g GE Global Research

Green Belt DMAIC Workshop

INTRODUCTION

Define
Measure
Analyze
Improve
Control

i 1
GB DMAIC - Introduction Version 2.0 5/2002 7.1
 g GE Global Research

Learning Objectives - Introduction

 Understand key aspects of the Six
Sigma methodology

 Understand how Six Sigma benefits

GE’s business

 Be able to describe the 5 Phases of

DMAIC, their purpose, and the output
of each phase

 Be aware that DMAIC and DFSS are

two aspects of Six Sigma and that the
nature of the problem will determine
which approach should be
emphasized
i 2
GB DMAIC - Introduction Version 2.0 5/2002 7.2
 g GE Global Research

What is Six Sigma?

Methodology


Sigma is a letter
in the Greek Alphabet
Tool Kit

A level of performance that

reflects significantly reduced
defects in our products
 Metric
Metric
 Benchmark A statistical measurement of our
Benchmark process capability, as well as a
 Vision
Vision benchmark for comparison
 Philosophy
Philosophy
 A set of statistical “tools” to help
Method
Method us measure, analyze, improve,
 Tool and control our processes
Tool
 Symbol
Symbol A commitment to
 Goal “delight our customers”
Goal
 Value
Value The Way We Work

Customer Centric
Way of Life
i 3
GB DMAIC - Introduction Version 2.0 5/2002 7.3
 g GE Global Research

Key Terms in Six Sigma

 CTQ Critical-to-Quality attribute, An

attribute important to the customer
- A “Y” Response
 Opportunity Any measurable event that
provides a chance of not meeting
specification limits of a CTQ
 Defect Anything that results in customer
dissatisfaction or non-conformance.
 DPMO Defects Per Million Opportunities
 Sigma The probability of defect, a measure
Capability of process capability, measured in
(z-value) units of standard deviations
 MBB Master Black Belts - Full-Time
Teachers/Mentors..
 BB Black Belts - Full-Time, Trained
leaders/mentors of Six Sigma
Projects
 GB Green Belts – Trained in Six
Sigma – make it part of the way
they work i
GB DMAIC - Introduction Version 2.0 5/2002 7.4
 g GE Global Research

Customer-Centric Metrics
The Voice of the Customer - VOC

What We Measure:
Our Processes, Our Success

Door-to-Door

How Customers Measure Us:

Their Processes, Their Success

Wing-to-Wing

Make
Make Our
Our Customers
Customers Successful
Successful
••Imprints
Imprintscustomer
customerthinking
thinking
••Drives
Drivesdifferent
differentactions
actions
••Provides
Providesnew
newbusiness
businessopportunities
opportunities
i 5
GB DMAIC - Introduction Version 2.0 5/2002 7.5
 g GE Global Research

Six Sigma Quality Methodology

Practical
Practical
Problem
Problem

Traditional
Statistical Approach
Statistical
Problem
Problem

Statistical
Statistical
Solution
Solution
6Approach
Systematic
Focused on Statistically Practical
Significant Root Causes & Practical
Solution
Solution
Solutions

Driving
DrivingCustomer
Customer&&Shareholder
ShareholderBenefits
Benefits

i 6
GB DMAIC - Introduction Version 2.0 5/2002 7.6
 g GE Global Research

The Focus of Six Sigma

Y= f (X)

To get results, should we focus our behavior on the Y or X?

 Y  X1 . . . Xn
 Dependent  Independent
 Output  Input-Process
 Effect  Cause
 Symptom  Problem
 Monitor  Control

Historically the Y, … with Six Sigma the Xs

© 1994 Dr. Mikel J. Harry V3.0

i
GB DMAIC - Introduction Version 2.0 5/2002 7.7
 g GE Global Research

The D-M-A-I-C Process

For Each Product or Process CTQ –
Define, Measure, Analyze, Improve, & Control
Y = f (X)

