6 Sigma
6 Sigma
6 Sigma
Six Sigma
Industry
Six Sigma is a set of tools and strategies for process improvement originally developed by Motorola in 1985.[][] Six
Sigma became well known after Jack Welch made it a central focus of his business strategy at General Electric in
1995,[] and today it is used in different sectors of industry.[1]
Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors)
and minimizing variability in manufacturing and business processes.[] It uses a set of quality management methods,
including statistical methods, and creates a special infrastructure of people within the organization ("Champions",
"Black Belts", "Green Belts", "Orange Belts", etc.) who are experts in these very complex methods.[] Each Six Sigma
project carried out within an organization follows a defined sequence of steps and has quantified value targets, for
example; process cycle time reduction, customer satisfaction, reduction in pollution, cost reduction and/or profit
increase.[]
The term Six Sigma originated from terminology associated with manufacturing, specifically terms associated with
statistical modeling of manufacturing processes. The maturity of a manufacturing process can be described by a
sigma rating indicating its yield or the percentage of defect-free products it creates. A six sigma process is one in
which 99.99966% of the products manufactured are statistically expected to be free of defects (3.4 defects per
million), although, as discussed below, this defect level corresponds to only a 4.5 sigma level. Motorola set a goal of
"six sigma" for all of its manufacturing operations, and this goal became a byword for the management and
engineering practices used to achieve it.
Six Sigma 2
Doctrine
Like its predecessors, Six Sigma doctrine asserts that:
• Continuous efforts to achieve stable and predictable process results (i.e., reduce process variation) are of vital
importance to business success.
• Manufacturing and business processes have characteristics that can be measured, analyzed, controlled and
improved.
• Achieving sustained quality improvement requires commitment from the entire organization, particularly from
top-level management.
Features that set Six Sigma apart from previous quality improvement initiatives include:
• A clear focus on achieving measurable and quantifiable financial returns from any Six Sigma project.[]
• An increased emphasis on strong and passionate management leadership and support.[]
• A special infrastructure of "Champions", "Master Black Belts", "Black Belts", "Green Belts", etc. to lead and
implement the Six Sigma approach.[]
• A clear commitment to making decisions on the basis of verifiable data and statistical methods, rather than
assumptions and guesswork.[]
The term "Six Sigma" comes from a field of statistics known as process capability studies. Originally, it referred to
the ability of manufacturing processes to produce a very high proportion of output within specification. Processes
that operate with "six sigma quality" over the short term are assumed to produce long-term defect levels below 3.4
defects per million opportunities (DPMO).[][] Six Sigma's implicit goal is to improve all processes, but not to the 3.4
DPMO level necessarily. Organizations need to determine an appropriate sigma level for each of their most
important processes and strive to achieve these. As a result of this goal, it is incumbent on management of the
organisation to prioritize areas of improvement.
Six Sigma is a registered service mark and trademark of Motorola Inc.[] As of 2006[2] Motorola reported over
US$17 billion in savings[] from Six Sigma. Other early adopters of Six Sigma who achieved well-publicized success
include Honeywell (previously known as AlliedSignal) and General Electric, where Jack Welch introduced the
method.[3] By the late 1990s, about two-thirds of the Fortune 500 organizations had begun Six Sigma initiatives with
the aim of reducing costs and improving quality.[]
In recent years[2], some practitioners have combined Six Sigma ideas with lean manufacturing to create a
methodology named Lean Six Sigma.[] The Lean Six Sigma methodology views lean manufacturing, which
addresses process flow and waste issues, and Six Sigma, with its focus on variation and design, as complementary
disciplines aimed at promoting "business and operational excellence".[] Companies such as IBM and Sandia National
Laboratories use Lean Six Sigma to focus transformation efforts not just on efficiency but also on growth. It serves
as a foundation for innovation throughout the organization, from manufacturing and software development to sales
and service delivery functions.
