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Transcript of RM Six-Sigma-2
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PRESENTED BY
NAME ROLL No
Jitto George 68
Prateek Pathak 89
Nazneen Patel 88
Suvidh Rele 91
Anees Rehman
Sushant Shetty 102
Priti Singhavi 105
Anurag Singh 104
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What is Quality?
Know Six Sigma
Six Sigma Process
Introductionto Six Sigmaas
methodology
Six Sigma Applications
Six Sigma @ WIPRO
CONTENTS
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Sigma allows comparison of products and services
of varying complexity.
Also, it provides a common basis for benchmarking
(competitors and non-competitors).
The higher the sigma level, the better your operation
is performing.
Sigma measures how well youre doing in getting
to zero defects.
WHY HAVE SIGMAAS A QUALITY MEASURE
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SIX SIGMA - Definition
Six sigma is a problem-solvingTechnologythat uses human
Assets, data, measurements and
Statistics to identifythe vital few
Factors to decrease waste and defects
While increasing customer
Satisfaction, profitand shareholder
Value.
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What is Six Sigma?
Itisamethodologyforcontinuousimprovement
Itisamethodologyforcreating products/ processesthat
performathighstandards Itisasetofstatisticalandotherqualitytoolsarrangedin
unique way
Itisa wayofknowing whereyouareand whereyoucould be!
ItisaQualityPhilosophyandamanagementtechnique
SIX SIGMA IS NOT:
Astandard
Acertification
Anothermetriclike percentage
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Whathas attracted these Globaland Indian majors to
funny sounding jargon called Six Sigma?
Powerful,reliableandresultorientedmethodologywhichhasgeneratedsustainedsuccessandenhancedCustomer& Shareholdervalue
Chargedtheentireorganizationtoacommongoalsofunprecedented quality,lowestcost,fasterdeliveriesandspeedofnew productintroduction
Set performancetargetsforall-fromdesign,tomanufacturing,tomarketing,totheentireorganization.
Killerinstinct,stretchmindsetandCultureof10Ximprovementsevery2years.
Smartstrategyforimageand brand building
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TreMyn2004
The term Six Sigma was coined by Bill Smith, an engineer with Motorola
Late 1970s - Motorola started experimenting with problem solving throughstatistical analysis
1987 - Motorola officially launched its Six Sigma program
Origin of Six Sigma
MotorolaMotorolathe company that invented Six Sigmathe company that invented Six Sigma
MotorolaMotorolathe company that invented Six Sigmathe company that invented Six Sigma
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Step1: Identifythe productyou create orthe service you provide.
Step2: Identifythe Customer(s) foryour product or service anddetermine whatthey consider important.
Step3: Identifyyourneeds (to provide product/service so that itsatisfies the Customer).
Step4: Define the process for doing the work.
Step5: Mistake-proofthe process and eliminate wasted effort.
Step6: Ensure continuous improvement by measuring, analyzing,and controlling the improved process.
Six Steps to Six Sigma
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TreMyn2004
Path to Six Sigma
4Sigma 6,210 Defects
2Sigma 308,537 Defects3Sigma
66,807 Defects
5Sigma233 Defects
6Sigma 3.4 DefectsSigmalevels and
Defects per million
opportunities(DPMO)
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Page12
2
3
4
5
6
308,537
66,807
6,210
Sigma
Defects per
Millionopportunities
233
3.4 .
33WW to 6to 6WW 20,000 Times Improvement... A True Quantum Leap20,000 Times Improvement... A True Quantum Leap
What is Six Sigma?
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Key
Mean = 0
Std. Dev = 10/6 =1.67
UCL = 10 %
LCL = 10 %
-0.05
0
0.05
0.
0. 5
0.
0. 5
0.
