...The DMAIC Debate The Six Sigma Improvement Model (SSIM) is made up of the DMAIC approach, Define, Measure, Analyze, Improve, Control. According to Lighter, 2011 the Define portion of DMAIC is “the creation of high-level project goals and mapping the current process” (Lighter, 2011, p. 298). “Measure” is to “determine key aspects of the current process and collect relevant data” (Lighter, 2011, p. 298). Define and Measure are key elements to the DMAIC process as they define the purpose of the project the “characteristic for improvement” and the measure phase is the collection of the information for how the process currently works, how it is supposed to work at an optimal level, where the current breakdowns are and a summary of the baseline data. There are several sources of private standard-setting organizations available for health care workers and quality improvement personnel to access developed methods of performance measures. The National Quality Forum (NQF) by its own definition is “a private sector standard-setting organization whose efforts center on the evaluation and endorsement of standardized performance measurement” (National Quality Forum, 2014). The NQF provides a forum for standardized performance measures that can be shared between many health care organizations There is current debate about the necessity of developing the “Define” and “Measure” phases of the DMAIC for quality improvement projects. Some quality improvement professionals feel that the...
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...EXERCISES 2.7. Explain the importance of tollgates in the DMAIC process. At a tollgate, a project team presents its work to managers and “owners” of the process. In a six-sigma organization, the tollgate participants also would include the project champion, master black belts, and other black belts not working directly on the project. Tollgates are where the project is reviewed to ensure that it is on track and they provide a continuing opportunity to evaluate whether the team can successfully complete the project on schedule. Tollgates also present an opportunity to provide guidance regarding the use of specific technical tools and other information about the problem. Organization problems and other barriers to success—and strategies for dealing with them—also often are identified during tollgate reviews. Tollgates are critical to the overall problem-solving process; It is important that these reviews be conducted very soon after the team completes each step. 2.11. Suppose that your business is operating at the three-sigma quality level. If projects have an average improvement rate of 50% annually, how many years will it take to achieve Six Sigma quality? 3.4 66,810 1 0.5 3.4 / 66,810 0.5 x ln 3.4 / 66,810 x ln 0.5 x ln 3.4 / 66,810 ln 0.5 14.26 years 14 years, 3 months x Page 51 2.12. Suppose that your business is operating at the 5-sigma quality level. If projects have an average improvement rate of 50% annually, how many years will it take...
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...(Problem Statement) What makes you say that? (Where is the data?) Ok, so what? Why bother? (Make a Business case) COSA NON VA? DMAIC: Formulating the Practical Problem ©GE Power Systems 2001-2002 (Send comments to Nilesh.Oak@ps.ge.com) What do I want to Improve? 8% Step 1: Select the CTQ Characteristic MISURIAMOLO Customer CTQ (Y) Measurable CTQ (y) Deliverables: Top CTQ(s) and Unit(s) DMAIC: Formulating the Practical Problem ©GE Power Systems 2001-2002 (Send comments to Nilesh.Oak@ps.ge.com) What’s the best way to measure? 8% Step 2: Define Performance Standards USL LSL Tell me what is good/what is bad! Set specification Limits Deliverables: USL, LSL, Target (Continuous), Defect Definition (Discrete) Come lo vorremmo? DMAIC: Formulating the Practical Problem ©GE Power Systems 2001-2002 (Send comments to Nilesh.Oak@ps.ge.com) Can I trust the output data? 8% Step 3: Validate the Measurement System Il metro funziona? Is the variation in measurement of y acceptable? Deliverables: Gage R&R% DMAIC: Formulating the Practical Problem ©GE Power Systems 2001-2002 (Send comments to Nilesh.Oak@ps.ge.com) How good am I today? 8% Step 4: Establish Process Capability Baseline Deliverables: Mean, Median, Standard Deviation, Z, DPMO, Normality test Quanti sono ok ? DMAIC: Changing to a Statistical Problem ©GE Power Systems 2001-2002 (Send comments to Nilesh.Oak@ps.ge.com) How good do I need to be...
