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Practical Aspects of Implementing Six Sigma
© Kamran Moosa – PIQC INSTITUTE OF QUALITY FEB 2008 JIDDAH In collaboration with Saudi Arabian Quality Council
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Kamran MoosaPIQC Institute of [email protected]
Practical Aspects ofImplementing Six Sigma
2© PIQC - K. MOOSA
piqc.com.pk
Practical Aspects of Implementing Six Sigma
© Kamran Moosa – PIQC INSTITUTE OF QUALITY FEB 2008 JIDDAH In collaboration with Saudi Arabian Quality Council
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3© PIQC - K. MOOSA
Contents
1. Strategic Quality Measurement & Management2. ISO 9000 Phenomenon & Quality Tools3. Fundamentals of Six Sigma4. Six Sigma Tools5. Quality of Testing Labs6. Six Sigma Implementation and Structuring7. Conclusion8. Question & Answers Session
Part 1
Strategic Quality Measurementand Management
Practical Aspects of Implementing Six Sigma
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What is Quality Management
Sub-discipline of Management ScienceTQM, TQC, CWQC, QMS, QA or simply Quality ManagementIt aims to define, set, control, and improve the effectiveness of an organization within its scope and limitations Introduced in Japan in 1950s, i.e. ~ 50 years oldInitially labeled as Quality Control, then expanded into QA, QMS and then TQM
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Why do we loose customers?(Research Data)
1% because of death3% because of change of place5% because of change in behavior9% because of wrong price strategy
14% because of insufficient product quality68% because of insufficient service quality
Practical Aspects of Implementing Six Sigma
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Good/Service Dominations
Cloth, Hardware, booksHouse
Automobile, AppliancesFast Food Restaurant
Air TravelHospitalization
Teaching, Govt., Religious
Manufacturing Standard Service Standard
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Even Manufacturershave more service departments
PRODUCTION / R&DPurchasing
Finance Security Admin
MIS Mainten-ance Testing
MANUFACTURING
SERVICES
Marketing
AfterSales
Services
Ser
vice
/Pro
duct
S
tand
ards
Practical Aspects of Implementing Six Sigma
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Service Encounters(Every encounter of customer with the Service provider is a Service Encounter)
Back-end
InfectionControlMaint.
OperationLaundryTraining
MIS
AppointmentOn Phone
Doctor
Extras
Receptionist
ParkingAttendant
Nurse
Front-end
SE1SE2
SE3
SE4
SE5 SE6
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Evolution of Quality Field
Product Insp. to Process to System to Business to PerformanceControl (Opr Mgt ) Excellence Level
TQM – Wave II6 Sigma
KnowledgeMgt.
ChangeMgt
TQM – Wave IHRM
GROUPDYNAMICS
Teams
Benchmarking
BPR
TPM
JIT/MRP
QAISO9000
OPR MGT.
QCSPC
QualityCirclesInspection/
TestingMetrology
Practical Aspects of Implementing Six Sigma
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Measuring Quality - Estimations
1. Rate of Rejections/Defects
5%-20% compared to <1% WC Companies
2. Costs: Rs 20 Lakhs - 20 Crore / year
3. Country-wide Rs 100 b / y (pvt sector)
1. Rate of Rework
10-30% compared to <1% WC Companies
meaning loss of one year after every three years
1. Rate of Complaints
1-3% (30,000 ppm) compared to around 100ppm (0.01%)
1. Clinical Deathsupto 10-30%
2. Wrong Diagnosis upto 40%
3. Wrong Post operative careupto 60-80%
1. Rate of Loss of Crops
upto 30%
2. Hatcheability Loss
10-15%
1. Duration in which Justice provided?
2. Right Justice provided?
1. Cycle Times for a particular job in government offices?e.g. to get license, to get electricity, to get phone, to get permits, to get information, to get Justice, etc.????
