SIX SIGMA YELLOW

BELT TRAINING
Sudhakar SR
Objectives
Understand the need for Six Sigma
Explain the Six Sigma DMAIC process
Clarify the roles of the Sponsor and the Project Leader
Understand the key differences between traditional problem
solving methods and the Six Sigma approach
Demonstrate the 7 basic tools
Develop an awareness of the various Six Sigma tools and
their applicability
Outline the key attributes of a Six Sigma project
Overview
Section A: Six Sigma Concepts
Section B: Six Sigma Roles and Responsibilities
SECTION A

SIX SIGMA CONCEPTS
Six Sigma is a Business Philosophy
Six Sigma
Customer focused business improvement process.
Defect reduction in a process or product.
Common measurement scale called the Sigma capability or Z.
Six Sigma capability corresponds to an efficiency of 99.9996%.
Six Sigma was developed by Bill Smith, QM at Motorola
Its implementation began at Motorola in 1987
It allowed Motorola to win the first Baldrige Award in 1988
Several major companies in the world have adopted Six Sigma
since then .and applied to Manufacturing processes to improve
product quality

Texas Instruments, Asea Brown Boveri, AlliedSignal, General
Electric, Bombardier, Nokia Mobile Phones, Lockheed Martin, Sony,
Polaroid, Dupont, American Express, Ford Motor,.

GE applied the Six Sigma methodology to improve all business
processes and it became a way of running the business.
Six Sigma is a Competitive Tool
History
Applicable at all levels
Expectations of People Capability
50,000 feet view


500 feet view



5 feet view




Ground level
Characterize &
Optimize

Define, Measure,
Analyze, Improve &
Control

3 + 12 step process




Tools (info synthesis
and statistics)
Everybody should
understand, use & teach

Executives - understand
Managers - understand,
use and teach (YB)

Managers understand,
Project Leaders
understand, use and
teach (GB/BB)

GB/BB understand, use
MBB teach
LEVEL CONTENT COMPETENCY
The Standard Deviation
m
1s
T USL
p(d)
Upper Specification Limit (USL)
Target Specification (T)
Lower Specification Limit (LSL)
Mean of the distribution (m)
Standard Deviation of the distribution (s)
3s
1 Sigma - 68%
2 Sigma - 95%
3 Sigma - 99.73 %
(X X)
2

n-1
s =
Target
Customer
Specification
Target
Customer
Specification
1 s
2 s
3 s
A 3 s process because 3 standard deviations
fit between target and spec
3 s
0.27% Defects up-to 6.6 %
Before
What Is Six Sigma
1s
2s
3s
4s
5s
6s
After
6 s !
No Defects!
Reducing Variability Is The Key To Six Sigma
The Focus of Six Sigma
Dependent
Output
Effect
Symptom
Monitor
X1 . . . XN
Independent
Input-Process
Cause
Problem
Control
f (X)
Y
Would you control target or the shooter to get the Gold Medal?
The Eye of the Beholder
Customer
Process
Supplier Process

C
A
B
Customers View
How did Supplier influence my
A C Performance?
Handling Defects found at my end
Suppliers
View
How did I do against my
A B Obligations?
Handling Damage at my end
Focusing on Average
Focus on Average can turn your business red
Average
River
Depth -4ft
How are we viewed by our customers?
Reactionary, not preventative
Adequately responsive to
customer needs
Problems not permanently
solved
Hard perennial problems not
solved.
Inconsistent
Flawed Startups
Customers look for our competitors
The Need for Six Sigma
How do we want to be viewed by our customers?
Proactive
Quick, agile
Having robust products
System experts
Flawless during startups
Continuously improving
through an Enterprise-wide
problem prevention/problem
solving culture
Our Customers Best Supplier
The Need for Six Sigma
The DMAIC Methodology
Improve
You have a problem
definition and a thorough
execution plan
Ensure you have output
measures for process and
reliable ways of measuring it
You ensure reliable
analyses and decisions
Identify Project, People and
Process
Find the gaps between current and
final states
Find root causes and develop
solution
You have the solution to
the problem
You understand the
problem now
Communicate, standardize and
document the improvement
You have ensured sustained
improvement
Analyze
Control
Measure
Define
STEP OUTPUT INPUT
6 Sigma
Methods
Manufacturing
Engineering Marketing
Purchasing
Software
HR
Finance
... Can Be Applied To Every Business Function
Where to apply..
Example - Pizza Delivery Service


