Beruflich Dokumente
Kultur Dokumente
A. OBJECTIVES
B. SIX SIGMA OVERVIEW
C. CUSTOMER FOCUS
D. VARIATION IS THE ENEMY
E. BUSINESS METRICS
F. INTEGRATION OF LEAN
THINKING & SIX SIGMA
G. BASIC SIX SIGMA CONCEPTS
AND TOOLS
H. ISO 9000/SIX SIGMA SYNERGY
1-1
OBJECTIVES
Background and fundamentals of Six Sigma.
Identify customer needs in measurable outcomes.
How our companys value system is an indicator of its
performance improvement.
Need to focus on process input, not process output.
Variation is the main reason for process performance.
How measurement of quality is related to process
improvement.
Basic Six Sigma concepts and tools.
1-2
6
Our customers demand quality and QUALITY is our
strongest defense against the competition and the straightest
path to sustained growth and performance.
The evolution to a higher standard of improvement is made
possible by the concepts and practices of Six Sigma.
1-4
When applied to Mfg. and Services, this means that right after a
process is stabilized (or optimized), entropy immediately goes to
work to make it unstable the process is subjected to a
ceaseless barrage of variation.
1-5
1-6
SIX SIGMA
Six Sigma is a metric, a problem solving methodology
and set of tools.
Six Sigma is a total business philosophy that Epic has
embraced.
We must reflect on how the values/philosophies of Six
Sigma is different from beliefs, values and priorities
emphasized within Epic.
Those things truly valued within Epic are the things that
drive everyones behavior.
It is vital that every Epic employee understand the
values and philosophy of Six Sigma.
1-7
1-8
1-9
1-10
CONCEPT OF 3 vs 6 SIGMA
We demand High Quality in our daily lives. . .
99% Good (3.8 Sigma)
1-11
1-12
PPM
1,000,000
100,000
10,000
1,000
100
10
1
Restaurant Bills
Doctor Prescription Writing
IRS - Tax Advice
Payroll Processing
(phone-in)
(140,000 PPM)
Order Write-up
Journal Vouchers
Wire Transfers
Airline Baggage Handling
Purchased Material
Lot Reject Rate
Best-in-Class
Average
Company
1
SIGMA AS A VALUE
There are differences in philosophy, policies, procedures
and beliefs between companies with 3 to 4 sigma
capabilities.
Biggest difference is MINDSET.
3 to 4 sigma companies are complacent, unaware and
unable to accept ideas that they must make quantum
leaps in process quality to gain/keep competitive edge.
6 sigma company is able to produce products in most
efficient means possible, competitively priced and of
highest quality.
6 sigma company will be at the top of their market and far
ahead of its competition.
1-14
CUSTOMER FOCUS
Business growth depends on how well we meet
customer expectations in terms of quality, price and
delivery.
Ability to satisfy these needs is controlled by process
capability and amount of variation in our processes.
Key six sigma activity - understanding (in quantitative
terms) customer needs and translating needs into
measurable outcomes.
Need to focus on understanding/measuring process
inputs and looking at root causes of variation.
We MUST place value and emphasis on taking
measurements.
If we do not measure or do not know how to measure,
we will not achieve customer satisfaction.
1-15
Describe and
rank what you
think is really
valued at
Your company
1-16
Improving business
performance by improving
Quality and consistently
meeting Customer
Expectations
Measurement
Measuring inputs, not just
outputs
Reducing defects, by
improving process and
product, to help achieve
business objectives
BEHAVIOR IS A FUNCTION
OF VALUES
Behavior
Values
1-18
Y=
f (X)
Y
Dependent
Output
Effect
Symptom
Monitor
X1. . . X N
Independent
Input-Process
Cause
Problem
Control
1-20
Unstable
Parts and
Material
Insufficient
Process
Capability
Measure of variation
and quality
Measure of capability
of our processes
1-22
BUSINESS METRICS
Unless we are prepared to invest in the measurement
of quality, we can not improve quality.
If we do not measure quality and do not follow-up on
these measures, we send a message that we do not
value quality.
1-23
Same
measures
New
measures
1-24
1-25
Cost to customer
Expediting
Excess inventory
Quality engineering
and administration
Quality audits
Longer cycle times
Many costs related to COPQ are not readily visible; they are
invisible below the surface.
