Six Sigma MBA591 Practice Questions with Answers

DMAIC (Define, Measure, Analyze, Improve, Control) or action plan a six sigma process that outlines the steps that should be followed to improve an existing business process (improvement methodology) What is Six Sigma? it was coined by motorola (rationalized that the mean shifts 1.5 standard deviations as time goes by, which affects the sigma level; sigma level should be 4.5) Six Sigma is a measurement-based strategy for process improvement. aims at improving process and increasing customer satisfaction. The concept behind this approach is to reduce the variation in processes. This reduction leads to consistent and desired outcomes from processes. Hence, Continuous process improvement with low defects is the goal of this method. (3.4 defects / million) = uses Poisson distribution to find defects per unit of time or distance. Lean is the workflow style that involves "engaging" the workforce; that even the lowest on the totem pole can offer insight for improvement. -Lean looks to reduce waste by using tools like Kaizen Poka-Yoke -Major goal of lean is to eliminate process steps that add little or no customer value. Teamwork- well informed & trained employees who participate in decisions that that impact their function. -Clean, organized and well marked spaces -Flow systems instead of batch and queue (reduce batch to 1) -Pull systems in stead of push (replenish what the customer has consumed) -Reduced Lead Times though more efficient processing, setups, and scheduling. if just doing six sigma and not lean, what would be different? Lean = focuses primarily on efficiency and minimization of waste; Six Sigma = focuses on quality and consistency Six sigma-trying to only look at data you can measure that will impact parameters -only focus on KPIVS that impact KPOVS that impact variation of a product or service in question. with lean, we will also be concerned with eliminating waste, some KPIVS will need to be measured that have no impact on KPOVS Lean Methodology identify customer value, draft value stream map, improve stream by removing waste, balancing workload, and flowing the process and pulling the product Lean Effects improved delivery time, reduced waste, less cost