1.1.4 Six Sigma
Background:
In last 25 years many companies are adopting Six Sigma methodology as a process excellence tool. Few of them are GE, Motorola, Siemens, ABB, Citi Bank, Ford etc. Many Japanese and Korean companies like LG, Toshiba, Honda, Sony and Samsung have also implemented Six Sigma. In India many companies are implementing Six Sigma. Wipro, Mahindra & Mahindra, Tata motors, Larsen & Toubro, HDFC are some of them. Due to globalization world market is opened to Indian organizations and to compete with other countries they want to bring their products & services to world class level. To achieve this along with various methodologies Six Sigma is becoming popular in India.
The cultural differences between India & western countries, creates the need for different implementation strategy for India. For this a detail study of Indian
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He wants perfection and his expectations are ever increasing. Organizations are making all efforts to satisfy customer by improving processes and making near perfect, zero defect products.
A process is any repetitive action, may be a transactional, manufacturing or services. The defects and variation in processes affects productivity, quality and overall customer satisfaction by adversely hitting the bottom line. A new metric was required to measure the defects in processes and a methodology to control the variation in processes. Six Sigma fulfills this requirement of organizations.
Definitions of Six Sigma:
Sigma is a term used in statistics to represent standard deviation and Six Sigma is a statistical concept which measures process in terms of defects at the Six Sigma level. The sigma level of a process is calculated in terms of the number of defects in ratio to the number of opportunities for defects. Fig. 1.1 Sigma levels
Six Sigma level Defects Per Million Opportunities (DPMO) Yield
1 690,000
The concept of Six Sigma is completely consistent with the aims and objective of many healthcare organizations. At times it is very challenging to attain an excellent Six Sigma accomplishment level in real life. A good example is, a health organization that has 100,000 surgeries annually, apparently it would be allowed only one undesirable occurrence for every three years, which is not very sensible. Nevertheless, the concept behind it is still beneficial and significant, and in
Today Six Sigma is found in many organizations, manufacturers, and businesses that strive to reduce and eliminate defects.
Lean Six Sigma approach is recognized widely and has been implemented predominately in manufacturing rather than other industries. To illustrate the point, this paper draws attention to the adoption of Lean Six Sigma in various industries with a case study. The combination of Lean tools and Six Sigma methodology is used to improve the process and quality by eliminating the variations and creating workflow in a process. The hypothesis of this study was that the Six Sigma technique can be used along with lean tools in order to improve process and quality in any area of industries. The review of case study discovered the use of
One of such strategy is the implementation of Six Sigma methodology in the organization. Six Sigma is a methodology that combines the gradual and continuous improvement with radical redesign. The process of Six Sigma begins by measuring the statistical variability within a process. This means that the causes of error can only be determined if you understand the critical requirement of either the internal or external customer. Six Sigma processes are designed to reduce process variability. Six Sigma helps the organization to achieve improved process flows and better
Sigma -  is most common known as a Greek letter which is used in statistics as a measure of variation, or change. Most of the people, however, don’t know that  is not only a symbol but it is also a method of quality. 6 Quality (Six Sigma Quality) is a management philosophy which has to lead to better employee performance and therefore completely satisfy the customer.
Since the core of Six Sigma management is quality, it is consistent with lean thinking. Use lean thinking which is focusing on eliminating waste and identifying improvement. When fused with the main elements in lean production, such as 5S system, TPM, stability and standardization6, the Six Sigma production system can be better operated. Quality can prove its own value only if product can best serve customer and provides benefits to shareholders, so when comes to the quality issue, doing statistical analysis about the customers’ demand and company’s goals is essential for the “master black belt” and “black belt ” to lead teams to right places.
As a management system, six sigma permeates all aspects of an organization. Many of those who have had the opportunity to participate in six sigma projects have experienced the transformation of six sigma principles and concepts into the fabric of the management system of the companies in which they are employed by witnessing improvements that will have continuous, long term influences within the company. This is accomplished by creating alignment within the company leadership. Six sigma offers a way of thinking that facilitates improvement by reducing the amount of variation in each process. Statistical tools are used to provide insight so that management can predetermine process outcomes. It also provides a method to analyze a process to determine areas of possible improvement.
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 ("Black Belts", "Green Belts", etc.) who are experts in these methods. Each Six Sigma project carried out within an organization follows a defined sequence of steps and has quantified targets. These targets can be financial (cost reduction or profit increase) or whatever is critical to the customer of that process (cycle time, safety, delivery, etc.).
In last 25 years many companies are adopting Six Sigma methodology as a process excellence tool. Few of them are GE, Motorola, Siemens, ABB, Citi Bank, Ford etc. Many Japanese and Korean companies like LG, Toshiba, Honda, Sony and Samsung have also implemented Six Sigma. Many organizations are implementing Six Sigma in India. ICICI, Larsen & Toubro, Mahindra & Mahindra, Tata motors, HDFC are some major organizations implementing Six Sigma. Due to globalization world market is opened to Indian organizations and to compete with other countries they want to bring their products & services to world class level. To achieve this along with various methodologies Six Sigma is becoming popular in India.
The concept of Six Sigma started in the company Motorola and they are the pioneers in introducing Six Sigma Quality program. Lean Six Sigma is an approach followed by the management
This chapter reports related literatures to describe the methodology and implementation of six sigma. The literature review in this paper is divided into four parts viz: Basic concept, DMAIC methodology, DFSS approach, and Quality deployment.
As the pioneers of Six Sigma in India, WIPRO has starting now put around ten years into system change through Six Sigma. Along the way, it has scaled Six Sigma venturing stool, while serving to take off more than 1000 endeavors. The Six Sigma framework spreads right across over verticals and impacts diverse zones, for instance, wander organization, market headway and resource utilization.
Six Sigma is a disciplined, data-driven approach and methodology for eliminating defects (driving toward six standard deviations between the mean and the nearest specification limit) in any process – from manufacturing to transactional and from product to service(iSixSigma:2014)
In last 25 years many companies are adopting Six Sigma methodology as a process excellence tool. Few of them are GE, Motorola, Siemens, ABB, Citi Bank, Ford etc. Many Japanese and Korean companies like LG, Toshiba, Honda, Sony and Samsung have also implemented Six Sigma. In India many companies are implementing Six Sigma. Wipro, Mahindra & Mahindra, Tata motors, Larsen & Toubro, HDFC are some of them. Due to globalization world market is opened to Indian organizations and to compete with other countries they want to bring their products & services to world class level. To achieve this along with various methodologies Six Sigma is becoming popular in India.
Six Sigma, is a management process that focuses on setting extremely high quality standards; followed by the collection data related to the process and finally analyzing the collected data to find solution to reduce defects in products or services (Rouse, M., Calloway). This Philosophy of Six Sigma simple, if you can count the number of defects in a process, you can determine how to eliminate those defects (Rouse, M., Calloway). The standard for achieving Six Sigma is less 3.4 defects per million (Rouse,