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Transcript of ©2004 Prentice-Hall S. Thomas Foster, Jr.
©2004 Prentice-Hall©2004 Prentice-Hall
S. Thomas Foster, Jr.S. Thomas Foster, Jr.Boise State UniversityBoise State University
PowerPointPowerPoint prepared byprepared byDave MageeDave Magee
University of KentuckyUniversity of KentuckyLexington Community CollegeLexington Community College
Chapter 14Chapter 14
Six-Sigma Management and Six-Sigma Management and ToolsTools
Slide 14-2Slide 14-2© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Chapter OverviewChapter OverviewSlide 1 of 2Slide 1 of 2
• What is Six Sigma?• Organizing Six Sigma• DMAIC Overview• Define Phase• Measure Phase• Analyze Phase• Improve Phase• Control Phase
Slide 14-3Slide 14-3© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Chapter OverviewChapter OverviewSlide 2 of 2Slide 2 of 2
• Taguchi Design of Experiments• Background of the Taguchi Method• The Taguchi Process• Design for Six Sigma• Lensing Six Sigma From A Contingency
Perspective
Slide 14-4Slide 14-4© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Differences of Six Sigma from Differences of Six Sigma from Traditional Continuous Traditional Continuous
ImprovementImprovement• Six Sigma represents a well thought out packaging
of quality tools and philosophies in an honest effort to provide rigor and repeatability to quality improvement efforts.
• Six Sigma is much more cost reduction-oriented than traditional continuous improvement.
• Six Sigma is organized around creating champions, black belts, green belts, and in some situations, yellow belts.
Slide 14-5Slide 14-5© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
What Is Six Sigma? What Is Six Sigma? Slide 1 of 4Slide 1 of 4
• Sigma stands for the Greek symbol σ that designates a standard deviation in statistics.
• Six refers to the number of standard deviations from a mean specifications should be.
• Began at Motorola in 1982 as an effort to reduce costs and improve quality.
• It now involves planning, organization, training, human resources planning, and pay-for-knowledge. It requires both organizational and individual cooperation to achieve a goal.
Slide 14-6Slide 14-6© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
What Is Six Sigma? What Is Six Sigma? Slide 2 of 4Slide 2 of 4
Six-Sigma Variation Figure 14.4
3-sigmaproducing someproduct out ofspecification
6-sigmaproducing almostno product out of
specification
σσ σ σ
Slide 14-7Slide 14-7© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
What Is Six Sigma? What Is Six Sigma? Slide 3 of 4Slide 3 of 4
Sigma Levels and ppm Defects
Sigma Level
1
2
3
4
5
6
Long-Term ppm* Defects
691,462
308,538
66,807
6,210
233
3.4
*ppm = parts-per-million
Slide 14-8Slide 14-8© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
What Is Six Sigma? What Is Six Sigma? Slide 4 of 4Slide 4 of 4
Six Sigma EffectivenessOutside specialists
(Less than 1%)
Six Sigma(Less than 90%)
Basic Tools of Quality(90%)
Slide 14-9Slide 14-9© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Organizing Six SigmaOrganizing Six SigmaSlide 1 of 5Slide 1 of 5
• Cost of training can run $10,000 to $16,000 for a single black belt
• Expected returns from projects can run into the $100’s of thousands
• Key Players in Six Sigma Efforts– Champion
– Master black belt
– Black belt
– Green belt
– Yellow belt
Slide 14-10Slide 14-10© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Organizing Six Sigma Organizing Six Sigma Slide 2 of 5Slide 2 of 5
• Champion– Job is to work with black belts and potential black belts
to identify possible projects.
– Provides continuing support for the project and validates the results at the end of the project.
– Would probably be the CEO in smaller companies and a senior VP in larger companies.
• Master Black Belt– Experienced black belts who serve as mentors and
trainers for new black belts.
– Brings training in-house and can reduce costs.
Slide 14-11Slide 14-11© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Organizing Six Sigma Organizing Six Sigma Slide 3 of 5Slide 3 of 5
ScarceResource
ScarceResource
Champion Decision Making Figure 14.3
VOBVOC VOE Financial
DataStrategicDirectionI D E A S
Blackbelt Projects
Champion
Slide 14-12Slide 14-12© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Organizing Six Sigma Organizing Six Sigma Slide 4 of 5Slide 4 of 5
• Black Belt– Key to Six Sigma
– Specially trained individuals who are committed full-time to completing cost reduction projects.
– Training usually lasts about 4 months.
– Each project lasts from 2 months to a year depending on the project scope.
– Individuals usually spend about two years as a black belt and are then moved into management jobs.
