Title: Six%20Sigma
1Six Sigma
2Six Sigma Revolution
- Demings teaching about quality
- Quality initiatives
- SPC, Just-in-time, TQM
- Motorola in 1980s
- GE and AlliedSignal in 1990s
- Radical Changes in products and services
- Companies
- TI, ABB, DuPont, Ford, Dow Chemical, Johnson
Controls, BASF, American Express, Nokia, Toshiba,
3What is Six Sigma?
- Vision
- Philosophy
- Company Strategy
- Method
- Culture
- Tool
4The Cost of Poor Quality (COPQ)
Warranty
Inspection
Tangible Quality Costs
Rework
Rejects
Scrap
Lost sales
Lost Opportunities
Late delivery
Hidden Factory
More Setups
Engineering change orders
Expediting costs
Lost Customer Loyalty
Excess inventory
Long cycle times
5The Nature of the Process
On-target,
less variation
Variation
Off-Target
Six Sigma goal identifies and controls process
variations and targets.
Six Sigma methodology identifies processes that
are off-target,
6What is Six Sigma?
- Integrates
- Customer focus
- Breakthrough improvement
- Continuous improvement
- People Involvement
- Defines goals and performance metrics that yield
clear and measurable business results. - Applies statistical tools to achieve breakthrough
financial gains
7Six Sigma Focus
- Meeting customer needs
- Rapid breakthrough improvement
- Process capability and improvement
- Positive and deep culture change
- Real financial results that impact the bottom
line
8Structure / Roles
9Building the 6? Team
- Executive Management
- Set meaningful goals and propel implementation of
six sigma in the organization - Champion
- Create general scope and set strategic direction
of the projects and teams - Drive project success by removing obstacles and
allocating sufficient resources - Master Black Belt
- Consults, trains and mentors the local
organization on Six Sigma - Black Belt
- Delivers successful projects (high corporate
gains) using the Breakthrough Strategy - Green Belt
- Delivers local projects (lower monetary gains)
using the Breakthrough Strategy - Other key members
- Process Owner maintains system improvements at
project completion - Process Sponsor provides resources, time, money
and direction of your project - Financial Analyst verifies the financial gains
of the project - Team members implement the steps for six sigma
success
10What is Sigma?
- s (sigma) - A Greek letter
- In statistics - the standard deviation from the
average/mean - Assumption of Gaussian/Normal distribution
- Six Sigma Methodology uses s to define the
capability of a process - As the standard deviation of your process
decreases, the sigma level of your process
increases.
11Normal/Gaussian Distribution
34.13
34.13
13.06
13.06
2.14
2.14
0.13
0.13
-3s -2s -1s m 1s
2s 3s
68.26
95.46
99.73
68.26 of the population is within /- 1
of the
??
?
12Process Capability
- 6s process is to get acceptable results through
- Identification of variations
- Quantification of variations
- Elimination/control of variations
USL
LSL
Defects
Defects
Acceptable
13Six Sigma - Goal
s
Defects per Million Opp.
1
691,462
308,537
2
66,807
3
6,210
4
233
5
3.4
6
14Six Sigma -- Practical Meaning
99.99966 Good (6 Sigma)
99 Good (3.8 Sigma)
16,000 lost articles of mail per hour
5.4 articles lost per hour
22,000 checks deducted from the wrong bank
account each hour
7.5 checks deducted from the wrong bank account
each hour
500 incorrect surgical operations per week
1.7 incorrect operations per week
2 unsafe plane landings per day at OHare
International Airport in Chicago
1 unsafe plane landing every four years
50 newborn babies dropped at birth by doctors
each day
1 newborn baby dropped at birth by doctors every
2 months
Source Six Sigma Revolution, George Eckes
15Overall Approach
Define
Define Problem
Measure
Practical Problem
Analyze
Statistical Problem
Statistical Solution
Improve
Control
Practical Solution
16The Strategy
USL
LSL
- Characterize
- Optimize
- Breakthrough
T
USL
LSL
T
USL
LSL
T
USL
LSL
17The 6 Sigma Breakthrough Method
- Define project and scope
- Establish process
D
Define
- Identify key input/outputs variables
- Identify process capability/ measurement system
M
Characterization
Measure
5 Establish Product Capability 6 Identify
Variation Sources
A
Analyze
7 Screen Potential Causes 8 Verify Variable
Relationships
I
Improve
Optimization
9 Validate Measurement System 10 Implement
Process Controls
C
Control
18Defining the Process
- Team members who understand the process
- Put together a flow of the process
- An common foundation for team activity
- Identification of outputs for measurement and
capability studies - Estimates of sigma levels at each step
19Project Scope
- Problem statement
- Goals/objectives for the team
- Measurable gains (monetary terms)
- Milestone
- Customer needs and requirements
20Process Mapping
- What is process mapping?
