WARNING: LONG POST AHEAD
Where to start fixing Six Sigma? Wherever you are! I have ‘fixed’ “Six Sigma” within my organization. And frankly none of us can do much more than change things locally – within our own sphere influence. This can eventually ripple outwards or at least follow you wherever you go. We do get an opportunity to help influence others – and more importantly ourselves – by participating in this forum. (as always thanks to Marc)
What did I personally do?
1.5 sigma shift: I just said no from the very beginning. Then I ignored it; it went away. It’s meaningless drivel and when compared to true problem solving, prevention and control it doesn’t stand a chance. None of my students or my organization is even aware of it. How did I do it? I just solved problems, either eliminating them completely or reducing their occurrence rate to nuisance level. Then putting robust controls in place.
The only real defense against quackery is demonstrated truth.
Numerical Goals, sigma levels and 3.4 ppm: First I do believe in goals: however I also believe in realistic goals, providing the means to achieve those goals, and a management structure that is educated to the fact that sometimes goals aren’t met for very good reasons. We are establishing this in my current organization with very good success. We don’t strive for 3.4 ppm nor do we calculate so called sigma levels; we rely on actual results. We strive for continual improvement in each of these metrics.
When establishing a goal for a particular metric (and we have only a few key high level metrics: cycle time, Non Value Add Time as a % of cycle time, inventory, rolled throughput yield, Availability, Field Failure rates and Customer complaint rates.) the management team selects the goals for improvement in these areas by the affect on critical business needs and using a pareto breakdown of immediate causes we assign projects. We look for 50 – 90% improvement; in other words, we ask for breakthrough levels not incremental levels and we achieve them. Sometimes a really complex problem takes longer than we had anticipated but using regular project reviews we know that the project leads are working on the issue, the progress they’ve made and the discoveries they have made. Progress is tracked not by date milestones but by time spent (actual activity, not elapsed calendar time) vs project discovery. The management team also ensures that the appropriate tools and methodologies are used and used correctly. This coaching helps the organization continually adopt better methods.
Belts: we do ‘certify’ belts. But only Master Black Belts, Black Belts and Lean Belts. The Black and Lean belts don’t leave their organization or position. They must use the tools and methodologies within the construct of their current positions. Formal training takes 4 to 2 weeks. And certification comes after the belt has demonstrated successful adaptation of the tools and methodologies. This takes anywhere from 6 months to 3 years and is part of the employee’s development plan for skill acquisition. Our belts can calculate an average and more importantly they know how to use the tools appropriately in every day life – not just how to make a powerpoint presentation. My team tracks the metrics to ensure that projects remain successful for the business long after the final report out is given. Report outs are now – for the most part – a regular part of our management review process. ‘Certification’ is seen and treated as a development milestone and is rewarded simply. It is part of the compensation and career track system...just like any other skill acquisition such as project management certification or management training.
Master Black Belts join my direct team for a ‘tour of duty’ as trainers, mentors, consultants and leaders of complex crossfunctional improvement teams. These complex projects are typically in areas that have not matured in adopting the tools/methods. So it is a learning experience for everyone.
All personnel are trained at various levels depending on their area of responsibility and personal desire. Some training is mandatory to ensure that the approaches are deployed throughout the organization and that ineffective approaches are not perpetuated. This extends to the corporate staff.
Project Focus and Short term v.s. Long term thinking: We prefer to assign project work as a “suite” of projects that will improve an entire value stream from supplier to Customer. We incorporate both Lean and Six Sigma to improve all of our key metrics in a planned and prioritized manner. Some projects have huge returns and others have smaller returns but the key to our approach is the overall effect on the entire value stream: quality, delivery and cost. There are a very few stand alone projects that have a huge affect on the business. We have launched projects for these, but they are not in the majority. We recognize that many seemingly small projects have a huge affect when taken as a whole. Additionally, our priority for ‘benefits’ and project selection is: Customer (Field quality then internal yields) first, then Productivity, then Cost savings (which are hard savings that can be seen in the bottom line and/or budget). We are in it for the long run.
Tools and Methods: first and foremost is the focus on what’s right for the customer. Secondly, we have a set of tools that are very strong. (we are fortunate to not be involved with the automotive industry or aerospace)
We do NOT use process capability indexes. We simply track RTY and use control charts. Even our suppliers are now required to do this…
We do not use the traditional Gage R&R. We use Youden plots and discrimination plots as well as Kappa type tests along with the appropriate incorporation of prevalence for categorical data. There is no pass/fail* for these tests: we recognize that even poor discrimination systems can be used as long as one knows how to account for it. We use the tools to understand our measurement systems. *The exception to this is for personnel or equipment used to accept product. A true test with real world prevalence levels is used to qualify both equipment and personnel for acceptance testing.
We do not use fishbone diagrams, multi-voting or FMEA for determining root cause. We use a systematic approach to rule out causal categories starting with the observational study and iterating thru a series of invasive and non invasive designed experiments to arrive at the cause. Designed experiments (from 2 factor – 2 level to fractional factorials to response surface methods) are ubiquitous in our organization, yet we deemphasize the statistical calculations for statistical thinking and the ability to see your results graphically. (don’t get me wrong, the students know the correct statistical tool and how it works, but usually a well structured experiment will yield obvious results and “statistical mumbo jumbo” scares people off.)
We stay away from the Mil-Std or ANSI for sampling plans and stick with distributional calculations of sample size based on probability of detection of maximum acceptable defect levels.
We strive to incorporate all appropriate tools: mistake proofing, SPC, Lean, etc.
Oh yeah - and we try not to call it Six Sigma. The term seems to annoy new employees who've had bad experiences with "quack deployments". We branded it with an internal name...