Chapter 10 - Six Sigma

1. Chapter 10 - Six Sigma Statistics (DPU, dpmo, off-centering), DMAIC, Tools, 5S’s SJSU Bus 142 - David Bentley

2. Six Sigma Evolution • Started as a simple quality metric at Motorola (Bill Smith) • Migrated to Allied Signal • Picked up by General Electric • Commitment by CEO Jack Welch • Grown to be an integrated strategy for attaining extremely high levels of quality SJSU Bus 142 - David Bentley

3. Statistics - DPU • Defect • Six Sigma: “any mistake or error passed on to the customer” ??? • General view: any variation from specifications • DPU (defects per unit) • Number of defects per unit of work • Ex: 3 lost bags ÷ 8,000 customers = .00375 SJSU Bus 142 - David Bentley

4. Statistics – dpmo (defects per million opportunities) • Process may have more than one opportunity for error (e.g., airline baggage) • dpmo = (DPU × 1,000,000) ÷ opportunities for error • Ex: (3 lost bags × 1,000,000) ÷ (8,000 customers × 1.6 average bags) = 234.375 SJSU Bus 142 - David Bentley

5. Statistics – dpmo (cont’d) • May extend the concept to include higher level processes • E.g., may consider all opportunities for errors for a flight (from ticketing to baggage claim) SJSU Bus 142 - David Bentley

6. Statistics - Off-Centering • Represents a shift in the process mean • Impossible to always keep the process mean the same (this WOULD be perfection) • Does NOT represent a change in specifications • Control of shift within ± 1.5 σ of the target mean keeps defects to a maximum of 3.4 per million SJSU Bus 142 - David Bentley

7. Statistics - Off-Centering (cont’d)Source: Evans & Lindsay, The Management and Control of Quality, Southwestern, 2005 SJSU Bus 142 - David Bentley

8. k-Sigma Quality Levels • Number of defects per million • For a specified off-centering and • a quality levels SJSU Bus 142 - David Bentley

9. k-Sigma Quality Levels Source: Evans & Lindsay, The Management and Control of Quality, Southwestern, 2005 SJSU Bus 142 - David Bentley

10. Problem: “Is” ≠ “Should be” • Problem solving may be seeking: • Continuous incremental (kaizen) • Breakthrough (hoshin) • Common elements among pioneers • Redefine and analyze the problem • Generate ideas (tool: brainstorming) • Evaluate and select idea(s) • Implement idea(s) SJSU Bus 142 - David Bentley

11. Six Sigma Project Teams • Champion – high level sponsor • Master black belt – full time expert • Black belt – fully trained (< 160 hrs.) expert • Green belt – trained in introductory tools and methodology • Team member – selected from functional areas impacted to support project SJSU Bus 142 - David Bentley

12. DMAIC • Main problem solving methodology for 6 • Define • Measure • Analyze • Improve • Control SJSU Bus 142 - David Bentley

13. Tools & Techniques - List • Elementary statistical tools • Advanced statistical tools • Product design and reliability • Measurement • Process control • Process improvement • Implementation and teamwork SJSU Bus 142 - David Bentley

14. Tools & Techniques - 1 • Elementary statistical tools • Basic statistics • Statistical thinking • Hypothesis testing • Correlation • Simple regression SJSU Bus 142 - David Bentley

15. Tools & Techniques - 2 • Advanced statistical tools • Design of experiments • Analysis of variance • Multiple regression SJSU Bus 142 - David Bentley

16. Tools & Techniques - 3 • Product design and reliability • Quality function deployment (QFD) • Failure mode • Effects analysis SJSU Bus 142 - David Bentley

17. Tools & Techniques - 4 • Measurement • Process capability • Measurement systems analysis SJSU Bus 142 - David Bentley

18. Tools & Techniques - 5 • Process control • Control plans (Cp and Cpk) • Statistical process control (SPC) SJSU Bus 142 - David Bentley

19. Tools & Techniques - 6 • Process improvement • Process improvement methodology • Process improvement planning • Process mapping • Mistake proofing or failsafing (Poka-Yoke) SJSU Bus 142 - David Bentley

20. Tools & Techniques - 7 • Implementation and Teamwork • Organizational effectiveness • Team assessment • Facilitation tools • Team development SJSU Bus 142 - David Bentley

21. Design for 6 - DFSS • Complex engineering methodology • Features use of: • High-level architectural view • CTQs (“critical to quality” characteristics) • Technical requirements clearly specified • Modeling and simulation approaches • Prediction of defects and performance • Variation analysis of subsystems and components SJSU Bus 142 - David Bentley

22. Six  in Service Organizations • More recent than in manufacturing • 50%+ of savings in non-manufacturing • New term: “transactional Six Sigma” • Main measures: • Accuracy • Cycle time • Cost • Customer satisfaction SJSU Bus 142 - David Bentley

23. Lean Operations and 6 • The 5 S’s • Seiri (sort) • Seiton (set in order) • Seiso (shine) • Seiketsu (standardize) • Shitsuke (sustain) • Visual controls • Efficient layout and standardized work SJSU Bus 142 - David Bentley

24. Lean Operations and 6 (cont’d) • Pull production • Single minute exchange of dies (SMED) • Total productive maintenance • Source inspection • Continuous improvement SJSU Bus 142 - David Bentley