1. C USTOMER & C OMPETITIVE I NTELLIGENCE FOR P RODUCT, P ROCESS, S YSTEMS & E NTERPRISE E XCELLENCE S IX S IGMA D EPARTMENT OF S TATISTICS D R. R ICK E DGEMAN, P ROFESSOR & C HAIR – S IX S IGMA B LACK B ELT REDGEMAN@UIDAHO.EDU OFFICE: +1-208-885-4410 ESIGN FOR D

2. IX S IGMA S D EPARTMENT OF S TATISTICS a highly structured strategy for acquiring, assessing, and applying customer, competitor, and enterprise intelligence for the purposes of product, system or enterprise innovation and design.

3. Design for Six Sigma Applications of Six Sigma that focus on the design or redesign of products and services and their enabling processes so that from the beginning customer needs and expectations are fulfilled are known as Design for Six Sigma or DFSS . The aim of DFSS is to create designs that are resource efficient, capable of exceptionally high yields, and are robust to process variations. This aim produces a recasting of DMAIC that can be characterized as: D efine- M easure- A nalyze- D esign- V erify (DMADV) or as I nvention- I nnovation- D esign- O ptimize- V erify (I 2 DOV) or as CDOV

4. Six Sigma from the GE Perspective : Six Sigma is a highly disciplined process that helps a company focus on developing and delivering near-perfect products and services. Why “sigma”? The word is a statistical term that measures how far a given process deviates from perfection. The central idea behind Six Sigma is that if you can measure how many “defects” you have in a process, you can systematically determine how to eliminate those and approach “zero defects”. Six Sigma has changed the DNA at GE – it is the way that GE works – in everything that GE does and in every product GE designs. “ What is Six Sigma? The Roadmap to Customer Improvement ” www.ge.com/sixsigma/makingcustomers.html

5. Design for Six Sigma at GE: DFSS is changing GE. With it GE can build on all of its capabilities and take all of its product and process designs to a new level of world-class performance and quality. The essence of DFSS is predicting design quality up front and driving quality measurement and predictability improvement during the early design phases- a much more effective and less expensive way to get to Six Sigma quality than trying to fix problems further down the road. What We Do . GE Corporate Research and Development Formerly posted at: www.crd.ge.com/whatwedo/sixsigma.html

7. The DMAIC Model Define Control Measure Improve Analyze Voice of the Customer Institutionalization

8. D efine C ontrol I mprove A nalyze M easure S ix S igma I nnovation & the D MAIC Algorithm Define the problem and customer requirements. Measure defect rates and Document the process in its current incarnation. Analyze process data and Determine the capability of the process. Improve the process and remove defect causes. Control process performance and ensure that defects do not recur.

9. Team Charter & Project Scoping : Of similar importance & structure as in DMAIC

10. Team Charter Table of Contents 1. EXECUTIVE SUMMARY …………………………………………………3 2. PROJECT OBJECTIVES…………………………………………………3 3. PROJECT SCOPE ……………………………………………………..…3 4. BUSINESS CASE …………………………………………………………3 5. PROJECT ORGANIZATION ……………………………………………3 6. SCHEDULES……………………………………………………………….4 7. COMMUNICATION PLAN ……………………………………………...4 8. PROJECT CONTROL PROCEDURES ……………………...…………4 9. PROJECT ASSUMPTIONS ……………………………..………………4 10. CONFLICT RESOLUTION ………………………………………………. 5

15. T he SIPOC M odel Suppliers Customers Inputs Outputs Process Steps Inform Loop

16. Six Sigma COPIS M odel C ustomers S uppliers O utputs I nputs P rocess Steps The Voice of the Customer (VOC) is aggressively sought and rigorously evaluated and used to determine needed outputs and hence the optimal process configuration needed to yield those outputs and their necessary inputs for which the best suppliers are identified and allied with. From Concept to Market: the Voice of the Customer How does Six Sigma Work?

17. IX DFSS L ESSONS L EARNED & L EADERSHIP S IGMA S D EPARTMENT OF S TATISTICS D R. R ICK E DGEMAN, P ROFESSOR & C HAIR – S IX S IGMA B LACK B ELT REDGEMAN@UIDAHO.EDU OFFICE: +1-208-885-4410 ESIGN OR D F

18. Design for Six Sigma at GE: DFSS is changing GE. With it GE can build on all of its capabilities and take all of its product and process designs to a new level of world-class performance and quality. The essence of DFSS is predicting design quality up front and driving quality measurement and predictability improvement during the early design phases- a much more effective and less expensive way to get to Six Sigma quality than trying to fix problems further down the road. What We Do . GE Corporate Research and Development Formerly posted at: www.crd.ge.com/whatwedo/sixsigma.html

19. Design for Six Sigma D efine- M easure- A nalyze- D esign- V erify (DMADV) D efine customer requirements and goals for the process, product or service. M easure and match performance to customer requirements. A nalyze and assess the design for the process, product or service. D esign and implement the array of new processes required for the new process,product or service. V erify results and maintain performance.

