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Chapter 4

Six Sigma Continuous Improvement

“The signifi cant problems we face ca nnot be solved at the sa me level of thinking we were at when we created them.”

—Albert Einstein

Chapter 4 Six Sigma Continuous Improvement “The signifi cant problems we face ca nnot be solved

4.1 SIX SIGMA CONTINUOUS IMPROVEMENT PRINCIPLES

Advancement to near perfection (maximum profi tability) is virtually impos- sible without integration of proper engineering design, material, process, and control strategies—in other words, achieving higher standard deviations in exist- ing and future production processes. Six Sigma tools uncover the unseen root causes of potential problems and attack them to eliminate defect opportunities. This means that Six Sigma takes the necessary measurements at the early stages of product or process development before the problem occurs. Alternatively, it will focus on the processes indicating that their sigma level is either too low and cannot improve or a high sigma level (5 or more), which is too challenging to improve. One should ke ep in mind that the cost of redesign or correcting after- math problems is extremely high and costly. (See Chapter 8 for more details.) Six Sigma can be achieved only with cross-functional groups or joint efforts throughout the organization with great intensity—that is, if it is required by corporate culture and deployed fi rmly. Indeed, Six Sigma has to be applied from raw material all the way to the fi nished product and the shipping department.

Essentials of Lean Six Sigma

Copyright © 2006 by Academic Press, Inc. All rights of reproduction in any form r eserved.

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Six-Sigma Six-Sigma Performance Performance
Six-Sigma
Six-Sigma
Performance
Performance
Six Sigma Continuous Improvement Reduced Variation Reduced Variation Process Process Management Management Customer Customer Increased Value
Six Sigma Continuous Improvement
Reduced Variation
Reduced Variation
Process
Process
Management
Management
Customer
Customer
Increased Value
Increased Value
Driven
Driven
Statistical
Statistical
Analysis
Analysis
Higher Profits
Higher Profits

Figure 4.1

Six Sigma breakthrough performance model.

The performa nce of this is shown in Figure 4.1, the Six Sigma breakthrough model, with three main objectives: higher profi t, increased value, and reduced variation. Six Sigma science of continuous improvement concentrates on two processes that each include three steps:

44 Six-Sigma Six-Sigma Performance Performance Six Sigma Continuous Improvement Reduced Variation Reduced Variation Process Process Management

Process Characterization

  • 1. Defi ne project and process measurement (diagnosis)

  • 2. Evaluate existing sigma (capability study)

  • 3. Analyze process data

Process Optimization/Simulation

  • 4. Improve and optimize process

  • 5. Evaluate new sigma (capability study)

  • 6. Control and maintain the process

44 Six-Sigma Six-Sigma Performance Performance Six Sigma Continuous Improvement Reduced Variation Reduced Variation Process Process Management

Or the above steps can be summarized in DMAIC (defi ne/measure [diagnosis], analyze, improve [optimize], control).

4.2 SIX SIGMA SYSTEMS

Six Sigma systems include the following concepts:

  • 1. The fastest rate of improvement in customer satisfaction, cost, quality, process speed, and invested capital.

  • 2. A business improvement and growth system, which leads to a new level of performance.

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Six Sigma Continuous Improvement

45

Process Characterization (Existing Process) Define Project Measure Process Estimate Existing Sigma Six Sigma Approach Analyze Data
Process
Characterization
(Existing Process)
Define Project
Measure Process
Estimate Existing Sigma
Six Sigma
Approach
Analyze Data
Process Optimization
(New Process)
Improve Process
Estimate New Sigma
Process Control
And Maintain
Six Sigma Continuous Improvement 45 Process Characterization (Existing Process) Define Project Measure Process Estimate Existing Sigma

Figure 4.2

Representation of Six Sigma defi ne and measure, analyze, improve or optimi ze, and

control (DMA IC) levels.

  • 3. A systematic data-driven approach to analyzing the root cause of manufacturing, as well as business problems/processes and dramatically improving them.

  • 4. Improved decisions based on knowledge and data.

Six Sigma Continuous Improvement 45 Process Characterization (Existing Process) Define Project Measure Process Estimate Existing Sigma
  • 5. A fi nancial results-driven system ($ performance paramount).

  • 6. A project-driven system based on customer needs.

  • 7. A system applicable to all parts of a business.

  • 8. Aimed at the problem where the solution is not known.

  • 9. A system with proven performance.

  • 10. Improve customer satisfaction and supplier relationships.

  • 11. Expand knowledge of product and processes.

  • 12. Develop a common set of tools and improvement techniques.

Figure 4.2 illustrates the graphical representation of Six Sigma improvement steps.

4.3 SIX SIGMA IMPROVEMENT AND TR A INING MODELS

One may obtain Six Sigma training certifi cation by completing the improve- ment models for Green Belt and Black Belt. These trainings are available through academic institutions, as well as quality societies or other certifi ed organizations.

