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INTRODUCTION

Sigma quality level is used to describe the output of a process.


A Six Sigma quality level is said to equate to 3.4 defects per
million opportunities.

Six Sigma stands for six standard deviations from the mean.
The Six Sigma methodology provides the techniques & tools to
improve the capability & reduce the defects in any process. It is
a statistical term that measures how far a given process
deviates from perfection.

The idea behind Six Sigma is to measure how many “defects”


you have in a process, and then systematically figure out how to
eliminate them & get as close to “zero defects” as possible
It focuses on improving quality(i.e., reducing waste) by helping
organizations produce products & services that are better,
faster & cheaper.
Unlike cost-cutting programmes that reduce value and quality,
Six Sigma identifies & eliminates costs which provide no value
to customers.

The pioneer of Six Sigma, Motorola, initiated their quality


programme in 1987.
SIX SIGMA VERSUS THREE
SIGMA
In contrast to Six Sigma quality, the Three Sigma quality standard
of 99.73% translates to 2,700 parts per million(PPM) failures,
even if we assume zero drift.
For example:
 If we had a simple two-step process, where step 1 had a yield of
80% & step 2 had a yield of 90%. Then the overall yield would be
0.8 X 0.9 = 0.72 = 72%, which is less than the yield of the step
with the lowest yield.

 At 3σ level of error, there would be 1.5 misspelled words per


page per book. While at 6σ level of error, there would just be 1
misspelled word per small library.

Six σ is about 20,000 times better than Three σ.


SHIFTS AND ITS ROLE
Six Sigma promotes the idea that the distribution of output for a
stable, normally distributed process should be designed to take
up no more than half of the tolerance allowed by the specification
limits.

It is assumed that the process variation may increase over time,


due to small variations in process inputs, the way the process is
monitored, changing conditions etc.

The increase in process variation has been shown, in practice, to


be equivalent to an average shift of 1.5 standard deviations in
the mean of the originally designed process.
The allowed range of variation of the variable is specified as the
tolerance range(specification width) & is set by the lower
specification limit(LSL) and the upper specification limit(USL).

UNSHIFTED PROCESS
If the LSL & USL are placed symmetrically around the mean
value and the mean of a process variable equals the (desired)
nominal/mean value, then the process is called a centered or
unshifted process.

 UNSHIFTED PROCESS
In a real process environment, it is difficult to control the
process in a manner that the mean exactly hits the nominal
target mean. Therefore, Motorola's Six Sigma quality level allows
an off-centering of the process up to 1.5 Sigma.
 THREE SIGMA PROCESS WITH A 0.0 SHIFT IN THE MEAN

LSL USL

USL = µ +

LSL = µ - 3σ

-3σ -2σ -1σ 0 1σ 2σ 3σ


Nominal
 SIX SIGMA PROCESS WITH A 0.0 SHIFT IN THE MEAN

LS USL
L

USL = µ + 6σ

LSL = µ - 6σ

-6σ -5σ -4σ -3σ -2σ -1σ 0 1σ 2σ 3σ 4σ 5σ 6σ


Nominal
 Number of DPMO for Specified Off-centering
Off-centering 3 3.5 4 4.5 5 5.5 6
Sigma Sigma Sigma Sigma Sigma Sigma Sigma

0 2,700 465 63 6.8 0.57 0.034 0.002

0.25 Sigma 3,577 666 99 12.8 1.02 0.1056 0.006


3
0.5 Sigma 6,440 1,382 236 32 3.4 0.71 0.019

0.75 Sigma 12,288 3,011 665 88.5 11 0.02 0.1

1.0 Sigma 22,832 6,433 1,350 233 32 3.4 0.39

1.25 Sigma 40,111 12,20 3,000 577 88.5 10.7 1


1
1.5 Sigma 66,803 22,80 6,200 1,350 233 32 3.4
0
1.75 Sigma 105,60 40,10 12,20 3,000 577 88.4 11
1 0 0
2.0 Sigma 158,70 66,80 22,80 6,200 1,300 233 32
0 0 0
DEFECTS PER MILLION
OPPORTUNITIES (DPMO)
A defect is defined as any part of a product or service that does
not meet customer specifications or causes customer
dissatisfaction.

Opportunities are the total number of chances per unit to exhibit a


defect. Each opportunity must be independent of other
opportunities and must be measurable & observable.

Defects per unit (DPU) are defined as the number of defects in a


given unit of product or process.
DPMO = DPU X 1,000,000
Opportunity for Error
Example :
A purchase order has 50 opportunities for errors. The operator who
enters data to prepare the purchase order makes one defect on an
average. Calculate DPMO.

