Six Sigma Green Belt Exam Study Notes

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The key takeaways from the document are the definitions and uses of various statistical process control tools like control charts, capability indices, design of experiments, and cost of quality.

The main types of data used in statistical process control are attribute data, which can be counted, and variable or continuous data, which is measured.

The main types of control charts used for attribute data are P, NP, C, and U charts. The main types of control charts used for variable data are X-bar and R, X-bar and S, and XmR charts.

Six Sigma Green Belt Exam Study Notes

Cpk- see Natural Tolerance


decreases with spec width
Cp- see Natural Tolerance
decreases with spec width
Cp = 1 for centered process - natural tolerance =spec width

Cause and Effect Diagram - Fishbone Diagrams - Ishikawa Diagrams
used to identify and organize potential root causes
problem solving analysis done by brainstorming
common categories - Measurement, Materials, People, Process, Equipment, Environment
ask Why? 3 times to get to root cause
have detailed problem statement at head of fish - effect
need corresponding process map
should fit on one 8- x 11 page
should have all 6 fishbones and at least 3 levels deep

C-bar
C-bar is the average of all the subgroup C-values in C-Chart

C Chart - see Attribute Data Control Charts
Count chart
a specialized version of U chart
used to monitor the number of errors found - occurrences per unit -error count
number of units or subgroup size MUST remain constant

Census
count or measurement of the entire population

Continuous Data
measured weigh, timed,
can be measured and broken down into smaller parts and still have meaning. Money,
temperature andtime are continous.Volume (like volume of water or air) and size are continuous
data.

Control Charts
indicate stability over time

Chart Rules Control Charts
P-chart or NP-chart - count number of items in error or defectives
U-chart or C-chart - count number of errors or defectsin items



Common causes
- see variation
control limits
Provide boundaries for a process running in control
based upon process data

CTQ - Critical to Quality
key measurable characteristics of a product or process whose performance standards or
specificationlimits must be met in order to satisfy the customer
CTQs represent the product or service characteristics that are defined by the customer (internal
or external). They may include the upper and lower specification limits or any other factors
related to the product or service.
the product or service characteristics that are defined by the customer as critical to their needs
what the customer expects of a product

DATA
Attribute Data Control Charts
Attribute data - qualitative data that can be counted for recording and analysis good/bad, yes/no
the average and dispersion are closely related; therefore, only one chart needed
P-Chart proportions percent defective with variable or constant sample size
NP-chart number of defectives with constant sample size
C-Chart count of defects with constant sample size
U-Chart defects per unit with variable or constant sample size

Variable Data Control Charts
Variable data measured - two types (Discrete) count data and (Continuous) data
X and MR for financial, mtce costs, efficiency ratings, productivity (usually 2 charts)
X-bar and Range
X-bar and S (standard deviation) X-bar for sample average and S to monitor process
dispersion

Defect
non-conformities a single characteristic not meeting defined requirements

Defective
non-conformance contains one or more defects

DET
- see FMEA

Discrete Data
counted (usually in whole numbers)

DMAIC
Define project charter, problem statement, scope, goals, resources, financial, process maps
Measure collect data, process maps, fishbone, Pareto, QFD, need accuracy & precision
Analyze - root cause is verified, hypothesis testing (verifying assumptions and predictions
regarding therelationship between process inputs and the CTQ values)
Improve brainstorming for ideas & solutions to problems identified in Analyze phase
Control helps to reduce variation in the process and eliminate defects
Control - project responsibilities transition from process improvement team to operations team
Six Sigma Methodology used for process improvement

DPMO
(defects per million opportunities)
defect level for a process
number of defects divided by number of opportunities multiplied by one million

DOE - Design of Experiments
math & statistics used in the design & analysis phase of an experiment to find best settings
optimize a process, reduce common cause variation, and maximize ROI
organized method for determining the relationship between factors (Xs) affecting a process
and theoutput of that process (Y)
experimental methods used to quantify indeterminate measurements of factors and interactions
betweenfactors statistically through observance of forced changes made methodically as directed
bymathematically systematic tables

Fish Bone -
see Cause and Effect Diagram

FMEA -
Failure Mode and Effects Analysis
tool to identify where in the process if the source of failure
RPN - Risk Priority Number relative risk of a particular failure mode = SEV x OCC x DET
OCC or Likelihood of Occurrence rating - likelihood of the failure occurring
DET detection rating measures likelihood current control system will detect cause or failure
SEV severity rating how significant the impact of the effect is to the customer
vital xs (root causes from low-level fishbones) go into potential cause column and can occur in
morethan one process step

Gauge R&R
Repeatability & Reproducibility

Gauge Repeatability
how consistently same operator or measurement system measures same even over time

Gauge Reproducibility
how consistently several operators or measurement systems measure same even over time


Histogram
tool used in the Measure phase to illustrate shape, central tendency, and dispersion of data

Leverage
applying proven methods to other projects via lessons learned - share ideas & best practices
reduces costs, increase efficiency, improve customer service
identifying spin-off projects that can benefit

