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Six Sigma Green Belt Training Program
ADVISORY SERVICES
Prelude to Six Sigma

Expectations form the Organization
Keep an Outside - In perspective
Drivers of Project Selection

Bigger Ys
Voice Of
The Customer
Voice Of
The Employee
Voice Of
The Shareholder
Business Big Ys
Process
Ys
Y
Y
Y
Y
Key output metrics that are

aligned with the strategic
goals / objectives of the business.
Big Ys provide a direct measure
of business performance
Key output metrics that

summarize process
performance
Project Y
X1
X2
X3
Key project metric defined

from the customer perspective
Any parameters
that influence
the Y
Strong
StrongLinkage
Linkagebetween
betweenProjects
Projects&&Big
BigYs
YsisisImportant
Important
2010 KPMG, an Indian partnership and a member firm of the KPMG network of independent member firms affiliated
with KPMG International, a Swiss cooperative. All rights reserved.
Gather VOC
Identify customer
segments
that need to be
targeted
List your customers

Define Customer
Segments
Narrow the list of
customers
Gather verbatim VOC &

Determine Service Quality
Issue
Translate to needs statement

& develop a CTQ Project Y metric output
characteristic
Review existing VOC data

Decide on what to collect
Use appropriate tools to
gather VOC
Surveys
Interviews
Be a customer
Focus Group
Customer Observation
Listening Posts
Competitive Comparison
Collect data
Customers
CustomersRequirements
Requirementsdetermines
determinesquantifiable
quantifiableProcess
ProcessMetrics
MetricsCTQ
CTQ
Gather VOC
Identify customer
segments
that need to be
targeted
Gather verbatim VOC &

Determine Service Quality
Issue
Translate to needs statement

characteristic
Organize all customer data

Translate VOC to specific
needs
Define CTQs for needs
Prioritize CTQs
Contain problem if necessary
Affinity Diagram Credit Card Example

Flexible
Product
Easy
Process
Availability
Personal
Interface
Advice/
Consulting
Low Interest
Rate
Easy
Application
Will Come To
My Facility
Knowledgeable
Reps
Knows About
My Finances
Variable Terms
Easy Access
To Capital
Available
Outside
Normal
Business
Hours
Professional
Knows About
My Business
All Charges
Clearly Stated
Pay Back
When I Want
No
Prepayment
Penalties/
Charges
Pre-Approved
Credit
Quick
Decision
Can Apply
Over Phone
Know Status
Of Loan During
Application
Know Status
Of Loan (PostApproval)
Available
When I Need
To Talk
Friendly
Make Me Feel
Comfortable
Patient During
Process
Responsive
To My Calls
Cares About
My Business
Has Access To
Experts
Provides
Answers To
Questions
Talk To
One Person
Calls If
Problems Arise
Preference If
Bank Customer
Verbatim VOC
Makes Finance
Suggestions
High-Level Needs
Organize
OrganizeVOC
VOCinto
intobroad
broadcategories
categories
Translating VOC into CTQs
VOC
Identify customer
segments
that need to be
targeted
CTQs
Gather verbatim VOC

&
Determine Service
Quality
Issue
Translate to needs
statement
characteristic
Customers
CustomersRequirements
Requirementsdetermines
determinesquantifiable
quantifiableProcess
ProcessMetrics
MetricsCTQ
CTQ
Example: Translating VOC to CTQs
You take too much time in getting back to me!
Verbatim
These forms are too cumbersome!
- Quick Response
Specific
Needs
Validate
CTQ
with customer
- User Friendly Forms
CTQs
- Process Turn Around Time not more than 10 min.

- Form < 2 pages & < 10 minutes to complete
What
Whatgets
getsmeasured
measuredgets
getsmanaged
managedensure
ensuremeasurable
measurableCTQs
CTQs
Identify Must Bes affecting CTQs
SHAREHOLDERS &
COMPLIANCE
EMPLOYEES
CUSTOMERS
PROJECT CTQ
INTEGRITY OF
COMMUNICATIONS
INTERNAL UPSTREAM /
DOWNSTREAM
CUSTOMERS
BUSINESS PROCESS
EFFECTIVENESS
COST & COMPETITORS
CONTROLLERSHIP
& BUSINESS
STRATEGY
Prioritizing CTQs Kano Model

Satisfaction
Delighters
Innovation
One-Dimensional
Competitive Priority
Free upgrades
Individual movies and games
Special staf
attention/services
Computer plug-ins (power
sources)
Seat comfort
Quality of refreshments
Friendliness of staf
Baggage speed
On-Time arrival
Dysfunctional
Functional
Must Be
Critical Priority
Dissatisfaction
Safe arrival
Accurate booking
Baggage arrives with
passenger
99% system uptime
Kano
KanoModel
Modelhelps
helpsto
toprioritize
prioritizeour
oureforts
efortstowards
towardssatisfying
satisfyingcustomers
customers
10
Prioritizing CTQs - Kano Model
Kano Model / Theory:
The Kano theory helps prioritize teams improvement efforts after needs & CTQs have
been established. The team should refrain from translating CTQs to the Kano Model but
rather have customer VOC verify where the need / CTQ should feature using the model
For some customer needs, customer satisfaction is proportional to the extent to which
the product or service is fully functional
The horizontal axis indicates how fully functional a product/service is; and the vertical
axis indicates customer satisfaction
It is to be expected over a period of product life cycle that (the product) could shift from
being a Delighter to a One Dimensional to a Must - Be (e.g., invention of TV)
11
Prioritization of Six Sigma Projects
Financials help prioritize projects

Focus & Motivate Teams to deliver results
Incremental Revenue
Volume Driven Metrics
Increased Capacity
Improved product quality/service
Improved commercial processes
Price Driven Metrics
Decreased Cost
Reduced Rework
Increased Labor efficiency
Reduced Operating expenses (fixed and variable costs)
Reduced Plant and equipment depreciation or lease expense
Projects
Projectscan
canfocus
focuson
onHard
HardGains
Gainsor
orSoft
Softgains
gains
12
Work out session

Identify area of
improvement
13
Contents
Define
Customer Expectations of the process?
Measure
What is the frequency of defects?
Analyze
Why, Where & When do defects occur?
Improve
How can we fix the Process?
Control
How can we keep the process fixed?
14
Define
Customer Expectations of the Organization
Contents - Define
1
DETERMINE THE PROJECT CTQs

Identify your customers
Gather VOC
Organize VOCs
Prioritize VOCs
Translate VOC to CTQs 2
DEFINE THE PROJECT
In-Frame/Out-Frame
15 Word Flip Chart
Backward Imaging
CHARTER
Business Case
Problem & Goal Statement
Project Scope
Milestones
Roles & Responsibility
4
Deliverables:
Deliverables:
CTQs
CTQsIdentified
Identified Charter
Charter SIPOC
SIPOC
MAP THE PROCESS

Process Operational Definition
Benefits of Process Mapping
SIPOC Model
Levels of Mapping
Mapping Guidelines
16
Charter
A Charter:
Clarifies what is expected of the team

Keeps the team focused
Keeps the team aligned with organizational priorities
17
Sample Project Charter
18
Sample Project Charter
CTQ:
Accuracy
19
Elements of a Project Charter

Business Big Ys
Process Ys
The problem statement

is a description of what
is wrong & where?
(quantify - % / $$$)
What is the improvement

team seeking to achieve?
Does project Y
link to business Ys?
Business
BusinessCase
Case/ /
Benefits
Benefits
What is & what is not

included? What are the
boundaries? In scope/
out scope?
Problem /
Opportunity
Statement
Goal
Statement
Project
Scope
Key Milestones /
Timelines / Detailed Plan
Milestone /
Project Plan
Resources /
Team Members
Roles
Start with a verb (e.g., reduce, eliminate, control, increase) Who are the key resources ?
Focus of project (cycle time, accuracy, etc.)
What will be the roles of BBs /
Target (by 50%, by 75%)
GBs / Sponsor / MBBs
Deadline
20
Project Scope
What process will the team focus on?

What are the boundaries of the process we are to improve?
Start point? Stop point?
What resources are available to the team?
What (if anything) is out of bounds for the team?
What (if any) constraints must the team work under?
What is the time commitment expected of team members?
What will happen to our regular jobs while we are doing the project?
21
In Frame / Out Frame - Project Scoping Tool
Draw a large square picture frame on a flip chart (or use tape on a wall) and use
this metaphor to help the team identify what falls inside the picture of their project
and what falls out. This may be in terms of scope, goals, and roles
22
Process Definition & Elements
A collection of activities that takes one or more inputs and transforms them into
outputs that are of value to the customer
The Business Process

Inputs
Outputs
Customer(s)
Supplier(s)
23
Process Mapping & Benefits
CTQs
CTQs
Suppliers
Inputs
Process
Outputs
Customers
Measures
Measures
Process
Map
24
Process Mapping & Benefits
Supplier: The provider of inputs to your process
Output: The products or services that result from the process
Boundary: The limits of a particular process, that define the start and stop points
of the process
Input: Materials, resources or data required to execute your process

Process: A collection of activities that takes one or more kinds of input and
creates output that is of value to the customer
Customer: The recipient of the process output may be internal or external
CTQs: Critical to quality characteristics; A specific attribute or quality of the
output that is a key requirement for customer satisfaction
25
Levels of Process Mapping
Credit
Ops
Core Process
(Level I)
Messaging
Payments
Trades
Exports
Subprocesses
(Level 2)
Negotiation
Subprocesses
(Level 3)
Payments
Billing
Imports
Collections
Microprocesses
(Level 4 & Below)
26
Process Mapping Guidelines

Supplier
s
Process
Inputs
Outputs Customer
s
CTQs
Define business process to be reviewed name it agree on beginning and end of process
bound it.
Refer to CTQ work to identify primary outputs, the customers who receive them, and the
customers CTQs
Use nouns for outputs (e.g., sales call, proposal, etc.)

Use adjectives for CTQs (.e.g., timely, knowledgeable, accurate)
Identify the process steps using brainstorming and affinity techniques
Write large
One step per card
All steps should begin with a verb
Don't try to establish order

Don't discuss process steps in detail
Use brainstorming and affinity techniques to identify critical inputs which affect the quality of
the process
For each critical input, identify the supplier who provides it

Validate to be sure the map represents the situation as it really is today (the as is map)
not how you think it is, or how it should be
27
G.R.P.I
G.R.P.I. Check List - This tool is based on a simple model for team formation. It
challenges the team to consider four critical and interrelated aspects of
teamwork:
Goals, Roles, Processes and Interpersonal relationships.

It is invaluable in helping a group become a team.
28
G.R.P.I
Uses: An excellent organizing tool for newly-formed teams or for teams that have
been underway for a while, but who have never taken time to look at their
teamwork.
Ideally, this tool should be used at one of the first team meetings. It can and
should be updated as the project unfolds.
Steps:
Distribute copies of the check list to all team members prior to a team meeting. Invite
team members to add details/examples on each of the four dimensions of the check list.
Ask each team member to bring his/her completed checklist to the team meeting.
At the team meeting discuss and resolve issues related to the check list.
Share certain aspects with Champion/Functional Leader if appropriate.
OPTION: When there is considerable disagreement or tension within the team
environment, team members can choose to complete the questionnaire individually and
turn it in to a neutral party who will collate the data and give it back to the team in an
aggregate fashion (thus protecting the anonymity of individual team members).
29
G.R.P.I
Expanded Version of the Tool: Useful when a more detailed look at team elements
is required.
How would you rate the degree to which your team presently has CLARITY,
AGREEMENT and EFFECTIVENESS on the following GRPI-related elements?
30
G.R.P.I
31
Great Project
Be clearly bound with defined goals
Be aligned with critical business issues and initiatives
There should be a significant impact
Work with other projects for combined effect
It enables full support of business
Be felt by the customer
If it looks too big, it is
Global or local Beta Themes
Show improvement that is locally actionable

Relate to your day job
32
Project Selection
Success Factors
Project scope is manageable

Project has identifiable defect
Project has identifiable impact
Adequate buy-in from key stakeholders
To be successful
Set up project scope charter and have it reviewed

Measure where defects occur in the process
Assess and quantify potential impact up-front
Perform stakeholder analysis
33
Project Selection
Common Pitfalls
Re sourcing of project is inadequate

Duplicating another project
Losing project momentum
Picking the easy Y, not the critical Y
Avoiding Pitfalls
Identify and get committed resources up-front