Slide 14-13Slide 14-13© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Organizing Six Sigma Organizing Six Sigma Slide 5 of 5Slide 5 of 5
• Green Belt– Trained in basic quality tools and work in teams to
improve quality.
– Assigned part-time to work on process and design improvement.
– In some cases, activities are the same as black belts.
– In other companies, green belts are involved in less critical projects.
• Yellow Belts– Some companies have employees who are familiarized
with improvement processes.
Slide 14-14Slide 14-14© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
DMAIC OverviewDMAIC OverviewSlide 1 of 2Slide 1 of 2
• DMAIC Process– Very similar to the PDCA cycle.
• DMAIC Phases– Define
– Measure
– Analyze
– Improve
– Control
Slide 14-15Slide 14-15© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
DMAIC OverviewDMAIC OverviewSlide 2 of 2Slide 2 of 2
Control ImproveAnalyze Measure Define
•Business Case•Project Desirability Matrix•Problem/Objective Statement•Primary/Secondary Metric•Change Management•VOC/QFD•SIPOC•Process Mapping
•Business Case•Project Desirability Matrix•Problem/Objective Statement•Primary/Secondary Metric•Change Management•VOC/QFD•SIPOC•Process Mapping
•XY Matrix•Process FMEA•Basic Statistics•Decision-Making•Non-Normal Data Graphical Analysis•Measurement System Analysis•Process Capability
•XY Matrix•Process FMEA•Basic Statistics•Decision-Making•Non-Normal Data Graphical Analysis•Measurement System Analysis•Process Capability
•Graphical Data Analysis•Multi-Vari Analysis•Inferential Statistics•Hypothesis Tests•Correlation •Regression •Process Modeling and Simulation
•Graphical Data Analysis•Multi-Vari Analysis•Inferential Statistics•Hypothesis Tests•Correlation •Regression •Process Modeling and Simulation
•Hypothesis Tests•Design of Experiments (DOE)•Advanced Regression•Process Modeling and Simulation•Pilot and Test
•Hypothesis Tests•Design of Experiments (DOE)•Advanced Regression•Process Modeling and Simulation•Pilot and Test
•Solution Selection•Solution Implementation•Control Plans•Control Charts•Hypothesis Tests•Process Capability Assessment•Best Practice Sharing/Translation
•Solution Selection•Solution Implementation•Control Plans•Control Charts•Hypothesis Tests•Process Capability Assessment•Best Practice Sharing/Translation
Overview of Six Sigma Process Figure 14.4
Slide 14-16Slide 14-16© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 1 of 7Slide 1 of 7
• Define Phase– Projects are identified and selected.
– Project selection is performed under the direction and with the participation of the champion
– Master black belts and black belts or green belts are also involved in selection.
• Phases of the Define Phase– Developing the business case.
– Project evaluation
– Pareto analysis
– Project definition
Slide 14-17Slide 14-17© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 2 of 7Slide 2 of 7
• Developing the Business Case includes:– Identifying a group of possible projects
– Writing the business case
– Stratifying the business case into problem statement and objective statement.
Slide 14-18Slide 14-18© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 3 of 7Slide 3 of 7
• The mnemonic device “RUMBA” is used to check the efficacy of a business case.– Realistic - Are the goals attainable, is the time line
feasible?
– Understandable - Do I understand the case?
– Measurable - Do we show the measures?
– Believable - That is a lot of money. Can it be done?
– Actionable - Can it be implemented?
• If the business case meets all of these requirements, it probably will be a good project.
Slide 14-19Slide 14-19© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 4 of 7Slide 4 of 7
• Project Evaluation– There are several methods for evaluating a project
including risk and return assessment.
• Risk and Return Assessment– Risk assessment evaluates a potential project across
several dimensions to establish an overall risk factor for the project which will be used to determine the attractiveness of the project.
– Project return assessment evaluates a potential project on 3 dimensions - growth, urgency, and impact.
– The risk and return scores are placed on a grid to determine the attractiveness of the potential project.
Slide 14-20Slide 14-20© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 5 of 7Slide 5 of 7
Project Risk and Return Figure 14.7
Stars
Low hangingfruit
?
Dogs
Risk Factor
Ret
urn
Fac
tor
00
10 20 30 40 50 60 70 80 90 100
10
20
30
40
50
60
70
80
90100
Slide 14-21Slide 14-21© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 6 of 7Slide 6 of 7
• Pareto Analysis– Part of the responsibility of the champion is to perform
a cost of poor quality (COPQ) analysis.
– This is based on the PAF categorization of costs discussed in Chapter 4.
– Performing a study of internal and external failure costs will help to determine where the most benefit can be found.