Example - when process produces defective material, length
of time required to get completed components through the
system increases.
Longer cycle time = additional labor hours and cost of
inspection to monitor these processes.
1-26
1-27
Internal
and
External
Failure
Appraisal
and
Prevention
Old Belief
Common Concerns:
Quality
1-28
Appraisal
and
Prevention
Internal
and
External
Failure
New Belief
5
6
Quality
1-29
COST
No Loss
Lower
Specification
Limit
Upper
Specification
Limit
Target
COST
Loss
Lower
Specification
Limit
Target
Upper
Specification
Limit
SYNERGY OF LEAN
THINKING & SIX SIGMA
Expand Six Sigma definition to include reduction of
variation in the time it takes to complete a process
(SPAN).
Integrate concepts of Six Sigma with Lean Thinking
to achieve improvements across the organization.
Accomplished by reducing the number of non-value
added steps in a process, reducing wait time
between value added steps, reducing complexity of
value added steps and eliminating all forms of waste
(Muda).
1-31
Jack Welch
-former CEO of GE
1-32
SERVICE APPLICATIONS
Cost related to work that adds no value (non-value
added) is higher than in manufacturing in both
percentage and dollars.
Studies indicate work that adds no value typically
accounts for at least 50% of the total service costs.
1-33
WHAT IS LEAN?
Referred to as Lean Manufacturing or Lean Production
Originally developed by Toyota Motor Company
Objective is to eliminate all forms of production process
Muda, such as:
Overproduction
Waiting time for machines or operators
Transportation waste
Excess inventory
Wasted motion
Waste of rework
1-34
LEAN THINKING
When we eliminate waste, the production cycle is
compressed resulting in shortened cycle times,
improved quality and reduced costs.
Toyota realized that product quality is the results of
process quality.
1-35
LEAN CONCEPTS
Most processes are non-lean less than 10% of
process time consists of value added steps (90% is
Muda).
Reduce work-in-process (WIP) speed up any
process by reducing the amount of WIP.
Create a pull system every process should operate
by pull, not pushthe only trigger for releasing
work into the process is an item exiting the process.
80-20 rule 20% of the activates cause 80% of the
delays. We have to eliminate those time traps.
1-36
1-37
1-39
Units of Measure
Frequency
25
20
15
10
5
Performance
Limit
Probability
Area of Yield of a Defect
1.238
1.240
1.242
1.244
Raw Data
Units of Measure
14
Frequency
12
10
8
6
80
70
80
75
75
55
70
85
75
95
75
70
80
75
75
70
80
90
75
90
65
85
80
70
75
70
75
80
80
60
70
70
65
85
85
85
65
65
80
65
Number of Cases = 50
Mean = 75
Median = 75
Standard Deviation = 8.3299
Range = 40
Variance = 69.388
Minimum = 55
Maximum = 95
4
2
0
50
60
70
80
90
Values of X
100
110
( Xi - X )2
^=
s =
i=1
n-1
n
^ Xi
X = =i=1
n
Measure of location refers to the way in which the central tendency of the
data can be calculated/displayed.
Median is the middle point of the data. It divides the distribution into
halves.
