Six Sigma

Presented by:
Darwin Cayaban Celestine Tao-on Janine Raymundo Gizelle Salgado

History of Six Sigma

1970- Japanese took over a television-manufacturing unit of Motorola (US). Mikel Harry -godfather of Six Sigma - acknowledged as the leading authority on theory and practice. -developed a four-stage problem-solving approach: Measure, Analyze, Improve, Control (MAIC). 1980s Bill Smith-"father of Six Sigma -continued the study of M.Harry -discovered the correlation between how well a product did in its field life and how much rework had been required during the manufacturing process.

History

Bob Galvin- The Six Sigma Quality Program. 1988- Motorola received first Malcolm Baldrige National Quality Award from the U.S. Government.

Achievements: Five-fold growth in sales, with profits climbing nearly 20 % per year. Cumulative savings based on Six Sigma efforts pegged at $14billion. Motorola stock price gains compounded to annual rate of 21.3%

Process Sigma Table

Now, an important argument that many Six Sigma believers sometimes omit is that the concept isnt something revolutionary new. It didnt just come out of nowhere similar concepts did exist prior to the formulation of six sigma and they all do share common ground. For example making the process less variable would result in more stable end results. Analysis is also an important and common element to all quality control and improvement movements. And in the end of the day it should be used all across the organization not just by discrete elements of it.

Six Sigma Methods

There are two methods used: DMAIC (duh-may-ick) Define, Measure, Analyze, Improve and Control DMADV (duh-mad-vee) Define, Measure, Analyze, Design and Verify DMAIC used to develop/improve existing practice DMADV used to devise/design a defectfree procedure

DMAIC
The DMAIC project methodology has five phases:

Define the problem, the voice of the customer, and the project goals, specifically. Measure key aspects of the current process and collect relevant data. Analyze the data to investigate and verify cause-and-effect relationships. Determine what the relationships are, and attempt to ensure that all factors have been considered. Seek out root cause of the defect under investigation. Improve or optimize the current process based upon data analysis using techniques such as design of experiments, poka yoke or mistake proofing, and standard work to create a new, future state process. Set up pilot runs to establish process capability. Control the future state process to ensure that any deviations from target are corrected before they result in defects. Implement control systems such as statistical process control, production boards , visual workplaces, and continuously monitor the process.

DMADV
The DMADV project methodology, also known as DFSS ("Design For Six Sigma") features five phases: Define design goals that are consistent with customer demands and the enterprise strategy. Measure and identify CTQs (characteristics that are Critical To Quality), product capabilities, production process capability, and risks. Analyze to develop and design alternatives, create a highlevel design and evaluate design capability to select the best design. Design details, optimize the design, and plan for design verification. This phase may require simulations. Verify the design, set up pilot runs, implement the production process and hand it over to the process owner (s).

Six Sigma Tools

There are quite a few quality management tools used in Six Sigma. You will find that most of them are more applicable only for certain DMAIC or DMADV phases, and each one phase might use more than one tool. Some of the tools are only suitable to a specific industry and completely irrelevant to others.

FMEA Failure Modes and Effects Analysis is an effective procedure to forecast and address potential faults and failures of any given process. This tool requires the entire process to be broken down into specific tasks.

Pareto Analysis This is another significant Six Sigma tool used in maximizing resources. The Pareto is based on historical data of events and defects. A list is of all defects observed for a given period of time is listed and their overall contribution is determined. Defects amongst the 80% contribution cutoff, either by count or by weight are considered vital

Scatter Plot This is also called the scatter graph. This tool uses the Cartesian coordinates to plot values of two given variables from a set of data. Depending on the nearness or closeness of the dots on the chart.

5 Whys This method is best used to identify the root cause of the problem. When presented with a defect, formulated questions that will dig deep into the causes of the problem. This is one tool that is applicable to all business settings and even to the ordinary processes in day to day living.

ANOVA This stands for Analysis of Variance. This tool will utilize a set of statistical data. This is often used to gauge the validity of statistic returns of one statistical model applied against another.

Ishikawa Diagram This process management tool is also known as the cause and effect diagram. The process will entail the listings of all possible and probable causes that contribute to a defect in the fishbone diagram.

Implementation roles

One key innovation of Six Sigma involves the "professionalizing" of quality management functions. Prior to Six Sigma, quality management in practice was largely relegated to the production floor and to statistician in a separate quality department. Formal Six Sigma programs adopt a ranking terminology (similar to some martial arts systems) to define a hierarchy (and career path) that cuts across all business functions. Executive Leaders includes the CEO and other members of top management. They are responsible for setting up a vision for Six Sigma implementation. They also empower the other role holders with the freedom and resources to explore new ideas for breakthrough improvements. Champions take responsibility for Six Sigma implementation across the organization in an integrated manner. The Executive Leadership draws them from upper management. Champions also act as mentors to Black Belts.

Master Black Belts, identified by champions, act as in-house coaches on Six Sigma. They devote 100% of their time to Six Sigma. They assist champions and guide Black Belts and Green Belts. Apart from statistical tasks, they spend their time on ensuring consistent application of Six Sigma across various functions and departments. Black Belts operate under Master Black Belts to apply Six Sigma methodology to specific projects. They devote 100% of their time to Six Sigma. They primarily focus on Six Sigma project execution, whereas Champions and Master Black Belts focus on identifying projects/functions for Six Sigma. Green Belts are the employees who take up Six Sigma implementation along with their other job responsibilities, operating under the guidance of Black Belts.

Companies successfully achieved the 3 sigma level

EMD Millipore TomoTherapy, Inc. Cabot Microelectronics Ltd RuggedCom