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Basics Of Six Sigma – Level 1
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Index
MODULE 1
1.1 Introduction to Six Sigma
• Concept of Quality
• Six Sigma Concept
• Introduction to DMAIC
1.2 SIPOC, Process Mapping & Process Analysis

• What is SIPOC
• Use of SIPOC
• Case Study on SIPOC
• What is Process
• What is Process Mapping
• Types of Process Maps
• Case Study
• Process Analysis
• Value Add & Non-Value Add Analysis
1.3 VOC & CTQ

• What is VOC
• Why is VOC critical
• VOC Tools
• Translating VOC to CTQ
1.4 ARMI
• What is ARMI
• Use of ARMI
?? QA Session ?? Six Sigma Executive Overview

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What is Six Sigma?

 Is equivalent to 99.9997% defect free
 Is a performance indicator describing the capability of a product, service, process,

and/or input of consistently meeting current and future defined requirements or
s
expectations
Comparing different
functions/processes
Measurement tool
Organization philosophy 3.4 DPMO (Defects per Million

Opportunity)
Concept to identify variation
Six Sigma Executive Overview

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Six Sigma Terminology

 Sigma
– An expression of process performance (based on yield or the number of
Defects per Million Opportunities – DMPO
 Unit
– The item produced or processed
 CTQ (Critical to Quality)
– Is truly critical to the customer’s perception of quality
– Can be measured
– A specification can be set to tell whether or not the CTQ has been achieved
 Defect
– Any event that does not meet a customer specification
– A defect must be measurable
 Defect Opportunity
– A measurable chance for a defect to occur
 Defective
– A unit with one or more defects

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What do you understand by Operational

Definition?
An operational definition is an understandable description of
what is to be observed and measured. It includes what
something is and how to measure it.
An operational definition :
 Describes the way something is to be understood
 Describes your way of measuring that characteristic or

feature
 Helps in remaining focused on what is to measured

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Why AIM As High As Six Sigma?
Accurate to 99.99966 % (less than 3.4 defects for every million Opportunities)
could appear excessive ….!
99.9% is already VERY GOOD !
But what could happen at a quality level of 99.9%, in our everyday lives
(about4.6σ )?
• 4000 wrong medical prescriptions each year
• More than 3000 newborns accidentally falling

from the hands of nurses or doctors each year
• Two long or short landings at American airports each day
• 400 letters per hour which never arrive at their destination

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What is Six Sigma Methodology?

 DMAIC (Define, Measure, Analyze, Improve, Control)
 A business philosophy of focusing on continuous improvement by

understanding customers’ needs, analyzing business processes and
instituting proper measurement methods
 A structured problem solving methodology that creates the framework for

data driven decision-making
 An organized process for structured analysis of data
 A “tool box” of quality and management tools for problem resolution

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Six Sigma Roadmap
Define Measure Analyze Improve Control
1. Develop charter 1. Collect baseline 1. Develop a focused 1. Brainstorm many 1. Develop and document
2. Understand voice date on defects problem statement possible solutions to standard practices
of customer 2. Plot defect data 2. Brainstorm potential identify root causes 2. Train
3. Create high level over time and causes 2. Select solution (s) 3. Ongoing monitoring
process map analyse for special 3. Organise potential 3. Develop plans 4. Build process for
(SIPOC) causes causes 4. Implement plans updating procedures
3. Create and stratify 4. Collect data on 5. Quantify results 5. Summarize and
frequency plots and potential causes 6. Evaluate benefits of communicate
do Pareto analysis 5. Statistical methods improvements learning's
4. Calculate process to quantify cause- 6. Make
sigma effect relationship recommendations for
5. Create detailed future plans
process map
TOLLGATES
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Six Sigma Roles & Responsibilities
Business Leaders
Champions Module : 40 Hours
Teachers and Mentors

Master Black Belts Module : 200 Hours
Full Time Team Leaders

Black Belts Module : 100 Hours
Green Belts Part Time Team Leaders

Module : 80 Hours
Foundation of
All Associates Improvement Teams
Module : 4 Hours

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Why adopt Six Sigma?

