Few concepts one need to be clear about, before driving deep into Six Sigma
Define Phase
Critical To Quality - CTQ : CTQs (Critical to Quality) are the key measurable characteristics of a product or process whose performance standards or specification limits must be met in order to satisfy the customer. They align improvement or design efforts with customer requirements.CTQs represent the product or service characteristics that are defined by the customer (internal or external). They may include the upper and lower specification limits or any other factors related to the product or service. A CTQ usually must be interpreted from a qualitative customer statement to an actionable, quantitative business specification.To put it in layman's terms, CTQs are what the customer expects of a product... the spoken needs of the customer. The customer may often express this in plain English, but it is up to us to convert them to measurable terms using tools such as DFMEA, etc.
Charter : A document or sheet that clearly scopes and identifies the purpose of a Quality improvement project. Items specified include background case, purpose, team members, scope, timeline.
Flowchart : A flowchart is a graphical representation of a process, depicting inputs, outputs and units of activity. It represents the entire process at a high or detailed (depending on your use) level of observation, allowing analysis and optimization of workflow.A flowchart is a graphical representation of a process. It represents the entire process from start to finish, showing inputs, pathways and circuits, action or decision points, and ultimately, completion. It can serve as an instruction manual or a tool for facilitating detailed analysis and optimization of workflow and service delivery.
SIPOC : SIPOC stands for suppliers, inputs, process, output, and customers. You obtain inputs from suppliers, add value through your process, and provide an output that meets or exceeds your customer's requirements. SIPOC helps you not to forget something when mapping processes. Once the customers are identified, voice-of-the-customer data can be collected and customer requirements(CTQs) can be defined. The SIPOC diagram also helps scope the project, provides a high-level view of the workflow and helps ensure that all team members are seeing the project the same way.
Define Phase
Critical To Quality - CTQ : CTQs (Critical to Quality) are the key measurable characteristics of a product or process whose performance standards or specification limits must be met in order to satisfy the customer. They align improvement or design efforts with customer requirements.CTQs represent the product or service characteristics that are defined by the customer (internal or external). They may include the upper and lower specification limits or any other factors related to the product or service. A CTQ usually must be interpreted from a qualitative customer statement to an actionable, quantitative business specification.To put it in layman's terms, CTQs are what the customer expects of a product... the spoken needs of the customer. The customer may often express this in plain English, but it is up to us to convert them to measurable terms using tools such as DFMEA, etc.
Charter : A document or sheet that clearly scopes and identifies the purpose of a Quality improvement project. Items specified include background case, purpose, team members, scope, timeline.
Flowchart : A flowchart is a graphical representation of a process, depicting inputs, outputs and units of activity. It represents the entire process at a high or detailed (depending on your use) level of observation, allowing analysis and optimization of workflow.A flowchart is a graphical representation of a process. It represents the entire process from start to finish, showing inputs, pathways and circuits, action or decision points, and ultimately, completion. It can serve as an instruction manual or a tool for facilitating detailed analysis and optimization of workflow and service delivery.
SIPOC : SIPOC stands for suppliers, inputs, process, output, and customers. You obtain inputs from suppliers, add value through your process, and provide an output that meets or exceeds your customer's requirements. SIPOC helps you not to forget something when mapping processes. Once the customers are identified, voice-of-the-customer data can be collected and customer requirements(CTQs) can be defined. The SIPOC diagram also helps scope the project, provides a high-level view of the workflow and helps ensure that all team members are seeing the project the same way.
Eg: SIPOC Diagram for High-Level Insurance Renewal
Measure Phase
Benchmarking : The concept of discovering what is the best performance being achieved, whether in your company, by a competitor, or by an entirely different industry.Benchmarking is an improvement tool whereby a company measures its performance or process against other companies' best practices, determines how those companies achieved their performance levels, and uses the information to improve its own performance.Benchmarking is a continuous process whereby an enterprise measures and compares all its functions, systems and practices against strong competitors, identifying quality gaps in the organization, and striving to achieve competitive advantage locally and globally.