Dabbawala and Co. a fast food company, owned by Mr.
Dabbawala Pizza runs a pizza delivery service in and around
Delhi. Dabbawala and Co. which was doing very well over the
last four years, notices a drop in sales over the past five
months. Customer complaints about deliveries have been
gradually on the rise. Several complaints from customers
regarding irregular deliveries were bothering Dabbawala. He
had increased the number of delivery personnel to improve
delivery performance. But his customers were still leaving
him.

Pizza Hut, a multinational fast food chain, had set up shop in
downtown and was becoming more popular with the
customers. Dabbawala neither had the financial muscle to
match Pizza Huts advertising blitz nor could afford the
expensive packaging to lure his customers back.
1. How does the customer
view Dabbawalas Quality?

2. Who are the stakeholders -
Customer and Process
Improvement Team?

3. Which of his processes
should he try to improve in
order to improve Sales?

The Define Phase
Grow
revenues
Improve
Sales
So whats
new
Get more
orders
Divisional directive
Plant objectives
Functional goals
Employees
A. IDENTIFY PROJECT CTQs:



A requirement of the customer is that the Pizza should be delivered
on time. Thus for the customer, Delivery is Critical to the Quality of
Dabbawalas service (CTQ).


Voice of Customer (VOC)
Affinity Diagram
CTQ Tree.
The Define Phase - Step A
The Define Phase - Step B
B. DEVELOP TEAM CHARTER:

The Business Case
Why should the project be done

Problem and Goal Statement
Description of the problem/opportunity

Roles and Responsibilities
The team, expectations and responsibilities

Stakeholder Analysis, TMAP, Gantt Chart

The Define Phase - Step C
C. DEFINE PROJECT SCOPE:

Identify the high level process to be improved
Define boundaries of project


SIPOC
Stratification Analysis
Contract Sheet
The 7 Basic Tools - 1
STRATIFICATION ANALYSIS:
Stratification analysis (Is / Is Not Matrix) is helpful in defining the
conditions surrounding the problem - bounding or scoping
Is Is Not Distinctions
Geography
South, East and
Central Delhi
West and North
Delhi
West and North
Delhi are sub-
contracted
Output Delivery time
Mixups, Hygiene,
Temperature
Customer
Lower and Middle
Income
Higher Income
Premium service
for higher
income group
Time After Aug 09 Before Aug 09
Increased
employees in
Aug 09
The Define Phase - Summary
The Define phase is owned
by the Project Sponsor. The
three steps of the Define
phase are:

1. Identify Project CTQ
2. Develop Team Charter
3. Define Project Scope


VOC, Affinity
Diagram,
CTQ Tree, Gantt
Chart, SIPOC, Stakeholder
Analysis, TMAP, Stratification
Analysis
Grow
revenues
Widen
Customer
Base
Reduce
variation in
delivery time
Improve
Delivery
process
Divisional directive
Plant objectives
Functional goals
Employees
1. IDENTIFY CTQ CHARACTERISTICS

Translate the CTQ to a measurable output of the delivery
process

Delivery time can be measured in many ways:

1. No. of times the delivery person delivered during the
shipping window (Discrete measure)
2. Time taken to travel from Dabbawalas location to customer
location (Continuous measure)
3. Actual delivery time as seen by customer (Continuous
measure)

Delivery time is the Project Y.
The Measure Phase - Step 1
2. DEFINE PERFORMANCE STANDARDS:

What are the customers requirements on Delivery time?
What is the definition of a defect?

