Six Sigma
Measure Phase
Project:
Application of Six Sigma to improve
customer satisfaction of Sartaj
Hardware Store
Submitted by:
Bhoomika Jethwani, 16070122009
MihirSinh Parmar, 16070124032
Prachi Jaiswal, 16070124040
Six Sigma
Data Collection Plan
Measure Data Type Operaion Stratification Who and How
Definition factors
Time period days By Shop Owner, Staff must be trained
Order requested for
Contious requested by customer By sales calls, to prepare the order
delivery by customer
for delivery. By contractor. for on time delivery.
Inventory must be
Cycle in days from managed and staff
when the order arrives By Shop Owner, trained so that when
Order delivered to
Continuos from the inventory to By shop staff, owner leaves the
customer
the shop and By contractor. delivery process must
delivered to customer keep moving forward.
Reduces time wasted.
Tins must be verified
The quality of the for their Quality
Quality of Order Attribute paints delivered to the By Contractor Certification mark
customer. before delivery to
customer.
Defects (in form of Defects per order in
Packaging of tins must
leaks in paint tins) per Attribute the paint tins By Contractor
be leak proof.
Order delivered to customer
Six Sigma
Questionnaire
How long did the order take to reach the customer ?
How was the quality of the order delivered ?
Were there any leaks in the paint tins delivered ? (If any,
number of defected cans per order )
Did the shop owner satisfy all the needs for the order ??
How satisfied is the customer with the rates and service
provided by the shop ?
Six Sigma
Hypothesis
Question:
1. How long did the order take to reach the customer ?
Metric:
2. How was the quality of the order delivered ?
Timely delivery of order
3. Were there any leaks in the paint tins delivered ? (If
Quality of Order
any, number of defected cans per order )
Quantity & Accuracy / defect Rates of
4. Did the shop owner satisfy all the needs for the
Order delivered
order ??
Satisfaction of needs of Customer
5. How satisfied is the customer with the rates and
service provided by the shop ?
Satisfaction of Customer in terms of prices
and services
6. How was the communication by the staff during order
calls ?
Politeness & friendly behaviour towards
customer
7. How was the communication by the staff during
enquiry calls ?
8. How long did the order take to arrive from the
inventory ?
Six Sigma
Hypothesis
Metrics deciding timely & quality delivery for customer satisfaction:
NULL ALTERNATE
Politeness towards Quantity and
customer defects in order
Satisfaction of Timeliness of
customer needs delivery
Six Sigma
Metrics
( Continuous Data - Delivery in days )
Y = f(x)
{
{
Y = Order Delivery X = Availability of staff,
(in days) Placing of order,
Arrival of order
from inventory
Six Sigma
Metrics
( Continuous Data - Delivery in days )
Mean = 0.62 days ( on time delivery )
Sum of Variance^2 = 91
Variance = ∑ (Actual-Mean)^2 / ( No. of observations )
= 53.8836 / 36
= 1.496
Standard Deviation = √ Variance
= √ 1.496
= 1.22
Six Sigma
Metrics
( Continuous Data - Delivery in days )
LSL = -3 days ( early delivery )
USL = 3 days ( late delivery )
Sigma Level = |mean - SL | / Standard Deviation
= 2.2
Hence, we can see that this is a 2 sigma process and
requires much more improvement.
Six Sigma
Metrics
( Continuous Data - Delivery in days )
LSL = -3 days ( early delivery )
USL = 3 days ( late delivery )
CP = |USL - LSL | / 6*Standard Deviation
= 0.752
CPk = |nearest SL - Mean | / 3*Standard Deviation
= 0.752
Hence, we can see that CP is less than 1, hence project requires
modifications. ( It is an incapable project ). To make it a 6 sigma
process, we must bring CPk value close to 2.
Six Sigma
Metrics
( Attribute - Defects observed in delivery )
Defects = No. of tins with leaks per order = 36,000
Sample Size = 36
Opportunity for error= Total tins delivered = 226,000
Defects per opportunity = Defects observed / (OPE)* sample size
= 0.004424778
Defects per million opportunity = DPO * 1000000
= 4424.778
Sigma Level, Z = 4.10 , yield = 99.5 and Cp = 1.37,
Hence project requires some improvement.
Six Sigma
Inference
Process Capability
Current Scenario:
As we can see the ongoing delivery process is incapable considering
measures of delivery time and quality of order, based on six sigma
tools of DMAIC process, where we have calculated the Cp for
Continous data and DPMO for Attribute Data.
Target :
Improvement of delivery process by further analysis to reduce the
number of extra days for delivery along with reduction in
defects of tin cans per order and thereby increases customer
satisfaction.
