Speaker 1: Imagine you've been tasked with a really important project at work. The company you're working for produces luxury cars. The production numbers are going down and a lesser number of cars are getting manufactured each day. There also seems to be an issue with the quality of the windshield wipers that go on these cars. The question you are faced with is there a way for the company to stop the stall in production and increase the production per day from 1,000 to 2,000? Also, is there a way to find out what's causing the drop in the wiper quality? There is. Six Sigma. Six Sigma gives you the tools and techniques to determine what's making the manufacturing process slow down, how you can eliminate the delays, improve the process, and fix further issues along the way. The concept was introduced in 1980 by Bill Smith while working for Motorola. Since then, Six Sigma has seen worldwide adoption. Six Sigma aims to reduce the time, defects, and variability experienced by processes in an organization. Thanks to Six Sigma, you can produce a defect-free product 99.9996% of the time, allowing only 3.4 errors per 1 million opportunities. Six Sigma also increases customer loyalty towards the brand, improves employee morale, leading to higher productivity. Six Sigma has two major methodologies, DMAIC and DMADV. Let's look at the first methodology. DMAIC is an acronym for Define, Measure, Analyze, Improve, and Control. Let's have a look at each of these stages individually and how it relates to your earlier problem. In the Define phase, you determine what issues you're facing, what your opportunities for improvement are, and what the customer requires of you. Here, you look at the process as a whole and determine the issues with the manufacturing process. In this case, finding out why the cars had varying windshield wiper quality and how to optimize the current process to manufacture more cars. In the Measure phase, you determine how the process is performing currently in its unaltered state. You determine the current number of cars that are manufactured in a day. In the current scenario, 1,000 cars are manufactured in a day, and each of these cars are outfitted with a pair of windshield wipers by one of 30 machines used. Some of the metrics measured are how many cars are produced in a day, time taken to assemble a car, how many windshield wipers were attached in a day, time that takes them to do so, defects detected from each machine on assembly completion, and so on. Following this, in the Analyze phase, you determine what caused the defect or variation. On analyzing previous data, you find out that one of the machines that installed the windshield wiper was not performing as well as it was supposed to. Production was taking longer since the car chassis was being moved across the different locations slower, as cranes had to individually pick and drop the frame. This was because the wheels were attached to the car only in the last stage. Next, in the Improve phase, you make changes to the manufacturing process and ensure the defects are addressed. You replace the faulty machines that installed the windshield wiper with another one. You also find a way to save time by attaching wheels on the frame in the initial stages of the manufacturing process, unlike how it was done earlier. Now the car can be moved across the assembly area faster. And finally, in the Control phase, you make regular adjustments to control new processes and future performance. Based on the changes made, the company was able to reduce production time and manufacture about 2,000 cars a day with a higher quality of output. DMAIC is one of the most commonly used methodologies in the world. It focuses on improving the existing products of the organization. The second methodology is DMADV, which is short for Define, Measure, Analyze, Design, and Verify. It is used when the company has to create a new product or service from scratch. It is also called DFSS, or Design for Six Sigma. Let's take the scenario where the company decides to build a new model, a sports car. In the Define phase, you define the requirements of the customer. Based on inputs from customers, historical data, industry research, you determine what you need to ensure your car becomes a success. The data collected indicates customers are drawn to cars which can achieve more than 150 miles per hour. Customers are also more inclined towards cars which have V6 engines and an aerodynamic frame. Then, in the Measure phase, you use the customer's requirements to create a specification. This specification helps define the product in a measurable method, so that data can be collected and compared with specific requirements. Some of the major specifications that you focus on are the top speed, engine type, and type of frame. In the Analyze phase, you analyze the product to determine whether there are better ways to achieve the desired results. Areas of improvement are determined and tested. Based on the analysis of the prototype created in this phase, you find that the product satisfies just about all of the customer requirements, except the top speed. So, research begins on an aluminum alloy that could possibly meet the speed requirements of the customer. Following this, the Design phase. Based on the learnings from the Analysis phase, the new process or product is designed. Revisions are made to the model, and the car is manufactured with the new material. The Analysis phase is repeated based on the new design. You also bring a focus group and see how they receive it. Based on their feedback, further changes are made. And finally, in the Verify phase, you check whether the end result meets or exceeds customer requirements. Once you launch your brand new sports car, you collect customer feedback and incorporate it into future designs. And guess what? Your customers are loving the new design. And that is DMADV for you. Six Sigma has also found success in a number of different industries. The petrochemical, healthcare, banking, government, and software are some of the industries that have utilized the concepts of Six Sigma to achieve their business goals. Another commonly used methodology adopted by companies around the world is Lean. Lean is a methodology that aims to remove any part of the process that does not bring value to the customer. It means doing more with less while doing it better. The philosophy behind Lean comes from the Japanese manufacturing industry by Bob Hartman, who at the time was part of Toyota. Since then, across the world, services and manufacturing organizations have incorporated Lean within their businesses. But what if you could have the best of both worlds? A combination of both Six Sigma and Lean. That's Lean Six Sigma. Before we get into Lean Six Sigma, we've got a quiz for you. What methodology is used by companies when they want to release a new product created from scratch? A. Design, measure, analyze, define, verify. B. Define, measure, analyze, design, verify. C. Demand, measure, analyze, improve, control. D. Define, measure, analyze, improve, control. Leave your answers in the comment section below for a chance to be one of three people to win an Amazon voucher. Now let's get back to Lean Six Sigma. Lean Six Sigma is a methodology that focuses on eliminating problems, removing inefficiencies, and waste, while improving the working conditions to ensure the customer's needs are better satisfied. It combines the tools, methods, and principles of Lean and Six Sigma. We'll have another video detailing the process of Lean Six Sigma very soon. We hope you found this informative and helpful. If you enjoyed this video, please like and share it. And don't forget to subscribe to the Simply Learn channel. Thank you for watching, and stay tuned for more from Simply Learn.