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Six Sigma Methodology

Six Sigma Methodology. Structured approach -- DMAIC (Define, Measure, Analyze, Improve, Control) Your research problem must be though of in terms of a process Objective is usually quantified in terms of dollars (cost savings, increased revenue, etc.). Define. State your objective.

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Six Sigma Methodology

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  1. Six Sigma Methodology • Structured approach -- DMAIC (Define, Measure, Analyze, Improve, Control) • Your research problem must be though of in terms of a process • Objective is usually quantified in terms of dollars (cost savings, increased revenue, etc.)

  2. Define • State your objective. • State your research question and the process involved. • Identify where data may be collected in the process and describe how the data relates to the objective. • Helpful tools: Flow chart, fishbone diagram, and benefit analysis.

  3. Proposal -- Part B • Use the phrase selected by the team in Part A to title the proposal. • Complete the "Define" step above including • (1) motivation, • (2) an objective statement, • (3) a process flow diagram, • (4) a statement of the data collection method, & • (5) a brief statement as to how the data relates to the objective.

  4. Proposal -- Part B • Proposal should be concise and fit on one page. • Part A materials are attached to the Part B page and turned in as one bundle.

  5. Example -- Garcia’s Convenience Store • Title from Part A: “Profit Comparisons of Tropicana Orange Juice and a Fresh-Squeezed Orange Juice Machine” • Motivation: • Garcia’s is considering the purchase of a fresh-squeezed orange juice machine. They have a machine for a one month trial. Currently, Tropicana orange juice is sold at the store and is frequently replenished to ensure freshness. Should the machine be purchased?

  6. Example -- Garcia’s Convenience Store • Objective Statement • To determine if the fresh-squeezed orange juice machine is more profitable than selling Tropicana and whether just one or both types of orange juice should be sold.

  7. Garcia’s Convenience Store (Continued) • Define • Process Flow Diagram for Fresh-Squeezed: Forecast Weekly Sales of Fresh -Squeezed O.J. Purchase Boxes of Oranges Purchase Cups (If Necessary) Clean/Maintain Machine Supply Machine with Oranges Compute Weekly Sales

  8. Garcia’s Convenience Store (Continued) • Define • Process Flow Diagram for Tropicana: Tropicana Representative Visits Store Weekly Representative Replaces Out-of-Date Orange Juice Store Maintains Self Space

  9. Garcia’s Convenience Store (Continued) • Define • Statement of data collection method: • We plan to collect daily sales data from accounting records for fresh-squeezed and Tropicana orange juice during the last month. We also will collect Tropicana orange juice sales for the same month a year ago before the fresh-squeezed machine existed.

  10. Garcia’s Convenience Store (Continued) • Define • Statement of how the data relates to the objective: • From the daily sales data, we can calculate profits on a daily basis. This will allow us to compare the profitability of the fresh-squeezed orange juice machine to the profitability of Tropicana juice. Sales for Tropicana prior to and during the existence of the fresh-squeezed machine. • Signatures

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