• Problem Definition– Project definition consists of a problem statement,
project goals/objectives, primary metrics, secondary metrics, and team member identification.
Slide 14-22Slide 14-22© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Define PhaseDefine PhaseSlide 7 of 7Slide 7 of 7
Problem Statement: In 2002, plant A lost $5.6 million on COPQ. Of this, almost $3.5 million occurred in operation 2. This has resulted in a loss of profitability for the firm.
Project Goals/Objective: Reduce COPQ for operation 2 by 30% by year-end.
Primary Metrics: - COPQ - Rework (% of sales)
- Scrap (% of sales)
Secondary Metrics: - Downtime for process- Plant sales- Labor productivity
Team Members: Pat ShannonPhillip FryLyman GallupJerry LaCava
Problem Statement: In 2002, plant A lost $5.6 million on COPQ. Of this, almost $3.5 million occurred in operation 2. This has resulted in a loss of profitability for the firm.
Project Goals/Objective: Reduce COPQ for operation 2 by 30% by year-end.
Primary Metrics: - COPQ - Rework (% of sales)
- Scrap (% of sales)
Secondary Metrics: - Downtime for process- Plant sales- Labor productivity
Team Members: Pat ShannonPhillip FryLyman GallupJerry LaCava
Problem Definition Figure 14.9
Slide 14-23Slide 14-23© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Measure PhaseMeasure PhaseSlide 1 of 4Slide 1 of 4
• Two Major Steps in the Measure Phase– Selecting process outcomes
– Verifying measurements
• Measure Phase Tools– Process Map
– XY Matrix
– FMEA
– Gage R&R
– Capability Assessment
Slide 14-24Slide 14-24© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Measure Phase Measure Phase Slide 2 of 4Slide 2 of 4
• Selecting Process Outcomes– To define process outcomes, you first need to
understand the process. This involves process mapping. A process map is a flowchart with responsibility. The goal with a process map is to identify non-value added activities.
– Two important measures that are monitored are defects per unit (DPU) and defects per million opportunities (DPMO).
– The XY matrix is used to identify inputs (X’s) and outputs (Y’s) from a project you have mapped and are desiring to pursue.
Slide 14-25Slide 14-25© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Measure Phase Measure Phase Slide 3 of 4Slide 3 of 4
• Verifying Measurements
– It is necessary to use gauges, calipers and other tools when measuring critical characteristics of processes.
– Measurement system analysis (MSA) is used to determine if measurements are consistent.
– Product and process capability analysis is another approach for verifying measurements.
– Gage Repeatability and Reproducibility Analysis (Gage R&R) is the most commonly used MSA.
Slide 14-26Slide 14-26© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Measure Phase Measure Phase Slide 4 of 4Slide 4 of 4
• Verifying Measurements (continued)– Reasons for problems in measurement
• The measurement gauges are faulty.
• Operators are using gauges improperly.
• Training in measurement procedures is lacking.
• The gauge is calibrated incorrectly.
– Statistical experiments using analysis of variance (ANOVA) are useful in performing Gage R&R.
– Two-way ANOVA is used to determine whether variation comes from the part being measured, differences in operator measurements, or from the measurement instrument.
Slide 14-27Slide 14-27© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Analyze PhaseAnalyze PhaseSlide 1 of 4Slide 1 of 4
• Analyze Phase– Involves gathering and analyzing data relative to a
particular Black belt project.
• Steps in the Analyze Phase– Define your performance objectives.
– Identify independent variables (X’s).
– Analyze sources of variability.
Slide 14-28Slide 14-28© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Analyze Phase Analyze Phase Slide 2 of 4Slide 2 of 4
• Defining Objectives– Attempting to determine what characteristics of the
process need to be changed to achieve improvement.
– Capability analysis is reviewed to determine where the processes are incapable and prioritized in order of importance.
Slide 14-29Slide 14-29© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Analyze Phase Analyze Phase Slide 3 of 4Slide 3 of 4
• Identifying X’s– This involves identifying independent variables where
data will be gathered.
– These variables significantly contribute to process or product variation.
– Primary tools used in identifying X’s• Process maps
• XY matrices
• Brainstorming
• FMEA
Slide 14-30Slide 14-30© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Analyze Phase Analyze Phase Slide 4 of 4Slide 4 of 4
• Analyzing Sources of Variation– The goal of this step is to use visual and statistical tools
to better understand the relationships between dependent and independent variables (X’s and Y’s) for use in future experimentation.
– Tools for Analyzing Sources of Variation• Histograms
• Box plots
• Scatter plots
• Regression analysis
• Hypothesis tests
Slide 14-31Slide 14-31© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Improve PhaseImprove Phase
• Improve Phase of the DMAIC Process – Involves off-line experimentation.
