Download - Six Sigma and Construction Industry
TOPIC
IMPLEMENTATION OF SIX SIGMA IN
CONSTRUCTION PROJECTS
BY: M. A. RANA
1
2
Your first question is likely…
What is Six Sigma?
Your second question is likely…
Why Six Sigma?
TWO COMMON QUESTIONS ??
PROLOGUE
WHAT IS SIX SIGMA ?
Sigma , A Greek Term Used In Statistics To Represent Standard Deviation From Mean Value, An Indicator Of The Degree Of Variation In A Set Of A Process.
Sigma Measures How Far A Given Process Deviates From Perfection.
3
4
A Statistical Concept That Measures A Process In Terms Of Defects – At The Six Sigma Level, There 3.4 DPMO (Defects Per Million Opportunities).
WHAT IS SIX SIGMA ?
5
6
TECHNICAL IMPLICATION OF SIX SIGMA
7
Six Sigma Is Not: A Standard A Certification
Rather!
It Is A Quality Philosophy And The Way Of Improving Performance By Knowing Where You Are And Where You Could Be.
It Is A Methodology To Measure And Improve Company’s Performance, Practices And Systems
WHAT IS SIX SIGMA ?
8
Six Sigma Emerged As A Natural Evolution In Business To Increase Profit By Eliminating Defects
The Current Business Environment Now Demands And Rewards Innovation More Than Ever Before Due To:
Customer Expectations Technological Change Global Competition Market Fragmentation
WHY SIX SIGMA ?
9
SIX SIGMA IMPLEMENTATION PRINCIPLES
In Terms Of Implementation, It Can Be Said That This Is A “Top-down” Approach From Top Manager To Entire Involved People.
Six Sigma Stresses The Importance Of People Involved, Their Role And Responsibilities In Any Construction Project
Executive Leadership: “This Encourages And Drives Force Behind The Scene To Adopt Six Sigma In Organization Since The First Day”
Master Black Belts: “They Are The Six Sigma Project Managers And The Most Responsible People For Fundamental Changes”
Black Belts: “The Black Belts Are The People Who Really Work”. They Are The Ones, Apart From Master Black Belts, Who Work Full-time On The Job. They Are The Key To The Whole Projects, The True Leaders Of Six Sigma
10
SIX SIGMA METHODOLOGIES
Six Sigma Projects Follow Two Project Methodologies Inspired By Deming’s Plan-do-check-act Cycle. These Methodologies, Composed Of Five Phases Each, Bear The Acronyms “DMAIC”[duh-may-ick] And “DMADV”[duh-mad-vee]
We Are Considering DMAIC”[duh-may-ick] Methodology In This Because It Is A Continuous Improvement Methodology And Aims To Enhance The Efficiency Of The Existing Processes And Increase Customer Satisfaction Through Designed Products And Services.
11
DMAIC [DUH-MAY-ICK]
DEFINE MEASUREANALYZE
IMPROVE CONTROL
12
DEFINE It Is The First Step In Identifying The
Customer (Client) Requirements There Are Two Aspects In Defining:
Company’s In Terms Of Business And Finance, Company Aims To Reduce The Costs And Maximize Financial Benefits As Well As Customer Satisfaction To Be Back For Further Business
Customer’s Customers Wish To Pay As Less As Possible For On Time Delivery And High Quality (With No Defects)
13
By Considering These Requirements, The Main Goal Of Implementing Six Sigma Is To Manage Resources Like : Material Time Capital Man-powerEfficiently And Effectively In Order To Reduce The Defects And Cost Of Construction Projects
DEFINE
14
In Construction We Already Know That Anything That Does Not Meet The Requirements Is Come Under The Term Defect.
Note That, Late Delivery Of The Project Is Defined As A Significant Defect
In Order To Identify The Defects In A Construction Project, A Complete Structure Can Be Studied And Tested Regarding Different Perspectives That Are:
DEFINE
15
Material Tests Functional Tests Safety Tests Internal Finishes External Finishes
Six Sigma Project Prioritize The Processes For Implementation Of Six Sigma And Allocate An Appropriate Role To Specific Person Like Black Belts And Champions, It Is Requisite To Arrange The Task Force And Assign Those Responsibilities To People At The Beginning Of The Program.
DEFINE
16
Besides, Since Six Sigma Is A Business Oriented Strategy And All Achievements State In Financial Terms, It Is Required To Estimate The Investment And Expends Of Implementing Six Sigma Principles, Determine The Expected Outcomes, And Approximate Its Profitability Earlier.
DEFINE
17
MEASURE
Measure, Second Stage Of DMAIC, Is For Having A Plan For Data Collection, Preparing A Sufficient Data Sample And Preliminary Analysis.