 Get better results consistently
 Focus on the “bottom line” which encourages credibility/support from

the top of the organization
 Six Sigma is a methodology that provides tools to improve the

capability of processes
 Six Sigma helps us focus reducing defects to near zero
 Six Sigma defines and estimates the opportunities for error and
calculates defects in the same way every time, thus offering a means
for measuring improvement

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SIPOC
1. Welcome and Introduction

2. SIPOC Defined
3. How can SIPOC be used?
4. How It Works?
5. An Example
6. In-class Exercise
7. Summary
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SIPOC Defined
SIPOC is an acronym standing for

1. S = Supplier(s)
2. I = Input(s) & key requirements
3. P = Process
4. O = Output(s) & key requirements
5. C = Customer(s)
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SIPOC Diagram Defined
• A SIPOC Diagram is a visual representation of

a high-level process map; including suppliers
& inputs into the process and outputs &
customers of the process
• Visually communicates the scope of a project
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How can SIPOC be used?
• SIPOC Diagrams help a team and its

sponsor(s) agree on project boundaries and
scope
• A SIPOC helps teams verify that
inputs match outputs of upstream
processes outputs match inputs of
downstream processes
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Brainstorming Exercise
How can SIPOC be used in

your organization?
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How a SIPOC works?
Suppliers Inputs Process Outputs Customers
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Step 1: Begin with the high-level

process map
Step1
Step2
Step3
Step4
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Step 2: List all of the outputs from

the process
Step1 Examples
Services
Products
Step2 Reports
Metrics
Raw data
Step3
Step4
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Step 3: Identify the customers

receiving the outputs
Step1 Examples Examples

Services Internal
Products External
Step2 Reports Vendors
Metrics End users
Raw data Management
Downstream Process
Step3
Step4
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Step 4: List all of the inputs into

the process
Examples Step1 Examples Examples

Data Services Internal
Parts Products External
Application Step2 Reports Vendors
Raw Metrics End users
materials Raw data Management
Downstream Process
Step3
Step4
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Step 5: Identify the suppliers of

the process inputs
Examples Examples Step1 Examples Examples

Internal Data Services Internal
External Parts Products External
Vendors Application Step2 Reports Vendors
Producers Raw Metrics End users
Management materials Raw data Management
Upstream Process Downstream Process
Step3
Step4
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An Example: Mowing the Lawn

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Step 1: Begin with the high-

level process map
PrepareLawn
formowing
Mowthe
Lawn
Trimthe
Lawn
Clean-up&
Removal
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Step 2: List all of the outputs

from the process
PrepareLawn • Debris
formowing
from lawn
• Beautiful
Mowthe
lawn
Lawn
• Bagged
Trimthe
grass
clippings
Lawn
• Happy
Clean-up&
customer
Removal
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Step 3: Identify the customers

receiving the output
PrepareLawn • Debris • Homeowner

formowing
from lawn
• Beautiful • Yard waste

Mowthe
lawn recycler
Lawn
• Bagged
Trimthe
grass
clippings
Lawn
• Happy
Clean-up&
customer
Removal
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Step 4: List all of the inputs

into the process
• Long lawn PrepareLawn • Debris • Homeowner

from lawn
• Lawn- formowing
mower • Beautiful • Yard waste

Mowthe
lawn recycler
• Trimmer Lawn
• Gasoline • Bagged
Trimthe
grass
• Yard clippings
Lawn
waste bags
• Rake & • Happy
Clean-up&
broom customer
Removal
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Step 5: Identify the suppliers of

the process inputs
• Homeowner • Long lawn PrepareLawn • Debris • Homeowner

from lawn
• Lawn- formowing
• Warehouse
mower • Beautiful • Yard waste
Mowthe
lawn recycler
• Trimmer Lawn
• Gasoline • Bagged
Trimthe
grass
• Yard clippings
Lawn
waste bags
• Rake & • Happy
Clean-up&
broom customer
Removal
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Summary
What we covered today
1. Defined SIPOC
2. Discussed how SIPOC can be used
3. Showed how it works
4. Demonstrated an example
5. Completed an in-class exercise
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What is a Process?
 Converting a set of inputs to an output, (usually of greater value)
 Everything we do is a process
 Every process can be characterized by:

– Average performance
– Inherent Sigma

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Process Maps
• What is a process?
• Why use process maps?
• Attributes of process maps
• Process mapping symbols
• How to create process maps?
• A real world example
• Types of process maps
• Summary
• References

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What Is a Process?
• A group of activities which , together,

achieve a specific goal.
• The essence of operation

management: inputs are transformed
into outputs.