1. Capture the Target (mean) delivery time - On time
2. Get the allowable variation on Y - +/- 30 minutes





VOC
Competitive Benchmarking
The Measure Phase - Step 2
Target
L
o
s
s

Y
Loss (Deviation)
2

LATE DELIVERY
15 30 45 15 30 45 0
LSL USL
Visualize customer requirements
Customer
does not
want earlier
than this
The customer
tolerance
window is 30
minutes on
either side
This is the
target
delivery time
EARLY DELIVERY (MINUTES)
Customer
does not
want later
than this
The Measure Phase - Step 2
The Measure Phase - Step 2
Preparation for data collection:

1. The Y or the Delivery Process Output
2. The Xs or the Inputs to the Delivery Process

Generate a list of Xs
Brainstorming
Process Map (PMAP)
Failure Modes Effects Analysis (FMEA)
Cause & Effect Diagram or Fishbone
Quality Function Deployment (QFD)
Prioritization Matrix
Check-sheet
The 7 Basic Tools - 2
CHECK-SHEET (DATA COLLECTION FORM)

Check-sheet is a data collection sheet used to record occurrences of
an event to look for patterns in the data in order to quantify the
problem and to facilitate understanding.
Categories Jan 6 Jan 7 Jan 8 Jan 9 Total
Misinterpreted
Label
llll llll llll llll llll l llll llll
llll
llll lll 47
Traffic
llll lll llll llll llll ll 24
Parking
lll llll ll ll llll l 18
Large Order
llll lll llll ll 15
Locating home
ll l l lll 7
Others
l ll l 4
NO. OF LATE DELIVERIES
Prepare to collect data on the Xs also !
The Measure Phase - Step 3
3. EVALUATE MEASUREMENT SYSTEM:
CAUTION: Objects in mirror
are closer than they appear
Measurement system may
introduce variation into data

Actual process variation +
measurement variation =
data

Identify and remove
contribution to variation from
measurement system

Ensure reliable data
MSE, Gage R&R, Test Re-
test, Kappa Method, Intra-
Class Correlation
The Measure Phase - Summary
A data collection plan is done in the Measure phase. It sets the
expectations for the project. This phase is owned by the Project
Leader. The three steps of the Measure phase are:

1. Identify CTQ characteristic
2. Define Performance Standards
3. Evaluate Measurement System

The list of tools available for the Measure phase are:

Brainstorming, PMAP, FMEA, MSE, GR&R, C&E
Diagram or Fishbone, Quality Function
Deployment or QFD, Prioritization Matrix,

Learn more about the PMAP, FMEA and MSE in the Six Sigma
Green Belt Training.
4. ESTABLISH PROCESS CAPABILITY

What are the chances of your process creating defects?
Baseline the current process:
Measure variation in current process output
Evaluate against Performance Standards

Understand variation in your data with the help of:
Histogram
Box and Whisker plot
Dot plot
Standard Deviation
Variance
Sum of Squares
The Analyze Phase - Step 1
The 7 Basic Tools - 3
HISTOGRAM

The Histogram is a graphical data summary tool which groups
observed data into pre-defined bins in order to analyze the data
values and distribution.
Target time
hrs
Delivery time
hrs
12:30 12:18
12:30 12:26
13:30 13:34
13:30 13:42
13:00 13:07
13:00 13:06
13:30 13:23
13:30 13:41
12:30 12:26
12:30 12:37
Target time
hrs
Delivery time
hrs
13:00 12:38
13:00 13:09
13:00 12:49
13:00 13:05
13:30 13:31
12:00 12:04
12:00 12:08
12:00 12:10
13:00 13:18
13:00 13:01
Target time
hrs
Delivery time
hrs
13:30 13:45
13:30 13:21
12:00 12:17
12:00 11:58
12:00 12:17
12:00 11:46
12:00 11:53
12:30 12:33
12:30 12:30
13:30 13:28
The 7 Basic Tools - 3
CREATING A HISTOGRAM:

Using the concept of the late and early deliveries, take the target
time as the reference, and find the number of minutes by which
each delivery is late or early.
1. Subtract Target time for each
data point from the Delivery time
2. Define 5 predetermined bins
(class intervals) of size equal to
10 minutes, from -25 to 25 on a
horizontal line
3. Place each data point vertically
in a bin according to its value
4. Draw a bar equal to the height
of stacked up points
-25 25 -15 -5 5 15
The Analyze Phase - Step 1
LATE DELIVERY
15 30 45 15 30 45 0
Measure the process output
EARLY DELIVERY
(MINUTES)
N
U
M
B
E
R

