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6 Sigma - Introduction, Techniques and Implementation
“HUMAN ERROR IS
INEVITABLE. HOWEVER
WITH AWRONG SYSTEMWE
CAN MAKE IT MORE LIKELY
TO HAPPEN”
-Louis Litt
SIX SIGMA
A part of Group Presentation by
Varun
Of GroupVII
Introduction
 A manufacturing organization may be looked upon as a bundle of processes which
have definitive inputs and outputs
 But they have their fair share of errors and defects in the products that they dole out
 Globalization, Instant access to information, products, services have changed the
needs and expectations of the customers
 It has become mandatory to change the way of conduct of any business
 Customers look for products with Zero defects and want no compromise with the
products that they’ve paid for
 Today’s competitive world leaves no room for error and thus gave rise to SIX SIGMA
What is Six Sigma ?
■ Six Sigma is a set of techniques and tools for process improvement
■ Introduced in the year 1986 by a Civil and Production Engineer named
BILL SMITH and BOB GALVIN who worked at MOTOROLA
■ A highly disciplined process that enables organizations deliver nearly
perfect products and services.
■ The figure of six arrived statistically from current average maturity of most
business enterprises
■ A philosophy and a goal: as perfect as practically possible.
■ A methodology and a symbol of quality.
Six Sigma is not:
•A standard
•A certification
•Another metric like percentage
Rather!
•It is a Quality Philosophy and the way of improving performance by
knowing where you are and where you could be.
■ Methodology to measure and improve company’s performance,
practices and systems
■ A statistical concept that measures a process in terms of defects – at the
six sigma level, there 3.4 defects per million opportunities
EVOLUTION
■ 1798: EliWhitney, Mass Production and Interchangeable
Parts
■ 1913: Henry Ford and the Moving Assembly Line
■ 1924: Walter Shewhart’s and Edward Demings’ PDCA cycle
■ 1925 : NikolaTesla’s Coil design
■ 1945:The Japanese Quality Movement
■ 1980 : USA’s counter move (35 years later !!!)
■ 1987: International Organization for Standardization
■ 1987: Motorola and Six Sigma
■ 1988: Beyond Motorola
Type DPM % of Defects
1 691,492 69
2 308,358 31
3 66,807 6.7
4 6210 0.62
5 233 0.023
6 3.4 0.00034
7 0.019 0.0000019
PRINCIPLES
■ Genuine focus onCustomer
■ Data and Fact driven management
■ Process focus, management and improvement
■ ProactiveThinking
■ Boundaryless Collaborations
■ Drive for Perfection
■ Tolerance for Failure
METHODOLOGIES
■ There are 2 major methodologies used
in Six Sigma
– DMAIC
– DMADV / DFSS
DMAIC
■ Stands for Define, Measure, Analyse, Improve and Control
■ Define the System
■ Measure the key aspects of current process
■ Analyse the data to investigate and verify cause – effect
■ Improve or Optimize the process
■ Control
■ To be used when there is an existing system which doles out products not meeting the
customers’ expectation and is erroneous
DMADV
■ Stands for Define, Measure, Analyse, Design,Verify
■ Define Project Goals
■ Measure customer needs and Specs
■ Analyse process options
■ Design the process in detail
■ Verify the performance
■ To be used when there needs to be a new system to be developed
ORGANIZATION
STRUCTURE IN 6σ
6 Sigma - Introduction, Techniques and Implementation
IMPLEMENTATION
PROCESS
■ Select a RedressalTeam
■ Define and Describe the problem
■ Implement andVerify ShortTerm solutions
■ Define the root cause
■ Implement Root cause solution and corrective actions
■ Implement permanent solutions
■ Prevent Recurrence
ADVANTAGES AND
DISADVANTAGES
Advantages
■ Defect free product
■ LowerAfter Sales costs
■ Journey towards excellence
■ Better reputation
■ Lower Inspection / Supervision Costs
■ Ship to stock ship directly
■ Higher Employee morale
■ Tension free working
■ Greater Customer Satisfaction
Disadvantages
■ Lack of Originality – Joseph. M. Juran
■ Role of Consultants
■ Very high production costs
■ Over reliance on Statistical tools
■ Rigidity kills innovation and creativity
■ Require skilled workers
■ Time barriers
■ Gimmicky and just plain rebranding
ORGANIZATIONS