Performance Measurement is usually neglected at state level
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Changing Scope of “Quality”
ProductQuality
OrganizationalQuality
(Products, Systems,Depts, Processes )
from to
Practical Aspects of Implementing Six Sigma
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Quality is Effectiveness
Effectiveness is in fact Quality
&
The process of Making Effective is Quality Assurance
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Performance = Output + Outcome
ORG or
DEPT
Quality of Output
Quantityof goodsor servicedelivered
OUTPUTOUTCOME
Practical Aspects of Implementing Six Sigma
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ORGANIZATION
Output of Quality Management
Quality Management
Conformance&
Improvement
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ORGANIZATION
QA is an Improvement Intervention
Social Intervention
Technical InterventionPerformance
CULTURE
A
CULTURE
B
QA
Outcome 2
Sustainable Improvement = From A to B
Outcome1
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Examples
Core CompetenceDuration of vacant posts% of Poor Hiring
Number of persons hiredNumber of Trainings
HRD
Measurement Error %Delays of testsCost of unit test
Number of testsTypes of Tests
TESTING DEPT.
% Defectives/RejectedCost of Production/itemNumber of items/unit time
Number items producedTypes of products produced
PRODUCTION DEPT.
Graduate Competency RateJob Placement RateDifference in Market Salary % of Satisfied Graduates% of Satisfied Employers
Number of StudentsNumber of TeachersNumber of ProgramsNumber of Branches
UNIVERSITY
Delivery RateDamage RateTransactions/day/person
Number of LettersNumber of Post OfficesNumber of Transactions
POST OFFICE
Quality Metrics1. # of tests delayed /
total files2. Average Duration of
delays / total delays
QualityObjectives
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Examples (Cont.)
Mortality RateMorbidity RateAcquired Infection RateRe-admission Rate% Patients leaving without full treatmentLab testing Error RateDelays in test resultsWaiting timePrescriptions not provided on timeNon-availability of medicinesEthical violations/complaints of doctors
Number of patients dealtNumber of Emergency treatedNumber of medicines givenNumber of tests in lab
HOSPITAL
Practical Aspects of Implementing Six Sigma
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1st Stage of Quality Control
MANUFACTURING
PURCHASING
PLANNING
ADMIN
HRD
FINANCE
MIS / SEC /
QCPRODUCTION
STORES Internal Mnt.
PRODUCT/ SERVICE
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MANUFACTURING
PURCHASING
PLANNING
ADMIN
HRD
FINANCE
MIS / SEC /
PRODUCTION
STORES Internal Mnt.
QC
QC
QCQC
QC
QC
2nd Stage of Quality Control
PRODUCT/ SERVICE
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MANUFACTURING
PURCHASING
PLANNING
ADMIN
HRD
FINANCE
MIS / SEC /
PRODUCTION
STORES Internal Mnt.
QC
QC
QCQC
QC
QC
QC
QC
QC
3rd Stage of Quality Control
PRODUCT/ SERVICE
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Practical Aspects of Implementing Six Sigma
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Monitoring Q’s for every dept/org.
Q1Q2Q3Q4
Q5Q6Q7Q8Q9
PRO
DU
CTI
ON
LAB
OR
ATO
RY
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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Cont.
