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The 'per million opportunities' aspect of the Six Sigma metric is critical because it allows you to compare the capability of widely different processes.

The sigma metric makes sure that simpler processes, which have fewer steps and fewer chances for something to go wrong are not given an advantage over more complex processes.

methodology


The DMAIC of Six Sigma:-


Define (D)

This phase defines the goals and value of the projects. Teams and champions use tools necessary to assess the magnitude of the value opportunity in a given value stream, the resources required, and a design of the problem-solving process.


Measure (M)

Assuming that the project is approved by the Champion, the team proceeds to the measure phase, in which members gather data on the problem. Here, they primarily use data collection tools, process mapping, pareto analysis, run charts etc.


Analysis (A)

Here the team examines data and process maps to characterise the nature and extent of the defect. The tools help them pinpoint the time traps and define tools in priority order.


Improve (I)

This phase applies a powerful set of tools to eliminate defects in both quality and process velocity.


Control (C)

When the process has achieved the required quality level, the tools of the control phase are employed to lock in the benefits. Some of these tools include error proofing and control charting.


We are creating a responsive and flexible business to cater to varying customer demands and expectations, that we can consider repeatable and sustainable. It is something that must be easily understood by everyone involved in adding value throughout the value stream.

Application Results

Safety Restraints

0 ppm from 60,000 ppm over 2 years

Revenue Collection

Reduction in errors frees up 10% working capital

Aerospace

Reduced turnaround time by 60%

Electronics Assembly

Reduced process scrap by 90%

Financial Services

Reduced transaction throughput time by 50%

Chemical

Improvement in yield by 30%

sigma levels

The sigma level numbers often associated with Six Sigma represents the capability of core business process, as measured in defects per million opportunities:

six sigma

Six Sigma is the first improvement initiative that ties levels of investment to a clear profit return, the language any business leader can understand. Six Sigma is: -

(1) A system of management to achieve lasting business leadership and top performance applied to benefit the business and its customers, employees and shareholders.

(2) A measure to define the capability of any process.

(3) A goal for improvement that reaches near-perfection.

The system needed to achieve Six Sigma creates a culture characterised by: -


Customer Focus - The knowledge of what the customer values is the start of the value stream analysis.


Financial Results - No project or effort is undertaken unless there is evidence indicating how much value will be created.


Management Engagement - The leadership team have designated roles and responsibilities for overseeing and guiding Six Sigma projects.


Resource Commitment - A significant number of the business resources are involved in the Six Sigma effort to create a sustainable change within the business.


Execution Infrastructure - The hierarchy of specific roles provides ways to integrate Six Sigma projects into the 'real work' of the business to sustain the rate of improvements.

roles within six sigma


Sponsors

The Sponsor is essential components of a Six Sigma structure as they provide the steering with the Champion, Masters, Black Belts and Green Belts. They must decide that adoption of these new methods is of strategic importance to the company. They receive training over a 1 to 2 day. The Sponsor must also perform a role in infrastructure processes by: -

 


Champions

The Champions are the glue that holds the Six Sigma together by building critical bridges between business-unit strategies and Black Belt projects. They receive training over a 1 to 2 day. The role of the Champion would include: -



Master Black Belts

The Master Black Belt act as internal consultants to Black Belts and their teams. As such, the Master Black Belts must be experienced in successfully managing improvement teams to reach goals using improvement tools and skilled leadership. They are expected to complete 2 waves of Black Belt training and project mentoring.


Black Belts (Team Leaders)

The Black Belts are full-time positions responsible for leading project teams. They are responsible for delivering value and benefits that were determined for each of their projects during the project selection process. They receive training over a 20 day period (typically 5 days per month over a 4 month duration). The role of the Black Belt would include: -



Green Belt (Team Members)

The Green Belts are part-time, on a specific process about which he or she generally possesses knowledge important to the success of the project. They receive training over a 6 day. The role of the Green Belt would include: -


six sigma

Sigma Level

Defects per Million Opportunities

Yield

6

3

99.9997%

5

233

99.977%

4

6,210

99.379%

3

66,807

93.32%

2

308,537

69.2%

1

690,000

31%