1. SIX SIGMA A PROCESS

3. Definition – Six Sigma Six Sigma is the measure of quality that strives for near perfection. It is a disciplined, data-driven methodology focused on eliminating defects. A Six Sigma defect is defined as anything that falls outside of a customer's specifications. Six Sigma is a reference to a statistical measuring system, equivalent to just 3.4 defects per every million opportunities (Snee, 2003). THE THREE FUNDAMENTALS OF SIX SIGMA Six Sigma 3 Robust Methodology 2 Data Driven 1 Customer Focus

4. Definition Of Six Sigma Data alone cannot solve all your customer or business issues. A methodology for defect definition, measurement, analysis, improvement and control must be utilized to standardize improvement processes and maximize business productivity. Business processes should be structured around the customer's ideal experience. Data is necessary to identify input, process and output areas for improvement. Quality improvements are not haphazardly implemented. Instead, resources are assigned to projects when it can be shown through data analysis that a difference will be felt by the customer. Ensuring all outputs meet customer specifications. This is very intuitive for manufacturing and industrial businesses; potentially a new concept for transactional businesses. Customer needs must be understood down to the tolerance level. In addition, new products and services should be conceived to meet the needs of customers not currently serviced. 3 Robust Methodology 2 Data Driven 1 Customer Focus

6. Path to Six Sigma Sigma levels and Defects per million opportunities (DPMO) 4 Sigma 6,210 Defects 2 Sigma 308,537 Defects 3 Sigma 66,807 Defects 5 Sigma 233 Defects 6 Sigma 3.4 Defects

7. Six Sigma as a Goal  Defects per Million opportunities Process Capability Sigma is a statistical unit of measure which Reflects process capability. 2 3 4 5 6 308,537 66,807 6,210 233 3.4 .

11. GE Capital At its core, Six Sigma revolves around a few key concepts. Designing to meet customer needs and process capability Design for Six Sigma Ensuring consistent, predictable processes to improve what the customer sees and feels Stable Operations What the customer sees and feels Variation What your process can deliver Process Capability Failing to deliver what the customer wants Defect Attributes most important to the customer Critical to Quality

15. Overview of Six Sigma PAIN, URGENCY, SURVIVAL COSTS OUT GROWTH TRANSFORM THE ORGANIZATION CHANGE THE WORLD 6 SIGMA AS A STATISTICAL TOOL 6 SIGMA AS A PHILOSOPHY 6 SIGMA AS A PROCESS

17. Which Business Function Needs It? As long as there is a process that produces an output, whether it is a manufactured product, data, an invoice, etc…, we can apply the Six Sigma Breakthrough Strategy. For these processes to perform to a customer standard they require correct inputs!!! 6 Sigma Methods MFG. DESIGN SERVICE PURCH. MAINT. ADMIN. QA Marketing

27. Variability The world tends to be bell-shaped Most outcomes occur in the middle Fewer in the “ tails” (lower) Fewer in the “ tails” (upper) Even very rare outcomes are possible Even very rare outcomes are possible

28. 3  v/s 6  2 3 4 5 6 7 8 9 12 10 16 15 14 13 11 1 LSL USL 6 Sigma curve 3 Sigma curve

29. Three Methodologies of Six Sigma BPMS Business Process Management System DMAIC Six Sigma Improvement Methodology DMADOV Creating new process which will perform @ Six Sigma

30. BPMS Business Process Management System

32. The Methodology Define purpose of the process, its goal and its boundaries Identify Critical to Quality and Critical to process Visual representation of performance Map process steps, identify input/ output measures MSA, DCP, indicators and monitors Service excellence and process excellence The DMAIC cycle Define Process Mission Map Process VOC and VOP Build PMS Develop Dashboards Identify Improvement Opportunities

33. DMAIC Six Sigma Improvement Methodology

35. The Approach Practical Problem Statistical Problem Statistical Solution Practical Solution

36. Methodology D Define M Measure A Analyze I Improve C Control Identify and state the practical problem Validate the practical problem by collecting data Convert the practical problem to a statistical one, define statistical goal and identify potential statistical solution Confirm and test the statistical solution Convert the statistical solution to a practical solution

37. Define VoC - Who wants the project and why ? The scope of project / improvement Key team members / resources for the project Critical milestones and stakeholder review Budget allocation D Define M Measure A Analyze I Improve C Control

39. Analyze Understand statistical problem Baseline current process capability Define statistical improvement goal Identify drivers of variation (significant factors) D Define M Measure A Analyze I Improve C Control

45. Improve Map improved process Pilot solution Identify operating tolerance on significant factors D Define M Measure A Analyze I Improve C Control

46. Control Ensure measurement system reliability for significant factors Improved process capability Sustenance Plan - Is tool used to measure the input / process variables flawed ? - Do all operators interpret the tool reading in the same way ? - Statistical Process Control - Mistake Proofing - Control Plan D Define M Measure A Analyze I Improve C Control

49. Six Sigma Organization

50. Six Sigma - Three Dimensions Tools Organization Methodology Driven by customer needs Enabled by quality team. Led by Senior Mgmt Define Measure Analyze Improve Control Process Map Analysis Pareto Chart Process variation LSL USL Upper/Lower specification limits Regression • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •

51. Harvesting the Fruit of Six Sigma - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Sweet Fruit Design for Repeatability Bulk of Fruit Process Characterization and Optimization Low Hanging Fruit Seven Basic Tools Ground Fruit Logic and Intuition Process Enhancement - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

52. Education Master Black Belt Black Belts Green Belts Team Members Quality Fundamentals/ Kaizen Now Champions Mentor, trainer, and coach of Black Belts and others in the organization. Leader of teams implementing the six sigma methodology on projects. Delivers successful focused projects using the six sigma methodology and tools. Participates on and supports the project teams, typically in the context of his or her existing responsibilities. Responsible for supporting the Deployment Strategy within Line of Business/Customer Segment or Golden Thread Deployment Champions

53. Sample Project

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68. Monitor

69. Happy Customer!

70. Group Members: Anubhuti Gupta Kanika Vashishta Soumya Gupta Surya Kanta Jena HR-2