Research database and translate where possible
Set up milestones and communications plan
34
Define Deliverables
Identify project through business theme and personal issue

Review Six Sigma Quality Project Tracking database for similar projects
Identify internal/external CTQs
Create high-level process map
Identify potential data sources
Identify team members and business functions required
Identify Information Technology (IT) requirements
Identify financial impact
Open project in Six Sigma Quality Project Tracking database
35
Work out session

Create a Project Charter
36
Key Learning Points and Summary
37
Measure
Quantification of problem and causes
Measure
1
SELECT PROJECT Y
Measures
CTQ Prioritization
Types of Data
Fishbone Diagram2
DEVELOP DATA COLLECTION PLAN
Establish Data collection
Plan
Define Operational
Definitions
Define Sampling
3
Procedures
Measurement System
Analysis
VARIATION
Display & Describe Variation
Causes of Variation
Run Chart
Bar Chart
Normal Curve
Deliverables:
Deliverables:
Data
DataCollection
CollectionPlan
Plan
MSA
MSAResults
Results
Data
DataPlots
Plots
39
Select Project Y
Example :
Big Ys
VOC
CTQs
Process CTQs/
Process Metrics
Project CTQ/
Project Ys
Employer
of Choice
Retention Rate
Attrition %
Essential
Essentialto
tovalidate
validatethe
thelinkage
linkagebetween
betweenProject
ProjectCTQ,
CTQ,Process
ProcessCTQs
CTQs&&Big
BigYs
Ys
40
Select Project Y
The foundation of the measure phase as the name suggests lies in the data
collection plan keeping the target of the project, process and business in mind
The above steps have an inherent linkage in the sense that it would enable us to
cross check if our project CTQ is aligned to the process output characteristic
The process output characteristic can than be rolled up into process and
business metric
41
Understanding Measures
Measure : Any element relating to the process under study which is operationally
definable & quantifiable. Measures can be understood better by classifying them
in the following ways:
Classificati
on of
Measures
Based on SIPOC
Based on Focus
Based on
Statistics
Input
Efficiency
Continuous
Process
Efectiveness
Discrete
Output
42
Based on SIPOC
INPUT
Garbage in Garbage out
PROCESS
How good is my
process
OUTPUT
Timely??
Accurate?
?
Y = f(X1, X2, X3. Xn)
Productive??
Output Y is a function of various Inputs and Process Steps

Measures
Measurescan
canbe
beclassified
classifiedas
asInput,
Input,Process
Processor
orOutput
OutputMeasures
Measures
43
Based on SIPOC
Where should parameters for measuring be focused?
Output - because that is what our customers get

Process - because thats the way we perform
& Input - because potentially Garbage in could be Garbage out
Y is the output Measure where as X relates to various Inputs and Process

Measures
44
Based on Focus
Measures for looking at Process Performance
Customer Focussed
Process Focussed
Effectiveness
The degree to which customer
CTQs are met and exceeded
Examples
Percent Defective
Response Time
Billing Accuracy
Efficiency
The amount of resources allocated
in meeting and exceeding
customer CTQs
Examples
Cost per transaction

Turnaround time
Time per activity
Amount of rework
45
Based on Statistics
Continuum of Data Types
Discrete
Binary
Description
Example
Classified
into one of
two categories
Is this group ready to

travel 100 km daily to
reach office
Yes or No
Decision of Group
Continuous
Ordered
categories
Rankings
or ratings
Count
Counted
discretely
Classification of the group into

categories based on distance
each travels daily to reach office
Categories : (0 - 2 Kms)
Number of people
(2- 5 Kms)
who have come late
(5-10 Kms)
today
(10-20 Kms)
(20-50 Kms)
(50-100 Kms)
Measured
on a continuous
scale
Actual distance
traveled by each
in this group
measured in Kms
46
Exercise Type of Data

1.
2.
3.
4.
Percent defective parts in hourly production
5.
6.
7.
8.
9.
Daily test of water acidity
Percent cream content in milk bottles (comes in four-bottle container sets)

Amount time it takes to respond to a request
Number of blemishes per square yard of cloth, where pieces of cloth may be of
variable size
Number of accidents per month
Number of defective parts in lots of size 100
Length of screws in samples of size ten from production lots
Number of employees who had an accident
47
Based on Statistics
Some more examples:
An instrument processed is defective or non defective

Turn Around time for the batch processing
Ratings for a Trainer on a point scale (say 5 point)
Points to Remember:
It is possible to convert Continuous Data to Discrete, however visa-versa is not possible

Continuous Data gives more insight on the process performance than Discrete
48
Must be for Measures
Following criteria should be kept in mind while choosing Measures
Choose the Output Measure from a Customers View (Outside-In)
The measure should truly be a representative of the deepest understanding of the

process
Include efficiency & effective measures for process excellence
The Cost Benefit Ratio for the data collection should be justifiable
The measure should be relevant to the process
A clear Operational definition of the measure has been agreed upon by all Stakeholders
The measure and subsequent data collection should enable analysis, evaluations and
actions
49
Cause & Effect Diagram
Material
Write the possible

causes here
Or use 4
Ps
Method
Changes made in
operational data
Write the
efect here
High Level Prompters

to help generate
possible causes
Printer Problem
Printing not clear
Bank Profile with

wrong Swift IDs
Handwriting not legible

Correction of errors
in previous deal
Delays current deall
Full doc not

scanned
Why do we have Late

Processing
Awaiting Memo Replies
Creation of Bank ID,
(Clarifications)
Cust ID
Availability of Imex
To many amendments
for
long hours
Learning Curve
Bunching of Documents
Complicated Deals
Lack of Training
Program
Late Scanning & Receipt
for new recruits
Linked Deals not getting

released on time
Forced Priority of deals
Machine
To many deals held

with same person
Changes in Bill
category
by Spoke
Lack of Typing Skill

Fear of committing errors
Alternations of Errors making
in previous steps
Instns not clear
Measurement
Absenteeism
Man
Mother
nature
50
Cause & Effect Diagram
How do we carry it out?

Brainstorming without any prior preparation as the methodology
Be sure that everyone in the team agrees on the problem statement
Bring down the problem statement to a level more in detail as compared to the
statement in the Project Charter
Follow the principle of 5 Why s ?. Keep asking Why till the group arrives at a
logical end to the chain of causes
Include maximum possible information on
What
Where
When &
How Much
Minitab Software helps you to generate the template of a Fish-Bone Diagram. You
can draw a blank diagram, or a diagram filled in as much as you like. Although
there is no "correct" way to construct a fishbone diagram, some types lend
themselves well to many different situations.
Menu Pull-Down Sequence
Stat > Quality Tools > Cause-and-Effect
in Minitab
51
Data Collection Plan
Why collect
Data?
The
purpose of
the Data
Collection
exercise
What to
Collect ?
Identify
Measure
Define
Operational
Definitions
What Data
to be
collected
How to
Collect?
Ensure
Consistency &
Stability
Formulate
Data
Collection
Plan
Develop
Measurement
System
Analysis
Sampling
Strategy
Test and
Validate
Pilot Data
Collection
Plan
Collect
Data
Pilot
Collection
and
Validation
Plan
Train Data
Collectors
Monitor and
Improvise
Word
Wordof
ofCaution
Caution::Wrong
WrongData
DataLeads
Leadsto
toWrong
WrongConclusions
Conclusions
52
Data Collection Plan
Data collection occurs multiple times throughout DMAIC. The data collection plan
described here can be used as the guide for data collection. This help us ensure
that we collect useful, accurate data that is needed to answer our process
questions
It is important to be clear about the data collection goals to ensure the right data
is collected. If your data is in the wrong form or format, you may not be able to
use it in your analysis
Operational definition is a helps to guide thinking on what properties will be

measured and how they will be measured. There is no single right way to write an
operational definition. There is only what people agree to for a specific purpose.
The critical factor is that any two people using the operational definition will be
measuring the same thing in the same manner.
53
Template - Data Collection Plan
A format of an excel spread sheet that can be used for data collection plans for
our projects. The sample data collection plan above is for the Project CTQ, in this
example, Number of Rejections.
However one should remember that based on C-E Diagram and the SIPOC all
those Xs which the team feels to have a influence over the Y should also be
included in the data collection plan.
Example of a Data Collection Plan
54
Work out session

Complete till Fish Bone and
Data Collection in the
project
55
Sampling
What is Sampling all about??
Sampling is a process of collecting a portion or a sub-set of the total data available. This
total data available or could be available is often referred to as population. The sample
so drawn up from the population should help us to draw conclusions about the
population.
Some points to consider while collecting data
What amount of time is needed?

How much cost is involved?
Is it really possible?
56
Sampling
The Six Sigma team would always face a question How much data do we need
to have a valid sample? Though an important part of data collection is to obtain a
sample of reasonable size, it is one of many questions to be addressed during the
planning and development of a data collection strategy. Sample size is just one
aspect of a valid data collection activity
The validity of the data is impacted by many things for example, operational
definitions, data collection procedures and recording
In process improvement, there are a number of questions to keep in mind relative

to sampling:
Is the data representative of the situation or is bias possible?
What are the key considerations for either a process or population situation?
Why am I sampling? To improve or control a process or to describe some

characteristic of a population?
What is the approach to sampling (e.g., random, systematic, etc.) and
approximately how many to sample?
57
Sampling
When to sample?
Collecting all the data is impractical

High cost implications due to population study
Time availability
Data collection can be a destructive process (crash testing of cars)
When measuring a high-volume process
When not to sample?
The subset of data so collected may not be truly representative of the population thus
leading to a wrong conclusion (every unit is unique e.g., structured deals or auctioning
events)
58
Types of Sampling
Types of Sampling
Non
Random/Judgmental
The
groups knowledge and
Random /
All
items in the population
Probability
have an equal chance of
getting selected
Examples:
Cycle tyres being produced

in the assembly line have a
random check on the daily
production
10% quality check on daily
processed transactions
opinions are used to identify

items from the population
Examples:
Every third tyre used with

an aircraft is cut open and
checked for quality
Sampling for deducing the

error rates during high
volumes / near cut off times
59
Approaches for Sampling
What do you want to study.the Process or the Output???
Process Data
Population
Data
Process Approach
Population Approach
Assess the stability of the population over time
Make probability statements about the

population from the sample
Are the shifts, trends, or cycles occurring?

Do I take a special or common cause
variation approach to process
improvement?
I have 95% confidence that the mean of the

population for Turn Around Time is between
1.5 and 2.5 seconds
60

Approaches for
Sampling
Process
Systematic
Sampling
Measurement of AC
Room Temperature.
Collect one data point
every 1 hour for the
entire day.
Population
Rational Subgrouping
While studying the arrival rate

of documents as dispatched
by the customer. The entire
day is split up into quadrants,
rational being the arrival rate
of documents is similar within
each quadrant and different
between quadrants
Stratified
Random
Sampling
Random
Sampling
Survey across our

organization to know
what percentage of our
employees have visited
the intranet in last 7
days. Select employees
from population at
random and collect
data.
Average Cycle Time for

LC Issuance Process of
different countries.
Each Country is a
Strata (Segment).
Collect random data
from each Strata
61
Systematic sampling is typically used in process sampling situations when data

is collected real time during process operation. Unlike population sampling, a
frequency for sampling must be selected
Systematic sampling involves taking samples according to some systematic rule

e.g., every 4th unit, the first five units every hour, etc. One danger of using
systematic sampling is that the systematic rule may match some underlying
structure and bias the sample
For example, the manager of a billing center is using systematic sampling to monitor
processing rates. At random times around each hour five consecutive bills are selected
and the processing time measured
Like random samples, stratified random samples are used in population sampling
situations, when reviewing historical or batch data
Stratified random sampling is used when the population has different groups
(strata) and we need to ensure that those groups are fairly represented in the
sample. In stratified random sampling, independent samples are drawn from each
group. The size of each sample is proportional to the relative size of the group
62
The Process
12noon to 12.20pm
12.45pm to 1pm
1.20pm to 1.45pm
Sample
Subgroup of
samples
What does it mean

Sample at point A in the process every Xth hour to discover the patterns in operation hunch plays a role - data drives decision
Points to Remember
Monitor process frequently enough to catch it in various phases of operation
Several small subgroups to be measured at different points in time
Higher frequency of measurements for an unstable & unpredictable process
The frequency can be lowered in case of a stable process
Processes working on lower Turn Around Time need a higher Frequency and vise versa
63
Rational subgrouping is the process of putting measurements into meaningful

groups to better understand the important sources of variation
Rational sub grouping is typically used in process sampling situations when data
is collected real time during process operations. It involves grouping
measurements produced under similar conditions, sometimes called short-term
variation. This type of grouping assists in understanding the sources of variation
between subgroups, sometimes called long-term variation
Guidelines For Using Rational Sub grouping
Form subgroups with items produced under similar conditions

To ensure items in a subgroup were produced under similar conditions, select items
produced close together in time
Minimize the chance of special causes in variation in the subgroup, and

maximize the chance for special causes between subgroups
Sub grouping over time is the most common approach; sub grouping can be done
by other suspected sources of variation (e.g., location, customer, supplier, etc)
64
Sampling Bias
Sampling Bias
Opinion on the abolition of a Student Union is being considered in an

University..the target audience are students.a large number of those involved
in some political activity
Deduction: 93% of the respondents were against the move.

