1. MOHAMAD SHARIF B ISHAK B050810346
Prepared by:
MOHAMAD SHARIF B ISHAK B
MOHD KHAIRUL SHAHRIL B MUSTAQ AHMAD B
KHAIRUN NAZIHAH BT KHALID B
FARIZA FUZIANA BT YACOB B

2. Outline What is Six Sigma History of Six Sigma Definition of Six Sigma
Key focus of Six Sigma
Statistical meaning of Six Sigma
DMAIC:
 Define phase
 Measure phase
 Analyze phase
 Improve phase
 Control phase
7) Benefit of applying Six Sigma
8) Challenges in implementing Six Sigma
9) Case study

3. What is Six Sigma
Six Sigma was develop by Motorola around 1985 and make famous by GE.
“Six Sigma is a commited management approach to quantifiably solve problems and optimize critical process”...ASQ
“implementing six sigma into your corporate cluture improves processes, maximize business performance and adds to your bottom line”...ASQ
“six sigma is a discilpined and data-driven approach for problem solving in any process.”
“a quality measure and improvement program developed by motorola that focuses on the control of a process to the point of 3.4 defects per million oppurtunity...”

4. What is Six Sigma “sigma”
Is a measurement scale upon which improvements can be gauged.
“six sigma”
Is an overall methodology that drives business improvement.

5. Statistical Quality Control
History of Six Sigma
Design for Six Sigma (DFSS)/ Six Sigma for Production Development (SSPD)
Six Sigma/ Quality Awards
Total Quality Control
Motorola’s Six Sigma Methodology
1950s s s s
Statistical Quality Control
ISO 9000/ Total Quality Management
Lean Manufacturing
Lean Six Sigma

6. Definition of Six Sigma
There are three different levels that Six Sigma can be defined and understood.
Metric
It can be defined as metric 3.4 Defects per Million Opportunities (DPMO). That allows taking Complexity of product or process into account.
Methodology
It could be described as structured problem-solving roadmap and tools. For Example: Define, Measure, Analyse, Improve, and Control (DMAIC) and Design for Six Sigma (DFSS) methodologies.
Philosophy
It can be used as philosophy in reducing variation in business and take customer-focused and data driven decisions.

7. Key focus of six sigma Every human activity has variability.
Every process has variability.
Variation means that a process does not produce consistent, predictable results over time.
Variation leads to defects, and defects lead to unhappy customers.
Minimizing variation is a key focus of six sigma.
Variation is devil.

8. Statistical Meaning of Six Sigma
Table 1: Six Sigma Process Capability, percentage of accuracy and competitive level (Schroeder,2008)
Defect per million opportunity
% Accuracy
Competitive Level 6
3.4
World Class 5
233 4
6,210
99.956
Industry Average 3
66,807
99.73 2
3,08,537
95.46
Non-Competitive 1
6,90,000
68.26

9. Define Phase Purposes Output Define Measure Analyze Improvement
Control
Purposes
Define the project’s purpose and scope and get background on the process and customer
Output
A clear statement of the intended improvement and how it is to be measured
A list of what is important to customer

10. Applicable Method and Tools
SIPOC
Project Charter
VOC

11. SIPOC
A SIPOC diagram is a tool that is used to gather a view of process information.
SIPOC stands for Suppliers, Inputs, Process, Outputs and Customers.
Benefits:
Remove ambiguity.
Immediate understanding of project boundaries.
Simple to understand by team.

12. Project Charter
A project charter is a statement of the scope, objectives and participants in a project.
Also known as a “Terms of References” or “Project Definition Report”
Benefits
Improved project management process
Help define and achieve business objectives
Create project monitoring and control.

13. VOC VOC stands for Voice of the Customers.
Customers - Any person or organization that receives a
product or service (output) from the
work activities (Process)
Types of “customers”:
External (individuals or organization)
Internal (colleagues – marketing, management, stockholders)
Regulatory ( government agency – OSHA, EPA)
Benefits – improve customer loyalty, ensure continuous business growth, improve product innovation.

14. Measure Phase Purposes Output Define Measure Analyze Improvement
Control
Purposes
To understand the process and its performance
Output
Baseline data on current process performance
A more focused problem statement

15. Applicable Statistical Method and Tools
Data collection ( What, How, Who, When, Where)
Sampling
Measurement System Analysis - Gage R&R (repeatability and reproducibility)
Variation (mode, mean, median, standard deviation & variance)
Process capability (voice of process-control limits, voice of customer – specification limits)

16. Applicable Statistical Method and ToolsF M E A

17. Applicable Statistical Method and Tools
Ishikawa Diagram

18. Statistical Process Control (SPC)

19. Pareto Analysis

20. Analyze Phase Analyze Define Measure Improvement Control Purpose
The third stage analyze serves as an outcome of the measure stage.
This stage will begin streamlining its focus on a distinct group of project issues and opportunities.
In other words, this stage allows the team to further target improvement opportunities by taking a closer look at the data.
Outcome/Output
The team should have a strong understanding of the factors impacting their project including:
Key process input variables ( the vital few Xs that impact the Y)
Sources of variation where the greatest degree of variation exists.

21. The team are able to do this by performing the following specific sequence of tasks:
Perform capability analysis:
this is a process for establishing the current performance level of the process being. This baseline capability will be used to verify process improvements through the improve and control phases.
Select analysis tools:
this step will help the team to look at the complete set of graphical analysis tools to determine how each tool may be used to reveal details about process and variation.
Apply graphical analysis tools:
this refers to the technique of applying a set of basic graphical analysis tools to data to produce a visual indication of performance.
Identify sources of variation:
this refers to the process of identifying the sources of variation in the process under study, using statistical techniques, so that significant variation is identified and eliminated.

