6 Six Sigma Basics GEOP 4316

Outline Basics Principles of improvement DMAIC, DMADV, DFSS Six Sigma people Lean Sigma

Basics of Six Sigma Focus on ROI Top management commitment and accountability Customer focus (VOC) Project focus Extensive use of tools and technology The objective is to ensure high quality and reliability of products, services, and transactions Applicable to any type of organization

Basics Term CTXs = Critical to X. System variables/ metrics For example: CTQ = Critical to Quality. Objective is to be as close as possible in every opportunity to the target of a CTX The existence of variation in systems is a fundamental assumption of 6s Target cannot be achieved every time for many reasons.

Basics CTX follow the traditional bell curve. CTX have limits of performance: Upper Spec Limit and Lower Spec Limit. Some are one sided specifications Delivery time only has an upper spec 6s is 3.4 defects (not within specs) per million opportunities.

Principles for improvement System behavior dictated by: y = f(x) + e x = the inputs, the independent variable y = the output, the dependent variable f(x) = The transformation function e = The uncontrollable error

Principles of improvement Changes in x will have an effect on y Principle of Cause and Effect Percentage of humidity in the plastic material will determine the break point in the part x = % humidity; y = break point The principle of determinism = change in x will result in a change in y. Without this, there is no control Inputs Output Inputs Output Process Process

Principles of improvement Variation Multiple causes: workers, materials, tools, temperature Cumulative: different factors get combined to increase difference in the results. Common versus special causes Common: Inherent to the system/process, for example due to equipment limitations Special: caused by something special, for example changes in voltage, changes in operator training Short term versus long term effect Address special variation first: control for equipment malfunctions, train all personnel for consistent performance, …

Principles of improvement Measures are the basis of improvement Measurement provides benchmarks and understanding Sometimes it is difficult to come with measures for perception type criteria. But without it, hard to understand the effect of changing x’s in the y. Customer satisfaction surveys

Principles of improvement A vital few variables determine the quality of a given outcome. Pareto Principle (80-20) is well known, but often ignored by the most intelligent people Perfectionists suffer from this. Trying to fix everything … The key is using a structured process to identify the critical x’s By understanding how your x’s affect your y, changes can be implemented to improve your y

DMAIC Developed by General Electric as a means of focusing effort on quality using a methodological approach Overall focus of the methodology is to understand and achieve what the customer wants Problem Solving Process Define the project goals and customer (internal and external) deliverables Measure the process to determine current performance Analyze and determine the root cause(s) of the defects Improve the process by eliminating defects Control future process performance

DMAIC, DMADV, DFSS The process improvement methodologies associated with Six Sigma DMAIC: Define, Measure, Analyze, Improve, Control DMADV: Define, Measure, Analyze, Design, Verify DFSS: Design for Six Sigma A structured process to understand and minimize/prevent variation More information in additional material sets

Six Sigma People Green Belts There are also white belts and yellow belts: related to the “level of knowledge” Green Belts Regular workers that perform six sigma related activities (are part of a six sigma project) on a part-time basis Participate on Black Belt project teams in the context of their existing responsibilities. Learn the Six Sigma methodology as it applies to a particular project. Continue to learn and practice the Six Sigma methods and tools after project completion. http://www.qmsacademy.com/product/six-sigma-green-belt-class/

Black Belts Six Sigma People Lead and direct teams in project execution. Report progress to appropriate leadership levels. Solicit help from Champions when needed. Determine the most effective tools to apply. Prepare a detailed project assessment during the Measurement phase. Get input from knowledgeable operators, first-line supervisors, and team leaders. Manage project risk. Ensure that the results are sustained. http://www.e-learningcenter.com/courses/six-sigma-black-belt-certification-ssbb/

Six Sigma People Master Black Belts Understand the big business picture. Partner with the Champions. Develop and deliver training to various levels of the organization. Assist in the identification of projects. Coach and support Black Belts in project work. Participate in project reviews to offer technical expertise. Help train and certify Black Belts. Take on leadership of major programs. Facilitate sharing of best practices across the corporation.

Six Sigma People Champions Create the vision of Six Sigma for the company. Define the path to implement Six Sigma across the organization. Develop a comprehensive training plan Carefully select high-impact projects. Support development of “statistical thinking”. Realize the gains by supporting Six Sigma projects through allocation of resources and removal of roadblocks. Make sure that project opportunities are acted upon by the organization’s leadership and the finance department. Recognize people for their efforts

Lean Sigma Lean techniques eliminate much of the noise from a process using a variety of simple tools Six Sigma offers a sequential problem-solving procedure: DMAIC Statistical tools so that potential causes are not overlooked, and viable solutions to chronic problems can be discovered Lean Sigma is the combination of both CI methodologies in order to maximize profitability

Lean Sigma LEAN SIX SIGMA Goal Create flow and eliminate waste   Goal Create flow and eliminate waste Improve process capability and eliminate variation Application Primarily manufacturing processes All business processes Approach Teaching principles and "cookbook style" implementation based on best practice Teaching a generic problem-solving approach relying on statistics Project Selection Driven by Value Stream Map Various approaches Length Of Projects 1 week to 3 months 2 to 6 months Infrastructure Mostly ad-hoc, no or little formal training Dedicated resources, broad-based training Training Learning by doing

Lean Sigma An integrated improvement strategy has to take into consideration the differences and use them effectively: Lean projects are very tangible, visible, and can oftentimes be completed within a few days. Six Sigma projects typically require a few months. An integrated approach should emphasize Lean projects during the initial phase of the deployment to increase momentum. Lean emphasizes broad principles with practical recommendations to achieve improvements, inadequate to solve complicated problems that require advanced analysis. Six Sigma needs to be introduced in the first year to ensure that the improvement roadmap includes a generic problem-solving approach.