1-41
Specification Limits
m
Relatively little data is outside the Spec
Limits so the defect rate is
comparatively low
m
LSL
USL
T
USL
LSL
T
1-42
SPECIFICATION LIMITS
Mean
Upper
Limit
Frequency
24h
48h
Time to
deliver
information
package
1-43
300
Number of Parts
250
200
150
LSL
USL
100
50
0
1.233 1.235 1.237 1.239 1.241 1.243 1.245 1.247
1-44
1-45
(Xi - )
N
i=1
Z = SL -
USL x
1-46
Desired
Current
Situation
Accurate
(but not precise)
LSL
Dynamic Mean
USL
Long-Term
Performance
(lt)
Problem with Centering
Current
Situation
Precise
(but not
accurate)
Desired
LSL
USL
LSL
Nominal
USL
Short-Term
Long-Term
LSL
USL
PPM
2
3
4
5
6
308,537
66,807
6,210
233
3.4
Process
Capability
1-48
Area
Area
Area
Area
.500000000
.480061306
.460172290
.440382395
.420740315
.401293634
.382088486
.363169226
.344578129
.326355105
Shift
.308537454
.291159644
.274253121
.257846158
.241963737
.226627465
.211855526
.197662672
.184060243
.171056222
.158655319
.146859086
.135666053
.125071891
.115069593
.105649671
.096800364
.088507862
.080756531
.073529141
.066807100
1.51
1.56
1.61
1.66
1.71
1.76
1.81
1.86
1.91
1.96
2.01
2.06
2.11
2.16
2.21
2.26
2.31
2.36
2.41
2.46
2.51
2.56
2.61
2.66
2.71
2.76
2.81
2.86
2.91
2.96
3.01
.065521615
.059379869
.053698886
.048457216
.043632958
.039203955
.035147973
.031442864
.028066724
.024998022
.022215724
.019699396
.017429293
.015386434
.013552660
.011910681
.010444106
.009137469
.007976235
.006946800
.006036485
.005233515
.004527002
.003906912
.003364033
.002889938
.002476947
.002118083
.001807032
.001538097
.001306156
3.02
3.07
3.12
3.17
3.22
3.27
3.32
3.37
3.42
3.47
3.52
3.57
3.62
3.67
3.72
3.77
3.82
3.87
3.92
3.97
4.02
4.07
4.12
4.17
4.22
4.27
4.32
4.37
4.42
4.47
4.52
.001263795
.001070234
.000904215
.000762175
.000640954
.000537758
.000450127
.000375899
.000313179
.000260317
.000215873
.000178601
.000147419
.000121399
.000099739
.000081753
.000066855
.000054545
.000044399
.000036057
.000029215
.000029215
.000019047
.000015327
.000012305
.000009857
.000007878
.000006282
.000004998
.000003968
.000003143
4.53
4.58
4.63
4.68
4.73
4.78
4.83
4.88
4.93
4.98
5.03
5.08
5.13
5.18
5.23
5.28
5.33
5.38
5.43
5.48
5.53
5.58
5.63
5.68
5.73
5.78
5.83
5.88
5.93
5.98
6.03
.000002999
.000002369
.000001867
.000001469
.000001153
.000000903
.000000705
.000000550
.000000428
.000000332
.000000258
.000000199
.000000154
.000000118
.000000091
.000000070
.000000053
.000000041
.000000031
.000000024
.000000018
.000000018
.000000010
.000000008
.000000006
.000000004
.000000003
.000000003
.000000002
.000000001
.000000001
ZLT Z Z
SL
1-50
If the process has a small standard deviation (less variation), but the process
output is far from the target value, the process is Precise but not accurate.
If the process output is centered around a target value, but has a wide spread of
values (large standard deviation), the process is Accurate but not precise.
1-51
Cp = 2.0
Lower
Specification
Cp < 1
Upper
Specification
Continuous Improvement
Lower
Specification
Upper
Specification
Potential
Capability
Real
Capability
Cp = 2.0
Cpk = 2.0
Cp = 2.0
Cpk = 1
Cp = 2.0
Cpk < 1
Cp = 2.0
Cpk = 0
Cp = 2.0
Cpk < 0
Cp = 2.0
Cpk < -1
1-52
6 process = Z ST = 6
CP = 2
1-53
S 90
YFT
.90,or 90%
U 100
Defect
Type
Number
Observed
A
B
C
D
E
3
1
0
2
4
Total
10
DPU = 1.0
37 Units
D=0
Y.TP
Throughput Yield
(Units With Zero Defects)
100
Units
Submitted
Operation
90 Units
Passed
Verify
Not
OK
53 Units
D=1
Rework
10 Units Repaired
37% 90%
... why not?
Scrap
0 Units Scrapped
Classical Yield (YFT - First time yield) - divide units passed by units
submitted.
Rolled throughput Yield (YTP) - gives visibility to process steps with
high defect rates or other hidden losses (Hidden factory).
1-54
Pareto
Analysis of Process Inputs
84
80
DPU/DPMO
Percentage
90
70
60
50
40
30
20
10
3
10
0
Vital few inputs (Xs) are responsible for majority of problems with the
outputs (Ys).
Pareto chart prioritizes which variables need to be studied to improve
the process.
1-55
1-56
1-57