How is 6s (six sigma) different from previous quality programs?

–It emphasizes an increased focus on quality as defined by the customer.  This is directly addressed by the sigma score.

–It emphasizes more rigorous statistical methods.

–It emphasizes the prioritization of improvement projects and alignment of the organizations resources to support the key strategic initiatives.

The Six Sigma Methodologies

There are 2 basic methodologies introduced in Six Sigma organizations. They are known by their acronyms DMAIC and DMADV.

The DMAIC method involves five steps: Define Measure Analyze Improve Control

–It is used to improve the current capabilities of an existing process

–It is the most commonly used methodology of sigma improvement teams.

–  The DMAIC method will be the focus of this class.

The DMADV method involves five steps: Define Measure Analyze Design Verify

–It is used to help create a process, product, or service to meet customer requirements .

–It is used when there is a need to complete a redesign because a process, product, or service is consistently incapable of meeting customer requirements.

–It is less frequently used.

–It is typically convened and staffed by senior managers.

The Six Sigma Body of Knowledge

• Enterprise-Wide Deployment
• Business Process Management
• Project Management
• Six Sigma Improvement Methodology and Tools – DMAIC
• Lean Enterprise
• Design for Six Sigma (DFSS)

Basic Six Sigma Terms

Metric – a verifiable measurement stated numerically or in qualitative terms

Sigma:

–Used in statistics to represent standard deviation or the degree of variation in a set of measurements

–Sometimes called process sigma

–Refers to how well the process is performing relative to customer specifications (1σ = ~69% defective output,  2σ = ~31% defective, 3σ = ~6.7 %, 6σ = ~00% defective)

Process: a set of interrelated resources and activities that transform inputs into outputs with the aim of adding value

Specification: documented, detailed requirements with which a product or service has to comply

Variation: where no two items or services are exactly the same; any quantifiable difference between a specified measurement or standard and the deviation from such measurement or standard in the output

Tollgate Review : a formal review process that helps keep the project on track and helps promote successful results.

Six Sigma as a Quality Framework

• Six sigma provides a blue print for implementing TQ system.
• Six sigma is said to be the realization of many fundamental concepts of TQ management where process elements of improvement is integrated with human element.
• Human issues include : Management and leadership, a sense of urgency, focus on results and customers, team process, and culture change
• Process issues include the use of process management techniques, analysis of variation and statistical methods, a disciplined problem solving approach and management by fact.

Contrasting feature of Total Quality and six sigma

• TQ based on worker empowerment and teams, Six sigma is owned by business leaders and champions
• TQ activities occur within a function, process or individual workplace; six sigma projects are cross functional
• TQ training is on simple improvement tools and concepts; six sigma focuses on a more rigorous and advanced set of statistical methods and structured problem solving methodology-DMAIC
• TQ is focused on improvement with little financial accountability; six sigma requires a verifiable return on investment and focus on bottom-line

Six Sigma can be applied in manufacturing as well as in service sector

Human Resource Management

Human Resource Management is a set of interrelated policies, practices and programs whose goal is to attract, socialize, motivate maintain and retain an organization’s employees.

Competitive advantage through people

Success of knowledge-based industries  such as software, information service etc. depends on “people-embodied know-how”

Core competency

Integrated knowledge sets with in an organization that distinguish it from the competitors and deliver value to customer

4 criterion of sustained Competitive advantage

• § he resources must be of value
• §  The resources must be rare
• §  The resources must be difficult to imitate
• §  The resources must be organized

Most pressing competitive issues

• §Going global
• §  Embracing Technology
• §  Managing change
• §  Developing human capital
• §  Responding to the market
• §  Containing cost

Going Global

• §  Different  geographies cultures, laws and business practice
• §  Cross cultural management
• §  Managing expatriate managers

Embracing New Technology

• §  From touch labour to knowledge workers
• §  Human Resources Information system (HRIS)

Managing Change

• §  Reactive Change
• §  Proactive change
• §  Managing change through HR