O
F

D
A
T
A

P
O
I
N
T
S

Dabbawala has an
average delivery time (m)
2 minutes late and a
standard deviation (s) of
10 minutes
m
s
The Analyze Phase - Step 1
LATE DELIVERY
15 30 45 15 30 45 0
Measure the Process Output
EARLY DELIVERY
(MINUTES)
m
s
USL
LSL
10 minutes
30 minutes
Z =
Process standard deviation
Customer tolerance
Z =
Z = 3
The Analyze Phase - Step 1
Process
Capability
Defects per
Million
Opportunities
2 308,537

3 66,807

4 6,210

5 233

6 3.4
Higher Z implies lower defects
Inspect in
Quality
Manufacture in
Quality
Design in
Quality
It is cost
effective to
Sweet Fruit
Design for Processability
Bulk of Fruit
Process Characterization
and Optimization
Low Hanging Fruit
Seven Basic Tools
Ground Fruit
Logic and Intuition
3 s Wall, Beat Up Suppliers
4 s Wall, Improve Processes
5 s Wall, Improve Designs
Mikel Harry, 1994
Getting the Competitive Edge
Do you know the Sigma capabilities of the following processes?
U.S. Manufacturing industry average
Japanese manufacturing industry average
Flight fatality in airline industry
Airline Baggage handling
Doctor prescription writing
Tax advice by Internal Revenue Service in U.S.
4.0
5.5
6.4
3.2
2.8
2.5
Sigma capability, Z
Industry Benchmarks
Six Sigma is a Metric
Target
USL LSL
Center
Process
Reduce
Spread
The Analyze Phase - Step 2
Process Off Target Excessive Variation in Process
Target
USL LSL
Target
USL LSL
Understand your Problem
5. DEFINE PERFORMANCE OBJECTIVES
Hypothesis testing
Quiz - Characterize
Six Sigma is a
A. Statistical Quality Tool
B. Business Philosophy
C. U.S. Management style

The goal of Six Sigma is to
A. Reduce defects to 3.4 per million
B. Improve products
C. Reduce variation

In the Pizza Delivery Service example,
what is the CTQ?
A. Lunch
B. Time
C. Delivery

If a process is Six Sigma (Z=6), it implies
A. Process is 99.99% good
B. Products are 99.99% defect free
C. There are only 3.4 defects in a million
opportunities

What is the Y?
A. Measurable Process Output
B. Voice of the Customer
C. Process Input

Who gives the USL and LSL?
A. Management
B. Customer
C. Derived from the process data

In the example, the Voice of the
Customer is characterized by
A. Delivery time
B. No. of deliveries made
C. Tolerance around the Target

In the example, the delivery service is
characterized by
A. Mean delivery time
B. Tolerance around the Target
C. Mean & variation of the delivery time


6. IDENTIFY SOURCES OF VARIATION
To find root causes or Xs

Fishbone or C&E Diagram (Ishikawa)
PMAP
FMEA
QFD

Fishbone (Ishikawa) is another of the 7 basic tools. It is also known
as the Cause & Effect Diagram. It is a hierarchy of causes that starts
with the primary cause and then steps several layers in detail to drive
towards possible root causes.

The Analyze Phase - Step 3
Delivery
Time
MACHINE MOTHER NATURE MATERIALS
MAN
METHODS
Poor
dispatching
Delivery person gets lost
Delivery person
does not show up
Poor handling of large orders
Run out of storage
space on vehicles Weather
Too many
sacks
Develop a list of Xs that possibly affect Y
The 7 Basic Tools - 4
Dont know
routes
High turnover
Get wrong
information
Did not
understand
labels
No
teamwork
No training
Unreliable bikes
Delivery persons own junk
Cant locate
employees homes
Not on std routes
Did not
understand
labels
Too few
delivery
persons
Uneven distribution
of delivery loads
MEASUREMENT
No money for
repairs
Too many orders
per person
Too few delivery
persons
Large items
difficult to carry
in bus /bikes
Sacks
too small
Bus service
unreliable in
peak hours
Too much traffic
Parking space
problem
FISHBONE
7. SCREEN POTENTIAL CAUSES

