SIX SIGMA PROJECTS AND PERSONAL EXPERIENCES Edited by Abdurrahman Coskun, Tamer C. İnal and Mustafa Serteser Six Sigma Projects and Personal Experiences Edited by Abdurrahman Coskun, Tamer C. İnal and Mustafa Serteser Published by InTech Janeza Trdine 9, 51000 Rijeka, Croatia Copyright © 2011 InTech All chapters are Open Access articles distributed under the Creative Commons Non Commercial Share Alike Attribution 3.0 license, which permits to copy, distribute, transmit, and adapt the work in any medium, so long as the original work is properly cited. After this work has been published by InTech, authors have the right to republish it, in whole or part, in any publication of which they are the author, and to make other personal use of the work. Any republication, referencing or personal use of the work must explicitly identify the original source. 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ISBN 978-953-307-370-5 free online editions of InTech Books and Journals can be found at www.intechopen.com Contents Preface VII Chapter 1 Lean Six Sigma 1 Vivekananthamoorthy N and Sankar S Chapter 2 Definition of the Guide for Implementation Lean 23 Adan Valles-Chavez and Jaime Sanchez Chapter 3 Quality Function Deployment in Continuous Improvement 45 Elizabeth A. Cudney and Cassandra C. Elrod Chapter 4 Analysing Portfolios of LeanSix Sigma Projects 79 Theodore T. Allen, James E. Brady and Jason Schenk Chapter 5 Successful Projects from the Application of Six Sigma Methodology 91 Jaime Sanchez and Adan Valles-Chavez Chapter 6 Applying Six Sigma Concepts, Techniquesand Method for Service Management: Business and IT Service Management (BSM & ITSM) 117 Rajesh Radhakrishnan Chapter 7 Demystifying Six Sigma Metrics in Software 127 Ajit Ashok Shenvi Chapter 8 Gage Repeatability and Reproducibility Methodologies Suitable for Complex Test Systems in Semi-Conductor Manufacturing 153 Sandra Healy and Michael Wallace Chapter 9 Adapting Lean Processes for the Hospital/Surgical Environment 171 Jaideep J Pandit and Meghana Pandit Preface After the World War II, in response to “customer satisfaction”, many of the quality improvement tools that we still use extensively today such as control charts, process capability, and value analysis were developed and widely used in a wide range of organizations from industry to health sector. Then, more recently, quality circles and total quality management have shown the power of team-based process improvement. ISO 9000 was developed as a standard for organization’s quality systems. To be certified, organizations needed to document their quality system; they improved it with reviews and audits. The identification of non-conformances and “corrective action system” to prevent reoccurrences have taken their place in an organization’s daily life. Finally today, we are talking about error-free processes, eliminating the waste, and “do it right the first time”. Strategic approaches to achieve excellence now is the main focus of Six Sigma and lean concept. In fact, Lean and Six Sigma are two distinct management strategies; while Lean methodology focuses on creating more value with less work, Six Sigma make ef- forts to identify and eliminate defects in product development. Thus, Lean-Six Sigma is a marriage of these two different strategies. They both contribute to an or- ganization’s decision-making process by reducing inefficiencies as well as increas- ing quality. They do not only cover defective products, but all types of defective work, unnecessary processes, and services that don’t meet customer’s needs. There is also a relationship of ISO to Six Sigma. While ISO is providing a standardization among the quality improvement tools, Six Sigma presents a way to achieve error- free processes. Lean-Six Sigma provides principles and tools that can be applied to any kind of organ- izations that is aiming to measure defects and/or error rates in order to reduce the cost of products by eliminating the defects and waste. In this book scientists from various regions of the world share their experiences and knowledge about Lean and Six Sigma methodology. The chapters in the book cover the basic principles of managing Lean and Six Sigma methodology in various disci- plines of industry, business and even health sectors. We hope that this book will help VIII Preface employees worldwide at all levels in different organizations, who need to improve their knowledge and experience in the field of Six Sigma and Lean concept. Abdurrahman Coskun, Tamer C. İnal and Mustafa Serteser Acibadem University, School of Medicine, Department of Biochemistry Istanbul Turkey [...]