Milan Srujana Charu

MILAN SRUJANA CHARU

Methodology • Preparation of synopsis. • Request for appointment. • Literature survey • Preparation of QA

• • • •

- Identification of indicators. - Data type & connotation. Analyses of cases Visiting GE Discussion with Quality Leader (Head GE India and Asian Operations) Analysis of Quality reports and preparation of presentation

Reference\Objectives_of_the__Questionnaire.doc

Our Experience at GE

2) Work out initiatives –Started 1988-1986, now they

have come out to Action work out- Lean six sigma. 4) Prime Parameters-Time, Money based on these

resource allocation takes place. 6) Criteria- JET engines and medical health & safety

compliances. Customers for ex Boeing.

What is Six Sigma?  Six Sigma is a highly disciplined process that helps to focus on

developing and delivering near-perfect products and services.  Why "Sigma"?  The word is a statistical term that measures how far a given process deviates from perfection.  The central idea behind Six Sigma is that if you can measure how many "defects" you have in a process, you can systematically figure out how to eliminate them and get as close to "zero defects" as possible.  To achieve Six Sigma Quality, a process must produce no more than 3.4 defects per million opportunities.  An "opportunity" is defined as a chance for non-conformance, or not meeting the required specifications.

How to implement Six Sigma? How to do? 

Identify customer-driven critical-to-quality (CTQ) characteristics.

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Identify key processes that cause defects in a CTQ characteristic. Create the opportunity for project.

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For each process project – DMAIC

With 99 % Quality

With Six Sigma Quality

For every 300000 letters delivered

3,000 misdeliveries

1 misdelivery

For every week of TV broadcasting per channel

1.68 hours of dead air

1.8 seconds of dead air

Out of every 500,000 computer restarts

4100 crashes

Less than 2 crashes

Six Sigma Methodology

6 SIGMA TOOLS

Measure

ANALYSE

IMPROVE/ DESIGN

Control

Example: Shipping Logistics

Situation: GE Appliance products, such as microwave ovens and air conditioners, are being produced in Asia and shipped to US customers, such as Wal-Mart Delivery performance is very erratic and the average on-time delivery is about 85%

Success story: Shipping Logistics Situation: Product arrives in the US at Los Angeles. From the port, the product is taken either to a GE distribution center or to a customer designated forwarder. Product is then cross docked and sent on to final distribution centers via rail, truck-on-rail, or truck.

PROCESS MAPPING

DMAIC Steps Define Phase: team is assembled to attack this problem. The team includes suppliers, 3rd party vendors, GE logistics people, finance, sales, and customers Measure Phase:

the supply chain process is mapped from the supplier to the •end customer The current performance is measured by looking at data from the previous 6 months. Capability of this process is 1.5 sigma currently

Analyze Phase:

• All of the many inputs are examined and it appears that 2 areas are the vital inputs, the shipping decision by the supplier and getting the product through the port of LA

Improve Phase:

• Further investigation by the team yields some changes in procedure that reduces the problem

Control Phase:

•

Documentation and procedures are updated

Procedure Improvement Old Procedure

New Procedure

GE specifies when products produced and shipped

GE specifies when products produced and delivered to US

Supplier would comply by selecting first ship going to the US

Supplier complies by selecting the “right” ship

Shipping time 8 to 18 days

Shipping time 8 days

Supplier notifies GE system (often delayed) and freight forwarder with paperwork

Supplier notifies freight forwarder with paperwork, and freight forwarder communicates through GE system

RESULTS

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On time delivery increased to 97%

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Transportation costs reduced by $300,000

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Inventory (cash flow) reduced by $1,000,000

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Capability Raised to 3.5 Sigma

Some perspectives of Quality leader Mini six sigma- JDI Motorola - Creative Destruction. Success stories- In the form of GE projects. JFWTC-

Journal

Our Learnings Meticulously- Synopsis, Questionnaire Three six sigma books – Six sigma, breakthrough management strategy. The Six Sigma Handbook. The Six Sigma Way Motivated, Inspired- An Initiative –Electricity consumption pattern and its reduction by 5%

References Mikel Harry R & Richard Schoroeder Thomas Pyzdek. Peter S.Pande, Robert.P.Nueman, Roland R. Cavanagh. Journals from JFWTC Indian Institute of economic growth. International Quality Forum publications.