In This Stage, Six Sigma Team Analyzes Current Performance Through Valid Data In Order To Understand Improvement Opportunities . Following Are The Basic Steps For Measure:
18
MEASURE
Identify measurement and variation: Types, sources, causes and detailed impacts of variation on process should be defined by the establishment of measurement.
Determine data type: Six Sigma team should define data types that will be collected. The main focus is to decide what kind of data and knowledge required for process improvement.
19
Perform measurement system analysis: Graphical and baseline analysis should be performed through MSA (Measurement System Analysis) in order to be sure that data collection plan works accurately and collected data are confidential.
Collect the data: Collected data should be proper and provide enough information to Six Sigma team in order to determine root causes of the problem.
MEASURE
20
In This Phase The Main Task Is To Identify When, Where And Why The Defects Occur In The Construction Project And Then Solved By Finding Root Cause
In Order To Run An Appropriate Investigation And Analysis Of Root Causes Of Problems, It Is Advantageous To Study An Overall Project In Three Different Sections Discussed Next.
ANALYZE
21
1. Pre-construction Activities And Processes2. Construction Work Flow And Involved Processes And
Activities3. Quality Of Material, Level Of Equipment, And Competency
Of Team Members
Construction Project Demands Heavy Reliance On Different Processes And Activities And Their Interconnection, Therefore It Is Necessary To Consider The Coordination Of These Processes And Activities And Their Interface To Meet The Success.
ANALYZE
22
From The CTQs Perspective, The First Priority In This Phase Is To Identify The Factors Which Influence The CTQs, Classify Those Factors And Determine The Critical Influence Factors.
Further More It Should Be Considered That A Cause-and-effect Analysis In Cooperation With Engineers, Project Supervisors, Team Members, And Using Their Knowledge, Information And Experience Is Able To Investigate The Critical Influence Factors.
ANALYZE
23
Six Sigma Offers Different Tools Such As Simulation Test, “What If” Analysis, And Etc For Ctqs.
Identification Of Critical Factors And The Consequent Determination Of The Root Causes Of Problems Are Achieved Through The Comprehensive Analysis Of The Project
“The Construction Process Is An Outdoor Activity That Is Affected By External Conditions And Repetitive Than Manufacturing Process”
Besides All Typical Influence Factors Such As Site Access, Equipment, Logistics, Resources, Team Members Skill And Competence, It Should Be Noted That Natural Phenomena Have Considerable Effects On The Progress Of The Construction Projects So It Mus Be Kep In Mind.
ANALYZE
24
In This Phase Six Sigma Project Aims To Eliminate The Identified Defects Through The Knowledge Derived From Analyze Phase. For Example Upgrading The Equipment's Purchasing The Material Of Higher Quality Improving The Competency Of The Staff Etc.,But It Is Absolutely Imperative To Consider Its Financial Benefits As Well.
IMPROVE
25
It Is Necessary To Implement An Alternative Action That Provides Financial Benefits And Business Development Apart From Improving The Performance And Sigma Level As High As Possible.
Optimization Methods Lead The Project To Maximize Profits In An Appropriate Performance Level. For Instance, In Case Improvement From Level 5 To 6 Demands Numerous Activities And Vast Investments Whereas Business Stands At Its Former Level, The Improvement Is Not Reasonable And Sensible And Operates Ineffectively. Hence, This Matter Is Of Paramount Importance To Maintain Stable At The Optimal Point Of Improvement.
IMPROVE
26
The Control Phase Is Responsible To Ensure The Sustainability And Development Of The Improvements That Have Been Obtained Through The Implementation Of Six Sigma Principles.
It Is Requisite To Collect Data Continuously During The Project And Measure The Performance, Continuous Review Of The Project.
CONROL
27
Monitoring The Improvements Provide The Following Advantages And Opportunities For The Six Sigma Project:
Leads To Proper Evaluation Of Improvement To Ensure That Estimated Improvements Have Been Attained.
Leads To Prevention Of Reversion To The Former Failures
Explore The Potential Area For Further Improvements And Continual Perfection
CONROL
28
CONCLUSION
The Idea Of Applying Six Sigma Principle On Construction Industry Theoretically And Explored The Advantages Of DMAIC Procedure And Its Potential To Enhance The Quality Level And Efficiency Of The Construction Projects
Moreover, The Flexibility Of DMAIC Framework In Construction Projects Has Been Demonstrated And Recommended How To Implement Each Phase Considering The Constructional Indices.
29
Six Sigma Is A Continual Improvement Method Which Offers A Systematic Strategy To Control And Coordinate All Involved Processes In Any Construction Project, Effectively.
CONCLUSION
30
THANK YOU