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...Six Sigma Six Sigma has been developed to improve processes and eliminate defects and had been inspired by quality improvement methods like TQM and quality management. The two key methods for six sigma are DMAIC and DMADV, also referred to as DSFF (Design For Six Sigma). Both of these approaches are implemented by either Green, Black or Master Black Belts since they are data intensive solutions and there are little room for error. DMAIC DMAIC is used on existing business processes to make any necessary improvement and eliminate any defect or inefficiency with the process. By using the DMAIC tools, methods and practices, companies can receive strong benefit from this approach. This approach is successful because small groups are trained to adhere to the approach and not go back and forth in completing specific task. The success of this approach depends on team discipline, structure metrics, toolsets and executing a project plan with clear and precise goals and objectives (Creveling, 2007). It is important for companies to utilize this approach across the board to keep everyone on the same page. As Creveling puts it, “We use DMAIC Six Sigma when things blow up and a crisis ensues” (para. 7). According to Creveling (2007), the acronym DMAIC means: Defining the problem. Measuring the process and gathering the data associated with the problem. Analyzing the data to identify cause-and-effect relationship between key variables. Improving the process to eliminate...
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...Six Sigma and Lean System quality improvement methodology is suggested. Six Sigma’s focus on customers (in this case, patients) and quality improvement will be beneficial in identifying areas of concern and will provide a structure for the identification of and changes to poor patient flow in a cardiac catheterization lab. The call center on the other hand is an important operational center for management of an organization which calls for increased efficiency. The most important process in the call center, which needs most improvement, is an agent handling inbound or outbound call. Six-sigma methodologies can produce major breakthroughs in call handling providing improved results for employees, customers, and shareholders. The five step DMAIC project for both cases: Define. Defining the issues and their importance is not difficult. Since starting the first case of the day plays such an important role in the flow for the rest of the day, a quality and process improvement plan must address this issue. Cases need to begin on time to maximize unit staff, physician resources, and area hours of operation. Patients expect their procedures to begin at the scheduled time. Thus, first case start time is clearly a quality initiative. Hence, a charter was established by the senior leadership and a goal of 80 percent on-time...
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...greatly helped leaders as the outcomes have benefited from careful planning. As decision-makers have gained great amounts of knowledge and experience, I have experience that collaboration within a group can be best effective when these factors are used. This allows different perspectives to be realized and produce a more professional product. Continuous quality improvement does not just happen, it has to be planned and managed using tools such as PDCA and DMAIC. If you want to be better than your competitors and to flourish as a business then you must ensure that business processes are continually improved (Liesener). In order to do this action plans need to be developed. For many employees, experienced or less experienced, the variety of problem-solving approaches for action plans can get confusing. But there are not so many differences between these approaches, as you could expect. All differences are depending only on the type of problem, which has to be solved. Various problem-solving approaches like PDCA and DMAIC can be sorted in the following categories (Liesener): 1. Is it a small, medium or large sized problem you want to solve and is the solution of the problem unknown? 2. Does your problem solving strategy follow a continuous improvement process or do you want solve a single problem (e.g. a customer complaint)? What do these approaches have in common? They follow a scientific and methodic way to solve the problem. In addition to that, the different phases...
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...INTRODUCTION: Lean principles applied to manufacturing, distribution and operations can take the most unsuccessful companies to the most profitable and sought after businesses in the world. There are many methods and procedures that companies can implement to allow them to squeeze even further profit out of their current systems. * APPLE | IPHONE 5 – SIPOC : Companies introducing Lean Six Sigma for process improvement in its organization, demand a clear understanding of its current processes. SIPOC is an effective tool used in the initial Define stage of the DMAIC life cycle for high-level process mapping of key processes. SIPOC is an acronym for Supplier, Inputs, Process, Outputs and Customers. Each of these terms are explained in detail as follows: * Suppliers are the significant internal/external providers of material/input data to the process. * Inputs are significant physical/data inputs provided by the suppliers to undergo a process. * Process is the current method used in sequence of four to seven steps that add value to the Inputs. * Outputs are significant process results delivered to customers. * Customers are the internal/external recipients of the Outputs. A team of 3-9 stakeholders or team members, who have knowledge of the process, typically develops SIPOC. A facilitated brain storming session is conducted by a certified facilitator to identity the five key components (SIPOC). A consensus is reached so that all the members view a particular...
