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# Six sigma

Introduction

expectatio
ns •Awareness with respect to
origin and history of Six
Sigma.

methodology

contents

## Six Sigma Intro 15 min

BPMS
DMAIC

Two Meanings of Sigma

σ
• The term “sigma” is used to designate the distribution or spread
about the mean (average) of any process or procedure.

## • For a process, the sigma capability (z-value) is a metric that

indicates how well that process is performing. The higher the sigma
capability, the better. Sigma capability measures the capability of
the process to produce defect-free outputs. A defect is anything that
results in customer dissatisfaction.

Origin of Six Sigma

Motorola
the company that invented Six Sigma

• The term “Six Sigma” was coined by Bill Smith, an engineer with
Motorola

## • Late 1970s - Motorola started experimenting with problem solving

through statistical analysis

## • 1987 - Motorola officially launched it’s Six Sigma program

The Growth of Six Sigma

GE
the company that perfected Six Sigma

## • 1998/99 - Green Belt exam certification became the criteria for

management promotions

## • 2002/03 - Green Belt certification became the criteria for promotion

to management roles

The Growth of Six Sigma

## Combination of change management & statistical

analysis

The Growth of Six Sigma

BPMS
System

The Need of BPMS

the process

The Methodology

## Map process MSA, DCP, Service

steps, indicators excellence
identify and monitors and process
input/ output excellence
measures
Identify
Define Process Develop
Map Process VOC and VOP Build PMS Improvement
Mission Dashboards
Opportunities

## Define Identify Visual

purpose of Critical to representatio
the process, Quality and n of
its goal and Critical to performance
its process
boundaries
The DMAIC
cycle
DMAIC
Six Sigma Improvement
Methodology

What is DMAIC ?

improvement

## • A quality tool with focus on change management

E = Q x A
Effectiveness Quality Acceptance
Improvement

The Approach

Practical
Problem

Statistical
Problem

Statistical
Solution

Practical
Solution

Methodology

Define

## Validate the practical problem by collecting data

M
Measure
Convert the practical problem to a statistical one,
A define statistical goal and identify potential statistical
Analyze solution

Improve

Control

Define

Define

Measure

## A Key team members / resources for the project

Analyze

I
Critical milestones and stakeholder review

D
Improve

C
Control Budget allocation

Measure

## D Ensure measurement system reliability

Define
- Is tool used to measure the output variable flawed ?
- Do all operators interpret the tool reading in the same
M way ?
Measure

## A Prepare data collection plan

Analyze - How many data points do you need to collect ?
- How many days do you need to collect data for ?
I - What is the sampling strategy ?
Improve - Who will collect data and how will data get stored ?

M
- What could the potential drivers of variation be ?

C
Control Collect data

Analyze

## D Understand statistical problem

Define

M
Measure Baseline current process capability

A
Analyze
Define statistical improvement goal
I
Improve

C
Control
A
Identify drivers of variation (significant factors)

Analyze – Identify Drivers of Variation
Root Cause Analysis (fish bone)

• A brainstorming tool that helps define and display major causes, sub
causes and root causes that influence a process

## • Visualize the potential relationship between causes which may be

creating problems or defects

Primary
Cause Secondary
Cause

Backbon Proble

A
e m

Root
Cause
Analyze – Identify Drivers of Variation
Control – Impact Matrix

• A visual tool that helps in separating the vital few from the trivial many

Control

## Vital Few Cost Ineffective

High Control – High
Low Control – High Impact
Impact
Impact

Cost Ineffective
High Control – Low Impact
Trivial Many
Low Control – Low ImpactA
Analyze – Identify Drivers of Variation
Pareto Chart

## • Pareto principle states that disproportionately large percentage of

defects are caused due to relatively fewer factors (generally, 80%
defects are caused by 20% factors)
35 100%
30
80%
25
20 60%
15 40%
10
20%
5

A
0 0%
L K A F B C G R D

## Frequency Cumulative Frequency

Analyze – Identify Drivers of Variation
Process Map Analysis

## • Visually highlights hand off points / working relationships between

people, processes and organizations

## Customer Process A Process B Vendor

A
Analyze – Identify Drivers of Variation
Hypothesis Testing

## • A statistical tool used to validate if two samples are different or

whether a sample belongs to a given population

## Homogeneity of One way ANOVA

Variance Moods Median

Chi-Square Regression
A
Improve

## D Map improved process

Define

M
Measure

Pilot solution
A
Analyze

I
Improve

C
Control
I
Identify operating tolerance on significant factors

Control

D
Ensure measurement system reliability for
Define significant factors
- Is tool used to measure the input / process variables flawed ?
- Do all operators interpret the tool reading in the same way ?
M
Measure
Improved process capability
A
Analyze

I
Improve Sustenance Plan

C
Control
- Statistical Process Control
- Mistake Proofing
- Control Plan
C
Control – Sustenance Plan
Control Plan

documented ?

## • What Statistical Process Control (SPC) tools will be used to monitor

the process performance ?

## • Who will review the performance of the output variable and

significant factors on closure of the project and how frequently ?

## • What is the corrective action or reaction plan if any of the factors

were to be out of control ?

C
Six Sigma Organization

Six Sigma - Three Dimensions
Customer Process A Process B Vendor

## Define Measur Analyze Improve Control

e

Driven
by
custom
er
needs
Process Map Analysis
LSL US
L
Methodology
Led by
Senior
Mgmt
••••••••••
Upper/Lower
specification
• •
••• •

•••••••
••••••
limits
Organization Tools

Regression

35 100%
30
80%
25
20 60%
15 40%
10
20%
5

Process variation 0 0%

Enabled by quality
L K A F B C G R D

team.
Pareto Chart

The Quality Team

## Master Black Belt - Thought Leadership

- Expert on Six Sigma
- Mentor Green and Black Belts

## - Backbone of Six Sigma Org

Black Belt Black Belt
- Full time resource
- Deployed to complex or
“high risk” projects

Green Belt
Green Belt
- Part time or full time
resource
Green Belt
- Deployed to less complex
projects in areas of functional
expertise