Master Black Belt in Six Sigma Edson Silveira de Oliveira March, 2004 2 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 3 DPC - South America - Six Sigma Program Quien somos: Du Pont ? Du Pont es una compaa cientfica mundial, conocida por algunos de sus inventos que revolucionaron al mundo en el siglo XX y que ofrece productos y soluciones en mercados como: Alimentos y Nutricin Construccin Textiles Transporte Electrnicos Salud 4 DPC - South America - Six Sigma Program Du Pont Performance Coatings Es el mayor fabricante a nivel mundial en Pinturas Automotrices e Industriales. Creada en 1999 a partir de la fusin de DuPont Automotive Finishes y Herberts (Divisin de Pinturas de Hoescht).
Posee operaciones en 36 pases a nivel mundial que suministran pinturas automotrices e industriales en los 5 continentes. Divisiones 5 DPC - South America - Six Sigma Program Du Pont Performance Coatings Venezuela Pinturas Automotrices e Industriales Mercado Automotriz (Region Andina) REFINISH OEM 6 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 7 DPC - South America - Six Sigma Program What is Six Sigma ? Six sigma quality means the virtual elimination of defects from every process, product and transaction in our company It is a key part of how we will do business well into the next century... However, the real impact of Six Sigma is that it is a business management process and not just a quality metric.
Chad Holliday Chairman & CEO DuPont Company February 26, 1999 8 DPC - South America - Six Sigma Program Six Sigma is a ... Vision Practically flawless execution Philosophy The way we do work. Business Improvement & Development Methodology Touches all facets of the business Measurable financial impact Performance Metric / Goal Performance measure Yardstick 1 0 DPC - South America - Six Sigma Program Benchmarking Results 1,000,000 100,000 10,000 1,000 100 10 1 3 4 5 6 7 2 Sigma Scale of Measure restaurant bills Doctors prescription writing IRS tax advice (phone in) airline baggage handling DuPont average world class performance DuPont safety 1 1 DPC - South America - Six Sigma Program Evolution of Six Sigma in the USA 1992 1995 2000 ABB Motorola TI IBM DEC Kodak AlliedSignal Nokia Sony Navistar Whirlpool Bombardier GenCorp Siebe Foxboro Lockheed Martin John Deere Siemens Compaq Seagate PACCAR Toshiba DuPont Dow Chemical Air Products Honeywell Johnson Controls Maytag Praxair Ford Johnson & Johnson GE 1985 funded full development of methodology current benchmark Six Sigma was originally developed for parts manufacturing, to provide a quality-driven competitive advantage and is now seen as a key to growth in profits & share price. then was expanded beyond manufacturing 1 2 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 1 3 DPC - South America - Six Sigma Program La nica garanta para nuestro negocio es un cliente satisfecho 1- Enfoque en el Cliente Darle al cliente lo que quiere, ni ms ni menos. 2- El Cliente define la Calidad Bien la primera vez = Menor costo 5- La Variabilidad es el Enemigo Tomar decisiones en base a data 4- Actuar con pruebas 3- Medicin es la Clave No sabemos lo que no medimos. 6- Aumento del Conocimiento Colectivo Personas con conocimientos y herramientas para la mejora continua Valores de Seis Sigma 1 4 DPC - South America - Six Sigma Program Satisfying the Stakeholders Customers maximum value in offering relative to cost. Employees wages, benefits, job security. Shareholders profit dividends and share price appreciation.
The only source of a paycheck is the customer.
