...Chapter 1: 1. Changed the European logistics structure from a local viewpoint to a greater overall European level. To improve the company’s logistics, they began structuring for a centralized European planning function. With the new function, the process would begin by obtaining sales forecasts from each local market, monitor finished goods stock levels at each DC and develop production plans and stock movement schedules to drive the flow of finished goods to DCs to ensure a higher service level. The ERP and web-based systems needed to have a common system throughout the entire distribution function. 2. Cons of a centralized system is the willingness of the local customers and distribution aspects are not too favorable about the switch and contracting to third parties for tasks like cross-docking do not always have Shavers best interests at heart. Pros are being able to forecast production levels more accurately, decrease overhead by eliminating unnecessary DCs, and an overall reduction in purchasing prices. 3. With the centralization of the logistics structure information was shared more easily with a common system that made the access similar from one facility to another within the system. The ability of forecasting improved with an increase in products, and no change for inventory levels. The organization of the data and information needed to be developed to accommodate the European structure and business “attitude”, which cost a great deal of money for Shavers...
Words: 583 - Pages: 3
...Case study On Six Sigma at Wipro Technologies: Thrust on Quality Wipro Technologies is a global services provider delivering technology-driven business solutions that meet the strategic objectives of clients. Wipro has 40+ ‘Centers of Excellence’ that create solutions around specific needs of industries. Wipro delivers unmatched business value to customers through a combination of process excellence, quality frameworks and service delivery innovation. Wipro is the World's first CMMi Level 5 certified software services company and the first outside USA to receive the IEEE Software Process Award. Wipro has one of the most mature Six Sigma programs in the industry ensuring that 91% of the projects are completed on schedule, much above the industry average of 55%. Six Sigma provides the tools for continuous improvement on existing processes thereby helping sustain the SEI-CMM Level 5 and CMMi certifications. This case focuses on the initiatives taken by Wipro Technologies to implement the Six Sigma Quality tool to achieve sustained strategic business results. It explores the implementation procedure at Wipro Technologies and the benefits reaped by the company on account of adopting Six Sigma. The case also throws light on the recent developments in the Six Sigma concept including Wipro’s Six Sigma Skill base and consulting experience and explains how the company intends to build its expertise and experience '' to bring continuous process improvement to the organization. ...
Words: 2613 - Pages: 11
...Journal of Case Research in Business and Economics Application of Six-Sigma in finance: a case study A. Ansari Seattle University Diane Lockwood Seattle University Emil Thies Zayed University Batoul Modarress Zayed University Jessie Nino Seattle University ABSTRACT In recent years, companies have begun using Six Sigma Methodology to reduce errors, excessive cycle times, inefficient processes, and cost overruns related to financial reporting systems. This paper presents a case study to illustrate the application of Six Sigma Methodology within a finance department. Specifically, the case relates to the Continuing Account Reconciliation Enhancement project undertaken by the finance department of a major U.S. defense contractor. The goal of the project was to streamline and standardize the establishment and maintenance of costing and planning for all business activities within the current financial management process. The Six Sigma implementation resulted in a significant reduction in the average cycle time and cost, per unit of activity, needed to produce the required financial reports. Key Words: Six Sigma, Process Management, Quality Management, Finance Application of Six-Sigma, Page 1 Journal of Case Research in Business and Economics INTRODUCTION In 1987, Motorola developed and organized the Six Sigma process improvement Methodology to achieve “world-class” performance, quality, and total customer satisfaction. Since that time, at least 25% of the Fortune 200, including...
Words: 4909 - Pages: 20
...archive of this journal is available at www.emeraldinsight.com/0954-478X.htm TQM 19,1 6 Dynamics of organizational learning and continuous improvement in six sigma implementation Taina Savolainen Department of Business and Economics, University of Joensuu, Joensuu, Finland, and Arto Haikonen Genworth Financial, Helsinki, Finland Abstract Purpose – The purpose of this paper is to examine the dynamics of organizational learning and continuous improvement (CI) in the context six sigma implementation in business organizations operating in multicultural environments. Design/methodology/approach – A specific research question is: does learning mechanisms and continuous improvement practices support each other and how, and what type of learning can be identified in the improvement of business processes. The question is linked to one of the fundamental issues currently discussed in the field of organizational learning; how do organizations get “from here to there”, in other words, what is the dynamics of the processes of learning and how progressive learning is achieved. A case study of a few Finnish companies is made and a procedural implementation model is applied. Findings – The findings suggest that the learning process is characterized by measurement, detection and correction of errors, and cost reduction. In six sigma implementation, learning is a single-loop type of learning. It is an incremental change process which reminds a technical variant of the learning organization...