Q10Q11Q12Q13
Q14Q15Q16Q17Q18
MA
INTE
NA
NC
EA
DM
INIS
TRA
TIO
N
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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1. Production Control (90%) A2. Marketing (70%) B3. Production Planning (60%) C4. Finance (50%) D5. Quality Assurance (40%) D-6. Design (15%) F
_________________________________________OVERALLL AVERAGE (51%) D
Lack of Focus in organizations onQuality at each dept. (Survey example)
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Example
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Develop 5 years StrategicQuality Improvement Plan
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Around80 Quality
Metrics
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Make &UseQuarterlyQA Report
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US Dept of Treasury Performance Measurement Report
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US Treasury Performance Summary FY 2003
Total Performance Measures : 208Target Met : 132 (63%)Targets Not Met: 49 (24)%)Baseline Not Available : 27 (13%)Max improved Performance : 39 (21%)Estimated Performance : 13 (7%)
Practical Aspects of Implementing Six Sigma
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TQM/QA is Measurement Based Change Process
Exc
Good
Sat
Poor
V.Poor
Product/Service Outcomes
Change
Change
Change
Change
Change
Change
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Quality Control vs Inspection
Process and/orSystems
Fixing
PROCESS
MIXEDPRODUCT
C/A
PRODUCTIONTESTINGLABSMAINT.FINANCEADMIN,QAMARKETING
ProductPerformance
Checking
PRODUCT/SERVICEFIXING
Cycle B
Cycle A
OK
NotOK
Practical Aspects of Implementing Six Sigma
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Product Fixing
OK
NotOK
PRODUCTPerformancePROCESSES
Product, Process orSystems Fixing &
Improvement
Customers(Int/Ext)
Quality Assurance
data
FIELDPerformance
Product , Process orSystems Fixing& Improvement
data
Actions
PROCESSPerformance
dataActions
Actions
DESIGN
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Basic Concept of Quality Management
Every Dept. of firm
Section 1 Section 2 Section 3OutcomeMeasure
Outputs
Cus
tom
ers/
Use
rs
DataCollection& Reports
RootCause
Analysis
ProblemSolvingChange
3
2
1
Practical Aspects of Implementing Six Sigma
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8 Dimensions of Product Quality
Performance
Features
Reliability
Conformance
Durability
Serviceability
Aesthetics
Perceived Quality
(Ref: Garvin 88)
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1. Performance: primary operating characteristics of the product or service; they are usually measurable
2. Features: additional characteristics that enhance the product/services appeal to the user
3. Reliability: likelihood that a product will not fail within a specific time period4. Conformance: precision with which the product or service meets the specified
standards (AQL)5. Durability: measures the length of a product’s life6. Serviceability: speed with which the product can be put into service when it
breaks down, as well as the competence and behavior of the serviceperson. (MTTR)
7. Aesthetics: subjective dimension indicating the kind of response a user has to a product. It represents the individual’s personal preference-the way an individual responds to the look, feel, sound, taste, and smell
8. Perceived quality: a subjective dimension; it is the quality attributed to a good or service based on indirect measures
Practical Aspects of Implementing Six Sigma
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Five dimensions of Service Quality
Reliability
Responsiveness
AssuranceEmpathy
Tangibles
Accuracydependably Promptness
Helping attitude
CompetenceCourtesy
Credibilitysecurity
AccessCommunicationUnderstanding
needs
Physical Infrastructure
image
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1. Reliability: ability to perform a service reliably and dependably; it means the customer expectations are met consistently
2. Responsiveness: the willingness to help customers and provide prompt service (speed)
3. Assurance: the ability to communicate to the customer a level of competence and to provide the service with the necessary courtesy
4. Empathy: the approachability and the ability to communicate with an understanding the customer’s needs
5. Tangible: the appearance of the physical facilities, equipment, personnel, and communication materials.
Practical Aspects of Implementing Six Sigma
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MAINTENANCE SERVICES
PRODUCT: MAINTENANCEQUALITY OBJ: Reliability (e.g. MTBF, MTR), Conformity, Safety, Security,
Durability, Accessibility, ResponsivenessCUSTOMER(S): ProductionSUPPLIER(S): PurchasingQ.C.: Checking, Fixing/Correcting, Inspecting/Testing, Collecting and
Analyzing Testing Data, Collecting Root-Cause Analysis, Analyzing Root Causes, Providing suggestions to improve the product and usage, fixing systems/procedures/processes
Q.A.: e.g. process audits and reviews, Process Measures, Measure of CSI, Training on shortcomings, counseling of persons, preventive actions
For Example
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For ExampleAIRPORT SERVICES
SERVICE: CHECK InsQUALITY OBJ: Time, Comfort, Courtesy, Empathy, Reliability, Queue
Safety, Security, Informed, Caring, right taggingSTANDARD: say, time=10 min, comfort=8/10, Empathy=7/10, R=95%