Bias occurs when systematic differences are introduced into the sample as a
result of the selection process
Not representative of the population

Will lead to incorrect conclusions about the population
65
Determining the Sample Size
3 metrics that determine the Sample Size
Level of confidence (ZC):
The Team needs to be sure of the adequate representation of the population with the
sample chosen
The term used for the same is Level of confidence which increases with an increase
in the sample size
Precision ()
How accurate is the result as a deduction from the samplewhat is the level of
accuracy needed in my samplewhat kind of process are we dealing with
Precision increases as sample size increases
Standard deviation of the population (s)
How much variation is in the total data population?

As standard deviation increases, a larger sample size is needed to obtain reliable
results
Sample
SampleSize
Sizeisisnot
notdependent
dependenton
onthe
thePopulation
PopulationSize
Size
66
Sample Size for Continuous Data
ZC
Is defined as the Z value at c level of confidence

For example a 95% level of confidence is taken for which Z value is 1.96
2
The Sample Size (n) can then be determined asn
Hence at 95% level of confidence
1.96 (s)
What do we infer??
(ZC) (s)
The measured
value can lie
between these
limits
Target Value
The Six Sigma Team can thus infer that the mean for the population lies within m
95% confidence - For service industry purposes we will use 95% confidence Interval
with
67
Sample Size for Discrete Data
Is the estimate of the proportion defective for the population

The maximum sample size is obtained at p = 0.5
2
The Sample Size (n) can then be determined asn =
(ZC)
p (1-p)
Hence at 95% level of confidence n
1.96
p (1-p)
What do we infer??
Proportion Defective -
The Six Sigma Team can thus infer

p
with 95% confidence
Proportion
Defective
that
the population
The measured
value can lie
between these
limits
Proportion
Defective +
proportion defective lies between
68
Measurement System Analysis (MSA)
TOTAL VARIANCE
Apparent variation = Process variation + Measurement
variation
Double Challenge:
Reduce variation in both processes!
69
Terms of MSA
Accuracy
Repeatability
Reproducibility
Measures the differences between Observed

average measurement against a Standard
Measures variation when one Operator
repeatedly takes the measurements of the
same unit with the same measuring
equipment
Measures variation when various Operators
measure the same unit with the same
measuring equipment
70
GRR Example
71
GRR Example
72
GRR Example
73
GRR Example
74
Analyzing GRR Results
Analyzing Gage R&R Results

R&R% of Tolerance
R&R less than 10% - Measurement System acceptable
R&R over 30% - Not acceptable. Find problem, re-visit the Fishbone Diagram, remove
Root Causes. Is there a better gage on the market, is it worth the additional cost?
R&R 10% to 30% - May be acceptable make decision based on classification of

Characteristic, Application, Customer Input, etc.
% Contribution (or Gage R&R StdDev): GR&R Variance should be small

compared to Part-to-Part Variance
Number of Distinct Categories
< 2 - no value for process control, parts all look the same
= 2 - can see two groupshigh/low, good/bad
= 3 - can see three groupshigh/mid/low
4 or more acceptable measurement system (higher is better)
Effective Resolution 50%, or more, of Xbar Chart outside control limitsimplies

part variation exceeds Measurement System variation
75
AAA - Example
76
AAA - Example
77
AAA - Example
78
Analyzing AAA Results
Within Appraiser Assessment Agreement graph
shows you the consistency of each operator's answers. For each appraiser, the graph
consists of the following:
Blue circle, which provides the actual percent matched
Red line, which provides a 95.0% confidence interval for percent matched
Blue cross and blue X, which provide the lower and upper limits for the 95.0%
confidence interval, respectively.
Appraiser versus standard graph
If you have a known standard for each part, then the percent matched between appraiser
and standard is plotted.
The Appraiser versus Standard Assessment Agreement graph shows you the
correctness of each operator's answers. For each appraiser, the graph consists of the
following:
Blue circle, which provides the actual percent matched
Red line, which provides a 95.0% confidence interval for percent matched
Blue cross and blue X, which provide the lower and upper limits for the 95.0%
confidence interval, respectively
79
Kappa
If kappa = 1, then there is perfect agreement. If kappa = 0, then agreement is the same as
would be expected by chance. The higher the value of kappa, the stronger the agreement
between rating and standard. Negative values occur when agreement is weaker than
expected by chance, but this rarely happens. Depending on the application, kappa less than
0.7 indicates the measurement system needs improvement. Kappa values above 0.9 are
considered excellent.
Kendall's
Use the p-values to choose between two opposing hypotheses, based on your sample data:
H0: There is no association among multiple ratings made by an appraiser
H1:The ratings are associated with one another
The p-value provides the likelihood of obtaining your sample, with its particular Kendall's
coefficient of concordance, if the null hypothesis (H0) is true. If the p-value is less than or
equal to a predetermined level of significance (a-level), then you reject the null hypothesis
and claim support for the alternative hypothesis.
Alternate hypothesis is good here as you are trying to judge if the match is due to chance or
significant match
80
Choosing between Kappa statistics or Kendall's coefficients
When your classifications are nominal (true/false, good/bad,

crispy/crunchy/soggy), use kappa statistics.
When your classifications are ordinal (ratings made on a scale), in addition to

kappa statistics, use Kendall's coefficient of concordance.
When your classifications are ordinal and you have a known standard for each
trial, in addition to kappa statistics, use Kendall's correlation coefficient.
Kappa statistics represent absolute agreement among ratings. Kappa statistics

treat all misclassifications equally.
Kendall's coefficients measure the associations among ratings. Kendall's

coefficients do not treat all misclassifications equally.
The consequences of misclassifying a perfect (rating = 5) object as bad (rating =
1) are more serious than misclassifying it as very good (rating = 4).
81
Work out session

Measurement System
Analysis
82
Tools Displaying Data Variation

For a period of Time
Over a period of Time
PERCENTAGE
I and MR Chart for C1

12%
8%
INPUT ERROR
PROCEDURE
Pie Chart
OTHERS
160
140
120
100
80
60
40
20
0
30
UCL=30.00
20
Mean=15
10
0
Subgroup
Errors
commited
LCL=3.68E-04
0
10
20
30
20
Not updated
Mov ing Range
62%
No. of errors
Discrete
Data
Indiv idual Value
OMISSION
18%
UCL=18.43
10
R=5.640
0
LCL=0
Error fields
Bar Chart
Frequency
Run Chart
Time
Box Plot
I and MR Chart for C1

Indiv idual Value
Measurement
Frequency Diagram
30
UCL=30.00
20
Mean=15
10
0
Subgroup
LCL=3.68E-04
0
10
20
Mov ing Range
Continuous
Data
Measurement
Histogram
20
30
UCL=18.43
10
R=5.640
0
LCL=0
83
Characteristics of Data
Characteristics of data
Dispersion
(Variation)
Central Tendency
Mean
A set of Data points can be compared and interpreted based on their Central
Tendency and Variation.
Median
Mode
Quartile Values
Standard Deviation
(SD)
Range
Span
Stability Factor
84
Central Tendency
Consider the time taken for people to withdraw Cash (including queue time) from
two different ATM counters. Which Counter is better !!
Counter 1 Counter 2
10
10
12
12
13
13
9
9
8
8
7
7
8
8
10
100
14
14
10.11
20.11
10
10
Mean
Median
Median is not
affected by
the presence
of extreme
values
Mode
Mode is the data point which occurs the most

often
Mode is extensively used in the case of

discrete data which are ordered categories
Mean
The arithmetic
average
Can get skewed

with extreme
observations
The deviations are

measure as
distance from the
mean
Median (the middle

data point)
The positioning of
the data set helps
determine median
Takes into account

all values but does
not get skewed
85
Dispersion
Standard Deviation
How much does each

point in the data set differ
from the mean
The aggregate score can

help determine variation
of the process
Range is the difference

between the highest and
the lowest value of a set
of data points
The range of the data

helps determine the span
Extreme 5% observations
on either side can be
discounted
(When central tendency is mean)
Range
(When central tendency is mean)
Span
(When central tendency is median)
86
Normal Curve
A Normal Curve originates from a Histogram. A histogram is a frequency

distribution chart showing the number of times a given value of the parameter we
are trying to measuring occurs.
Frequency
Normal Curve generated

by the Minitab Software
for curve-fitting
Histogram of Processing Cycle Time, with Normal Curve
20
Histogram showing the

Number of times 55
has occurred in the data
10
0
45
50
55
Processing Cycle Time
Menu Pull-Down
Sequence
in Minitab
Stat > Basic Statistics > Display Descriptive Statistics > Graphs
Minitab Software can be used to display a histogram, a histogram with a normal

curve & other graphical summary to be learnt later.
87
Normal Curve
34.13%
34.13%
13.60%
2.14%
2.14%
13.60%
0.13%
-3s
0.13%
-2s
-1s
0
68.26%
95.46
%
99.73%
+1s
+2s
+3s
Percentage of Data
getting covered under
the curve
Properties of a Normal Curve:
The curve never touches the X axisasymptotic

Mean, Median and Mode coincide
Curve can be divided in half with equal pieces falling either side of the most frequently occurring value
The peak of the curve represents the center of the process
The area under the curve represents virtually 100% of the product the process is capable of producing
88
Normality Plot
The minitab output of normality plot for a data set
Normal Probability Plot
.999
.99
Probability
.95
.80
.50
.20
.05
.01
P-Value
Determines
the normality
of the data
.001
24.8
25.8
26.8
27.8
28.8
29.8
30.8
31.8
32.8
33.8
C1
Average: 29.9371
StDev: 1.72224
N: 90
Stat > Basic Statistics > Normality Test
Anderson-Darling Normality Test

A-Squared: 0.366
P-Value: 0.427
Menu Pull-Down
Sequence in Minitab
Generates a normal probability plot and performs a hypothesis test to examine

whether or not the observations follow a normal distribution.
89

Straight Line
7
6
Frequency

for a Normal Distribution
Exponential Curve
20
Roughly Normal Distribution
4
3
Exponential Distribution
Normal Probability Plot for an

10
Percent
2
1
0
90
0
12
13
14
15
16
17
10
20
30
50
60
70
80
18
S curve
Bimodal curve
Bimodal Distribution
Long Tailed Distribution
Frequency

for a Bimodal Distribution
3
2
99
Normal Probability Plot For

Long-Tailed Distribution
3
99
95
95
90
90
0
7
11
13
15
17
19
21
23
80
70
60
50
40
30
80
Percent
Percent
Frequency
40
0
7
20
11
13
15
17
19
21
23
70
60
50
40
30
20
10
10
1
0
10
20
30
10
20
90
30
Types of Distribution
The Shape of the distribution depicted by the data can be studied with the help of
a histogram or more precisely with Normal Probability Plot
Roughly Normal Distribution
20
Frequency
6
5
4
3
10
2
1
0
0
12
13
14
15 16
17
18
19
10 20 30 40 50 60 70 80 90
Bimodal Distribution
6
Frequency
Frequency
5
4
3
2
1
0
7
11 13 15 17 19 21 23
91
Quartile Value
Quartile Values (Q1, Q3)
Q1
Of great Use when the data is highly skewed
Each Quartile contains 25 percentile of the data
Q3
Aims at dividing the data set in 4 quartiles and measuring the range in each
subsequently
92
Stability Factor
Skewed or Stable Ops Distributions:
The stability factor (SF) is the ratio of the first quartile and third quartile values. The
formula for Stability Factor is:
SF = Q1/Q3
The stability factor is interpreted such that the closer SF is to 1, the less variation there
is in the process. The further SF is from 1, the more
variation there exists in the process
Q1
Q3
Q1
Q1
Q3
Q3
<1
0 More Variation
More
Variation
Q1
Q3
Less
Variation
Less Variation 1
93
Box Plot
*
*
*
Outlier
Highest Value
Third Quartile (75%) value
Each segment
represents
25% of the
data points
Median
First Quartile (25%) value
Lowest Value
Box
BoxPlot
Plotisisanother
anothertool
toolto
tovisually
visuallydisplay
displayprocess
processdispersion
dispersion
94
Box Plot
Box Plots are graphical summaries of the patterns of variation in sets of data
Points noted with an asterisk(*) represent extreme values or outliers
The horizontal lines at the top and bottom of the plot represent the highest and
lowest values beyond which the data becomes an outlier. The horizontal line in
the middle of the solid box represents the median, and the solid box represents
the middle 50% of the data, with 25% of the data on the top side of the box and
25% of the data on the bottom side of the box
95
Descriptive Statistics
Descriptive Statistics
Variable: Processing Cycle
Time
Anderson-Darling Normality Test
A-Squared:
P-Value:
45
47
49
51
53
55
57
Mean
StDev
Variance
Skewness
Kurtosis
N
Minimum
1st Quartile
Median
3rd Quartile
Maximum
95% Confidence Interval for Mu
0.836
0.030
50.4118
2.2972
5.27718
0.424275
0.339406
100
44.7533
48.9910
50.0208
51.8229
56.5353
95% Confidence Interval for Mu

