RM Six-Sigma-2

8/7/2019 RM Six-Sigma-2

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PRESENTED BY

NAME ROLL No

Jitto George 68

Prateek Pathak 89

Nazneen Patel 88

Suvidh Rele 91

Anees Rehman

Sushant Shetty 102

Priti Singhavi 105

Anurag Singh 104


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What is Quality?

Know Six Sigma

Six Sigma Process

Introductionto Six Sigmaas

methodology

Six Sigma Applications

Six Sigma @ WIPRO

CONTENTS


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Sigma allows comparison of products and services

of varying complexity.

Also, it provides a common basis for benchmarking

(competitors and non-competitors).

The higher the sigma level, the better your operation

is performing.

Sigma measures how well youre doing in getting

to zero defects.

WHY HAVE SIGMAAS A QUALITY MEASURE


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SIX SIGMA - Definition

Six sigma is a problem-solvingTechnologythat uses human

Assets, data, measurements and

Statistics to identifythe vital few

Factors to decrease waste and defects

While increasing customer

Satisfaction, profitand shareholder

Value.


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What is Six Sigma?

Itisamethodologyforcontinuousimprovement

Itisamethodologyforcreating products/ processesthat

performathighstandards Itisasetofstatisticalandotherqualitytoolsarrangedin

unique way

Itisa wayofknowing whereyouareand whereyoucould be!

ItisaQualityPhilosophyandamanagementtechnique

SIX SIGMA IS NOT:

Astandard

Acertification

Anothermetriclike percentage


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Whathas attracted these Globaland Indian majors to

funny sounding jargon called Six Sigma?

Powerful,reliableandresultorientedmethodologywhichhasgeneratedsustainedsuccessandenhancedCustomer& Shareholdervalue

Chargedtheentireorganizationtoacommongoalsofunprecedented quality,lowestcost,fasterdeliveriesandspeedofnew productintroduction

Set performancetargetsforall-fromdesign,tomanufacturing,tomarketing,totheentireorganization.

Killerinstinct,stretchmindsetandCultureof10Ximprovementsevery2years.

Smartstrategyforimageand brand building


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TreMyn2004

The term Six Sigma was coined by Bill Smith, an engineer with Motorola

Late 1970s - Motorola started experimenting with problem solving throughstatistical analysis

1987 - Motorola officially launched its Six Sigma program

Origin of Six Sigma

MotorolaMotorolathe company that invented Six Sigmathe company that invented Six Sigma

MotorolaMotorolathe company that invented Six Sigmathe company that invented Six Sigma


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Step1: Identifythe productyou create orthe service you provide.

Step2: Identifythe Customer(s) foryour product or service anddetermine whatthey consider important.

Step3: Identifyyourneeds (to provide product/service so that itsatisfies the Customer).

Step4: Define the process for doing the work.

Step5: Mistake-proofthe process and eliminate wasted effort.

Step6: Ensure continuous improvement by measuring, analyzing,and controlling the improved process.

Six Steps to Six Sigma


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TreMyn2004

Path to Six Sigma

4Sigma 6,210 Defects

2Sigma 308,537 Defects3Sigma

66,807 Defects

5Sigma233 Defects

6Sigma 3.4 DefectsSigmalevels and

Defects per million

opportunities(DPMO)


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Page12

2

3

4

5

6

308,537

66,807

6,210

Sigma

Defects per

Millionopportunities

233

3.4 .

33WW to 6to 6WW 20,000 Times Improvement... A True Quantum Leap20,000 Times Improvement... A True Quantum Leap

What is Six Sigma?


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Key

Mean = 0

Std. Dev = 10/6 =1.67

UCL = 10 %

LCL = 10 %

-0.05

0

0.05

0.

0. 5

0.

0. 5

0.

