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INTRODUCTION TO

SIX SIGMA GREEN BELT TRAINING

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WHAT IS SIX SIGMA?
Six Sigma has evolved over the last two decades and
so has its definition. Six Sigma has literal, conceptual,
and practical definitions.

Six Sigma has three different levels:

1. As a metric
2. As a methodology
3. As a management system

Essentially, Six Sigma is all three at the same time.

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Six Sigma as a Metric
The term "Sigma" is often used as a scale
for levels of "goodness" or quality. Using
this scale, "Six Sigma" equates to 3.4
defects per one million opportunities
(DPMO). Therefore, Six Sigma started as
a defect reduction effort in manufacturing
and was then applied to other business
processes for the same purpose.

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Six Sigma as a Metric

DEFECTS PER
MILLION QUALITY
SIGMAS
OPPORTUNITIES %
(DPMO)
1 691,463 31
2 308,538 69
3 66,807 93
4 6,210 99.38
5 233 99.977
6 3.4 99.9997 4
Six Sigma as a Methodology
Six Sigma is a business improvement methodology that
focuses an organization on:
Understanding and managing customer requirements
Aligning key business processes to achieve those requirements
Utilizing rigorous data analysis to minimize variation in those processes
Driving rapid and sustainable improvement to business processes
At the heart of the methodology is the DMAIC model for process
improvement. DMAIC is commonly used by Six Sigma project teams and is
an acronym for:

Define opportunity
Measure performance
Analyze opportunity
Improve performance
Control performance 5
Six Sigma as a Methodology

Voice of the Customer

Measure Analyze Improve

Define Control

Institutionalization

The DMAIC Model


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(Six Sigma as a Methodology)

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Six Sigma as a Management System
When practiced as a management system, Six Sigma is a high
performance system for executing business strategy.

Six Sigma is a top-down solution to help organizations:

Align their business strategy to critical improvement efforts


Mobilize teams to attack high impact projects
Accelerate improved business results
Govern efforts to ensure improvements are sustained
The Six Sigma Management System drives clarity around the business strategy
and the metrics that most reflect success with that strategy.

It provides the framework to prioritize resources for projects that will improve the
metrics, and it leverages leaders who will manage the efforts for rapid, sustainable,

and improved business results.

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Six Sigma as a Management System
STRATEGY
STRATEGY FEEDBACK
VOICE
VOICE OF...
OF... RESULTS: Big Y’s
• •Market
Market BUSINESS Top-Level
• •Customer
Customer
OBJECTIVES Indicators
If new product • Employee
• Employee
or process (Dashboards)
• •Business
Business
DFSS (DMADV)
Fundamental Redesign
EXECUTION (PROCESS MANAGEMENT)
PROCESS
PROCESS PROCESS
D S PROCESS
PROCESS MAPS
MAPS CONTROL
SYSTEMS
R U PROCESSES
I P Sub Y’s
ALIGNMENT

V P TOOLS
E O CORE & ENABLING PROCESSES
S R SKILLS
Y1
T TRAINING
S y1
PROCESS IMPROVEMENT Flexible Problem Solving Models Projects

WORKOUT
SIX SIGMA
LEAN SIGMA
The power of the Lean Tools &
Principles fully integrated into
DMAIC & DFSS GE WORKOUT SIX SIGMA LEAN SIGMA
Quick Wins (DMAIC) (DMAIC +)
Accelerated Improvement Incremental Improvement Integrated Improvement

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Six Reasons Why Business Leaders Love Six Sigma?
1. Six Sigma impacts the bottom line
2. Six Sigma drives strategy execution
3. Six Sigma generates robust, flexible business processes
4. Six Sigma improves human performance across the
enterprise
5. Six Sigma is highly scalable
6. Six Sigma is a low risk investment

Note: Robustness is the condition of a product or process design that remains


relatively stable with a minimum of variation even though factors that
influence operations or usage, such as environment and wear, are constantly
changing.