DPMO = Total Number of Defects Detected X 1,000,000


Number of Units Produced X Opportunities of Defects per
Unit
(1 X 1,000,000)
50
= 20,000

Which corresponds to a sigma level between 3.5 & 3.6


SIX SIGMA STRATEGY
Sigma Level Precision
Percentage Although 99.73% sounded
very good, it slowly dawned on
1 68.27 companies that there was a
2 95.45 tremendous difference
3 99.73 between 99.73% & 99.9997%.
6 99.9997
Six Sigma is a data-driven structured problem-solving
methodology for solving chronic issues facing a business. The
methodology has two elements, voice of the customer & voice of
the process. It is the means of reducing the gap between the two
voices & ensuring they both match.
A gauge of quality & efficiency, Six Sigma is also a measure of
excellence. A true Six Sigma organization produces not only
excellent products but also maintains highly efficient production
& administrative systems.
IMPLEMENTING SIX SIGMA
The two most common approaches are:
1. Define, Measure, Analyse, Improve & Control (DMAIC)
2. Define, Measure, Analyse, Design & Verify (DMADV)
Both the processes have commonalities as well as differences.

Both methodologies use facts & statistical tools for finding


solutions to quality related problems, with the aim of decreasing
the number of defects to 3.4 for one million opportunities.

The contrast shows that DMADV comes into picture when the
product is in the initial stages & requires a maturing process to
fulfill the desires of the customer. DMAIC, on the other hand, is
useful when there is a service or commodity already established
but not rising to customer demands.
DMAIC
DMAIC refers to a data-driven improvement cycle used
for improving, optimizing and stabilizing business
processes and designs. The DMAIC improvement cycle is
the core process used to drive Six Sigma projects.
DMAIC is not exclusive to Six Sigma and can be used as
the framework for other improvement applications.
DMAIC is an abbreviation of the five improvement steps:
• Define
• Measure
• Analyze
• Improve and
• Control.
All of the DMAIC process steps are required and always
proceed in this order.
 DEFINE

Write down what you currently know. Seek to clarify facts,


set objectives and form the project team. Define the
following:
• A problem statement
• The customer(s)
• Critical to Quality (CTQs) — what are the critical process
outputs?
• The target process and other related business
processes
• Project targets
• Project boundaries
• A project charter is often created and agreed during the
Define step.
 MEASURE

This is the data collection step. The team decides on what


should be measured and how to measure it. This forms a data
collection plan. It is usual for teams to invest a lot of effort
into assessing the suitability of the proposed measurement
systems.
Good data is at the heart of the DMAIC process:
• Define the process critical Xs (inputs) and Ys (outputs).
• Define the measurement plan.
• Test the measurement system.
• Collect the data.
• A Measurement System Analysis (gauge study) is performed
at this stage.
 ANALYZE

The data collected in the Measure step is analyzed to


determine root causes of defects. Within Six Sigma, often
complex analysis tools are used. However, it is acceptable to
use basic tools if these are appropriate.
• Identify gaps between current performance and goal
performance.
• Identify how the process inputs (Xs) affect the process
outputs (Ys).
• List and prioritize potential opportunities to improve
• Identify sources of variation Data is analyzed to
understand the location or distribution of the data
collected. Histograms and box plots are often used to do
this.
 IMPROVE

Identify creative solutions to fix and prevent process problems.


Use brainstorming or techniques like Six Thinking Hats and
Random Word. Some projects can utilise complex analysis tools
like DOE (Design of Experiments), but try to focus on obvious
solutions if these are apparent.
• Create innovative solutions
• Focus on the simplest and easiest solutions
• Test solutions using FMEA
• Create a detailed implementation plan
• Deploy improvements
• Ishikawa diagrams can be used throughout all DMAIC stages.
Within the Improve step, we can use these to help brainstorm
potential solutions.
 CONTROL
Monitor the improvements to ensure
continued success. Create a control
plan. Update documents, business
process and training records as
required.
A Control chart can be useful during
the control stage.
(Control charts, also known
as Shewhart charts or process-
behavior charts, in statistical
process control are tools used to
determine if a manufacturing
or business process is in a state
of statistical control.)
 REPLICATE OR THANK THE TEAM

This is additional to the standard DMAIC steps but it


should be considered. Think about replicating the changes
in other processes. Share your new knowledge within and
outside of your organization. It is very important to always
provide positive moral support to team members.
DMADV
There are five major steps to the DMADV approach, and
component steps to each of those five. A key component
of the DMADV approach is an active ‘toll gate’ check sheet
review of the outcomes of each of the five steps before
proceeding onto the next one.
DMADV is an abbreviation of the five improvement steps:
• Define
• Measure
• Analyze
• Design
• Verify
 DEFINE

The function of the Define step is to establish a clear


definition of the project.

