Objectives

Develop undestanding of Six Sigmaof Six Sigma Quality Develop understanding

What Is Six Sigma?

Measure of Quality

Six Sigma is a measure of quality that strives for near perfection. The Six Sigma process uses data and rigorous statistical analysis to identify "defects" in a process or product, reduce variability, and achieve as close to zero defects as possible.

What Is Six Sigma?

Measure of Quality
Using a universal measurement scale, Six Sigma defines and estimates the opportunities for error and calculates defects in the same way every time, thus offering a means for measuring improvement. In fact, Six Sigma takes its name from the Greek letter "sigma," which is used in statistics to indicate standard deviation.

The Six Sigma methodology incorporates this data and statistical analysis into a project-based workflow that allows businesses to make intelligent decisions about where and how to incorporate improvements.

What Is Six Sigma?

Measure of Quality

6 Sigma is a Statistically based Quality Program. It is a rigorous methodology to improve process control.

Process Capability needs to be Better than you think !

Activity Mail Delivery

Defects @ 99% ( 3.8 Sigma ) 20,000 lost articles of mail per hour

Defects @ 99.9997% ( 6 Sigma ) 7 lost articles of mail per hour

Drinking Water
Hospital Surgery Air Travel

Unsafe drinking water for 15 mins per day

5000 incorrect procedures per week 2 abnormal landings at most airports each day

Unsafe drinking water for 2 mins per year

2 incorrect procedures per week 1 abnormal landing every 5 years

Sometimes 99% is just not good enough

What Is Six Sigma?

Process For Continuous Improvement

6 Sigma provides a process based approach to continuous improvement. It is independent of the measurement involved & can be used to improve any business process

Two Routes to choose from :

1) Improved Control

DMAIC
Analyze Improve Control

Define

Measure

The Process is capable - the Issues lie with the Variation

How to do ?
The DMAIC Model At the heart of Six Sigma is a systematic method for analyzing and improving business process called DMAIC. The DMAIC model includes five phases: Define Measure opportunities performance

Analyze
Improve Control

opportunity
performance performance

2) New Process

DF S S

Design For Six Sigma

New Process Development Creating 6 Sigma Process Capability

What Is Six Sigma?

Enabler For Cultural Change

To be successful, 6 Sigma requires a radical change in the way an organization works. Business Leadership and 6 Sigma can together transform a company

Its all about Getting Results

Significantly Higher Net Income Simpler Processes - Speed everywhere

True Focus on What the Customer Wants

Improved Employee Satisfaction

Example of 6 Sigma
LightSpeed CT Scanner
Exam Time Before Exam Time After Procedures per Year

HEAD
1 minute SPINE 2 minutes 15 seconds 19 seconds

9 million

1 million

Head: skull, brain

CHEST ABDOMEN PELVIS 3 minutes 17 seconds LIVER 20 seconds 06 seconds

4 million

6 million

Abdomen: liver, spine, kidney

Image Speeds

Before

After

Unparalleled Resolution in a Fraction of the Time

6 Concepts
Concept
Critical-To-Quality Characteristics (CTQ)

Definition
Customer performance requirements of a product or service Any event that does not meet the specifications of a CTQ Any event which can be measured that provides a chance of not meeting a customer requirement

Defect Defect Opportunity

Concept Defects At The Core Of 6 Concept OfOf Defects At The Core Of 6

Data Types
Continuum of Data Types
Discrete Continuous

Binary

Ordered categories

Count

Description

Classified into one of two categories

Rankings or ratings

Counted discretely

Measured on a continuum or scale

Example

% of applications with one or more errors

Customer satisfaction rating of call center service

Number of errors in an application

Time (in hours) to process an application

How Does The Customer Measure Your Process?

DPU and DPMO

= 1 unit 1 unit = 4 opportunities = 1 opportunity
= defect

DPU = 1 dpo = 0.25 dpmo = 250,000

DPU = 2 dpo = 0.5 dpmo = 500,000

DPU = 3 dpo = 0.75 dpmo = 750,000

Is this unit better than the one shown above it?

DPU = 1 dpo = 0.125 dpmo = 125,000

DPU x10 6 dpmo Opportunities or dpmo x Opportunities DPU = 10 6

Sigma Calculation
1. 2. Number of Units processed Number of Defect Opportunities Per Unit

15 N = __________
1 O = __________ 5 D = __________ 5 0.333

3.
4.

Total number of Defects made

Defects Per Opportunity DPO = D NO ( )

=
)

( 15 ) (

5.

Convert DPO to DPMO

0.333 DPMO = DPO 1,000,000 = __________ 1,000,000

6. Look up Process Sigma in

333,000 = _________

Abridged Process Sigma Conversion Table

1.93 Sigma(ST) = __________

DPMO 333,000 Sigma = 1.93

Yield

Yield = [Total opportunities - Defects] / Total Opportunities * 100

Tools used for Six Sigma

Quality = meeting customer needs and providing superior value.
Meeting customer needs requires that those needs be understood.