Queue=3 min, Safety=no injury/mishap, Informed/Care=8/10CUSTOMER(S): PassengersINT. CUSTOMER: Flight Services and Flight OperationsCUSTOMER REQUIREMENTS: say time=5 min, comfort=8/10, E=9,
Reliability=100%, Queue=1 min, Safety=100% safe, Inf/Care=8/10
SUPPLIER(S): MarketingPARTNERS: Civil Aviation (parking, security, shops, etc.) Q.C.: Supervisors checking, complaint handling, quality measure, root-cause
analysis (monthly), fixing systems/procedures/processesQ.A.: e.g. bi-monthly audits and reviews, Process Measures, Measure of CSI,
Training on shortcomings, counseling of persons, preventive actions
Practical Aspects of Implementing Six Sigma
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Leadership for Quality
Poor Good
%
Corporate& Dept’l
Quality Objectives%
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Monitoring of Q’s is a tool to Control Quality
01
2
3
4
5
Q1 Q2 Q3 Q4 Q5
Practical Aspects of Implementing Six Sigma
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When an outcome is in trouble, we need to analyze and improve processes and systems
01
2
3
4
5
STOP
Process/SystemsNot followed
1
PROCESSCONTROL
ProcessNot effective
2
PROCESSIMPROVEMENTWITH PROBLEMSOLVING
ProcessNot suitable
3
PROCESSCHANGE
Level 1 AnalysisIncidences
Level 2 AnalysisFactors/Reasons
Part 2
ISO 9000 & Quality Tools
Practical Aspects of Implementing Six Sigma
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System Maturity
C
A
B
3 6 9 12 18 Time (months)
Mat
urity
Acceptable
Satisfactory
Good
Excellent
After 1 -2 years
60%
15%
25%
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ISO 9000 Lessons Learnt
1. A tangible QA Framework
2. Can be used as a strong tool for performance improvement
3. Wide support 4. Generic QA Model
- Possible for every organization
5. Third Party Certification
6. World-wide accepted
+ -1. More commercial than professional.2. Extrinsic effort of Quality3. Used more as a marketing tool rather than
performance improvement tool4. Threatened producers to lose markets,
especially in EU 5. Highly variable third party
Certification/Consulting. Competence of Auditors and integrity of independence is not fully controlled despite claims of accreditation
6. Weak International accreditation 7. Weak in non-contractual environment8. Little impacts on consumers
Practical Aspects of Implementing Six Sigma
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QFD
CustomerSurvey
DOE
FMEA
5 S
QUALITYCIRCLES
JIT/MRP
7 QCTools
SUPPLIERQA
SPC
Kaizen
TPM
Bench-marking
SIXSIGMA
Without using other TQM Tools, ISO 9000 is not effective
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9585 80
30 25 25 25 20 1510 5
0102030405060708090
100
ISO 9000
SPC
C. Survey
QC
C
Benchm
arking
Reengineering
Q. Aw
ard
Kaizen/5S
QPD
JIT
New
Mgt
Tools
%
Application of QM Tools in ISO 9000 Certified Firms (local survey, 1998)
Practical Aspects of Implementing Six Sigma
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Effectiveness of ISO 9000 QMS
9585 80 75 70 70
6040
0102030405060708090
100
Poor C
/A
Poor S
PC
Insuff. Mget
Rev
Poor
Auditors
Ineef. IQA
's
Poor Q
Objectives
Poor
Training
Poor V
endorC
ontrol
Fundamentals of
SIX SIGMA
Part 3
Practical Aspects of Implementing Six Sigma
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Six Sigma Definitions
1. A Management driven, scientific methodology for product and process improvement which creates breakthroughs in financial performance and Customer satisfaction. Source: Motorola
2. A methodology for pursuing continuous improvement in customer satisfaction and profit that goes beyond defect reduction and emphasizes business process improvement in general (Breyfogle III)
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Two Dimensions of Quality Mgt
Conformance (QA)
Low Med High
High
Med
LowImpr
ovem
ent (
CQ
I)
CompanyA
CompanyC
CompanyD
CompanyB
BenchmarksCompetitive
TargetsSixSigma
ISO9000
Practical Aspects of Implementing Six Sigma
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SS Approach is Problem SolvingCorrection B P RPreventive
actionCorrective
action
Fixing mistakes
ChangingSystems &Processes
FixingSystems
& Processes
FixingRoot-causes
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C
DMethods/Tools/Env’mnt/Material
Problem SolvingLogic
OK
NOTOK
C,B,A,D,F,B,
A
C,B,F,D,F,C,
B
C,B,B,C,F,B,D
C
HumanFactorEthicscompetenceApproach
MachineFactorVariabilityCapabilityconditions
Monthly classificationday-to-day
day-to-day Classification of
ImprovementIn Systems
B
Practical Aspects of Implementing Six Sigma
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Kaizen, Quality Circles andSix Sigma Problem Solving
Kaizen
Quality CirclesQuality Teams
Six Sigma Projects
CommonSense
Suggestions, No stat tools
Medium level problems
Basic Analysis7-SQC Tools
High value, Complex problemsAdvance
Statistical Analysis
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SS is a high potency Capsule to solve quality related problem
For improvingDay to day
Qualityissues
For improvingDay to day
QualityIssues
Require group efforts
Only for improvingHigh value, deep rooted
Qualityissues
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SS as a Metric
A Metric that indicate how well a process is performing. A higher sigma means higher performance. A statistical measure of the
capability of a process.