The customer is the common denominator and the key to satisfying the needs of all of our stakeholders ! Who are they and what do they want ? 1 5 DPC - South America - Six Sigma Program Purpose ID Customer Needs Address Customer Needs Achieve Customer Satisfaction Gain Competitive Advantage End Result: Sustainable Profit Stakeholders: Customer Employees Shareholders All stakeholders needs will be met when the customers are satisfied. ask & listen improve or develop the process through SIX SIGMA increase revenue &/or reduce cost - can be internal, external, or both ! 1 6 DPC - South America - Six Sigma Program Unleashing Potential with Six Sigma Risk vs Knowledge Knowledge R i s k
Science data discipline good decisions confidence innovative Art chaos firefighting waste fear change averse Move along curve using 6s enhance process knowledge exploit to reduce defects and/or create new offerings 1 7 DPC - South America - Six Sigma Program Costos de Baja Calidad 6 sigma <10% de las Ventas 5 sigma 10-15% de las Ventas 4 sigma 15-20% de las Ventas 3 sigma 20-30% de las Ventas 2 sigma 30-40% de las Ventas Sigma Costos Existen buenas oportunidades de Reduccin de Costos!!! 1 8 DPC - South America - Six Sigma Program Value of Six Sigma profit total cost of goods sold theoretical cost cost of poor quality profit theoretical cost cost of poor quality without 6s Theoretical COPQ profit theoretical cost with 6s healthy business price erosion G1 sales price Improvement Projects Example 1 9 DPC - South America - Six Sigma Program profit Value of Six Sigma profit total cost of goods sold theoretical cost cost of poor quality profit theoretical cost without 6s healthy business price erosion Develop the offering so there is no COPQ G1 sales price theoretical cost profit with 6s Development Projects Example 2 0 DPC - South America - Six Sigma Program Value of Six Sigma market share balance of market without 6s with 6s total market market share non- strategic potential market share market share non- strategic potential strategic new share market share non- strategic potential market share potential strategic market share non- strategic new share with 6s Top Line Growth Example 2 1 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 2 2 DPC - South America - Six Sigma Program Which Business Function Needs It? All facets of the business ! Every task is a process. Every process has at least one customer and one output. Six Sigma focuses on improving the outputs ! manufacturing HR QA R&D admin supply chain engineering sales & marketing IT mergers & acquisitions 2 3 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 2 4 DPC - South America - Six Sigma Program The Six Sigma Process High Level business strategy ideas internal / external 1. xxxxxxxxx 2. xxxxxxxxx 3. xxxxxxxxx 4. xxxxxxxxx 5. xxxxxxxxx 6. xxxxxxxxx evergreen project list Six Sigma Projects 1. xxxxxxxxxxxxx 2. xxxxxxxxxxxxx 3. xxxxxxxxxxxxx project selection DMAIC & DMADV Six Sigma teams project validation realize benefit translation 2 5 DPC - South America - Six Sigma Program CTX Flowdown y y Y y y y y l l l l l l l l l l l l Projects Y MEASURE GOAL BENCHMARKING ACTUAL PERFORMANCE y y CTS CTQ CTP Projects Definition 2 6 DPC - South America - Six Sigma Program Six Sigma Process Project Level Within a Six Sigma Project we Translate a business challenge to a defect elimination, variability reduction problem, or development need Formulate this problem as a statistical problem Solve the statistical problem using tools and techniques taught in this course (or suggested by your MBB) Convert the statistical learning into business benefits and actions. Ensure gains are sustained long after project completion. Business Problem Practical Problem Statistical Problem Statistical Solution Practical Solution Business Solution 2 7 DPC - South America - Six Sigma Program Project Types & Methodologies Click link for more information on project types DMAIC DMADV (DfSS) Define Measure Analyze Improve Control Define Measure Analyze Design Verify Methodology Spectrum Baseline Projects Improvement Projects Design Projects Top Line Growth Projects 2 8 DPC - South America - Six Sigma Program DMAIC Phases & Deliverables D1: D2: D3: Project CTQs Project Charter Process Map M4: M5: M6: M7: M8: M9: Project Y Performance Stds Data Collection Plan Project Y Data Process Capability Improvement Goal A10: A11: A12: Prioritized List of Xs List of Vital Few Xs Financial Opportunity I13: I14: Proposed Solution Piloted Solution C15: C16: C17: Sustained Solution Project Documentation Translation Opportunities 2 9 DPC - South America - Six Sigma Program DMADV Phases & Deliverables 3 0 DPC - South America - Six Sigma Program Design for Six Sigma is...
DfSS is the set of Six Sigma philosophies, principles, methods, and tools applied to development work. Typically DMADV is associated with DfSS.