VOC

The "voice of the customer" is the term to describe the stated and unstated customer needs or requirements.
Customer has Stated and Unstated needs and we try to extract both

VOC

The Voice of the Customer (VOC) refers to information from customers gained from a variety of sources about the expected and/or actual performance of a product or process Voice of the Customer data can be quantitative or qualitative and is derived from a number of sources.

It can be conveyed in written or verbal form, or it can be expressed by the customer's actions.
VOC data can be offered freely by a customer or actively solicited by a business. This could be done by way of interviews, surveys, focus groups, feedback forms etc.

VOC
Focus Groups A structured group interview of potential users or stakeholders Used for collecting Qualitative data such as opinion, attitudes etc Interview An interview is a structured question-and-answer session designed to obtain specific information.

An interview may be held in person or by telephone with an individual or a group.

Survey A method of gathering information from a sample of individuals. For example,
a sample of voters is questioned in advance of an election to determine how the public perceives the candidates and the issues .. a manufacturer does a survey of the potential market before introducing a new product ... a government entity commissions a survey to gather the factual information it needs to evaluate existing legislation or to draft proposed new legislation.

QFD

QFD - Quality Function Deployment

WHAT IS QFD ?
Method for Translating Customer Requirements Into An Appropriate Company Program and Technical Requirements at Each Phase of the Product Realization Cycle.

An Orderly Process for Determining CTQs Common Sense Approach BASIS - Ask Your Customer Listen --- REALLY LISTEN

QFD

WHAT DOES QFD DO?

CONCEPT CUSTOMER

PLAN

DESIGN

REDESIGN

MANUFACTURE

PLAN

DESIGN

REDESIGN

MANUFACTURE BENEFITS BENEFITS

QFD IS A PRODUCTIVITY ENHANCER

QFD

QUALITY FUNCTION DEPLOYMENT

System Features (HOWs) Product Functionality (HOWs)

Customer Wants (WHATs)

System Features (WHATs)

Product Functionality (WHATs)

System Characteristics (WHATs)

House of Quality #1

House of Quality #2

System Characteristics (HOWs)

Design Alternatives (HOWs)

House of Quality #3

Y
Critical-to-Quality Characteristics (CTQs)

House of Quality #4

X
Key Characteristics RDD Key Process Variables

NOTE: The Hows at One Level Become the Whats at the Next Level

CTQ
What is Critical to Quality (CTQ)?
What a customer tells us they want from our product / service or process output CTQs are rendered from Voice of Customer (VOC) CTQs must be specific CTQs must be measurable CTQs must be actionable

Why Is It Important To Move From VOC to CTQ?

Moving from VOC to CTQ enables us to clearly state customer needs that are specific, measurable and actionable. CTQs help us to know exactly what product feature or process performance level is required in order to meet the customers need. Accurate VOC-to-CTQ translation is critical to achieve positive customer impact. Translating is NOT re-writing the voice of the customer, but is clearly stating the specific process requirements and specifications CTQs are the primary input to our performance measurements and improvement efforts. CTQs are defined when VOC is effectively translated into specific & measurable requirements

CTQ

CTQs always have three elements:

CTQ Category (also known as an Output Characteristic or CTQ name, e.g. Claims Processing Timeliness) Customer Specification (customers requirement of our product/ service or process, e.g. 30) Unit of Measure (how output is quantified by the customer, e.g. Days)

CTQ Example: Claims Processing Timeliness: 30 Days

Category Specification Unit of Measure

ACHT (Average Call Handle Time): 160 secs TAT (Turn Around Time): 1 day

CTQs - The Bridge Between Our Processes & Customer Delight!

Boxplots

By default, a boxplot consists of a box, whiskers, and outliers.

A line is drawn across the box at the median. By default, the bottom of the box is at the first quartile (Q1), and the top is at the third quartile (Q3) value.

The whiskers are the lines that extend from the top and bottom of the box to the adjacent values.
The adjacent values are the lowest and highest observations that are still inside the region defined by the following limits:

Lower Limit:
Upper Limit:

Q1 - 1.5 (Q3 - Q1)

Q3 + 1.5 (Q3 - Q1)

Fish bone / root cause

Purpose
Create a Visual Display of possible root causes

When
to expand your thinking to consider all possible causes To gain Groups input

Also called Cause and Effect Diagram

X (Material)

X (Measurement)

X (Methods)

Ys (Effect)

X (Machinery)

X (People)

X (Enviornment)

X s (Causes) called as 5 Ms and 1 P

Brainstorming tool root cause analysis of any Effect (Y)

Quality Involves...

Every single one of us

Every job, product, process and function

Getting it right first time, not just fixing it

afterwards

How You Can Get Involved Today

Think about your own metrics Who are your customers: internal and external? What do you deliver to your customers? What do they think is critical to their using your product to get their job done? How do you measure up?

Ultimately, Six Sigma is about more than numbers. It's a highly disciplined methodology and practice that provides the tools you need to achieve consistent, highperformance results from your products and processes.

By increasing performance and decreasing variation, Six Sigma allows organizations like yours to make customer-focused, data-driven decisions that ultimately yield a reduction in product defects, increased profits and employee morale, and high-quality products a win-win situation for everyone involved.