THAT USE 6σ
6 Sigma - Introduction, Techniques and Implementation

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6 Sigma - Introduction, Techniques and Implementation

  • 2. “HUMAN ERROR IS INEVITABLE. HOWEVER WITH AWRONG SYSTEMWE CAN MAKE IT MORE LIKELY TO HAPPEN” -Louis Litt
  • 3. SIX SIGMA A part of Group Presentation by Varun Of GroupVII
  • 4. Introduction  A manufacturing organization may be looked upon as a bundle of processes which have definitive inputs and outputs  But they have their fair share of errors and defects in the products that they dole out  Globalization, Instant access to information, products, services have changed the needs and expectations of the customers  It has become mandatory to change the way of conduct of any business  Customers look for products with Zero defects and want no compromise with the products that they’ve paid for  Today’s competitive world leaves no room for error and thus gave rise to SIX SIGMA
  • 5. What is Six Sigma ? ■ Six Sigma is a set of techniques and tools for process improvement ■ Introduced in the year 1986 by a Civil and Production Engineer named BILL SMITH and BOB GALVIN who worked at MOTOROLA ■ A highly disciplined process that enables organizations deliver nearly perfect products and services. ■ The figure of six arrived statistically from current average maturity of most business enterprises ■ A philosophy and a goal: as perfect as practically possible. ■ A methodology and a symbol of quality.
  • 6. Six Sigma is not: •A standard •A certification •Another metric like percentage Rather! •It is a Quality Philosophy and the way of improving performance by knowing where you are and where you could be. ■ Methodology to measure and improve company’s performance, practices and systems ■ A statistical concept that measures a process in terms of defects – at the six sigma level, there 3.4 defects per million opportunities
  • 8. ■ 1798: EliWhitney, Mass Production and Interchangeable Parts ■ 1913: Henry Ford and the Moving Assembly Line ■ 1924: Walter Shewhart’s and Edward Demings’ PDCA cycle ■ 1925 : NikolaTesla’s Coil design ■ 1945:The Japanese Quality Movement ■ 1980 : USA’s counter move (35 years later !!!) ■ 1987: International Organization for Standardization ■ 1987: Motorola and Six Sigma ■ 1988: Beyond Motorola
  • 9. Type DPM % of Defects 1 691,492 69 2 308,358 31 3 66,807 6.7 4 6210 0.62 5 233 0.023 6 3.4 0.00034 7 0.019 0.0000019
  • 11. ■ Genuine focus onCustomer ■ Data and Fact driven management ■ Process focus, management and improvement ■ ProactiveThinking ■ Boundaryless Collaborations ■ Drive for Perfection ■ Tolerance for Failure
  • 13. ■ There are 2 major methodologies used in Six Sigma – DMAIC – DMADV / DFSS
  • 14. DMAIC ■ Stands for Define, Measure, Analyse, Improve and Control ■ Define the System ■ Measure the key aspects of current process ■ Analyse the data to investigate and verify cause – effect ■ Improve or Optimize the process ■ Control ■ To be used when there is an existing system which doles out products not meeting the customers’ expectation and is erroneous
  • 15. DMADV ■ Stands for Define, Measure, Analyse, Design,Verify ■ Define Project Goals ■ Measure customer needs and Specs ■ Analyse process options ■ Design the process in detail ■ Verify the performance ■ To be used when there needs to be a new system to be developed
  • 19. ■ Select a RedressalTeam ■ Define and Describe the problem ■ Implement andVerify ShortTerm solutions ■ Define the root cause ■ Implement Root cause solution and corrective actions ■ Implement permanent solutions ■ Prevent Recurrence
  • 21. Advantages ■ Defect free product ■ LowerAfter Sales costs ■ Journey towards excellence ■ Better reputation ■ Lower Inspection / Supervision Costs ■ Ship to stock ship directly ■ Higher Employee morale ■ Tension free working ■ Greater Customer Satisfaction
  • 22. Disadvantages ■ Lack of Originality – Joseph. M. Juran ■ Role of Consultants ■ Very high production costs ■ Over reliance on Statistical tools ■ Rigidity kills innovation and creativity ■ Require skilled workers ■ Time barriers ■ Gimmicky and just plain rebranding