Six_Sigma[1].ppt

SixSigmaWhatItisHowItAffectsHumanResources,RonaldD.SneeK.W.TunnellConsultingNovember13,2001,WhatisSixSigma?,Measureofhowwellaprocessisperforming-SixSigmaprocessproduces3.4defectspermillionopportunities-Mostcompaniesareat3-4sigmalevelPhilosophyofreducingdefectssowecanimprovecustomersatisfactionandreducecostsBusinessStrategythatincreasesprocessperformanceresultinginenhancedcustomersatisfactionandimprovedbottomline($).,WhatisSixSigma?,ImprovementBreakthroughSystematic,FocusedApproachRightProjects-LinkedtoBusinessGoalsRightPeople-Selected&TrainedProjectManagement-ManagementReviewsSustainingGains-IdentifyNewProjectsRightResults-Process&Financial($),ProcessThinkingProcessVariationFacts,Figures,DataDefine,Measure,Analyze,Improve,Control8KeyTools-LinkedandSequencedStatisticalToolsMinitabCriticalFewVariables,INITIATIVEMETHODS&TOOLS,ROLESOFLEADERS,ManagementTeam,ProjectChampion,MasterBlackBelt,GreenBelt,BlackBeltandTeam,FunctionalGroupsHR,Finance,ITEngg,QA,etc.,SixSigmaImprovementStrategy,Phase0:ProcessDefinitionPhaseI:ProcessMeasurementPhaseII:ProcessAnalysisPhaseIII:ProcessImprovementPhaseIV:ProcessControl,8KeySixSigmaTools,MapsandMetricsCauseandEffectMatrixGageR&RStudyCapabilityAnalysisFailureModeandEffectsAnalysisMulti-VariAnalysisDesignofExperimentsControlPlansincludingStatisticalProcessControlAdvancedtoolsareusedasneededtospeedupimprovement,SomeManufacturingBlackBeltProjects,Increaseprocessyield$300kIncreaseprocesscapacity$400kIncreasedryerthroughput$130kReduceprocessdowntimeandscrap$320kReducecausticuseofProcessZ$2000kMaterialloss:Reducescrap&increaseyield$150kReducewetmillingoperationscosts$300k,TopicsofNon-ManufacturingProjects,BillingEnergyReductionEngineeringEnvironmentalFinance&AccountingHumanResourcesInformationTechnologyInternalAuditsInventoryReductionLegal,Logistics-TransportationCustomerServiceMaintenancePlanningandSchedulingProductDesignPurchasingQCLabSafetySalesShipping,ProjectsinHumanResources,ReducecycletimeonhiringprocessIncrease“hitrate”onjobapplicantsEmployeeturnoverreductionOvertimereductionReducingstaffingshortagesCycleTimeReductionforLong-TermDisabilityApplicationProcess,LongTermDisabilityApplicationProcess,Improvements,SupplierProcesses-Renegotiatesub-contractorsterms-Newcasemanagementreporting-Reviewofcaseturn-aroundtimeperformanceDupontProcesses-Greateruseofemailandintranet-Casetrackingandreportingdatabaseadded-UseofperformancemetricsatSBUandsites-Ongoingcommunication,trainingandeducation,Benefits,AverageCycleTimereduced50-70%ProcessperformancenowmeetingcustomerrequirementsofdecisionsinGrantedbyProjectChampionApprovedbySixSigmaRecognitionCommittee,BlackBeltRecognition(cont.),SixSigmaSpiritAwards-MadebyProjectChampion-Recognizesandrewardseffortsandachievementsduringprojectswithindividualandteamawardstheater/movietickets,dinners,t-shirts,spotcashbonuses,etc.SixSigmaSuccessPlaque-AwardedatcompletionoffirstprojectEngravedplacardforprojectPlaquedesignedtoaddmultipleprojectsascompleted,CompanyK-RecognitionProgram(Contd),GreenBeltRecognition-SimilartoBlackBeltrecognition-NocertificationbonusProjectTeamMemberRecognition-SimilartoBBandGBRecognition-NocertificationawardsAnnualSixSigmaRecognitionevent-Presentationofkeyprojects-Dinnerreceptionwithseniorleadership,Summary,SixSigma-Itisdifferent-Itworksifyoufollowtheprocess-ProducessignificantbottomlineresultsChangeisrequiredbyallpersonswhogetinvolvedwiththeinitiativeSixSigmawilllastaslongasitproducesbottomlineresults($)SHOWMETHEMONEY($),ShowMeTheMoney($),References,Blakleslee,J.A.,Jr.(1999)“ImplementingtheSixSigmaSolution”,QualityProgress,July1999,77-85.Breyfogle,ForestW.III(1999)ImplementingSixSigmaSmarterSolutionsUsingStatisticalMethods,Wiley-Interscience,JohnWileyandSons,NewYork,NY.Breyfogle,ForrestW.,Cupello,J.M.,andMeadows,B.(2001)ManagingSixSigma,JohnWileyandSons,NewYork,NY.Eckes,G.(2001)SixSigmaRevolution,JohnWileyandSons,NewYork,NYHahn,Gerald,J.,Hill,WilliamJ.,Hoerl,RogerW.,andZinkgraf,StephenA.(1999)TheImpactofSixSigmaImprovement-AGlimpseintoTheFutureofStatisticsTheAmericanStatistician,August1999.,References,Harry,MikelJ.(1998)“SixSigma:ABreakthroughStrategyforProfitability”,QualityProgress,May1998,60-64.Harry,MikelandSchreoder,Richard(2000)SixSigmaTheBreakthroyghManagementStrategyRevolutionizingtheWorldsTopCorporations,CurrencyDoubleday,NY,NYHoerl,R.W.(1998)“SixSigmaandtheFutureoftheQualityProfession”,QualityProgress,June1998,35-42.Hoerl,R.W.andSnee,R.D.(2002)StatisticalThinking-ImprovingBusinessPerformance,DuxburyPress,PacificGrove,CAMaguire,Miles(1999)“CowboyQualityMikelHarrysRidingTallintheSaddleasSixSigmaMakesitsMark.”QualityProgress,October1999,27-34.Pande,P.,Neuman,R.,andCavanuagh(2000)TheSixSigmaWay,McGraw-Hill,NewYork,NY.,References,Pyzdek,T.(1999)TheCompleteGuidetoSixSigma,QualityPublishing,Tucson,AZPyzdek,T.(2000)TheSixSigmaHandbook,McGraw-Hill,NewYork,NYQualityEngineering(2000)Volume12,No.3.FivearticlesonSixSigma.Snee,R.D.(1999)“StatisticiansMustDevelopData-BasedManagementSystemsasWellasCreateMeasurementSystems.”InternationalStatisticalReview,67,No.2,August1999,139-144.Snee,R.D.(1999)“WhyShouldStatisticiansPayAttentiontoSixSigma?”QualityProgress,Sept.1999,100-103.Snee,R.D.(1999)“DevelopmentandUseofStatisticalThinking:ANewEra”,InternationalStatisticalReview,67.,References,Snee,R.D.(2000)“ImpactofSixSigmaonQualityEngineering”,QualityEngineering,12,No.3,ix-xiv.Snee,R.D.(2000)“SixSigmahasImprovedBothStatisticalTrainingandProcesses”,QualityProgress,Oct.2000,68-72.SneeR.D.(2001)“DealingwiththeAchillesHeelofSixSigma-ProjectSelection”,QualityProgress,March2001,66-72.Snee,R.D.(2001)“FocusonImprovement,NotTraining”,