six sigma

2. • The primary premise for Lean is the focus on the creation of value for the customers.The value
creation that enhances the organization’s overall productivityis done by eliminating non-value
added activities using specific sets of tools that optimize the utilization of the people and the
processes.
• The Lean thinking process focuses on satisfying customers while improving productivity, reducing
lead time, reducing manufacturing and product cost, increasing inventory floor space, reducing
new product time to market, and improving the cost of quality. This is done by implementing a
strategy that constantly seeks a continuous improvement through the identification of the non-
value-added activities (Muda) and their elimination along with the reduction of the time it takes to
perform the value added tasks.

3. • Defects within a production process are considered to be the results of deviations from the predefined
targets. Six Sigma is a methodology that uses statistical and nonstatistical tools to define the optimal
quality target and the tolerance around the target for a production process.
• It also seeks to identify and remove the causes of defects and errors in production processes by
reducing variations around the target and containing them within the tolerance.
• The Six Sigma approach to process improvements is project-driven; in other words, areas that show
opportunities for improvements are identified and projects are selected to proceed with the necessary
improvements.
• The integration of Lean with Six Sigma came to be known as Lean Six Sigma.
• Lean is used to reduce waste but it does not monitor production processes to determine if they are in
control. It does not use statistical tools to measure the processes’ capabilities, i.e., their ability to
generate reproducible products or services that meet or exceed customers’ expectations.
• Because Six Sigma is project-driven, it is less flexible when it comes to addressing practical issues that
occur daily and would not require even small projects to fix. Issues such as total preventive management
(TPM), changeover time, labor and equipment efficiency, inventory reduction, and overproduction are
better addressed using Lean techniques.
• An integration of Lean and Six Sigma offers the possibility for reducing defects through a control of
process variations and a reduction of waste using Lean techniques.
• Lean Six Sigma process improvements are conducted through projects or Kaizen events.
• The project executions follow a rigorous pattern called the DMAIC (Define, Measure, Analyze, Improve,
and Control). At every step in the DMAIC roadmap, specific tools are used to measure, analyze data, find
root causes of problems, and determine the best options for their resolution.

4. Define
• Goal
– Define project purpose and scope and obtain background
information on the process and its customers
• Outputs
– Cleat statement of the intended problem and how to
measure it
– High-level process map
– Key quality characteristics
• Approach
– Develop project charter
– Map the process
– Understand the voice of the customer

5. Define
The purpose of this step is to clearly articulate
- the business problem
- Goal
- potential resources
- project scope
- high-level project timeline.
This information is typically captured within project charter document.

6. Define
• Project Planning 9
– The Gantt chart 10
– Program evaluation and review technique (PERT) 13
• Project Charter 15
– Project number 16
– Project champion 16
– Project defi nition 16
– Project description 17
– Value statement 17
– Stakeholders 17
– Project monitoring 17
– Scheduling 17
– Alternative plans 17
– Risk analysis 17
• Capturing the Voice of the Customer 17
– Capturing the voice of the external customer 19
– Capturing the voice of the internal customer 21
– Capturing the voice of the customers of a project 21
– Capturing the voice of the next step in the process 21
• Critical-to-Quality Tree 22
– Kano analysis 24
• Suppliers-Input-Process-Output-Customers (SIPOC)
• Cost of Quality 29
– Assessing the cost of quality 29
– Cost of conformance 30
– Preventive cost 30
– Appraisal cost 31
– Cost of nonconformance 31
– Internal failure 31
– External failure 31
• Optimal Cost of Quality 34
• Cost of Quality According to Taguchi 36
• Stakeholder Analysis 38
– Force fi eld analysis (FFA)

7. Project Planning
• A problem is defined as a contradiction, a gap between a concrete
reality that is being faced and a desired situation. The fi rst step in
resolving a problem is to clearly understand and articulate both the
current reality and the desired situation.
• A clear definition of a problem is the first step of a Lean Six Sigma
problem solving roadmap.
• Lean Six Sigma problem resolutions are performed through
projects.
• The objective of a project is either to solve an existing problem or
to start a new venture. In either case, a carefully planned and
organized strategy is needed to accomplish the specified objectives.
• The strategy includes developing a plan that will define the goals,
explicitly setting the tasks to be accomplished, determining how
they will be accomplished, and estimating the time and the
resources (both human and material) needed for their completion.

8. • The strategy used to plan the resources needed for the changes is called
project management. It includes the specification of the tasks to be
accomplished, how the objectives are to be achieved, the planning of the
resources to be allocated, and the budgeting and timing as well as the
implementation of the project and the controls involved.
• Since not all the tasks can be executed at the same time because of their
interdependence, a scheduling is necessary for a timely and cost-effective
outcome.
• One way of creating a list of tasks is a process known as the Work
Breakdown Structure (WBS). It consists of creating a tree of activities.
• The WBS starts with the project to be achieved and goes down to the
different steps necessary for its completion. As the tree starts to grow, the
list of the tasks grows. Once the list of all the tasks involved is known,
based on experience or good wit, an estimation of the time required can
be made and milestones determined.

9. WBS Example

10. Gantt Chart
Gantt charts help arrange the different
events in synchronism and associate each task with its owner and its estimated
beginning and ending time. The charts also allow the project’s team to visualize
the resources needed to complete the project and the timing for each task. It
therefore shows where the task owners must be at any given time in the execution
of the projects. The team working on the project should know whether it is
on schedule just by looking at the chart.
The chart itself is divided in two parts. The fi rst part shows the different
tasks, the tasks owners, the timing, and the resources needed for their completion;
the second part graphically visualizes the sequence of the events.