MEANING,DEFINITION OF SIX SIGMA
INTRODUCTION, HISTORY OF SIX SIGMA
CHARATARESTIC OF SIX SIGMA
OBJECTIVES OF SIX SIGMA
IMPLEMENTATIN OF SIX SIGMA
LEVEL OF SIX SIGMA
DIMAC
DMADV
Six Sigma relies heavily on advanced statistical methods that
complement and reduce the process and product variations.
It is a new way of doing business that would eliminate the
existing defects efficiently and would prevent defects from
occurring
Definition
▪ Six Sigma seeks to improve the quality of process outputs by
identifying and removing the causes of defects.
▪Six Sigma approach is a collection of managerial and statistical
concept and techniques that focuses on reducing variation in
processes and preventing deficiencies in product.
▪ The concept of Variation states “NO two items will be perfectly
identical.”
Introduction
❑Six Sigma is a set of techniques, and tools for process
improvement. It was developed by Motorola in 1986.
❑ Sir Bill Smith, “ the Father of six sigma” introduce this quality
improvement Methodology to Motorola.
❑ Six Sigma is now an enormous 'brand' in the world of corporate
development.
Father of Six Sigma
Sir Bill Smith
“ the Father of six sigma”
History
❑Since the 1920's the word “sigma”(s) has been used by
mathematicians and engineers as a symbol for a unit of
Measurement in product quality variation.
❑In the mid-1980's engineers in Motorola in the USA used
“Six Sigma”(S) an informal name for an in-house initiative for
reducing defects in production processes, because it
represented a suitably high level of quality.
❑ In the late-1980's Motorola extended the Six Sigma
methods to its critical business processes, and significantly
Six Sigma became a formalized in-house 'branded' name for
a performance improvement methodology, i.e, beyond
purely 'defect reduction.‘
❑In 1991 Motorola certified its first 'Black Belt' Six Sigma
experts, which indicates the beginnings of the formalization of
the accredited training of Six Sigma methods.
❑In 1995, Six Sigma became well known after Mr. Jack Welch
made
it a central focus of his business strategy at General Electric,
and
today it is used in different sectors of industry.
(General Electric, or GE, is an
American multinational conglomerate
corporation incorporated in New York )
❑By the year 2000, Six Sigma was effectively established as
an industry in its own right, involving the training,
consultancy and implementation of Six Sigma
methodology.
The Characteristics of Six Sigma
➢Statistical Quality Control
Six Sigma is clearly derived from the Greek letter σ (Sigma) from
the Greek alphabet, which is used to denote Standard Deviation
in Statistics. Standard Deviation is used to measure variance,
which is an important tool for measuring non-conformance as far
as the quality of the output is concerned.
➢Methodical Approach
The Six Sigma is not merely a quality improvement strategy in
theory, as it features a well defined methodical approach of
application in DMAIC and DMADV which can be used to
improve the quality of production. DMAIC is an acronym for
Design-Measure-Analyze-Improve-Control. The alternative
method DMADV stands for Design-Measure-Analyze-Design-
Verify.
➢Fact and Data Based Approach
The statistical and methodical aspects of Six Sigma show the
scientific basis of the technique. This accentuates an important
aspect of Six Sigma that it is fact and data based.
➢Project and Objective Based Focus
The Six Sigma process is implemented for an organization’s
project tailored to its specifications and requirement. The process
is flexed to suit the requirements and conditions in which a
project is operating to get the best results.
Apart from that, the Six Sigma is also objective
based.
The management needs some incentive to invest in the Six Sigma
process. It is aimed to enhance profitability and to generate
➢Fact and Data Based Approach
The statistical and methodical aspects of Six Sigma show the
scientific basis of the technique. This accentuates an important
aspect of Six Sigma that it is fact and data based.
➢Project and Objective Based Focus
The Six Sigma process is implemented for an organization’s
project tailored to its specifications and requirement. The process
is flexed to suit the requirements and conditions in which a
project is operating to get the best results.
Apart from that, the Six Sigma is also objective
based.
The management needs some incentive to invest in the Six Sigma
process. It is aimed to enhance profitability and to generate
➢The Customer Focus
The customer focus is fundamental to the Six Sigma approach.
The quality improvement and control standards are based on the
explicit customer requirements.
➢Teamwork Approach to Quality Management
The Six Sigma process requires organizations to get organized
when it comes to controlling and improving quality. Six Sigma
actually involves a lot of training depending on the role of an
individual in the Quality Management team.