3 1 DPC - South America - Six Sigma Program 1994 Six Sigma Academy It All Starts with the Customer Six Sigma works from RIGHT to LEFT ! ID customer and find out whats critical for them (CTQ) Define what process output(s) (Ys) most closely relate to the CTQ Determine what process controls and inputs (Xs) most affect the output Identify modes of operation in the Xs to dramatically improve Y and delight the customer Final solution = optimal arrangement and control of the Xs Old school solution = Inspect Y and throw out the bad! Supplier(s) Inputs Output(s) Process Customer(s) Xs (inputs) Xs (process) Ys CTQs 3 2 DPC - South America - Six Sigma Program Process Map C&E Matrix & FMEA Multi-Vari Studies Hypothesis Testing Screening DOEs DOEs / Trial Exps Optimized Process Dynamics of Execution Strategy Control Plan The Funnel Effect 30 to 50 Inputs (Xs)
10 to 15 Xs 8 to 10 Xs
4 to 8 Xs
3 to 6 Vital Xs 3 4 DPC - South America - Six Sigma Program (DPC South Amrica) Green Belts (Venezuela) (9) Black Belts (Venezuela) (2) Green Belts (Brasil) (100) Black Belts (Brazil) (4) Champion Deployment (South America) (1) Personal Six Sigma Master Black Belt (South America) (1) 3 5 DPC - South America - Six Sigma Program Six Sigma Methodology: Summary Disciplined, Data-based approach Focuses on the customer and critical outputs Works upstream to control process Xs instead of relying on inspection and testing Attacks variation, defects and hidden costs / wastes Directly affects quality, cost, cycle time and financial results Ensures a predictable operation 3 6 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 3 7 DPC - South America - Six Sigma Program Ideal First Six Sigma Project Historical and current data accessible Good fit with Six Sigma methodology & tools Strong support/sponsorship in place Clearly linked to real business need Part of your ongoing work Not capital intensive Achievable in 4 - 5 months for improvement; 6-10 months for development (i.e. turnover to process owner) Clearly quantifiable savings or revenue enhancement, with minimum risk to external factors High probability of success 4 0 DPC - South America - Six Sigma Program Baseline Projects DMAIC
Existing
Broad or Focused - situational
1 or more Ys - situational
Improvement; Defect Identification & Reduction
Primarily Special Cause
2 to 4 Months
Stable Process, Quick Hit Imps, & Child 6s Project Charters
Varied (none to $MMs)
Methodology
Process
Approach
CTQs Ys
Focus
Variation
Duration
Output
Benefit
4 1 DPC - South America - Six Sigma Program Improvement Projects DMAIC
Existing
Focused
1-2 Ys
Improvement / Defect Reduction
Special and Common Cause
4 to 6+ Months
Improved Processes with Enhanced Capability
> $175K PTOI (Pre-Tax Operating Income)
Methodology
Process
Approach
CTQs Ys
Focus
Variation
Duration
Output
Benefit
4 2 DPC - South America - Six Sigma Program Examples of Improvement Projects Cycle Time Reduction Projects Reduce the time required to complete manufacturing processes or transactional activities. Example: Return empty railcars to supplier faster to reduce railcar storage (demurrage) charges. Defect Reduction Projects Reduce or eliminate defects in quality. Example: Eliminate defects in pigment color. Consumption Reduction Projects Reduce or optimize the consumption of costly raw material, contract service or energy. Example: Reduce amount of Lime required for neutralization. 4 3 DPC - South America - Six Sigma Program Development Projects DMADV or DMAIC (DMADV more typical)
New or Redesigned
Broad and Systemic
Many Ys
Design or Re-Design
Primarily Common Cause
6-12 Months (capital developments are longer)
6s Process, by Design
Typically Large & Often Soft
Methodology
Process
Approach
CTQs Ys
Focus
Variation
Duration
Output
Benefit
4 4 DPC - South America - Six Sigma Program Examples of Development Projects Cycle Time Reduction Reduce the time required to complete manufacturing processes or transactional activities. Example: Design a new bidding process for reverse auctions that reduces time to completion by 3 days Defect Reduction Projects Reduce or eliminate defects in quality. Example: Develop a new training program for operators that results in a reduction in poor quality polymer Demand Creation Projects Develop new marketing programs to create demand for an existing product. Example: Work with customers and partners to create new marketing plan for fire extinguishent resulting in significant new sales 4 5 DPC - South America - Six Sigma Program Definition of Top Line Growth The application of 6 Sigma to compel customers to buy more, resulting in increased value for DuPont and the Customers. (official 6/02)
TLG is a specific result area focused on profitably growing revenue.
Either DMAIC or DMADV may be used. 4 6 DPC - South America - Six Sigma Program Top Line Growth Projects DMAIC or DMADV
New or Redesigned
Either Narrow and Focused or Broad and Systemic
One Y or Many Ys
Improvement, Design, or Re-Design
Special Cause and/or Common Cause
4 to 6+ for Improvement type TLG; 6+ for Development
6s Process, by either Improvement or Design
High $ Value and Hard $; SBU Specific but typically > $500M
Methodology
Process
Approach
CTQs Ys
Focus
Variation
Duration
Output
Benefit
4 7 DPC - South America - Six Sigma Program Examples of TLG Projects Demand Creation Projects Develop new marketing programs to create demand for an existing product. Example: Work with customers and partners to create new marketing plan for fire extinguishent resulting in significant new sales Defect Reduction Projects Reduce or eliminate defects in quality. Example: Eliminate defects in pigment quality Platform Development Projects Develop an extension or upgrade to an existing process or product to create a new product Example: ??? 4 8 DPC - South America - Six Sigma Program TLG Product Development Application Development New Market Development At the Customer, For the Customer Could deliver cost savings or TLG TLG or Effectiveness Quality Improvement Service Improvement Pricing Process Improvement Selling Effectiveness Advertising/Communication Improvement Branding Effectiveness Channel Effectiveness Sales Lead Management PTOI Hard, soft, & one-time PTOI Hard, soft, & one-time PTOI Deliver TLG TLG Focus Areas 4 9 DPC - South America - Six Sigma Program Time for a Wrap-up Can you Describe what Six Sigma is in terms of its: purpose and value ? strategy and focus ? methodology ?
