SMM598 – May-June 2016

SMM598: Six Sigma for Managers |May-June 2016

13 June 2016a

Six Sigma for Managers

chris.seow@city.ac.uk / chris@seow.org

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SMM598: Six Sigma for Managers | May-June 2016

Process Capability

MEASURE PHASE

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SMM598: Six Sigma for Managers | May-June 2016

Measure Phase Overview

In the MEASURE Phase, we will select one or more product or
process characteristics to address, map the respective process to
show what it actually looks like, establish acceptable performance
limits, validate our measurement systems and then take our
measurements.

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SMM598: Six Sigma for Managers | May-June 2016

By the end of this session you will be able to:

• Identify the Project Y.

• Define the performance standards for Y including specification limits
as well as defect and opportunity definitions.
• Understand how to gather and confirm attributes of inputs (X’s)
which are measurable and meaningful in terms of their effects on
performance.
• Know the difference between ‘discrete’ and ‘continuous data’.
• Validate the measurement system.
• Build a Data Collection Plan and collect the data.
• Characterise the data using mean and standard deviation.

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SMM598: Six Sigma for Managers | May-June 2016

Process: Characterization – Optimisation

Process Characterization
is concerned with the identification
and benchmarking of key process
characteristics. By way of a gap
analysis, common success factors
are identified.

Process Optimization
is aimed at the identification and
containment of those process
variables which exert undue
influence over the key process
characteristics.

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SMM598: Six Sigma for Managers | May-June 2016

Using statistics to solve problems

Low Yield

Mean Off Target

Isolate Key Variables

Automatic Controller

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The nature of statistical problems

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SMM598: Six Sigma for Managers | May-June 2016

Using statistics to solve problems

Selecting a CTQ Characteristic: Selecting the project Y(s)

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Define Performance Standards

“Measure” answers the following questions:
• What does the customer want?
• What is a good product/process?
• What is a defect?
• Examples of what the customer wants?
• Cycle time for drawings from order-to-proceed to delivery of drawings
<15 weeks
• Part dimensions -5.5+ 0.03 mm
• Computer leasing cost <£100 per unit per month

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SMM598: Six Sigma for Managers | May-June 2016

Measurement Systems Analysis

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Using Statistics to Solve Problems

Goal: To find the relationship

• Are our measurements

accurate?

• Would different project

team members obtain
the same values if they
did the measurement? If
they measured the same
attributes again?

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Using statistics to characterise processes

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SMM598: Six Sigma for Managers | May-June 2016

Measure Deliverables
• An analysis of customer requirements to establish defect definitions.
• Validation that defect definitions can be measured (validate data
source).
• Establish data types (discrete vs. continuous).
• Validate measurement system.
• Data collection plan and schedule.
• Evidence that team members understand the project.
• More developed process map.

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SMM598: Six Sigma for Managers | May-June 2016

What is Process Capability?

• The inherent ability of a process to meet the expectations of the
customer without any additional efforts.
• Provides insight as to whether the process has a…
• Centring issue (relative to specification limits)
• Variation issue
• A combination of Centring and Variation
• Inappropriate specification limits

• Allows for a baseline metric for improvement.

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Capability as a Statistical Problem

Our Statistical Problem:
What is the probability of our process producing a defect?

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Capability Analysis

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Process Output Categories

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Problem Solving Options – Shift the Mean

This involves finding the variables that will shift the process to the
target. This is usually the easiest option.

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SMM598: Six Sigma for Managers | May-June 2016

Problem Solving Options – Reduce Variation

Reducing Variation is typically not so easy to accomplish and
occurs often in Six Sigma projects.

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Problem Solving Options

Shift Mean & Reduce Variation
This occurs often in Six Sigma projects.

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Problem Solving Options

Obviously this implies making them wider, not narrower.
Customers usually do not go for this option but if they do…it is the
easiest!

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Capability Studies
• Are intended to be regular, periodic, estimations of a process’s ability to
meet its requirements.
• Can be conducted on both Discrete and Continuous Data.
• Are most meaningful when conducted on stable, predictable processes.
• Are commonly reported as Sigma Level which is optimal (short term)
performance.
• Require a thorough understanding of the following:
• Customer’s or business’s specification limits
• Nature of long-term versus short-term data
• Mean and Standard Deviation of the process
• Assessment of the Normality of the data (Continuous Data only)
• Procedure for determining Sigma Level

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Steps to Capability

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SMM598: Six Sigma for Managers | May-June 2016

Verifying the Specifications

Questions to consider:
• What is the source of the specifications?
• Customer requirements (VOC)
• Business requirements (target, benchmark)
• Compliance requirements (regulations)
• Design requirements (blueprint, system)

• Are they current? Likely to change?

• Are they understood and agreed upon?
• Operational definitions
• Deployed to the work force

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SMM598: Six Sigma for Managers | May-June 2016

Data Collection
Capability Studies should include ‘all’ observations (100% sampling) for a
specified period.

Short-term data: Long-term data:

• Collected across a narrow • Collected across a broader
inference space. inference space.
• Daily, weekly, for one • Monthly, quarterly, across
shift, machine, operator, multiple shifts, machines,
etc. operators, etc.
• Is potentially free of • Subject to both Common and
Special Cause variation. Special Causes of variation.
• Often reflects the optimal • More representative of
performance level. process performance over a
• Typically consists of 30-50 period of time.
data points. • Typically consists of 100-200
data points.

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Data Collection

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Baseline Performance

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Components of Variation
Even stable processes will drift and shift over time by as much as
1.5 Standard Deviation on the average

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Stable Process

A Stable Process is consistent over time. Time Series Plot and

Control Charts are the typical graphs used to determine Stability.

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Measures of Capability

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SMM598: Six Sigma for Managers | May-June 2016

Capability Formulas

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Measure Phase Checklist

Measure Questions
Identify Critical X’s and potential failure modes Capability Assessment
• Is the “as is” Process Map created? • What is the short-term and long-term
• Are the decision points identified? Capability of the process?
• Where are the data collection points? • What is the problem; one of centering,
• Is there an analysis of the measurement system? spread or some combination?
• Where did you get the data?
Identify Critical X’s and potential failure modes General Questions
• Is there a completed X-Y Matrix? • Are there any issues or barriers preventing
• Who participated in these activities? you from completing this phase?
• Is there a completed FMEA? • Do you have adequate resources to
• Has the Problem Statement changed? complete the project?
• Have you identified more COPQ?
Stability Assessment
• Is the “Voice of the Process” stable?
• If not, have the Special Causes been acknowledged?
• Can the good signals be incorporated into the process?
• Can the bad signals be removed from the process?
• How stable can you make the process?

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What are your key points from this session?

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SMM598: Six Sigma for Managers | May-June 2016

End of Session

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