six sigma presentation
TRANSCRIPT
By:
Aditya Singhal (CA, DISA. M.com) &
Anand K Anand (Six sigma black belt)
Overview of Six sigma
Why do we need Six Sigma program ?
The Players in Six Sigma/ Six Sigma Certification levels
Sigma Improvement process
Q & A
The plan for today’s presentation
Overview of
Six Sigma
Evolution of Six Sigma
A set of advanced tools/ techniques and methodologies which can be used to bring in rapid and breakthrough improvement in performance
and/ or
A business strategy used for bringing in enhanced customer focus in the organization , increase fact based decision making and create an environment for “tangible improvement”
What is Six Sigma ?
What is Six Sigma … in a nutshell…… ?
Business Im
pact
Literal
Definition
Philosophical
Definition
Low
High
A Metric 3.4 DPMO
A process
Improvement MethodologyDMAIC
A Management
systemStart with the CTQ Dedicated Resources
Data Driven Decisions
Six Sigma Metric
The term “Sigma” is used to designate the distribution or spread about the mean (average) of any process or procedure
For a business or manufacturing process, the Sigma level is a metric that indicates how well that process is performing. The higher the sigma level , the better/ sigma level measures the capability of the process to perform defect-free work. A defect is anything that results in customer dissatisfaction.
D σAs defects
Go down….
The Sigma
Level goes up
1.0 Define
Opportunities
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
2.0 Measure
Performance
D M A I C
Define the
Project,
Assignment,
goals and
customer
(internal And
external)
deliverables
Measure the
process
to determine
Current performance
Analyze and
determine
the root causes
of the defects
Improve the process
by working
on the validated
root causes
Control the improved
Process performance
To ensure sustainable
results
An Improvement Methodology
Strategic Six Sigma – form strategy to actionMargin
Improvement
Earnings per
share GrowthRevenue Growth
New Service
Development
Product
Reliability
Marketing
Effectiveness
Manufacturing
Productivity
Supply
Reliability
Developing
People
Brand Management
Market Share Growth
Grow Revenues
in key Markets by
20% by YE’s05
Improve Yield
of product “X”
By 5% YE’05
Develop & produce
Product “Z” by YE’06
Reduce Cycle time
of Key Process
“Y” 10% by YE’05
“Just Do It” “Lean Projects” “DMAIC Projects” “DFSS Projects”
Define key Business
Performance Targets
Articulate Core Enterprise
Issues & strategies
Identify Strategic
Improvement
goals
Identify & Prioritize Specific
Improvement Projects
Create active projects
Led by Black Belts/
Green belts
Six Sigma is different from other traditional quality and process improvement methodologies
The extensive focus on customer requirementThe direct link to business strategy and financial resultsThe required commitment of top leadership up-front and continuouslythrough years of implementationEach project delivers bottom line results in a short time The disciplined improvement methodology based on measurement and analysisFull-time Six Sigma team leaders who are extensively trained in statistical thinking as well as team and project skillsThe integration of Six Sigma thinking into the business infrastructurethrough incentives and rewards
Why do we need
Six Sigma project
Benefits of Six Sigma
To Six sigma teamOpportunity to hone skills in diverse areas of problem solvingKnowledge on statistical tools, analytical methods, communications & leadership skill
To OrganizationRapid improvement in performanceEnhanced customer focusCultural change and a employee base dedicated to tangible performance improvement.Saving in bottom line
To Customer Quality improvement, cost reduction ,
The Players
in Six Sigma
Champions
Black Belts / Green Belts
ProjectSponsors
YellowBelts
Training & Projectguidance by
Central Quality Team
The core
team
The Players in Six Sigma
Focuses normally on one CTQ or
Project goal.
Duration normally 3 – 6 month- can
extend in special cases.
Executed by task force time team of 3 to 7 members (ideally 5).
The project is deemed to be completed once appreciate improvement is Registered and sustenance is ensures by monitoring over a reasonable period of time.
Thereafter the CTQ is monitored and
reported on on-going basis
Footnote: Six Sigma expertise hierarchy has no
Mapping with organization hierarchy.
