTReach
Hoshin Planning
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Planning
Planningq Hoshin Planning is a method thatcaptures and concretizes strategic
goals and flashes of insight about thefuture and that develops the means tobring these into reality.
q The intent of Hoshin Planning is tointegrate an entire organizations daily
activities with its long term goals.
q Hoshin Planning is a method thatcaptures and concretizes strategic
goals and flashes of insight about thefuture and that develops the means tobring these into reality.
q The intent of Hoshin Planning is tointegrate an entire organizations daily
activities with its long term goals.
os n ann ngos n ann ng
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os n ann ngDefinition
os n ann ngDefinition
q Hoshin Planning is that part of anorganizations strategic planning
system which identifies, develops,deploys, audits, and modifies aspecific plan to focus the
organizations efforts on thebreakthroughs of developmentsrequired to achieve the strategic
vision of the organization.
q Hoshin Planning is that part of anorganizations strategic planning
system which identifies, develops,deploys, audits, and modifies aspecific plan to focus the
organizations efforts on thebreakthroug hs of developmentsrequired to achieve the strategic
vision of the organization.
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Customer-Driven
SustainableCompetitive
Advantage C R O S
S - F U N
C T I O
N A L
M A N A
G E M E
N T
D AI L Y
LEADER SHI
M a s t e r P l a n
H o s h i n P l a n n
i n g C O
N T R O L
UNIT OPTIMIZATIONUNIT OPTIMIZATION
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UNIT OPTIMIZATIONDaily Control
UNIT OPTIMIZATIONDaily Control
q Within this arena are the so-called Seven Traditional Tools of Quality, even thoughthere is not perfect agreement on what
those seven tools are. Among these:q Histograms & Pareto Diagrams;q Scatter Diagrams; Boxplots;q Cause & Effect Diagrams;q Process Flow Diagrams;q Control Charts and Run Charts;q Check Sheets; andq Stem-and-Leaf Plots.
q Within this arena are the so-called Seven Traditional Tools of Quality, even thoughthere is not perfect agreement on what
those seven tools are. Among these:q Histograms & Pareto Diagrams;q Scatter Diagrams; Boxplots;q Cause & Effect Diagrams;q Process Flow Diagrams;q Control Charts and Run Charts;q Check Sheets; andq Stem-and-Leaf Plots.
VERTICAL ALIGNMENTVERTICAL ALIGNMENT
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VERTICAL ALIGNMENTHoshin Planning
VERTICAL ALIGNMENTHoshin Planning
q Hoshin Planningq Management & Planning
Tools:q Affinity Diagrams;q Brainstorming;q Nominal Group Technique;q Matrix Diagrams;q Radar Charts;q Force Field Analysis;q Prioritization Matrices.
q Hoshin Planningq Management & Planning
Tools:q Affinity Diagrams;q Brainstorming;q Nominal Group Technique;q
Matrix Diagrams;q Radar Charts;q Force Field Analysis;q Prioritization Matrices.
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Cross-Functional
Management
Cross-Functional
Manag ementq
Listening to the Voice of theCustomer orq QUALITY FUNCTIONDEPLOYMENT (QFD).
q
Listening to the Voice of theCustomer orq QUALITY FUNCTIONDEPLOYMENT (QFD).
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Quality Culture atAT&T
A Case Study
Quality Culture atAT&T
A Case Study
AT&T Cultural ChangeAT&T Cultural Change
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gMechanisms
gMechanisms
Focus From Traditional To Quality
Plan Short-range budgets Future Strategic Issues
Organize Hierarchy Participation/Emancipation
Communication Top Down Top Down & Bottom Up
Decisions Ad hoc/Crisis Management Planned Change
Functional Parochial, Competitive Cross-Functions, ManagementIntegrative
Quality Fixing / One-Shot Preventive / ContinuousManagement all Functions & Processes
Focus From Traditional To Quality
Plan Short-range budgets Future Strategic Issues Organize Hierarchy Participation/Emancipation
Communication Top Down Top Down & Bottom Up
Decisions Ad hoc/Crisis Management Planned Change
Functional Parochial, Competitive Cross-Functions, ManagementIntegrative
Quality Fixing / One-Shot Preventive / ContinuousManagement all Functions & Processes
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AT&T Quality PolicyAT&T Quality PolicyQuality excellence is the foundation forthe management of our business and thekeystone of our goal of customersatisfaction. It is, therefore, our policy to:
Consistently provide products and servicesthat meet the quality expectations of ourcustomers.
