5 What Makes Six Sigma Different? QUAN 6610What Makes Six Sigma Different?1. Integrating the human and process elements of improvement.2. Focusing on the bottom line.3. Linking improvement tools in an overall approach. (Define - Measure - Analyze - Improve - Control)Human IssuesBottom lineManagement leadershipSense of urgencyCustomer focusProject teamsCulture changeProcess IssuesProcess improvementAnalysis of varianceDisciplined approachQuantitative measuresStatistical methodsProcess managementRonald Snee, Why Should Statisticians Pay Attention to Six Sigma, Quality Progress, September 1999, ppQuality, TQM and Six Sigma
6 Provide jobs and more jobs Deming Chain ReactionImproveQualityCostsDecreaseProductivityImprovesCapturetheMarketStay inBusinessProvide jobs and more jobsSource: W. Edwards Deming, Out of the Crisis, p. 3.
7 Customer satisfaction DegreeofAchievementSource: adapted from material presented by Kurt Hofmeister, ASI,in a 3-day QFD workshop at Texas Instruments in 1989.
8 Source: adapted from material presented by Kurt Hofmeister, ASI, in a 3-day QFD workshop at Texas Instruments in 1989.
9 “Jack Welch tells his young management charges to master the “More and more, the language of GE is the language of Six Sigma, the quality initiative begun in late It has become central to GE’s ability to operate as a global whole. ‘Six Sigma’ refers to a standard of excellence defined as having no more than 3.4 defects per million - in anything, whether it’s manufacturing, billing or loan processing. GE says it will spend $500 million on Six Sigma projects this year and will get more than $2 billion in benefits.”“See Jack. See Jack run.” Thomas Stewart. Fortune,September 27, 1999, p. 132.(emphasis added)“Jack Welch tells his young management charges to master theSix Sigma discipline that leads to black belts if they want to moveup at General Electric.”“This Kind of Black Belt Can Help You Score SomePoints at Work.” Hal Lancaster. Wall Street Journal,Tuesday, September 14, 1999, p. B1.(emphasis added)
10 Why Six Sigma Works Bottom line results created. Senior management leadership is active.A disciplined approach (DMAIC) is used.Rapid project completion (3-6 months).Clearly defines success.Infrastructure (MBB, BB, GB) established.Customers and processes are the focus.A sound statistical approach is used.Ronald Snee, Why Should Statisticians Pay Attention to Six Sigma, Quality Progress, September 1999, pp
11 Motorola’s Six Steps to Six Sigma QUAN 6610Motorola’s Six Steps to Six Sigmanote: adapted from Motorola six step process1. Define your product or service2. Identify customers and their needs.3. Determine how to satisfy the customer.4. Identify the process for creating your product.5. Eliminate waste and defects from the process.6. Measure your results for continuous improvement.Quality, TQM and Six Sigma
12 The “Define Step” Develop the charter. See entire Chapter 1, “Using DMAIC to Improve Speed, Quality and Cost”, The Lean Six Sigma Pocket Toolbook.The “Define Step”Develop the charter.Understand the voice of the customer.Map the process.Review project charterValidate problem statement and goalsValidate voice of the customer and voice of the businessValidate business benefitsValidate high-level value stream map and scopeCreate communication planSelect and launch teamDevelop project scheduleComplete define gateTOOLS:Affinity diagram, charter, communication plan, control charts, critical to quality tree, data collection, kano model, Pareto diagram, run chart, SIPOC, y=f(x).Source: The Six Sigma Memory Jogger II.Source: The Lean Six Sigma Pocket Toolbook.
13 Define Gate An updated project charter Problem statementKey stakeholdersBusiness impactGoal statementVerification of project scopeHigh level project planList of team membersDocumentation of your customer knowledgeA high level process map and/or SIPOC diagramDetailed project management plansSource: The Lean Six Sigma Pocket Toolbook.
14 The “Measure Step”Value stream map for deeper understanding and focusIdentify key input, process and output metricsDevelop operational definitionsDevelop data collection planValidate measurement systemCollect baseline dataDetermine process capabilityComplete measure gateCollect baseline data on defects and their possible causes.Plot defect data over time and analyze for special causes.Create & stratify frequency plots and do Pareto analysis.Calculate process sigma.Create detailed process maps.TOOLS:Control charts, data collection, flowchart, histogram, operational definitions, Pareto chart, process sigma, run chart, Taguchi loss function.Source: The Lean Six Sigma Pocket Toolbook.Source: The Six Sigma Memory Jogger II.
15 Measure Gate Detailed value stream map Data and metrics Capability analysisUpdated project charter and plansQuick improvementsSource: The Lean Six Sigma Pocket Toolbook.
16 The “Analyze Step” Develop a focused problem statement. Identify potential root causesReduce list of potential root causesConfirm root cause effect on outputEstimate impact of root causes on key outputsPrioritize root causesComplete analyze gateDevelop a focused problem statement.Explore potential causes.Organize potential causes.Collect data.Use statistical methods to quantify a cause-and-effect relationship.Source: The Lean Six Sigma Pocket Toolbook.TOOLS:Brainstorming, cause-and-effect diagram, design of experiments, histogram, hypothesis testing, interrelationship digraph, scatter diagram, tree diagram.Source: The Six Sigma Memory Jogger II.
17 Analyze Gate Process analysis Root cause analysis Updated charter and project plansSource: The Lean Six Sigma Pocket Toolbook.