Describe how DMAIC or DMADV works to translate customer needs into high-performing processes ? 5 0 DPC - South America - Six Sigma Program Contenido Quien Somos: Du Pont..DuPont Performance Coatings
Que es Six Sigma ?
Por Que Decidimos Implementarlo ? Valores ?
Cmo lo aplicamos y donde?
Cmo funciona?
En que estamos trabajando en Du Pont?
Ejemplo... 5 1 DPC - South America - Six Sigma Program MEJORAS EN EL SERVICIO DE ENTREGAS A TIEMPO DE PRODUCTOS OEM Green Belt: Carlos A. Calabrese S. Status del Proyecto :Medicin / Anlisis / Experimentacin AGOSTO 2003 Proyecto Six Sigma 5 2 DPC - South America - Six Sigma Program Resumen del Proyecto Descripcin del Proyecto: Nuestra participacin en el Mercado Andino es de un 75%, lo que nos coloca como un proveedor estratgico en la regin.. En base a esto debemos garantizar en todo momento un flujo contnuo de los materiales que sn utilizados en el proceso de pintura de los vehculos.
Objetivo y Alcance del Proyecto: Incrementar el nivel de servicio a clientes OEM Andinos.
Variables CTS (Ys): % Servicio OEM Cambios de Produccin por Fallas de Suministro. Cambios de Produccin por Fallas de Calidad en los Productos. Situacin y Desempeo Actual: sigma: Y= 3,00 sigma (Short Term)
Meta del Proyecto: sigma: Y= 4,5 sigma (ST)
Beneficios: Mantener e Incrementar Participacin en los clientes OEM. Garantizar el flujo contnuo del proceso de pintura de las ensambladoras. Fabricar los productos que realmente requieren reposicin de inventario en la lnea. Garantizar 100% de satisfaccin en Servicio de Materiales Entregados a Tiempo.
5 3 DPC - South America - Six Sigma Program Fase Diseo de Experimento ESTRATEGIA: Se implementar un Sistema de Reposicin de Inventario KAMBAN bajo la modalidad de Teora de Restricciones, controlado por un Semforo: Stock de Seguridad Produccin y Reposicin Inventario OK en almacn 5 4 DPC - South America - Six Sigma Program Stock de Seguridad Consumo Zona Amarilla Inventario 0 Fase Diseo de Experimento 5 5 DPC - South America - Six Sigma Program Stock de Seguridad Consumo Zona Amarilla Inventario 0 Fase Diseo de Experimento 5 6 DPC - South America - Six Sigma Program Stock de Seguridad Produccin y Reposicin Inventario OK en almacn Fase Diseo de Experimento 5 7 DPC - South America - Six Sigma Program ACTUAL Liberacin de Materiales Ensambladoras rojo azul PROPUESTO Fase Resultados 5 8 DPC - South America - Six Sigma Program Hallazgos: Variacin entre las Cantidades de Materiales Solicitados y los realmente Consumidos. Solicitudes Adicionales y Adelantos de Materiales frecuentes. Retraso por parte del Cliente en las Entregas de las Liberaciones. Mejora Planteada: Implementacin de un Sistema de reposicin de Inventarios bajo el esquema KAMBAN para el Suministro de Materiales a la Ensambladora. Beneficios: 100% de Servicio en Entregas a Tiempo y Completo (100% Satisfaccin del Cliente) Mantener e Incrementar el % de Participacin de Nuestros Clientes OEM El Suministro depender de la demanda real (Consumo) de la lnea. Inventarios ptimos ajustados a las necesidades reales (Reduccin de Inventario). Optimizacin de los Recursos de Manufactura (Facilities & Personal) ya que el sistema de planificacin de la produccin estar basado en las necesidades reales. Fase Conclusion