Key Concepts of Six Sigma

At its core, Six Sigma revolves around a few key concepts.

Critical to Quality	Attributes most important to the customer
Defect	Failing to deliver what the customer wants
Process Capability	What your process can deliver
Variation	What the customer sees and feels
Stable Operations	Ensuring consistent, predictable processes to improve what the customer sees and feels
Design for Six Sigma	Designing to meet customer needs and process capability

Our Customers Feel the Variance, Not the Mean

Often, our inside-out view of the business is based on average or mean-based measures of our recent past. Customers don't judge us on averages; they feel the variance in each transaction, and each product we ship. Six Sigma focuses first on reducing process variation and then on improving the process capability.

Customers value consistent, predictable business processes that deliver world-class levels of quality. This is what Six Sigma strives to produce.

GE's success with Six Sigma has exceeded our most optimistic predictions. Across the Company, GE associates embrace Six Sigma's customer-focused, data-driven philosophy and apply it to everything we do. We are building on these successes by sharing best practices across all of our businesses, putting the full power of GE behind our quest for better, faster customer solutions.

Quality Approaches and Models

DFSS (Design for Six Sigma) - is a systematic methodology utilizing tools, training and measurements to enable us to design products and processes that meet customer expectations and can be produced at Six Sigma quality levels.

DMAIC (Define, Measure, Analyze, Improve and Control) - is a process for continued improvement. It is systematic, scientific and fact based. This closed-loop process eliminates unproductive steps, often focuses on new measurements, and applies technology for improvement.

Six Sigma - A vision of quality, which equates with only 3.4 defects per million opportunities for each product or service transaction. Strives for perfection.

Quality Tools

Associates are exposed to various tools and terms related to quality. Below are just a few of them.

Control Chart - Monitors variance in a process over time and alerts the business to unexpected variance which may cause defects.

Defect Measurement - Accounting for the number or frequency of defects that cause lapses in product or service quality.

Pareto Diagram - Focuses on efforts or the problems that have the greatest potential for improvement by showing relative frequency and/or size in a descending bar graph. Based on the proven Pareto principle: 20% of the sources cause 80% of any problems.

Process Mapping - Illustrated description of how things get done, which enables participants to visualize an entire process and identify areas of strength and weaknesses. It helps reduce cycle time and defects while recognizing the value of individual contributions.

Root Cause Analysis - Study of original reason for nonconformance with a process. When the root cause is removed or corrected, the nonconformance will be eliminated.

Statistical Process Control - The application of statistical methods to analyze data, study and monitor process capability and performance.

Tree Diagram - Graphically shows any broad goal broken into different levels of detailed actions. It encourages team members to expand their thinking when creating solutions.

Quality Terms

Black Belt - Leaders of team responsible for measuring, analyzing, improving and controlling key processes that influence customer satisfaction and/or productivity growth. Black Belts are full-time positions.

Control - The state of stability, normal variation and predictability. Process of regulating and guiding operations and processes using quantitative data.

CTQ: Critical to Quality (Critical "Y") - Element of a process or practice which has a direct impact on its perceived quality.

Customer Needs, Expectations - Needs, as defined by customers, which meet their basic requirements and standards.

Defects - Sources of customer irritation. Defects are costly to both customers and to manufacturers or service providers. Eliminating defects provides cost benefits.

Green Belt - Similar to Black Belt but not a full-time position.

Master Black Belt - First and foremost teachers. They also review and mentor Black Belts. Selection criteria for Master Black Belts are quantitative skills and the ability to teach and mentor. Master Black Belts are full-time positions.

Variance - A change in a process or business practice that may alter its expected outcome.

 

Source: www.isixsigma.com