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Six Sigma Defined:

Quality management program developed by


Motorola in the 1980s.
Management philosophy focused on business
process improvements to:

Eliminate waste, rework, and mistakes


Increase customer satisfaction
Increase profitability and competitiveness

Statistical measure to objectively evaluate


processes.

GOAL: Reach Six Sigma Quality

The Statistical Tools of


Six Sigma:

The Statistical Tools of


Six Sigma:

The Statistical Tools of


Six Sigma
Another way to look at it:
1. Clearly define the customers explicit
requirements--CTQ
2. Count the number of defects that occur.
3. Determine the yield-- percentage of items
without defects.
4. Use the conversion chart to determine
DPMO and Sigma.

Sigma Conversion Table:


If your yield is:

Your DPMO is:

Your Sigma is:

30.9%

690,000

1.0

62.9%

308,000

2.0

93.3

66,800

3.0

99.4

6,210

4.0

99.98

320

5.0

99.9997

3.4

6.0

People Power:
Executive Leader
Champion/Sponsor
Master Black Belt
Black Belt
Green Belt

Green Belt

Green Belt

Executive Leader Roles:


High Level Executive committed to
Six Sigma Success
Knowledgeable in Six Sigma Process
Assign key individuals to the
Champion/Sponsor Position.

Champion/Sponsor Roles:

High Level Executive


Oversee the Black Belt positions
Provide resources to complete the
job
Assist Black Belts to select projects
Benchmark with other organizations

Master Black Belt Roles:


Resource for the Black Belts-experts
on the mathematical theory of
statistical methods
Experts on the Six Sigma process
Works with the Champion/Sponsor to
select projects.

Black Belt Roles:

Leaders of the Six Sigma process


Management and technical skills
Bring the project vision to reality
Solely dedicated to Six Sigma
Program
Oversee Green Belts

Green Belt Roles:


Project Leaders
Support the Black Belt to complete
the project

Process Power:
DMAICFive Step Process
Define

Control

Improve

Measure

Analyze

Define:

Clearly identify the problem


Utilize numerical definition
Focus on process that creates the
problem not on the outcome

Measure:

Benchmark
Capability of a given process
Focus on CTQ

Analyze:
Current process results
What is possible compared to what
the competition is doing

Improve:
Implement changes
Be creative to find new ways to do
things better, cheaper, or faster

Corporations Practicing
Six Sigma:

General Electric
Motorola
Allied Signal
Sony
Polaroid

Specific Success Story:


GE

1995 Operating margin13.5%


1998 Operating margin16.7%
Result: $600million bonus

The most important initiative GE


has ever undertaken
--Jack Welch, CEO General Electric

USAGE OF SIX SIGMA

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COMPANIES
USING

Motorola
Ericsson
General Electric
Sony
Ford Motor Co.
CITI bank

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