Enabling Sustained Business Excellence

Part 2 of 8 - Perspectives of Lean Six Sigma

Lean Six Sigma Practice @ KINDUZ

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Historical Perspective

1979:
Motorola 1995: Jack 2000: GE
Starts Six Welch Saves ~$2
Sigma Initiates Six Billion
Initiative Sigma in GE Annually

1986: 1998: Allied

Motorola Signal
Saves ~$16 Saves ~$1.2
Billion Billion

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Mean vs. Variation

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Statistical Perspective

Mean = 20

(Lower Specification)
(s)= 0.5 (Upper Specification)

(6 s) (6 s)

23
17

20

A defect is any value that falls outside Customer Specifications

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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 Quantitative Perspective

99% Right (3.8 Sigma) 99.99966% Right (6 Sigma)

No electricity for 7 hours per month No electricity for 1 hour every 34 years

5,000 incorrect operations per week 1.7 incorrect operations per week

20,000 wrong prescriptions per year 68 wrong prescriptions per year

Defects per Million

σ
Opportunities
1 697,672.15
2 308,770.21
3 66,810.63
4 6,209.70
5 232.67
6 3.40

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Quantitative Perspective

Airline fatality rate 0.52 PPM

Sigma (s)
World Class, Six Sigma 3.4 PPM

1:1,000,000

Five Sigma 233 PPM

Motorola 1990
Four Sigma 6,209 PPM

Hospital fatality rate due to mistakes

Restaurant bills
1:100 Doctor prescriptions
Payroll processing
Airline baggage handling

Three Sigma 66,810 PPM

Two Sigma
308,770 PPM

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Customers Perspective

Six Sigma Starts and Ends with Customers

What is my
customers
view of the
process?
Are my What do the
customers customers
referring and expect out of
buying again? the process?

CUSTOMERS

Is my How do my
customer customers
satisfaction measure the
increasing? process?
What is my
customers
definition of
a defect?

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Operational Perspective

Control
Define

Improve

Measure

Analyze

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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Contact

Website: http://www.kinduz.com/

Email: services@kinduz.com

India Office: +91-40-40165594

Workshop Knowledgebase:
http://kinduz.ning.com/

Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

© 2009 KINDUZ - All rights reserved 10

 http://www.kinduz.com
Overview to Lean Six Sigma | KINDUZ Business Consulting | http://www.kinduz.com/

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