The International Organisation for Standards (ISO) has published ISO 13053:2011 defining the six sigma process.[4]
Six Sigma 3
Methods
Six Sigma projects follow two project methodologies inspired by Deming's Plan-Do-Check-Act Cycle. These
methodologies, composed of five phases each, bear the acronyms DMAIC and DMADV.[]
• DMAIC is used for projects aimed at improving an existing business process.[] DMAIC is pronounced as
"duh-may-ick" (<ˌdʌ ˈmeɪ ɪk>).
• DMADV is used for projects aimed at creating new product or process designs.[] DMADV is pronounced as
"duh-mad-vee" (<ˌdʌ ˈmæd vi>).
DMAIC
The DMAIC project methodology has five phases:
• Define the problem, the voice of the customer, and the project goals, specifically.
• Measure key aspects of the current process and collect relevant data.
• Analyze the data to investigate and verify cause-and-effect relationships. Determine what the relationships are,
and attempt to ensure that all factors have been considered. Seek out root cause of the defect under investigation.
• Improve or optimize the current process based upon data analysis using techniques such as design of experiments,
poka yoke or mistake proofing, and standard work to create a new, future state process. Set up pilot runs to
establish process capability.
• Control the future state process to ensure that any deviations from target are corrected before they result in
defects. Implement control systems such as statistical process control, production boards, visual workplaces, and
continuously monitor the process.
Some organizations add a Recognize step at the beginning, which is to recognize the right problem to work on, thus
yielding an RDMAIC methodology.[]
DMADV or DFSS
The DMADV project methodology, known as DFSS ("Design For Six Sigma"),[] features five phases:
• 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
• Design an improved alternative, best suited per analysis in the previous step
• Verify the design, set up pilot runs, implement the production process and hand it over to the process owner(s).
Implementation roles
One key innovation of Six Sigma involves the "professionalizing" of quality management functions. Prior to Six
Sigma, quality management in practice was largely relegated to the production floor and to statisticians in a separate
quality department. Formal Six Sigma programs adopt a ranking terminology (similar to some martial arts systems)
to define a hierarchy (and career path) that cuts across all business functions.
Six Sigma identifies several key roles for its successful implementation.[]
• Executive Leadership includes the CEO and other members of top management. They are responsible for setting
up a vision for Six Sigma implementation. They also empower the other role holders with the freedom and
resources to explore new ideas for breakthrough improvements.
• Champions take responsibility for Six Sigma implementation across the organization in an integrated manner. The
Executive Leadership draws them from upper management. Champions also act as mentors to Black Belts.
• Master Black Belts, identified by champions, act as in-house coaches on Six Sigma. They devote 100% of their
time to Six Sigma. They assist champions and guide Black Belts and Green Belts. Apart from statistical tasks,
they spend their time on ensuring consistent application of Six Sigma across various functions and departments.
• Black Belts operate under Master Black Belts to apply Six Sigma methodology to specific projects. They devote
100% of their time to Six Sigma. They primarily focus on Six Sigma project execution, whereas Champions and
Master Black Belts focus on identifying projects/functions for Six Sigma.
• Green Belts are the employees who take up Six Sigma implementation along with their other job responsibilities,
operating under the guidance of Black Belts.
Some organizations use additional belt colours, such as Yellow Belts, for employees that have basic training in Six
Sigma tools and generally participate in projects and 'white belts' for those locally trained in the concepts but do not
participate in the project team.[]
Six Sigma 5
Certification
Corporations such as early Six Sigma adopters General Electric and Motorola developed certification programs as
part of their Six Sigma implementation, verifying individuals' command of the Six Sigma methods at the relevant
skill level (Green Belt, Black Belt etc.). Following this approach, many organizations in the 1990s started offering
Six Sigma certifications to their employees.[][] Criteria for Green Belt and Black Belt certification vary; some
companies simply require participation in a course and a Six Sigma project.[] There is no standard certification body,
and different certification services are offered by various quality associations and other providers against a fee.[][]
The American Society for Quality for example requires Black Belt applicants to pass a written exam and to provide a
signed affidavit stating that they have completed two projects, or one project combined with three years' practical
experience in the body of knowledge.[][5] The International Quality Federation offers an online certification exam
that organizations can use for their internal certification programs; it is statistically more demanding than the ASQ
certification.[][] There are many other organizations that provide certification.[]
Certification is not necessary to use the tools and generate improvements, however some organisations require
certifications for internal and new hire employees in roles which require six sigma expertise.