Words: 5954 - Pages: 24
...Master Thesis Software Engineering Thesis no: MSE-2008-21 November 2008 Applying Six Sigma in Software Companies for Process Improvement Adnan Rafiq Khan Long Zhang School of Engineering Blekinge Institute of Technology Box 520 SE – 372 25 Ronneby Sweden This thesis is submitted to the School of Engineering at Blekinge Institute of Technology in partial fulfillment of the requirements for the degree of Master of Science in Software Engineering. The thesis is equivalent to 2*20 weeks of full time studies. Contact Information: Author(s): Adnan Rafiq Khan Address: Folkparksvagen 1905, 37240 Ronneby, Sweden. E-mail: adnanrafiqkhan@gmail.com Long Zhang Address: Villa Flora 951, 37236 Ronneby, Sweden. E-mail: zhl10154@gmail.com University advisor(s): Conny Johansson (Head of Department, Department of Systems and Software Engineering) School of Engineering Blekinge Institute of Technology Box 520 SE – 372 25 Ronneby Sweden Internet Phone Fax : www.bth.se/tek : +46 457 38 50 00 : + 46 457 271 25 ii ACKNOWLEDGEMENT First of all we thank our supervisor, Conny Johansson, for continuously providing the support, encouragement and motivation during the thesis. His advices, suggestions and feedbacks were really helpful and made this effort an enjoyable one. We are thankful to our faculty reviewer Dr. Robert Feldt. His feedbacks and comments were very useful to design this thesis. We would like to thanks Mr. Kai Xiao, a student at BTH, for introducing...
Words: 32055 - Pages: 129
...Six Sigma is a set of tools and techniques/strategies for process improvement originally developed by Motorola in 1981.[1][2] Six Sigma became well known after Jack Welch made it a central focus of his business strategy at General Electric in 1995,[3] and today it is used in different sectors of industry.[4] Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and business processes.[5] It uses a set of quality management methods, including statistical methods, and creates a special infrastructure of people within the organization ("Champions", "Black Belts", "Green Belts", "Yellow Belts", etc.) who are experts in the methods.[5] Each Six Sigma project carried out within an organization follows a defined sequence of steps and has quantified value targets, for example; process cycle time reduction, customer satisfaction, reduction in pollution, cost reduction and/or profit increase.[5] The term Six Sigma originated from terminology associated with manufacturing, specifically terms associated with statistical modeling of manufacturing processes. The maturity of a manufacturing process can be described by a sigma rating indicating its yield or the percentage of defect-free products it creates. A six sigma process is one in which 99.99966% of the products manufactured are statistically expected to be free of defects (3.4 defects per million), although, as discussed below...
Words: 4296 - Pages: 18
...systematic review of Lean Six Sigma for the manufacturing industry Saja Ahmed Albliwi Jiju Antony Sarina Abdul halim Lim Article information: Downloaded by North South University At 22:57 26 January 2016 (PT) To cite this document: Saja Ahmed Albliwi Jiju Antony Sarina Abdul halim Lim , (2015),"A systematic review of Lean Six Sigma for the manufacturing industry", Business Process Management Journal, Vol. 21 Iss 3 pp. 665 - 691 Permanent link to this document: http://dx.doi.org/10.1108/BPMJ-03-2014-0019 Downloaded on: 26 January 2016, At: 22:57 (PT) References: this document contains references to 63 other documents. To copy this document: permissions@emeraldinsight.com The fulltext of this document has been downloaded 961 times since 2015* Users who downloaded this article also downloaded: Saja Albliwi, Jiju Antony, Sarina Abdul Halim Lim, Ton van der Wiele, (2014),"Critical failure factors of Lean Six Sigma: a systematic literature review", International Journal of Quality & Reliability Management, Vol. 31 Iss 9 pp. 1012-1030 http://dx.doi.org/10.1108/IJQRM-09-2013-0147 M.P.J. Pepper, T.A. Spedding, (2010),"The evolution of lean Six Sigma", International Journal of Quality & Reliability Management, Vol. 27 Iss 2 pp. 138-155 http:// dx.doi.org/10.1108/02656711011014276 Diego Pacheco, Isaac Pergher, Guilherme Luís Roehe Vaccaro, Carlos Fernando Jung, Carla ten Caten, (2015),"18 comparative aspects between Lean and Six Sigma: Complementarity and...
Words: 13381 - Pages: 54
...com/1598-2688.htm AJQ 13,3 An analysis of critical success factors for Six Sigma implementation Sunil Sharma Faculty of Management Studies, University of Delhi, Delhi, India, and 294 Anuradha R. Chetiya Department of Mathematics and Statistics, Ramjas College, University of Delhi, Delhi, India Abstract Purpose – The success of Six Sigma implementation is known to depend on a number of critical factors. The purpose of this paper is to explore and analyse Six Sigma critical success factors (CSFs) in the context of Indian manufacturing organizations. Design/methodology/approach – Although Six Sigma success factors have been amply researched in the global context, in this paper, a maiden attempt is made to identify, through an extensive literature review, the CSFs for Six Sigma implementation followed by their validation and prioritization using primary data collection from Indian companies. A total of 22 CSFs have thus been compiled through an extensive literature review. These CSFs are then validated through an empirical research of select Indian manufacturing companies at various stages of implementation of the Six Sigma process improvement methodology. Findings – A factor analysis was used to finally reduce the 22 factors to seven groups of underlying CSFs, the top factors being use of right tools, measurement assurance, innovation and supplier collaboration. Based on the factors extracted, a Six Sigma adoption model has been proposed in the Asian context. Research limitations/implications...
