SIX SIGMA INTRODUCTION

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WHAT IS SIXSIGMA? SIXSIGMA AS A GOAL 6 PRACTICAL MEANING UNDERSTANDING VARIATION

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Six Sigma is a Rigorous Method for Measuring, Improving & Controlling Our Process Performance

If we cant express what we know in the form of numbers, we really dont know much about it. If we dont know much about it, we cant control it. If we cant control it, we are at the mercy of chance. -Mikel J. Harry

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WHAT IS SIXSIGMA ?

6-Sigma is a Methodology to significantly improves customer satisfaction and shareholder value by reducing variability in every aspect of our business. 6-Sigma is not something else that you do it is what you do.

. A CHALLENGE, BUT OTHERS HAVE ACHIEVED IT.

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WHAT IS SIXSIGMA ?

A philosophy which mandates operational excellence A business strategy A set of tools designed to reduce variation in processes and operations A statistical measure of a process capability - 3.4 defects per million opportunity - 99.99966 % Probability of passing Non defective products to Customer World class quality

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Six Sigma methodology identifies processes that are off-target, and/or have a high degree of variation, and corrects the process

Off-Target
X XXX X X XX X X X X X

Variation
X X X X X X X X X X

On-Target

Center Process

XXXXX X XXX X X XX X

Reduce Spread

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Defects per million opportunities

2 3 4 5 6

308,537 66,807 6,210 233 3.4

A SCIENTIFIC MANAGEMENT TOOL & PHILOSHOPYONE OF ITS KIND

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6 PRACTICAL MEANING
99% Good (3.8 Sigma)
20,000 lost articles of mail per hour Unsafe drinking water for almost 15 minutes each day 5,000 incorrect surgical operations per week Two short or long landings at most major airports each day 200,000 wrong drug prescriptions each year No electricity for almost seven hours each month
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99.99966% Good (6 Sigma)

Seven articles lost per hour One unsafe minute every seven months 1.7 incorrect operations per week One short or long landing every five years 68 wrong prescriptions per year One hour without electricity every 34 years
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UNDERSTANDING VARIATION

WHAT ARE THE THINGS WHICH MAKE A GOOD HOT COFFEE?? BLEND COFFEE BEANS AROMA PRICE SERVICE AMBIENCE AVAILABILITY TASTE

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WHAT HAPPENS WHEN THE COFFEE IS NOT HOT & THE SERVICE IS POOR?? OUT OF 10 PARAMETERS ONLY 8 GET FULFILLED 10 OPPORTUNITIES & 2 DEFECTS

DEFECTS=2 OPPORTUNITIES =10 UNIT = 1 DPMO(DEFECTS PER MILLION OPPORTUNITIES) = 0.2*1000000 DPMO= 200000 ONLY 2.34 SIGMA
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SCENARIO 1

Who do you feel if you have to wait hr every day for the pick-up cab..
SCENARIO 2

How do you feel if you come to know that the cab has left 15 mins earlier than scheduled one day & hr later than schedule the other day for the pickup cab

Which one do hate the most????

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Inconsistency or variation is the most intolerable experience for a customer!!

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HIGHER THE CONSISTENCY, HIGHER THE DEPENDENCY OR PREDICTABILITY

HIGHER THE CONSISTENCY, LOWER THE VARIATION

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Companies Implementing Six Sigma

Motorola Texas Instruments ABB (Asea Brown Boveri LTD.) AlliedSignal GE

INDIAN CONTEXT

American Express TCS Bajaj Birla Soft DELL Computers

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One day an enterprising turkey led the the flock to a field, and with demonstration and instruction taught them how to fly.

All afternoon they enjoyed soaring, flying and the thrill of seeing new vistas. Each one remarked, what a wonderful thing they had discovered.

After the meeting was over, all the turkeys walked home.

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