-25.00 -20.00 -15.00 -10.00 -5.00 0.00 5.00 10.00 15.00 20.00 25.00

Left ail = 0.00000000

i ht ail = 0.00000000

r ess isk = Left ail rea + i ht ail rea

in ra ti n = 0.00000000

in er enta e = .980 -07

in = 0.00 980

r ess isk alculati n

6 SIGMA PROCESS

L.M.T.S.O.M 13


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TreMyn2004

DMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement MethodologyDMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement Methodology

DMADVDMADVCreating new process which will perform @ Six SigmaCreating new process which will perform @ Six Sigma

DMADVDMADVCreating new process which will perform @ Six SigmaCreating new process which will perform @ Six Sigma

Two Methodologies of Six Sigma


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Six Sigma: A Powerful Methodology (DMAIC)

MeasureDefine ImproveAnalyze Control

what is important

to the customer:

Project Selection

Team Formation

Establish Goal

how well we are doing:

Collect Data

Construct Process Flow

Validate Measurement System

the process:

Analyze Data

Identify Root Causes

the process gains:

Ensure Solution is

Sustained

the process performance measures:

Prioritize root causes

Innovate pilot solutions

Validate the improvement


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TreMyn2004

DMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement Methodology

DMAICDMAICSix Sigma Improvement MethodologySix Sigma Improvement Methodology


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D

Define

M

Measure

AAnalyze

IImprove

CControl

Identify and state the practical problem

Validate the practical problem by collecting data

Convert the practical problem to a statistical one, definestatistical goal and identify potential statistical solution

Confirm and test the statistical solution

Convert the statistical solution to a practical solution

Methodology


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A

Root Cause Analysis (fish bone)

A brainstorming tool that helps define and display major causes, sub causesand root causes that influence a process

Visualize the potential relationship between causes which may be creatingproblems or defects

ProblemBackbone

Primary CauseSecondary Cause

Root Cause

Analyze Identify Drivers of Variation


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Control Plan

Have the new operating procedures and standards been documented ?

What Statistical Process Control (SPC) tools will be used to monitor theprocess performance ?

Who will review the performance of the output variable and significant

factors on closure of the project and how frequently ?

What is the corrective action or reaction plan if any of the factors were to beout of control ?

Control Sustenance Plan


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DMADV

DMADV methodologyisgearedtowardsthe

creationofnew productsand business practices DMADV methodologyinaninnovationeffort,

stepsaretakentocreate productsthatmeetthe

customersneeds


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D

Define

MMeasure

A

Analyze

D

Design

VVerify

Definethe projectgoalsandcustomer

(internalandexternal)deliverables

Measureanddeterminecustomerneeds

andspecifications

Analyzethe processoptionstomeetthe

customerneeds

Design (detailed)the processtomeetthe

customerneeds

Verifythedesign performanceandability

tomeetcustomerneeds

DMADVDMADV


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The 3 Sigma Company: The 6 Sigma Company:

Spends 15-25% of salesdollars on cost of failure

Produces 66, defects permillion opportunities

Relies on inspectionto finddefects

Believes high quality isexpensive

Does nothave a disciplined

approachto gatherandanalyze data

Benchmarks themselvesagainsttheir competition

Believes % is good enough

Spends 5% of sales dollarson cost of failure

Produces 3.4 defects permillion opportunities

Relies on capable processesthat dont produce defects

Knows thatthe high qualityproducer IS the low costproducer

Uses Measure, Analyze,Improve, Control

Benchmarks themselvesagainstthe best inthe world

Believes % is unacceptable


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THE 6-SIGMA GOALS

DEFECT REDUCTION

YIELD IMPROVEMENT

IMPROVEMENT CLIENT

SATISFACTION

MAXIMIZATION OF PROFITS

QUALITY

COST

SCHEDULE


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Differences of DMAIC and DMADV

