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What is Six Sigma ?
www.leansixsigmacafe.com
Is 99% Good Enough ?
 Unsafe drinking water almost
15 minutes each day
 2 short or long landings at
most major airports daily
 No electricity for almost 7
hours each month
Sample Data
3.2 g 3.0 g
3.1 g3.0 g
3.1 g 3.2 g
3.2 g3.2 g
3.3 g 3.2 g
3.2 g3.0 g
2.9 g 3.4 g
3.2 g3.0 g
3.3 g 3.2 g
3.2 g3.3 g
3.1 g 3.1 g
3.2 g3.2 g
3.2 g 3.1 g
3.2 g3.3 g
3.2 g 3.1 g
2.9 g3.2 g
3.2 g 3.2 g
3.0 g3.2 g
Weight of stick gums
Histogram
Weight of stick gums
Normal Distribution
Weight of stick gums
Specification Limits
Weight of stick gums
Definitions and Examples
• Critical to Quality, an attribute
important to the customerCTQ
• Any measurable event that provides
a chance of not meeting
specification limits of a CTQ
Opportunity
• Anything that results in customer
dissatisfaction or in a non-
conformance
Defect
• Defects per million opportunitiesDPMO
• The probability of defect, a measure
of process capability, measured in
units of standard deviations
Sigma
Capability
In this example gum weight is a critical
attribute
Every stick gum produced on the shop floor is
an opportunity
Our pack weight indicates 3.0 g. We consider
getting below 3.0 g as a defect since the
customer will feel short changed. We also
consider going beyond 3.4g as a defect. While
customer will be happy getting more, we will
lose money for our material cost.
These will be the number of defective stick
gums if 1 million is produced.
Computation of sigma capability is done in the
Six Sigma Greenbelt training
Defects
Weight of stick gums
Mean and Spread
Weight of stick gums
mean
standard deviation
Process Capability
Poor
Good
Higher probability of defects
Lower probability of defects
Sigma Level vs DPMO
Sigma Level PPM
2 308,537
3 66,807
4 6,210
5 233
6 3.4
Process Capability DPMO
Sigma Level vs DPMO
Sigma Level PPM
2 308,537
3 66,807
4 6,210
5 233
6 3.4
Process Capability DPMO
Average Company
In Real World
At 99% (3.8 Sigma) At 99.99966% (6 Sigma)
Unsafe drinking water
almost 15 minutes each day
One minute of unsafe
drinking water every seven
months.
In Real World
At 99% (3.8 Sigma) At 99.99966% (6 Sigma)
2 short or long landings at
most major airports daily
One short or long landing at
most major airports every 5
years.
In Real World
At 99% (3.8 Sigma) At 99.99966% (6 Sigma)
No electricity for almost 7
hours every month
One hour without electricity
every 34 years
The Six Sigma Difference
Center
Process
Reduce
Spread
Defects
The Statistical Objective
Process Off Target Excessive Variation
Poor Process
Capability
Good Process
Capability
Reduce Variation and Center Process
USLLSL USLLSL
USLLSL
LSL Lower specification limit
USL Upper specification limit
Y = f (X)
DMAIC Methodology
Y = Desired
characteristic
X = Internal Process
Characteristic
• Customer expectation of the processDefine
• Frequency of the defectsMeasure
• Why the defects occur?Analyze
• How can we fix it?Improve
• How can we sustain the solution?Control
Structured, Data-driven Approach
Six Sigma as a Strategy
Savings of $ 940 M in 3 years
Improved Operating Margin by 4% in
5 years
Saves $100,000 - $200,00 per project
What is Six Sigma ?
 A process description – a measurement of a process that
has only 3.4 defects per million opportunities
 A methodology – a structured and data driven approach to
deliver improved customer quality
 A business strategy – satisfying the customer through robust
management of the end to end process

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What is six sigma pdf

  • 1. What is Six Sigma ? www.leansixsigmacafe.com
  • 2. Is 99% Good Enough ?  Unsafe drinking water almost 15 minutes each day  2 short or long landings at most major airports daily  No electricity for almost 7 hours each month
  • 3. Sample Data 3.2 g 3.0 g 3.1 g3.0 g 3.1 g 3.2 g 3.2 g3.2 g 3.3 g 3.2 g 3.2 g3.0 g 2.9 g 3.4 g 3.2 g3.0 g 3.3 g 3.2 g 3.2 g3.3 g 3.1 g 3.1 g 3.2 g3.2 g 3.2 g 3.1 g 3.2 g3.3 g 3.2 g 3.1 g 2.9 g3.2 g 3.2 g 3.2 g 3.0 g3.2 g Weight of stick gums
  • 7. Definitions and Examples • Critical to Quality, an attribute important to the customerCTQ • Any measurable event that provides a chance of not meeting specification limits of a CTQ Opportunity • Anything that results in customer dissatisfaction or in a non- conformance Defect • Defects per million opportunitiesDPMO • The probability of defect, a measure of process capability, measured in units of standard deviations Sigma Capability In this example gum weight is a critical attribute Every stick gum produced on the shop floor is an opportunity Our pack weight indicates 3.0 g. We consider getting below 3.0 g as a defect since the customer will feel short changed. We also consider going beyond 3.4g as a defect. While customer will be happy getting more, we will lose money for our material cost. These will be the number of defective stick gums if 1 million is produced. Computation of sigma capability is done in the Six Sigma Greenbelt training
  • 9. Mean and Spread Weight of stick gums mean standard deviation
  • 10. Process Capability Poor Good Higher probability of defects Lower probability of defects
  • 11. Sigma Level vs DPMO Sigma Level PPM 2 308,537 3 66,807 4 6,210 5 233 6 3.4 Process Capability DPMO
  • 12. Sigma Level vs DPMO Sigma Level PPM 2 308,537 3 66,807 4 6,210 5 233 6 3.4 Process Capability DPMO Average Company
  • 13. In Real World At 99% (3.8 Sigma) At 99.99966% (6 Sigma) Unsafe drinking water almost 15 minutes each day One minute of unsafe drinking water every seven months.
  • 14. In Real World At 99% (3.8 Sigma) At 99.99966% (6 Sigma) 2 short or long landings at most major airports daily One short or long landing at most major airports every 5 years.
  • 15. In Real World At 99% (3.8 Sigma) At 99.99966% (6 Sigma) No electricity for almost 7 hours every month One hour without electricity every 34 years
  • 16. The Six Sigma Difference
  • 17. Center Process Reduce Spread Defects The Statistical Objective Process Off Target Excessive Variation Poor Process Capability Good Process Capability Reduce Variation and Center Process USLLSL USLLSL USLLSL LSL Lower specification limit USL Upper specification limit
  • 18. Y = f (X) DMAIC Methodology Y = Desired characteristic X = Internal Process Characteristic • Customer expectation of the processDefine • Frequency of the defectsMeasure • Why the defects occur?Analyze • How can we fix it?Improve • How can we sustain the solution?Control Structured, Data-driven Approach
  • 19. Six Sigma as a Strategy Savings of $ 940 M in 3 years Improved Operating Margin by 4% in 5 years Saves $100,000 - $200,00 per project
  • 20. What is Six Sigma ?  A process description – a measurement of a process that has only 3.4 defects per million opportunities  A methodology – a structured and data driven approach to deliver improved customer quality  A business strategy – satisfying the customer through robust management of the end to end process