Download 12 Requirements For Six Sigma Success

12 Key Requirements
For Six Sigma Success
By Lennart Sandholm and Lars Sorqvist
Presented by: Mahmoud Abdalla
March 31, 2003
Objectives
•
•
•
•
Importance of this subject to the class
What is Six Sigma?
The 12 Key Requirements
My Conclusion
Importance of this subject to
the class
• Numerous large and well-known corporations
have successfully adopted Six Sigma
methodology, such as Motorola, General
Electric, American Express and Ford Motor
Co.
• The results have often been extremely good
• Greatly considered by Software Development
Projects
What is Six Sigma?
Six Sigma is a comprehensive system for achieving,
sustaining and maximizing business success. Six
Sigma is driven by close understanding of customer
needs, disciplined use of facts and data, and statistical
analysis
Sigma levels
Yield
DPMO
Sigma
30.9%
690,000
1
100 Rounds of golf
per year
69.2%
308,000
2
Miss 6 putts
Per round
93.3%
66,800
3
Miss 1 putt
Per round
99.94%
6,210
4
Miss 1 putt
Every 9 rounds
99.98%
320
5
Miss 1 putt
Every 2.33 years
99.9997%
3.4
6
Miss 1 putt
Every 163 years
DMAIC
Define
Problem Solving Methodology
Measure
Analyze
Improve
Control
Define the goals and customer requirements
Measure the process to determine current performance
Analyze and determine the root cause(s) of the defects
Improve the process by eliminating defects
Control future process performance
The Twelve Requirements
Requirement #1
Management Commitment and Visible Support
• Total Commitment and Support of Top
Management
• Linking success of Six Sigma to Bonuses and
Salary Raises
The Twelve Requirements
Requirement #2
Treatment of Six Sigma as a Holistic Concept
•
•
Managers should have primary role in leading the process
All stakeholders should be kept involved and
communicated to continuously
The Twelve Requirements
Requirement #3
Investment of adequate resources
• Investment returns are Great! In many cases more
than 5 to 10 times the original investment
• Invest in adequate resources and provide extensive
training programs
The Twelve Requirements
Requirement #4
Focus on results
• Focus on achieving results by setting challenging
improvement goals
• Explain and clarify goals to entire organization with
regular refreshers
The Twelve Requirements
Requirement #5
Customer orientation
• Can’t just focus internally on cutting costs
• Six sigma projects should be selected based on what
customer benefit is attainable
• Develop knowledge of customer needs and behavior
and evaluate completed projects from the
perspective of the customer
The Twelve Requirements
Requirement #6
Focus on Training
• Provide appropriate training for everyone involved
in the project
The Twelve Requirements
Requirement #7
Adaptation to an Organization’s Situation and
Needs
• Developing the Six Sigma Program is based on a
number of parameters, including the nature of
business, customer relations and competition
The Twelve Requirements
Requirement #8
Prioritization and selection of projects
• Identify and prioritize projects to focus on
The Twelve Requirements
Requirement #9
Development of uniform language and
terminology
• Both externally with client and internally within
project
The Twelve Requirements
Requirement #10
Development of strategy to introduce Six
Sigma
•
Four Phase Approach:
1.
2.
3.
4.
Introduction
Trial
Implementation
Continuation
The Twelve Requirements
Requirement #11
Follow-up and communication of success
stories
•
From Three Perspectives:
1. Goals
2. Methodology
3. Return
•
Communicate internally and externally with the
Client
The Twelve Requirements
Requirement #12
Responsiveness to external influences
• Accepting of new ideas from outside
• Benchmarking and collaboration with researchers
• Maintain cutting edge results
My Conclusion
• 12 Key Requirements are key to the success
of implementing Six Sigma
• If followed closely and taken seriously, Six
Sigma can produce great results