Presentation on theme: "6 Sigma Presented by : Galing Priyatna Franky Mangihut Tua"— Presentation transcript:
1 6 Sigma Presented by : Galing Priyatna Franky Mangihut Tua Bernadine NikenBambang Wijarnako
2 Historical Development of Process Improvement Source :
3 Quality Management Development Quality PlanningQuality AssuranceQuality ControlSources :
4 TQM vs 6 Sigma TQM 6 Sigma Based on worker empowerment and teams Owned by business leader championDepartment and Workplace focusCross functional projectSimple improvement toolsRigorous and Advance statistical toolsLittle financial accountabilityRequires verifiable return on investment
5 What is 6 Sigma ?6 Sigma is Quality management methodology that uses different theories and tools to improve upon the process of a certain businessSeeks to find and eliminate cause of defects and errors in manufacturing and service processes
6 What is 6 Sigma ?‘Sigma’ (σ) is a Greek letter used to represent the statistical term ‘standard deviation’ which measures the deviations from average in a particular business process.Focuses on output that are critical to customers and clear financial return to the organization.
7 Pioneered by Motorola in the Mid- 1980s What is 6 Sigma ?Pioneered by Motorola in the Mid- 1980sPopularized by the success of General ElectricAims at producing no more than 3.4 ppm defects.
9 6 Sigma PhilosophyThe application of the scientific method to the design and operation of management systems and business processes which enable employees to deliver the greatest value to customers and owners
10 D M A I C 6 Sigma Methodology Set the context and objectives for the projectefineMGet the baseline performance and capability of the process or system being improvedeasureAUse data and tools to understand the cause-and-effect relationship in process or systemnalyzeImproveDevelop the modifications that lead to a validatedCEstablish plans and procedures to ensure the improvements are sustained.ontrol
11 6 Sigma Breakthrough Strategy Write the problem statement, the objective statement, priorities and launch the projectDefineMeasureUnderstand the process, validate the data accuracy, and determine process capability.AnalyzeDetermine the relationship of Y = ƒ(X) + σ, and screen for the potential causesImproveDetermine, validate, and implement solutions to achieve the objective Statement.ControlImplement process control methods and monitor performance to sustain result.
13 6 Sigma Role and Responsibility Six Sigma Championsenior or middle level executivechoosing and sponsoring specific projects.ensures the availability of resources.knows the business at hand inside and out as well as the Six Sigma MethodologySix Sigma Master Black Belthas been able to gain experience in managing several projecthas a deep expertise and knowledge base in the tools and methods of Six Sigma
14 6 Sigma Role and Responsibility Six Sigma Black Beltthorough knowledge of Six Sigma philosophies and principles (including supporting systems and tools).exhibits team leadershipunderstands team dynamicsassigns their team members with roles and responsibilities.Six Sigma Green Belthelps an employeeserve as a trained team member within his or her function-specific area of the organization.work on small, carefully defined Six Sigma projectsrequiring less than a Black Belt's full-time commitment
15 6 Sigma Role and Responsibility Six Sigma Yellow Beltintegrate Six Sigma methodologies for the improvement of production and transactional systems to better meet customer expectations and bottom-line objectives of their organization.has a basic knowledge of Six Sigmanot lead projects on their own.
16 6 Sigma Tools – Technical The Critical to Quality (CTQ) TreeThe Process Map (SIPOC Diagram)The HistogramThe Pareto ChartThe Process Summary WorksheetThe Cause-Effect DiagramThe Scatter DiagramThe Affinity DiagramThe Run ChartThe Control Chart
17 6 Sigma Tools – Technical The Stakeholder Analysis ChartPlanning for Influence ChartThe Threat/Opportunity MatrixThe Pay-Off MatrixThe Solution Vision StatementThe Team Meeting AgendaGround RulesThe Parking LotThe Plus Delta Review of Each Team MeetingActivity Reports
18 6 Sigma Success StoryGeneral Electric profited between $7 to $10 billion from 6 sigma in about 5 yearsDupont added $1 billion to its bottom line within two years of initiating its 6 sigma program , and that number increased to about $2.4 billion within four years.Bank of America saved hundreds of million of dollar within three years launching of 6 sigma, cut cycle times by more than half, and reduced the number of processing errors by an order of magnitude.Honeywell achieved record operating margins and savings of more than $2 billion in direct costMotorola, the place where six sigma began, saved $ 2.2 billion in four year time frame.(Craig Gygi et al, : 12)
19 6 Sigma Case Study The Planning of Six Sigma Implementation in PT ”X” (Mining Contracting Company)
29 DEFINEDefine the goals of the improvement activity, and incorporate into a Project Charter. Obtain sponsorship and assemble team.Define project Scope, Objective & ScheduleDefine Process (top level) and StakeholderSelect Team MembersObtain Authorization from SponsorAssemble and Train Team Project charter VOC tools (surveys, focus groups, letters, comment cards) Process map QFD SIPOC Benchmarking Project planning and management tools Pareto analysis
30 MEASUREMeasure the existing system. Establish valid and reliable metrics to help monitor progress toward the goal(s) defined at the previous step. Establish current process baseline performance using metric.Define ProcessDefine MetricEstablish Process BaselineEvaluate Measurement SystemMeasurement systems analysis Process behavior charts (SPC) Exploratory data analysis Descriptive statistics Data mining Run charts Pareto analysis
31 ANALYZEAnalyze the system to identify ways to eliminate the gap between the current performance of the system or process and the desired goal. Use exploratory and descriptive data analysis to help you understand the data. Use statistical tools to guide the analysis.Benchmark against best in classDetermine Process DriversAnalyze Sources of VariationAnalyze Value Stream Cause-and-effect diagrams Tree diagrams Brainstorming Process behavior charts (SPC) Process maps Design of experiments Enumerative statistics (hypothesis tests) Inferential statistics (Xs and Ys) Simulation
32 IMPROVEImprove the system. Be creative in finding new ways to do things better, cheaper, or faster. Use project management and other planning and management tools to implement the new approach. Use statistical methods to validate the improvement.Evaluate for Risks and Failure ModesOptimize ProcessDefine New ProcessPriorities Improvement Opportunities Force field diagrams FMEA 7M tools Project planning and management tools Prototype and pilot studies Simulations
33 CONTROLControl the new system. Institutionalize the improved system by modifying compensation and incentive systems, policies, procedures, MRP, budgets, operating instructions and other management systems. You may wish to utilize standardization such as ISO 9000 to ensure that documentation is correct. Use statistical tools to monitor stability of the new systems.Evaluate for Risks and Failure ModesOptimize ProcessDefine New ProcessPriorities Improvement Opportunities SPC FMEA ISO 900 × Change budgets, bid models, cost estimating models Reporting system