Six Sigma Objectives
✓Overall Business Improvement
Six Sigma methodology focuses on business
improvement. Beyond reducing the number of
defects present in any given number of products.
✓Remedy Defects/Variability
Any business seeking improved numbers must
reduce the number of defective products or
services it produces. Defective products can harm
customer satisfaction levels.
✓Reduce Costs
Reduced costs equal increased profits. A company
implementing Six Sigma principles has to look to
reduce costs wherever it possibly can--without
reducing quality.
✓Improve Cycle Time
Any reduction in the amount of time it takes to
produce a product or perform a service means
money saved, both in maintenance costs and
personnel wages. Additionally, customer
satisfaction improves when both retailers and
end users receive products sooner than expected.
The company that can get a product to its
customer faster may win her business.
✓Increase Customer Satisfaction
Customer satisfaction depends upon successful
resolution of all Six Sigma’s other objectives. But
customer satisfaction is an objective all its own.
Motorola saved $17 billion from 1986 to 2004, reflecting
hundreds of individual successes in all Motorola business
areas including:
• Sales and marketing
• Product design
• Manufacturing
• Customer service
• Transactional processes
• Supply chain management
LEVEL OF SIX SIGMA
IMPLEMENTATION
WHO ARE IMPLEMENTING SIX SIGMA
➢ Financial – bank of America, GE Capital,HDFC,HSBC,American
Express
➢ ITES- ICICI One source, Accenture, Satyam PO, IBM Daksh
➢ Hospitality- ITC Hotels, GRT Hotels, Apollo Hospitals
➢ Manufacturing- GE Plastic, Johanson and Johnson, Motorola, Nokia,
Microsoft, Ford, Wipro, Nestle, Samsung, Samtle
➢ Telecom- Bharti Cellular, Vodafone, Siemencs,Tata
➢ IT- Wipro, Satyam,Acenture, Infosys, TCS, Birla soft
CONTINUE…
1. Six Sigma Champion: Champions undergo five days of training and
are taught how to manage projects and act as advisors to various
project teams.
2. Green Belts: They undergo two weeks of training that includes
project-oriented tasks. They act as team members to the Six Sigma
project team. Their cooperation and involvement is necessary for
projects success.
3. Black belts: They receive four weeks of trainings and are directly
involved in the implementation of Six Sigma Projects. They are the
project leaders and go through in-depth training on Six Sigma
approach and tools and work full time on the project.
4. Master Black Belts: These are the people who conduct Six Sigma
Training and also have on the job training and experience
Six Sigma Methods
Service
Adminis
Design
tration
Six
Sigma
Methods
Manage producti
ment on
IT
APPROACHES OF SIX SIGMA
DMAIC APPROACH
THIS IS ORGANIZATIONAL BASED
DMADV APPROACH
THIS IS BASED ON CUSTOMER NEEDS AND
SATIFACTIONS
DMAIC APPROACH
It approach undertaken to improve existing business process
CONTRL
DEFINE
IMPROVE
ANALYSE MEASURE
1.Define high-level project goals and the current process.
2.Measure key aspects of the current process and collect relevant data.
3.Analyze the data to verify cause-and-effect relationships. Determine what the
relationships are, and attempt to ensure that all factors have been considered.
4.Improve or optimize the process based upon data analysis using various tools
5.Control to ensure that any deviations from target are corrected before they
result in defects.
This approach is undertaken when there is a need to create new design or
product:
VERIFY
DEFINE
DESIGN
MEASURE
ANALYZE
Define design goals that are consistent with customer demands and the
enterprise strategy.
Measure and identify CTQs (characteristics that are Critical To Quality),
product capabilities, production process capability, and risks.
Analyze to develop and design alternatives, create a high-level design and
evaluate design capability to select the best design.
Design details, optimize the design, and plan for design verification. This
phase may require simulations.
Verify the design, set up pilot runs, implement the production process and
hand it over to the process owners.
DMADV is also known as DFSS, an abbreviation of "Design For Six
Sigma
DMAIC DMADV
➢ Defines a business process. ➢ Define customer needs
➢ Measuring current process ➢ Measure customer needs &
specification
➢ Identify root cause of the recurring ➢ Analyze options to meet customer
PROBLEMS satisfaction.
➢ Improvements made to reduce ➢ Model is deigned to meet customer
defects needs
➢ Keep check on future performance ➢ Model put through simulation tests
for verification
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