Six Sigma Process
Sigma Improvement Process: DMAIC
Y = f (X)
1. Define : Customer expectations of the process ?
2. Measure : What is the frequency of defects ?
3. Analyze : Why, when, and where do defects occur ?
4. Improve : How can we fix the process ?
5. Control : How can we make the process stay fixed ?
1.0 Define Opportunities
2.0 Measure
Performance
1.0 Define
Opportunities
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
•To identify and/or validate the improvement opportunity
•Develop the business processes
•Define critical customer requirements,
•Prepare themselves to be an effective project team
•Develop a Project Plan to Manage the Project
•VOC - Critical Customer Requirements – CTQ
•Team Charter•Process Maps•Quick Win Opportunities
•Project Plan•Team Resources
•Communications Plan
•Validate/Identify Business Opportunity
•Validate/Develop Team Charter
•Identify and Map Processes
•Identify Quick Win and Refine Process
•Translate VOC into CCRs
•Develop Team Guidelines & Ground Rules
•Develop Communication and Change Management Plan
2.0 Measure Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
2.0Measure
Performance
1.0 Define
Opportunities
3.0 Analyze
Opportunity
4.0 Improve
Performance
5.0Control
Performance
•To identify critical measures that are necessary to meet CCR’s
•Develop a methodology to effectively collect data to measure process performance
•Understand the elements of the six sigma calculation
•Establish baseline sigma
•Understand the purpose and outputs of Measure
•Input, Process and Output Indicators
•Operational Definitions
•Data Collection Formats and Plans
•Baseline Six Sigma Performance
•Identify Input, Process and Output Indicators
•Develop Operational Definition & Measurement Plan
•Plot and Analyze Data•Determine if Special Cause Exists
•Determine/Target Sigma Performance
•Collect Other Baseline Performance Data
•Benchmarking
3.0 Analyze opportunity
Objective Main Activities Potential Tools and Techniques Key Deliverables
3.0 Analyze
Opportunity
1.0 Define
Opportunities
2.0 Measure
Performance
4.0 Improve
Performance
5.0Control
Performance
•To stratify and analyze the opportunity
•Identify a specific problem
•Define an easily understood problem statement
•To identify and validate the root causes
•FMEA and action plan •Data Analysis•Potential Root Causes•Validated Root Causes
•Stratify Process•Stratify Data & Identify Specific Problem
•Develop Problem Statement
•Identify Root Causes•Design Root Cause Verification Analysis
•Validate Root Causes
•Enhance Team Creativity & Prevent Group-Think
4.0 Improve Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
4.0 Improve
Performance
1.0 Define
Opportunities
2.0 Measure
Performance
3.0 Analyze
Opportunity
5.0Control
Performance
•To identify, evaluate, and select the right improvement solutions
•Develop a change management plan
•Solutions•To Be Process Maps and Documentation
•Implementation Milestones
•Improvement Impacts and Benefits
• Pilot plan and pilot results
•Projected Process performance (Sigma)
•Generate Solution Ideas
•Determine Solution Impacts: Benefits
•Evaluate and Select Solutions
•Develop Process Maps & High Level Plan
•Run pilot and test results
•Communicate Solutions to all Stakeholders
5.0 control Performance
Objective Main Activities Potential Tools and Techniques Key Deliverables
5.0Control
Performance
1.0 Define
Opportunities
2.0 Measure
Performance
4.0 Improve
Performance
3.0 Analyze
Opportunity
•To understand the importance of planning and executing against the plan
•Determine the approach to be taken to assure achievement of the targeted results
•To understand how to disseminate lessons learned
•Identify replication and standardization opportunities/
•Processes, and develop related plans.
•Improved Bottom Line impact
•Process Control Systems & Plan
•Standards and Procedures
•Training•Change Implementation Plans
•Replication Opportunities
•Process Owner Transition Plan
•Verify sustainability of the results
•Identify if additional solutions are necessary to achieve Goal
•Identify and Develop Replication & Standardization Opportunities
•Integrate and Manage Solutions in Daily Work Processes
•Integrate Lessons Learned•Develop Communications Plans
•Transition Design•Develop Process Owner Transition Plan
•Rewards and Recognition
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5
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9
Q & A