σWhat is Sigma
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Sigma Value and Process Rating
1 Sigma
6 Sigma
5 Sigma
4 Sigma
3 Sigma
2 Sigma
CoQ<1%CoQ>25%
CoQ>40%
Practical Aspects of Implementing Six Sigma
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(LSL) (USL)
-6σ -5σ -4σ -3σ -2σ -1σ +1σ +2σ +3σ +4σ +5σ +6σ
(LSL) (USL)
-6σ -5 -4 -3 -2 -1 +1 +2 +3 +4+5+6σ
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3 SigmaYield = 99.73% (OK)
0.27%, 2700 ppm Defects
3 SigmaYield = 93.32% OK
6.68%, 66,807 ppm Rej
99.73%93.32%
Process Oscillation -1.5 Sigma Shift Theory
Practical Aspects of Implementing Six Sigma
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1.5 σ Shift
6 σ
4.5 σ
USLLSL
3.4 DPMOWith shift
3.4 DPMOWith shift
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Sigma Table
Long Term
Process Shifted 1.5 σShort Term
Process Not Shifted
6σ5σ4σ3σ2σ1σ
99.99966099.9767099.379093.3269.1330.23
Yield (OK)%
2330.5399.9999433.40.00299.9999998
6,2106399.993766,8102,70099.73
308,70045,50095.45697,700317,30068.27
Rejectppm
Rejectppm
Yield (OK) %
Practical Aspects of Implementing Six Sigma
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Increasing # of Parts or Processesreduces quality level
1019365164
75%
Final Product Defect Rate
81%101090%55
64%202049%303036%404025%50%50%
Final Product OK Rate (Yield)
Part 2Defect Rate
Part 1Defect Rate
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Defect Rates
0.0004
0.001
0.1
1
2
3
4
5
10
15
20%
Def Rate%
99.6 4.299.999.999.999.999.9997 6
90 2.899 4.699.999.999.999.99 5.2
37 1.290 2.899.099.599.899.9 4.6
037 1.290 2.8959899 3.9σ01382909698 3.6σ0574869497 3.4σ01766829296 3.3σ0060 1.8779095 3.2σ0035598190 2.8σ0020447285 2.6σ0011336480% 2.4σ
1000 Parts
100 Parts10Parts
5 Parts
2 parts
Yield %
Practical Aspects of Implementing Six Sigma
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Vendors AQL% effect on final quality
12345678910
Assembly
Vendors (Def %)5%5%5%5%5%5%5%5%
5%5%
?
Yield: 60%40% Def
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Or if you have 10 processes
P1P2 P3 P4P5 P6 P7 P8 P9 10 FinalYield
?
Yield: 60%40% Def
5% 5% 5% 5% 5% 5% 5% 5% 5% 5%
ASSEMBLY
Yield (RTY) = (.95x.95x.95x.95x.95x.95x.95x.95x.95x.95 = 0.6)
σ =3.1 σ =1.7
Practical Aspects of Implementing Six Sigma
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Sigma Calculations
# Defects# Units
DPU(Defects/Unit)
# Defects# Units x # Opportunities
DPO(Defects/Opportunity)
Say10 Defects, 100 pairsDPU = 10/100 = 0.1 (10%)
Say10 Defects, 100 pairs, 2 opportunities / cartonDPO = 10/100x2 = 0.05 Or 5% for each type
One pair
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(cont.)