49.9560
49.8
50.3
50.8
2.0170
95% Confidence Interval for Median
50.8676
95% Confidence Interval for Sigma

2.6686
95% Confidence Interval for Median

49.6825
50.5014
Descriptive Statistics can be run on Minitab. The result will be shown as above.
One would be able to get information on Normality of the data, visual display of
data ( Normal curve), Box Plot, outliers, Mean, Median, Standard Deviation,
Menu Pull-Down
Quartile values.
Sequence
Stat > Basic Statistics > Display Descriptive Statistics
in Minitab
96
Run Chart
A tool used to depict the behavior of the process under investigation over a period
Parameter
of time
Median
Time
A run is defined as a single point or a series of sequential points where no point is

on the other side of the median
97
Patterns Observed in Run Charts

Shift / Mixtures
Same Value / Clusters
Trend
Cycle / Oscillation
98
Run Charts
99
Run Charts
100
Causes of Variations
Type of Variation
Common Cause
Characteristics
Characteristics
Inherent to the
process
Expected
Predictable
Normal
Random
Not Always Present

Special Cause
Unexpected
Unpredictable
Not Normal
Not Random
To distinguish between common & special causes variation, use display tools that
study variation over time such as run charts & control charts.
101
Analyze
Confer the assumption
Analyze
1 PROCESS CAPABILITY
Base lining
DPMO/DPU
Cp/Cpk
Calculate Sigma
2 IDENTIFY POSSIBLE CAUSES

Segmentation & Stratification
Sub-process Mapping
Process Map Analysis
Graphical Analysis Tools
Work Value Analysis
3 NARROW TO ROOT CAUSES
MUDA/MURI
Hypothesis Testing
ANOVA
t -Tests
Chi-square Test
Regression Analysis
QUANTIFY THE OPPORTUNITY

Determine the quantum of
Benefits from Root Causes
Deliverables: Process Sigma
Verified Root Causes
Estimate of Benefit
103
Rolled Throughput Yield
Final Yield (FY) Yield at the end of the process excluding

scrap
100 Units
Scrap
Step 1
10 Units
Step 2
10 Units
Step 3
70 Units
10 Units
Final Yield, FY = U/S = Units Passed/Units Submitted

FY = (100-30)/100 = .70 or 70%
104
Final Yield Ignores the Hidden Factory

HIDDEN FACTORY
Rework
10 Units
10 Units
10 Units
100 Units
Step 1
Step 2
Step 3
Scrap
10 Units
10 Units
70 Units
10 Units
105
Classical Yield Ignores the Role of Hidden Factory

Scrap
HIDDEN FACTORY
Rework
Operation
Verify
Product
106
Product of Throughput Yields

across the entire process
Rolled Throughput Yield (RTY)

HIDDEN FACTORY
Rework
100 Units
10 Units
Step 1
10 Units
90 Units
Scrap 10 Units
Step 2
80 Units
10 Units
10 Units
= 30 Units
Step 3
= 100 Units
10 Units
FTY 90 %
FTY 88.9 %
FTY 87.5 %
TPY 80 %
TPY 77.8 %
TPY 75.0 %
RTY .80
RTY .778
RTY .75
= 30 Units
FTY 70 %
= 46.7 %
Probability of Zero Defects

107

Product of Throughput
Yields across the entire
process
Rolled Throughput Yield (RTY)

HIDDEN FACTORY
Rework 10 Units
100 Units
10 Units
10 Units
Step 1 90 Units Step 2 80 Units Step 3
Scrap10 Units
10 Units
10 Units
= 30 Units
How much is
= 100 Units this
performance
level costing
= 30 Units us
FTY 90 %
FTY 88.9 %
FTY 87.5 % FTY 70 %
TPY 80 %
TPY 77.8 %
TPY 75.0 %
RTY .80
RTY .778
How long can

we sustain this
situation
Where should
we focus to
improve the
process
= 46.7 %
RTY .
75
Probability of Zero Defects
108
Sigma Calculation
Percentage
Defects Per Million

Opportunities
(DPMO)
99.99966%
3.4
99.9770%
230
99.3790%
6,210
93.320%
66,800
69.20%
308,000
Process Sigma
(Z ST)
Defects in the Process

defects w.r.t performance
standards
109
Common Terms
Critical-To-Quality Characteristics (CTQ): Customer performance requirements of

a product
Defect: Any event that does not meet the specifications of a CTQ
Defective: A unit with one or more defects
Defect Opportunity: Any event which can be measured that provides a chance of
not meeting a customer requirement
Dashboard: Graphical representation of process Measures providing a snapshot
of process health
110
Sigma Calculation
Calculating Process Sigma:
No. of Units Processed / sample size observed (N)

No. of defects observed (D)
No. of Opportunities of defect per unit (O)
Defects Per Opportunity =
D
N*O
D
x 1,000,000
N*O
Defect Per Million Opportunities =
Look up for the Sigma value in the Sigma Table

Yield = 1 - Percentage Defective (The goodness of the process output)
111
Abridged Sigma Table
112
How to improve the process performance
The Statistical Problem can be deduced from the data by concentrating our efforts
in 2 Directions
Are we
missing on
achieving
the Target
Mean??
OR
Is the
problem
around the
variations
??
Six
SixSigma
SigmaChallenge.
Challenge.Center
CenterMean
Meanand/or
and/orReduce
Reducevariation
variation
113
The Statistical Problem

USL
LSL
Target
Target
Reduce the process variation (control case)
Shift the process mean (technology case)
The process variation is well under control

The problem lies with the centering or the
mean target of the process output
Indicates a need for a look at the
technology being used for the process
Starting with a DMAIC.if need be a
DMADV/DFSS approach can also be taken
up
USL
LSL
The process is capable of performing around

the mean target of the process
However the variation is beyond acceptable
limits
The technology is supportive but the control
mechanisms are not very effective
Look at process improvements
114
Process Capability
What is it & how does it help us?
Process capability is a simple tool which helps us determine if a process, given its natural
variation, is capable of meeting the customer requirements or specifications
Tells us if the process is capable?

Helps to determine if there has been a change in the process &
Also enables the six sigma team to determine the percent of the product / service not meeting the
customer requirement to enable Root Cause Analysis
A stable process can be represented by a measure of its variation - six standard deviations
Comparing six standard deviations of the process variations to customer specifications
derives Process Capability
Cp : Process Capability
USL : Upper Specification Limit
Cp = USL - LSL
6
LSL : Lower Specification Limit
s : Estimated Standard Deviation
While Cp looks at the spread of variation it DOES NOT look at how well the process is
centered to the target value
Stat > Quality Tools > Capability Analysis (Normal)
Menu Pull-Down Sequence

in Minitab
115
Process Capability
Upper Spec
Limit
Lower Spec
Limit
Cp<1
Cp=1
Cp>1
-3 -2 -1
+1 +2 +3
Process Variation
exceeds Specification
in this case. Process
is producing
Defectives
Process is just about
meeting the
specification but
Centering needs
attention from the six
sigma team
Process Variation well
under control. Keep a
check on the
centering of the
process
116
Other Indices
But we can definitely estimate the process capability in terms of centricity...
The indices of Cpl and Cpu (for single sided specification limits)
or
& Cpk (for two sided specification limits) measure

- Process variation with respect to specifications
- Location of the process Average
Cpl = X LSL
Cpu = USL- X
3s
3s
Cpk is considered a measure of process capability and is taken as the smaller of either Cpl or Cpu
can then be estimated
Cpk = min (Cpl , Cpu )
Last but not the least Minitab helps us do all of it

Target a Cp greater than 1 and a Cpk nearer to 1
117
Control Impact Matrix
HIGH
The Difficult
Piece
Use Change
Management
Strategy
Target it
Why
wait???
now
!!!
Just Do it
Check the effort

vis a vis the
results
LOW
IMPACT
When we know the possible root causescan we attack all??
LOW
HIGH
IN OUR CONTROL
118
Control Impact Matrix

Classify all the causes that the group arrives at in the brainstorming session for
the Control and Impact Matrix

Use your teams process knowledge and business experience to list possible Xs
in a Control/Impact Matrix, then use process data to verify or disprove placement
of the Xs
Prioritization Steps
Using the Control/Impact Matrix shown above, examine each X in light of two
questions:
What is the impact of this X on our process?

Is this X in our teams control or out of our teams control?
With your team, place each X in the appropriate box on the matrix
Use process data to verify or disprove your assertions
The validated matrix is a guide used to addressing the Xs. Begin with the High
Impact/In Our Control category

Out of Our Control Xs may require special solutions and CAP( Change
Accelerating Process) tools for successful sustainable solutions
119
Segmentation and Stratification
Segmentation
A process used to divide a large group of data into smaller, logical categories for
analysis.
Segmentation is commonly used by us in our day to day business to understand
and interpret information
Example : Segmentation of customers based on the cities
Stratification
A process which uses summary metrics (central tendency, dispersion) to make

the decision about when to separate different processes for continued analysis
Unlike segmentation, stratification involves the uses data rather than just
information. Values of the Central Tendency and Dispersion are used to stratify
the given data set.
Example : Stratification of the customers based on the business volumes they provide us
120
Segmentation Tools
Pie Charts
Can be used to represent the %
No. of errors
160
140
120
100
80
60
40
20
0
Bar
Charts
Various combinations &

Errors
commited
Not updated
Error fields
break up or the absolute

numbers
Use excel to develop the graph
Further break up of each slice is
also possible
patterns of the Bar chart make it

the most widely used tool
Can depict process
performance in various pockets
as against the targets
Multiple axes can help depict
comparative effects of factors
121
Pareto Chart
180
April 1 June 30
160
80
f* of D+B
70
120
f* of D
100
60
80
50
60
40
40
30
20
0
Type of Defect
Cumulative
Summation Line
(Cum Sum line)
90
f* of D+B+F
140
Frequency
100
Number Of Units Investigated: 8,000

*f = frequency
Other
Cumulative Percentage
200
LEGEND
A: Typographical Errors
B: Incomplete Info
C: Sign not verified
D: Illegible
E: Process understanding
F: Poor Scan Quality
20
10
Approximately 80% of Defects from Defects D+B+F.

80 % of the effect on Y is caused by 20 % of the factors (X).
122
Pareto Chart
A fully documented Pareto chart will include the Cumulative Summation line or
Cum Sum line, which depicts the running total of the frequency of each
subsequent bar (stratification level). The right- hand axis on the graph will show
the cumulative percent of defects. By reading the Cum Sum line against the
cumulative percentage, your team can determine which of the stratification levels
comprise 80% of total for the problem, and direct their attention to those levels
The pareto chart is an important tool to further focus improvement efforts.

