Six Sigma Overview Presented by: >

Agenda What is Six Sigma? History of Six Sigma Six Sigma Methodology When to use Six Sigma? Different Six Sigma belts? Why adopt Six Sigma? Points of Attention? Summary?

What is Six Sigma? A statistical measure of variation Full Six Sigma equals % accuracy Methodology for improving key processes A “tool box” of quality and management tools for problem resolution A business philosophy focusing on continuous improvement An organized process for structured analysis of data

Processes Everything we do can be considered a process or part of a process Every process can be characterized by: –Average performance –Variation Processes are performing optimally when the result of the process is at the expected value (meaning there is minimal variation).

History of Six Sigma Motorola developed the Six Sigma methodology in the mid-1980’s as a result of recognizing that products with high first- pass yield rarely failed in use Statistical term dates back to the 1800’s (Carl Frederick Gauss)

Six Sigma Methodology D.M.A.I.C, (Define, Measure, Analyze, Improve, Control) Provides a logical sequence for applying existing problem solving tools and concepts Repackaging of existing tools and concepts Various quality/management tools applied at each step Project sponsor review recommended at conclusion of each step before moving to next step

Six Sigma Road Map DMAIC Develop a vision Collect baseline data on defects and possible cause Create focused problem statement Create possible solutions for root causes Develop & document standard practices Map the process Plot defect data over time & analyze for special causes Explore potential causes Select solutionsTrain staff teams Understand customer needs Create & stratify frequency plots & do Pareto analysis (80/20) Calculate starting sigma level Create detailed process maps Organize potential causes Collect data Use statistical methods to quantify cause & effect relationship Develop plans Pilot plans Implementation Measure results Evaluate Monitor performance Create process for updating procedures Summarize and communicate results Recommend future plans

When to use Six Sigma? Unknown causes/situations Problems are common place and not well defined When “broad spectrum” approach is inappropriate When other problem solving methods fail In a complex situation with many variables

Six Sigma Belts 3 levels (or Belts) Based on level of competence in understanding and applying related tools –Green belt – basic analytical tools; works on less complex projects –Black belt – emphasis on application and analysis; works projects with help from Green belts –Master Black belt – understands application and statistical theory behind application; trains other belts; leads project reviews Actual definition and competencies for each belt can vary by organization and training institutions

Why adopt Six Sigma? Defined process for problem solving Proven methodology to solve problems Consistency with results Focus on the “bottom line” which encourages credibility/support from the top of the organization

It’s not all Plain Sailing! Adoption requires a cultural change in order gain best results Top Management must be patient – there is no quick fix Six Sigma is about getting the right answer, not just any answer

Points of Attention “Lies, damn lies, and statistics” CAVE people, (Citizens Against Virtually Everything) Internal Sabotage. Lack of understanding Fear of Change There are more ways to fail than to succeed!

Six Sigma Summary Its amazing what can be known when we look at data differently. DMAIC is not for every project When applied correctly, DMAIC will produce consistently better results than most other methods “New Culture” at many organizations today Very marketable A Six Sigma approach works!