SIX SIGMA YELLOW

BELT TRAINING

Sudhakar SR
 Objectives

• Understand the need for Six Sigma

• Explain the Six Sigma DMAIC process
• Clarify the roles of the Sponsor and the Project Leader
• Understand the key differences between traditional problem
solving methods and the Six Sigma approach
• Demonstrate the 7 basic tools
• Develop an awareness of the various Six Sigma tools and
their applicability
• Outline the key attributes of a Six Sigma project
 Overview

Section A: Six Sigma Concepts

Section B: Six Sigma Roles and Responsibilities

 SECTION A

SIX SIGMA CONCEPTS

 Six Sigma

 Customer focused business improvement process.

 Defect reduction in a process or product.
 Common measurement scale called the Sigma capability or Z.
 Six Sigma capability corresponds to an efficiency of 99.9996%.

Six Sigma is a Business Philosophy

 History

 Six Sigma was developed by Bill Smith, QM at Motorola

 It’s implementation began at Motorola in 1987
 It allowed Motorola to win the first Baldrige Award in 1988
 Several major companies in the world have adopted Six Sigma
since then .…and applied to Manufacturing processes to improve
product quality

Texas Instruments, Asea Brown Boveri, AlliedSignal, General

Electric, Bombardier, Nokia Mobile Phones, Lockheed Martin, Sony,
Polaroid, Dupont, American Express, Ford Motor,…….

 GE applied the Six Sigma methodology to improve all business

processes and it became a way of running the business.

Six Sigma is a Competitive Tool

 Expectations of People Capability
LEVEL CONTENT COMPETENCY
50,000 feet view Characterize & Everybody should
Optimize understand, use & teach

500 feet view Define, Measure, Executives - understand

Analyze, Improve & Managers - understand,
Control use and teach (YB)

5 feet view 3 + 12 step process Managers understand,

Project Leaders
understand, use and
teach (GB/BB)

Ground level Tools (info synthesis GB/BB understand, use

and statistics) MBB teach

Applicable at all levels

 The Standard Deviation

1 Sigma - 68%
m s = S (X – X)2
2 Sigma - 95%
3 Sigma - 99.73 %
n-1

1s
p(d)

Upper Specification Limit (USL)

Target Specification (T)
Lower Specification Limit (LSL)
T USL
Mean of the distribution (m)
Standard Deviation of the distribution (s)
3s
 What Is Six Sigma

A 3s process because 3 standard deviations

fit between target and spec
Before
Target Customer
3s Specification

1s
0.27% Defects up-to 6.6 %
2s

3s

Customer
Target Specification

After
1s
2s 6s !
3s No Defects!
4s
5s
6s

Reducing Variability Is The Key To Six Sigma

 The Focus of Six Sigma

Y f (X)
 Dependent  X1 . . . XN
 Output  Independent
 Effect  Input-Process
 Symptom  Cause
 Monitor  Problem
 Control
Would you control target or the shooter to get the Gold Medal?
 The Eye of the Beholder

Customer’s View How did Supplier influence my

A C Performance?
Handling Defects found at my end

Customer
Process
A B C

Supplier Process

How did I do against my

Supplier’s
A B Obligations?
Handling Damage at my end View
 Focusing on Average

Average
River
Depth -4ft

Focus on Average can turn your business red

 The Need for Six Sigma

How are we viewed by our customers?

• Reactionary, not preventative
• Adequately responsive to
customer needs
• Problems not permanently
solved
• Hard perennial problems not
solved.
• Inconsistent
• Flawed Startups

Customers look for our competitors

 The Need for Six Sigma

How do we want to be viewed by our customers?

• Proactive
• Quick, agile
• Having robust products
• System experts
• Flawless during startups
• Continuously improving
through an Enterprise-wide
problem prevention/problem
solving culture

Our Customers’ Best Supplier

 The DMAIC Methodology
INPUT STEP OUTPUT

You have a problem

Identify Project, People and Define definition and a thorough
Process execution plan

Ensure you have output You ensure reliable

measures for process and Measure analyses and decisions
reliable ways of measuring it

Find the gaps between current and You understand the

final states Analyze problem now

You have the solution to

Find root causes and develop Improve the problem
solution

Communicate, standardize and You have ensured sustained

document the improvement Control improvement
 Where to apply…..