Definethe projectgoalsand

customer(internaland

external)deliverables

Measurethe processto

determinecurrent performance

Analyzeanddeterminetherootcause(s)ofthedefects

Improvethe process by

eliminatingdefects

Controlfuture process

performance

Definethe projectgoalsand

customer(internaland

external)deliverables

Measureanddetermine

customerneedsand

specifications

Analyzethe processoptionsto

meetthecustomerneeds

Design (detailed)the process

tomeetthecustomerneeds

Verifythedesign performance

andabilitytomeetcustomer

needs


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When To Use DMADV

The DMADV methodology,insteadofthe

DMAICmethodology,should beused when: A productorprocessisnotinexistenceatyour

companyandoneneedsto bedeveloped

Theexisting productorprocessexistsandhas been

optimized (usingeither DMAICornot)andstilldoesn'tmeetthelevelofcustomerspecificationorsixsigma

level


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PERCENT OUT-OF-SPEC

l ty

l

t

t

t

ll t

1 sigma 317 3,17,310

2 sigma 45 45,500

3 sigma 2.7 2,700

3.5 sigma 0.465 465

4 sigma 0.063 63

4.5 sigma 0.0068 6.8

5 sigma 0.00057 0.57

6 sigma 0.000002 0.002

Performance andCapability Analysis


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SIX SIGMA APLICATIONS

Human Resources: reducethenumberofrequisitions

unfilledafter30days.

Customer Service: measurethenumberofcallsansweredonthefirstring.

Engineering Support: reducethenumberofschematicsreturned becauseofdraftingerrors

Order Fulfillment: eliminateCustomerreturns

becauseofincorrect partsorproduct beingshipped. Finance: reducetheinstancesofaccounts being paid

afteraspecifiedtimelimithaselapsed.


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ExecutivExecutiv

ee

LeadershLeadersh

ipip

Includes CEO and other key top management team members.

They are responsible for setting up a vision for Six Sigma

implementation

Key Players

ChampioChampio

nsns

Middle or Seniorlevel Executive who

1. Sponsors a specific project and is responsible for the Six sigmaimplementation across the organization in an integrated manner

2. Ensures resources are available and issues are solved3. Are mentors to Black Belts

MasterMaster

BlackBlack

BeltsBelts

Identified by champions they1. Are highly experienced and successful Black belt professionals who have managed several projects

and is an expert in Six sigma Methods and tools

2. Responsible for coaching, mentoring and Training Black Belts and act as in-house expert coach forthe organization

3. Devote 100% of their time to Six Sigma.

BlackBlack

BeltsBelts

1. Full time professionals who operate under Master Black Belts and are team leaders and focus on Six

Sigma project execution

2. Trained 4-5 weeks of class room , live project in methods, statistical tools and team skills

GreenGreenBeltsBelts

1. Part time professionals employees who take up Six Sigma implementationalong with theirjob responsibilities.

2. Oper ate under the guidance of Black Belts and support them in achievingOverall Results

3. Tr ained 2-3 weeks of class room , live project in methods, statistical tools andteam skills

Team

Members

Professionals who have general awareness of Six Sigma ( no formal

training ) who bring relevant experience and expertise to a

particular Project.


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Six Sigma Career Option!

Basic - Six Sigma Awareness Green Belt Projects Participate in Black Belt Projects Assist business functions with day to day

activities

Mentor/Train Green Belts Black Belt Projects Change Agents Work along with the business owners

Mentor/ Train Black Belts Run Strategic projects More Strategic than tactical role

Green Belt (GB)Green Belt (GB)

Black Belt (BB)Black Belt (BB)

Master Black Belt (MBB)Master Black Belt (MBB)

Highly paid!Highly paid!Work like a Consultant!Work like a Consultant!

Huge demand in the industry!Huge demand in the industry!

OverallA high flying Career!!OverallA high flying Career!!


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SIX SIGMA IN RISK

MANAGEMENT

InternalEnviron

ment

ObjectiveSetting

EventIdentific

ation

RiskAssess

ment

RiskRespons

e

ControlActivities

Monitoring

InformationandCommunication


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Internal environment

Equalattentionmust befocusedonthe

peoplesideofchange,as wellasthetacticaltoolsofprocesschange.

SixSigmachangemanagementtoolscanaid

increating thistypeof culturethatlookson

processimprovementina positivelight.