Actively pursue ever-improving qualitythrough programs that enable eachemployee to do his or here job right the firsttime.
Quality excellence is the foundation forthe management of our business and thekeystone of our goal of customersatisfaction. It is, therefore, our policy to:
Consistently provide products and servicesthat meet the quality expectations of ourcustomers.
Actively pursue ever-improving qualitythrough programs that enable eachemployee to do his or here job right the firsttime.
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AT&T Quality PrinciplesAT&T Quality Principles The customer comes first.Quality happens through people.
All work is part of a process.Suppliers are an integral part of ourbusiness.
Prevention is achieved throughplanning.Quality improvement never ends.
The customer comes first.Quality happens through people.
All work is part of a process.Suppliers are an integral part of ourbusiness.
Prevention is achieved throughplanning.Quality improvement never ends.
Total Quality Management:Total Quality Management:
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Q y gTurning Principles into Practice
AT&Ts Fundamental Total QualityApproach
Q y gTurning Principles into Practice
AT&Ts Fundamental Total QualityApproach
Supplier Process Customer
PeopleLe adership & Involvement
ProcessSupplier Management Customer
Partnership and Improvement Focus
Division (NSD) Division (NSD)
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Division (NSD)Quality Management
System
Division (NSD)Quality Management
System NSD VISION: We provide our customersthe best network services in the world. NSD MISSION: The mission of NSD is tosupport the individual Business Units in theachievement of their goals by providing
premises-to-premises network services, bothnow and for the future:
*That are positively differentiated from our
competitors in customer-perceived quality,
reliability, innovation, timeliness, and performance
*At a cost that is lower than our competitors
*By a professional, motivated, customer-focused winning team.
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Supplier Process Customer
PeopleLeadership & Involvement
ProcessSupplier Management Customer
Partnership and Improvement Focus
People
L e a d e r s h i p P
r o c e
s s e s
NSD
QMS
Identification Statement &Identification Statement &
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Identification Statement &Strategic Business Unit
Customers.
Identification Statement &Strategic Business Unit
Customers.Consumers and businesses are AT&Ts external customers. Theyultimately consume and pay for the products & services we deliver. The SBUs are NSDs internal customers. They supply us with therequirements for products and services, fund NSD for those services,and represent the voice of the external customer.
We aspire to evolve customer/supplier relationships within NSD, withits suppliers, and with the SBUs to a set of true partnerships, basedupon the AT&T Common Bond .
Data Communication Services 800 and Business Application Services
Business Long Distance BCServices-Federal SystemsConsumer Long Distance Away from Home & OfficeDirectory Services Accessible Communications Services.
Consumers and businesses are AT&Ts external customers. Theyultimately consume and pay for the products & services we deliver.
The SBUs are NSDs internal customers. They supply us with therequirements for products and services, fund NSD for those services,and represent the voice of the external customer.
We aspire to evolve customer/supplier relationships within NSD, withits suppliers, and with the SBUs to a set of true partnerships, basedupon the AT&T Common Bond .
Data Communication Services 800 and Business Application Services
Business Long Distance BCServices-Federal SystemsConsumer Long Distance Away from Home & OfficeDirectory Services Accessible Communications Services.
QMSQMS
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QMSInformation
QMSInformationInformation, represented by arrows in
the model:Integrates the elements of QMS;Permits fact-based decision making;And must be:
Readily available;Easily accessible;Consistently presented;Relevant & meaningful.
Information, represented by arrows inthe model:Integrates the elements of QMS;Permits fact-based decision making;And must be:
Readily available;Easily accessible;Consistently presented;Relevant & meaningful.
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QMS LeadershipQMS LeadershipCreate the vision;Achieve the mission;Live our common bond;Establish quality policy;Lead the planning process;Set key goals / initiatives;
Champion deployment;Measure progress;Celebrate successes.
