THE SIX SIGMA TOOL

Six Sigma is the single most effective problem solving methodology for improving
business & organizational performance. The world’s top corporations have used it to
increase their profits collectively by more than $100 billion over the past ten years.
Simply stated, Six Sigma is about applying structured, scientific methods to
improve any aspect of a business organization, process or person. It’s about engaging in
disciplined data collection & analysis to determine the best possible ways of meeting
your customer’s needs while satisfying yours & minimizing wasted resources &
maximizing profit in the process.

Six Sigma Practitioner tools are of two primary types.

Process Optimization Tool & Statistical Analysis Tool.

Process Optimization tool:

The tool enables you to design ,simulate & optimize work processes .These
include tools for creating process & work flow diagrams, building cause & effect
matrices, constructing fishbone diagram, developing SIPOC diagram, assessing process
capabilities. The goal of these tools is help you see how work is performed & identify
where the source of problem is.

Statistical Analysis tool:

The tool enables you to analyze data collected either from the real world
performance of a product or process, or as the output of simulation or experiment.These
include basic statistics tools & tools for analyzing variance, conducting regressions,
performing design of experiments (DOE) & building control charts, plots, table & graphs.
The goal of these tools is to help you turn data into knowledge such that you can make
informed decisions.
 Process Optimization Tools
The term “Process optimization” is used as a catch-all to describe both the subject area –
processes-and the purpose-optimization.
Process Tool Role
The SIPOC Suppliers-Inputs-Process-Outputs-Customers
Create a high-level process map with a few key
details about each of the key contributing elements.
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CT (Critical to) Tree Critical to…tree.Identify, organize and display parts
of the process according to areas of critical
importance.
Modeling Define and design processes, including the flow of
work or material, the timing of activities, resources
consumed and points of decision, inspection and
delivery.
Simulation Simulate the flow of work and material through a
process based on the model and analyze the results
of the simulation for overall effectiveness and
efficiency. Find defects, errors, bottleneck, variation
and non value-added elements.
C&E
(Cause-and-effect) matrix For the outcomes of any process, defines all the
contributors, weight their effects, and determine the
significant contributors to the outputs.
Fishbone diagram Create a high-level C&E in the form of a tree
structure, with categories for each major type of
contributor. A method for capturing potential causes
and inputs to a process.
FMEA
(Failure Mode Effects Analysis) For any activity or item, define the potential failure
modes, including the likelihood of occurrence, and
the ability to detect and characterize the effects of
those failures.
Capability and Complexity
Analysis Analyze the tradeoffs between product complexity
and process capability and define the proper
configuration of each to achieve desired outcomes.
Plans Use the outputs of simulation and analysis to define how data will be collected
and how the processes will be controlled and
audited.
Dem` fishbones:
It is a brainstorming tool used to explore and display sources of variation or
Influence on a process. With it, you can quickly create the inputs to a C& E
Matrix, identifying the key sources that contribute most significantly to the problem or
Process being addressed. It also serves as an affinity mechanism for relating and
Categorizing inputs.

FMEA: Failure Mode Effects Analysis

Failure is a nasty business. Product failures can mean everything from unhappy
Customers to harmful outcomes. Process failures result in poor products. The failure
Mode effects analysis is a key to reducing or eliminating the risk of failures. The concept
was first developed in the aerospace industry, it is therefore universally referred to its
Acronym form FMEA.
The FMEA provides you with a structured approach to identifying the potential
ways a Product or process can fail how readily you can detect the failure and the effects
of those Failures, so you can reduce the risk of either their occurrence, or impact ,or both.
Using FMEA, you can further prioritize the actions to be taken to reduce failure risk, and
you can evaluate your design and control plans for their robustness to failure.
It is invaluable in the applications where processes or products have safety or
security implications, but its equally applicable to any process or product where failures
have impact on customer satisfaction or measurable business success.
FMEA is a structured yet simple way of simulating the risk associated with a
particular event occurring .Its an excellent tool to funnel down the most likely
contributors or X`s to process optimization efforts.
The analysis phase of the FMEA is the process of determining probabilities and ranking
the results. One of the primary indicators is the risk priority number (RPN).The RPN is
simply the product of the three elements.
RPN = Severity rating * Probability rating * Detection rating.

