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SIX SIGMA – EXECUTIVE SUMMARY

SIX SIGMA – EXECUTIVE SUMMARY. Dr. A. BLANTON GODFREY DEAN & JOSEPH D. MOORE PROFESSOR NORTH CAROLINA STATE UNIVERSITY. FOCUS ON RESULTS.

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SIX SIGMA – EXECUTIVE SUMMARY

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  1. SIX SIGMA – EXECUTIVE SUMMARY Dr. A. BLANTON GODFREY DEAN & JOSEPH D. MOORE PROFESSOR NORTH CAROLINA STATE UNIVERSITY

  2. FOCUS ON RESULTS

  3. “Senior leadership, especially Jack Welch, provided unyielding commitment to get the initiative going and ensure its continued success. This will not be easy for other companies to copy.” Hoerl, Roger (2002), “An Inside Look at Six Sigma at GE,” Six Sigma Forum Magazine, Vol. 1, No. 3, May, pages 35-44.

  4. “Six Sigma was directed toward specific, tangible objectives, including financial objectives. The culture changed as a result of delivering tangible benefits, not because of a focus on the culture itself.” Hoerl, Roger (2002), “An Inside Look at Six Sigma at GE,” Six Sigma Forum Magazine, Vol. 1, No. 3, May, pages 35-44.

  5. SIX SIGMA AT 3M “Six Sigma is totally changing 3M. Many of the things that had driven the success of our company for the past eighty years no longer apply.” W. James McNerney, Jr. CEO, 3M Company, 25 June 2002

  6. SIX SIGMA AT 3M • 500 Black Belts and Master Black Belts “for ever and ever” • Each has a two-year assignment. • All 28,000 salaried and technical people trained at least at Green Belt level. Many hourly people selected also for Green Belt training. • Major goal is to have for first time common approach to problem solving, new product development, and measurement across entire company. W. James McNerney, Jr. CEO, 3M Company, 25 June 2002

  7. SIX SIGMA AT 3M • One process improvement methodology • One global business language • Sharing/leveraging worldwide • Best in company comparisons (45 divisions) W. James McNerney, Jr. CEO, 3M Company, 25 June 2002

  8. TWENTY KEY LESSONS LEARNED • The time is right. • The enthusiastic commitment of top management is critical. • Develop an infrastructure. • Commit top people. • Invest in relevant hands-on training. • Select initial projects to build credibility quickly. • Make it all pervasive, and involve everybody. • Emphasize DFSS. • Don’t forget design for reliability. • Focus on the entire system. Gerald J. Hahn, “20 Key Lessons Learned,” Six Sigma Forum Magazine, May 2002, pages 28-34.

  9. TWENTY KEY LESSONS LEARNED • Emphasize customer CTQs (critical to quality). • Include commercial quality improvement. • Recognize all savings. • Customize to meet business needs. • Consider the variability as well as the mean. • Plan to get the right data. • Beware of dogmatism. • Avoid nonessential bureaucracy. • Keep the tool box vital. • Expect Six Sigma to become a more silent partner. Gerald J. Hahn, “20 Key Lessons Learned,” Six Sigma Forum Magazine, May 2002, pages 28-34.

  10. WHY SIX SIGMA • Intense competitive pressures – especially from rapid globalization. • Greater consumer demand for high quality products and services, little tolerance for failures of any type. • Top management (and stockholder) recognition of the high costs of poor quality. • The availability and accessibility of large data bases and our increasing ability to explore, understand, and use the data. • The existences of high-quality software tools that make sophisticated analyses practical. Gerald J. Hahn, “20 Key Lessons Learned,” Six Sigma Forum Magazine, May 2002, pages 28-34.

  11. SELECTING THE RIGHT PROJECTS • Assure that the importance of the projects is evident or can be readily demonstrated. • Assure the projects are viable and doable in a short time (preferably less than three months). • Assure that the success of the projects can be readily quantified. Gerald J. Hahn, “20 Key Lessons Learned,” Six Sigma Forum Magazine, May 2002, pages 28-34.

  12. SELECTING THE RIGHT PROJECTS • Assure that the importance of the projects is evident or can be readily demonstrated. • Assure the projects are viable and doable in a short time (preferably less than three months). • Assure that the success of the projects can be readily quantified. Gerald J. Hahn, “20 Key Lessons Learned,” Six Sigma Forum Magazine, May 2002, pages 28-34.

  13. RELEVANT, HANDS-ON TRAINING • Ensure trainers are knowledgeable and outstanding communicators. • Customize the training, especially the examples for the needs of the specific business. • Ensure that the common vocabulary of Six Sigma is retained – an essential for expediting communications. • Incorporate hands-on involvement. Make Six Sigma projects part of the training. • Consider engaging external gurus to expedite Six Sigma introduction. Gerald J. Hahn, “20 Key Lessons Learned,” Six Sigma Forum Magazine, May 2002, pages 28-34.

  14. FINAL THOUGHTS • Evolution not revolution • Serious commitment required • Results can be stunning

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