Each project has unique and distinctive elements that must be addressed during the planning and execution of the endeavor. These elements become more heightened when an organization is implementing a new procedure or method for the first time. For this reason, an organization must be flexible to seek out support when problems arise and undertake novel approaches to amend processes. Six Sigma and earned value management (EVM) are innovative methods that assist organizations in expanding quality, monitoring a project effectively, and offering tools to improve customer satisfaction, cost effectiveness, and enhance products and services.
Background
Franklin Electronics is in need of assistance in developing a formal project management program
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Franklin Electronics has sought support and analysis of the current situation with the Spokane project, since this is the first project utilizing EVM methodologies.
Six Sigma Method One of the common methods of sustaining quality while managing a project is the Six Sigma process. The Six Sigma system improves products or services by increasing shareholder value, refining quality, promptness, and cost, along with customer satisfaction (Laureani & Antony, 2012). The system is a business strategy that is driven by distinguishing the causes of errors or failures within business processes, and eliminating these causes to produce products and services that meets the client’s requests. The focus of the method is to uncover and resolve the root cause of an issue within an organization prior to issue influencing defects within the product or services being produced (Hunold, 2014). By eliminating the root cause of a problem, an organization can increase the quality of the products or services that are created, decrease cost to the organization, and increase customer satisfaction. A tool utilized in root cause analysis within the Six Sigma system is the DMAIC process. DMAIC is implemented to improve organizational practices by eliminating the root cause of an issue, and improving quality and cost effectiveness (Hunold, 2014). There are five stages to the DMAIC process:
executing Six Sigma in an effective way to solve such complex problems, but also cocoordinating them with other projects and tasks through out the company. In order to
There are always pros and cons to any quality improvement methodology. For instance, the pros of Six Sigma tend to place extreme importance on leadership and its support for the success of the project. Another pro is the integration of different human elements, which include cultural change, and focus on the customer and their needs. “By using the concept of statistical thinking, Six Sigma encourages applications of statistical tools and techniques that reduce variability” (Harry, 2000). The cons of Six Sigma include, not having the quality data available, especially when a new process has been implemented without having the data available. Often the solutions that Six Sigma proposes can be costly and only a small
Six Sigma focuses on defect prevention; improving quality, cost savings, and reducing waste by helping
The basic principle of improvement by the processes of Six Sigma methodology is by the reduction of diffusion. The six sigma approach aims to reduce defect levels to only a few parts per million for an organization's key products and processes. The Six Sigma philosophy is based on the fact that all processes from design, through to manufacturing and to services provided to customers, display aberrances, which may result in product errors that cost time and money. These errors are variations of processes that can be reduced by various methods in order for the real cause of the problem to be systematically identified and
Six Sigma is a business metrics that seeks to identify and eliminate causes of errors or defects as well as failures in business processes by focusing on output that are critical to customers (De Feo, Barnard 2004). It is also a measure of quality that strives to eliminate defects using the application of statistical methods. In this case, a defect is defined as anything that could lead to customer dissatisfaction. Six Sigma’s statistical quality control is the method used to measure variability in a product for evaluation and corrective actions. When the product metrics exceeds the bounds of acceptability, based on statistical inference, the product can be rejected with reasonable assurance that does not meet requirement. It aims to identify and eliminate waste in order to increase speed and flow from start to finish. It also identifies the critical steps, and deleting those not required or nonessential. There are so many metrics process in today’s business industries but the metrics that Six Sigma’s statistical thinking can also be defined as a thought process. In which it recognize the variation is all around us and present in everything we do. The Six Sigma’s interconnected processes and identifying, characterizing, quantifying, controlling and reducing variation provide opportunities for improvement within any organizations or firms. That is to say,
Six Sigma is a quality improvement philosophy and a methodology and collection of statistical techniques used to implement that philosophy. Six Sigma’s focuses on reducing or removing identifiable sources of changes in order to decrease the number of defects in a product. Six Sigma was developed by Bill Smith and was used to standardize the way in which defects are tallied (Meredith, 2013). As a new way of doing business, six sigma can have a significant impact on the end result of business. There are many way six sigma can be applied. For example, the scientific component of methodology is a structure approach that takes
Six Sigma was first introduced in the 1980’s by none other than Motorola. It was not however necessarily a novel concept at the time so much as it drew from a conglomerate of proven manufacturing principles. It is strikingly similar to the scientific method in design. Six Sigma approaches areas that may not necessarily be viewed as problematic with an open mind. It seeks to analyze problems or questions with a stepwise, statistical, and quantitative focus in order to discover, fix, or disprove problems that may or may not exist within a process. By doing this Six Sigma can improve efficiency and therefore improve positive outcomes for whatever the endpoint may be (Mast, Bisgaard, & others, 2007).