- Graphical depiction of the ACTUAL process
- What will the tool identify?
- All value added and non-value added process steps
- Process inputs (Xs)
- Process or product outputs (Ys)
- Data collection points
21Basic Flowchart Symbols
Activity
Start / Stop
Flow Line
Decision Point
A
A
Connector
22Basic Structure
- What are the steps to capture?
- What are the operational steps?
- What are the decision points?
- Where are the problem area?
23Versions of a Process
What You Think It Is...
What It Actually Is...
What You Would Like It To Be...
24Preparing the Process Flowchart
- Team Effort
- Engineers
- Line Operators
- Line Supervisors
- Maintenance Technicians
- Inputs to Flowcharts
- Brainstorming
- Operator Manuals (SOPs, AOPs, etc.)
- Engineering Specifications
- Operator Experience
- 5Ms and an E (Fishbone)
- Machine (Equipment), Method (Procedures),
Measurement, Materials, Manpower (People),
Environment
25Measurement Phase
- The input/output variables
- The capability of the process
- The defects in the process
- Sigma level
26Purpose of Measurement Phase
- Identify and define defects
- Identify key input variables (Xs) and key output
variables (Ys) - Document the existing process
- Establish a data collection system for your Xs
and Ys if one does not exist - Evaluate measurement system for each key output
variable using CE, FMEA, etc.
27The Importance of Defects
- Since Six-Sigma focuses on reducing defects, it
is necessary that each project definition clearly
specifies the defect(s) that will be reduced
- Count the number of times the letter f appears
in the following statement
Six Sigma Revolution, George Eckes, pg 2
28A simple test
13
The final information are the results of years of
scientific studies and were often combined with
years of experience. We must often configure
the files for the final report during the
conference.
29What Causes Defects?
- Variation due to
- Manufacturing processes
- Supplier (incoming) material variation
- Unreasonably tight specifications (beyond
customer needs) - Unstable Parts and Materials
- Inadequate training
- Inadequate Design Margin
- Insufficient Process Capability
30How Do We Improve Capability
- Understand that the Outputs (Ys) are determined
by Inputs (Xs). - If we know enough about our Xs we can accurately
predict Y without having to measure it. - If we dont know much about our Xs, then we have
to resort to inspection and test. - If can control the Xs, then we reduce the
variability in Y, which decreases defects, and
possibly, eliminates/reduces inspection and test.
Y F (x1, x2, x3,xn)
31Data Collection Plan
What to measure Type of measurement Type of Data Operational Definition Data Collection Form(s) Sampling Baseline Six Sigma
Six Sigma Revolution, George Eckes, pg 72
32Data Collection Data
- Type of Data
- Discrete
- Continuous
- Sampling
- Representative
- Random Sampling
33Metrics What to measure?