DPO x 106
DPMO(Defects/M. Opportunity) 10 Defects, 100 pairs
2 types of defectsDPMO = 0.05 x 106 = 50,000
Sigma Table
SigmaConsult Table with DPMO
From Sigma Conversion Table
50,000 DPMO = 3.1 σ
And Yield = 94.7%
One pair
Practical Aspects of Implementing Six Sigma
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Calculating Sigma
Company: IPPProduct: ElectricityCTQ: Up time / Down timeCTQ Measure: minutesCTQ Specs: no downtimeDefect measure: one min of no powerOpportunity/unit: 1 Total Defects in 2005: 500 minDPU = 500/525,000 = 0.00095 Yield: 525,000 – 500 x 100 = 99.90
525,000DPMO = DPU / O x 106 = 950 Sigma (from table) = 4.6 Sigma
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Calculating Sigma (2nd Example)
Company: PCB ManufacturingProduct: Printed Circuit BoardCTQ: Board FunctionalityCTQ Measure: Non Functioning of BoardCTQ Specs: All boards function properlyDefect measure: Any non-functioning boardOpportunity: Total # of parts + solder points (58)Defects in a lot of 1000 = 90 DPU = 90/1000 = 0.09Yield: = 99.84 % (Y= e –DPU)DPMO = 0.09 / 58 x 106 = 1552Sigma (from table) = 4.5 Sigma
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Six Sigma Programs
Design forSix Sigma
SixSigma
LeanSix Sigma
SS
LSS
DFSS
Elimination of Defects fromExisting Products and processes
Elimination of Wastes fromExisting Products and processes
Elimination of Defects fromNew Products and processes
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SS Roles and qualificaitons
Black Belt Black Belt
Green Belt Green Belt Green Belt Green Belt
Master Black Belt
Champions
Quality Council/Steering Committee
SponsorsProcess Owner
CoachTrainers
SS ProjectManagers
Team LeadersTeam Members
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SIX
SIG
MA
& L
EAN
SIX
SIG
MA
Six Sigma Methodologies
DMAIC
Define
Measure
Analysis
Improvement
Control
DMADV
Define
Measure
Analysis
Design
Verify
DES
IGN
FO
R S
IX S
IGM
A
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Six Sigma Frameworks
Six Sigma
SIPOC, CTQ,SPC, FMEA,DOE, QFD,CoQ, ANOVA,Hypothesis,Regression,MSA (R&R),QFD
Lean Six Sigma
5SValue MappingTime StudyTPMCellular Prod.Supply ChainTakt timePoke Yoke
DFSS
VOC,QFD, FMEA, CTQ Gage R&R, TRIZ, PughMatrix, DOE,ReliabilityAnalysis, SPCSystemsEngineering
DMAIC DMAIC DMADV
Program
Tools
VARIATIONDefects
Cost of Poor Quality
WASTE/SPEEDCycle time, Delivery
Cost of operation
RELIABILITY& ROBUSTNESSDesign Features
Methodology
Focus/Theme
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DMAIC Define
1. Customers and Critical to Quality (CTQs) 2. Problem Statement, Goals and Benefits) 3. Identify Champion, Process Owner and Team 4. Resources 5. Evaluate Key Organizational Support 6. Develop Project Plan and Milestones 7. Develop Process Map
Define the project goals, business justification, and project outcome
AC
TIV
ITIE
STO
OLS
1. Process Chart2. SIPOC Diagram3. WBS / Project Mgt4. CTQs5. Surveys
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DMAIC Measure
1. Define Defect, Opportunity, Unit and Metrics 2. Detailed Process Map of Appropriate Areas 3. Develop Data Collection Plan 4. Validate the Measurement System Analysis (MSA) 5. Collect the Data and extensive study6. Begin Developing Y=f(x) Relationship 7. Determine Process Capability and Sigma Baseline
Measure the baseline - determine current performance and long term process capability
AC
TIV
ITIE
STO
OLS