-25.00 -20.00 -15.00 -10.00 -5.00 0.00 5.00 10.00 15.00 20.00 25.00
Left ail = 0.00000000
i ht ail = 0.00000000
r ess isk = Left ail rea + i ht ail rea
in ra ti n = 0.00000000
in er enta e = .980 -07
in = 0.00 980
r ess isk alculati n
6 SIGMA PROCESS
L.M.T.S.O.M 13
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TreMyn2004
DMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement MethodologyDMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement Methodology
DMADVDMADVCreating new process which will perform @ Six SigmaCreating new process which will perform @ Six Sigma
DMADVDMADVCreating new process which will perform @ Six SigmaCreating new process which will perform @ Six Sigma
Two Methodologies of Six Sigma
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Six Sigma: A Powerful Methodology (DMAIC)
MeasureDefine ImproveAnalyze Control
what is important
to the customer:
Project Selection
Team Formation
Establish Goal
how well we are doing:
Collect Data
Construct Process Flow
Validate Measurement System
the process:
Analyze Data
Identify Root Causes
the process gains:
Ensure Solution is
Sustained
the process performance measures:
Prioritize root causes
Innovate pilot solutions
Validate the improvement
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TreMyn2004
DMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement Methodology
DMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement Methodology
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D
Define
M
Measure
AAnalyze
IImprove
CControl
Identify and state the practical problem
Validate the practical problem by collecting data
Convert the practical problem to a statistical one, definestatistical goal and identify potential statistical solution
Confirm and test the statistical solution
Convert the statistical solution to a practical solution
Methodology
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A
Root Cause Analysis (fish bone)
A brainstorming tool that helps define and display major causes, sub causesand root causes that influence a process
Visualize the potential relationship between causes which may be creatingproblems or defects
ProblemBackbone
Primary CauseSecondary Cause
Root Cause
Analyze Identify Drivers of Variation
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Control Plan
Have the new operating procedures and standards been documented ?
What Statistical Process Control (SPC) tools will be used to monitor theprocess 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 beout of control ?
Control Sustenance Plan
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DMADV
DMADV methodologyisgearedtowardsthe
creationofnew productsand business practices DMADV methodologyinaninnovationeffort,
stepsaretakentocreate productsthatmeetthe
customersneeds
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D
Define
MMeasure
A
Analyze
D
Design
VVerify
Definethe projectgoalsandcustomer
(internalandexternal)deliverables
Measureanddeterminecustomerneeds
andspecifications
Analyzethe processoptionstomeetthe
customerneeds
Design (detailed)the processtomeetthe
customerneeds
Verifythedesign performanceandability
tomeetcustomerneeds
DMADVDMADV
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The 3 Sigma Company: The 6 Sigma Company:
Spends 15-25% of salesdollars on cost of failure
Produces 66, defects permillion opportunities
Relies on inspectionto finddefects
Believes high quality isexpensive
Does nothave a disciplined
approachto gatherandanalyze data
Benchmarks themselvesagainsttheir competition
Believes % is good enough
Spends 5% of sales dollarson cost of failure
Produces 3.4 defects permillion opportunities
Relies on capable processesthat dont produce defects
Knows thatthe high qualityproducer IS the low costproducer
Uses Measure, Analyze,Improve, Control
Benchmarks themselvesagainstthe best inthe world
Believes % is unacceptable
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THE 6-SIGMA GOALS
DEFECT REDUCTION
YIELD IMPROVEMENT
IMPROVEMENT CLIENT
SATISFACTION
MAXIMIZATION OF PROFITS
QUALITY
COST
SCHEDULE
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Differences of DMAIC and DMADV
Definethe projectgoalsand
customer(internaland
external)deliverables
Measurethe processto
determinecurrent performance
Analyzeanddeterminetherootcause(s)ofthedefects
Improvethe process by
eliminatingdefects
Controlfuture process
performance
Definethe projectgoalsand
customer(internaland
external)deliverables
Measureanddetermine
customerneedsand
specifications
Analyzethe processoptionsto
meetthecustomerneeds
Design (detailed)the process
tomeetthecustomerneeds
Verifythedesign performance
andabilitytomeetcustomer
needs
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When To Use DMADV
The DMADV methodology,insteadofthe
DMAICmethodology,should beused when: A productorprocessisnotinexistenceatyour
companyandoneneedsto bedeveloped
Theexisting productorprocessexistsandhas been
optimized (usingeither DMAICornot)andstilldoesn'tmeetthelevelofcustomerspecificationorsixsigma
level
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PERCENT OUT-OF-SPEC
l ty
l
t
t
t
ll t
1 sigma 317 3,17,310
2 sigma 45 45,500
3 sigma 2.7 2,700
3.5 sigma 0.465 465
4 sigma 0.063 63
4.5 sigma 0.0068 6.8
5 sigma 0.00057 0.57
6 sigma 0.000002 0.002
Performance andCapability Analysis
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SIX SIGMA APLICATIONS
Human Resources: reducethenumberofrequisitions
unfilledafter30days.