Applications of FMEA include

 Design FMEA, for analyzing product designs prior to release into production. The
DFMEA is conducted early-well in advance of first builds-with a focus on
Product functionality.
 ProcessFMEA, for analyzing design, manufacturing, assembly, distributing,
services, support, and other processes.
 Product FMEA, addresses failure modes possible in products or projects.
 Software FMEA, for analyzing failure modes in software applications.
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Primary Elements of the FMEA
FMEA Element Definitions
Severity of impact Assign a normalized score to the severity of
the impact in the event of a failure.
Probability of occurrence Evaluate and assign a probability score to
the likelihood that the failure will occur.
Likelihood of detection Assign a probability score to the likelihood
that the current controls will detect the
 causes and therefore prevent either the
failure itself or its effects

Statistical Analysis Tools

Statistical Analysis tools enable the six sigma practitioners to first analyze practical
problems statistically, and then to craft statistical answers that enable breakthrough
practical solutions. The statisticians who pioneered Six Sigma forged the
developmental application of these tools through grit and determination.
Stats Tool Role
Basic stats The basic and descriptive statistics, such as averages,
ranges, and variance and so on, used routinely in Six sigma
analysis.
Plots and charts Histograms, Pareto charts, control charts.
Time Series Specific tools for analyzing results of data collected over
time-trends, decomposition, moving averages.
ANOVA
(Analysis of variance) Analyze variances, test for equality of variances, and
determine whether there is a valid relationship between
variables.
Tolerance analysis The analysis of margins and tolerances to determine
optimal design specifications.
DOE
(Design of Experiments) Systematically investigate the process or product variables
that affect product quality.
Regression Determining the strength of the relationship between a
response variable(Y) and one or more predictors (Xs)
Multivariate Analysis The Analysis of data from multiple measurements on
various items or subjects. The output is a graphical picture
of the various relationships.
Reliability & Survivability Accelerated life testing, lifetime characteristics analysis,
growth curves.
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Analysis of variance: ANOVA

Because variance is one of the fundamental principles of Six Sigma, the analysis
of variance is a major field of Six Sigma application.
ANOVA tools include such analytical marvels as: one-way and two-way
analysis’s(variance testing with classification by one or two variables);Analysis of Means
(test the equality of population means);balanced ANOVA(accounting for data collected
by different designs or procedures),also sometimes referred to as the General Linear
Model; fully nested ANOVA(estimating the variance component for each response
variable);MANOVA(multi-variate analysis of variance, for simultaneously testing the
equality of means from different responses);and the test for equal variances(determines
the variance differences between samples from populations of different means).

Design of Experiments: DOE

DOE is a highly educational activity. It’s statistically used to investigate the
variables that influence a process and the resulting quality of products and services in an
experimental setting.
A DOE also allows the practitioner to simultaneously understand the effects of
changing the settings of multiple variables.Without DOE you’re reduced to performing
what we call OFAT experiments, which stands for one factor at a time.OFAT`s cannot
detect the interactions that occur between variables.
Experiments are vitally important tools. They permit us to prototype, evaluate and
test our hypotheses in controlled settings before unleashing them in the real world.
Experiments are critical risk reducers and confidence builders. They are foot bridge
between models and reality.
Experiments are mini projects unto themselves. They consume resources,
including personnel, equipment and materials. They cost money and time. And because
so much is riding on the results, they deserve the care and attention that any project or
program would receive.
 Define the problem
Strictly define-in quantitative terms-the nature of the problem that you
intend the experiment to clarify or solve.
 Define the objectives
Be certain that your experiment is focused on yielding specific, practical
and useful information.
 Design the experiment
Using the many available DOE tools, design a robust experiment that will
satisfy the objectives.
 Develop the plans
Thoroughly analyze the environment, the background and the conditions
that will guide and constrain the experiment and develop a plan that will meet the
objectives with the time and resources allotted. Develop a data Collection Plan
that ensures you have the measurement systems in place to capture all the
required information and a Data Analysis plan that ensures you have accounted
for the work required to properly interpret the results.