• Off-Line Experimentation– Involves studying the variables we have identified and
using analysis of variance to determine whether these independent variables significantly affect variation in our dependent variables.
– The Taguchi method is an important method for performing off-line experiments.
Slide 14-32Slide 14-32© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Control PhaseControl Phase
• Control Phase of the DMAIC Process – Involves managing the improved process using process
charts.
– Process charts were covered in Chapters 12 and 13
Slide 14-33Slide 14-33© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Taguchi Design of Experiments Taguchi Design of Experiments Slide 1 of 3Slide 1 of 3
• Taguchi Method– A standardized approach for determining the best
combination of inputs to produce a product or service.
– This is accomplished through design of experiments (DOE) for determining parameters.
– It provides a method for quantitatively identifying just the right ingredients that go together to make a high-quality product or service.
Slide 14-34Slide 14-34© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Taguchi Design of Experiments Taguchi Design of Experiments Slide 2 of 3Slide 2 of 3
• Robust Design– The Taguchi concept of robust design states that
products and services should be designed so that they are inherently defect free and insensitive to random variation.
– Taguchi’s approach for creating robust design is through a three-step method consisting of concept design, parameter design, and tolerance design.
• Concept design– The process of examining competing technologies to
produce a product.
– Includes process technology and process design choices.
Slide 14-35Slide 14-35© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Taguchi Design of Experiments Taguchi Design of Experiments Slide 3 of 3Slide 3 of 3
• Parameter design– The selection of control factors and the determination of
optimal levels for each of the factors.
– Control factors are those variables in a process that management can manipulate.
– Optimal levels are the targets or measurements for performance.
• Tolerance design– Deals with developing specification limits.
– Occurs after parameter design has been used to reduce variation and the resulting improvement has been insufficient.
Slide 14-36Slide 14-36© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Background of the Taguchi Background of the Taguchi MethodMethodSlide 1 of 6Slide 1 of 6
• History and Impact– The Taguchi method was first introduced by Dr.
Genichi Taguchi to AT&T Bell Laboratories in 1980.
– Thanks to its wide acceptance and utilization, the Taguchi method for improving quality is now commonly views as comparable in importance to statistical process control(SPC), the Deming approach, and the Japanese concept of total quality control.
Slide 14-37Slide 14-37© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Background of the Taguchi Background of the Taguchi MethodMethodSlide 2 of 6Slide 2 of 6
• Taguchi Definition of Quality– In Taguchi terms, ideal quality refers to a reference
point or target value for determining the quality level of a product or service.
– Ideal quality is delivered if a product or tangible service performs its intended function throughout its projected life under reasonable operating conditions without harmful side effects.
Slide 14-38Slide 14-38© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Background of the Taguchi Background of the Taguchi MethodMethodSlide 3 of 6Slide 3 of 6
• Quality Loss Function– If a measurement is taken of the critical product
characteristic and it is within the specification limits, the traditional conclusion was that it wasn’t a problem.
– However, if it is closer to being out of specification than to being at the target measurement, it might cause a problem. Taguchi calls this potential for problem a potential loss to society.
– Loss to society is the cost of a deviation from a target value.
Slide 14-39Slide 14-39© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Background of the Taguchi Background of the Taguchi MethodMethodSlide 4 of 6Slide 4 of 6
Classical QC-Step Function
Scrap Cost
LSL USL
Target
A
Figure 14.16
Q(c)
Slide 14-40Slide 14-40© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Background of the Taguchi Background of the Taguchi MethodMethodSlide 5 of 6Slide 5 of 6
• Quality Loss Function (continued)– To quantify loss to society, Taguchi used the concept of
a quadratic loss function.
– Any variation from the target of six (where T = 6) results in some loss to the company.
– The quality loss function focuses on the economic and societal penalties incurred as a result of purchasing a nonconforming product.
– Losses may include maintenance costs, failure costs, ill effects to the environment such as pollution, or excessive costs of operating the product.
Slide 14-41Slide 14-41© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Background of the Taguchi Background of the Taguchi MethodMethodSlide 6 of 6Slide 6 of 6
Taguchi Quadratic Loss Function Figure 14.17
Slide 14-42Slide 14-42© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
The Taguchi ProcessThe Taguchi ProcessSlide 1 of 6Slide 1 of 6
Taguchi Process Figure 14.18
Slide 14-43Slide 14-43© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
The Taguchi ProcessThe Taguchi ProcessSlide 2 of 6Slide 2 of 6
• Step 1: Problem Identification– The production problem must be identified. The
problem may have to do with the product process or the service itself.