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Process Examples
• Sales order processing

• Demand forecasting
• Sales operations planning
• Invoice processing
• New product development

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Process Maps Allow To:
• Understand a process
• Simplify the process based on that understanding
• Implement or eliminate processes through a multi-step
methodology
• Redesign the process

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Process Maps Cont’d
• Diagrams which show each step of the

process
• Similar to flowcharts
• Represent the logic necessary to
achieve the desired result

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Why Use Process Maps?
“ Everything from globalization to collaborative relationships

demands maps that are clear and can be read by all the partners
in the process. Process models are those maps. We use them to
navigate our way through complex business practices of today.”
Chris Cummins
Vice President, Process Development Group
Uniform Code Council, Inc.

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Process Maps: A Picture Is Worth 1000 Words

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Attributes of Process Maps

• Intuitive
• Understood at every level of an organization
• Sophisticated enough to model complex activities
• Prevent ambiguity
• Make effective use of time available to analyze a process
• Identify process-related issues

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Terms to Know Before We Start Mapping
• Alternative Path: One or more options are presented that

create a path off the primary path.
• Decision Criteria: When incorporating alternative paths into a
map, there must be a choice to be made between 2 or more
options; the question being asked should be specific.
• Inspection Point: A pass/fail decision to test an output in
process.

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Key Terms (Cont’d)

• Input: Materials, money, people, information, or other factors
that are essential to the process
• Output: The end result -- the product or service that a customer
receives
• Parallel Process: Another process that can be executed at the
same time as the primary process
• Primary Process: The tasks must be carried out in order to achieve
a desired output from given inputs

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Process Mapping Symbols
• The rectangle represents each task of step

within the map
• The parallelogram represents inputs
• The oval represents the process boundary
• The diamond represents a decision

?

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How to Create a Process Map?
1. Select a process
2. Define the process
– Goals
– Input
– Output

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3. Map the Primary Process
• Define the tasks that will be required

to reach the desired output
• Incorporate appropriate symbols in
your map
• Make sure to show parallel processes

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4. Map Alternative Processes

• Map points along the primary
process where decision are made
• Recognize one or more
alternative paths
• Merge those paths back into the
primary path

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5. Map Inspection Points

• Use these points to error-proof your map
• Useful to better satisfy customers and/or
cut down on costs and time
• Inspection points could lead into rework
loops or do-over loops

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6. Use Your Map to Improve the Process
• Eliminate non-value-added steps
• Set standards for the process

– What will pass and what will fail

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Real World Example:

Mapping the Student Course Registration Process
• Define the process

– Output: schedule
– The goal of the student: obtain classes needed to graduate
– Inputs: the course catalog, an advisor, a computer, and
professors
• Map the primary process
– Tasks of the registration process in logical order

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Student Course Registration Process (Cont’d)
• Map alternative paths

– 3 points in the map where alternative paths are necessary
• Has registration started? YES/NO
• Are the classes still available YES/NO
• If not, can the student get an override? YES/NO
– Diamonds are the appropriate symbols
– Alternative paths merge back to the primary process

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Registration Process Map
(Simplified)
Receive course
catalog
NO YES
Choose classes Can I get signed in?
Find out
registration period
NO YES
Can I register? Register later
YES
Register via NO Receive
Are my classes schedule
Internet closed?
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Benefits of Process Maps
• Simplified processes
• Higher efficiencies in employee tasks
• Greater understanding of processes and procedures
• Cost savings from elimination of redundant or unnecessary tasks
• “Opportunities” are addressed and corrected faster
• Better training programs

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Maps Used in the Re-engineering Process

Strategic Customer
directive requirements
data
Goals & specifications
Benchmark for process performance
Baseline
data analysis
Design High-level Innovative

principles process map ideas
Key
Detailed Model
performance
process map validation
measures
Pilot study of
new design
Full-scale implementation

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1. High-level Process Maps
• Useful in beginning of the re-design process

• Contain the essential parts of a process
• Focus on performance goal
• Helpful for generating innovative ideas

