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Theory of Constraints and Benefits; Tracking Six Sigma Projects

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iSixSigma Insights  -  November 15, 2004  -  Vol. 5, #91  -  ISSN: 1530-7603

In This Issue

Using the Theory of Constraints to Allocate Benefits

Many Six Sigma companies experience challenges in their effort to calculate and allocate benefits from throughput projects, where bottlenecks shift from one process to another. Employing the theory of constraints provides an effective solution. This article discusses the following topics:
  • Understanding the Bottleneck
  • Examples of Applying the Theory
  • Counting Benefits and Sharing Credit
Teams understand that, even if their project may not have an immediate impact on improving the whole system, when the final bottleneck is addressed, their project will be acknowledged for its role in the higher throughput level.
http://www.isixsigma.com/library/content/c041115a.asp

The Quality Minutes: Chili Peppers

Sponsor Message

Juran Institute's "Quality Minutes" are a lively and entertaining library of 148 true case examples that illustrate and vividly reinforce the "breakthroughs" that organizations have achieved. Each short, engaging video segment (about 90 seconds each) helps to bring Six Sigma quality concepts to life.

The Quality Minute of the Moment is titled Chili Peppers. Establishing measures for quality is vital. When measures don't exist, they have to be invented. In this segment, we learn how an objective system of measurement was created to determine the "hotness" of chili peppers.
http://www.isixsigma.com/r.asp?id=1922

New Six Sigma Job Openings


Master Black Belt
Leader in flat rolled steel distribution and processing, $110-120K per year
iSixSigma Recruiting | US-Texas-Houston
http://jobs.isixsigma.com/preferred.asp?ID=2068


Director, Process Improvement
Industry leader in drug delivery solutions, $120-170K per year
iSixSigma Recruiting | US-California-San Carlos
http://jobs.isixsigma.com/preferred.asp?ID=2070


Senior Quality Engineer
Sanford Corporation | US-Tennessee-South of Nashville
http://jobs.isixsigma.com/apply.asp?ID=2591

Process Analyst
LifeMasters | US-Texas-San Antonio
http://jobs.isixsigma.com/apply.asp?ID=2590

Black Belt
Armstrong World Industries, Inc. | US-Pennsylvania-Lancaster, PA
http://jobs.isixsigma.com/apply.asp?ID=1833

Project Manager Operational Excellence
Washington Mutual | US-Washington-Seattle
http://jobs.isixsigma.com/apply.asp?ID=1994

Six Sigma Black Belt
Roundpeg Associates | United Kingdom-Glasgow
http://jobs.isixsigma.com/apply.asp?ID=2340

Six Sigma Master Black Belt
The Madison Davis Group | US-Massachusetts-Various
http://jobs.isixsigma.com/apply.asp?ID=914

Lean Consultant
BearingPoint | US-Maryland-Lexington Park
http://jobs.isixsigma.com/apply.asp?ID=2181

Manager of Performance Excellence
PNM | US-New Mexico-Albuquerque
http://jobs.isixsigma.com/apply.asp?ID=1653

Associate Director/ Black Belt
Aspire Resourcing | Switzerland-Zurich
http://jobs.isixsigma.com/apply.asp?ID=2136

Plant Engineer
Johns Manville | US-Kansas-Mcpherson, KS
http://jobs.isixsigma.com/apply.asp?ID=2543

Recent Quality Discussions

Tracking Six Sigma Projects
We are currently working on a DMADV project to improve Six Sigma project work including benefit reporting. Today we use multiple spreadsheets to keep track of all our projects (from White Belt through Black Belt we are talking about 1000+ projects a year).

"One possible solution might be the implementation of specific tracking & reporting software. These systems tend to offer an enormous amount of functionalities for any of the user roles. My fear is that people (Belts) will either spend excessive time updating their project records or will reject the usage completely. Does anybody share my fears? Did you encounter the same scenario? How did you manage?
http://www.isixsigma.com/forum/showmessage.asp?messageID=58755

Comparing Slopes Statistically
I ran into a trend analysis where I was interested in determining how significant the change in slope is before and after a given period of time. Any idea if there is a way to statistically compare two slopes?
http://www.isixsigma.com/forum/showmessage.asp?messageID=58717

Applying Lean to QA Department
In our facility's QA department, we currently staff 6 individuals per shift: four to do testing on four individual product lines (one person is assigned to each line to grade for all attributes, one to do testing on a specific attribute and one to break the others).

"Being new to lean concepts, does anyone have any advice for a starting point to make my group more efficient? Reducing the number of heads (via attrition) is a requirement for the department. Ideas I have considered include grading for certain attributes that are in statistical control less often, and have individuals assigned to grading certain attributes on all lines as opposed to all the attributes on a given line. Any advice, assistance, related articles, links etc. is appreciated.
http://www.isixsigma.com/forum/showmessage.asp?messageID=58668

Calculating Sigma Scores in Microsoft Access
I am trying to set up a database in Access to centrally calculate and report on sigma performance across my organization. I can do everything except the final sigma score.

