Six Sigma

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Six Sigma

Preeti Singh, 2356
Irral Vaz, 2355
Maria Veliyath, 2356
Importance
The importance of Six Sigma has increased manifold in the last two decades and is set to increase even more in the coming years as more and more businesses realize its benefits. Six Sigma is anticipated to maintain its dominance over all other existing quality improvement techniques because it is flexible and can be altered to suit the requirements of new businesses that might come up in the near future. We can never be too sure about the future but as far as the present is concerned, Six Sigma is certainly calling the shots across all types of industries worldwide. 1.A New Type of Top Level Support:

Past GE CEO Jack Welch is quoted for telling employees that if they wanted to get promoted, they’d better be Black Belts. Universal cost oriented metrics and the new level of competition that Six Sigma provides easily acquires top level support. Some argue that the only new addition that Six Sigma provides is the way top management is treating it. What’s really important is that CEOs are seriously supporting large improvement projects run by highly trained business super stars.

2.Problem Solving and Team Leading Super Stars:
Executive Champion, Deployment Champions, Project Champions, Master Black Belts, Black Belts, and Green Belts (see structure below).

3.Training Like Never Before:
Much more training for all involved. The training is heavily statistical, project management, and problem solving oriented. Training costs of approximately $15,000-$25,000 per Black Belt are well justified by the savings per project.

4.New Metrics:
Use of metrics unlike anything ever used before. These metrics not only tie in customer Critical to Quality (CTQ) needs with what is measured by the company, but they also allow processes within the company to be compared with each other using a single scale called DPMO (Defects Per Million Opportunities).

5.Much Better Use of Teams:
Very efficient use of highly trained, cross-functional, and empowered teams to locate and make improvements. Black Belts are also trained team efficiency experts.

6.A New Level of Process Comparison:
The use of opportunity divisible defect metrics (DPMO) allows comparisons from division to division, department to department, process to process, etc. within the company.

7.A New Corporate Attitude / Culture:
Implementation of Six Sigma creates a new environment that naturally promotes the creation of continuous improvement efforts.

8.A Closer Look at Old Metrics:
PDCA becomes a more detail oriented DMAIC and all those Quality tools that never get used are thrown out. If we don’t need them, why spend time learning how to use them.

9.Better Than TQM:
Six Sigma is important because it scores much higher over other quality improvement techniques such as TQM. Business organizations employing TQM just focus on achieving predetermined quality levels, which certainly improves efficiencies but does not allow the organization to realize the full potential. Six Sigma is different as the focus here is to make consistent quality improvements until business processes are fully optimized. As soon a certain quality level is achieved, the organization shifts gears and starts concentrating on achieving other levels of quality. The whole process continues until all the business processes are fully optimized.

10.Data Driven Approach:
Six Sigma concepts and methodologies stress the use of statistical tools and techniques for improving quality and reducing defects. The dependence on hard facts and figures automatically ensures that whatever decisions are taken will have the desired affect on the quality of goods or services and the efficiency of business processes. An experienced production manager may be the right person to make quality-improvement decisions but if the decisions are based solely on gut feelings and preconceived notions, the decisions...
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