Case Presentation

Consumer-driven Six Sigma

at Ford
Flow of Presentation
n
n Introduction
n Six Sigma in Action
n Implementation and Benefits of Six Sigma to Ford
n Related Concepts
n Conclusion
n
Introduction

n Ford Motor Company

Ø Founded by Henry Ford
ØH.Q at Michigan (USA)
ØCurrent brands Lincoln and Mercury
§ Birth of Six Sigma at Ford
Ø Initiative by Phong Vu in 1999
ØJD power ranking of IQS Ford at 7th in 2001
ØJD power ranking of IQS Ford at 4th in 2003
ØEnhance customer satisfaction.
Ø
Six Sigma

n Training
n Green Belts
n Black Belts
n Master Black Belts
n Project Champions
Six Sigma in Action
The DMAIC Cycle in Ford
 Implementation
n PHASE-I concentrated on Customer Satisfaction.
n By sep. 2001- 1700 Project Champions, 2300 Black Belts
and over 6000 Green Belts and Implemented over 1000
six sigma projects.
n PHASE-II was Design for Six Sigma.
n Employee Skepticism.
n Resource Requirement.
n
Benefits

n Improved Customer satisfaction ratings

n Talented group of Six Sigma pioneers
n Quality improved by 16%
n By March 2004, Ford implemented 9500 six Sigma
Projects
n Created Value and Waste prevention
n
Cybernetic Decision Structure
n Environment – problem with transit protection film
n Team
n Goal – quality improvement and expectations
n Comparator
n Action list – critical input variables, instruction
n Sensor - software
n Team review and feedback – new material, training
n
Total Quality Approach
Implications for Management Control
Roadblocks/Barriers

Skeptical employees Resource allocation

Data availability
Drivers for Successful Implementation
THANK YOU