Overview

Module 1

Six Sigma

Helicopter View
What is Six Sigma

Data Driven
Decision Making

1. A process improvement methodology developed by Mikel Harry and

Richard Schroeder at Motorola in the early 1980's.

2. A defect rate of 3.4 per million opportunities (DPMO)

3. First Time right of 99.9997%

Six Sigma Concepts

1. Identify company’s biggest problems.

2. Assign the best people (Black Belts and/or Green
Belts)
3. Provide full resources and support
4. Guarantee un-interrupted focused time.

This results in FOCUS = Higher Probability of success

and higher quality of results…
Six Sigma learning curve
Role Attain Qualification
White Belt Anyone who attends a basic Six Sigma introductory
(WB) workshop

Yellow Belt A person who has undergone more detailed training in Six
Sigma and certain statistical tools, usually via a 2-3 day
(YB) workshop.

Green Belt Part-time Six Sigma Practitioners, who undergo a 4-6 weeks
(GB) of Six Sigma training and usually complete one project

Black Belt Fulltime employees engaged in Six Sigma deployment across

a company. Undergo in depth training in Six Sigma and have
(BB) to complete a Six Sigma project

Master Black Belt Black Belts who undergo advanced training in Six Sigma,
Lean and other statistical tools, require to complete at least
(MBB) 3 Six Sigma projects.
Six Sigma Phases

R RECOGNIZE PHASE: Identify the need to apply Six Sigma

D DEFINE PHASE: Define the Problem

M MEASURE PHASE: Identify all the variables.

A ANALYZE PHASE: Statistically identify the

DMAIC
critical variables.
Methodology
I IMPROVE PHASE: Optimize the processes.

C CONTROL PHASE: Sustain the improvements

R REALIZE PHASE: Financially validate results.

Y=f(x) Concept and cause and effect theorem

Y= f (x)

Dependant Variable Independent Variable

Process Output Process Input

Effects Causes

Symptoms Problem Causes

 Problem
FACTORS :(A , B , C , D , E , F , G , H , I , J , K , L , M , N ,O , P , Q , R , S , T , U , V , W , X , Y , Z
)

Define

Measure

Analyze

Improve

Control

The Best Solution

Six Sigma Competency model

Subconsciously Incompetent Consciously Competent

Consciously Incompetent Core Competency

 Six Sigma

The literature
Sigma a unit of measure

Upper
Lower Specification
Specification Limit
Limit
What is a distribution?

What are spec limits?

Example - Distribution
 Example - Distribution

Weight = 39 grams
 Example - Distribution

39

25 30 35 40 45 50 55
Example - Distribution

43

39 41 47

25 30 35 40 45 50 55 60
 Example - Distribution

43

39 41 47

20 25 30 35 40 45 50 55 60 65 70
 Example - Distribution

Lower Spec limit Upper Spec limit

43
39 41 47

20 25 30 35 40 45 50 55 60 65 70
 Example - Distribution

Lower Spec limit Upper Spec limit

Defects Defects

43
39 41 47

20 25 30 35 40 45 50 55 60 65 70
 Example - Distribution

Lower Spec limit Upper Spec limit

Defects Defects

43
39 41 47

20 25 30 35 40 45 50 55 60 65 70
 Example - Distribution

Lower Spec limit Upper Spec limit

Defects Defects

20 25 30 35 40 45 50 55 60 65 70
 Example - Distribution
Mean

Lower Spec limit Upper Spec limit

Defects Defects

20 25 30 35 40 45 50 55 60 65 70
What is a distribution?
1. The pattern of a data set when its been arranged in a symmetrical
manner from the mean
2. The common pattern of data surrounding the mean
3. The Date spread surrounding the mean

What are spec limits?

1. The tolerance of a certain measurement / expected numeric
2. The desired +/- Value that the mean can fluctuate in a
performance characteristic
What is  and 

1. The letter “σ” is the 18th letter in the Greek Alphabet

2. It is also the symbol for standard deviation
3. Sigma is also a measure of variation

- Mean
 - Standard Deviation
μ

σ
Sigma a unit of measure cont

Upper
Lower Specification
Specification μ Limit
Limit

σ σ

This is a 2 Sigma process

Sigma a unit of measure cont

Upper
Lower Specification
Specification μ Limit
Limit

σ σ σ σ σ σ

This is a 6 Sigma process

Sigma a unit of measure cont…,

Upper
Lower Specification
Specification μ Limit
Limit

Defects Defects

σ σ σ σ σ σ

This is a 6 Sigma process

Six Sigma an Aggressive Goal…

Defects per Million

Sigma Level Opportunities (%) Quality Level
(DPMO)
2 308,537 69.1463%

3 66,807 93.3193%

4 6,210 99.3790%

5 233 99.9767%

6 3.4 99.9997%
Gravity of 99.9% Quality
 1 hour of unsafe drinking water every month.

 2 long or short landings at every American airport each day.

 400 letters per hour which never arrive at their destination.

 500 incorrect surgical operations each week.

 3000 newborns accidentally falling from the hands of nurses or doctors every year.

 4000 incorrect drug prescriptions per year.

 22,000 checks deducted from the wrong bank account each year.

 32,000 missed heartbeats per person per year.

What is Six Sigma Quality?

 10 newborns accidentally falling from the hands of nurses or doctors each year.

 1 lost article of mail per hour.

 In practice a six sigma quality levels are difficult to achieve and may not make financial sense.

 Thus most companies use the Six Sigma methodology in to improve the quality level of processes.

 Processes that have achieved and can continue to maintain a “Six Sigma” quality level include the airline industry, certain medical processes, semiconductor industry and the “Mumbai-Tiffinwalas”.

 Generally for manufacturing companies the sigma level is between 2-4 sigma, and services 3-4 sigma.
Six Sigma Quality Philosophy?

Traditional Philosophy Taguchi Philosophy

Lower Specification Limit Upper Specification Limit Lower Specification Limit Upper Specification Limit

Goal Post Mentality Variation is Evil

Cost of poor Quality? – Iceberg
Traditional Quality
Costs
Tangible - Measurable

• More Setups

• Expediting

• Late Deliveries

• Improper Specifications
Additional Costs of
Poor Quality • Change Orders

Intangible – • Long Cycle time

Difficult or
Impossible to • Lost Customers
Measure