21. 10 Tollgate Review 9 Review Pre-Pilot Design 8 Develop Proc. Mgt. Plans 7 Test Det. Design 6 Develop the Detailed Design 6 Tollgate Review 5 Ident. & Prior. Detailed Design Elements 5 Review Concepts 5 Tollgate Review 5 Tollgate Review 4 Test High-Level Design 4 Evaluate & Select Concepts 4 Reassess Risk 4 Identify Risks 3 Close Project 3 Develop High- Level Design 3 Generate Concepts 3 Prioritize CTQs 3 Develop Org. Change Plan 2 Implement the Design 2 Develop Design Requirements 2 Prioritize the Functions 2 Translate VOC Needs into Req. (CTQs) 2 Develop Project Plans 1 Conduct and Evaluate Pilot 1 Ident. & Prior. High-level Design Require. 1 Identify Key Functions 1 Understand VOC 1 Develop Charter Design Performance The Product Concepts Customer Requirements the Project Verify Design Analyze Measure Define

27. DFSS as a Growth Strategy : Lesson 1 Achieving world-class performance through any set of tools takes careful preparation and a commitment to the foundational change efforts required for world-class capability.

28. DFSS as a Growth Strategy : Lesson 2 DFSS grows into program profits in direct proportion to the size of the initial investment. The more the initial investment to eliminate (adverse) design issues, the greater the life cycle profits that will be realized.

29. DFSS as a Growth Strategy : Lesson 3 A structured compensations system that substantially rewards leadership cooperation and co-ownership for successfully implementing cross-functional DFSS projects significantly improves the bottom line. Note: the corporate example that produced the most impressive results was a firm where DFSS involvement was directly linked to management rewards. This firm REQUIRED senior management to spend 30% of its time on DFSS activity.

30. DFSS as a Growth Strategy : Lesson 4 Leaders, especially middle managers, need to be selected, prepared and trained much earlier in the process to achieve desired levels of commitment.

31. DFSS as a Growth Strategy : Lesson 5 DFSS should be regarded as a part of doing business and represent of part of reinvesting a portion of the profits into the business to produce even greater profits in the long run. If DFSS is to be the driving force, the heart and soul of a business, then adequate dollars, time and resources must be incorporated into the annual budget to ensure the company’s success. Success is rarely the result of unplanned, fortuitous accident .

32. DFSS as a Means of Serving Customers : Lesson 1 Continual customer feedback and ideas are essential to achieve a partnership with the customer. In an age where competition for customers is relentless, companies that make the customer a partner in the DFSS activity and maintain that partnering throughout the product life cycle have a customer for the product life cycle.

33. DFSS as a Means of Serving Customers : Lesson 2 A DFSS must be inclusive, and a conscious effort must be made to embed it in the fabric of the entire organization. All employees must understand how it works and why it benefits the customer, the business and themselves.

34. Product-Process Fusion Through DFSS: Lesson 1 Drive product and process compatibility across the entire value chain and product life cycle.

35. Product-Process Fusion Through DFSS: Lesson 2 The value chain of your customer includes everything incorporated into the final product. Substantial elements often come from suppliers and subcontractors. If they are not integrated into the DFSS activity, then the final product is sub-optimized.

36. Product-Process Fusion Through DFSS : Lesson 3 Six Sigma activity to reduce variability in the factory is a losing process if the new designs cause new variability. DFSS is intended to reduce the introduction of new variability and achieve process stability and uniform quality faster.

37. Product-Process Fusion Through DFSS: Lesson 4 Metrics must tell the story of the organization’s performance AND must be discussed regularly among the staff in each area.

38. Product-Process Fusion Through DFSS: Lesson 5 DFSS can have applicability in diverse industries – some that are nontraditional such as pharmaceuticals, if the design and production is integrated and balanced.

39. The DFSS Engineering Organization: Lesson 1 Design organizations are struggling with the loss of domain knowledge and lack of experience and skills among the DFSS teams themselves. This slows the movement to probabilistic design approaches as there seems to be little time to meet schedules and conduct thorough analysis using statistical tools.

40. The DFSS Engineering Organization: Lesson 2 Enlarging the responsibility of design engineering to follow the product from start to finish creates ownership that changes the approach to product design. It accelerates the incorporation of lessons learned outside the design studio.

41. The DFSS Engineering Organization: Lesson 3 The trend toward engineering efficiency in which organizations assign engineers from pools to cover assignments has made engineers a commodity at just the point in time when the loss of domain knowledge makes the need for longevity in an organization essential.

42. The People of Six Sigma

48. Corporate Six Sigma Leadership

65. S IX S IGMA D EPARTMENT OF S TATISTICS D R. R ICK E DGEMAN, P ROFESSOR & C HAIR – S IX S IGMA B LACK B ELT REDGEMAN@UIDAHO.EDU OFFICE: +1-208-885-4410 ESIGN FOR D E nd of S ession