Voice Of the Customer (VOC) : The "voice of the customer" is a process used to capture the requirements/feedback from the customer (internal or external) to provide the customers with the best in class service/product quality. This process is all about being proactive and constantly innovative to capture the changing requirements of the customers with time.The "voice of the customer" is the term used to describe the stated and unstated needs or requirements of the customer. The voice of the customer can be captured in a variety of ways: Direct discussion or interviews, surveys, focus groups, customer specifications, observation, warranty data, field reports, complaint logs, etc.This data is used to identify the quality attributes needed for a supplied component or material to incorporate in the process or product.
Voice Of the Business (VOB) : The "voice of the business" is the term used to describe the stated and unstated needs or requirements of the business/shareholders.
Analyze Phase
Pareto : The Pareto principle states that 80% of the impact of the problem will show up in 20% of the causes. (Originally stated: 80% of the wealth is owned by 20% of the people.) A bar chart that displays by frequency, in descending order, the most important defects. Proper use of this chart will have the cumulative percentage on a second y-axis (to the right of the chart). This chart-type is used to identify if the Pareto principle is evident in the data. If the Pareto principle is evident, about 20% of the categories on the far left will have about 80% of the impact on the problem.
Scatter : PlotA scatter plot, also called a scatter diagram or a scattergram, is a basic graphic tool that illustrates the relationship between two variables. The dots on the scatter plot represent data points. See the tool Scatter Plot.Scatter plots are used with variable data to study possible relationships between two different variables. Even though a scatter plot depicts a relationship between variables, it does not indicate a cause and effect relationship. Use Scatter plots to determine what happens to one variable when another variable changes value. It is a tool used to visually determine whether a potential relationship exists between an input and an outcome.
Histogram : A bar graph of a frequency distribution in which the widths of the bars are proportional to the classes into which the variable has been divided and the heights of the bars are proportional to the class frequencies.A histogram is a basic graphing tool that displays the relative frequency or occurrence of continuous data values showing which values occur most and least frequently. A histogram illustrates the shape, centering, and spread of data distribution and indicates whether there are any outliers.A graphic way to summarize data. Size is shown on the horizontal axis (in cells) and the frequency of each size is shown on the vertical axis as a bar graph. The length of the bars is proportional to the relative frequencies of the data falling into each cell and the width is the range of the cell. Data is variable measurements from a process.
Correlation : Correlation is a technique for investigating the relationship between two quantitative, continuous variables.Correlation is the degree or extent of the relationship between two variables. If the value of one variable increases when the value of the other increases, they are said to be positively correlated. If the value of one variable decreases when the value other variable is increasing it is said to be negatively correlated. If one variable does not affect the other they are considered to not be correlated.
Regression : The relationship between the mean value of a random variable and the corresponding values of one or more independent variables.A model for predicting one variable from another.A statistical analysis assessing the association between two variables.Regression analysis is a method of analysis that enables you to quantify the relationship between two or more variables (X) and (Y) by fitting a line or plane through all the points such that they are evenly distributed about the line or plane.
Hypothesis Testing : Hypothesis testing refers to the process of using statistical analysis to determine if the observed differences between two or more samples are due to random chance (as stated in the null hypothesis) or to true differences in the samples (as stated in the alternate hypothesis). A null hypothesis (H0) is a stated assumption that there is no difference in parameters (mean, variance, DPMO) for two or more populations. The alternate hypothesis (Ha) is a statement that the observed difference or relationship between two populations is real and not the result of chance or an error in sampling. Hypothesis testing is the process of using a variety of statistical tools to analyze data and, ultimately, to fail to reject or reject the null hypothesis. From a practical point of view, finding statistical evidence that the null hypothesis is false allows you to reject the null hypothesis and accept the alternate hypothesis.
Fishbone : A tool used to solve quality problems by brainstorming causes and logically organizing them by branches. Also called the Cause & Effect diagram and Ishikawa diagram.
5 Why's : The 5 why's typically refers to the practice of asking, five times, why the failure has occurred in order to get to the root cause/causes of the problem. There can be more than one cause to a problem as well. In an organizational context, generally root cause analysis is carried out by a team of persons related to the problem. No special technique is required.An example is in order:You are on your way home from work and your car stops:
· Why did your car stop? Because it ran out of gas.
· Why did it run out of gas? Because I didn't buy any gas on my way to work.
· Why didn't you buy any gas this morning? Because I didn't have any money.