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...The Impact of ‘Lean’ The purpose of this module: This module will look at how to manage within a lean environment and what considerations need to be taken account of when making management decisions. We will then look at the impact of lean across several industry sectors and conclude my looking at the way Lean and Six Sigma have become closely integrated. Timing: 60 – 90 minutes Lean Process Management When you start to undertake Lean reviews within an organization you have the opportunity to integrate it into the corporate strategy and long term vision for the business. Agreeing to review all production areas within a business to ensure they are efficient using lean methodology can make a big difference to the way you perform and deliver. Lean Process Management Many organizations use the balanced scorecard to report on their performance. The balanced scorecard reports on performance by four quadrants or areas to demonstrate how the business is moving towards its vision or corporate strategy. These areas are Financial, Customer, internal business processes and learning and growth. Lean has significant overlap with these areas to help develop and achieve the corporate goals. Lean Process Management It focuses on the customer and their values, it measures structured improvements, often with financial values, it puts quality and internal process improvement as a continual cycle and it engages with all employees offering ...
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...Six Sigma is a revolutionary business process geared toward dramatically reducing organizational inefficiencies that trans- lates into bottom-line profitability. It started in the 1980s at Motorola; then, organizations such as GE, Allied Signal, and Seagate worked with the initiative during the 1990s and made it the most successful business initiative of the era. Key to the Six Sigma methodology of the 1990s is a five- step process—Define, Measure, Analyze, Improve, and Control (DMAIC). By systematically applying these steps (with the appropriate tools), practitioners of this approach have been able to save substantial dollars. The basis of Six Sigma is measuring a process in terms of defects. The statistical concept of six sigma means our processes are working nearly perfectly, delivering only 3.4 defects per million opportunities (DPMO). Sigma (the Greek letter σ) is a statistical term that measures standard deviation. In the context of management, it’s used to measure defects in the outputs of a process and show how far the process deviates from perfection. A one-sigma process produces 691462.5 defects per million opportunities, which translates to a percentage of satisfactory outputs of only 30.854%. That’s obviously really poor perform- ance. If we have processes functioning at a three sigma level, this means we’re producing 66807.2 errors per million. Figure 1-1. DPMO at sigma levels nities, delivering 93.319% satisfactory outputs...
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...INTRODUCTION Globalization and instant access to information, products and services have changed. Today’s competitive environment leaves no room for error. Companies must delight the customers and relentlessly look for new ways to exceed their expectations. This is why Six Sigma Quality has become a part of our culture. WHAT IS SIX SIGMA? Sigma at many organizations simply means a measure of quality that strives for near perfection. 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. A method that provides organizations tools to improve the capability of their business processes. This increase in performance and decrease in process variation lead to defect reduction and improvement in profits, employee morale, and quality of products or services. Six Sigma quality is a term generally used to indicate a process is well controlled (within process limits ±3s from the center line in a control chart, and requirements/tolerance limits ±6s from the center line). WHY SIX SIGMA? The statistical representation of Six Sigma describes quantitatively how a process is performing. To achieve Six Sigma, a process must not produce more than 3.4 defects per million opportunities. A Six Sigma defect is defined as anything outside of customer specifications. A Six Sigma opportunity...
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...The DMAIC Improvement Process DMAIC refers to a data-driven improvement cycle used for improving, optimising and stabilising business processes and designs. The DMAIC improvement cycle is the core process used to drive Six Sigma projects. DMAIC is not exclusive to Six Sigma and can be used as the framework for other improvement applications. DMAIC is an abbreviation of the five improvement steps: Define, Measure, Analyze, Improve and Control. All of the DMAIC process steps are required and always proceed in this order: Define : Project charter Write down what you currently know. Seek to clarify facts, set objectives and form the project team. Define the following: * A problem statement * The customer(s) * Critical to Quality (CTQs) — what are the critical process outputs? * The target process and other related business processes * Project targets * Project boundaries * A project charter is often created and agreed during the Define step. Measure This is the data collection step. The team decides on what should be measured and how to measure it. This forms a data collection plan. It is usual for teams to invest a lot of effort into assessing the suitability of the proposed measurement systems. Good data is at the heart of the DMAIC process: * Define the process critical Xs (inputs) and Ys (outputs). * Define the measurement plan. * Test the measurement system. * Collect the data. * A Measurement System Analysis (gauge study) is performed at this...