... Can Be Applied To Every Business Function

Marketing Engineering

HR Purchasing

6 Sigma
Methods

Finance Manufacturing

Software
 Example - Pizza Delivery Service

Dabbawala and Co. a fast food company, owned by Mr.

Dabbawala Pizza runs a pizza delivery service in and around
Delhi. Dabbawala and Co. which was doing very well over the
last four years, notices a drop in sales over the past five
months. Customer complaints about deliveries have been
gradually on the rise. Several complaints from customers
regarding irregular deliveries were bothering Dabbawala. He
had increased the number of delivery personnel to improve
delivery performance. But his customers were still leaving
him.

Pizza Hut, a multinational fast food chain, had set up shop in

downtown and was becoming more popular with the
customers. Dabbawala neither had the financial muscle to
match Pizza Hut’s advertising blitz nor could afford the
expensive packaging to lure his customers back.
 The Define Phase
Grow
Divisional directive revenues
1. How does the customer
view Dabbawala’s Quality?
Improve
Sales
Plant objectives
2. Who are the stakeholders -
Customer and Process
Improvement Team?
Get more
Functional goals orders

3. Which of his processes

should he try to improve in
So what’s order to improve Sales?
Employees
new
 The Define Phase - Step A

A. IDENTIFY PROJECT CTQs:

A requirement of the customer is that the Pizza should be delivered

on time. Thus for the customer, Delivery is Critical to the Quality of
Dabbawala’s service (CTQ).

Voice of Customer (VOC)

Affinity Diagram
CTQ Tree.
 The Define Phase - Step B

B. DEVELOP TEAM CHARTER:

The Business Case

Why should the project be done

Problem and Goal Statement

Description of the problem/opportunity

Roles and Responsibilities

The team, expectations and responsibilities

Stakeholder Analysis, TMAP, Gantt Chart

 The Define Phase - Step C

C. DEFINE PROJECT SCOPE:

Identify the high level process to be improved

Define boundaries of project

SIPOC
Stratification Analysis
Contract Sheet
 The 7 Basic Tools - 1

STRATIFICATION ANALYSIS:
Stratification analysis (Is / Is Not Matrix) is helpful in defining the
conditions surrounding the problem - bounding or scoping

Is Is Not Distinctions
West and North
South, East and West and North
Geography Delhi are sub-
Central Delhi Delhi
contracted
Mixups, Hygiene,
Output Delivery time
Temperature
Premium service
Lower and Middle
Customer Higher Income for higher
Income
income group
Increased
Time After Aug 09 Before Aug 09 employees in
Aug 09
 The Define Phase - Summary

The Define phase is owned Grow

by the Project Sponsor. The Divisional directive revenues
three steps of the Define
phase are: Widen
Customer
Plant objectives
1. Identify Project CTQ Base
2. Develop Team Charter
3. Define Project Scope Improve
Delivery
Functional goals process
VOC, Affinity
Diagram,
Reduce
CTQ Tree, Gantt
variation in Employees
Chart, SIPOC, Stakeholder delivery time
Analysis, TMAP, Stratification
Analysis
 The Measure Phase - Step 1

1. IDENTIFY CTQ CHARACTERISTICS

Translate the CTQ to a measurable output of the delivery

process

Delivery time can be measured in many ways:

1. No. of times the delivery person delivered during the

shipping window (Discrete measure)
2. Time taken to travel from Dabbawala’s location to customer
location (Continuous measure)
3. Actual delivery time as seen by customer (Continuous
measure)

Delivery time is the Project Y.

 The Measure Phase - Step 2

2. DEFINE PERFORMANCE STANDARDS:

What are the customer’s requirements on Delivery time?

What is the definition of a defect?

