Our Goal Our Goal

Six Sigma FoundationsContinuous Improvement TrainingSix Sigma FoundationsContinuous Improvement Training

Six Sigma Simplicity

Key Learning PointKey Learning Point

s Six Sigma capability is our Goals Six Sigma capability is our Goal

s A process operating at “Six Sigma” Capability means:

s A process operating at “Six Sigma” Capability means:

3.4 ppm

3.4 Defects per Million Opportunities (DPMO)

QuotationQuotation

“I often say that when you can measure what you are speaking about and express it in numbers, you know something about it.

When you cannot measure it, when you cannot express it in numbers, your knowledge is of a meager and unsatisfactory kind.”

Lord Kelvin

“I often say that when you can measure what you are speaking about and express it in numbers, you know something about it.

When you cannot measure it, when you cannot express it in numbers, your knowledge is of a meager and unsatisfactory kind.”

Lord Kelvin

What is “Sigma” ? What is “Sigma” ?

s Letter in the Greek Alphabet.s Used to describe the variation within any

dataset. Standard deviation of sample data.s The “Sigma Value” is a capability metric. It

indicates how well a process is performing.s “Six Sigma” is a philosophy aimed at

increasing the capability of all business processes.

s Letter in the Greek Alphabet.s Used to describe the variation within any

dataset. Standard deviation of sample data.s The “Sigma Value” is a capability metric. It

indicates how well a process is performing.s “Six Sigma” is a philosophy aimed at

increasing the capability of all business processes.

s

Average Company

Performance3 Capability

93.319 %

66,810 ppmDefects

Good Company Performance4 Capability

99.379 %

6,210 ppmDefects

World Class Performance6 Capability

99.99966 %

3.4 ppmDefects

Long Term Performance

Optimized (Peak) Performance s Sets a world class target

s Does not merely compare with competitors

s Does not simply compare to history

s 200,000 wrong drug prescriptions each year

s Unsafe drinking water for 15 minutes

each day

s 20,000 lost articles of mail per hour

s 5,000 incorrect surgical operations per week

s 2 long or short landings at most major

airports daily

Practical Meaning of 99% Good(Operating at a 4 capability.) Practical Meaning of 99% Good(Operating at a 4 capability.)

Example of 99% Good(Operating at a 4 capability.)Example of 99% Good(Operating at a 4 capability.)

s A Bill of Material with 100 line itemss One line item is incorrects Detected at final inspection

s Potential Results (COPQ)s Delay, Penalty, Late Payment, Scrap, Re-

specify, Re-purchase, Premium Replacement Cost, Overtime, Customer Dissatisfaction, Loss of Credibility, Potential Loss of Future Business

s A Bill of Material with 100 line itemss One line item is incorrects Detected at final inspection

s Potential Results (COPQ)s Delay, Penalty, Late Payment, Scrap, Re-

specify, Re-purchase, Premium Replacement Cost, Overtime, Customer Dissatisfaction, Loss of Credibility, Potential Loss of Future Business

Use of DataUse of DataHow would you grade your operation based on the following:

F Our organization only uses tribal knowledge. We do not use data.

E Our organization collects data simply to say “we collect data.”

D Our organization does collect data. And we sometimes look at the numbers.

C Our organization logically groups the data. We form charts.

B Our organization uses sample data along with basic statistics.

A Our organization uses sample data along with inferential statistics.

A+ Our organization quantifies processes via prediction equations.

Your Grade: ______

How would you grade your operation based on the following:

F Our organization only uses tribal knowledge. We do not use data.

E Our organization collects data simply to say “we collect data.”

D Our organization does collect data. And we sometimes look at the numbers.

C Our organization logically groups the data. We form charts.

B Our organization uses sample data along with basic statistics.

A Our organization uses sample data along with inferential statistics.

A+ Our organization quantifies processes via prediction equations.

Your Grade: ______

1 - 2

3

4

5

6

Use of ToolsUse of Toolss Tools:

s Design for manufacturability

s Tools:s Designed experimentss Failure modes

and effectss Multi vari analysiss JIT, Kanban

s Tools:s Fishbone diagramss Pareto diagrams

s Tools: s Common sense

s Tools:s Design for

manufacturabilitys Tools:

s Designed experimentss Failure modes

and effectss Multi vari analysiss JIT, Kanban

s Tools:s Fishbone diagramss Pareto diagrams

s Tools: s Common sense

s 6-sigma tolerancing

s Process mappings Measurement

systems analysiss Capability studiess TOCs Kaizen Events

s Brainstormings SPC charts

s Tribal knowledge

s 6-sigma tolerancing

s Process mappings Measurement

systems analysiss Capability studiess TOCs Kaizen Events

s Brainstormings SPC charts

s Tribal knowledge

Your Level: ________

Our Goal Our Goal

Six Sigma FoundationsContinuous Improvement TrainingSix Sigma FoundationsContinuous Improvement Training