Six Sigma Revelations

1
Six Sigma Revelations

• Inde 421 Statistical Quality Control
• Teresa Addison, Chung Tsai, and Henry Wijaya

2
History of Six Sigma

• Motorola Corporation was the pioneer of the Six
  Sigma philosophy.
• Currently, Motorola holds the trademark for the
  Six Sigma philosophy.
• Their philosophy was created during the
  mid-1980s. They discovered that rarely failed
  products in actual use are products with a high
  first-pass yield.

3
Overview

• Sigma a statistical concept that represents the
  amount of variation within a conforming process
  relative to customer requirements or
  specifications.
• Six Sigma
• Variation of the process is very small
• Resulting products and services are 99.9997
  defects free.
• Six Sigma also refers to continuous improvements
  in business philosophy to solve problems.
• Solving problems
• Understanding the customers needs
• Analyzing business processes
• Instituting measurements methods.

4
Goals and Objective

• Six Sigma Goals
• Defect reduction
• Yield improvement
• Improved customer satisfaction
• Raised shareholder value.
• Defects reduction can be accomplished through low
  variation.
• Low variation benefits
• Process is more predictable
• Costs decrease
• Products and services perform better
• Customers are happier

5
Benefits

• Measurable way to track performance improvements.
  It also speeds up significant improvement.
• Focuses on process management at all
  organizational levels.
• Improve relationships with customers since
  defects are lowered.
• Improve the effectiveness and efficiency of the
  process by understanding the consumers needs.

6
The Race to Six Sigma

• This quality philosophy is not a program that
  that can be simply integrated but must be a
  cultural mandate.
• The road to Six Sigma is not difficult. Most
  failures tend to lie in the preparation of
  understanding the profound knowledge of the
  process.
• Two preparation steps are needed for a serious
  Six Sigma journey.
• 1) Insure that anyone who has any real level of
  influence on how a process is designed, run, or
  maintained has profound knowledge of the process.
• 2) utilize this knowledge in order to lead the
  organization to sustained process stability
• The goal is that all performance excellence is
  driven by profound knowledge and that quality is
  the most important aspect of all deliverables.

7
Six Sigma Methodologies

• The basic methodology introduced in Six Sigma
  organizations is Define, Measure, Analyze,
  Improve, and Control (DMAIC)
• DMAIC is a very robust method and has been used
  successfully by many organizations to produce
  dramatic improvements. DMAIC also gives some
  other benefits
• Provides a framework
• Provides a common language
• Provides a checklist to prevent skipping critical
  steps in the process
• Enables the company to improve the way in which
  the company improves.
• DMAIC is the most commonly used methodology to
  improve current capabilities of an existing
  process.

8
Fords Prospective on DMAIC

• Define
• Measure
• Analyze
• Improve
• Control

9
Conclusions

• Six Sigma is consumer driven tool
• From Fords perspective, Six Sigma has four main
  goals
• Ford uses five phases to complete their process
  methodology