Graph of the normal distribution, which underlies the statistical assumptions of the Six Sigma model. The Greek
letter σ (sigma) marks the distance on the horizontal axis between the mean, µ, and the curve's inflection point. The
greater this distance, the greater is the spread of values encountered. For the green curve shown above, µ = 0 and σ =
1. The upper and lower specification limits (USL and LSL, respectively) are at a distance of 6σ from the mean.
Because of the properties of the normal distribution, values lying that far away from the mean are extremely
unlikely. Even if the mean were to move right or left by 1.5σ at some point in the future (1.5 sigma shift, coloured
red and blue), there is still a good safety cushion. This is why Six Sigma aims to have processes where the mean is at
least 6σ away from the nearest specification limit.
The role of the sigma shift is mainly academic. The purpose of six sigma is to generate organizational performance
improvement. It is up to the organisation to determine, based on customer expectations, what the appropriate sigma
level of a process is. The purpose of the sigma value is as a comparative figure to determine whether a process is
improving, deteriorating, stagnant or non-competitive with others in the same business. Six sigma (3.4 DPMO) is not
the goal of all processes.
Sigma levels
The table[][] below gives long-term
DPMO values corresponding to
various short-term sigma levels.
It must be understood that these figures
assume that the process mean will shift
by 1.5 sigma toward the side with the
critical specification limit. In other
words, they assume that after the initial
study determining the short-term sigma
level, the long-term Cpk value will turn
out to be 0.5 less than the short-term
Cpk value. So, for example, the DPMO
figure given for 1 sigma assumes that
the long-term process mean will be 0.5
sigma beyond the specification limit
(Cpk = –0.17), rather than 1 sigma
within it, as it was in the short-term
study (Cpk = 0.33). Note that the defect
percentages indicate only defects
exceeding the specification limit to
A control chart depicting a process that experienced a 1.5 sigma drift in the process mean
which the process mean is nearest.
toward the upper specification limit starting at midnight. Control charts are used to
Defects beyond the far specification maintain 6 sigma quality by signaling when quality professionals should investigate a
limit are not included in the process to find and eliminate special-cause variation.
percentages.
Sigma level Sigma (with 1.5σ shift) DPMO Percent defective Percentage yield Short-term Cpk Long-term Cpk
Application
Six Sigma mostly finds application in large organizations.[30] An important factor in the spread of Six Sigma was
GE's 1998 announcement of $350 million in savings thanks to Six Sigma, a figure that later grew to more than $1
billion.[30] According to industry consultants like Thomas Pyzdek and John Kullmann, companies with fewer than
500 employees are less suited to Six Sigma implementation, or need to adapt the standard approach to make it work
for them.[30] Six sigma however contains a large number of tools and techniques that work well in small to mid size
organisations as well. The fact that an organization is not big enough to be able to afford Black Belts does not
diminish its abilities to make improvements using this set of tools and techniques. The infrastructure described as
necessary to support six sigma [30] is as a result of the size of the organization rather than a requirement of six sigma
itself.