1. Process Flow Charting2. Data Collection Plan3. Benchmarking4. Measurement System Analysis (MSA), R&R5. Voice of Customer Gathering6. Process Sigma Calculations
Practical Aspects of Implementing Six Sigma
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DMAIC Analyze
1. Define Performance Objectives 2. Identify Value/Non-Value Added Process Steps 3. Identify Sources of Variation 4. Determine Root Cause(s) 5. Determine Vital Few x's, Y=f(x) Relationship
Extensive exercise to carry out root-cause analysis
AC
TIV
ITIE
STO
OLS
1. Pareto Analysis, Time Series/Run Charts2. Scatter Plots, Regression Analysis3. Cause and Effect Matrix and Diagrams4. Test of Hypothesis5. Data Analysis6. Failure Mode and Effect Analysis
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DMAIC Improve
1. Perform Design of Experiments 2. Develop Potential Solutions 3. Define Operating Tolerances of Potential System 4. Assess Failure Modes of Potential Solutions 5. Validate Potential Improvement by Pilot Studies 6. Correct/Re-Evaluate Potential Solution
Improve the process with experimentations by eliminating defects and re-engineering.
AC
TIV
ITIE
STO
OLS
1. Mistake Proofing (Poke Yoke)2. Design of Experiments (DOE)3. House of Quality (Quality Function Deployment)4. Failure Mode and Effect Analysis5. Simulations
Practical Aspects of Implementing Six Sigma
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DMAIC Control
1. Define and Validate Monitoring and Control System 2. Develop Standards and Procedures 3. Implement Statistical Process Control 4. Determine Process Capability and Cost of Quality 5. Develop Transfer Plan, Handoff to Process Owner 6. Verify Benefits, Cost Savings/Avoidance, Profit Growth 7. Close Project, Finalize Documentation, Reward/Award
Improve the process with experimentations by eliminating defects and re-engineering.
AC
TIV
ITIE
STO
OLS
1. Process Sigma Calculation2. Control Charts3. Cost of Quality Calculations4. Control Plan5. ISO 9001
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So what is a Six Sigma Company?
You don’t have to achieve the 6 Sigma performance level to qualify as Six Sigma…
An organization that is actively working to build the themes and practices of Six Sigma into its daily management activities, and is showing significant improvements in process performance and customer satisfaction
Practical Aspects of Implementing Six Sigma
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Different Sigma Values for different products
Part A
Part D
Part C
Part B
6 σ5 σ4 σ3 σ2 σ1 σ
Six Sigma Tools
Practical Aspects of Implementing Six Sigma
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Every tool is a junk unless used appropriately
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Six Sigma Tools
QualityTools
StatisticalTools
ManagementTools
Probability DistributionSamplingConfidence IntervalsHypothesis TestingControl ChartsCapability AnalysisCorrelations AnalysisRegression AnalysisDesign of ExperimentsAnalysis of Variance
Project ManagementOrganization BehaviorHuman Resource ManagementKnowledge ManagementSWOTMBO
QFDFMEA
SPCQC Tools
New Mgt ToolsBenchmarking
BPRCOQ
ISO 9000MSA
Practical Aspects of Implementing Six Sigma
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Part 5
Quality of Testing Labs
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Measurement System Analysis
GageA tool, or an instrument or procedure used to measure or inspect a process parameter or a product characteristics.