1. Capture the Target (mean) delivery time - On time

2. Get the allowable variation on Y - +/- 30 minutes

Loss  (Deviation)2

Loss
VOC
Competitive Benchmarking

Target Y
 The Measure Phase - Step 2
The customer
tolerance
window is 30
LSL minutes on USL
either side

Customer Customer
does not does not
This is the
want earlier want later
target
than this than this
delivery time

45 30 15 0 15 30 45
EARLY DELIVERY (MINUTES) LATE DELIVERY

Visualize customer requirements

 The Measure Phase - Step 2

Preparation for data collection:

1. The Y or the Delivery Process Output

2. The Xs or the Inputs to the Delivery Process

Generate a list of Xs
Brainstorming
Process Map (PMAP)
Failure Modes Effects Analysis (FMEA)
Cause & Effect Diagram or Fishbone
Quality Function Deployment (QFD)
Prioritization Matrix
Check-sheet
 The 7 Basic Tools - 2
CHECK-SHEET (DATA COLLECTION FORM)

Check-sheet is a data collection sheet used to record occurrences of

an event to look for patterns in the data in order to quantify the
problem and to facilitate understanding.

NO. OF LATE DELIVERIES

C a te g o rie s Jan 6 Jan 7 Jan 8 Jan 9 T o ta l
M isin te rp re te d llll llll llll llll llll l llll llll llll lll 47
Label llll
T raffic llll lll llll llll llll ll 24

P a rk in g lll llll ll ll llll l 18

L a rg e O rd e r llll lll llll ll 15

L o c a tin g h om e ll l l lll 7

O th e rs l ll l 4

Prepare to collect data on the Xs also !

 The Measure Phase - Step 3

3. EVALUATE MEASUREMENT SYSTEM:

Measurement system may

introduce variation into data

Actual process variation +

measurement variation =
data

Identify and remove

contribution to variation from
CAUTION: Objects in mirror
measurement system are closer than they appear

Ensure reliable data

MSE, Gage R&R, Test – Re-
test, Kappa Method, Intra-
Class Correlation
 The Measure Phase - Summary

A data collection plan is done in the Measure phase. It sets the

expectations for the project. This phase is owned by the Project
Leader. The three steps of the Measure phase are:

1. Identify CTQ characteristic

2. Define Performance Standards
3. Evaluate Measurement System

The list of tools available for the Measure phase are:

Brainstorming, PMAP, FMEA, MSE, GR&R, C&E

Diagram or Fishbone, Quality Function
Deployment or QFD, Prioritization Matrix,

Learn more about the PMAP, FMEA and MSE in the Six Sigma
Green Belt Training.
 The Analyze Phase - Step 1

4. ESTABLISH PROCESS CAPABILITY

•What are the chances of your process creating defects?

•Baseline the current process:
•Measure variation in current process output
•Evaluate against Performance Standards

•Understand variation in your data with the help of:

Histogram
Box and Whisker plot
Dot plot
Standard Deviation
Variance
Sum of Squares
 The 7 Basic Tools - 3

HISTOGRAM

The Histogram is a graphical data summary tool which groups

observed data into pre-defined bins in order to analyze the data
values and distribution.

Target time Delivery time Target time Delivery time Target time Delivery time
hrs hrs hrs hrs hrs hrs
12:30 12:18 13:00 12:38 13:30 13:45
12:30 12:26 13:00 13:09 13:30 13:21
13:30 13:34 13:00 12:49 12:00 12:17
13:30 13:42 13:00 13:05 12:00 11:58
13:00 13:07 13:30 13:31 12:00 12:17
13:00 13:06 12:00 12:04 12:00 11:46
13:30 13:23 12:00 12:08 12:00 11:53
13:30 13:41 12:00 12:10 12:30 12:33
12:30 12:26 13:00 13:18 12:30 12:30
12:30 12:37 13:00 13:01 13:30 13:28
 The 7 Basic Tools - 3

CREATING A HISTOGRAM:

Using the concept of the late and early deliveries, take the target
time as the reference, and find the number of minutes by which
each delivery is late or early.