· Why didn't you have any money? Because I lost it all last night in a poker game.I hope you don't mind the silly example but it should illustrate the importance of digging down beneath the most proximate cause of the problem. Failure to determine the root cause assures that you will be treating the symptoms of the problem instead of its cause, in which case, the disease will return, that is, you will continue to have the same problems over and over again.Also note that the actual numbers of why's is not important as long as you get to the root cause. One might well ask why did you lose all your money in the poker game last night?
Improve Phase
Brainstorming : A method to generate ideas. Groundrules such as -no idea is a bad idea- are typical. Benefit of brainstorming is the power of the group in building ideas of each others ideas.A problem solving approach/technique whereby working members in a group are conducting a deductive methodology for identifying possible causes of any problem, in order to surmount poor performance in any process or activity pursued by the group members and facilitator.
Design of Experiments - DOE : A Design of Experiment (DOE) is a structured, organized method for determining the relationship between factors (Xs) affecting a process and the output of that process (Y).Other Definitions:1 - Conducting and analyzing controlled tests to evaluate the factors that control the value of a parameter or group of parameters. 2- "Design of Experiments" (DoE) refers to experimental methods used to quantify indeterminate measurements of factors and interactions between factors statistically through observance of forced changes made methodically as directed by mathematically systematic tables.
Pugh Matrix : Refers to a matrix that helps determine which items or potential solutions are more important or 'better' than others. It is necessarily to be done after you capture VOC and before design which means after product planning QFD.It is a scoring matrix used for concept selection, in which options are assigned scores relative to criteria. The selection is made based on the consolidated scores. Before you start your detailed design you must have many options so that you choose the best out of them.This tool is also known as 'Criteria Based Matrix'The Pugh matrix is a tool used to facilitate a disciplined, team-based process for concept generation and selection . Several concepts are evaluated according to their strengths and weaknesses against a reference concept called the datum (base concept). The datum is the best current concept at each iteration of the matrix. The Pugh matrix allows you to1. Compare different concepts 2. Create strong alternative concepts from weaker concepts 3. Arrive at an optimum concept that may be a hybrid or variant of the best of other concepts The Pugh matrix encourages comparison of several different concepts against a base concept,creating stronger concepts and eliminating weaker ones until an optimal concept finally is reached. Also, the Pugh matrix is useful because it does not require a great amount of quantitative data on the design concepts, which generally is not available at this point in the process.
Failure Modes and Effects Analysis (FMEA) : A procedure and tools that help to identify every possible failure mode of a process or product, to determine its effect on other sub-items and on the required function of the product or process. The FMEA is also used to rank & prioritize the possible causes of failures as well as develop and implement preventative actions, with responsible persons assigned to carry out these actions.Failure modes and effects analysis (FMEA) is a disciplined approach used to identify possible failures of a product or service and then determine the frequency and impact of the failure.
House of Quality : The House of Quality is the first matrix in a four-phase QFD (Quality Function Deployment) process. It's called the House of Quality because of the correlation matrix that is roof shaped and sits on top of the main body of the matrix. The correlation matrix evaluates how the defined product specifications optimize or sub-optimize each other.
Control Phase
Control Chart : A graphical tool for monitoring changes that occur within a process, by distinguishing variation that is inherent in the process(common cause) from variation that yield a change to the process(special cause). This change may be a single point or a series of points in time - each is a signal that something is different from what was previously observed and measured.
Control Plan : The intent of a process control plan is to control the product characteristics and the associated process variables to ensure capability (around the identified target or nominal) and stability of the product over time.The process Failure Modes and Effects Analysis (FMEA) is a document to identify the risks associated with something potentially going wrong (creating a defect - out of specification) in the production of the product. The FMEA identifies what controls are placed in the production process to catch any defects at various stages on the processing.Every completed Six Sigma project should have not only a control chart (if applicable), but a control plan. This ensures that the process doesn't revert to the way it previously operated.
Note: In coming days i will try to make these definions even more simple and easy to understand and add examples if possible
Courtesy: http://www.isixsigma.com/dictionary/glossary.asp
Measure Phase
Benchmarking : The concept of discovering what is the best performance being achieved, whether in your company, by a competitor, or by an entirely different industry.Benchmarking is an improvement tool whereby a company measures its performance or process against other companies' best practices, determines how those companies achieved their performance levels, and uses the information to improve its own performance.Benchmarking is a continuous process whereby an enterprise measures and compares all its functions, systems and practices against strong competitors, identifying quality gaps in the organization, and striving to achieve competitive advantage locally and globally.