- Defects per million opportunities (DPMO) drives
plant-wide improvement - Sigma level allows for benchmarking within and
across companies
34Calculating Sigma-Level
- Sigma level
- units item produced or being serviced
- defect event that does not meet the
customers requirement - opportunity chance for a defect to occur
- Calculate Defects per Million Opportunities
(DPMO)
Total
defects x 1,000,000
DPMO
( of Opportunities for Error) x ( of units)
- Go to a Sigma Chart and Estimate the Sigma Level
Six Sigma Revolution, George Eckes, pg 99
35DPMO and Sigma Level
DPMO Sigma Level DPMO Sigma Level
   Â
1000000 -3.4 158655 2.5
999997 -3.0 66807 3.0
999968 -2.5 22750 3.5
999767 -2.0 6210 4.0
998650 -1.5 1350 4.5
993790 -1.0 233 5.0
977250 -0.5 32 5.5
933193 0.0 3.40 6.0
841345 0.5 0.29 6.5
691462 1.0 0.02 7.0
500000 1.5 0.00 7.5
308538 2.0 0.00 8.0
36Tracking Trends in Metrics
Our objective is to track the trends in the
Metrics to establish, based on fact, our
improvements. These metrics can be productivity,
defects, time, yield, etc.
37Purpose of the Analysis Phase
- Establish baseline capability for key output
variables (potential and overall) - Examine both the process and data for analysis
- Determine and validate the root causation of
project problem - To reduce the number of process input variables
(xs) to a manageable number - To determine the presence of and potential
elimination of uncontrolled variables
38Three Sigma Process
Centered
1.5 Sigma Shift
39Three Sigma Process
Centered
1.5 Sigma Shift
40Six Sigma Process
Centered
1.5 Sigma Shift
41Analysis Tools
42Purpose of the Improvement Phase
- Key variables are identified and validated during
this process . - Look to eliminate, reduce or neutralize the
effects of the input or root cause. - Design experiments to manipulate the key input
variables (Xs) to determine their effect on the
outputs (Ys). - Select the solution that impacts the root cause
the most.
43Design of Experiment
- Full Factorials
- 2K Factorials
- Fractional Factorials
44DOE Example
- Objective To reduce consistency variation in Y
- Output Variation (Lower is Better)
- Full Factorial Inputs
- RPM (Lo, Hi)
- Speed (Lo, Hi)
- Time (Lo, Hi)
Main Effects Plot
16
14
12
10
8
Speed
Time
R
P
M
45Purpose of the Control Phase
- Develop and implement long-term control methods
to sustain the gains identified - Document the control plan with specific roles
identified - Monitor long-term delivered capability and
performance - Verify benefits and cost savings
46Control Tools
Control
- Control Plan
- SPC
- Mistake Proofing
- Automated Control
47Dynamics of Execution Strategy
40 - 50 Inputs
Process Map/CE
15 - 20 Xs
M
Capability/Multi-Vari
8 - 10 Xs
A
DOE
I
3-5 Critical Xs
Control Plan
C
48Who needs Six Sigma?
As long as there is a process that produces an
output, we can apply the Six Sigma Methodology.
Every function has a customer and a deliverable.
49Six Sigma Project Consideration
- Project is supportive of corporate objectives
- Project is focused on an ongoing process /
recurring events that is causing defects - A 70 reduction in defects results
- Customer (internal or external) will see or feel
the result - Takes 4-6 months to complete
- Little or no capital required
50Possible Six Sigma Projects
- Low yield rate
- High operating costs
- High customer failure/complaints
- High scrap/rework
- High inventory/WIP
- High maintenance costs
- Supplier product quality problems
- Low productivity
- Long cycle times
- Low machine utilization
- Inaccurate information
- Missing information
- Poor process control
- Frequent set up requirements
- Long set up time
- Unpredictable product performance
51Six Sigma Success
Visible top-down leadership and commitment
Education and training
Recognize and focus on customer needs
World-class quality
Establishing meaningful, focused metrics
DMAIC - Define, Measure, Analyze, Improve
Control
52Credits
- This module is intended as a supplement to design
classes in mechanical engineering. It was
developed at The Ohio State University under the
NSF sponsored Gateway Coalition (grant
EEC-9109794). Contributing members include - Gary Kinzel. Project supervisors
- Phuong Pham.. ... Primary authors
- L. Pham ... Audio voice
Reference Six Sigma Revolution, George Eckes,
John Wiley Sons, Inc., New York, 2001.
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