However, the top bars on the chart are not root causes and the team may need to
fully investigate each category in order to pinpoint the root cause. Like the Five
Whys, the pareto chart can be used in an iterative fashion in order to cascade
deeper into a process
123
Pareto Chart
Pareto Chart can be used in the Define Phase to narrow-down the scope of the
project and focus on key-factors if historical data available
Pareto Chart be used the Measure and Analyze Phase to analyzing the data
gathered to identify which are the 20 % Root-causes which cause 80 % of the
Effect
Pareto Chart should not be used in series repeatedly on the same set of causes
as this will reduce the focus area to 80 % of 80 % or 80 %.
124
Process Mapping
Points to Remember:
People who work on the process know it the best. Involve people who know
(focus on) the As Is Process
Decide, Clarify and Agree upon Process Boundaries

Use Group Activities like Brainstorming
Use verb - noun format (e.g., Prepare contract not contracting )

Dont aim at the person taking care of the activity
Respect the boundaries

Dont start problem solving
Validate and refine before analyzing
125
Process Mapping
Earlier in Define, you developed a high-level or SIPOC process map. By looking at

a process from a big picture perspective, you evaluated customer needs and
supplier inputs, and determined initial measurement objectives
Now, you will look in more detail at the sub processes defined in the SIPOC map.
Sub process maps provide specifics on the process flow that you can then
analyze using several useful techniques. Choose what to sub process map by
determining which of the major steps in the SIPOC have the biggest impact on the
output (Ys). The block (or blocks) selected is the one on which you create a sub
process map using it to understand how and why it impacts the output
If the output is a time measure, which of the blocks consumes the largest portion of total
time, or which one has the most variation or delays?
If the output is a cost measure, which of the blocks adds the most cost?
If the output is a function measure, which block has the most errors or problems?
Like working with a puzzle, you begin to assemble the pieces of an area on which
it makes sense to focus our efforts
126
Sub Process Mapping
Core Process
Business Process
SIPOC
Suppliers
(ext.) Customers
(int.) Cust.
Service Dept.
Sub Process map

Tasks
Procedures
127
Sub Process Mapping
Here are some guidelines on building a sub process map. These are not absolute
but they should help you avoid some of the pitfalls of process mapping:
Focus on As Is To find out why problems are occurring in a process, you need to
concentrate on how its working now
Clarify Boundaries If youre working from a well-done high level map, this should be
easy. If not, youll need to clarify start and stop points
Brainstorm Steps Its usually much easier to identify the steps before you try to build
the map
Starting each step description with a verb (e.g., Collate Orders; Review Credit Data)
helps you focus on action in the process
Who does the step is best left in parentheses (or left out) you want to avoid equating a
person with the process step
128
Examples: Sub Process Mapping

Process flowchart
Top Down Flow Chart
functional map/flowchart
Planning for a party
No
Yes
1.0
2.0
Determin
e Party
Size
Find
Location
1.1
2.1
Decide
on
Budget
1.2
Decide
Theme
Decide
on Guest
list
Select
Location
2.2
Deployment Or cross-
3.0
Invite
Guests
3.1
Complet
e
Invitation
s
3.2
Send
Invitation
s
Dept 1
Dept 2
Dept
Creates
List
Writes
invitation
Yes
Is the
Guest List
covered
Sends out
the invitation
No
Completes
List
Invitation task
completed
129
LEAN
Muda means waste, where waste is any activity that does not add value. Reducing
or eliminating muda is, of course, one of the fundamental objectives of any
quality-oriented person.
Defects
Overproduction
Inventories
Unnecessary processing
Unnecessary movement of people
Unnecessary transport of goods
Waiting
Designing goods and services that done meet customers needs
Muda is one of the '3Ms': muda, or waste, mura, meaning irregular, uneven or
inconsistent, and muri, meaning unreasonable or excessive strain.
130
Types of Waste
Type of waste
Example
Complexity
Unnecessary steps, excessive documentation, too may permission needed
Labor
In efficient operations, excess head count
Overproduction
Producing more than the customer demands. Producing before the customer needs it
Space
Storage for inventory, parts awaiting disposition, parts awaiting rework and scrap storage.
Excessively wide aisles. Other wasted space
Energy
Wasted power or human energy
Defects
Repair, rework, repeated service, multiple calls to resolve problems
Materials
Scrap, ordering more than is needed
Idle materials
Material that just sits, inventory
Time
Waste of time
Transportation
Movement that adds no value
Safety Hazards
Unsafe or accident-prone environments
131
Work Value Analysis

VALUE ADDED WORK
Can be recognized and classified as steps that are:
Essential for the process
Change the form of the input in some way
Are done right the first time
The customer is willing to pay for them
Data Input
App waiting in
the queue
Rechecking
Developmental
Training
Processing
NON VALUE ADDED WORK

Can be recognized and classified as steps that are
Non Essential for the process
Do not Change the form of the input in some way
Are Repetitive in nature
The customer is NOT willing to pay for them
VALUE ENABLING WORK

Can be recognized and classified as steps that are
Essential for the process
Even if the customer is not willing to pay for them
Like trainings for employees
132
Work Value Analysis
Value-enabling work is just a different type of nonvalue-added work. While this

terminology can be difficult, it does attest the perspective: If the customer isnt
willing to pay for it, it must be nonvalue-added by definition.
Value-enabling may be tasks and steps that are still needed given todays
condition. Consider what it would be like if things were perfect.
Clues To Nonvalue-Added Work Symptoms:
Your organization is grouped by functions
REs usually cause you to loop back to an earlier point in your process
To get work done, you need multiple approvals

Your policies address only control issue
REs are things in your process that are done more than one time (REdo, REcall,
REissue)
REs consume time, add to the complexity, and use additional resources & costs the
organizations more in terms of $$s
133
Cycle Time Analysis

Movement of
the goods
5 hrs
Processing
2 hrs
Movement
4 hrs
Processing
Output waiting
to be shipped
4 hrs
4 hrs
The entire process is taking 1.5 dayscan we reduce the TAT??

Experts say that a 66% of the time spent in a process can be targeted for reduction which is usually
spent in activities like:
Movement
Storage
Waiting Time etc
We can by a simple Cycle time Analysis select and target such potential areas / activities
134
Cycle Time Constituents
Process Time + Delay Time = Total Cycle Time

Process
Step
10
11
12
13
14
15
16
17
18
19
TOTAL
% TOTAL
Time
Taken
120
15
120
180
120
10
15
90
15
120
120
957
100 %
Where & Why are we

spending the highest
time??
What kind of
activities are
these.
VA / NVA / VE??
% STEPS
Why should we
retain activities
which are NVA
and contributing
to total TAT???
135
Process Flow Analysis

Looking at the process together..work flow & value analysis
Process Step
10
11
12
13
14
15
16
17
18
19
Total
% Total
Est. Avg. Time

(Mins)
120
15
120
180
120
10
15
90
15
120
120
957
100%
48
5%
180
18.80%
- Control/ Inspection
0.80%
- Delay
690
72.10%
- Move
30
3.10%
- Value-Enabling
0.10%
957
100%
Value-Added
% Steps
Nonvalue-Added
- Internal Failure
- External Failure
- Prep/Set-Up
Total
136
Process Flow Analysis
Cycle Time
The total time from the point in which a customer requests a good or service until the good or service is
delivered to the customer. Cycle time includes process time and delay time
Process Time
The total time that a unit of work is having something done to it other than time due to delays or waiting.
It includes the time taken for value-added steps, internal failure, external failure, control, inspection,
preparation/set-up, and move
Delay Time
Total time in which a unit of work is waiting to have something done to it
Linking value analysis with cycle time analysis creates a compelling business case for change
Displaying this information on process maps emphasizes focus areas for improvement and begins building
data for Quantify the Opportunity
Tips/Traps
Dont get stuck on deciding if a step is value-added or nonvalue-added
Allow team to discuss it
Consensus with 2/3s majority vote
Push team to make process map a true as is.
The ratio for an average as is map is 20% value-added, 80% nonvalue-added
137
Hypothesis Testing
What is Hypothesis Testing?
When you suspect some of the Xs to cause differences (variation) on the Y, then that is
the hypothesis.
Hypothesis Testing involves statistical validation of the Hypothesis.

Examples :
Two of the processors (X) have same efficiency (Y)

There has been no increase in business volumes (Y) this year (X) compared to last
When to test for Hypothesis ?
Increases your confidence that probable Xs are statistically significant

Used when you need to be certain that a statistical difference exists
138
Hypothesis Testing
What kind of differences are we trying to detect with the help of Hypothesis Testing?
Continuous data:
Differences in averages
Differences in variation
Differences in distribution shape of values
Discrete data:
Differences in proportions
139
Types of Hypothesis Testing
Normal
Data
There are different types of the Hypothesis Tests. The type of the test depends on
Statistical definition (Discrete or Continuous) of Xs & Y
Each of these have a differential statistical treatment

However the interpretation of results are common.
n
o
i
s
s
e
r
Reg
ANOVA
a
S
1-
le
p
m
st
e
tT
t
s
e
T
t
ple
m
a
S
2
Chi-Square Test
140
Hypothesis Testing
ANOVA The simplest type of problem that is studied with the help of the analysis
of variance is one in which a single factor is under consideration and this factor
possesses several categories of levels, which could have a possible effect on a
variable of interest. Example, suppose an office manager is interested in knowing
which of the four brands of typewriters has to be purchased for the office. The
hypothesis tested is that all brands of the typewriters yield same result.
Regression The regression analysis is basically useful for two primary

purposes:
It can be used to predict the value of one variable when the value (s) of other related
variable(s) is (are) known; and
It can be used to examine whether there is relationship between two or more variables
and it can further describe the strength of that relationship.
141
Hypothesis Testing
One sample t test
Example: A state agro canning company uses an automatic machine to fill cans to a
specified weight. As the automatic machine has a tendency to drift out of adjustments,
the quality assurance department draws a random sample of 20 cans from each days
production and weighs these cans. The average weight of the sample can is found to be
485 g instead of the specified weight of 500 g and the sample standard deviation was
16.5 g. Would you specify, on the basis of the sample information, a readjustment for the
automatic machine?
Two sample t test
Test concerned two populations and two samples. Is the average expenditure of the male
customer is equal to the average expenditure of the female customer. Sales of the
product before and after an advertising campaign.
142
Hypothesis Testing of Mean - Roadmap

Are
Xs
Discrete?
No
Regression Topics
Yes
Are
Ys
Continuous
?
No, Y Is Discrete
2 (Chi Square)
Yes, Y Is Continuous
Parametric
F test and Barlett test for

variance
Comparing
only 2
Groups ?
No, Multiple Groups

ANOVA
Non Parametric
Mann Whitney for 2

sample t test
Sign Test for 1 sample t
test
Moods Median for ANOVA
Levenes test for variance
Yes
Are
You
Comparing To
A Standard?
Yes
No
2 Sample t-Test
1 Sample t-Test
143
Minitab Directions
Stat>Basic Statistics>2 Sample t.
There are two ways to make a two-group comparison, depending on how you have
recorded data in Minitab
If each group is in its own column, select the Samples in different columns option
If all the data is in one column and you have factor labels in a second column, select the
Samples in one column option
While you can assume that the variation in the two groups is equal, its usually more
appropriate to leave the Assume equal variances box unchecked
Stat>Basic Statistics > 1-Sample t

Stat>ANOVA
In Minitab, there are two ways to compare several groups:
If you have all the response data in one column and the group identity labels in another
column, choose the One-way option

If you have each group in its own column, choose the One-way (Unstacked) option
Stat > Tables > Chi-Square Test
144
T-test: An example
The t-test is used when we wish to compare the average performance of two groups.
A brand Bulbs
B brand Bulbs
The statistical test examines whether the data supports or disputes the
Null Hypothesis no difference between the means of the two populations .
m1 = m2
Alternate Hypothesis that the means are not equal or when there is a difference between the two population means
m1 m2
when you dont have a clear preference: less than or greater than
m1 < m2
or m1 > m2
145
One Sample t Test
146
One Sample t Test
147
Homogeneity of Variance
148
Homogeneity of Variance
149
Two sample t test
150
Two sample t test
151
ANNOVA
152
Chi Square Test An example
A process was producing 106 non defectives and 376 defectives per day. After improvement it was
performing at a level of 503 non defectives and 0 defectives. Do the two processes differ significantly?
Defectives
Non defectives
C2
503
310.99
C3
0
192.01
TOTAL
503
106
298.01
376
183.99
482
Total
609
376
985
Chi-Sq =118.547 +192.008 +

