“Six Sigma”: What is it?

A statistical measure of variation which seeks to identify

and remove the causes of defects and errors in
manufacturing and business process.
six sigma is a business management strategy originally
developed by Motorola
Full six sigma equals 99.9997% accuracy.
Methodology for improving key success.
A “tool box” of quality and management tools for
problem resolution.
A business philosophy focus on continuous improvement.
An organized process for structured analysis of data.
 When to use Six Sigma?
 Unknown causes/situations.
 Problem at common place and not well defined.
 When “broad spectrum” approach is inappropriate.
 When problem solving method failed.
 In a complex situation with many variable.
 Why to adopt six sigma?
Defined process for problem solving.
Proven methodology to solve problem.
Consistency with result.
Focus on the “bottom line” which encourages
credibility/support from the top of the organization.
Focus around target.
Reduces variations at all point.
What are the Rewards of
Six Sigma?
Improved reliability and predictability of
software products and services.

Increased value to the customers and

shareholders.

Improvements in organizational morale.

 METHODOLOGIES……..
Six Sigma has two key methodologies:– DMAIC and DMADV.

 DMAIC is used to
 DMADV is used to
improve an existing create new product
business process. designs or process
designs in such a way
that it results in a more
predictable, mature
and defect free
performance.
 “Methodology”:-
D M A D V D M A I C
Define Define
Measure Measure
Analyze Analyze
Design Improve
Verify Control
What are the Challenges of Six Sigma?
The perception of Training – especially
“Sick Sigma”. management level.

Understanding the Consultants can’t

DFSS (Design For Six make it happen.
Sigma)

It is not a quick fix

nor a recipe
 Which Business Function Needs It?
Design
Design
SERVIC PURCH
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ADMIN. Methods
Methods Marketing
Marketing

QA MFG.
MFG.
MAINT.

As long as there is a process that produces an output, whether it is

a manufactured product, data, an invoice, etc…, we can apply the
Six Sigma Breakthrough Strategy. For these processes to perform
to a customer standard they require correct inputs!!!
 Who else is using Six Sigma?
 Avery Dennison  Johnson & Johnson
 Dow  Caterpillar
 DuPont  Lockheed Martin
 Foxboro  IBM
 Sony  Citi Group
 Deere & Co. (Visa/MasterCard)
(John Deere)  G.E.
 Delphi
 J.P. Morgan
 Allied Signal
 Ford
 ServiceMaster
 Benefits of Six Sigma.
Focus on customers.   Systematic problem solving.
Improved customer Employee motivation.
loyalty. Data analysis before
Reduced cycle time. decision making.
Less waste. Faster to market.
Data based decisions. Team building.
Time management. Improved customer
Sustained gains and relations.
improvements.
 Summary…..
 Customer focused….Driven by the Voice of the
Customer.
 Strong top management leadership, commitment, and
involvement.
 Project orientation with measurable financial results.
 Consistent methodology for all work. Time driven.
 Time driven….more accountable.