COLLECTED BY: Dr. K.

BARANIDHARAN
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 MEANING OF SIX SIGMA

HISTORY OF SIX SIGMA OBJECTIVES

IMPLEMENTATIN OF SIX SIGMA

LEVEL OF SIX SIGMA DIMAC DMADV DIMAC & DMADV BENEFICIAL
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Six sigme is similar to Zero Defects (ZD) is a philosophical benchmark or standard of excellence proposed by Philip crosby,
A defect is anything that results in customer dissatisfaction
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What is Six Sigma exactly means:

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Six sigma is a way of thinking and the results of the

approach can yield a spectrum of improvement choices based on the balance of values and risk.

Six

sigma is an internationally recognized management process focused on producing high quality products or services to meet the customers need and satisfaction.

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Motorola company that invented Six Sigma.

The

term Six Sigma was coined by Bill Smith, an engineer with Motorola
1970s - Motorola started experimenting with problem solving through statistical analysis - Motorola officially launched its Six Sigma program saved more than $ 15 billion in the first 10 years of its Six Sigma effort
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Late

1987

Motorola

 To

reduce variation. To solving the problems in scientific manner. Six Sigma places an emphasis on the DMAIC approach (define, measure, analyze, improve, and control) to problem solving. To develop the bottom line responsibilities towards continuous improvement. Organizations using Six Sigma often utilize teams that are assigned well-defined projects with a direct impact on the bottom line
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The Six Sigma Evolutionary Timeline

1818: Gauss uses the normal curve to explore the mathematics of error analysis for measurement, probability analysis, and hypothesis testing. 1736: French mathematician Abraham de Moivre publishes an article introducing the normal curve. 1896: Italian sociologist Vilfredo Alfredo Pareto introduces the 80/20 rule and the Pareto distribution in Cours dEconomie Politique. 1924: Walter A. Shewhart introduces the control chart and the distinction of special vs. common cause variation as contributors to process problems.

1949: U. S. DOD issues Military Procedure MIL-P-1629, Procedures

for Performing a Failure Mode Effects and Criticality Analysis.

1941: Alex Osborn, head of BBDO Advertising, fathers a widely-adopted set of rules for brainstorming. 1986: Bill Smith, a senior engineer and scientist introduces the concept of Six Sigma at Motorola

1960: Kaoru Ishikawa introduces his now famous cause-and-effect diagram. 1970s: Dr. Noriaki Kano introduces his two-dimensional quality model and the three types of quality.

1995: Jack Welch launches Six Sigma at GE. 1994: Larry Bossidy launches Six Sigma at Allied Signal.

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Six Sigma Companies

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Motorola saved $17 billion from 1986 to 2004, reflecting hundreds of individual successes in all Motorola business areas including:

Sales and marketing Product design Manufacturing Customer service Transactional processes Supply chain management

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Financial bank of America, GE Capital,HDFC,HSBC,American Express

ITES- ICICI One source, Accenture, Satyam PO, IBM Daksh Hospitality- ITC Hotels, GRT Hotels, Apollo Hospitals Manufacturing- GE Plastic, Johanson and Johnson, Motorola, Nokia, Microsoft, Ford, Wipro, Nestle, Samsung, Samtle Telecom- Bharti Cellular, Vodafone, Siemencs,Tata IT- Wipro, Satyam,Acenture, Infosys, TCS, Birla soft
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CONTINUE
1.

Six Sigma Champion: Champions undergo five days of training and are taught how to manage projects and act as advisors to various project teams. Green Belts: They undergo two weeks of training that includes project-oriented tasks. They act as team members to the Six Sigma project team. Their cooperation and involvement is necessary for projects success. Black belts: They receive four weeks of trainings and are directly involved in the implementation of Six Sigma Projects. They are the project leaders and go through in-depth training on Six Sigma approach and tools and work full time on the project. Master Black Belts: These are the people who conduct Six Sigma Training and also have on the job training and experience
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2.

3.

4.

Six Sigma Methods

Service
Administ ration Design

Six Sigma Methods

Manage ment producti on

IT
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APPROACHES OF SIX SIGMA

THIS IS ORGANIZATIONAL BASED

THIS IS BASED ON CUSTOMER NEEDS AND SATIFACTIONS

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It approach undertaken to improve existing business process

CONTRL

DEFINE IMPROVE

ANALYSE
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MEASURE
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1.Define high-level project goals and the current process. 2.Measure key aspects of the current process and collect relevant data. 3.Analyze the data to verify cause-and-effect relationships. Determine what the relationships are, and attempt to ensure that all factors have been considered. 4.Improve or optimize the process based upon data analysis using various tools 5.Control to ensure that any deviations from target are corrected before they result in defects.

This approach is undertaken when there is a need to create new design or product: VERIFY DEFINE

DESIGN MEASURE ANALYZE

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 Define design goals that are consistent with customer demands and the enterprise strategy. Measure and identify CTQs (characteristics that are Critical To Quality), product capabilities, production process capability, and risks. Analyze to develop and design alternatives, create a high-level design and evaluate design capability to select the best design. Design details, optimize the design, and plan for design verification. This phase may require simulations. Verify the design, set up pilot runs, implement the production process and hand it over to the process owners. DMADV is also known as DFSS, an abbreviation of "Design For Six Sigma
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DMAIC
Defines a business process. Measuring current process Identify root cause of the recurring

DMADV
Define customer needs Measure customer needs &

specification
Analyze options to meet customer

PROBLEMS
Improvements made to reduce

satisfaction.
Model is deigned to meet customer

defects
Keep check on future performance

needs
Model put through simulation tests

for verification
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Lower Specification Limit

Customer target

Upper Specification Limit

0.00017% 1.7 ppm

0.00017% 1.7 ppm

6s 6s = 99.7966% of data inside the limits (Cp = 2) 0.00034% of points will be outside of the specification limits ie. defec (= 3.4 parts per million out of spec.)
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SIGMA LEVEL
1 2 3 4 5 6

DEFECT RATE
691,500 dpmo 308,770 dpmo 66,811 dpmo 6,210 dpmo 233 dpmo 3.44 dpmo

YIELD
30.85% 69.10000% 99.33000% 99.38000% 99.97700% 99.99966%

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How Six Sigma can be Beneficial for You?

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Focus on customers. Improved customer loyalty. Reduced cycle time. Less waste. Data based decisions. Time management Sustained gains and improvements. Systematic problem solving. Employee motivation Data analysis before decision making. Faster to market. Team building. Improved customer relations. Assure strategy planning.
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Effective Supply chain management

Knowledge of Competition & Competitors. Develop Leadership skill. Breakdown barriers between departments

and functions. Management training. Improve presentation skills. Integration of products ,services and distribution. Use of standard operating procedures. Better decision making. Improving Projects Planning kills.
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Six Sigma Competitive Advantage

Revenue Products & Services External Quality Internal Quality

Market Share
Customer Satisfaction Economies of Scale Processes & People Operating Costs

Improve Quality Capital Costs

Higher Profit Higher ROI

Slide 25

THANK YOU
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