Voice Of the Customer (VOC) : The "voice of the customer" is a process used to capture the requirements/feedback from the customer (internal or external) to provide the customers with the best in class service/product quality. This process is all about being proactive and constantly innovative to capture the changing requirements of the customers with time.The "voice of the customer" is the term used to describe the stated and unstated needs or requirements of the customer. The voice of the customer can be captured in a variety of ways: Direct discussion or interviews, surveys, focus groups, customer specifications, observation, warranty data, field reports, complaint logs, etc.This data is used to identify the quality attributes needed for a supplied component or material to incorporate in the process or product.
Voice Of the Business (VOB) : The "voice of the business" is the term used to describe the stated and unstated needs or requirements of the business/shareholders.
Analyze Phase
Pareto : The Pareto principle states that 80% of the impact of the problem will show up in 20% of the causes. (Originally stated: 80% of the wealth is owned by 20% of the people.) A bar chart that displays by frequency, in descending order, the most important defects. Proper use of this chart will have the cumulative percentage on a second y-axis (to the right of the chart). This chart-type is used to identify if the Pareto principle is evident in the data. If the Pareto principle is evident, about 20% of the categories on the far left will have about 80% of the impact on the problem.
Scatter : PlotA scatter plot, also called a scatter diagram or a scattergram, is a basic graphic tool that illustrates the relationship between two variables. The dots on the scatter plot represent data points. See the tool Scatter Plot.Scatter plots are used with variable data to study possible relationships between two different variables. Even though a scatter plot depicts a relationship between variables, it does not indicate a cause and effect relationship. Use Scatter plots to determine what happens to one variable when another variable changes value. It is a tool used to visually determine whether a potential relationship exists between an input and an outcome.
Histogram : A bar graph of a frequency distribution in which the widths of the bars are proportional to the classes into which the variable has been divided and the heights of the bars are proportional to the class frequencies.A histogram is a basic graphing tool that displays the relative frequency or occurrence of continuous data values showing which values occur most and least frequently. A histogram illustrates the shape, centering, and spread of data distribution and indicates whether there are any outliers.A graphic way to summarize data. Size is shown on the horizontal axis (in cells) and the frequency of each size is shown on the vertical axis as a bar graph. The length of the bars is proportional to the relative frequencies of the data falling into each cell and the width is the range of the cell. Data is variable measurements from a process.
Correlation : Correlation is a technique for investigating the relationship between two quantitative, continuous variables.Correlation is the degree or extent of the relationship between two variables. If the value of one variable increases when the value of the other increases, they are said to be positively correlated. If the value of one variable decreases when the value other variable is increasing it is said to be negatively correlated. If one variable does not affect the other they are considered to not be correlated.
Regression : The relationship between the mean value of a random variable and the corresponding values of one or more independent variables.A model for predicting one variable from another.A statistical analysis assessing the association between two variables.Regression analysis is a method of analysis that enables you to quantify the relationship between two or more variables (X) and (Y) by fitting a line or plane through all the points such that they are evenly distributed about the line or plane.
Hypothesis Testing : Hypothesis testing refers to the process of using statistical analysis to determine if the observed differences between two or more samples are due to random chance (as stated in the null hypothesis) or to true differences in the samples (as stated in the alternate hypothesis). A null hypothesis (H0) is a stated assumption that there is no difference in parameters (mean, variance, DPMO) for two or more populations. The alternate hypothesis (Ha) is a statement that the observed difference or relationship between two populations is real and not the result of chance or an error in sampling. Hypothesis testing is the process of using a variety of statistical tools to analyze data and, ultimately, to fail to reject or reject the null hypothesis. From a practical point of view, finding statistical evidence that the null hypothesis is false allows you to reject the null hypothesis and accept the alternate hypothesis.
Fishbone : A tool used to solve quality problems by brainstorming causes and logically organizing them by branches. Also called the Cause & Effect diagram and Ishikawa diagram.
5 Why's : The 5 why's typically refers to the practice of asking, five times, why the failure has occurred in order to get to the root cause/causes of the problem. There can be more than one cause to a problem as well. In an organizational context, generally root cause analysis is carried out by a team of persons related to the problem. No special technique is required.An example is in order:You are on your way home from work and your car stops:
· Why did your car stop? Because it ran out of gas.
