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SIX SIGMA –

EXECUTIVE SUMMARY

Dr. A. BLANTON GODFREY


DEAN & JOSEPH D. MOORE PROFESSOR
NORTH CAROLINA STATE UNIVERSITY

JULY, 2002
FOCUS ON RESULTS

JULY, 2002
“Senior leadership, especially Jack
Welch, provided unyielding
commitment to get the initiative going
and ensure its continued success.
This will not be easy for other
companies to copy.”

Hoerl, Roger (2002), “An Inside Look at Six


Sigma at GE,” Six Sigma Forum Magazine, Vol.
1, No. 3, May, pages 35-44.

JULY, 2002
“Six Sigma was directed toward
specific, tangible objectives, including
financial objectives. The culture
changed as a result of delivering
tangible benefits, not because of a
focus on the culture itself.”

Hoerl, Roger (2002), “An Inside Look at Six Sigma


at GE,” Six Sigma Forum Magazine, Vol. 1, No. 3,
May, pages 35-44.

JULY, 2002
SIX SIGMA AT 3M

“Six Sigma is totally changing 3M. Many


of the things that had driven the success
of our company for the past eighty years
no longer apply.”

W. James McNerney, Jr. CEO, 3M Company, 25 June 2002

JULY, 2002
SIX SIGMA AT 3M
• 500 Black Belts and Master Black Belts “for ever and ever”
• Each has a two-year assignment.
• All 28,000 salaried and technical people trained at least at
Green Belt level. Many hourly people selected also for
Green Belt training.
• Major goal is to have for first time common approach to
problem solving, new product development, and
measurement across entire company.

W. James McNerney, Jr. CEO, 3M Company, 25 June 2002

JULY, 2002
SIX SIGMA AT 3M
• One process improvement methodology
• One global business language
• Sharing/leveraging worldwide
• Best in company comparisons (45 divisions)  

W. James McNerney, Jr. CEO, 3M Company, 25 June 2002

JULY, 2002
TWENTY KEY LESSONS LEARNED

1. The time is right.


2. The enthusiastic commitment of top management is
  critical.
3. Develop an infrastructure.
4. Commit top people.
5. Invest in relevant hands-on training.
6. Select initial projects to build credibility quickly.
7. Make it all pervasive, and involve everybody.
8. Emphasize DFSS.
9. Don’t forget design for reliability.
10. Focus on the entire system.
Gerald J. Hahn, “20 Key Lessons Learned,” Six
Sigma Forum Magazine, May 2002, pages 28-34.

JULY, 2002
TWENTY KEY LESSONS LEARNED

11. Emphasize customer CTQs (critical to quality).


12. Include commercial quality improvement.
13.  Recognize all savings.
14. Customize to meet business needs.
15. Consider the variability as well as the mean.
16. Plan to get the right data.
17. Beware of dogmatism.
18. Avoid nonessential bureaucracy.
19. Keep the tool box vital.
20. Expect Six Sigma to become a more silent partner.

Gerald J. Hahn, “20 Key Lessons Learned,” Six


Sigma Forum Magazine, May 2002, pages 28-34.

JULY, 2002
WHY SIX SIGMA
• Intense competitive pressures – especially from rapid
globalization.
•   Greater consumer demand for high quality products and
services, little tolerance for failures of any type.
• Top management (and stockholder) recognition of the
high costs of poor quality.
• The availability and accessibility of large data bases and
our increasing ability to explore, understand, and use
the data.
• The existences of high-quality software tools that make
sophisticated analyses practical.

Gerald J. Hahn, “20 Key Lessons Learned,” Six


Sigma Forum Magazine, May 2002, pages 28-34.

JULY, 2002
SELECTING THE RIGHT PROJECTS

• Assure that the importance of the projects is


evident or can be readily demonstrated.
 
• Assure the projects are viable and doable in a
short time (preferably less than three months).

• Assure that the success of the projects can be


readily quantified.

Gerald J. Hahn, “20 Key Lessons Learned,” Six


Sigma Forum Magazine, May 2002, pages 28-34.

JULY, 2002
SELECTING THE RIGHT PROJECTS

• Assure that the importance of the projects is


evident or can be readily demonstrated.
 
• Assure the projects are viable and doable in a
short time (preferably less than three months).

• Assure that the success of the projects can be


readily quantified.

Gerald J. Hahn, “20 Key Lessons Learned,” Six


Sigma Forum Magazine, May 2002, pages 28-34.

JULY, 2002
RELEVANT, HANDS-ON TRAINING
• Ensure trainers are knowledgeable and outstanding
communicators.

•  Customize the training, especially the examples for the


needs of the specific business.

• Ensure that the common vocabulary of Six Sigma is


retained – an essential for expediting communications.

• Incorporate hands-on involvement. Make Six Sigma


projects part of the training.

• Consider engaging external gurus to expedite Six


Sigma introduction.
Gerald J. Hahn, “20 Key Lessons Learned,” Six
JULY, 2002 Sigma Forum Magazine, May 2002, pages 28-34.
FINAL THOUGHTS

• Evolution not revolution


• Serious commitment required
• Results can be stunning

JULY, 2002

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