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High-level Process Maps Cont’d
Sub-process Sub-process Output
Input Performance
goal
Sub-process Sub-process

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2. Detailed Process Maps
• Prepared for each sub-process in the high-level map

• Guide decisions on allocation of resources
• Determine and set in place key performance measures

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After a process is documented using the S-I-P-O-C and Process Mapping
Tools, you can quickly analyze the value of each step of the process from the
perspective of people who are served. Three categories are used to describe
types of value that a process step may have:
Value added to people served: steps that directly impact the satisfaction of
the people served
•Value added to operations: steps that support the ability to deliver services
to the people served
•Non-value-added: steps that could be eliminated or changed without

harming service levels or the organization
1. In order to assess whether the steps in your process have value to the
people that you serve, ask:
Is this step required by the people served by the process?
Are those served willing to pay for this activity?
An activity can be described as adding value for the people served only if:
the people served recognize the value
the activity specifically impacts the service requirements of those served
the step is necessary to meet the timelines and expectations of those served
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2. In order to assess whether the steps in your process add operational value,
ask:
Could this activity be eliminated if some preceding activity were done
differently?
Is there a risk if this activity is eliminated?
Could any existing technology eliminate this activity?
Could this activity be eliminated without impacting the quality of our
product or service?
Does this activity fulfil an external regulatory requirement?
Could this step be made more efficient? Is it done right the first time or does
it need to be repeated?
An activity adds operational value if it is not a customer value-added activity

and is required to:
sustain the ability to perform value-added activities for the people

served
meet contractual, legal, or other regulatory criteria
meet health, safety, environmental, or personnel development criteria
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3. In order to assess whether the steps in your process are non-value-added,

ask:
Does this activity add value for the people served or operations?
An activity is ‘non-value-add’ if it does NOT add value for either the people
served or for operations. Designating a step as ‘non-value-added’ means
that it warrants further analysis to determine whether it should stay the
same.
Doing the analysis
Use a table format like the one below along with your process map to
review each step of your process. List each process step in the far left
column of the table in the order that they occur. Next, review each step
against the definitions of customer value added, operational value added,
and non-value added, and classify each step as appropriate. For each step,
place one check mark in the appropriate column.

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PROCESS: OPENING AN ACCOUNT
Activity Customer value Operational value Non-value
added added added
Request account to be opened X
Gather information X
Qualify request against legal compliance X
Authorize request X
Request review X
Send incomplete requests to account rep X
Obtain account information X
Request account activation X
Account manager review X
Account manager approval X
Risk manager review X
Risk manager approval X

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• For each item that is checked as ‘non-value added,’ critically assess whether
that step could be completely eliminated or at least modified. Eliminating steps
that don't add value allows processes to get faster and more efficient without
impacting quality or service levels.
Tips
• When assessing each step, be sure to include participants who are directly
familiar with the process as well as one or two outside voices to help challenge
assumptions.
• Give each step a hard look. Often, many steps in a process have been performed
for so long that they are simply accepted as important even if they are not.
• Teams should continually challenge assumptions about what is important and

what is not.
• The ‘big learning’ occurs when a step is deemed non-value added. Do not get
caught up in whether a step adds value for the people served or for the
operation. Further, a process does not need both types of value-added steps in
order to be legitimate: it's okay if one column is blank.

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• Expect sensitivity to classifying the work people do as ‘non-value added.’

In order to foster a robust dialogue that challenges the status, it is useful
to provide examples of the type of steps that may be non-value added,
such as:
– counting the amount of work

– inspection and checking
– sorting work
– logging information
– checking calculations
– reviewing and approving
– moving and setup
– monitoring work
– Stamping
• any type of rework

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Summary
Process maps are:

• Simple and effective ways of visualizing and understanding of a
process
• Valuable and unique quality improvement tools
• Waste management tools
• Everyone involved can take part in improving the process

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Capturing the Voice of the Customer
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Concept Development Phase
Phase 1 Phase 2 Phase 3 Phase 4 Phase 5

Concept System-Level Detail Testing and Production
Development Design Design Refinement Ramp-up
Mission
Statement
Identify Establish Generate Select a

Refine
Customer Target Product Product
Needs Concept Specs
Specs Concepts
Development
Analyze Perform
Plan Plan
competitive Remaining
Economic Development
Products Analysis Project
Concept Development