· Why did it run out of gas? Because I didn't buy any gas on my way to work.
· Why didn't you buy any gas this morning? Because I didn't have any money.
· Why didn't you have any money? Because I lost it all last night in a poker game.I hope you don't mind the silly example but it should illustrate the importance of digging down beneath the most proximate cause of the problem. Failure to determine the root cause assures that you will be treating the symptoms of the problem instead of its cause, in which case, the disease will return, that is, you will continue to have the same problems over and over again.Also note that the actual numbers of why's is not important as long as you get to the root cause. One might well ask why did you lose all your money in the poker game last night?
Improve Phase
Brainstorming : A method to generate ideas. Groundrules such as -no idea is a bad idea- are typical. Benefit of brainstorming is the power of the group in building ideas of each others ideas.A problem solving approach/technique whereby working members in a group are conducting a deductive methodology for identifying possible causes of any problem, in order to surmount poor performance in any process or activity pursued by the group members and facilitator.
Design of Experiments - DOE : A Design of Experiment (DOE) is a structured, organized method for determining the relationship between factors (Xs) affecting a process and the output of that process (Y).Other Definitions:1 - Conducting and analyzing controlled tests to evaluate the factors that control the value of a parameter or group of parameters. 2- "Design of Experiments" (DoE) refers to experimental methods used to quantify indeterminate measurements of factors and interactions between factors statistically through observance of forced changes made methodically as directed by mathematically systematic tables.
Pugh Matrix : Refers to a matrix that helps determine which items or potential solutions are more important or 'better' than others. It is necessarily to be done after you capture VOC and before design which means after product planning QFD.It is a scoring matrix used for concept selection, in which options are assigned scores relative to criteria. The selection is made based on the consolidated scores. Before you start your detailed design you must have many options so that you choose the best out of them.This tool is also known as 'Criteria Based Matrix'The Pugh matrix is a tool used to facilitate a disciplined, team-based process for concept generation and selection . Several concepts are evaluated according to their strengths and weaknesses against a reference concept called the datum (base concept). The datum is the best current concept at each iteration of the matrix. The Pugh matrix allows you to1. Compare different concepts 2. Create strong alternative concepts from weaker concepts 3. Arrive at an optimum concept that may be a hybrid or variant of the best of other concepts The Pugh matrix encourages comparison of several different concepts against a base concept,creating stronger concepts and eliminating weaker ones until an optimal concept finally is reached. Also, the Pugh matrix is useful because it does not require a great amount of quantitative data on the design concepts, which generally is not available at this point in the process.
Failure Modes and Effects Analysis (FMEA) : A procedure and tools that help to identify every possible failure mode of a process or product, to determine its effect on other sub-items and on the required function of the product or process. The FMEA is also used to rank & prioritize the possible causes of failures as well as develop and implement preventative actions, with responsible persons assigned to carry out these actions.Failure modes and effects analysis (FMEA) is a disciplined approach used to identify possible failures of a product or service and then determine the frequency and impact of the failure.
House of Quality : The House of Quality is the first matrix in a four-phase QFD (Quality Function Deployment) process. It's called the House of Quality because of the correlation matrix that is roof shaped and sits on top of the main body of the matrix. The correlation matrix evaluates how the defined product specifications optimize or sub-optimize each other.
Control Phase
Control Chart : A graphical tool for monitoring changes that occur within a process, by distinguishing variation that is inherent in the process(common cause) from variation that yield a change to the process(special cause). This change may be a single point or a series of points in time - each is a signal that something is different from what was previously observed and measured.
Control Plan : The intent of a process control plan is to control the product characteristics and the associated process variables to ensure capability (around the identified target or nominal) and stability of the product over time.The process Failure Modes and Effects Analysis (FMEA) is a document to identify the risks associated with something potentially going wrong (creating a defect - out of specification) in the production of the product. The FMEA identifies what controls are placed in the production process to catch any defects at various stages on the processing.Every completed Six Sigma project should have not only a control chart (if applicable), but a control plan. This ensures that the process doesn't revert to the way it previously operated.
Note: In coming days i will try to make these definions even more simple and easy to understand and add examples if possible
Courtesy: http://www.isixsigma.com/dictionary/glossary.asp
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