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Key Concepts of Six Sigma

• Frame in terms of customer expectations
and strategic business objectives.
Purpose of Six Sigma • Sponsors drive change, cultivate
resources, and champion projects.
• Based on quantifiable measures that can
be traced back to how well the business
serves its customers.

Key Concepts of Six Sigma

Change
• Metrics identified early and aligned with the Leadership Process
aims of the business while incentivizing and The PEOPLE
maintaining accountability PROCESS Six Sigma
• Accompanied by training and team deployment LEAN REDUCES VARIATION
ELIMINATES
practices WASTE
• Utilizes Green Belts, Black Belts and Master Project Management
Black Belts to execute various measurement,
ENSURES SUCCESS
analysis, improvement and control tools.
All tool drawers and the tools inside are
very complimentary. 4

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Lean Six Sigma Critical Success Factors
Key Component Critical Success Factor
Value Proposition • Convince management of the value
of Lean Six Sigma to the customer.
Customer Focus • Customer focused on defining needs
and requirements.
• Customer-satisfaction as the main
goal.
Derived from Sandra Furterer’s dissertation. © 2004 Sandra
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L. Furterer
Key Component Critical Success Factor
Human Resource • Training and education.
Management • Employee empowerment.
• Employee involvement and participation.
• Recruitment and selection.
• Drive fear from the organization and a
safe environment without repercussions.
• Reward and recognition systems that
support the culture and program.
• Encourage innovation.
• Upward mobility and well-defined career
Derived from Sandra
Furterer’s dissertation. path.
© 2004 Sandra L. Furterer • Teamwork.
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Lean Six Sigma Critical Success Factors
Key Component
Culture and Change
Management
Derived from Sandra
Furterer’s dissertation.
© 2004 Sandra L. Furterer
Lean Six Sigma Critical Success Factors
Key Component
Infrastructure and
Methodology
Derived from Sandra Furterer’s
dissertation.
© 2004 Sandra L. Furterer
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Critical Success Factor
• Top management commitment.
• Clear vision and mission.
• Values that support the changing
culture.
• Change strategy that builds
flexibility to respond to customers
• Union as part of the process.
• Social responsibility of the
organization.
Critical Success Factor
• Visionary leadership.
• Project management with projects focused
on critical to quality characteristics and
financial benefits.
• Dedicate resources with Black belt
structure.
• Action plan and awareness.
• Top management support through
financials, personnel, greater organizational
autonomy and effective oversight.
• Design of services.
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Lean Six Sigma Critical Success Factors
Key Component Critical Success Factor
Infrastructure and • Management of key business processes.
Methodology • Highly disciplined problem-solving
approach.
• Program methodology.
• Continuous process improvement
• Communication throughout the program.
• Benchmarking of processes, products,
financials, customer satisfaction, and
employee satisfaction.
Derived from Sandra Furterer’s • Incorporate suppliers into the value
dissertation.
© 2004 Sandra L. Furterer chain.
Lean Six Sigma Critical Success Factors
Key Component Critical Success Factor
Quality & Lean Tools • Quality tools
• Lean tools
Measurement • Outcome-based, results oriented
performance measurement system.
• Measurement and feedback.
• Measure customer satisfaction.
• Link projects to financial benefits and
Derived from Sandra
Furterer’s dissertation. business strategy.
© 2004 Sandra L. Furterer •Measure DPMO and sigma.
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Overview of Six Sigma Six Sigma PPM

Six Sigma represents a stretch goal of six standard deviations from Sigma Level PPM
the process mean to the specification limits when the process is
centered, but also allowing for a 1.5 sigma shift toward either 6σ 3.4 PPM
specification limit. This represents a quality level of 3.4 defects per
million. 5σ 233 PPM
LSL USL 4σ 6,210 PPM
3σ 66,810 PPM
2σ 308,770 PPM
1σ 691,462 PPM
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Six Sigma PPM

Sigma Level Yield (%)
6σ 99.99966
5σ 99.977
4σ 99.38
3σ 93.3
2σ 69.1
1σ 30.9
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