1. Subtract Target time for each

data point from the Delivery time
2. Define 5 predetermined bins
(class intervals) of size equal to
10 minutes, from -25 to 25 on a
horizontal line
3. Place each data point vertically
in a bin according to its value
4. Draw a bar equal to the height
-25 -15 -5 5 15 25
of stacked up points
 The Analyze Phase - Step 1
m

Dabbawala has an
NUMBER OF DATA POINTS

average delivery time (m)

2 minutes late and a
s standard deviation (s) of
10 minutes

45 30 15 0 15 30 45
EARLY DELIVERY (MINUTES) LATE DELIVERY

Measure the process output

 The Analyze Phase - Step 1
Customer tolerance
Z= Process standard deviation
m
LSL USL

30 minutes
Z= 10 minutes
s Z=3

45 30 15 0 15 30 45
EARLY DELIVERY (MINUTES) LATE DELIVERY

Measure the Process Output

 The Analyze Phase - Step 1

Defects per
Process Million It is cost
Capability Opportunities effective to

2 308,537
Inspect in
Quality
3 66,807

4 6,210 Manufacture in
Quality

5 233
Design in
Quality
6 3.4

Higher Z implies lower defects

Getting the Competitive Edge

Sweet Fruit
Design for Processability

5 s Wall, Improve Designs

Bulk of Fruit
Process Characterization
and Optimization

4 s Wall, Improve Processes

Low Hanging Fruit

Seven Basic Tools

3 s Wall, Beat Up Suppliers

Ground Fruit
Logic and Intuition

Mikel Harry, 1994

 Industry Benchmarks

Do you know the Sigma capabilities of the following processes?

Sigma capability, Z
U.S. Manufacturing industry average 4.0

Japanese manufacturing industry average 5.5

Flight fatality in airline industry 6.4

Airline Baggage handling 3.2

Doctor prescription writing 2.8

Tax advice by Internal Revenue Service in U.S. 2.5

Six Sigma is a Metric

 The Analyze Phase - Step 2

5. DEFINE PERFORMANCE OBJECTIVES

Process Off Target Excessive Variation in Process
T a rg e t T a rg e t

LSL USL LSL USL

Center Reduce
Target
Process Spread

Hypothesis testing
LSL USL

Understand your Problem


Six Sigma is a
A. Statistical Quality Tool
B. Business Philosophy
C. U.S. Management style
The goal of Six Sigma is to
A. Reduce defects to 3.4 per million
B. Improve products
C. Reduce variation
In the Pizza Delivery Service example,
what is the CTQ?
A. Lunch
B. Time
C. Delivery
If a process is Six Sigma (Z=6), it implies
A. Process is 99.99% good
B. Products are 99.99% defect free
C. There are only 3.4 defects in a million
opportunities
Quiz - Characterize
What is the Y?
A. Measurable Process Output
B. Voice of the Customer
C. Process Input
Who gives the USL and LSL?
A. Management
B. Customer
C. Derived from the process data
In the example, the Voice of the
Customer is characterized by
A. Delivery time
B. No. of deliveries made
C. Tolerance around the Target
In the example, the delivery service is
characterized by
A. Mean delivery time
B. Tolerance around the Target
C. Mean & variation of the delivery time
 The Analyze Phase - Step 3

6. IDENTIFY SOURCES OF VARIATION

To find root causes or Xs

Fishbone or C&E Diagram (Ishikawa)

PMAP
FMEA
QFD

Fishbone (Ishikawa) is another of the 7 basic tools. It is also known

as the Cause & Effect Diagram. It is a hierarchy of causes that starts
with the primary cause and then steps several layers in detail to drive
towards possible root causes.
 The 7 Basic Tools - 4
FISHBONE
MACHINE MOTHER NATURE MATERIALS
Too much traffic Sacks
Run out of storage
too small
Unreliable bikes Weather space on vehicles
Bus service Large items
unreliable in difficult to carry Too few delivery
No money for
peak hours in bus /bikes persons
repairs
Parking space Too many Too many orders
Delivery persons own junk per person
problem sacks
Delivery
Delivery person Don’t know Cant locate Time
does not show up routes employees homes
High turnover Poor handling of large orders
Not on std routes
No training Too few
Delivery person gets lost
delivery
Did not Poor persons
No understand dispatching Uneven distribution
teamwork labels of delivery loads
Get wrong
information Did not
understand METHODS
MAN MEASUREMENT labels