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46 Six Sigma Continuous Improvement Objective Tools and Techniques Define Identify Business Drivers Select Customer Critical

46

Six Sigma Continuous Improvement

 

Objective

 

Tools and Techniques

 

Define

Identify Business Drivers Select Customer Critical Processes

Affinity Diagram/ Interrelation Diagram Quality Function Deployment

 
THEME THEME THEME Idea Idea Idea Idea Idea Idea Idea Idea Idea Idea Idea Idea Idea
THEME
THEME
THEME
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Idea
Hows
QFD
Production Control Systems In = 2 Out = 2 Work Change d Communication Environment In =
Production
Control
Systems
In = 2
Out = 2
Work
Change
d
Communication
Environment
In = 1
Out = 3
In = 2
Out = 2
Workplace
Organizational
Motivation/
Structure
Conflict
In = 4
Out = 1
In = 1
Out = 4
Customer
Driver (Cause)
Expectations/
Outcome (Effect)
Satisfaction
In = 3
Out = 1
S I P O C
S
I
P
O
C

Define Projects Develop Implementation Plan

SIPOC Process Map Project Charter

Whats

Relationship

 
     

Matrix

     
 

Measure

Develop Key Process Measures Collect and Analyze Data Identify the Vital Few that Have the

Data Collection Plan Check/Data Sheet Pareto Chart

Day 1 Day 2 Day 3 Day 4 Paint 1111 111 1 11111 1 11111 111
Day 1
Day 2
Day 3
Day 4
Paint
1111
111
1
11111
1
11111
111
111
Test
111
111
1111
111
Perf
70 60 50 40 30 20 10 0 2 4 6 8 10 12 14 16
70
60
50
40
30
20
10
0
2
4
6
8
10
12
14
16

Greatest Impact Estimate Process Capability Measurement Systems Analysis

Gage R&R Histogram Process Capability

7 0 6 0 5 0 4 0 3 0 2 0 1 0 0 AB1
7
0
6
0
5
0
4
0
3
0
2
0
1
0
0
AB1
AB2
AB3
AB4
AB5
Cp & CpK
Cp & CpK
       

Machines

Wrong Selection

Methods

Variation/

Opportunity

Variable X
Variable X

Variable Y

 

Availability

 

Maintenance

Calibration

Outdated Practices

 

Analyze

 
Training Hardness Surface Finish Manpower Materials
Training
Hardness
Surface Finish
Manpower
Materials

Available Resources

Understand Cause and Effects Create Multi-vari Analysis

Determine Variance Components Assess Correlation

Cause and Effect Diagram Scatter Diagram

Improve

Develop and Evaluate Solutions

Deployment Flowchart

Start Task Task Task N Decision Y Task Finish Task Finish
Start
Task
Task
Task
N
Decision
Y
Task
Finish Task
Finish
Failure Mode Effects Analysis Risk Prioritization Number
Failure Mode Effects Analysis
Risk
Prioritization
Number

Implement Variation Reduction

Tree Diagram

A ctiv ity S u b-G oa l A ctiv ity A ctiv ity G oal
A ctiv ity
S u b-G oa l
A ctiv ity
A ctiv ity
G oal
S ub-Goal
A ctiv ity
A ctiv ity
A ctiv ity
S u b-G oa l
A ctiv ity

Standardize Process Assess Risk Factors

FMEA

 

Control

Implement Process Control Implement Control Charts for Key Variables

Process Control Plan Control/Precontrol Chart Poka-Yoke

Process Control Plan Customer Front Desk Misc Orders Pizza CHECKING Process DescriptionProcess Customer Process Flowchart Respon-
Process Control Plan
Customer
Front Desk
Misc
Orders Pizza
CHECKING
Process DescriptionProcess Customer
Process Flowchart
Respon-
Who
Job
Indicators
When to
Fre-
Cook
Delivery
AND Control
sibility
Checks
Checking
Time
Check
Specs/
quency
Conting.
Limits
Item
Targets
Plan
00:00
01:30
Ticket on
Takes Order
Cook
Each
Time Each
P1
oven
Passes to
Cook
04:30
Insertion
stamp
Printin
order
Eachg Front
10:15
Loads Pizza
order Cook
Cooks Pizza
P3
P3
11
minutes
Cook
11:30
no
Into Oven
30
seconds
Done?
Pay for Pizza
35:30
yes
Deliver
Q1 Q2
2/96
Date
Rev#
UCL x LCL
UCL
x
LCL

b¦ y

Mistake Proof Processes Evaluate Results

Pareto Chart (ongoing) Process Capability (ongoing)

 
No Mistakes
No
Mistakes
 
Mistake Proof Processes Evaluate Results Pareto Chart (ongoing) Process Capability (ongoing) No Mistakes

Figure 4.3

Six Sigma Green Belt improvement model.