• Step 2: Brainstorming Session– To identify variables that have a critical affect on
service or product quality takes place.
– The critical variables identified in the brainstorming sessions are referred to by Taguchi as factors.
– These may be identified as either control factors (variables that are under the control of management) or noise factors (uncontrollable variation).
Slide 14-44Slide 14-44© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
The Taguchi ProcessThe Taguchi ProcessSlide 3 of 6Slide 3 of 6
• Step 3: Experimental Design– Using the factors, factor levels, and objectives from the
brainstorming session, the experiment is designed.
– The Taguchi method uses off-line experimentation as a means of improving quality.
– This contrasts with traditional on-line (in process) quality measurement.
Slide 14-45Slide 14-45© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
The Taguchi ProcessThe Taguchi ProcessSlide 4 of 6Slide 4 of 6
• Step 4: Experimentation– There are different Taguchi analysis approaches that
use quantitatively rigorous techniques such as analysis of variance (ANOVA), signal-to-noise ratios (S/N), and response charts. These approaches, although not always theoretically sound, are useful in engineering related projects involving engineered specifications, torques, and tolerances.
Slide 14-46Slide 14-46© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
The Taguchi ProcessThe Taguchi ProcessSlide 5 of 6Slide 5 of 6
• Step 5: Analysis– Experimentation is used to identify the factors that
result in closest-to-target performance.
– If interactions between factors are evident, two alternatives are possible.
• Either ignore the interactions (there is inherent risk to this approach)
• Provided the cost is not prohibitive, run a full factorial experiment to detect interactions.
– The full factorial experiment tests all possible interactions among variables.
Slide 14-47Slide 14-47© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
The Taguchi ProcessThe Taguchi ProcessSlide 6 of 6Slide 6 of 6
• Step 6: Confirming Experiment– Once the optimal levels for each of the factors have
been determined, a confirming experiment with factors set at the optimal levels should be conducted to validate the earlier results.
– If earlier results are not validated, the experiment may have somehow been significantly flawed.
– If results vary from those expected, interactions also may be present, and the experiment should, therefore, be repeated.
Slide 14-48Slide 14-48© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Design for Six Sigma Design for Six Sigma Slide 1 of 2Slide 1 of 2
• Design for Six Sigma (DFSS)– Used in designing new products and services with high
performance as measured by customer-based critical to quality metrics.
– Requires DMADV methodology instead of DMAIC.• Design
• Measure
• Analyze
• Design
• Verify
– DMADV pertains to developing new processes and products, whereas DMAIC pertains to improving existing processes and products.
Slide 14-49Slide 14-49© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Design for Six Sigma Design for Six Sigma Slide 2 of 2Slide 2 of 2
• Design for Six Sigma (DFSS)– IDOV is another method.
• Identify
• Design
• Optimize
• Verify
– IDOV is focused on final engineering design optimization.
– These methods are customer focused, encompassing the entire business-to-market process and pertain to both services and products.
Slide 14-50Slide 14-50© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Lensing Six Sigma from a Lensing Six Sigma from a Contingency Perspective Contingency Perspective
Slide 1 of 2Slide 1 of 2
• Six Sigma– Very popular approach for improving the robustness of
designs and processes.
– Very technical and requires special expertise.
– Can be useful for companies that need to improve their cost and efficiency through quality efforts.
• Requirements for Six Sigma Success– Culture
– Leadership
– Commitment
– Availability of data for projects
Slide 14-51Slide 14-51© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
Lensing Six Sigma from a Lensing Six Sigma from a Contingency Perspective Contingency Perspective
Slide 2 of 2Slide 2 of 2
• Reasons for Six Sigma Failure– Lack of leadership by champions
– Misunderstood roles and responsibilities
– Lack of appropriate culture for improvement
– Resistance to change and the Six Sigma structure
– Faulty strategies for deployment
– Lack of data
Slide 14-52Slide 14-52© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
SummarySummarySlide 1 of 2Slide 1 of 2
• What is Six Sigma?• Organizing Six Sigma• DMAIC Overview• Define Phase• Measure Phase• Analyze Phase• Improve Phase• Control Phase
Slide 14-53Slide 14-53© 2004 Prentice-Hall© 2004 Prentice-HallManaging Quality: An Integrative Approach; 2nd EditionManaging Quality: An Integrative Approach; 2nd Edition
SummarySummarySlide 2 of 2Slide 2 of 2
• Taguchi Design of Experiments• Background of the Taguchi Method• The Taguchi Process• Design for Six Sigma• Lensing Six Sigma From A Contingency
Perspective