Define Identify Customer Expectations

Capture VOC

Measure Translate VOC to CTQ’s

Determine the defect level

Analyze Identify Root Causes of Defects

Quantify gap between actual
and target

Improve Identify/Implement solutions

Control Ensure process remains in control

Develop/implement control plan

i 8
GB DMAIC - Introduction Version 2.0 5/2002 7.8
 g GE Global Research

Some Six Sigma Tools

1. Quality Function Deployment

2. Process Mapping
3. Fish Bone Diagram
4. Pareto Analysis
5. Gage R & R
6. Rational Subgrouping
7. Baselining
8. Hypothesis Testing
10. Regression
11. DOE (Design of Experiments)
12. SPC (Statistical Process Control)

Quality tools applied in a

structured methodology
i 9
GB DMAIC - Introduction Version 2.0 5/2002 7.9
 g GE Global Research

The Six Sigma Mindset

Traditional Quality Six Sigma

• No formal structure for • Structured use of statistical

tool application tools to aid problem solving

• Lack of support in • Support structure for people

using tools using the tools

• Data mixed with ‘gut • Data-based decisions

feel’ to make decisions

• “Band-aid” approach • Root Cause - Solid Fix

• Lack of structured • Structured training in

training applied statistics

• Inspect quality in • Control the process inputs

(Focus on Y) (the X’s)

i 10
GB DMAIC - Introduction Version 2.0 5/2002 7.10
 g GE Global Research

Six Sigma Benefits

• Meet customer expectations for

higher quality
• Provide a competitive differentiator
in the market
• Build greater pride and satisfaction
in the GE team
• Drive other key goals: productivity
and growth
Cost of Poor Quality 30%
(% of Sales)
25%
Tangible Costs
• Inspection
• Scrap 20%
• Rework
• Warranty 15%

Intangible Costs 10%

• Expediting Ave US Co,
• Lost Customers GE ‘96
• Longer Cycles 5%
World-Class Co
0%

Defects per Million 3.4 233 6210 66,807 308,537

Sigma 6 5 4 3 2

Enormous
Enormous opportunity
opportunity
i 11
GB DMAIC - Introduction Version 2.0 5/2002 7.11
 g GE Global Research

Cost of Quality—A Change in Mindset

Internal
Internal and Old Belief Appraisal
Increased Appraisal
Failure External • Inspection
• Scrap Failure Quality, • Test
• Rework Higher Cost • Quality
Audits
• Test
4
Equipment

Quality

Internal
and New Belief
External Prevention
External Increased Quality,
Failure Appraisal • Quality
• Cost to Failure Reduced Cost Planning
and
Customer •
Prevention Process
• Warranty Planning
Cost • Process
• Complaint 4 Control
Cost 5 • Training
• Returned 6
Material

Quality
i 12
GB DMAIC - Introduction Version 2.0 5/2002 7.12
 g GE Global Research

The Six Sigma Mindset

The 3Company The 6 Company

• Spends <5% of sales
• Spends 15-25% of sales
dollars on cost of failure
dollars on cost of failure
• Produces 3.4 defects per
• Produces 66,807 defects million opportunities
per million opportunities
• Relies on capable
processes that don’t
• Relies on inspection to
produce defects
find defects
• Knows that the high quality
• Believes high quality is producer IS the low cost
expensive producer

• Uses Measure, Analyze,

• Does not have a Improve, Control and
disciplined approach to Measure, Analyze, Design
problem solving
• Benchmarks themselves
against the best in the
• Benchmarks themselves world
against their competition • Believes 99% is
unacceptable
• Believes 99% is good
enough • Defines CTQs externally
i 13
• Defines CTQs internally
GB DMAIC - Introduction Version 2.0 5/2002 7.13
 g GE Global Research

The Six Sigma Mindset

The Classical View The Six Sigma View of

of Quality Quality
“99% Good” (3.8) “99.99966% Good”
(6)
• 20,000 lost articles Seven lost articles of
of mail per hour mail per hour