46 Six Sigma Continuous Improvement Objective Tools and Techniques Define Identify Business Drivers Select Customer Critical

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Six Sigma Continuous Improvement

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Objective Tools and Techniques Production THEME THEME THEME CS emyont st ro In= 2 Out =
Objective
Tools and Techniques
Production
THEME
THEME
THEME
CS emyont
st
ro
In= 2
Out = 2
CWhange ork d
Communication
Envionm r en
Idea Idea
Idea Idea Idea
Idea Idea Idea
In= 1 Out =3
In= 2
Out = 2
Idea Idea
Idea Idea Idea
Idea Idea
Idea
Organizationa
Work place
Structure
Motivation
Identify Business Drivers
Select Customer Critical
Processes
Define Projects
Develop Implementation Plan
Affinity Diagram/
Interrelation Diagram
Quality Function Deployment
SIPOC Process Map
Project Charter
Confcil
In = 1
Out =4
In= 4
Out
= 1
Idea Idea
Idea
Idea Idea
Cust ome
Driver (Cause)
Expectation
Outcome (Effect)
S atfact
is
ion
In =3
Out = 1
Hows
QFD
S
I
P
O
C
Whats
Relationship
Matr i x
70
Day1
Day 2
Day 3
Day 4
60
50
Paint
1111
111 1
11111
40
Develop Key Process Measures
Collect and Analyze Data
Identify the Vital Few that Have the
Greatest Impact
Estimate Process Capability
Measurement Systems Analysis
Data Collection Plan
Check/Data Sheet
Pareto Chart
Gage R&R
Histogram
Process Capability
Test
1
11111
111 111
30
20
Perf
111
111
1111 111
10
0
2
4
6
8
10
12
14
16
70
60
Cp & CpK
50
40
30
20
10
0
AB1
AB2
AB3
AB4
AB5
Machines
Methods
Wr ong S elect ion
Availabilit y
Mani ten an ce
Out dat ed P ractices
Calibr at oi n
Variation/
Opportunity
T rainin g
Har dness
X
Understand Cause and Effects
Create Multi-vari Analysis
Determine Variance Components
Assess Correlation
Available Resour ces
S ur f ace Fin shi
Cause and Effect Diagram
Multi-vari Charts
Scatter Diagram
Manpower
Materials
1.1 1.2 1.3
2.1 2.2 2.3
Variable Y
Variable X
Start
High
Task
Task
Factor B
Factor C
Task
N
Decision
Develop and Evaluate Solutions
Implement Variation Reduction
Standardize Process
Assess Risk Factors
Design of Experiments
Deployment Flowchart
Tree Diagram
FMEA
Low
Y
Task
Task
Fi ni s h
Factor A
Low
High
Finish
A ctiv ity
Sub-G oal
A ctiv ity
Failure Mode Effects Analysis
A ctiv ity
G oal
Sub-G oal
A ctiv ity
Risk
A ctiv ity
Prioritization
A ctiv ity
Number
Sub-G oal
A ctiv ity
Process Control Plan
UCL
Cust omer
Fron t Desk
Misc
Orders Pizza
CHE CK I NG
P rocess Descr ipt oiPnrocess Cust omer
P rocess Flowchar t
R espon -
Who
I
ndci at ors
Job
When t o
Fre-
Cook
Delivery
AND
Con tr o Checkin g
T ime
S pecs/
sibilit y
Checks
Con tin g.
x
Check quen cy
Limit s
I tem
T ar get s
P al n
Implement Process Control
Implement Control Charts for Key
Variables
Mistake Proof Processes
Evaluate Results
00:00
0 1: 30
T icket on
T akes Order
Cook
E ach
T mi E e ach
P 1
Process Control Plan
Control/Precontrol Chart
Poka-Yoke
Pareto Chart (ongoing)
Process Capability (ongoing)
P asses t o Cook
04:30
oven
LCL
P rinE ti anchg
Fron t
I nsert ion
stamp
order
10: 15
Loads P izza
order
Cook
Cooks P izza
P 3
Cook
P 3
11 minut es
11: 3 0
n o
Don e?
I
nt o Oven
3 0 seconds
P ay for Pizza
35:30
yes
Deliver
Q1 Q2
2/96
RDaetv#e
b¦y
No
M is t akes
Control
Improve
Analyze
Measure
Define

Figure 4.4

Six Sigma Black Belt improvement model.

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Six Sigma Continuous Improvement

On the other hand, you can apply all the procedures and guidelines of this book to any desired projects. Once you have knowledge and experience, you can participate in certifi ed examinations through a quality organization. The training models for the Green Belt and Black Belt are cited in Figures 4.3 and 4.4. The details of these models are discussed in Chapter 8.

48 Six Sigma Continuous Improvement On the other hand , you can apply all the procedures

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