18 The “Improve Step” Pilot plans. Create possible solutions for root causes.Select solutions.Develop plans.Develop potential solutionsEvaluate, select, and optimize best solutionDevelop “to be” value stream map(s)Develop and implement pilot solutionConfirm attainment of project goalsDevelop full-scale implementation planComplete improve gateImplement plans.Measure results.Evaluate benefits.TOOLS:Gantt chart, brainstorming, commitment scale, control charts, failure mode and effects analysis, histograms, involvement matrix, Pareto chart, PDCA cycle, prioritization matrix, process sigma, run chart.Source: The Lean Six Sigma Pocket Toolbook.Source: The Six Sigma Memory Jogger II.
19 Improve Gate Solution development and selection Pilot testing Full scale implementationUpdated charter and project plansSource: The Lean Six Sigma Pocket Toolbook.
20 The “Control Step” Develop and document standard practices. Implement mistake proofingDevelop SOPs, training plan, and process controlsImplement solution and ongoing process measurementsIdentify opportunities to apply project lessonsComplete control gateTransition monitoring / control to process ownerDevelop and document standard practices.Monitor performance.Train teams.Create process for updating procedures.Summarize and communicate learnings.Recommend future plans.Source: The Lean Six Sigma Pocket Toolbook.TOOLS:Communication plan, control charts, PDCA cycle, process management chart, run chart, six sigma storyboard.Source: The Six Sigma Memory Jogger II.
21 Process Activity Tools Define(Confirm the opportunity and define the boundaries and goals of the project.)Establish Team CharterIdentify Sponsor and Team ResourcesAdminister Pre-WorkProject ID ToolsProject Definition FormNPV/IRR/DCF AnalysisThe tools associated with the Define stage primarily serve the function of “information documentation.” The team needs a clear written charter that documents the business case for working on this project, the expected returns, team membership, the project sponsor, and so on.Measure(Gather data to establish the current state, what is actually going on in the workplace with the process as it works today.)Confirm Team GoalDefine Current StateCollect and Display DataProcess MappingValue AnalysisBrainstormingVoting TechniquesCheck SheetsRun ChartsPareto ChartsAffinity/IDC&E/FishbonesFMEAControl ChartsGage R&RThere is a broad range of data and process tools used in Measure, including:Brainstorming techniques, to encourage creativity.Process mapping tools, to document how the process works today.Numerous data tools, to collect and display different types of data.Analyze(Interpret the data to establish cause-and-effect relationships.)Determine Process Capability and SpeedDetermine Sources of Variation and Time BottlenecksCp and CpkMulti-VariBox PlotsMarginal PlotsInteraction PlotsRegressionANOVAC&E MatricesProblem Definition FormsOpportunity MapsThe Analyze tools are often used to analyze historical data – that is, data that already exists. Using existing data is appropriate because you are looking for “clues” that will help you determine potential causes of problems. You have to be careful because sometimes you simply cannot get the information you need and you need to use a more powerful tool such as DOE.
22 B’s and C’s / Force Field Tree Diagrams PERT/CPM PDPC/FMEA Improve(Develop solutions targeted to confirmred causes.)Generate IdeasConduct ExperimentsCreate Straw ModelsConduct B’s and C’sDevelop Action PlansImplementBrainstormingPull SystemsSetup ReductionTPMProcess FlowBenchmarkingAffinity/IDDOEHypothesis TestingProcess MappingB’s and C’s / Force FieldTree DiagramsPERT/CPMPDPC/FMEAGantt ChartsOf all the toolsets associated with DMAIC, those most commonly used in Improve represent perhaps the broadest mix of both Lean and Six Sigma tools. Pull systems, set up reduction, and Total Productive Maintenance, for example, as traditionally Lean tools used in Improve to eliminate work-in-process and time delays; tools such as Design of Experiments and process mapping represent approaches inherited from the Six Sigma / quality improvement tradition.Control(Implement procedures to make sure the improvement gains can be sustained.)Develop Control PlanMonitor PerformanceMistake-Proof ProcessCheck SheetsRun ChartsHistogramsScatter DiagramsControl ChartsPareto ChartsInteractive ReviewsPoka-YokeThe tools used in Control are focused on implementation: how to document the new procedures, what data to collect regularly on the process to monitor performance, and so on. In many cases, the team will be using tools used earlier in DMAIC (such as control charts), but switching the emphasis to “ongoing monitoring” instead of “cause investigation”.Source: (George, Lean Six Sigma, Chapter 10)
23 Problem-Solving / Process Improvement Model Plan1. Select the problem / process that will be addressed and describe the improvement opportunity.TOOLS: survey, Pareto chart, cause-and-effect (C&E) diagram, flow chart.2. Describe the current process surrounding the improvement opportunity.TOOLS: check sheet, run chart, flow chart, histogram, control chart, Pareto diagram, C&E.3. Describe all the possible causes of the problem and agree on the root cause(s).TOOLS: C&E, check sheet, Pareto, run chart, scatter diagram4. Develop an effective and workable solution and action plan, including targets for improvement.TOOLS: flowchart, GANTT chart, tree diagram.Do5. Implement the solution or process change. TOOLS: run chart, histogram, flow chart.Check6. Review and evaluate the result of the change. TOOLS: run chart, histogram, control chart.Act7. Reflect and act on learning. TOOLS: improvement story board.Source: PP , Memory Jogger II