To find the Vital Few Xs and separate it from the Trivial Many
Pareto
ANOVA (Analysis of Variance)
Regression
Chi-Square tests


Systematic data generation (if historical data is not sufficient)
Design of Experiments (DOE)

Statistical Analysis to identify Vital Few Xs
The Improve Phase - Step 1
The 7 Basic Tools -5
PARETO
This is also called the Pareto Principle or the 80/20 rule and is used
to identify the Vital Few Xs.
Label
Traffic
Parking
Order Size
Location
Others
Cut-off level to be decided by team consensus based on
Process knowledge
Resource availability
The Improve Phase - Step 2
8. DISCOVER CAUSAL RELATIONSHIPS

To find out effect of Xs on the Y
X1
Y
X2
Regression
Scatter Diagram
The 7 Basic Tools - 6
SCATTER DIAGRAM
A Scatter Diagram is a graph that shows the relationship between
two numerical variables, X and Y
NO. OF PIZZAS / DELIVERY PERSON

D
E
L
I
V
E
R
Y

T
I
M
E

S
P
A
N

It is used to look for a cause
and effect relationship
between the two Numerical
variables.
In this example, the Scatter Diagram shows that the Delivery time is
less if the number of lunches per delivery person is less.
9. ESTABLISH OPERATING TOLERANCES

The Improve Phase - Step 3
xL
xT
xU
USL
LSL
x
y
x f y
NO. OF PIZZAS PER DELIVERY PERSON
D
E
L
I
V
E
R
Y

T
I
M
E

10. VALIDATE MEASUREMENT SYSTEM ON X
The Control Phase - Step 1
Measure
s
LSL USL
Tolerance
Ensure noise from
measurement system
on X is small
compared to process
variation
sprocess
smeasurement
MSE, GR&R
Test - Retest,
Kappa Method,
Intra Class Correlation
11. ESTABLISH NEW PROCESS CAPABILITY
The Control Phase - Step 2
LATE DELIVERY
15 30 45 15 30 45 0
EARLY DELIVERY
(MINUTES)
USL LSL
Z = 4.5
12. IMPLEMENT PROCESS CONTROL

A good Control Plan should be put in place to ensure sustained
improvement. This may include:

1. Use of Control Charts to monitor Xs
2. Documentation of Control Plan
3. Update of process documents such as PFMEA
4. Error Proofing
5. Standardization
The Control Phase - Step 3
RUN CHART

A Run Chart is a time series plot of data that allows a team to study
observed data for trends or patterns over a specific period of time. It
captures instances when the process is changing more than
statistically expected
The 7 Basic Tools - 7
0
10
20
30
N
o
.

l
u
n
c
h
e
s
/
p
e
r
s
o
n

The DMAIC Steps and Deliverables
A. Identify project CTQs Identify customers, customer CTQs and Business Case
B. Develop Team Charter Problem statement, Project Scope,Team, Milestones
C. Define Project Scope High Level Process Map connecting customers to process
1. Select CTQ characteristic Identify measurable characteristic of CTQ (Y)
2. Define performance standards Confirm specification limits (requirements) for Y
3. Evaluate Measurement System Ensure measurement system is capable
4. Establish process capability Baseline the current process
5. Define performance objectives Understand statistical objective - reduce variation or shift means?
6. Identify sources of variation List significant causes (Xs) or factors
7. Screen potential causes Determine vital few Xs, which will be controlled
8.Discover variable relationship Find causal relationship and optimal solution
9. Establish operating tolerances Validate the relation and determine specs on Xs
10. Measurement System Evaluation on Xs Ensure X measurement is capable
11. Establish process capability Establish improved capability
12. Implement process control Document control plan
Its a common sense approach
STEP
DELIVERABLES
Attributes of a Six Sigma GB project
1. Customer Focused: A Six Sigma GB project should address a
customer CTQ