Master Attribute
standard or correct answer in an Attribute Gauge R & R study

MR = Moving RangeMean
arithmetic average
the statistic most often used as the measure of central tendency or center of data
represented by Greek symbol (pronounced mu)
center line (process average) in a control chart between UCL and LCL

Measurement systems
see Gauge Reproducibility and Gauge Reproducibility
Accuracy how close the average are equal to the target
Precision variation in repeated measurement of the same event
Linearity performance over a range of events
Stability performance over time

Measurement system analysis
used to validate the measurement system

natural tolerance
Natural tolerance is also called 6 sigma because it is defined as 6 times the population
standarddeviation of the individual observations.
3 sigma on each side of the process mean

Cp = Process capability potential = spec width/natural tolerance = (U - L) / 6 sigma
CpU = Upper capability index = (U - Mean) / 3 sigma
CpL = Lower capability index = (Mean - L) / 3 sigma
Cpk = Process capability index = Minimum of CpU and CpL

Cp k = P r o c e s s c a p a b i l i t y i n d e x = Mi n i mu m o f Cp U a n d Cp L If the
process capability potential, Cp, is greater than 1.0, the specification limits are wider than the
naturaltolerance, and the process has the potential for meeting specifications if held in control at
a mean of (U - L)/2.

net profit
selling price minus costs

NP-Bar
centerline or process average of all subgroups in NP-Chart

NP - Chart
- see Attribute Data Control Charts
a specialized version of the P-chart used when your sample size is constant
used to monitor the number rather than the proportion of items with a defined characteristic
subgroups MUST be equal size
used to track the actual number of defective items or the actual number of good items
average and dispersion are closely related; therefore, only one chart is required

Pareto Chart
simple bar chart where the height of each bar represents the frequency of a given category
can be used to rank problems by their dollar costs rather than frequency
prioritize problems from those that happen most often to those that happen least often
cumulative percentage curve added to show % of occurrences up to and including a given
category
stratification - systematic subdivision of a problem into its subcomponents
identifies which opportunity or problem the team should focus on
categories are listed in order of frequency higher on left
height of each bar represents the frequency of a given category
80-20 rule
- 80% of occurrences of problems are accounted for by 20% of the categories of problems
developed by Italian economist named Vilfredo Pareto

P-Chart
- see Attribute Data Control Charts
monitor proportion or percentage
values plotted will always be a proportion and result in a number from zero to one
P-chart is required to monitor the process average and dispersion. With attribute data, the
average anddispersion are closely related. Therefore, only one chart is needed.
sub-group sample sizes may vary. The control limits will vary but the centerline stays constant.
larger sub-group size has narrower limits because larger sample size reduces sampling error
With unequal subgroup sizes, p-bar is a
weighted average
of the individual sub-group proportions. Aweighted average just means the individual ps dont
all carry the same weight in the calculation of p- bar.

Problem statement
data-driven statement that does not include opinions on root causes or possible solutions

Process capability
the extent to which a stable process is able to meet specifications
assessed using either continuous data or discrete data
when using attribute data should be expressed as percent, PPM, PPB defective, DPMO, etc.
assessed with a histogram with specification limits
capable process has a high Cp value and Cpk=Cp

Process Capability Index:

distance of mean to near spec
Cpk =
half the natural tolerance)

Process Capability Index (if centered):

voice of customer (spec width)
Cp=
voice of process (natural tolerance or 6 sigma)

Process out-of-control
- see process shift

process shift
a cluster of eight consecutive data points either all above or below the median
a point outside of control limits is indication that process may be shifting
process shift makes it inappropriate to calculate the overall average (or standard deviation) of
the data

Process maps
shows the inter-relationships of the steps in a process
used to discipline teams to produce solutions that are definable, repeatable, predictable
and measurable
walk the process
clearly define the boundaries of the process
should include data, sigma level, COPQ, defect rate, flow rate
as is"
include rework loops
oval starting or stopping point
rectangle process step or action
diamond - decision

projects
selecting potential projects consider - resource availability, reward, complexity, risk

Project Charter
set expectations and obtain buy-in on scope, goal, and resources
accelerate the acquisition of resources
avoid scope creep
documentation
easy and effective means to document a Six Sigma project

Project selection
considerations = Complexity, Risk, Reward, Resource availability

Quality Function Deployment - QFD
tool used to analyze customer requirements

R = RangeRoot Causes
often found in low-level fishbones during analyze phase
easier to find the root cause of a problem that is detected as it is happening
see Cause and Effect Diagram

ROI = Return On Investment
for Six Sigma project is calculated by dividing the project savings by the project cost
used to measure the impact of a Six Sigma project on business results
Reduced operating costs
Increase in operating efficiencies
Improved morale
Communicating project savings
Sharing ideas and best practices
Identifying spin-off projects

RPN
see FMEA

S = Standard Deviation
- see standard deviation

S-Chart
- see Variable Data Control Charts
to monitor process dispersion

Sample
subset of the population
every element in a sample is also an element of the population
Stratified
sampling grouping members into similar subgroups before sampling

Sample Mean
used to estimate the population mean
sample = subset of the population

