Session+7 (Six Sigma)

© Wallace J. Hopp, Mark L. Spearman, 1996, 2000

Polytechnic University – e-Poly MN7894 Production Science

2007 Week7_v01.ppt

Six Sigma

God does not play dice with the universe.

– Albert Einstein

Stop telling God what to do.

– Niels Bohr



What is Six Sigma?

Six Sigma is a rigorous and disciplined methodology that uses data and statistical analysis to measure and improve a company's operational performance by identifying and eliminating "defects" in manufacturing and service-related processes. Commonly defined as 3.4 defects per million opportunities,

2007 Week5_v01.ppt



What is Six Sigma?

Six Sigma can be understood/perceived at three levels:• Metric• Methodology• Philosophy

2007 Week7_v01.ppt



Six Sigma Metric

2007 Week7_v01.ppt

Six Sigma Focus: Reduce Variability of the Process



Six Sigma Process Methodology

DMAIC refers to a data-driven quality strategy for improving processes, and is an integral part of the company's Six Sigma Quality Initiative.

DMAIC is an acronym for five interconnected phases:.

2007 Week7_v01.ppt

Define

Measure

AnalyzeImprove

Control



Define

Define the Customer, their Critical to Quality (CTQ) issues, and the Core Business Process involved.

• Define who customers are, what their requirements are for products and services, and what their expectations are.

• Define project boundaries the stop and start of the process

• Define the process to be improved by mapping the process flow

2007 Week7_v01.ppt



Define Phase

Phase Steps:• Define Customers and

Requirements (CTQs) • Develop Problem Statement,

Goals and Benefits • Identify Champion, Process

Owner and Team • Define Resources• Evaluate Key Organizational

Support • Develop Project Plan and

Milestones• Develop High Level Process

Tools Used• Project Charter• Process Flowchart• SIPOC Diagram • Stakeholder Analysis • DMAIC Work Breakdown

Structure • CTQ Definitions • Voice of the Customer

Gathering

2007 Week7_v01.ppt



Measure

Measure the performance of the Core Business Process involved.

Develop a data collection plan for the process• Collect data from many sources to determine types of

defects and metrics • Compare to customer survey results to determine

shortfall

2007 Week7_v01.ppt



Measure Phase

Phase Steps:• Define Defect, Opportunity,

Unit and Metrics• Detailed Process Map of

Appropriate Areas• Develop Data Collection Plan• Validate the Measurement

System• Collect the Data• Begin Developing Y=f(x)

Relationship• Determine Process Capability

and Sigma Baseline

Tools Used• Process Flowchart• Data Collection Plan/Example• Benchmarking• Measurement System

Analysis/Gage R&R• Voice of the Customer

Gathering• Process Sigma Calculation and

SCV (c2 )

2007 Week7_v01.ppt



Analyze

• Analyze the data collected and process map to determine root causes of defects and opportunities for improvement.

• Identify gaps between current performance and goal performance

• Prioritize opportunities to improve Identify sources of variation

2007 Week7_v01.ppt



Analysis Phase

Phase Steps:• Define Performance

Objectives• Identify Value/Non-Value

Added Process Steps• Identify Sources of Variation• Determine Root Cause(s)• Determine Vital Few x's,

Y=f(x) Relationship

Tools Used• Pareto Chart• Cause and Effect/Fishbone

Diagram• 5 Whys• Process Map Review and

Analysis• Statistical Analysis• Queuing Analysis• Simulation Analysis• Inventory Modeling• Process Variability Analysis

2007 Week7_v01.ppt



Improve

• Improve the target process by designing creative solutions to fix and prevent problems.• Create innovate solutions using technology and

discipline • Develop and deploy implementation plan

2007 Week7_v01.ppt



Improve Phase

Phase Steps:• Perform Design of

Experiments• Develop Potential Solutions• Define Operating Tolerances of

Potential System• Assess Failure Modes of

Potential Solutions• Validate Potential

Improvement by Pilot Studies• Correct/Re-Evaluate Potential

Solution

Tools Used• Brainstorming• Mistake Proofing• Design of Experiments• Cost/benefit Analysis• Pugh Matrix• House of Quality• Failure Modes and Effects

Analysis (FMEA)• Simulation Software• Queuing Analysis

2007 Week7_v01.ppt



Control

• Control the improvements to keep the process on the new course. • Prevent reverting back to the "old way"

Require the development, documentation and implementation of an ongoing monitoring plan • Institutionalize the improvements through the

modification of systems and structures (staffing, training, incentives)

2007 Week7_v01.ppt



Define Phase

Phase Steps:• Define and Validate Monitoring

and Control System• Develop Standards and

Procedures• Implement Statistical Process

Control• Determine Process Capability• Develop Transfer Plan, Handoff to

Process Owner• Verify Benefits, Cost

Savings/Avoidance, Profit Growth• Close Project, Finalize

Documentation• Communicate to Business,

Celebrate

Tools Used• Process Sigma Calculation• Control Charts (Variable and

Attribute)• Cost Savings Calculations• Control Plan

2007 Week7_v01.ppt



Six Sigma Philosophy

• Reduce variation in your business and take customer-focused, data driven decisions

2007 Week7_v01.ppt



What Makes Six Sigma Work

• A New Type of Top Level Support• Problem Solving and Team Leading Super Stars• Training Like Never Before• New Metrics• Much Better Use of Teams • A New Level of Process Comparison • A New Corporate Attitude / Culture • A Closer Look at Old Metrics

2007 Week7_v01.ppt

Session+7 (Six Sigma)

Documents

Transcript of Session+7 (Six Sigma)