123.712 +200.374 = 634.640
DF = 1, P-Value = 0.000
Since p value is less

than 0.05 we Reject Null
Hypothesis.
The processes are
significantly different
Thus the two processes are proved to be significantly different from each other on performing a Chi
Square test on the values for the before and after the change scenarios
153
Chi Square
154
Chi Square
155
Chi Square
156
Types of Hypothesis Testing
1-
Tes
n
g
i
S
e
l
Samp
Kruskal-Wallis
Non
Normal
Data
ey
n
t
i
h
W
Mannre
a
u
q
S
Chi
Mood's Median Test
t
s
e
T
s
n
u
R
Above are test to be used when the data is not normal
157
Hypothesis Testing
1 Sample sign test
It is used to test whether the two different group data has changed by analyzing the
signs of the result.
Run Test
It is used to test the sample for randomness.
158
Correlation & Regression
To narrow down upon the key variables (root causes) we next go on to a topic that
Helps us determine the NATURE & STRENGTH of a relationship between 2 variables
159
Correlation
A Correlation problem arises when the 6s team discusses whether there is any relationship
between a pair of variables
A Scatter Diagram is a graphical tool for exploring the relationship between
predictor variables (Xs) and the response variable (Ys) (i.e., causes and the effect).
The equation under consideration stands at Y = f(x)
This technique can be used to
See whether the potential cause variable and the effect variable are related to one another
Range Of The Predictor Variable (Xs)
The range is the difference between the largest and smallest values
The range of the potential cause variable should be wide enough to show possible
relationships with the effect variable
Irregularities In The Data Pattern
Check whether the data pattern indicates possible problems in the data
160
Cycle Time (Days) (Y)
Scatter Diagram
40
35
30
25
20
15
10
5
1K
2K
3K
4K
5K
6K
7K
8K
9K
10K
Amount to be
Sanctioned (X)
A Scatter Diagram is an important graphical tool for exploring the relationship

between predictor variables (Xs) and the response variable (Ys) (i.e., causes and
the effect)
161
Some Scenarios
1
Strong Positive
Correlation
Strong Negative Correlation
Positive
Correlation
For all charts:

best)
No Correlation
Negative
Correlation
Other Pattern
Y = Participant satisfaction (scale: 1 worst to 100

X = Trainer experience (# of hours)
162
Some Scenarios
Interpretation Of Patterns:
Positive Relationship: X Increases/Y Increases
Graphs 1 and 2 as X increases, Y increases

Graph 1 Strong, positive relationship between X and Y. Not much scatter. Points form a
line with a positive slope

Graph 2 Weaker, positive relationship between X and Y. Scatter is wider. Points still form
a line with a positive slope
Negative Relationship: X Increases/Y Decreases
Graphs 2 and 3 as X increases, Y decreases

Graph 3 strong negative relationship between X and Y. Not much scatter. Points form a
line with a negative slope

Graph 4 weaker negative relationship between X and Y. Scatter is wider
As trainer experience increases, participant satisfaction decreases
No Relationship: For any value of X, there are many values of Y
Graph 5 there is no relationship between X and Y. No one line best describes the data
Non-Linear relationship The relationship between X and Y is complex and cannot

be summarized with a straight line
Graph 6 Inverted U. This is not a linear relationship

163
Growing
Population of ants
Word of Caution
Growing Population of Human

Beings
Lesson learnt : Correlation doesnt imply causation

164
Regression
The correlation coefficient r measures the strength of linear relationships; 1 r

1
When a relationship exists, the variables are said to be correlated
Perfect negative relationship
r = 1.0
No linear correlation
r= 0
Perfect positive relationship
r = +1.0
r2 Measures the percent of variation in Y explained by the linear relationship of X

and Y
165
Regression
Y = mX + C
Line of
Best Fit
X
Regression Equation: Y = mX + C, where
C = Predicted Value Of Y When X = 0
m= Slope Of Line
Change in Y Per Unit Change in X
166
Forecasting and optimization are complex
Come on! It cant go

wrong every time...
167
Work out session

Complete the project till
choosing hypothesis & Minitab
session
168
Quantify the Opportunity
WHAT: Quantifying the Opportunity is all about the Six Sigma Team visiting the Benefits to be
accrued from the project. The index at this point of time would comprise of both Hard &
Soft gains (with a $ figure attached to hard gains) however no cost factors are involved at
this time
WHY: To provide the financial rationale of continuing the project, and to gauge the allowable
spending on the specific solution (s) that will be identified in Improve. It is a key milestone
to be covered before the Analyze tollgate
WHEN: Usually after the verification of the vital few root causes
Quantify The Opportunity
Done in the Analyze phase
It is not for a specific

solution
Considers only Gross

numbers
Covers the entire process

as the scope
Cost/Benefit Analysis
Done in the Improve stage
Calculated for a specific

solution
Talks about Net gains
Scope: A portion of the

process
169
170
Improve
Fix the process (es)
Improve
GENERATE/SELECT SOLUTIONS
Brainstorming
TRIZ
DOE
Criteria Matrix
REFINE SOLUTION
NGT
FMEA
Idea Screening Tools
Error Proofing
TEST SOLUTION
Pilot planning
Verification of Results
JUSTIFY SOLUTION
Cost Benefit Analysis
Deliverables:
Solution Design
Developed Solution Tested on a small Scale
Cost
Benefit Analysis
172
Improve - Steps
Creative
Approach
Analytical
Approach
Brainstorming
Data
Analysis
(DOE)
Select Best Idea

Filter
Refine the Idea

Error
Proofing /
FMEA
Test the
new Idea
Pilot
Justify
173
Design of Experiments
We will understand the following:
Understand the strategy behind Design of Experiments (DOE)

Create a design matrix
Code factors
Understand the limitations of OFAT experiments
Interpret interactions
174
Why Learn about DOE?
Properly designed experiments will improve
Efficiency in gathering information
Resources
Predictive knowledge of the process

Ability to optimize process
Planning
Response
Control input costs
Capability of meeting customer CTQs
175
What is DOE?
A DOE is a planned set of tests on the response variable(s) (KPOVs) with one or
more inputs (factors) (PIVs) each at two or more settings (levels) which will:
Determine if any factor is significant

Define prediction equations
Allow efficient optimization
Direct activity to rapid process improvements
Create significant events for analysis
176
DOE Terminology
Response (Y, KPOV): the process output linked to the customer CTQ
Level: setting of a factor (+, -, 1, -1, hi, lo, alpha, numeric)
Factor (X, PIV): uncontrolled or controlled

studied
variable whose influence is being
Treatment Combination (run): setting of all factors to obtain a response

Replicate: number of times a treatment combination is run (usually randomized)
Repeat: non-randomized replicate
Inference Space: operating range of factors under study
177
DOE Objectives
Learning the most from as few runs as possible; efficiency is the objective of DOE
Identifying which factors affect mean, variation, both or none
Screening a large number of factors down to the vital few
Modeling the process with a prediction equation:
Optimizing the factor levels for desired response
Validating the results through confirmation
178
Strategy of Experimentation
Planning Phase
Execution Phase
Define the problem

Set the objective
Select the response (s), Ys
Select the factors (s), Xs
Select the factor levels
Select the DOE design
Determine sample size
Run the experiment
Collect data
Analyze data
Validate results
Evaluate conclusions
Revise SOPs
Train affected workforce
Document results
Consider next experiment
179
Response Relationship to Other Tools
Power On
Inputs
Process Map
Bulb life
Projector
Instructor Training
Outputs
Projector has
bright light
Projector is quiet
Cause
Colors correct
Computer Interface
& Effect Matrix
Environment
Method Machine
Bulb
Room
Brightness Instructions
Computer Settings
Low Bulb
Brightness
Instructor
Light Meter
Process
Inputs
1
2
3
4
Quiet
Customer
Bright Light
Cause & Effect Diagram for Bright Light
Importance to
Color Correct
Rating of
Power on 9 3
Bulb Life 8 1
Instructor1 1
Computer 2 1
10
2
3
1
9
11
12
13
14
15
Total
119
95
23
95
5
6
7
Power On
Measurement
Person
180
Factor Relationship to Other Tools
Process Map
Bulb life
Outputs
Projector
Instructor Training
Projector is quiet
Colors correct Cause
Machine
Room
Brightness Instructions
7 8
Quiet
Cause & Effect Diagram for Bright Light
Rating of
Importance to
Customer
Total
Power on 9 3
Bulb Life 8 1
Instructor1 1
Computer 2 1
2
3
1
9
119
95
23
95
Process
Inputs
Bulb
Computer Settings
Low Bulb
Brightness
1
2
3
4
5
6
7
& Effect Matrix
Color Correct
Computer Interface
EnvironmentMethod
Projector has bright

light
Bright Light
Power On
Inputs
10
11
12
13
14
15
Instructor
Light Meter
Power On
MeasurementPerson
181
Experimental Design Considerations

Experimental
Objective
Many
K
PI
V
s
Experimental Design Types
OFAT (One Factor at a Time)

Screen
Fractional Designs
2k Full Factorial
Optimize
2k Full Factorial ( w center

points/replication)
Full Factorial (replication)
Model
Few
RSM (Response Surface

Method)
Less
K
N
O
W
L
E
D
G
E
More
Less
C
O
S
T
More
182
Factors and the Process
X1 Price
X2 PO
X3 Terms
X1 Temp
X2 Press
X3 Time
Business
Process
Y:
Accounts
Receivable
Hold
Manufacturing
Process
Y:
Scrap
Reduction
DOE can be applied to both business and industrial processes
183
Coding Three Factors
Low-1
High+1
Press = 2
Press = 10
Temp = 10
Temp = 125
Resin = 56
Resin = 3560
temp
+1
+1
re
-1
-1
si n
Coding convention often uses

+ for high and - for low
press
+1
184
TRIZ Theory of Inventive Problem Solving
A theory of problem solving based on the recognition of the power of

psychological inertia and the importance of having a process to move problem
solving activities beyond this inertia by identifying contradictions (barriers to an
ideal solution) and providing specific tools and strategies for eliminating them
Genrikh Altshuller (developer of TRIZ) screened thousands of patents looking for

inventive problems and how they were solved. Only 40,000 had inventive
solutions; the rest were straightforward improvements.
Altshuller categorized these patents by identifying the problem-solving process

that had been used repeatedly. He found that the problems had been solved using
one of forty inventive principles.
185
TRIZ Key Concepts
Overcoming Psychological Inertia
Psychological Inertia is the sum total of an

individuals personal bias, previous experience
and technological knowledge. When
challenged with a problem, the solution path
will be constrained by the individuals
psychological inertia. Psychological inertia
predisposes not only the solution path, but the
types of solutions as well. Psychological
inertia defines the boundaries of the solution
space; if the ideal solution for a problem
demands out-of-the-box thinking,
psychological inertia confines the thought
process to the conventional box.
186
TRIZ Key Concepts
Inventive Principles are rules for system transformations. Each principle is

intended to eliminate a single contradiction or several contradictions. Also, these
principles can be used simply to stimulate, or initiate, the thought process to
create the ideal solution to a problem. They can be used for inspiration in
conceptual design, directly utilized in the case-based design or used in various
forms of analogical reasoning.
Two of the forty principles are listed in next page with accompanying service examples.
Apply Selected Inventive Principles To Your Contradiction/
Problem To Develop Innovative Solutions
187
TRIZ Key Concepts
188
Brainstorming Techniques
Structured Brainstorming
Smooth Flow of Ideas

Everyone has an opportunity to express opinions
Efficient process in terms of idea generation
Less Creative in approach
Unstructured Brainstorming
Smooth
Random Flow of Ideas
All opinions may not be captured
Lesser number of ideas generated
Effective process for creative ideas
189
Structured Brainstorming: This is a process in which the ideas are generated in a

systematic method by moving from one person to another and obtaining an idea.
The person who does not wish to provide an idea, passes. The process is
continued until each participant passes and the facilitator determines no fresh
ideas are being generated. As with all forms of brainstorming, the ideas are then
taken up for discussion. At the end discard any ideas that are similar and debate
on each idea to come up with the finalized list of possible solutions
Unstructured Brainstorming: In this form of brainstorming, ideas are generated

randomly and there is no need to pass. The solutions are discussed freely and
can be proposed at any time. This type of brainstorming process is effective when
the representation of each of the diverse groups involved in the discussion is
large. However, the facilitator should be careful that even in this randomized
discussion with large representations, ideas may not be captured completely
190
Brainstorming Principles
Must be for all Brainstorming forms
Allow Free Flow of Ideas