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What’s the Problem?
Our
Performance
Customers’
Need

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Kano's "3 Arrow Diagram"

Satisfied
Feeling
Neutral
Physically
Fulfilled
(Need is not met) Condition
(Need is met)
Dissatisfied
Feeling
Feeling

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Satisfied
Feeling
Physically
Fulfilled
(Need is met)
Unstated, “Taken
Expected
Quality for
Dissatisfied granted”
Feeling

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Satisfied
Feeling “Competitive”
the more the better
lity
ua
Q
al"
si on Physically
Fulfilled
(Need is not met) en Condition
m
Di
(Need is met)

ne
"O
Unstated, “Taken
Expected
Quality for
Dissatisfied
Feeling
granted”

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Satisfied
“Surprise & Feeling “Competitive”
Delighters” the more the better
Exciting
lity
Quality ua
Q
al"
si on Physically
Fulfilled
(Need is not met) en Condition
Dim (Need is met)

ne
"O
Unstated, “Taken
Expected
Quality for
Dissatisfied
Feeling
granted”

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Satisfied
Feeling
What was
exciting
yesterday
becomes
expected
tomorrow
Physically
Fulfilled
(Need is met)
Unstated,
Expected
Quality
Dissatisfied
Feeling

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• The goals for Identifying Customer Needs
1. Ensure that the product is focused on customer needs.

2. Identify unusual or hidden needs.
3. Provide a ‘body of facts’ for justifying the product specification.
4. Create an archival record of the needs.
5. Ensure that no critical customer need is over-looked.
6. Develop a common understanding of the customer needs by the
team.

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• The 6 steps in Identifying Customer Needs
1. Define the scope of the effort

2. Gather raw data from customers.
3. Interpret the raw data in terms of customer needs.
4. Organize the needs into a hierarchy of primary, secondary, and
tertiary needs (if required)
5. Establish the relative importance of the needs.
6. Reflect on the results and the process

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• Step 1 Gather Raw Data from Customers
– Identify typical customers or users

• sometimes these can be individuals, other times in groups
– develop a set of questions that will draw out needed comments
– decide on using interviews or surveys.
– Perform the market study
– capture the customer inputs, written statements, voice, video
recording, etc.
– compile the final written list of customer statements.

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Customer Needs Interviews
• Generate a ‘script’ or list of questions

• Open ended versus closed ended questions
– examples
– when to use which
• Let the customer talk - be flexible
• Manage your time
• Get the whole team involved

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• Step 2 Interpret the Raw Data in Terms of Customer Needs
– express the need in terms of What the product will do, not How it
will do it.
– Try to keep the interpretation at the same level of detail as the
customer input.
– Use positive statements.
– Express the need as a product attribute.
– Avoid the words Must and Want

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Examples of interpreting customer comments
Customer statement Interpreted Need
“I need to drive screws fast, faster
The SD drives screws faster than by
than by hand”
hand.
“I sometimes do duct work; use The SD drives sheet metal screws

sheet metal screws”. into metal duct work.
“I like the pistol grip; it feels The SD is comfortable to grip.

better in my hand”.
“I don’t like it when the tip slips The SD tip remains aligned with
off the screw.” screw head without slipping.
“I sometimes drive screws in at an The SD will show when the screw

angle” in not aligned with the surface.

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• Step 3 Organize the Needs into a Hierarchy
– Write each Interpreted Need statement on a sticky

note, and put them on the wall or chart.
– Eliminate redundant statements.
– Group the notes according to how similar the needs are
to each other.
– For each group of notes, write a label on a bigger sticky
note.
– Look for higher level groups of similar sub groups.
– Go back and do a “sanity check” on the data. “how
does it feel?”

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• Step 4 Establish the Relative Importance of the Needs.
– First try the Team Consensus method

– Give every team members three sticky dots and have
them vote. Or just give each team members three
votes.
– Be careful that all the primary needs are at the same
level.
– If key customers are available, let them help establish
importance either by surveys or in focus groups.

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• Step 5 Reflect on the Results and the Process
– This method is not an exact science.

– Did we get the important customers in our data?
– Are there needs that the current customers can’t
envision?
– Do we have some weak areas of analysis?
– Are we surprised by the results? And why?
– Did we get the key stakeholders involved?