22. Applicable Statistical Method and Tools
Tests for normality (Descriptive Statistics, Histograms): Correlation/Regression Analysis:
Analysis of Variances (ANOVA):
FMEA (Failure Mode and Effect Analysis):
Hypothesis testing methods:.
Cause & Effect Matrix:
Design of Experiments (DOE)
Control Chart
Quality Function Deployment (QFD)

23. Improvement Phase Define Measure Analyze Improvement Control Purpose
The fourth stage improves aims to generate idea, design, and pilot and implement improvement and validate the improvement.
Outcome/Output
The most important items in this stage are
the process of brainstorming,
the development of the process map,
review of the current FMEA, preliminary cost/benefit analysis,
a pilot of the recommended action and the preliminary implementation process.

24. The following steps should be taken at this stage:
Generate improvement alternatives. The emphasis here is to generate alternatives to be tested as product or process improvement.
The basic tools to be used here are brainstorming and DOE.
The process of basic tools:
Define improvement criteria by develop CTQ characteristic.
Generate possible improvements as the best potential that are evaluated based on the criteria matrix.
Evaluate improvements and make the best choice.

25. Applicable Statistical Method and Tools
Process Mapping
Process Capability Analysis (Cpk)
DOE (Design of Experiment)

26. Control Phase Purposes Output Define Measure Analyze Improvement
To ensure the improvement can be sustained
Communicate changes to relevant people
Keep monitoring output performance
to institutionalize process or product improvement and monitor on going performance
Output
understand performance expectation
what corrective actions should be executed if measurements drop below desired and anticipated levels

27. Applicable Statistical Method and Tools
Operating Flow Chart(s) with Control Points
Statistical Process Control (SPC) charts
Control Plans
Check Sheets

28. Operating Flow Chart(s) with Control Points
Statistical Process Control (SPC) charts

29. Control Plan
Check Sheet

30. In order to implement control effective there are several factors must be identified and addressed.
Mistake proofing:
is a way to detect and correct an error where it occurs and avoid passing the error to the next worker or next operation.
Appropriate and applicable charts (statistical process control):
A control is simply a run chart with upper and lower control limit lines drawn on either side of the process average
Reaction plan:
a reaction plan provides details on actions to be taken should control charts indicate the revises process is no longer in control.

31. Documentation Project documentation – workbook
What is document?
Project documentation – workbook
New SOPs, work instruction etc.
Reaction plan in order to control performance
Establish new visual control chart
Why document?
Best practice sharing – replicate similar solution to other process
To communicate and train people on new process
Act as a guide for the person who carry out the task
Everyone should have same understanding

32. Transparent to everyone so that quick action can be taken if any
Visual control
It is a visual display that is easy to understand and practical to update for everyone
Transparent to everyone so that quick action can be taken if any
Should be in color to make it easy to read

33. Type of visual control 5S shadow board Dashbord Takt board
Control chart

34. Visual control tips It should relate to key output measurement
Frequency of update should be practical and bring value
Reaction plan must be clear if process not in control
Easy to update and assign responsibility

35. Benefit of Applying Six Sigma
Search for continued improvement in processes
Better understanding of customer requirement
Maximisation of profits through improvement in quality
Increased productivity
Reduction in cycle times
Increase production capability and reliability
Reduction of defects, costs and loses.

36. Challenges in Implementing Six Sigma
Too much focus on the black belts and green belt training without identifying projects for improvement after the training.
Lack of understanding of the strategic intent of Six Sigma.
Too many books and talks about Six Sigma cause confusion,.
Lack of innovation in problem solving other words no real breakthroughs.
Lack of support for small business in implementation of Six Sigma.

37. Case Study: Summary application in Motorola
Introduction
Motorola has implemented Six Sigma to reduce cost and improving organizational bottom line.
Motorola won the Malcolm Baldrige National Award in 1988.
Problem Encountered
The problem face by Motorola in 1987 the company was operating in four sigma level. This equal to defect rate of about 6,200 DPMO compare to its Japanese counter parts that were running at 3.4 DPMO.
The defect leads to increase cost to sales and reduce the profit as well as contributed to lose market share.
At that time Motorola’s customers included many police, fire, and emergency response organizations that relied on radios and communication equipment manufactured by Motorola.
Losing these customers will become financial disaster for Motorola.

38. Continued
Action Taken
Bob Galvin CEO of Motorola has directed initiative for the company.
These directions are: Improve product quality by ten times in two years, Improve product quality by 100 times in four years and reach Six Sigma quality level in five years.
The goal of Six Sigma is to reduce defect increase the productivity. Hence, improve customer satisfaction.
Result
According to McClusky (2000) Motorola focus on reducing defects to the target of 3.4DPMO level was quantified in dollar $2 billion over a four year period.
An example of Motorola applied Six Sigma on the redesign and manufacturing of its pages in Pagers were new technology in 1990 and Motorola’s pages were highly priced about $1500 and it took about 18 month to product.
McClusky (2000) has stated that the lead time went from 18months to 72minutes while the cost when from $1500 to $200.

39. Conclusion
Six Sigma is a methodology that can improve the business performance and reduce the process variation.
Three different levels that Six Sigma can be defined and understood are: Metric, Methodology and Philosophy
 Methodology DMAIC is used.