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Objective Setting

Operational objectives


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Relationship betweentheoutputindicators,

thosethatthemarketmayusetocompareanorganizationtoitscompetitors,tothe process

indicators

Organizationsabilitytomonitorandmeasure

theupstreamactivitiesthatcontributetothevariabilityofits productsorservicescan

differentiateitfromitscompetitors,


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Reporting objectives

Employeesareoftenrewardedfortheircontributions

towardthefinancialsuccessoftheirbusinessunit.

SixSigmatoolscoupled withstakeholderadoption

andchangemanagementcanshiftthefocustothe

VOCandthevoiceofthe process (VOP).


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Event Identification

Provideinsightintosourcesofpotentialfailure

events.

Help determineopportunitiestogathermetricsthat

serveas bothleadingandlaggingindicators.

Applystatisticaltechniquestodetermine process

capabilitiesthathelp establishescalationor

thresholdtriggers.

Highlightconstraintsthatrestricttheorganizations

abilitytomeet productiondemand.

Identify qualityorservicedeficiencies.


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Risk Assessment

criticalstepsina processandthe presence,orabsence,ofcontrolsthat prevent,mitigateormonitoradverseevents

Cause-and-effect

matrix

enterprisesabilitytorecognizesourcesofriskandits willingnessandabilitiestomanagethoserisksRisk matrix

evaluatetheriskassociated withstepsinaprocessorwiththestepsintheimplementation planofany project.

Failure mode andeffects analysis

(FMEA)


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Risk Response

RPN has beencalculated,the FMEA requiresthat

anaction plan

RPN andtherisktoleranceestablished bythe

organization, businessdecisionscan bemadeto

avoidorpreventtherisk

Oncetheaction planhas beencompleted,a

recalculationoftheRPN is performedtodetermineiftheactivitynow falls withintherisktoleranceorif

additionalactionsareneeded


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Control Activities

Once processeshave beenimproved,new

processescreatedorpotentialrisklevelsdecreased,

thesegainsmust besustained

This processownerisresponsiblefortheconstant

monitoringoftheoutput, processandinputmetrics

toensurethe processdoesnotreturntoitsformal

statements


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Monitoring

Criticalcore processesthatoncecrossedmultiple

functionalareas, butlacked bothownership and

accountability,arenow monitoredandmanaged by

processowners

SixSigmaconsolidatesmultiple processcontrol

systemsintoaframeworkso processownerscan

constantlymonitorandreportkeyoutput,inputandprocessmetricsthatmoreaccuratelyreflectthe

enterprises performance.


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Informationand Communication

Tools-suchas balancedscorecardsorrisk

dashboards

communicateaclearandconcisemessagetoall

employees

Achievingobjectivesandmanagingriskareequally

important.


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WIPRO

ESTD 1 45

In 1 Diversified into

IT

First Indian companyto

adopt six sigma


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Key ChallengesKey Challenges

Reducethedatatransfertime

Reducetherisk AvoidinterruptionduetoLAN/WAN

downtime.

Parallelavailabilityoftheswitchfortheother

administrativetasksduringthesame period.


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Evolution of Six SigmaatWiproEvolution of Six SigmaatWipro

91%ofthe projectsarecompletedon

schedule.AtWipro,itmeans:

(i)Have productsandservicesmeetglobal

benchmarks

(ii) Ensurerobust processes withintheorganization(iii)Consistentlymeetandexceedcustomer

expectations

(iv)MakeQualityaculture within.


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Difficultiesencountered byWiproand

learningfromthem:

BuildtheCulture

Projectselection: Training

Resource


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SixSigmamethodologiesatWipro

Fordevelopingnew processes:

ForImproving ExistingProcesses ForReengineering

SixSigma projectsatWiproare:

(i) Driven by businessheads,alsocalledChampionsforthe projects.

(ii)Led byGreenBelts (GB)

(iii)Assisted byBlackBelts (BB


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Toolsforimplementation @ Wipro

Ideation

Definition Selection

Tracking

Reporting


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RM Six-Sigma-2

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