The Six Sigma methodology can be described as a management philosophy that focuses on developing and delivering near perfect products services. The approach uses the DMAIC structure and a set of improvement tools to identity causes of variation and to develop improvement strategies that reduce opportunities for defects and variation in process (Galli & Handley, 2014). DMAIC is the acronym for Define, Measure, Analyze, Improve and Control. The central idea behind Six Sigma is that if the defects of a process can be measured, then solutions
This criterion required applying the tools and techniques in the six sigma framework correctly. We can check whether the project utilizes the Six Sigma tools appropriately via DMAIC. The description of overall DMAIC process is quite simple without any specific six sigma tool demonstrated. The writer highlight that CTQs were gathered including the voice of the customer (VOC) information through stakeholder interviews and another related area metrics in the define phase. Process mapping and sub-process mapping helped to outline existing procedures in the measure phase. The team created action plans to improve opportunities that aligned with the organization’s strategic objectives in the improve phase. In the control phase, control tools which applied such as ‘dashboards’ or balanced scorecards to maintain the improving performance of CTQs. Although the project adopts little six sigma tools, the overall study used the tools in the Six Sigma appropriately and following a logical thought process. Thus, we will give a medium level to this criterion.
The concept of Six Sigma was developed in the early 1980’s at Motorola Corporation (Harry and Schroeder, 2000). Six Sigma can be defined as a statistical measure of the performance of a process or product (Kumi et. al., 2006). It is used as a quality control mechanism, which seeks to reduce defects or variations in a process to 3.4 per million opportunities thereby optimizing output and increasing customer satisfaction (Sambhe, 2012). Sigma is representing the standard deviation, a unit of measurement that designates the distribution or spread about the mean of a process (Six Sigma Academy, 2002). In addition, the Six Sigma uniquely driven by close understanding of customer needs, disciplined use of fact, data, and statistical analysis, and diligent attention to managing improving, and reinventing business processes (Pande, P., et. al. 2000). The Six Sigma methodology uses statistical tools to identify the factors that matter most for improving the quality of processes and generating bottom-line results. The Six Sigma DMAIC (Define, Measure,
Monitoring and control activities are essential components to effective project management (Chrissis, Konrad, & Shrum, 2011; PMI, 2013). The main purpose of monitoring and control activities are to having an understanding of project progress/performance against the agreed upon plan, identify potential risks, provide accurate forecasts, and to ensure corrective actions are taken when necessary (Chrissis et al., 2011; PMI, 2013). Successful cost and schedule control involves much more than merely monitoring project progress and costs, it involves thorough analysis of the data (Kerzner, 2013, p. 738). One of the most effective tools for performance measurement, monitoring, and control is earned value management (EVM); a powerful technique which employs quantitative data to objectively monitor and control project progress (De Marco & Narbaev, 2013).
"The Six Sigma Management System drives clarity around the business strategy and the metrics that most reflect success with that strategy. It provides the framework to prioritize resources for projects that will improve the metrics, and it leverages leaders who will manage the efforts for rapid, sustainable, and improved business results" (Smit, 2007).
In contrast to the just in time production process, the manufacturing flow chart of six sigma concentrates on DMAIC circle5. Unlike zero inventory in lean production, the process of six sigma production requires continuously diminishing the defect rate.
Six Sigma means a measure of quality that strives for near perfection. Six Sigma is a disciplined and data-driven approach or methodology for eliminating defects (driving towards six standard deviations between the mean and the nearest specification limit) in any process , from manufacturing to transactional and from product to service. The statistical representation of Six Sigma describes quantitatively how a process is performing. To achieve Six Sigma, a process must not produce more than 3.4 defects per million opportunities. A defect is defined as any process output that does not meet customer specifications. The fundamental objective of the Six Sigma methodology is the implementation of a measurement-based strategy that focuses on process improvement and variation
Six Sigma was established by Motorola in 1987 as a strategic initiative. Since then, it has been deployed in a growing number of global firms. The initiative was specifically designed to attack any problems derived from variation, both by reducing variation as well as by improving the