CONTENT FLOW…
Understanding
Six Sigma
Definition
World
at Six Sigma examples Six Sigma Scale Why Six Sigma
Six
Sigma Methodologies & Tools
Define
Measure
Analyze
Improve Control
WHAT’S IN A NAME?
Sigma is the Greek letter representing the standard deviation of a population of data. Sigma is a measure of standard deviation (the data spread)
σ
μ
SIX SIGMA IS …
A statistical concept that measures a process in terms of defects – at the six sigma level, there 3.4 defects per million opportunities
A defect is anything that results in customer dissatisfaction
Six Sigma is a methodology and a symbol of quality
HOW OFTEN ARE WE DELIVERING ON TIME?
If the target time is 30 Mins, the graphs below show two curves with average at 25 Mins
30 mins
30 mins
s
s
0
10
x 30 2 sigma
20
40
50
0
10
20
x 30 4 sigma
40
50
How many standard deviations can you “fit” within customer expectations? Managing by the average doesn’t tell the whole story. The average and the variation together show what’s happening.
MANAGING UP THE SIGMA SCALE
Sigma 1 2 3 4 5 6
% Good % Bad
30.9%
69.1% 93.3%
DPMO
691,462
308,538 66,807
69.1%
30.9% 6.7%
99.38% 99.977%
0.62% 0.023%
6,210 233
3.4
99.9997% 0.00034%
EXAMPLES OF THE SIGMA SCALE
In a world at 3 sigma. . .
In a world at 6 sigma. . .
There are 964 U.S. flight cancellations per day.
The police make 7 false arrests every 4 minutes.
1 U.S. flight is cancelled every 3 weeks.
There are fewer than 4 false arrests per month.
In one hour, 47,283 international long distance calls are accidentally disconnected.
It would take more than 2 years to see the same number of dropped international calls.
WHY SIX SIGMA?
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At GE, Six Sigma added more than $ 2 billion to the bottom line in 1999 alone
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