Customer Service: measurethenumberofcallsansweredonthefirstring.
Engineering Support: reducethenumberofschematicsreturned becauseofdraftingerrors
Order Fulfillment: eliminateCustomerreturns
becauseofincorrect partsorproduct beingshipped. Finance: reducetheinstancesofaccounts being paid
afteraspecifiedtimelimithaselapsed.
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ExecutivExecutiv
ee
LeadershLeadersh
ipip
Includes CEO and other key top management team members.
They are responsible for setting up a vision for Six Sigma
implementation
Key Players
ChampioChampio
nsns
Middle or Seniorlevel Executive who
1. Sponsors a specific project and is responsible for the Six sigmaimplementation across the organization in an integrated manner
2. Ensures resources are available and issues are solved3. Are mentors to Black Belts
MasterMaster
BlackBlack
BeltsBelts
Identified by champions they1. Are highly experienced and successful Black belt professionals who have managed several projects
and is an expert in Six sigma Methods and tools
2. Responsible for coaching, mentoring and Training Black Belts and act as in-house expert coach forthe organization
3. Devote 100% of their time to Six Sigma.
BlackBlack
BeltsBelts
1. Full time professionals who operate under Master Black Belts and are team leaders and focus on Six
Sigma project execution
2. Trained 4-5 weeks of class room , live project in methods, statistical tools and team skills
GreenGreenBeltsBelts
1. Part time professionals employees who take up Six Sigma implementationalong with theirjob responsibilities.
2. Oper ate under the guidance of Black Belts and support them in achievingOverall Results
3. Tr ained 2-3 weeks of class room , live project in methods, statistical tools andteam skills
Team
Members
Professionals who have general awareness of Six Sigma ( no formal
training ) who bring relevant experience and expertise to a
particular Project.
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Six Sigma Career Option!
Basic - Six Sigma Awareness Green Belt Projects Participate in Black Belt Projects Assist business functions with day to day
activities
Mentor/Train Green Belts Black Belt Projects Change Agents Work along with the business owners
Mentor/ Train Black Belts Run Strategic projects More Strategic than tactical role
Green Belt (GB)Green Belt (GB)
Black Belt (BB)Black Belt (BB)
Master Black Belt (MBB)Master Black Belt (MBB)
Highly paid!Highly paid!Work like a Consultant!Work like a Consultant!
Huge demand in the industry!Huge demand in the industry!
OverallA high flying Career!!OverallA high flying Career!!
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SIX SIGMA IN RISK
MANAGEMENT
InternalEnviron
ment
ObjectiveSetting
EventIdentific
ation
RiskAssess
ment
RiskRespons
e
ControlActivities
Monitoring
InformationandCommunication
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Internal environment
Equalattentionmust befocusedonthe
peoplesideofchange,as wellasthetacticaltoolsofprocesschange.
SixSigmachangemanagementtoolscanaid
increating thistypeof culturethatlookson
processimprovementina positivelight.