Other steps involved are:


• Identify purpose
• Identify and set measurable goals from the perspective of
both the organization and stakeholder
• Develop schedule and guidelines for review
• Identify and assess risks
 MEASURE

Measure focuses on customer (or student, client, or


stakeholder) requirements. Who are the different groups of
clients or stakeholders who may have different interests?
What exactly are these people looking for in the new product
or service? What is the relative importance or value of the
different com- ponents they would like to see in the new
product or service?

Other steps involved are:


• Define requirements
• Define market segments
• Identify critical parameters for design
• Design scorecards to evaluate design components that are
critical to quality (CTQ), reassess risks
• Assess production process capability and product capability
 ANALYZE

The analysis focuses on identification of the different


approaches that could be used to meet customer or
stakeholder requirements. Key functions within the
requirements are prioritized.
Other steps involved are:
• Develop design alternatives
• Identify the best combination of requirements to provide
value within constraints
• Develop conceptual designs
• Evaluate
• Select the best components and
• Develop the best available design
 DESIGN

• The Design stage includes both a high level and detailed


design for the selected alternative.
• Design elements are prioritized and a high level design is
developed.
• Following that, a more detailed model is prototyped.
• There is also an effort to identify where errors may occur and
address them through modifications.
 VERIFY

The final step involves


• Piloting the new product or service,
• Gathering data and evaluating performance,
• Satisfaction,
• or results.
• Based on the data, any final adjustments are made.
• A plan is developed and implemented to transition the
product or service to a routine operation for the
organization and ensure that the change is maintained.
• Finally, lessons learned in the DMADV process are
documented.
SIX SIGMA TRAINING
PROGRAMMES
Six Sigma involves changing major business value streams that
cut across organizational barriers, i.e. Six Sigma must be
implemented at all levels of an organization.

 CHAMPIONS AND SPONSORS


Six Sigma champions are high-level individuals who understand
Six Sigma and are committed to its success. Champions must be
proficient in four other areas – Business & operations interface,
Project selection, Pace mediation and Result implementation.

Sponsors are the owners of the processes and systems that help
initiate & coordinate Six Sigma improvement activities.
 MASTER BLACK BELT
The certified Master Black Belts are experts responsible for the
strategic deployment of Six Sigma within an organization. Their
main responsibilities include:

 Providing mentoring & support to Black Belts, Green Belts and


Six Sigma teams to use the improvement tools appropriate to a
specific problem.
 Helping to develop & deploy organizational metrics and
dashboards.
 Developing, maintaining and revising the Six Sigma curriculum,
delivering classroom training.
 Networking with other Master Black Belts.
 BLACK BELT
A Black Belt should exhibit team leadership, understand team
dynamics and assign responsibilities to team members. Black
Belts have a thorough understanding of all aspects of the DMAIC
model. They have basic knowledge of lean enterprise concepts,
are able to identify non-value-added elements & activities and use
specific tools.

 GREEN BELT
Six Sigma Green Belts are project leaders capable of forming &
facilitating Six Sigma teams and managing Six Sigma projects from
concept to completion. Green Belt training covers Project
management, Quality management tools, Quality control tools,
Problem solving and Descriptive data analysis. The Six Sigma
Green Belt operates in support of or under the supervision of a Six
Sigma Black Belt.
 YELLOW BELT
Six Sigma Yellow Belt is an introductory training in the
fundamentals of Six Sigma. Yellow Belt certification provides an
overall insight to the techniques of Six Sigma, its metrics, and
basic improvement methodologies. A Yellow Belt must know how
to integrate Six Sigma methodologies for the improvement of
production & transactional systems to meet customer
expectations. They participate as core team members or Subject
Matter Experts(SME) on projects.
 IMPLEMENTATION OF SIX SIGMA
The following is a step-by-step approach for implementing Six
Sigma.

Step 1
Successful performance improvement must begin with senior
leadership and availability of financial & managerial resources.

Step 2
Define the project scope & goals based on customer feedback &
needs. Set goals for the whole organization or for a specific level
of the organization that needs improvement.

Step 3
Analyse the system to identify defects & problems. Explore
possible solutions and assess their possible effect on the
organization.
Step 4
Improve the system by finding ways to do things faster, cheaper
and better. Use management & planning tools to put the
improvement projects into place. Test the improvement with
statistical data.

Step 5
Control the new process by modifying systems and measuring
processes to continue to achieve results. Use customer feedback
and statistical tools. Document methods to recognize and solve
future problems.

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