Develop a list of Xs that possibly affect Y

 The Improve Phase - Step 1

7. SCREEN POTENTIAL CAUSES

To find the Vital Few Xs and separate it from the Trivial Many
Pareto
ANOVA (Analysis of Variance)
Regression
Chi-Square tests

Systematic data generation (if historical data is not sufficient)

Design of Experiments (DOE)

Statistical Analysis to identify Vital Few Xs

 The 7 Basic Tools -5

PARETO
This is also called the Pareto Principle or the 80/20 rule and is used
to identify the Vital Few Xs.

Others

Location
Order Size
Parking

Traffic

Label

Cut-off level to be decided by team consensus based on

Process knowledge
Resource availability
 The Improve Phase - Step 2

8. DISCOVER CAUSAL RELATIONSHIPS

To find out effect of Xs on the Y

Regression
Scatter Diagram X2
X1
 The 7 Basic Tools - 6
SCATTER DIAGRAM
A Scatter Diagram is a graph that shows the relationship between
two numerical variables, X and Y

DELIVERY TIME SPAN

It is used to look for a cause
and effect relationship
between the two Numerical
variables.

NO. OF PIZZAS / DELIVERY PERSON

In this example, the Scatter Diagram shows that the Delivery time is
less if the number of lunches per delivery person is less.
 The Improve Phase - Step 3

9. ESTABLISH OPERATING TOLERANCES

y  f x 
USL
DELIVERY TIME

LSL

x
xL xT xU
NO. OF PIZZAS PER DELIVERY PERSON
 The Control Phase - Step 1

10. VALIDATE MEASUREMENT SYSTEM ON X

Ensure noise from LSL USL

measurement system
on X is small sprocess
compared to process
variation

s Measure
MSE, GR&R smeasurement
Test - Retest,
Kappa Method,
Intra Class Correlation
Tolerance
 The Control Phase - Step 2

11. ESTABLISH NEW PROCESS CAPABILITY

LSL USL

Z = 4.5

45 30 15 0 15 30 45
EARLY DELIVERY (MINUTES) LATE DELIVERY
 The Control Phase - Step 3

12. IMPLEMENT PROCESS CONTROL

A good Control Plan should be put in place to ensure sustained

improvement. This may include:

1. Use of Control Charts to monitor Xs

2. Documentation of Control Plan
3. Update of process documents such as PFMEA
4. Error Proofing
5. Standardization
 The 7 Basic Tools - 7

RUN CHART

A Run Chart is a time series plot of data that allows a team to study
observed data for trends or patterns over a specific period of time. It
captures instances when the process is changing more than
statistically expected

30
No. lunches/person

20

10

0
 The DMAIC Steps and Deliverables
STEP DELIVERABLES
A. Identify project CTQs Identify customers, customer CTQs and Business Case
B. Develop Team Charter Problem statement, Project Scope,Team, Milestones
C. Define Project Scope High Level Process Map connecting customers to process

1. Select CTQ characteristic Identify measurable characteristic of CTQ (Y)

2. Define performance standards Confirm specification limits (requirements) for Y
3. Evaluate Measurement System Ensure measurement system is capable

4. Establish process capability Baseline the current process

5. Define performance objectives Understand statistical objective - reduce variation or shift means?
6. Identify sources of variation List significant causes (Xs) or factors

7. Screen potential causes Determine vital few Xs, which will be controlled
8.Discover variable relationship Find causal relationship and optimal solution
9. Establish operating tolerances Validate the relation and determine specs on Xs