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Six Habits of Six Sigma Leaders
1. Delivering customer value (exhibit passion, listen actively,
communicate partnership)
2. Focusing on execution (result-driven, resource conscious,
process-oriented)
3. Making sound, data-driven decisions (critical thinking,
decisiveness, accountability)
4. Managing performance (set goals, track progress, manage
details)
5. Advocating breakthrough improvements (assertiveness,
influence, tenacity)
6. Supporting team-based implementations (manage teams,
reward teams)

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Six Tools Every SS BB/GB Loves
1. Quality Function Deployment (QFD)—helps to drive customer-focused
development across the design process
2. Cause and Effect (C&E) Matrix—helps to facilitate team decision making
3. Failure Modes and Effects Analysis (FMEA)—helps to identify and
address weaknesses in a product or process before they occur
4. Control Charts—helps to assess process stability
5. T-Student Test (t-test)—helps to validate test results using small sample size
6. Design of Experiments (DOE)—helps to make the most of valuable
resources Business
and/or Customer
Requirement 6
5
4
3
Defects Good
2
1

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Six Reason Why Six Sigma Fails?

1. Lack of visible senior leader sponsorhip


2. Lack of alignment to a clear organization strategy
3. Lack of performance tracking and accountability
4. Failure to link projects to bottom-line impact
5. Insufficient or ineffective alocation of human resources
6. Over-emphasis on rigid approach and technical tools

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SIX SIGMA IMPLEMENTATION
AT PT MATTEL INDONESIA

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PT Mattel’s Vision: “A globally
competitive manufacturer of
premier toy brands through
continuous improvement”

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L PRACTICAL PROBLEM (PT Mattel’s Needs)
E
A S
N
STATISTICAL PROBLEM I
S X
U
STATISTICAL SOLUTION
P
P S
L
Y I
PRACTICAL SOLUTION
(MATTEL’S SMART OBJECTIVES) G
C
H
SMART = Specific, Measurable,
Attainable/Actionable,
M
A Result-oriented, Time-bound
A
I
N PT MATTEL’S VISION 16
PT Mattel’s COPIS IDENTIFICATION
Vision: A globally competitive manufacturer of premier toy brands through CI

SMART OBJECTIVES
1. To Increase Direct Labor Efficiency from ____% to ____%
2. To Reduce Scrap from _______ PPM to ______ PPM
3. To Improve Production Schedule Adherence from ______ % to ______ %
4. To Improve Daily Schedule Adherence from _____% to ______%
5. To Reduce Lot Buy Off from _____ PPM to ______ PPM
6. To Reduce Containment Audit from _______ PPM to ______ PPM
7. To Maintain Lost Day Incident Case at Zero Level (Always Zero Goal)

Product Type Customers Outputs Processes Inputs Suppliers


#1 Customers’ KPOV Processes Inputs Suppliers
#2 Needs (Key Per- Needs
Requi- Require-
#3 (Voice of formance (Voice of
Outputs Processes =
rements Ments &
#4 Customer = Selection
Variables) – VOP)
#5 VOC) CTQ (Critical To
#6 Quality),CTS (CT
etc Schedule, CTC
(CT Cost) 17
COPIS = Customer, Outputs, Processes, Inputs, Suppliers
Six Sigma COPIS Model
Outputs Process Inputs

Customers Suppliers

Steps
How does Six Sigma Work?

The Voice of the Customer (VOC) is aggressively evaluated and used to


determine needed outputs and hence the optimal process configuration
needed to yield those outputs and their necessary inputs for which the best
suppliers are identified and allied with.

From Mattel’s Concept to Market: the Voice of the Customer


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PT MATTEL’S SIPOC PROJECTS

Product PT MATTEL’S LEAN SUPPLY CHAIN


Type
Suppliers  Inputs  Processes  Outputs  Customers

#1
#2
#3 LEAN-SIX SIGMA PROJECTS
#4
etc
(PT MATTEL’S PROJECTS)

LEAN-SIX SIGMA PROJECTS


APPROACH
PROJECT’S OBJECTIVES  LEAN SIX SIGMA TOOLS
(DMAIC)
Define
Measure
Analyze
Improve
Control 19
Six Sigma Way of Transformation
Six Sigma Way is a best-
in-class change
Six Sigma strategy for
accelerating
Way improvements in
manufacturing
processes and
services.

Six Sigma Way is:


 Mindset/Way of
thinking
 A way of doing
manufacturing/servi
ce business
 Methodology/Tools
for continual
improvement

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Need more information?

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