Attribute GageUsed to make a go, no-go decision
Variable GagesPhysical measured dimension with variable data
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Purpose: To determine if a measurement system can generate accurate data, and if the accuracy is adequate to achieve the measuring objectives.Why MSA: to make sure that the differences in the data are due to actual differences in what is being measured and not to variation in measurement methodsIt is generally known that 30% to 50% of measurement systems are not capable of accurately or precisely measuring the desired metric
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Measurement Variation
Variation within a sample
Part-to-part variation
Variation due to operators
(Reproducibility)
Variation due to gages
Repeatability LinearityStabilityBias
Accuracy
Practical Aspects of Implementing Six Sigma
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BiasInstrument bias is the difference between the observed average value of
measurements and the master value
LinearityA measure of the change in bias over the range of instrument capability
StabilityA measure of the change in bias over time
1 2 3 4 5 6 7 8 9 10
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AccuracyBias
LinearityStability
PrecisionRepeatability
Reproducibility
ConcernsWith
MEAN
Concern withVARIANCE
Calibration
GR&RStudy
Practical Aspects of Implementing Six Sigma
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Part-to-PartVariation
MeasurementVariation
ObservedVariation
Part 6
Six Sigma Implementation& Structuring
Practical Aspects of Implementing Six Sigma
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7 Stages of TQM Implementation (ESDDISA)
1st StageENVISIONINGAwareness, Training
Need AnalysisConfidence building
3rd StageDEVELOPING
Forming structureMaking procedure
2nd StageSTRATEGIZING
Intent, Focusing,Resourcing, Organizing,
Forming policy
4th StageDEPLOYINGTrial, First cycle of
implementation
5th StageIMPROVING
Analyzing initial trialsCorrecting / improving
Initial procedure
6th StageSUSTAINING
Controlling Regulating the
program
7th StageABANDONINGStop implementation
ISO9000TQM
MODEL/TOOL
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EFF
EC
TIV
EN
ES
S
1ST Year 2nd Year 3rd Year
Embryonic MaturityImprovement
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3 Components of Effective QA Structure
CORPORATE QACOORDINATOR
Q. COORD
SUB. DIV HEADAREA A
Q. COORD
SUB. DIV HEADAREA B
Q. COORD
SUB DIV HEADAREA C
Q. COORD
SUB DIV. HEADAREA D
Q. COORD
DEPT'L HEADS
DIV. HEADSType title here
CHIEF
QA PROJECT GROUP
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Three Players of QA Structure
Practical Aspects of Implementing Six Sigma
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Six Sigma Structure
SIX SIGMA TEAMS
HODs
Sup
Mgrs
CEO
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Two important things not available as a standard with respect to QA/TQM
QA/TQMApproaches
Depended on many factorse.g.Company Culture and historycompetenceMoodResourceLocationPriorities
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Most TQM/Six Sigmadon’t reach Phase III
PHASE IDESIGN
PHASE IIDEPLOY
MENT
PHASE IIIREGULAR IMPLEMENTATION
EVENT REPEATED EVENTS (CULTURE)
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Schein’s 3 Levels of Culture
Artifacts
Espoused Values
Basic Assumptions(Core Values)
Ex: parking place
Practical Aspects of Implementing Six Sigma
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Watch-out for slow changes; they may be fatal
Slow changes are not felt in organizations which maybe fatal in long run
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Conclusion1. Six Sigma is a sound program to improve any organization. It provides a
structured way to manage Quality. It is a necessary part of any forward looking organization.
2. It requires proper structure, core competence in Six Sigma Tools, strategic vision & drive (Leadership). It requires Intend, Interest as well as Intellect
3. ISO 9000 is a popular and common program to start with. However, it is never sufficient. It requires progressive expansion with other QM/QA Tools, e.g. SPC, Six Sigma, MSA, etc.
4. The program’s first step is to develop Quality Indicators/Metrics at every function and level. These metrics should be then monitored, reported, reviewed, and continuously improved on long term basis by the senior management.
5. Six Sigma requires proper Project Management as well as Social Management. Improving is changing.
6. We have already wasted a large portions of our professional lives by not bringing effective improvements in the organizations that we work in. The professional TQM/Six Sigma is an effective tool improve the performance of organizations on sustainable basis. Any genuine initiative is the starting point.
7. Top Management has a very strong role to play in managing Quality Assurance. Any interest in its implementation must be supported by a proper initiative. Without effective Initiative, interest, Intend and Intellect of senior management, there is no chance for its success.
Practical Aspects of Implementing Six Sigma
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Learning Levels(Bloom’s Taxonomy 1956)
KnowledgeLevel
ComprehensionLevel
ApplicationLevel
AnalysisLevel
SynthesisLevel
PROFESSIONAL ETHICS
NATIONAL VALUES
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Finally
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