10. Measurement System Evaluation on Xs Ensure X measurement is capable

11. Establish process capability Establish improved capability
12. Implement process control Document control plan

It’s a common sense approach

 Attributes of a Six Sigma GB project

1. Customer Focused: A Six Sigma GB project should address a

customer CTQ

2. Data Driven: In a Six Sigma GB project, decisions should be

made using data analysis and not on gut feelings or intuitions

3. Variation reduction: Six Sigma GB projects address the issue

of variation in process outputs and is aimed at reducing variation

Characterize part consists of
A. Define and Measure
B. Define, Measure and Analyze
C. Define, Measure and part of Analyze
Quiz
The Pareto principle is
A. Also called the 80/20 rule
B. Used to identify the Vital Few
C. Useful in the Analyze phase

Optimize part consists of Which of the following tools is used to

A. Analyze, Improve and Control generate data?
B. Improve and Control A. Analysis of Variance (ANOVA)
C. part of Analyze, Improve and Control B. DOE
C. Regression
In Six Sigma, Xs are
A. Unknown variables Which of the following cannot identify the
B. Excess variation Vital Few Xs?
C. Process Inputs A. Analysis of Variance (ANOVA)
B. DOE
Which of the following is used to list Xs? C. Regression
A. DOE
B. Fishbone A Six Sigma GB project has to
C. Pareto A. Finish in 3 months
B. Show dollar savings
C. Address the variation issue
 SECTION B

SIX SIGMA
ROLES & RESPONSIBILITIES
 Roles and Responsibilities
Executive Champion
Responsible for providing resources to BB/GBs
Help in team selection
Track progress of project
Generally is supervisor of BB/GB. May help in selection of the project
Sponsor
Call for need of project (Project identification)
Beneficiary of the project
Validate current status and status after completion of project
Allocates resources for the project
Ensure compliance to controls established as a result of the project
Project Leader (Black Belt / Green Belt)
Lead the project
Ask for resources required
Call meeting of stakeholders and seek help from EC when stakeholders are
not responding
Ensure team involvement and sponsor’s buy in for solution
Publish weekly progress report & call for help when required
 Roles and Responsibilities

Deployment Champion
Mentor and guide BBs/GBs
Provide technical help when BBs/GBs reach a roadblock
Publish Summary report of all projects
Raise alarm when things are not moving
MBB
Train BB/GB
Assess the skills of BB/GB
Certification of GBs and BBs after completion of projects
Deployment of Global policies and procedures
CFO/Finance
Assess the saving potential at start of project
Validate savings against the targets achieved at completion of project
 Roles and Responsibilities

Yellow Belt (YB): Should understand the DMAIC process and

use the Six Sigma philosophy (Stakeholder involvement).

Green Belt (GB): Should be able to use DMAIC process with

basic Six Sigma tools for project execution. Lead Six Sigma
projects in their functions.

Black Belt (BB): Should be able to use advanced tools in

projects and teach Green Belt level techniques / tools.
Identifies Six Sigma projects and leads project teams.
Mentors Green Belts. Process experts in their functions.

Master Black Belt (MBB): Should be able to train Black

Belts and Green Belts. Mentors Black Belt projects. Drivers
of cultural change. Process experts in any function. Can
develop new tools.
 The GB Certification Map
Basic statistics training (not mandatory for Certification)
Six Sigma GB Training
Project Application
Achieved a
Six Sigma

score of 5 or Technical
greater in all Certification A
tool sets? Yes
10 weeks (3 - 5 day training) Based on demonstration of the Six
Sigma tools.
3 months avg. • Occurs during project reviews and
No on-site visits
• Instructor or MBB is responsible
Improve Tools and for technical certification.
Application to Project • Evaluation form sent to GB and
Champion after each session.

Project Completed
and Final Report
A Submitted and Six Sigma Green Belt and
Approved by Yes
Sponsor and I & CIM Associate Certification
Finance

No

Complete Project and

Submit Final Report
 Summary

• Knowing Customer CTQs

• Data driven improvements
• Focus on the (Xs) of the process
• Application of statistical tools to business problems
• Understanding process capability and its impact on quality
• An environment that demands only the highest performance
standards.

Success will be defined when our customers notice !