Presentation On Six Sigma: Click To Edit Master Subtitle Style by Aarti Devi

PRESENTATION ON SIX SIGMA
By Aarti Devi Click to edit Master subtitle style
5/7/12
Six Sigma
Business Definition
A break through strategy to significantly improve
customer satisfaction and shareholder value by reducing variability in every aspect of business.
Technical Definition
A statistical term signifying 3.4 defects per million
opportunities.
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What is Six Sigma

Six Sigma is a Continuous quality improvement
program.
A set of practices designed to improve processes and
eliminate defects.
Six Sigma seeks to improve the quality of process
outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and business processes.
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What is Six Sigma

6-Sigma encourages leanness, simplicity, and doing things
right the first time, so that wastes and corresponding costs are avoided.
Lastly, 6-Sigma is driven by the voice of the customer. 6-Sigma has evolved into a continuous, disciplined, and
structured process of improving operations to make products that are consistently meeting customer requirements.
In effect, 6-Sigma no longer simply means excellent
finished products, but more importantly, excellent processes, services, and administration.
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What is Six Sigma

Six Sigma seeks to improve the quality of process
outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and business processes.
Each Six Sigma project carried out within an
organization follows a defined sequence of steps and has quantified financial targets (cost reduction and/or profit increase).
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Sigma Levels
A value from 1 to 6 that signifies the maximum number of defects per million:
1 Sigma = 690,000 defects/million = 31% accurate 2 Sigma = 308,537 defects/million = 69.1463% accurate 3 Sigma = 66,807 defects/million = 93.3193% accurate 4 Sigma = 6,210 defects/million = 99.3790% accurate 5 Sigma = 233 defects/million = 99.9767% accurate 6 Sigma = 3.4 defects/million = 99.999997% accurate
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History of Six Sigma

1986: Motorola Defines Six Sigma and in 1987 Chief Executive declares
Motorola will be at 6 by 1992 (5-year goal)
1988: Six Sigma consortium is formed:
Motorola, Raytheon, ABB, CDI, Kodak

1989/1990: IBM, DEC try Six Sigma -- and fail 1993: AlliedSignal adds a new level to Six Sigma : Dedicated Black Belts
with a supporting infrastructure
1995: Jack Welch of General Electric adopts Six Sigma 1996-1998: Six Sigma implementation expands significantly as companies
observe the success of Allied and GE :Siebel, Bombardier, Whirlpool, Navistar, Gencorp Lockheed Martin, Polaroid, Sony, Nokia, John Deere
Siemens, BBA, Seagate, Compaq, PACCAR, Toshiba, McKesson, Am Ex... 5/7/12 1999: Starting to see exponential growth. Formal Six Sigma training begins
Six Sigma Key Concepts

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

Generates sustained success Sets performance goal for everyone Enhances value for customers; Accelerates rate of improvement; Promotes learning across boundaries; Executes strategic change
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Six Sigma Methodology

Six Sigma has two key methodologies: DMAIC and DMADV. DMAIC is used to improve an existing business
process.
DMADV is used to create new product designs or
process designs in such a way that it results in a more predictable, mature and defect free performance.
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DMAIC (Define, Measure, Analyze, Improve and Control):

Define opportunities, i.e., project goals in relation to
customer requirements;
Measure the current performance of the process; Analyze the weakness of the process (such as
sources of defects); weakness is also the opportunity for its improvement;

Improve the performance of the process by
addressing its weaknesses; and

Control the performance of the improved process to
sustain its gains.

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DMADV (Define, Measure, Analyze, Design, and Verify):

Define opportunities, i.e., project goals in relation to
customer requirements;
Measure and determine customer requirements and how
competitors are serving these requirements;

Analyze your process options to meet these customer
needs;
Design your process to meet these customer needs; and Verify the performance of the process, particularly in
terms of its ability to meet customer requirements.
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PDCA CYCLE
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Companies using Six Sigma

Bristol Myers Squibb 3M AB Dick City of Dallas Adolph Coors Campbell Soup Advanced Micro Devices Chevron Allied Signal Citicorp Alcoa Clorox Aerospace Corp Dow Abbotts Labs Fidelity Apple Computer Intel
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Good to know
Kraft General Foods Seagate Lockheed martin Sony McDonnell Douglas Star Quality Microsoft Texaco Motorola Texas Instruments NASA TRW Northrop Corp US Army Pentagon US Air Force Parkview Hospital United Technologies
5/7/12
Good to know
General Dynamics GE HP Honeywell Kaiser Aluminum Boeing Rohm and Haas
5/7/12
Thank You
5/7/12

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PRESENTATION ON SIX SIGMA

By Aarti Devi Click to edit Master subtitle style

What is Six Sigma

A set of practices designed to improve processes and

What is Six Sigma

What is Six Sigma

Each Six Sigma project carried out within an

History of Six Sigma

Motorola will be at 6 by 1992 (5-year goal)

1988: Six Sigma consortium is formed:

Motorola, Raytheon, ABB, CDI, Kodak

with a supporting infrastructure

Six Sigma Key Concepts

Benefits of Six Sigma

Six Sigma Methodology

DMAIC (Define, Measure, Analyze, Improve and Control):

sources of defects); weakness is also the opportunity for its improvement;

addressing its weaknesses; and

sustain its gains.

DMADV (Define, Measure, Analyze, Design, and Verify):

competitors are serving these requirements;

terms of its ability to meet customer requirements.

Companies using Six Sigma

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