Introduction to 6 Sigma

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    SIX SIGMA

    Welcome to the Working

    Seminar on

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    Seminar Objectives

    3 Introduction to the methodology

    of Six Sigma

    3 Introduction to the tools of Six

    Sigma

    3 Sharing of live Six Sigma projects

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    What is Six Sigma?

    Six Sigma is a highly disciplinedprocess that helps us focus on

    developing & delivering near-perfect products and services.

    Sigma is a statistical termthat measures how far a given

    process deviates from

    perfection.

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    Why Six Sigma?

    Impact on Bottomline

    Increased Customer Satisfaction

    and Loyalty

    Improved business processes

    Competition

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    99% Quality equates to :

    i 20,000 lost articles of mail per hour

    i unsafe drinking water for almost 15

    minutes per day

    i 5,000 incorrect surgical operations per

    week

    i 2,00,000 wrong drug prescriptions each

    year

    i no electricity for almost 7 hours per

    month

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    Key Terms of Six Sigma

    1. Critical to quality - attributes important to

    customers

    2. Defect - failing to deliver what the customer

    wants

    3. Process capability - what the process can

    deliver

    4. Variation - what the customer experiences/gets

    5. Stable operations - ensuring consistent,

    predictable processes which the customer seesand feels

    6. Design for Six Sigma (DFSS) : designing to

    meet customer needs and process capability

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    Where is Six Sigma Applicable?

    All facets of business

    i Sales and marketing

    i Manufacturing

    i After Sales Support and Service

    i H.R.

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    DATED JAN 15, 1987

    IMPROVE PRODUCT AND SERVICES

    QUALITY Ten times by 1989 and at least 100 fold

    by 1991

    Achieve SIX SIGMA CAPABILITY by 1992With a deep sense of urgency, spread

    dedication to every facet of the

    corporation and achieve a culture ofcontinual improvement to ASSURE TOTAL

    CUSTOMER SATISFACTION. There is only

    one ultimate goal: zero defects - inSigned:MOTOROLA EXECUTIVE COMMITTEE

    Management Leadership

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    ` Quality improvement goals andplans integrated into businessplans.

    ` Part of everyone's job.

    ` Employee empowerment andinvolvement.

    ` Extensive education andtraining support.

    `

    Recognition and awards.

    Why We Have BeenSuccessful...

    The Motorola Story

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    Employee Involvement Requires

    i Awareness

    How are we doing?

    How are the best in class doing?

    i Training

    Tools, Methodology, Metrics

    i High expectations

    Team goal settingi Communication

    Progress and recognition

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    The Process for Deployment

    5 Management Involvement

    5 Empowered Teams

    5 Trained Black Belts

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    Black Belt Training Green Belt

    TrainingMin. 2 Projects* per Year

    Black Belt Lead the use of Statistical & QualityTechniques

    Mentor Green Belts Consulting/Training Min. 4 Projects* per Year

    Master Black Belt Mentors Green & Black Belts 80%-100% of TimeConsulting/Mentoring/Training

    *Projects = training classes or project consultations

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    Belted

    Phase 1: Candidate Identification and MentorStructure

    Identify candidate

    Management sponsorship

    Master Black Belt Mentor

    Define Black Belt responsibilitiesPhase 2: Skill Development

    Black Belt Orientation Class

    Personal Skill Development

    High Impact Improvement Project

    Phase 3: Recognition

    Application for recognition

    Black Belt RecognitionContinuous Im rovement

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    A Black Belt Is . . .

    An Individual from Any Discipline

    with Advanced Statistical, Quality,and Interpersonal Skills

    An Experienced and Proven Leaderin the use Six Sigma Strategies and

    Tools

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    A Black Belt Will . . .

    Drive the Effective Use of Statistical

    Methods through Leadership, Training ,

    and Consultation

    Identify, Develop, and Communicate Six

    Sigma Strategies and Tools

    Actively Identify and Mentor Future

    Black Belts

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    Use of Six Sigma Black Belts

    3 Trained in statistical tools

    3 Act as consultants / change agents

    3 Skilled in their respective disciplines

    3 Strong interpersonal and communicationskills

    3 Significant experience with demonstrated

    results

    3 Continuous learning aptitude

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    Expectations of Six Sigma Black

    Belts Problem solving leadership

    Improvement change agents

    Drive use of statistical methods

    Network for solution reuse

    Mentor future Belts Continue personal development

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    The Cost/Quality Relationship

    Six Sigma has shown that the

    Highest Quality Producer

    is also the

    Lowest Cost Producer

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    quality level of "6" corresponds to lethan 3.4 defects per million Opportuniti

    NumberofDefectsNumberofUnits

    =D.P.U

    D.P.Ux

    100000

    0

    NumberofOp

    portunit

    ies=D

    .P.M.Op

    .

    Sigma and Opportunities

    1Opportunity=

    D.P.M.Op

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    A Universal Measurement Scale ...

    3

    4

    5

    6

    7

    66810

    6210

    233

    3.4

    Sigma

    DPMOpOn one condition :

    Calculate the defects and

    estimate the opportunitiesin the same way...

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    = A structured approach to continuous improvement

    1 - Identify the product or service you provide

    2 - Identify the customer & their requirements

    3 - Determine your needs & suppliers

    4 - Define the process for doing work

    5 - Eliminate defect sources / optimize the process

    6 - Continuously improve the Sigma level

    ( or Six steps towards excellence" )

    Six Sigma and Continuous Improvement

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    Advantages of This Type of Approach

    Have a common language Sensitize the organization in the use of statistical tools Develop the internal supplier/customer relationship Benchmarking Work on the most significant objectives

    Promote working in teams

    Culture

    of

    Excellence

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    Empowered Teams

    Its a business-driven process, not ahuman relations program

    It starts with senior management -cant be delegated

    Employees want to take ownershipand become world class producers

    You dont need a crisis to get started

    Empowerment affects all functions,not just factories

    Done right, its an irreversible

    process