D M A I C

DMAIC

Step 1Step 1Define a Project

DMAIC Steps

Establish Performance Parameters

Validate Measurement System for ‘Y’

Establish Process BaselineDefine Performance GoalsIdentify Variation Sources

Explore Potential CausesEstablish Variable RelationshipDesign Operating Limits

Step 2 Step 3

Step 4Step 5Step 6

Step 7Step 8 Step 9

M

A

I

CValidate Measurement System for ‘X’Verify Process ImprovementInstitutionalize New Capability

Step 10Step 11 Step 12

Step 0 Step 1

Establish CTQ Characteristics

Define a Project D

Deliverables of Step 1

1.1 Select a Project & Green Belt Champion, BB

1.2 Scope the Project GB, BB

1.3 Develop Team Charter GB, BB

1.4 Quantify Benefits GB, BB, Finance

1.5 Sign-off with Champion BB, GB

1.6 Kick-off the Project Champion, BB, GB

1.7 Complete Teaming Module BB, GB

Step Step Owner

1.1 Select a Project

Theme Selection Matrix• In those situations when you brainstorm project themes, theme selection matrix can be used to prioritize project themes.

• It is a more structured & data-oriented prioritization exercise as compared to multi- voting. In fact, it can be used even after multi-voting to further short-list

1.2 Scope the Project

What is Scoping?• It’s an attempt to define what will be covered in the project

deliverables

• Scoping sharpens the focus of the project team

• & sets the expectations right

• Types of Scoping

– Longitudinal Scoping – Lateral Scoping

Longitudinal Scoping• Longitudinal scoping is done on the length of the process

– e.g.

• From customer request for new connection to the time the number is activated.

• From customer reporting the complaint till final satisfaction confirmation

• Mostly the ‘start’ & ‘end’ points are baton change points

• A macro as-is process map must be prepared to facilitate

longitudinal scoping

SIPOCS

IPO

C

Tool

S I

P

O CSuppliers Inputs

Process

Outputs Customers

Process Boundary

33

44

5511 22S I

P

O CSuppliers Inputs

Process

Outputs Customers

Process Boundary

33

44

5511 22

SIPOC – First 90 days of customer

Acquisition through all business channels

Documentation &

entry cost for

activation

Customer Acquisition

Activation Profiling

CPV & Credit

Profiling

Welcome Process

Billing & 1st Bill Calling

Reducing churn by predicting

churn behaviour

Increase life of the customer

Processes touching the customer's life in

the first 90 days

Suppliers Inputs

Process Boundary

Output Customers

Processes

Process Mapping Nomenclature

Process Decision Data

Pre-definedProcess

Document Terminator

ManualOperation

DelayManualInput

Lateral Scoping• Lateral scoping is done on the breadth of the process

– e.g. – New connections in Maharastra Circle.

– e.g. – Calls received during general shift

• One or more of the following are covered here:

– What all kinds of units the process will cover

– In what situations the process is valid

– What are the qualifiers for the transactions

– What functional domains does the process cover

– In what geographical areas the process is valid

Scoping Techniques

• Write inside the box what you think project covers

• Write outside the box what you think project excludes

Inside-Outside

Tool

Longitudinal

Starts after receipt of CDR customer wise for the given time frameEnds at the despatch from IDEA office

Lateral

Despatches from Maharastra CircleAll despatches during shift ADespatch through Courier X

Any transit delays

Bill damages

Non-availability of customer

Example for an ‘On time Bill Despatch’ project

Project boundary

Out of scope

Scope Verification• After the scoping has been done, following should be checked to validate the scope

– If the scoped process is within the control of the GB / Team

– If the pain area lies within the scoped process

– If the scoped process is narrow enough

– If there are enough transactions to measure (at least 20 transactions per month are recommended for effective measurements)

– If the scope is still aligned with the Internal CTQ / CBP

– If the scoped process would still result in achieving the objectives set by the Champion

• Re-scoping may be needed later even after spending considerable time on the project

Form Teams

Team Composition• Green Belt

– Is the Team Leader for a Project

– Selects other members of his project team

– Defines the goal of project with Champion & team members

– Defines the roles and responsibilities for each team member

– Identifies training requirements for team along with Black Belt

– Helps make the Financial Score Card along with his CFO

Team Composition• Team Members

– A Team Member is chosen for a special skill or competence

– Team Members help design the new process

– Team Members drive the project to completion

• Guidelines for team members– Up to 5 people

– People who have stake in the process

– People who are benefited by removal of pain area

– People who have complementary skills

– People from same location

– Guest members

Develop Team Charter

• Fill this table with your BB for the roles of each team member

Team C

harter

Tool

Sl. No.

