Six-Sigma: A Data-Driven Approach and Methodology for Eliminating Defects in Any Process

1651 Words4 Pages
bulb-icon

Recommended: Six sigma what & how

Six Sigma Methodologies:
MAIC was developed, and this evolved into DMAIC, where D stands for define, M stands for measure, A stands for analyze, I stands for improve and C stands for control. Experience shows that D is the essential phase for achieving dramatic improvement quickly, and C is the most critical phase for realizing return on investment in six sigma projects. The define phase requires the implementation of many tools, and the control phase can aid in sustaining improved result, which requires the use of internal controls as well as management involvement. The success of DMAIC methodology depends on working well on the right projects. The right project is the one that has a significant return on investment. Sometimes people get training in six- sigma but cannot find projects or sometimes a company commits to six- sigma but does not allow time to work on projects. Getting projects started is easy; the difficult part is completing and closing those projects. Thus the right first priority is to identify the right projects to work on which will have an impact on the bottom line and generate savings for the business. Several potential projects must be identified and evaluated based on a cost and benefit analysis. A simple measure, like the project prioritization index (PPI), can be used to prioritize projects according to the following equation.
PPI= (benefits/cost)x(probability of success / time to complete the project in years )
At minimum, the PPI should exceed 2 to ensure a return on investment. Initially one can find many projects with PPI greater than 4 thus making it somewhat easier to realize savings.
Six Sigma Tools:
The six sigma methodology incorporates numerous tools. The unique and useful six sigma tools include...

... middle of paper ...

...ing and implementing the six-sigma initiative well in the organization.

Works Cited

Dr.T.Sree Krishna MBA.,M.Phil.,Ph.D., Associate.Professor, Department of Management Sciences, RVR&JC College of Engineering, Chowdavaram, Guntur-522019. Email:tsreekrishna@gmail.com, Ph no 09490187889.
Smt.M.Manjusha MBA, Assistant.Professor, Department of Management Sciences, RVR&JC College of Engineering, Chowdavaram, Guntur-522019.Email:manjushamartha@gmail.com, Ph no: 09505858518.
1. www.google.com
2. AR. Aryasri- management science.
3. Dr.Mrs.M.M. Kumthekar, Nandkumar Hukeri- Mnagement science-elcrotech publication
4. Praveen, Gupta, Arvin Sri – Stat Free Six Sigma – Sulthan Chand Publications.
5. EPIC Workshop, message of Brussels, June 2011
6. Fourth International Conference message on Lean Six Sigma Glasgow, March 2012
7. GI Fachtagung SW Management, 2010, Aachen

Show More
Related

  • Lean Six Sigma Analysis

    1265 Words  | 3 Pages

    There are many people that benefit from Lean Six Sigma which include mainly customers, suppliers, employees, and also stockholders. Lean Six Sigma is a way for businesses to improve, to reduce waste and to become more successful. In the future, more and more organizations will adopt or practice some of the Lean, Six Sigma, or both in order to stay competitive in today’s market. In some cases, blending both Lean and Six Sigma can be costly and difficult; however the end result can create an organization that focuses on quality, accuracy, and speed to meet the goal which is profitability.

    Read More

  • Six Sigma Case Study

    784 Words  | 2 Pages

    1) Six Sigma should not be viewed as a quality program that is commissioned to reduce defects but as a methodology that helps companies better meet the needs of their business. KM shares this goal.

    Read More

  • How Does Six Sigma Influence The Centralization Of An Organization?

    817 Words  | 2 Pages

    A fundamental aspect of the implementation of the Six Sigma theory is the project manager. The existence of a project manager significantly increases the financial returns and project success of Six Sigma projects (Marzagão & Carvalho, 2016, p.1516). Thus, the project manager helps implement and enforce cost cutting measures, in addition ensuring the projects meet the organization’s goals. Marzagão and Carvalho also note that in addition to a strong understanding of Six Sigma, a project manager also needs important leadership qualities, specifically teambuilding and interpersonal skills (2016, p, 1516). Consequentially, Six Sigma influences the hiring process of an organization since the human resource department should seek out employees that possess these

    Read More

  • Lean Six Sigma Model In Nursing

    1013 Words  | 3 Pages

    uses some of these. The six sigma relies on data, process, and outcomes. Per HealthIT.gov there

    Read More

  • Business Case Analysis

    2011 Words  | 5 Pages

    Sitnikov, C. (2012). Six sigma as a strategic tool for companies. Young Economists Journal / Revista Tinerilor Economisti, 94-102.