Create the vision;Achieve the mission;Live our common bond;
Establish quality policy;Lead the planning process;Set key goals / initiatives;
Champion deployment;Measure progress;Celebrate successes.
- -People:- -People:
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People:We commit to these values to guide our
decisions & behavior
People:We commit to these values to guide our
decisions & behaviorq Respect for individualsq Dedication to helping customersq Highest standards of integrityq Innovationq Teamwork
q Utilize our human performance system as a key enablingmechanism for our quality management system (QMS).
q Recognize & support behavior that is consistent with our QMS.q Foster an environment where people are skilled and supported to
be successful.
q Respect for individualsq Dedication to helping customersq Highest standards of integrityq Innovationq
Teamworkq Utilize our human performance system as a key enabling
mechanism for our quality management system (QMS).q Recognize & support behavior that is consistent with our QMS.q Foster an environment where people are skilled and supported to
be successful.
By living these values, AT&T aspires to set a standard of excellence worldwide that will reward our shareholders,our customers and all AT&T people.
Q S
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QMS ProcessesQMS Processesq Manage by process;q Define goals;q Instill a spirit of continuous improvement;q
Use Process Quality Management Improvement(PQMI) as the foundation;q Achieve excellence in customer relationship
management;q Develop effective supplier management.
q Manage by process;q Define goals;q Instill a spirit of continuous improvement;q
Use Process Quality Management Improvement(PQMI) as the foundation;q Achieve excellence in customer relationship
management;q Develop effective supplier management.
R R b l
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ResponsibilitiesResponsibilitiesq Process Champion: ensures process efforts are linked with overall business
strategies and goals and advocates process breakthrough initiatives for at leastone QMS process.
q Process Owner: provides process vision, commits to customers primaryrequirements and is ultimately accountable for results of at least one QMS
process.q
Process Leader: manages process on a daily basis, establishes process-specificgoals, charts PMT activity, manages funding process and interfaces withcustomers and suppliers.
q PMT Leader: leads effort to develop and implement initiatives to improve process capability and achieve process results.
q
PMT Member: analyzes and recommends improvements to the process.q Support Manager: manages the execution of current process and implements
process improvement to achieve process results.q Process Associate: executes current process and implements process
improvements to achieve process results.
q Process Champion: ensures process efforts are linked with overall businessstrategies and goals and advocates process breakthrough initiatives for at leastone QMS process.
q Process Owner: provides process vision, commits to customers primaryrequirements and is ultimately accountable for results of at least one QMS
process.q
Process Leader: manages process on a daily basis, establishes process-specificgoals, charts PMT activity, manages funding process and interfaces withcustomers and suppliers.
q PMT Leader: leads effort to develop and implement initiatives to improve process capability and achieve process results.
q
PMT Member: analyzes and recommends improvements to the process.q Support Manager: manages the execution of current process and implements
process improvement to achieve process results.q Process Associate: executes current process and implements process
improvements to achieve process results.
ProcessProcess
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ProcessChampions, Owners and
Leaders
ProcessChampions, Owners and
Leaders
People
L e a d e r s h
i p P r o
c e s s
e s
NSD
QMS
Strategic &Operational
Planning
QMS & OrganizationModel Developmentand Implementation
Assessment Audit &
Benchmarking Studies
Assessing & Improving NSDs QMS with theAssessing & Improving NSDs QMS with the
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PDSA CyclePDSA Cycle
PeopleL e a d
e r s h i p P
r o c e s s
e s
NSD
QMS
Plan
Do
Study
Act
Plan for Addressing Improvement Opportunities
ImplementImprovement Plans
ASSESSMENT: AT&T CQA
ISO 9001 AOS
Act on Resultsof AssessmentIdentifyImprovementOpportunities
S S
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DEPARTMENT OF STATISTICSREDGEMAN@UIDAHO EDU OFFICE: +1 208 885 4410
SIX SIGMA
ORIGINS & DESTINATIONS,
SUSTAINABILITY &
QUALITY
CULTURE
End of Session