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...2011 In recent years, an increasing number of companies have used different types of quality programs in order to increase internal and external customer satisfaction as well as to reduce quality cost. Among all of these programs, Six Sigma is perhaps the most widely-accepted initiative by all a broad range of organizations. The DMAIC (define-measure-analyze-improve-control) approach has been followed here to solve an underlying problem of reducing process variation and the associated high defect rate. This paper explores how a food company in Taiwan can use a systematic and disciplined approach to move towards the goal of Six Sigma quality level. The DMAIC phases are utilized to decrease the defect rate of small custard buns by 70% from the baseline to its entitlement. At the beginning of this project, the defect rate was 0.45% (Baseline), and after the improvement actions were implemented during a six-month period this fell to below 0.141% (goal). The critical successful factors for Six Sigma projects, especially those in the food industry, are discussed at the conclusion of this paper. Key words: Six sigma, food industry, process improvement, DMAIC. INTRODUCTION Since the early 1980s, manufacturing industries worldwide have seen a revolution in the way they operate. Consumers have become more and more demanding, and the key to firm survival is the recognition of the importance of customer satisfaction. Consequently, companies have been...
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...training followed by project team deployment to improve profitability, to reduce non-value-added activities, and achieve cycle time reduction. 6. Create highly qualified process improvement experts who can apply improvement tools and lead teams. 7. Set stretch objectives for improvement. Some contrasting features between TQM and Six Sigma | TQM | Six Sigma | * Based largely on worker empowerment and teams | * Owned by business leader champions | * Activities generally occur w/in a function, process or individual workplace | * Projects are truly cross-functional | * Training is generally limited to simple improvement tools and concepts | * Focuses on a more rigorous and advanced set of statistical methods and DMAIC methodology | * Focused on improvement w/ little financial accountability | * Requires a verifiable return on investment and focus on the bottomline | IMPLEMENTING SIX SIGMA Problem – deviation between what should be happening and what actually is happening that is important enough to make someone to think the deviation ought to be corrected. Quality problem-solving falls into one of 5 categories: 1. Conformance problems – characterized by unsatisfactory...
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...Quality Improvement: Six Sigma Individual Paper, Unit 6 Revised Research Paper Shelli Cornwell scornwell@capellauniversity.edu BUS3004 Developing a Business Perspective 12/18/2011 Introduction The primary focus of this paper is to introduce ways to incorporate quality improvement within an organization. Quality matters when servicing members, providers, employees, groups, brokers, etc. Ultimately, customers do not care about great productivity rates when on the receiving end of quality errors. Measuring quality throughout an organization should be the number one focus. There are many quality management tools available to an organization; however; Six Sigma is a strategy that many world class organizations have implemented to improve quality, service and customer satisfaction. The word Sigma is a statistical term that measures how far a given process deviates from perfection. An organization as a hole needs to embrace feedback on errors and determine solutions to these areas for improvement. And above all, there must be a better balance between productivity and quality. “Six Sigma improves production quality by removing variables that can cause defects” (Brinlee, n.d.). When a customer has to continuously spend time on the phone or in writing to have an issue resolved, this becomes frustrating to customers. When an organization has displeased customers due to defects in the quality of service, this can ultimately have an enormous impact on the reputation of an organization...
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...WHAT IS SIX SIGMA? PETE PANDE LARRY HOLPP McGraw-Hill New York Chicago San Francisco Lisbon London Madrid Mexico City Milan New Delhi San Juan Seoul Singapore Sydney Toronto McGraw-Hill abc Copyright © 2002 by The McGraw-Hill Companies,Inc. All rights reserved. Manufactured in the United States of America. Except as permitted under the United States Copyright Act of 1976, no part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written permission of the publisher. X-XX-XXXXX-X The material in this eBook also appears in the print version of this title: 0-07-138185-6. All trademarks are trademarks of their respective owners. Rather than put a trademark symbol after every occurrence of a trademarked name, we use names in an editorial fashion only, and to the benefit of the trademark owner, with no intention of infringement of the trademark. Where such designations appear in this book, they have been printed with initial caps. McGraw-Hill eBooks are available at special quantity discounts to use as premiums and sales promotions, or for use in corporate training programs. For more information, please contact George Hoare, Special Sales, at george_hoare@mcgraw-hill.com or (212) 904-4069. TERMS OF USE This is a copyrighted work and The McGraw-Hill Companies, Inc. (“McGraw-Hill”) and its licensors reserve all rights in and to the work. Use of this work is subject to these...
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