    Read More

  • The Effect Of Lean Six Sigma On The Employee And The Organization

    1957 Words  | 4 Pages

    The methodology of Lean Six Sigma is the merger of two business tools that includes Lean Manufacturing and Six Sigma. Six Sigma focuses on improving current business processes and performance while Lean Manufacturing focuses on the improvement of the processes of an organization by using highly skilled employees to increase speed and quality. Combining the two methodologies creates an organization that focuses on quality, efficiency and speed to lower operational costs and increase profits. By following the Lean Six Sigma methodology, many companies have attempted to create a lean, waste-free environment ultimately at the expense of the employee and occasionally at the expense of the organization.

    Read More

  • Pizza My Heart in Northern California

    1160 Words  | 3 Pages

    According to what we have learned in class, six sigma, statistically, is interpreted as having no more than 3.4 defects per million. However, they dump 10-12 dough balls per week, while 5-6 is more reasonable, which illustrates the quality mismanagement. So, the food cost there is way higher when it accounts for 38%, while industry ideal is 30%. In order to streamline the entire process of making pizza, it is an imperative for Pizza My Heart to exhaustively put six sigma in action.

    Read More

  • Six Sigma Case Study

    1171 Words  | 3 Pages

    The Six Sigma approach was designed by Motorola in 1986. The primary objective of the concept was to develop a tool for tallying the process defects and, as the result, improving business operations. The foundations of the approach are the customer needs, statistical analysis of data and facts, and timely execution. The method promises numerous benefits such as increasing performance and profitability of an organization, improving product or service quality and employee morale, decreasing costs, the growth of market share, the higher level of satisfying customer needs, etc. (Meredith & Shafer, 2013). The primary advantage

    Read More

  • Outsourcing Development Work to India

    2311 Words  | 5 Pages

    [6] Kripalani, Majeet & Egnardio, Pete. The Rise Of India. Business Week Online. December 8, 2003. http://www.businessweek.com/magazine/content/03_49/b3861001_mz001.htm

    Read More

  • Value Chain Analysis

    1170 Words  | 3 Pages

    Stabell, C.B. and O.D. Fjeldstad. (1998). Strategic Management Journal. 19, 413-437. Retrieved November 11, 2006 from EBSCOhost database.

    Read More

  • Function And Analysis: Reflection And Analysis Of Organizational Behavior

    1094 Words  | 3 Pages

    In my opinion, there are some managerial roles that a manager needs to follow to become successful in the company. Depending on organizations these managerial roles changes and to be successful in business, every organization must assign right person for managerial roles. Finding a right person to a particular managerial role is really hard to do but there is another factor that we can consider here, which is the managerial skills. Managerial skills help a person to perform the managerial roles effectively. So by evaluating a person’s managerial skills we can identify whether he is suitable for particular managerial job or not. There is a company called Tata group, which is one of India’s biggest company, follows certain procedures which is called the Tata way, for dealing managers which includes hiring, training and assigning efficiently and effectively. This is reason why managerial job in the Tata group became my favorite job. This paper examines how this unique procedure for dealing managers make the Tata group successive and how can the study of organizational behavior help to replicate it and maybe even improve it.

    Read More

  • Essay On Internship Report

    1548 Words  | 4 Pages

    I am also very thankful and grateful towards my seniors, colleagues and authorities of School of Management for their support, encouragement, and valuable suggestions for the completion of this project as well as for their generosity and co-operation.

    Read More

  • Case Analysis: Moonka Auto

    1190 Words  | 3 Pages

    Right now, there is a low supply of workers leading to a shortage which means that instead of trying to hire full-time workers Ashok should try to look to different strategies in order to account for the shortage. He could do so by making opening positions for part-time workers, employ contract workers, outsource work and essentially try to reduce that gap. Ashok should have been prepared for this shortage by forecasting the firm’s demand for future employees. By looking at the market share growth of 8% in 2009 to 30% in 2015 Ashok should have predicted the need for more workers and arranged accordingly. This is a major problem because, with a high demand and low supply, it causes an influx of unqualified

    Read More

  • What Is The Importance Of Project Management

    781 Words  | 2 Pages

    When planning a new project, how the project will be managed is one of the most important factors. The importance of a managers will determine the success of the project. The success of the project will be determined by how well it is managed. Project management is referred to as the discipline that entails the processes of carefully planning, organizing, controlling, and motivating the organization resources so as to foster and facilitate the achievement of specific established and desired goals and meet the specific criteria of success required in the organization (Larson, 2014). Over the course of this paper I will be discussing and analyzing the importance of project management.

    Read More

  • Statement of Purpose for Supply Chain Management

    984 Words  | 2 Pages

    Fortunately, during under-graduation, I got an opportunity to detect the optimum path of a process through my project “Design and Development of PCB Dual Head Drilling Machine”. Additionally, I became aware of a new subject called Six Sigma which aided me in intertwining new optimization techniques into my project to make the process effective. I optimized the creation...

    Read More

More about Six-Sigma: A Data-Driven Approach and Methodology for Eliminating Defects in Any Process

Open Document