Create Heterogeneous Groups
Focus on Critical Xs & CTQs
Avoid Large Groups (6 - 10 optimum)
Prevent Biases (Group/Function/Subject)
Manage Time
Scribe all Details
Use Voting Techniques
191
Channeling / Anti Solution
Anti Solution
Channeling
Structured approach to brainstorm

on specific category of solutions
available to the team
Structured approach to brainstorm

on the opposite of the objectives of
the discussion
192
Analogy / Brain writing
Analogy
Brainstorm on ideas on related

topic to unblock the thought
process
Brain Writing
Build on ideas written on a sheet

of paper randomly distributed
amidst the group
193
Channeling: This form of brainstorming entails channeling of thoughts of the participants similar
to the discussion in Fishbone diagram. The discussion revolves on specific stream/section of

solution. E.g While discussion on methods to improve the sales of soaps, potential solutions can
be channeled into: Improvements related to the packaging, fragrance, cutting of costs or
distribution system for the product
Antisolution: Here the objective of the team is reversed to exactly the opposite of what is to be
determined. E.g. In an effort to improve the training program, the team can debate about the ways
in which the training program can be worsened. The solutions are opposite of what is determined
during the discussion
Analogy: Analogy form of brainstorming encompasses a discussion on a process/product that is

similar to the one which is being improved.e.g. Instead of discussing on What are ways to
improve the productivity of call center associates for an insurance customer service call center,
the team can discuss opinions on productivity of associates in the customer service call center
for Automobile Leasing. Make associations at the end of the discussion
Brain writing: Written ideas are exchanged in this process. Each person who receives a written
idea tries to expand on it or adds a totally new idea to it. The pieces of paper are rotated & a
collections of ideas or solutions are then debated & prioritized. This is used when the team
members are unknown to each other
194
Solution Selection
Screening against
Must Be
Benefits
Pay Off Matrix
Compliance, Policies &

regulations
Customer CTQs
Business CTQs
Effort
Solutions for further

discussions
N/3 Voting
Criteria Based Matrix

Combine all similar
choices with
consensus
Generate/Update
List of Solutions
Rationalize/Justify/
Reject solutions
Tally Votes
for each
choice
Allow members
to choose 1/3 of the
list as choices
Establish Criteria
Assign
Wt.
# of
Votes
Soln. 1
Soln. 2
Ease of Use
Inter site availability
Preparation of Charts
Information Real time
Auto escalation of
unresolved issues
Filters & Regulated
Access
Total Score:
195
Solution Selection
Pay-off Matrix: After the possible solutions are generated, they can be assigned to
different quadrants of the pay off matrix. The ideas which are low on benefits, are
rejected. The discussion is then focused on the high effort/high benefits and
these are rationalized for implementation. Some of the solutions in this quadrant
are so prohibitively expensive that they can be eliminated without further
analysis. Caution needs to be maintained when eliminating potential solutions
from this quadrant
Screening against Must be criteria: Company policies, Local laws & Social
considerations are extremely important before proceeding further on any
solution. Finally, the extent to which the customer CTQs of the project are
satisfied is a key consideration for selection (Use Kano model to evaluate
expected extent of satisfaction generated)
N/3 Voting: The key consideration in this form is that all rejected solutions should
be justified
196
Criteria Based Matrix
Where to use CBM

More than a few criteria for solution selection
Solutions scoring differently under each criteria
The weight for each criteria differs
How to use CBM
Identify Criteria and assign weightage
The Team members to give votes to each idea
The votes are then multiplied with the weights of the criteria established for
selection
The total scores obtained at the bottom of the solution are used to select the
same
197
N G T: Nominal Group Technique

What is the best method to reduce cost per
transaction?
Member 1 Member 2 Member 3 Totals
Solutions
Simplify Application process

Automation
Employ Six Sigma
Consolidate sites
Implement Web Services
Reduce Workforce
6
1
3
5
4
2
4
1
3
6
5
2
6
1
2
4
3
5
16
3
8
15
12
9
Simplify Application process & consolidate Sites
198
Error Proofing
Error Free Designs or Processes
Eliminate the Possibility of setting the Xs beyond the limits
Can also be used in conjunction with the Risk Management or SPC
Warns Operators before the Xs move to the outside limit so that the preventive
action can be taken
The opportunity for error needs to be minimized or eliminated
Get it right during process design!
199
FMEA
Definition
Failure Mode & Effects Analysis is a tool to identify the relevant importance of possible
failure of the process/solution & establish clear mitigation strategy associated with the
risks
Principle of FMEA
Impact of any failure on a process is not only severity of the failure but also the
frequency of occurrence & the ability of the control mechanism to detect the failure
A Team activity with the subject matter experts!
200
FMEA
Objective:
Addressing rational concerns that have significant affect on the performance of the
proposed solution
To evolve a consensus on the recommended corrective actions and procedures to

follow.
Suggestions for completion of the activity in time:
It would be best to address concerns from a process perspective rather than have a
business contingency plan activity which would affect the entire business (e.g
Earthquake, Fires, Natural calamities, Geo-political exigencies, Power back ups etc.).
Each individual SME/functional expert would position the argument. More often than not
the suggestions/action plans would come from him/her or through a judicious
discussion within the group.
The process owner takes the final call on the impact except when issue is related to a
Legal or a Compliance issue.
201
FMEA
FMEA is carried out on the Process/Product being introduced or redesigned
FMEA is a live document
Calculate the Risk Priority Number by multiplying the scores associated with
Severity, Occurrence & Detection-revisit frequently to update
Process
Step/Part
Number
Actions
Recom
mended
Potential
Failure
Mode
Resp.
Potential
Failure
Effects
Target
Date
Actions
Taken
S
E
V
Potential
Causes
S
E
V
O
C
C
O
C
C
D
E
T
Current
Controls
D
E
T
R
P
N
R
P
N
202
Calculating RPN
RPN = Severity x Occurrence x Detection
Severity Scale
Rating
Bad
10
Criteria A Failure Could:

Injure a customer or employee
Be illegal
Render product or service unfit for use
Cause extreme customer dissatisfaction
Result in partial malfunction
Cause a loss of performance which
More the
severity,
higher is
the
rating
is likely to result in a complaint

4
Cause minor performance loss
Cause a minor nuisance, but be

overcome with no performance loss
Be unnoticed and have only minor

effect on performance
Good
Be unnoticed and not affect the

performance
203
Calculating RPN
Occurrence Scale
More
Bad
Rating
10
Good
Time Period
Probability
often it
More than once per day
> 30%
occurs,
Once every 3-4 days
30%
higher is
Once per week
5%
the rating
Once per month
1%
Once every 3 months
Once every 6 months
Once per year
Once every 1-3 years
.03%
1 Per 10,000
6 Per 100,000
6 Per Million
3 Per 10 Million
2 Per Billion
204
Calculating RPN
Detection Scale
Lower the
Bad
Rating
10
Definition
ability
Defect caused by failure is not detectable
to detect,
Occasional units are checked for defect
Units are systematically sampled and inspected
All units are manually inspected
is the
Units are manually inspected with mistake-proofing
rating
higher
modifications
5
Process is monitored (SPC) and manually inspected
SPC is used with an immediate reaction to out-ofcontrol conditions
SPC as above with 100% inspection surrounding out of-control conditions
Good
2
All units are automatically inspected
Defect is obvious and can be kept from

affecting the
customer
205
Testing for Solutions
Why Test Solutions
Confirm to potential solution

Obtain feedback and buy-in for proposal
Opportunity for refining solution
How to Test Solution
Small scale experimentation-Piloting

Modeling-Physical Models
Simulation- Computer models
206
Testing Essentials
Create a Data collection plan & monitor activities for Data consistency & Stability
Verify that the process has improved-Process capability, Hypothesis Testing for
evaluating Statistical significance of the old & the improved process
Why collect
Data?
What to
Collect ?
How to
Collect?
Ensure
Consistency&
Stability
Ensure robust Measurement plan for testing the solution
207
Justify Solution
Tangible Benefits
Savings
Incremental Revenue
Interest Cost & Income
Cash Flow
Reduced Workforce
Intangible Benefits
Customer Retention
Improved VOE/VOC/VOS
Ease of Work
Better Governance
Prepare Net Financial Gains & supplement with Intangible gains and Obtain
Business & Finance Leader approvals before proceeding
208
CBA
Hard Gains
Cost Heads
Trainer Cost
T& L
Q Team Support
Facilities
Equipment
Stationary & Manuals
GB Examination
Total Cost
Vendor
250,000
30,000
4,444
20,000
1,000
15,000
50,000
370,444
In House Training
0
0
11,111
20,000
1,000
10,000
2,222
44,333
Soft Gains
Trainings customized to
the need of the employees
Calendar & Duration of

the training according to
Organizations need
Estimated annual cost

Per Training
12 Training per year
Cost with QAI Cost with Quality Team

370,444
44,333
4,445,333
532,000
Cost of creating the training manual

Average per
day cost
Man Days Spent
30
2,222
Total Cost incurred

66,667
Savings per year

3,846,667
Benefits of Training
In-house
vs.
Employing a Vendor
Assumptions
1. Hypothetical Costs assumed
2. Recurring cost of upgrading the content is INR 66, 667
* All Figures in INR
209
210
Control
Sustaining the benefits
Control
1
PROCESS CONTROL PLAN

Process Management Chart
Process Documentation
Selection of Control Charts
Interpreting Control Charts
Response Plan
2
IMPLEMENT SOLUTION
Stakeholder Analysis
Implementation elements
3
CLOSE PROJECT
Documentation
Communication of Learning
Project Closure
Deliverables:
Process Control Developed
Fully Implemented Solution
Communication
of Project
212
Why Control?
Improvements
Process Control
No Process Control
Time
To hold the gains of the DMAIC project there by ensuring that the efforts of
the project team are not written off
213
Why Control?
Process Control is essential to prevent the loss of gains over a period of

time
Detect the out of control state of processes & determine the appropriate
actions
Control System incorporates Risk Management, SPC, Measurement & Audit

Plans, Response plans, Documentation & Ownership
214
What To Control?
Input
Measures
(Xs)
Output
Measures
Process Measures
Monitoring
Points
At the barest minimum, measure CTQs

Strive to measure the critical Xs to provide chances to make corrections
Install the appropriate data collection plan
Audit appropriately
Early warning system prevent $$ Impact ( Rework reduction )
215
Process Management System

New special cause variations identified
Deployment flow
chart
Documentation
&
Standardization
What, Who, Where of the

process
Activity Details
Key Measures
Monitoring
Response
plan
Ongoing Auditing
What, Who, When, How of

data collection &
measurements
What, Who, When, How of

action upon process
failure
Standards
Measurement &
Process
Procedure for
adjustment
Containment
Procedure for
improvement
216
Process Management Charts

Documentation
The
PlanFor
ForDoing
DoingThe Work
The Plan
Deployment
Flowchart
Detail On
Key Tasks
Monitoring
Response Plan
Checking
CheckingThe
TheWork
Work
Key Process
And Output
Measures
Monitoring
Standards
The
TheResponse
ResponseTo
ToSpecial
SpecialCauses
Causes
Method For
Recording
Data
Containment
Procedure
For Process
Adjustment
Procedure
For System
Improvement
217
Documentation
Documentation process is an activity that ensures that the knowledge

gained by the project team is:
Implemented successfully
Retained by the business
Used to standardize the business processes
Future resources can be trained easily
Improvements can be shared and translated across
Institutionalized
Documentation Levels
Process
Management
System
Core Process
Flowcharts
Procedures
Checklist
Increasing level of detail

Sub Process
Micro Process
218
SPC
Control Charts
Monitor Changes in the Xs & detect changes that are due to Special Causes
Used when the Xs cannot be mistake proofed or need to be controlled for inherent
variations
219
Control Charts
Common
Cause/Random Variation
Upper Control Limit
6000
3.0SL=5587
5000
X=4198
4000
3000
-3.0SL=2810
1
2000
Subgroup
Week
10
20
30
40
10/22/00
12/31/00
3/11/01
5/20/01
Special Cause
Variation
Average
Time/Sequence Axis
Lower Control Limit
Select Process, Measures to be charted