2. Data Driven: In a Six Sigma GB project, decisions should be
made using data analysis and not on gut feelings or intuitions

3. Variation reduction: Six Sigma GB projects address the issue
of variation in process outputs and is aimed at reducing variation
Quiz
Characterize part consists of
A. Define and Measure
B. Define, Measure and Analyze
C. Define, Measure and part of Analyze

Optimize part consists of
A. Analyze, Improve and Control
B. Improve and Control
C. part of Analyze, Improve and Control

In Six Sigma, Xs are
A. Unknown variables
B. Excess variation
C. Process Inputs

Which of the following is used to list Xs?
A. DOE
B. Fishbone
C. Pareto

The Pareto principle is
A. Also called the 80/20 rule
B. Used to identify the Vital Few
C. Useful in the Analyze phase

Which of the following tools is used to
generate data?
A. Analysis of Variance (ANOVA)
B. DOE
C. Regression

Which of the following cannot identify the
Vital Few Xs?
A. Analysis of Variance (ANOVA)
B. DOE
C. Regression

A Six Sigma GB project has to
A. Finish in 3 months
B. Show dollar savings
C. Address the variation issue
SECTION B

SIX SIGMA
ROLES & RESPONSIBILITIES
Executive Champion
Responsible for providing resources to BB/GBs
Help in team selection
Track progress of project
Generally is supervisor of BB/GB. May help in selection of the project
Sponsor
Call for need of project (Project identification)
Beneficiary of the project
Validate current status and status after completion of project
Allocates resources for the project
Ensure compliance to controls established as a result of the project
Project Leader (Black Belt / Green Belt)
Lead the project
Ask for resources required
Call meeting of stakeholders and seek help from EC when stakeholders are
not responding
Ensure team involvement and sponsors buy in for solution
Publish weekly progress report & call for help when required

Roles and Responsibilities
Deployment Champion
Mentor and guide BBs/GBs
Provide technical help when BBs/GBs reach a roadblock
Publish Summary report of all projects
Raise alarm when things are not moving
MBB
Train BB/GB
Assess the skills of BB/GB
Certification of GBs and BBs after completion of projects
Deployment of Global policies and procedures
CFO/Finance
Assess the saving potential at start of project
Validate savings against the targets achieved at completion of project

Roles and Responsibilities
Roles and Responsibilities
Yellow Belt (YB): Should understand the DMAIC process and
use the Six Sigma philosophy (Stakeholder involvement).

Green Belt (GB): Should be able to use DMAIC process with
basic Six Sigma tools for project execution. Lead Six Sigma
projects in their functions.

Black Belt (BB): Should be able to use advanced tools in
projects and teach Green Belt level techniques / tools.
Identifies Six Sigma projects and leads project teams.
Mentors Green Belts. Process experts in their functions.

Master Black Belt (MBB): Should be able to train Black
Belts and Green Belts. Mentors Black Belt projects. Drivers
of cultural change. Process experts in any function. Can
develop new tools.
10 weeks (3 - 5 day training)
3 months avg.
Six Sigma GB Training
Project Application
S
i
x

S
i
g
m
a
Achieved a
score of 5 or
greater in all
tool sets?
No
Improve Tools and
Application to Project
Yes
Technical
Certification
A
A
Project Completed
and Final Report
Submitted and
Approved by
Sponsor and
Finance
No
Complete Project and
Submit Final Report
Yes
Six Sigma Green Belt and
I & CIM Associate Certification
Based on demonstration of the Six
Sigma tools.
Occurs during project reviews and
on-site visits
Instructor or MBB is responsible
for technical certification.
Evaluation form sent to GB and
Champion after each session.
The GB Certification Map
Basic statistics training (not mandatory for Certification)
Summary
Knowing Customer CTQs
Data driven improvements
Focus on the (Xs) of the process
Application of statistical tools to business problems
Understanding process capability and its impact on quality
An environment that demands only the highest performance
standards.
Success will be defined when our customers notice !