Savings
soft = non-tangible time, customer satisfaction, morale
hard = money, cost, can be counted, direct impact upon the company's bottom line

Scatter Diagram
shows the type of correlation between two variables
strength of the relationship between two variables is determined visually by the tightness of the
cluster of points on the scatter diagram around the line of best fit drawn through the points
extrapolation is used to predict a value outside the range of the data plotted

Scope Creep
Tendency for project to expand scope
limited by clearly defining boundaries

SEV
- see FMEA
Sigma
- see standard deviation


SIRPORC
Suppliers, Inputs, Requirements, Process, Outputs, Requirements and Customers
the system view of a process

Six Sigma -
a commitment to your customers.
a method that uses best management ideas and practices for flexible system for process
improvement
a means to stretch your thinking with respect to quality and customer satisfaction
customer focused
fact-based strategy focused on process improvement, variation reduction and defect elimination
uses two types of data - continuous and discrete

Solution design matrix
used to organize alternative solutions

Spec width = USL LSLSpecial causes
- see variation

Specification Limits
used to determine if a product meets customer requirements

Standard Deviation = sigma
measures dispersion from the mean shows on average how far the values are from the mean
s represents standard deviation of a sample
sigma or Standard Deviation is used in combination with X Bar to describe the "Normal
Distribution
To find six sigma, calculate sigma, multiply by 6, and add or subtract the result to the calculated
mean.
68.27% of normal population lies within +/- one sigma from its average (mean)
95.45% of normal population lies within +/- two sigmas from its average (mean)
99.73% of normal population lies within +/- three sigmas from its average (mean)

Sigma, (Standard Deviation), Formula




Statistics
Uses Qualitative and Quantitative data types
Systematic Sampling - uses a rule or pattern to select elements from the population to form the
sample
Qualitative = discrete data counted , Not measured
Quantitative data - continuous data - different depending on types of questions

X-bar Chart
- see Variable Data Control Charts
used to monitor central tendency

X-bar and S Chart
- see Variable Data Control Charts
__
X-bar = X
mean or average of sample
typically charted on a line control chart with the center line being X Double Bar, (an average of
theaverages), and upper control limits and lower control limits
We use averages because they are more susceptible to change than single values.

XmR Charts
- see Variable Data Control Charts
control chart which uses a moving range. Typically two but can have a larger range
usually used when one measurement is available for each subgroup

Upper Control Limit - UCL
control limit for points above the central line in a control chart

U - Chart
- see Attribute Data Control Charts
a graph of the number of errors per unit - - error rate
unit may be time, area, machines, or length
value of U could be a number greater than 1
equal sample or subgroup size is NOT a requirement
used to track the number of occurrences of some event per unit
average and dispersion are closely related. Therefore, only ONE chart is needed
larger subgroup size = narrower limits (larger sample size reduces sampling error)

Variable
a characteristic or property of an individual element in a population or sample

Variation
Common Cause - causes of variation that are inherent in a process over time. They affect every
outcome
Common cause variation inside control limits - do NOT adjust process
Special Cause - relatively large, unusual variation usually comes from outside the process

Z value
Z value is a data point's position between the mean and another location (usually mean) as
measured bythe number of standard deviations.
Z is a measure of process capability and corresponds to the process sigma value that is reported
by the businesses. For example, a 3 sigma process means that three standard deviations lie
between the meanand the nearest specification limit. Three is the Z value.

COST

Appraisal costs
inspection costs incurred to identify defective products before the products are shipped to
customers
Test and inspection of incoming materials
Test and inspection of in-process goods
Final product testing and inspection
Supplies used in testing and inspection
Supervision of testing and inspection activities
Depreciation & maintenance of test equipment
field testing and appraisal at customer site

COPQ
(Cost Of Poor Quality)
rework loop cost = (Defect rate) x (Volume) x (Cost of rework per unit)
penalty from not performing work correctly the first time or not meeting customers
expectation
cost categories = appraisal, internal failure, prevention, external
most often calculated in the design stage of the Six Sigma Methodology

Entitlement cost
cost of doing the right thing right the first time

Internal failure Costs
Internal failure costs result from identification of defects before shipping to customers
Costs include scrap, rejected products,reworkingof defective units, and downtime

External Failure Costs
defective product is delivered to customer
costs include warranty, repairs and replacements, product recalls, liability arising from legal
actionsagainst a company, and lost sales arising from a reputation for poor quality

Prevention Costs
Prevention costs support activities whose purpose is to reduce the number of defects.
Examples - statistical process control, quality engineering, training, and tools

Sigma to DPMO to Yield to Cpk Table

Sigma DPMO Yield Cpk
1.50 500,000 50% 0.50
3.00 66,800 93.32% 1.00
3.50 22,700 97.73% 1.17
4.00 6,210 99.38% 1.33
4.50 1,350 99.87% 1.50
5.00 230 99.98% 1.67
6.00 3.4 100.00% 2.00

Assumptions
No analysis would be complete without properly noting the assumptions made. In the above
table, we haveassumed that the standard sigma shift of 1.5is appropriate, the data is normally
distributed, and the process isstable

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