Establish Data Collection & sampling plan
Calculate the Statistics
Plot Control Charts(2 Charts for Continuous Data & 1 for Discrete Data)
220
Interpretation of Variation
How you interpret variation . . .
True Variation Type
Common Causes
Common
Causes
Special
Causes
Focus on systematic
process change
Mistake 2
Under-reacting
(missed prevention)
Special Causes
Mistake 1
Tampering
(increases variation)
Investigate
special causes
for possible
quick-fixes
221
Selecting Control Charts
Continuous
Discrete
Type Of Data
?
Need To
Detect
Small
Shifts
?
No
Rational
Individuals
Individual Subgroups
Measurements
Or
Subgroups
?
Sample
Size
<10
Yes
Individuals
and Moving Range
Chart
Type Of
Discrete
Data
?
Classification
(defectives)
X and R
Chart
Constant
Sample
Size
?
Yes
Yes
Count
(defects)
Constant
Opportunity
?
No
No
X and S
Chart
p-Chart
np Chart
c-Chart
u-Chart
222
Work out session Q & A
223
Selecting Control Charts

1. A team from Marketing is tracking response rates (yes, no) on telemarketing calls. Each day they
randomly sample 100 responses from their outgoing calls. The number of positive responses is
plotted on the chart.
2. The technical support area is monitoring average response time on help requests. Each hour 5
calls are sampled.
3. A team is monitoring the number of applications received each day with incomplete fields. All
applications are being audited. Each day 200-250 applications are received.
4. A team is monitoring the cycle time for the underwriters loan decisions. The data comes in
slowly; that is, one loan is completed daily.
5. A team is tracking the number of fields left blank on an application. Each day a sample of 100
applications is audited.
6. Another team is doing the same thing as the team in example 5 (counting the number of fields left
blank on an application), only they are looking at all the applications that come in daily. Each day
50-100 applications are turned in.
7. The team is tracking the number of abandoned calls to a customer call center in a shift. Each shift
takes from 200-400 calls.
224
Types of Control Charts

p-Chart
np-Chart
Rejected Items based different Sample sizes
Rejected Items based on constant Sample Size

1
30
3.0SL=0.3324
0.2
P=0.1685
0.1
Number Defectives
Proportion Defective
0.3
1
NP=12.00
10
-3.0SL=3.101
-3.0SL=0.004728
0.0
0
0
10
20
10
u-Chart
Number of Blemishes per unit sq. m of

Artificial Leather
c-Chart
Defects reported on 100 sq. m of Artificial Leather
3.0SL=7.677
7
6
5
4
3
C=2.725
2
1
0
-3.0SL=0.00E+00
10
20
30
Sample Number
40
0.08
Number of Defect/sq. m
20
Sample Number
Sample Number
Number of Defects Reported
3.0SL=20.90
20
3.0SL=0.07520
0.07
0.06
0.05
0.04
0.03
U=0.02705
0.02
0.01
0.00
-3.0SL=0.00E+00
0
10
20
30
40
Sample Number
225
Types of Control Charts
1050
11
1
1
Weight of Each bag
3.0SL=1011
Weight of each bag
I-MR Chart for each bag of raw material.

Individuals Chats for the each bag of raw material
1050
3.0SL=1011
950
X=936.9
850
Subgroup
950
11
-3.0SL=862.8
10
20
30
40
50
X=936.9
1
1
0
10
1
20
30
40
50
Moving Range
850
-3.0SL=862.8
100
3.0SL=90.96
50
R=27.84
0
-3.0SL=0.00E+00
Xbar/R Chart for size of steel

rod(requirement 600+/-3mm)
3.0SL=602.4
602
601
X=600.2
600
599
-3.0SL=598.1
598
Subgroup
Range within
individual
Subgroups of
Samples
9
8
7
6
5
4
3
2
1
0
10
Subgroupl Mean
603
Xbar/S Chart for size of a steel

Rod(Specification 600+-3mm)
3.0SL= 7.866
X=600.2
600
599
-3.0SL=598.6
598
0
10
3
2
R=3.720
3.0SL=601.9
601
Subgroup
20
602
Subgroup
Standard
Deviation
Mean of Subgroups of
Samples Collected
Bags received during the day
20
3.0SL=2.909
S=1.695
-3.0SL=0.00E+00
-3.0SL=0.4808
226
Examples
Ex1: You work at an automobile engine assembly plant. One of the parts, a
camshaft, must be 600 mm +2 mm long to meet engineering specifications. There
has been a chronic problem with camshaft length being out of specification,
which causes poor-fitting assemblies, resulting in high scrap and rework rates.
Your supervisor wants to run control chart to monitor this characteristic, so for a
month, you collect a total of 100 observations (20 samples of 5 camshafts each)
from all the camshafts used at the plant, and 100 observations from each of your
suppliers
Ex2: You are conducting a study on the blood glucose levels of 9 patients who are
on strict diets and exercise routines. To monitor the mean and standard deviation
of the blood glucose levels of your patients, create a control chart. You take a
blood glucose reading every day for each patient for 20 days
Ex3: As the distribution manager at a limestone quarry, you want to monitor the
weight
(in pounds) and variation in the 45 batches of limestone that are shipped weekly
to an important client. Each batch should weigh approximately 930 pounds
227
Examples
Ex4: Suppose you work in a plant that manufactures picture tubes for televisions.
For each lot, you pull some of the tubes and do a visual inspection. If a tube has
scratches on the inside, you reject it. If a lot has too many rejects, you do a 100%
inspection on that lot
Ex5: You work in a toy manufacturing company and your job is to inspect the
number of defective bicycle tires. You inspect 200 samples in each lot and then
decide to create a control chart to monitor the number of defectives. To make the
chart easier to present at the next staff meeting, you decide to split the chart by
every 10 inspection lots
Ex6: Suppose you work for a linen manufacturer. Each 100 square yards of fabric
can contain a certain number of blemishes before it is rejected. For quality
purposes, you want to track the number of blemishes per 100 square yards over a
period of several days, to see if your process is behaving predictably
228
Examples
Ex7: As production manager of a toy manufacturing company, you want

to monitor the number of defects per unit of motorized toy cars. You
inspect 20 units of toys and create a control chart to examine the
number of defects in each unit of toys
229
Implementation
Elements of Good Implementation planning
Objectives
Incorporation of Pilot learning
Resources & Time Frame
Influence Strategy
Control plan
Documentation
230
Implementation Strategy
3 2 -P o rt P a tch P a n e l
3 2 -P o rt
P a tc h P a n e l
W or k g ro u p
Hub
S W - W in g , 4 t h - F lr .
C a r d io lo g y N u r s e S t a t io n
W or k g ro u p
Hub
S E - W i n g , 8 t h - F lr .
O B / G Y N N u r s e S t a t io n
C is c o 7 5 0 7
M u lti p r o to c o l
R o u te r
C a b l e tr o n M M A C
P lu s C h a s s is
W or k g ro u p
Hub
S E - W in g , 3 r d - F lr .
T I - C A T /M R I N u r s e S t a t i o n
F i b e r P a tc h C o r d s
6 4 -P o rt
P a tc h P a n e l
W or k g ro u p
Hub
N W - W in g , B s m t . C o m p u te r R o o m
T IT L E
S E - W in g , G n d . - F l r .
E R N u r s e S ta tio n
D E S C R I P T IO N
S a m p le L o g i c a l D i a g r a m
Quality of
solution
A V is i o s a m p l e d r a w in g f il e s h o w i n g t h e a p p l ic a t io n o f s h a p e s f r o m v a r io u s
N e t w o r k E q u i p m e n t s t e n c il s i n c o n s t r u c t i n g a l o g i c a l n e t w o r k d i a g r a m .
S C A LE
R E V IS E D
NT S
DA T E
D RA W N
B Y
1 2 /1 5 / 9 6
JL
Acceptance of
Solution
Effectiveness of Implemented
Solution
231
Acceptance Strategy
Key constituents Map
Stakeholders Analysis
Stakeholder Analysis
Names
Strongly
Against
Moderately
Against
Neutral
Moderately
Supportive
Associates
SLT
X
X
Quality
SWAT
Team
Identify Stake holders to be addressed first
Stakeholder 1
Stakeholder 2
Stakeholder 3
Identify Stakeholder Support Profile
Influence Strategy
Issue/Concern Identify Wins
Additional Pertinent Information
Customers
Mid
Management
Strongly
Supportive
TPC Analysis
Strategy
Data
Demonstrate
Demand
Determine Influence Strategy
Cause of
resistance
Examples
Ranking
Technical
Political
Cultural
Identify Causes for Stakeholder Resistance
232
Acceptance Strategy
Key Constituents Map: This tool is used for mapping out the size of the
stakeholder team that would be affected by the change that is going to be
implemented. The tool helps the team identify what should be the right
composition of the implementation team (proportional to the key constituents
map sections). It also helps determine (based on size) the stakeholder that needs
to be addressed first
Stakeholder Analysis: Stakeholder analysis helps provide an insight on the extent

of support/resistance that should be expected by the project team during the
implementation of the project. It also establishes the requirements for successful
implementation for the project team. Using this information the team would be
able to determine which key stakeholders need to be influenced or sought
support from during the implementation
233
Implement Solution
3 2 -P o r t P a tc h P a n e l
3 2 -P o rt
P a tc h P a n e l
W o rk g ro u p
H ub
S W - W in g , 4 t h - F lr .
C a r d io lo g y N u r s e S ta tio n
W o rk g ro u p
H ub
S E - W in g , 8 t h - F l r .
O B /G Y N N u r s e S t a t io n
C is c o 7 5 0 7
M u l t ip r o t o c o l
R o u te r
C a b le t r o n M M A C
P lu s C h a s s is
W o rk g ro u p
H ub
S E - W in g , 3 r d - F lr .
T I -C A T /M R I N u r s e S t a t io n
F ib e r P a tc h C o r d s
6 4 -P o rt
P a tc h P a n e l
W o rk g ro u p
H ub
N W - W in g , B s m t. C o m p u t e r R o o m
T IT LE
S E - W in g , G n d . - F lr.
E R N u r s e S ta t io n
D E S C R IP T IO N
S a m p le L o g i c a l D ia g r a m
A V is i o s a m p l e d r a w i n g f i l e s h o w i n g t h e a p p l i c a t i o n o f s h a p e s f r o m v a r i o u s
N e t w o r k E q u i p m e n t s t e n c il s i n c o n s t r u c t i n g a l o g i c a l n e t w o r k d i a g r a m .
S CA LE
NTS
DATE
1 2 /1 5 / 9 6
D RA W N
BY
R E V IS E D
JL
Issue/Concern Identify Wins Strategy

Stakeholder 1
Stakeholder 2
Stakeholder 3
Data
Demonstrate
Demand
+
Project management
tools
Successful
Implementation
234
Project Closure
Essentials of Project Closure
Document & Communicate Results

Recommend Translation Opportunities
Evaluate Team success-Results, Process & Relationships
Celebrate
Disband Project Team
235
Summary
236
Presenter Details:
237

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Six Sigma Green Belt Training Program

Prelude to Six Sigma

Keep an Outside - In perspective

Drivers of Project Selection

Key output metrics that are

Key output metrics that

Key project metric defined

List your customers

Gather verbatim VOC &

Translate to needs statement

Review existing VOC data

Gather verbatim VOC &

Translate to needs statement

Organize all customer data

Affinity Diagram Credit Card Example

Translating VOC into CTQs

Gather verbatim VOC

Example: Translating VOC to CTQs

You take too much time in getting back to me!

These forms are too cumbersome!

- User Friendly Forms

- Process Turn Around Time not more than 10 min.

Identify Must Bes affecting CTQs

COST & COMPETITORS

Prioritizing CTQs Kano Model

Prioritizing CTQs - Kano Model

Kano Model / Theory:

Prioritization of Six Sigma Projects

Financials help prioritize projects

Volume Driven Metrics

Price Driven Metrics

Work out session

DETERMINE THE PROJECT CTQs

MAP THE PROCESS

Clarifies what is expected of the team

Sample Project Charter

Sample Project Charter

Elements of a Project Charter

The problem statement

What is the improvement

What is & what is not

What process will the team focus on?

In Frame / Out Frame - Project Scoping Tool

Process Definition & Elements

The Business Process

Process Mapping & Benefits

Process Mapping & Benefits

Supplier: The provider of inputs to your process

Output: The products or services that result from the process

Input: Materials, resources or data required to execute your process

Levels of Process Mapping

Process Mapping Guidelines

Use nouns for outputs (e.g., sales call, proposal, etc.)

Identify the process steps using brainstorming and affinity techniques

One step per card

All steps should begin with a verb

Don't try to establish order

For each critical input, identify the supplier who provides it

Goals, Roles, Processes and Interpersonal relationships.

Be clearly bound with defined goals

Be aligned with critical business issues and initiatives

There should be a significant impact

Work with other projects for combined effect