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Steps in customer needs prioritization.
Theme
State the Project Scope or Mission.
Theme Capture customer inputs, one customer

need on each Sticky note.
Theme
Group similar needs.
Theme
Title the groups.
Theme Lay out groups and show relations

between groups.
Theme Conclusion
Vote on most important needs and
draw conclusion.

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Introduction to ARMI
What is ARMI?
• A tool to determine individuals and / or groups whose

commitment is essential for project success and / or to
drive any change / initiative.

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KEY STAKEHOLDERS Define Measure Analyse Improve Control

Sponsor A A A A A
Stakeholder 1 – champion I/A/R I/A/R I/A/R I/A/R I/A/R
Stakeholder 2 – master black A A A A A

belt
Stakeholder 3 - Team Members M M M M M
Stakeholder 4 - Black belt I/A I/A I/A I/A I/A
Stakeholder 4 – Green belt M M M M M
Stakeholder 5 – others R R R R R
roval of team decisions outside their charter/authorities, I.e., sponsor,

s leader
ource to the team, one whose expertise, skills, “clout” may be needed o
basis.
mber of team, with the authorities and boundaries of the charter.
ested party, one who will need to be kept informed on direction, findings
support is to be forthcoming .

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Why ARMI is required?
• To ensure the project leader (person leading the

initiative / change) has identified key stakeholders.
• Helps in clearly defining the role of each stakeholder in a

change process.
• Helps in involving the “right” personnel for decision in a

change process.
• Helps involving the “right” personnel for decision-making

when required during a project or change process.
• Helps in a more robust communication plan.

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END OF MODULE 1
Thank-You
Queries????

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BOSS - Module 1 (Basics of Six Sigma)

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1.2 SIPOC, Process Mapping & Process Analysis

1.3 VOC & CTQ

?? QA Session ?? Six Sigma Executive Overview

What is Six Sigma?

 Is a performance indicator describing the capability of a product, service, process,

Organization philosophy 3.4 DPMO (Defects per Million

Six Sigma Executive Overview

Six Sigma Terminology

Six Sigma Executive Overview

What do you understand by Operational

 Describes your way of measuring that characteristic or

 Helps in remaining focused on what is to measured

Six Sigma Executive Overview

Why AIM As High As Six Sigma?

• 4000 wrong medical prescriptions each year

• More than 3000 newborns accidentally falling

• Two long or short landings at American airports each day

• 400 letters per hour which never arrive at their destination

Six Sigma Executive Overview

What is Six Sigma Methodology?

 A business philosophy of focusing on continuous improvement by

 A structured problem solving methodology that creates the framework for

 An organized process for structured analysis of data

 A “tool box” of quality and management tools for problem resolution

Six Sigma Executive Overview

Six Sigma Roadmap

Define Measure Analyze Improve Control

3. Create and stratify 4. Collect data on 5. Quantify results 5. Summarize and

frequency plots and potential causes 6. Evaluate benefits of communicate

do Pareto analysis 5. Statistical methods improvements learning's

4. Calculate process to quantify cause- 6. Make

sigma effect relationship recommendations for

5. Create detailed future plans

Six Sigma Roles & Responsibilities

Teachers and Mentors

Full Time Team Leaders

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Six Sigma Executive Overview

Why adopt Six Sigma?

 Focus on the “bottom line” which encourages credibility/support from

 Six Sigma is a methodology that provides tools to improve the

 Six Sigma helps us focus reducing defects to near zero

Six Sigma Executive Overview

1. Welcome and Introduction

SIPOC is an acronym standing for

SIPOC Diagram Defined

• A SIPOC Diagram is a visual representation of

• Visually communicates the scope of a project

How can SIPOC be used?

• SIPOC Diagrams help a team and its

How can SIPOC be used in

How a SIPOC works?

Suppliers Inputs Process Outputs Customers

Step 1: Begin with the high-level

Step 2: List all of the outputs from

Step 3: Identify the customers

Step1 Examples Examples

Step 4: List all of the inputs into

Examples Step1 Examples Examples

Step 5: Identify the suppliers of

Suppliers Inputs Process Outputs Customers

Examples Examples Step1 Examples Examples