... history of Six Sigma, the need for Six Sigma, Sigma Levels and motivation for Six Sigma, Lean thinking, Lean Six Sigma, DMAIC methodology, Six Sigma and Lean tools, and case studies on Lean Six Sigma implementations Six Sigma Tools are available as free open source templates which can be downloaded from the URLs which are given in the references at end of the chapter 2 What is six sigma ? Six Sigma is... In the mid 19 90s, Larry Bossidy of Allied Signal and Jack Welch of GE Saw the potential in Six Sigma and applied it in their organizations which resulted in significant cost savings in progressive years GE reports stated that Six Sigma had delivered $300 million to its bottom line in 19 97, $750 million in 19 98, and $2 billion in 19 99 2 .1 History of six sigma The immediate origin of Six Sigma can be... between the mean and the specification limits 6 Sigma equates in percentage terms to 99.9997% accuracy or to 3.4 defects per million opportunities to make a defect Fig 2 illustrates how Six Sigma quality is achieved by reducing variations in a process 4 Six Sigma Projects and Personal Experiences Fig 2 Reducing variation in a process using Six Sigma 3.3 Normal curve and sigma Six Sigma concepts can... summarize, the Sigma performance levels – 0ne to Six Sigma are arrived at in the following way Fig 3 Normal Distribution If target is reached: 68% of the time, they are operating at +/- 1 Sigma 95.5% of the time, they are operating at +/-2 Sigma 99.73 % of the time are operating at +/-3 Sigma Lean Six Sigma 5 Six Sigma: 3.4 ppm = 10 0-99.99966% 3.4 Six sigma and TQM Six Sigma is not just a statistical approach... phenomenal success by implementing Lean Six Sigma Lean and Six Sigma are conceptually sound technically fool proof methodologies and is here to stay and deliver break through results for a long time to come Motorola had celebrated 20 years of Six Sigma in the year 2007 and as per Sue Reynard in an article in ISixSigmaMagazine,” Motorola is a company of inventions and Six Sigma which was invented at Motorola... yield Sigma Performance Levels - One to Six Sigma Sigma Level Defects Per Million Opportunities Percentage Yield 1 690,000 31 2 308,537 69 3 66,807 93.3 4 6, 210 99.38 5 233 99.977 6 3.4 99.99966 Table 1 Sigma performance Levels Before starting a Six Sigma Project,the important thing to be done first is to find the need for Six Sigma It is natural for Organizational processes to operate around 3 to 4 sigma. .. which enhances value in Six Sigma implementation one step further by increasing speed by identifying and removing non-value adding steps in a process Execution of Lean Six Sigma project uses a structured method of approaching problem solving normally described by acronym ‘DMAIC’ which stands for Define, Measure, Analyze, Improve and Control 2 Six Sigma Projects and Personal Experiences Many organizations... to deliver Research by Turner (19 93) has shown that any quality initiative needs to be reinvented at regular intervals to keep the enthusiasm level high Against this background, Six Sigma emerged to replace the ‘overworked’ TQM philosophy The key success factors differentiating Six Sigma from TQM are: 1 Six Sigma emphasizes on Statistical Science and measurement 2 Six Sigma was implemented with structured.. .1 Lean Six Sigma Vivekananthamoorthy N and Sankar S KCG College of Technology,Chennai India 1 Introduction Due to increased globalization and constant technological advances and other competitive pressures, the organizations have to accelerate the pace of change to adapt to new situations This climate introduces opportunities and threats and Organizations have to innovate and strive for... methodology, 14 point rules and elimination of 7 deadly sins and he helped organizations to achieve operational excellence with much customer focus Later many US companies have gained much from Japanese experiences and ideas on quality improvement concepts The Six Sigma concepts and tools used can be traced back to sound mathematical and management principles of Gauss, Taylor, Gilberth and Ford for . of Six Sigma, the need for Six Sigma, Sigma Levels and motivation for Six Sigma, Lean thinking, Lean Six Sigma, DMAIC methodology, Six Sigma and Lean tools, and case studies on Lean Six Sigma. SIX SIGMA PROJECTS AND PERSONAL EXPERIENCES Edited by Abdurrahman Coskun, Tamer C. İnal and Mustafa Serteser Six Sigma Projects and Personal Experiences. process. Six Sigma Projects and Personal Experiences 4 Fig. 2. Reducing variation in a process using Six Sigma 3.3 Normal curve and sigma Six Sigma concepts can be better understood and explained