In healthcare
Six Sigma strategies were initially applied to the healthcare industry in March 1998. The Commonwealth Health
Corporation (CHC) was the first health care organization to successfully implement the efficient strategies of Six
Sigma.[31] Substantial financial benefits were claimed. For example, in their radiology department, throughput
improved by 33% and costs per radiology procedure decreased by 21.5%;[32] Six Sigma has subsequently been
adopted in other hospitals around the world.[33][34]
Six Sigma 9
Criticism
Lack of originality
Noted quality expert Joseph M. Juran has described Six Sigma as "a basic version of quality improvement", stating
that "there is nothing new there. It includes what we used to call facilitators. They've adopted more flamboyant
terms, like belts with different colors. I think that concept has merit to set apart, to create specialists who can be very
helpful. Again, that's not a new idea. The American Society for Quality long ago established certificates, such as for
reliability engineers."[35]
Role of consultants
The use of "Black Belts" as itinerant change agents has (controversially) fostered an industry of training and
certification. Critics argue there is overselling of Six Sigma by too great a number of consulting firms, many of
which claim expertise in Six Sigma when they have only a rudimentary understanding of the tools and techniques
involved, or the markets or industries they are acting in.[]
According to an article by John Dodge, editor in chief of Design News, use of Six Sigma is inappropriate in a
research environment. Dodge states[45] "excessive metrics, steps, measurements and Six Sigma's intense focus on
reducing variability water down the discovery process. Under Six Sigma, the free-wheeling nature of brainstorming
and the serendipitous side of discovery is stifled." He concludes "there's general agreement that freedom in basic or
pure research is preferable while Six Sigma works best in incremental innovation when there's an expressed
commercial goal."
References
[1] >" SAFARI BOOKS ONLINE (http:/ / my. safaribooksonline. com/ search/ SIX+ SIGMA)
[2] http:/ / en. wikipedia. org/ w/ index. php?title=Six_Sigma& action=edit
[4] http:/ / www. iso. org/ iso/ catalogue_detail?csnumber=52901
[6] http:/ / scps. uh. edu/ cs/ programs/ six-sigma
[7] http:/ / saeu. sc. edu/ sixsigma
[8] http:/ / jmusixsigma. org
[9] http:/ / www. bu. edu/ academics/ smg/ courses/ gsm-om-840/
[10] http:/ / www. csufextension. org/ Classes/ certificate/ CertDetail. aspx?GN=3443& GV=1
[11] http:/ / ece. emory. edu/ sixsigma/ index. cfm
[12] http:/ / ce. franklin. edu/ courses/ instructor-led/ sixsigma. html
[13] http:/ / cepl. cps. gwu. edu/ lean-six-sigma
[14] http:/ / weatherhead. case. edu/ professional-development/ programs/ lean-six-sigma-green-belt-certification. cfm
[15] http:/ / www. kent. edu/ leansixsigma/ index. cfm
[16] http:/ / fisher. osu. edu/ executive-education/ custom-programs/ subject-areas/
[17] http:/ / execed. rutgers. edu/ subdomain/ lean-six-sigma-training-and-certification/
[18] http:/ / lifelong. engr. utexas. edu/ epd/ certificates/ sixsigma. cfm
[20] http:/ / isd. engin. umich. edu/ professional-programs/ index. htm
[21] http:/ / www. usma. edu/ pv/ pointer%20view%20archive/ 07feb02. pdf
[22] http:/ / catalog. byuh. edu/ node/ 119
[23] http:/ / ise. sjsu. edu/ content/ six-sigma-certificate
[30] Dirk Dusharme, "Six Sigma Survey: Breaking Through the Six Sigma Hype" (http:/ / www. qualitydigest. com/ nov01/ html/
sixsigmaarticle. html), Quality Digest
[31] http:/ / www. lasaterinstitute. com/ casestudy/ Healthcare/ Commonwealth%20Health%20Corporation(Lean%20Six%20Sigma). pdf
[32] http:/ / www. ibisuva. nl/ assets/ files/ sixsigmahealthcare2005. pdf
[34] http:/ / www. ibisuva. nl/ assets/ files/ jhq-dekoning. pdf
[39] http:/ / xa. yimg. com/ kq/ groups/ 18751725/ 636586767/ name/ twelve+ P+ value+ misconceptions. pdf
[40] http:/ / www. improvementandinnovation. com/ features/ article/ y-fx-really-transfer-function/
[45] Dodge, John (2007) " 3M Shelves Six Sigma in R&D", (http:/ / www. designnews. com/ article/ 12089-3M_Shelves_Six_Sigma_in_R_D.