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Objective Setting
Operational objectives
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Relationship betweentheoutputindicators,
thosethatthemarketmayusetocompareanorganizationtoitscompetitors,tothe process
indicators
Organizationsabilitytomonitorandmeasure
theupstreamactivitiesthatcontributetothevariabilityofits productsorservicescan
differentiateitfromitscompetitors,
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Reporting objectives
Employeesareoftenrewardedfortheircontributions
towardthefinancialsuccessoftheirbusinessunit.
SixSigmatoolscoupled withstakeholderadoption
andchangemanagementcanshiftthefocustothe
VOCandthevoiceofthe process (VOP).
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Event Identification
Provideinsightintosourcesofpotentialfailure
events.
Help determineopportunitiestogathermetricsthat
serveas bothleadingandlaggingindicators.
Applystatisticaltechniquestodetermine process
capabilitiesthathelp establishescalationor
thresholdtriggers.
Highlightconstraintsthatrestricttheorganizations
abilitytomeet productiondemand.
Identify qualityorservicedeficiencies.
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Risk Assessment
criticalstepsina processandthe presence,orabsence,ofcontrolsthat prevent,mitigateormonitoradverseevents
Cause-and-effect
matrix
enterprisesabilitytorecognizesourcesofriskandits willingnessandabilitiestomanagethoserisksRisk matrix
evaluatetheriskassociated withstepsinaprocessorwiththestepsintheimplementation planofany project.
Failure mode andeffects analysis
(FMEA)
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Risk Response
RPN has beencalculated,the FMEA requiresthat
anaction plan
RPN andtherisktoleranceestablished bythe
organization, businessdecisionscan bemadeto
avoidorpreventtherisk
Oncetheaction planhas beencompleted,a
recalculationoftheRPN is performedtodetermineiftheactivitynow falls withintherisktoleranceorif
additionalactionsareneeded
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Control Activities
Once processeshave beenimproved,new
processescreatedorpotentialrisklevelsdecreased,
thesegainsmust besustained
This processownerisresponsiblefortheconstant
monitoringoftheoutput, processandinputmetrics
toensurethe processdoesnotreturntoitsformal
statements
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Monitoring
Criticalcore processesthatoncecrossedmultiple
functionalareas, butlacked bothownership and
accountability,arenow monitoredandmanaged by
processowners
SixSigmaconsolidatesmultiple processcontrol
systemsintoaframeworkso processownerscan
constantlymonitorandreportkeyoutput,inputandprocessmetricsthatmoreaccuratelyreflectthe
enterprises performance.
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Informationand Communication
Tools-suchas balancedscorecardsorrisk
dashboards
communicateaclearandconcisemessagetoall
employees
Achievingobjectivesandmanagingriskareequally
important.
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WIPRO
ESTD 1 45
In 1 Diversified into
IT
First Indian companyto
adopt six sigma
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Key ChallengesKey Challenges
Reducethedatatransfertime
Reducetherisk AvoidinterruptionduetoLAN/WAN
downtime.
Parallelavailabilityoftheswitchfortheother
administrativetasksduringthesame period.
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Evolution of Six SigmaatWiproEvolution of Six SigmaatWipro
91%ofthe projectsarecompletedon
schedule.AtWipro,itmeans:
(i)Have productsandservicesmeetglobal
benchmarks
(ii) Ensurerobust processes withintheorganization(iii)Consistentlymeetandexceedcustomer
expectations
(iv)MakeQualityaculture within.
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Difficultiesencountered byWiproand
learningfromthem:
BuildtheCulture
Projectselection: Training
Resource
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SixSigmamethodologiesatWipro
Fordevelopingnew processes:
ForImproving ExistingProcesses ForReengineering
SixSigma projectsatWiproare:
(i) Driven by businessheads,alsocalledChampionsforthe projects.
(ii)Led byGreenBelts (GB)
(iii)Assisted byBlackBelts (BB
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Toolsforimplementation @ Wipro
Ideation
Definition Selection
Tracking
Reporting
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