Unsafe drinking water One minute of unsafe

almost 15 minutes drinking water every
each day seven months

5,000 incorrect 1.7 incorrect surgical

surgical operations operations per week
per week

2 short or long One short or long

landings at most landing at most major
major airports daily airports every five years

200,000 wrong drug 68 wrong drug

prescriptions each prescriptions each year
year

No electricity for One hour without

almost 7 hours each electricity every 34
month years
i 14
GB DMAIC - Introduction Version 2.0 5/2002 7.14
 g GE Global Research

The Evolution of Six Sigma

‘95 ‘96 ‘97 ‘98 ‘99 ‘00

‘00+
Getting Started
Expanding Horizons
Focus Outside-In Power
on
Core Focus New Business
Activity on
Model
Product
Design Focus
on
Productivity 6 Customer
The Way Impact
&
We Work
Asset World Class … Our DNA
Utilization DFSS
Capabilities Revenue
Growth
Customer
Centric

Six
Six Sigma
Sigma -- aa dynamic,
dynamic, living
living initiative
initiative
i 15
GB DMAIC - Introduction Version 2.0 5/2002 7.15
 g GE Global Research
Design for Six Sigma
- Pushing beyond DMAIC

Create products that have 6

Quality “Designed In”:
Wow our customers with 6
performance on their CTQ’s
Have 6 reliability
Have 6 manufacturability
Have high performance/cost ratios


Outside-In:
Outside-In: Focus
Focus on
on meeting
meeting
customer’s
customer’s CTQs
CTQs

Insight
Insight through
through variance:
variance: Statistical
Statistical
design
design to
to reduce
reduce performance
performance variability
variability

i
GB DMAIC - Introduction Version 2.0 5/2002 7.16
 g GE Global Research

DFSS = Design for Six Sigma

 DFSS is a systematic methodology

•Tools, Training, Measurements

 DFSS enables us to design products and

processes that delight our customers

 DFSS uses statistical methods

• Predict and improve quality
• Predict and improve performance

 DFSS ensures predicted performance

• Verification – pilot runs
• Preproduction and production units

i 17
GB DMAIC - Introduction Version 2.0 5/2002 7.17
 g GE Global Research

Breaking Through the 4 Wall with

DFSS
DMAIC – Diminishing DFSS – Going beyond
returns from focusing on 4 performance often
improving existing requires a new product
technology or process design

< 4 4 > 4

6
Process Improvements DFSS is
Plus DFSS
essential
5
DFSS Benefit to meet GE’s
4 quality goal
Z ()
3

2 Process Improvements
Only

Time

DFSS Gets Us Beyond

Improving Marginal Designs and Processes
i 18
GB DMAIC - Introduction Version 2.0 5/2002 7.18
 g GE Global Research

DMAIC…The Drive to Entitlement

DFSS
Sweet Fruit
Design for Six Sigma

Process Entitlement
Bulk of Fruit
Process Characterization
and Optimization
DMAIC

----------------------------------

Low Hanging Fruit

Seven Basic Tools

----------------------------------
Ground Fruit
Logic and Intuition

i 19
GB DMAIC - Introduction Version 2.0 5/2002 7.19
 g GE Global Research

DMAIC and DFSS Work Together

DMAIC Process

Define Measure Analyze Improve Control

Yes Yes No
Requires
Does a Is
a New
Process Incremental
Or Redesigned
Exist? Improvement
Product/
Enough?
Process?

No
No No Yes

Define Measure Analyze Design Optimize Verify

DFSS Process
i 20
GB DMAIC - Introduction Version 2.0 5/2002 7.20
 g GE Global Research

From Siggy…….. to DMAIC Workshop

What did we learn in Siggy?

 Can you state the “problem” in the Rockledge

case?

 What was done in each phase of DMAIC?

 In what ways can the DMAIC approach benefit

an organization?

 Who was the beneficiary of the improvements

achieved in the Rockledge case?

 Did you see any opportunities for the

application of DFSS in the Rockledge case?

i 21
GB DMAIC - Introduction Version 2.0 5/2002 7.21
i