php) Design News, Dec. 10, 2007 (retrieved April 2, 2013)
[47] *
Further reading
• Adams, Cary W.; Gupta, Praveen; Charles E. Wilson (2003). Six Sigma Deployment (http://books.google.com/
?id=0lY_bhMBzLwC&printsec=frontcover&dq=Adams+Gupta). Burlington, MA: Butterworth-Heinemann.
ISBN 0-7506-7523-3.
• Breyfogle, Forrest W. III (1999). Implementing Six Sigma: Smarter Solutions Using Statistical Methods (http://
books.google.com/?id=leQvoUXM9L0C&printsec=frontcover&dq=Breyfogle+Implementing). New York,
NY: John Wiley & Sons. ISBN 0-471-26572-1.
• De Feo, Joseph A.; Barnard, William (2005). JURAN Institute's Six Sigma Breakthrough and Beyond - Quality
Performance Breakthrough Methods (http://books.google.com/?id=0VHaTb6LJ4QC&printsec=frontcover&
dq="six+sigma"). New York, NY: McGraw-Hill Professional. ISBN 0-07-142227-7.
• Hahn, G. J., Hill, W. J., Hoerl, R. W. and Zinkgraf, S. A. (1999) The Impact of Six Sigma Improvement-A Glimpse
into the Future of Statistics, The American Statistician, Vol. 53, No. 3, pp. 208–215.
• Keller, Paul A. (2001). Six Sigma Deployment: A Guide for Implementing Six Sigma in Your Organization (http://
books.google.com/?id=izjUAAAACAAJ&dq=Keller+Six+Sigma). Tucson, AZ: Quality Publishing.
ISBN 0-930011-84-8.
• Pande, Peter S.; Neuman, Robert P.; Roland R. Cavanagh (2001). The Six Sigma Way: How GE, Motorola, and
Other Top Companies are Honing Their Performance (http://books.google.com/?id=ybOuvzvcqTAC&
pg=PP1&dq=Pande+Six+Sigma+Way). New York, NY: McGraw-Hill Professional. ISBN 0-07-135806-4.
• Pyzdek, Thomas and Paul A. Keller (2009). The Six Sigma Handbook, Third Edition (http://books.google.com/
?id=5CCcw4j2gkgC&printsec=frontcover&dq=Pyzdek+Six+Sigma&q=). New York, NY: McGraw-Hill.
Six Sigma 12
ISBN 0-07-162338-8.
• Snee, Ronald D.; Hoerl, Roger W. (2002). Leading Six Sigma: A Step-by-Step Guide Based on Experience with
GE and Other Six Sigma Companies (http://books.google.com/?id=_BRYIS31iwUC&printsec=frontcover&
dq=Snee+Hoerl). Upper Saddle River, NJ: FT Press. ISBN 0-13-008457-3.
• Taylor, Gerald (2008). Lean Six Sigma Service Excellence: A Guide to Green Belt Certification and Bottom Line
Improvement (http://books.google.com/?id=1VdYNwAACAAJ&dq). New York, NY: J. Ross Publishing.
ISBN 978-1-60427-006-8.
• Tennant, Geoff (2001). SIX SIGMA: SPC and TQM in Manufacturing and Services (http://books.google.com/
?id=O6276jidG3IC&printsec=frontcover#PPP1,M1). Aldershot, UK: Gower Publishing, Ltd.
ISBN 0-566-08374-4.
Article Sources and Contributors 13
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