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SUB. TO. SUB. BY. (GROUP)  Mr . P .C.Jain Gajendra Singh ...........  Manish Tiwari ..............  Monendra Y adav .... ......  Ranveer Singh ......... TOPIC:- SIX SIGMA SUBJECT :- OPERA TION MANAGEMENT

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SUB. TO. SUB. BY. (GROUP)

  Mr. P.C.Jain Gajendra Singh ...........

 Manish Tiwari ..............

 Monendra Yadav ..........

 Ranveer Singh .........

TOPIC:- SIX SIGMA

SUBJECT:- OPERATION MANAGEMENT

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 SIX SIGMA

Six Sigma seeks to improve the quality of process outputs by

identifying and removing the causes of defects (errors) and

variability in manufacturing a Six Sigma seeks to improve the

quality of process.

Six Sigma is a rigorous and a systematic methodology that utilizes

information (management by facts) and statistical analysis to

measure and improve a company's operational performance,

  practices and systems by identifying and preventing 'defects' in

manufacturing and service-related processes in order to anticipate

and exceed expectations of all stakeholders to accomplish

effectiveness.

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Graph of the normal distribution, which underlies the statisticalassumptions of the Six Sigma model. The Greek letter (sigma)marks the distance on the horizontal axis between the mean, µ,

and the curve's inflection point. The greater this distance is, thegreater is the spread of values encountered. For the curve shownabove, µ = 0 and = 1. The upper and lower specification limits(USL, LSL) are at a distance of 6 from the mean. Due to theproperties of the normal distribution, values lying that far away 

from the mean are extremely unlikely.

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FE  ATUR E  S OF  SIX SIGMA

A clear focus on achieving measurable and

quantifiable financial returns from any Six Sigma

 project.

An increased emphasis on strong and passionate

management leadership and support.

A clear commitment to making decisions on the

 basis of verifiable data, rather than assumptionsand guesswork.

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GOAL OF  I I GMA

The al f i i a is t i crease he r fits

eli i ati aria ilit , efects a aste

that er i e c st er l alt .´ tt li e

fi a cial i r e e t

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The customer is always in focus- the benefit of constantmeasurements is that the customer is always in focus with

her requirements being the standard against whichmeasurements are done

Continuous improvement process ± a six sigma initiative

never stop.It forever it is true that six sigma signifies radicalimprovement .

Transforms the entire organization- six sigma isimplemented, the entire organization in all its constituent

 part is geared for absorbing rapid and radical change. Sixsigma initiative makes management to take a closer look atthe various functions and departments and the inter relationships between them.

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METHODOLOGY OF I IGMA

As i i a has e l e , there has ee less e hasis

the literal efi iti f c ti efects i r cts a

r cesses. i i a is a si ess i r e e t

ethodology that f ocuses a or ga ization on:Understanding and managing customer re uirements.

Aligning k ey business r  ocesses to achie e those

re uirements.

Utilizing rigor ous data analysis to minimize ariation inthose r ocesses.

Dri ing ra id and sustaina ble impr ovement to business

 pr ocesses

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At the heart of the methodology is the MAIC model for 

  process improvement. MAIC is commonly used by Six

Sigma project teams and is an acronym for :

Define opportunity,

Measure performance,

Analyze opportunity,

Improve performance,

Control performance,

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 SIX SIGMA AS A M  E TRIC 

The term "Sigma" is often used as a scale for 

levels of "goodness" or quality. Using this scale,

"Six Sigma" equates to 3.4 defects per one million

opportunities ( PMO).

Six Sigma started as a defect reduction effort in

manufacturing and was then applied to other 

 business processes for the same purpose.

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CUSTOM  E  RS 

Total customer satisfaction is the goal of six

sigma ,therefore customer is the focus of six

sigma action in any of processes.

The customer¶s needs are to be thoroughly

understood all its various dimensions and

assessment needs to be made about the present

status of satisfaction.

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 P  ROC 

 E  SS 

 E  S 

The processes leading to customer satisfaction

have to be improved many of them radically .

A study of the process a series of interlinked

activities that lead to the organization goal isrequired to be made.

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US  E  S OF SIX SIGMA

It is increases productivity .It is reduce defects.

It is improve high-level of outgoing qualities.

Sigma improved the standardized methodology acrossthe organization.

A set of techniques and tools and simplify improvement

efforts.

It¶s gives the greater customer satisfaction and

improvement in the ³bottom line´.

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 D ISCRI  P TIO N OF SIX SIGMA

Six sigma will drive of a firm toward achievinghigher levels of customer satisfaction and reducing

operational costs.

Six sigma is robust continuous improvementstrategy and process that include cultural

mythologies such as total quality management

(TQM) process control strategies such as statistical

 process control (SPC) and other importantstatistical tools.

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COM  P  A N  I  E  S  NEE  D S OF SIX SIGMA

Technological complexities-

The technology of products like computers is such that it

has to be totally defect free .the needs for ´zero defect ³ is

acutely felt in this technology advanced times.

R apid growth of the service industry-

The service industry is much more quality sensitive than

manufacturing .

The reason is the proximity of the customer in service

operations.

It is within the operation itself and is a part of the

 process.

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 E  XAM  PL E 

Jindal Steel ensures that process metrics and structured

methodology are applied to improvement opportunities that

are directly linked to the organizational strategy.

When practiced as a management system, Six Sigma is a

high performance system for executing business strategy.

Six Sigma is a top-down solution to help organizations:

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Align their business strategy to criticalimpr ovement eff orts

obilize teams to attack high impact pr o jects

Accelerate impr oved business results

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CO N C  LUSIO N 

The Six Sigma provides the framework to prioritize resources for 

 projects that will improve the metrics.

These are three principle of Six Sigma use in business.

1) Six Sigma improves the process performance,

2) decreases variation and maintains

3) consistent quality of the process output.

This leads to defect reduction and improvement in profits, product

quality and customer satisfaction.

Six Sigma methodology is also used in many Business Process

Management initiatives these days.

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