copyright © 2013 pearson education, inc. publishing as prentice hall. 13- 1 chapter 13 six-sigma...

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Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 13- 1 Chapter 13 Six-Sigma Management and Lean Tools

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Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 1

Chapter 13

Six-Sigma Management and

Lean Tools

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 2

Strategic Quality PlanningSix-Sigma Management and Lean ToolsChapter 13

What is Six-Sigma?Organizing Lean Six-SigmaDMAIC OverviewDMAIC PhasesThe Taguchi Design of ExperimentsDesign for Six-SigmaLean Six-Sigma from a Contingency Perspective

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 3

Strategic Quality PlanningSix-Sigma Management and Lean ToolsWhat is Six-Sigma?

Sigma () is a greek letter used to designate a standard deviation (SD) in statistics

Six refers to the number of SD’s from the specialized limit to the mean.

Six-Sigma: about 0.5% of products will not meet specification

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 4

Strategic Quality PlanningSix-Sigma Management and Lean ToolsWhat is Six-Sigma?

* ppm = Parts Per Million

Sigma Level Long-term ppm* defects

1 691,462

2 308,538

3 66,807

4 6,210

5 233

6 3.4

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 5

Strategic Quality PlanningSix-Sigma Management and Lean ToolsWhat is Six-Sigma?

Six-Sigma effectiveness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 6

Strategic Quality PlanningSix-Sigma Management and Lean ToolsOrganizing Six-Sigma

The key playersChampion. Work with black belts to identify possible projectsMaster Black Belts. Work with and train new black beltsBlack Belts. Committed full time to completing cost-reduction projectsGreen Belts. Trained in basic quality tools

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 7

Strategic Quality PlanningSix-Sigma Management and Lean ToolsOrganizing Six-Sigma

In a company with 100 employees there might be: One black beltSixty green beltsSome companies have yellow belts, employees familiar with improvement processes

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 8

Strategic Quality PlanningSix-Sigma Management and Lean ToolsOrganizing Six-Sigma

Lean-Six SigmaPull productionValue-stream map

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 9

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Overview

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 10

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Define- projects are identified and selected

Four Phases:1. Developing the business case

2. Project evaluation

3. Pareto analysis

4. Project definition

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 11

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Define Developing the Business Case:

1. Identifying a group of possible projects

2. Writing the business case

3. Stratifying the business case into problem statement and objective statements

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 12

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Define RUMBA is used to check the efficacy

of the business case 1. Realistic

2. Understandable

3. Measurable

4. Believable

5. Actionable

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 13

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 14

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 15

Project Risk and Return Matrix

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Pareto Analysis

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Problem Definition

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Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Measure Two major steps:

1. Selecting process outcomes

2. Verifying measurements

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 19

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Measure Two major steps:

1. Select process outcomes Tools used:

Process map XY matrix FMEA Gauge R&R Capability Assessment.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 20

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Process Map

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Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

XY Matrix

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 22

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

XY Matrix for Example 13-3

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 23

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Solution for Example 13-3

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 24

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Measure Two major steps:

2. Verifying measurements Tools Used:

Use gauges, calipers and other tools.

Management System Analysis (MSA) is used to determine if measurements are consistent

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 25

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Measure Two major steps:

2. Verifying measurements Gauge R&R

Most commonly used MSA Determine the accuracy and

precision of your measurements

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Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Gauge R&R in Excel

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Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Analyze Three major steps:

1. Define your performance objectives

2. Identify independent variables (X’s)

3. Analyze sources of variability

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 28

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Analyze Three major steps:

1. Define your performance objectives   Capability Analysis  Identify the independent variables

where data will be gathered  Process maps, XY matrices

brainstorming and FMEA’s are the tools used

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 29

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Capability Analysis

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 30

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Analyze Three major steps:

Analyze sources of variability Use visual and statistical tools to better

understand the relationships between dependent and independent variables

Include histograms, box plots, scatter plots, regression analysis, and hypothesis tests

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 31

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Improve Off-line experimentation

ANOVA Taguchi Method

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 32

Strategic Quality PlanningSix-Sigma Management and Lean ToolsDMAIC Phases

Control Manage the improved processes using

control charts and implementing control plans

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 33

Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

Design of Experiment (DOE) Robust Design Concept Design Parameter Design Tolerance Design

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 34

Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

Design of Experiment (DOE) Robust design - designed so that they are

inherently defect free Concept Design - examining competing

technologies Parameter Design- selection of control factors

and the determination of optimal levels for each of the factors

Tolerance Design- developing specification limits

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 35

Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

The Taguchi Method provides:

1. A basis for determining the functional relationship between controllable design factors and the outcomes of a process

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 36

Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

The Taguchi Method provides:

2. A method for adjusting the mean of a process by optimizing controllable variables

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 37

Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

The Taguchi Method provides:

3. A procedure for examining the relationship between random noise … and product or service variability

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 38

Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

Classic QC- Step Function

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Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

Taguchi Quadratic Loss Function

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Strategic Quality PlanningSix-Sigma Management and Lean Tools The Taguchi Method

The Taguchi Process

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Example 13-6 Results

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Strategic Quality PlanningSix-Sigma Management and Lean Tools Design for Six-Sigma (DFSS)

Used in designing new products with high performance Instead of DMAIC

1. DMADV

2. IDOV

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 43

Strategic Quality PlanningSix-Sigma Management and Lean Tools Design for Six-Sigma (DFSS)

Used in designing new products with high performance DMADV

1. Design

2. Measure

3. Analyze

4. Design

5. Verify

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 44

Strategic Quality PlanningSix-Sigma Management and Lean Tools Design for Six-Sigma (DFSS)

Used in designing new products with high performance IDOV

1. Identify

2. Design

3. Optimize

4. Verify

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 45

Strategic Quality PlanningSix-Sigma Management and Lean ToolsSix-Sigma from a Contingency Perspective

Reasons for Six-Sigma failure:1. Lack of leadership by

champions

2. Misunderstood roles and responsibilities

3. Lack of appropriate culture for improvement

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 46

Strategic Quality PlanningSix-Sigma Management and Lean Tools failure Six-Sigma from a Contingency Perspective

Reasons for Six-Sigma failure:4. Resistance to change and the

Six-Sigma structure

5. Faulty strategies for deployment

6. Lack of data

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 47

Strategic Quality PlanningSix-Sigma Management and Lean ToolsSummary

The process for Six-Sigma is define, measure, analyze, improve and control

Keys to Six-Sigma success are skilled management, leadership and long-term commitment

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.13- 48

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or

otherwise, without the prior written permission of the publisher. Printed in the United States of America.