"In Excel I can use the Normsinv formula but there isn't the equivalent in Access. I have tried selecting the Excel object library in Modules-Tools-Reference but it still won't accept the Normsinv formula in my query. Does anyone have any ideas?
http://www.isixsigma.com/forum/showmessage.asp?messageID=58649

Is Rolled Throughput Yield Process Capability?
Is rolled throughput yield (RTY) process capability of a process? Can anyone explain this? RTY is calculated based on defects. How do way say or understand that this is the process capability of attribute type of data? My question is simple, can we say RTY is a process capability for discrete type data irrespective of complexity of the process?
http://www.isixsigma.com/forum/showmessage.asp?messageID=58626

The Latest News & Press Releases

  • Revitalizing Six Sigma: What Matters Most to the Business
  • Xerox CEO Addresses Value of Corporate Citizenship at 'Business for Social Responsibility' Conference, Donating Lean Six Sigma Skills
  • NAVAIR AIRSpeed Black Belts Begin Training
  • Juran Institute Moving to New Headquarters in Southbury, Connecticut
  • New Cross-Industry Study by Economist Intelligence Unit Finds High Rate of Failure for Performance Improvement Efforts
http://www.isixsigma.com/ne/news/

Upcoming Conferences & Training Events

Six Sigma Training for All Levels from BMG
http://www.isixsigma.com/r.asp?id=1915

Enroll Today in Six Sigma Courses From Juran Institute
http://www.isixsigma.com/r.asp?id=1916

Six Sigma Qualtec Open Enrollment Training
http://www.isixsigma.com/r.asp?id=1917

Additional conferences & training events:
  • Six Sigma Master Black Belt Certification - Massachusetts [Nov 16]
  • Minitab 14 General Training Session - Illinois [Nov 16]
  • Introduction to Principal Component Analysis and its Applications - Quebec, Canada [Nov 17]
  • Gage Management and R&R using GAGEpack - Ohio [Dec 1]
  • DFSS Supplement for Black Belts - Colorado [Dec 6]
  • Experiment Design Made Easy - California [Dec 7]
  • Process Mapping Training - Florida [Dec 7]
  • DMAIC Reliability and Life Estimation - Colorado [Dec 10]
  • Six Sigma Green Belt Training - Illinois [Dec 13]
  • Facilitating and Leading Quality Improvement Teams - Connecticut [Dec 14]
http://www.isixsigma.com/ne/events/

iSixSigma Conference: Six Sigma India, Dec 13-15

Six Sigma India
A Three-Day Forum on December 14 & 15, 2004
Pre-Conference Workshops: December 13

Mumbai, India

Choose from two streams of presentations, specifically created to ensure that you and your company gain optimum benefits from this three-day forum. A Discovery Track has been developed for those on a path-finding mission, or in the early stages of their Six Sigma journey. These presentations provide the knowledge necessary to ensure Six Sigma success within your company. An Advanced Track will provide in-depth presentations from the Indian industry's Six Sigma leaders, so you will gain valuable insights and knowledge to further advance your company's progress.

Our distinguished panel of speakers includes:
  • Nilotpaul Bose, Customer Quality Manager, Asia Pacific - MOTOROLA
  • Sanjay Rai, Head - Management Innovation - SAMSUNG INDIA ELECTRONICS LTD
  • Anshul Varma, Worldwide Quality Leader - HEWLETT PACKARD
  • Dr Raviprakash Salagame, Six Sigma Black Belt, GE INDIA
  • Jagdish Ramaswamy, Vice President Mission Quality - WIPRO LIMITED
  • Arun Kumar Malik, General Manager - Quality - BHARTI INFOTEL LTD

    Premium Sponsor


    Conference Exhibitor
  • And many more!
Attend this conference and learn about:
  • The Necessity for Six Sigma in India
  • Six Sigma Project Leadership
  • Factors Critical to Achieving Positive Results
  • Customizing the Six Sigma Toolbox for the BPO Environment
  • Using Six Sigma to Exceed Customer Expectations
  • And much more. Too many to list!
Visit iSixSigma Conferences produced by IXPERION to learn more about attending this exclusive conference and gaining the skills and knowledge you need to be successful in 2005.
http://www.ixperion.com/india_2004_details.htm

Book Giveaway - 'Lean Six Sigma for Service'

Once per day you can enter to win a copy (three copies to be given away!) of the Lean Six Sigma for Service: How to Use Lean Speed and Six Sigma Quality to Improve Services and Transactions written by Michael L. George.

Don't delay, enter today.
Enter Now To Win The Current Book Giveaway!

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