Name of the team

member

Functional

Role

Project Responsibilitie

s

12345

1.4 Quantify Benefits

1.5 Sign-off with Champion

Project Sign-off• Champion’s sign-off ensures a common

understanding of deliverables

• It reflects his approval on team members & financials

• It indicates the tentative project plan

• Formal sign-off is a must

Project Agreement FormP

roject Agreem

ent Form

Tool

DMAIC Project Agreement Form

Defining a Problem Statement

• A well-defined problem statement describes the ‘pain’

– What is wrong or not meeting your customer’s needs?

– When and where do the problems occur?

– How big is the problem?

– What’s the negative impact of the problem?

Defining a Problem Statement

Good Example:

In the last 3 months, 12% of our customers are late, by over 45 days in

paying their bills. This represents 20% of our outstanding receivables &

negatively affects our operating cash flow.

Poor Example:

Our customers are angry with us and thus delay paying their bills.

What

When

MagnitudeConsequence

Key Concepts• Points to remember while defining a problem statement:

– Is the problem based on observation (fact) or assumption (guess)?

– Does the problem statement prejudge a root cause?

– Can data be collected by the team to verify and analyze the problem?

– Is the problem statement too narrowly or broadly defined?

– Is a solution included in the statement?Must not assign blame, presume cause, or prescribe solution!

1.6 Kick-off the Project

Call a Team Meeting• Call a project team meeting to formally begin the project

• Ask Champion to define his expectations from the project

• Communicate objective of the project

• Explain project time frame and deadlines

• Get agreement from all members on their participation

Call a Team Meeting

• Present “Teaming Module”, complete “Teaming

Workbook” & develop role clarity for each project team member

• Develop “Loss-Gain Matrix” with your team

• Prepare team’s “Elevator Speech”

Create This Matrix with Your Team

Loss-Gain M

atrix

Tool LossLoss GainGain

Long TermLong Term

Short TermShort TermWhat are the

short-term threats if we don’t do the project?

What are the long-term threats you can foresee?

What are the Immediate gains

if we are successfulin the project?

What are the long-term gains?

Prepare an Elevator Speech with your Team

• Prepare a speech• Short-list key words• Create the vision statement• Communicate to organization

1. Imagine you want to sell your Six Sigma project to your CEO in a chance meeting in an empty elevator with 90 seconds to ride.

Elevator S

peech

Tool

2. Describe the need for project & the vision of the new state as if responding to “WHY DO IT”?

Tollgate - Define• Macro-level process map

• Signed-off Project Agreement Form

• Project kick-off meeting

• Teaming done for project team

• Loss-Gain Matrix

• Elevator Speech

Tollgate - DEFINE

All the Best for the

Quiz!!!!!!!!!

DEFINE – Q1• How many types of CTQs did you learn?

a)2

b)5

c)4

d)3

DEFINE – Q2• DMAIC is best applicable to

a)One time defect reduction in uni-functional environment

b)Dynamic defect reduction in cross-functional environment

c)One time defect reduction in cross-functional environment

d)Dynamic defect reduction in uni-functional environment

DEFINE – Q3• DMAIC applies to

a)Existing process that needs improvement

b)New process

c)Existing process in need of re-design

d)None of the above

DEFINE – Q4• Inputs to a QFD come from

a)VOC

b)Surveys

c)Internal Data

d)All of the above

DEFINE – Q5• Tool used for visioning is

a)Loss-gain matrix

b)Elevator speech

c)VOC

d)QFD

DEFINE – Q6• Customer CTQs are defined by

a)Champion

b)Green Belt

c)Customers

d)Black Belt