Words: 6737 - Pages: 27
...SIX SIGMA BASICS Six Sigma * is a set of techniques and tools for process improvement developed by Motorola in 1986. Jack Welch made it central to his business strategy at General Electric in 1995. Today, it is used in many industrial sectors. * seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and business processes. It uses a set of quality management methods, including statistical methods, and creates a special infrastructure of people within the organization ("Champions", "Black Belts", "Green Belts", "Yellow Belts", etc.) who are experts in these methods. Each Six Sigma project carried out within an organization follows a defined sequence of steps and has quantified value targets, for example: reduce process cycle time, reduce pollution, reduce costs, increase customer satisfaction, and increase profits. These are also core to principles of Total Quality Management (TQM) as described by Peter Drucker and Tom Peters (particularly in his book "In Search of Excellence" in which he refers to the Motorola six sigma principles). * The term is originated from terminology associated with manufacturing, specifically terms associated with statistical modeling of manufacturing processes. The maturity of a manufacturing process can be described by a sigma rating indicating its yield or the percentage of defect-free products it creates. A six sigma process is one in which...
Words: 3200 - Pages: 13
...IME 6120 PRODUCTION OPERATIONS MANAGEMENT SAKETH REDDY DUMPALA WMU ID #068431546 Case Study-2 1(a) The Penang Mutiara which is located on the lush greens of the Indian Ocean coast of Malaysia is one of the most luxurious hotels of South-East Asia. This hotel is owned by PernasOUE of Malaysia and managed by Singapore Mandarin International Hotels. This luxurious hotel gives its best quality of service to its customers. According to the Penang Mutiara hotel the quality of service means helping guests sort out their own problems. The hotel always tries to cut down their costs by increasing the volume, speed and flexibility. There are many situations described in the case study which shows the quality of service being offered by the hotel to its customers. This strategy helps them to be competitive enough to maintain their business. 1(b) The present strategy followed by the hotel management is yielding them many customers. There is still a scope for any organization to improve its profits by increasing the volume of customers. The hotel has to maintain a long term relationship with its existing and new customers. They can create a website as a part of promotion and also they can make the payments online. They also can attract customers by offering some exciting packages. They must not compromise in quality in order to keep the cost low. 1(c) The development of operations of the hotel which drives them in its long term strategy is as follows: i. ii. iii. iv. v. Appropriate Training...
Words: 942 - Pages: 4
...Centre for Research in Six Sigma and Process Excellence (CRISSPE), Strathclyde Institute for Operations Management, University of Strathclyde, Glasgow, UK Abstract Purpose – The last two decades have witnessed an explosion of research into the area of quality initiatives (QI) such as ISO, total quality management, lean, Kaizen and its application within small and medium-sized enterprises (SMEs). However, very few empirical studies have reported the application of Six Sigma in SMEs; the reasons may be attributed to several myths associated with Six Sigma. The purpose of this paper is to assess the current status of QI in the UK manufacturing SMEs and report the differences in the quality management practices of Six Sigma SMEs against the ISO certified firms. Design/methodology/approach – A survey-based approach was adopted to understand the established quality management practices in the UK SMEs. A short survey instrument was designed by reviewing the literature on quality improvement initiatives in SMEs. A sample of 500 manufacturing SMEs across UK was selected through stratified random sampling technique. Findings – A response rate of 12.7 per cent was achieved and included respondents at senior management and middle management level across the manufacturing industry in the UK. Data analysis on the history of quality initiatives (QI) in SMEs indicated towards the trend that ISO may be the foundation or building block before embarking on lean or Six Sigma. Differences in quality...
Words: 6237 - Pages: 25
...Importance of Six Sigma as Process and Sustainability Improvement in United Parcel Services Martin Tunggadjaja March 2013 ABSTRACT Six Sigma is a process improvement developed by Motorola in 1985 that encompasses a set of strategies and tools acquired in order to improve the current business practice and systematic processes to fulfill the objectives. It is initially designed to measure how many faults or defects are in the process so that they can be eliminated systematically as part of improvement to reduce weaknesses and reinforce quality. One of popular process improvement methodology that is part of Six Sigma is DMAIC, which consists of: Define, Measure, Analysis, Improve and Control. Originally Six Sigma was first incorporated into manufacturing industries; this methodology also applies well to logistics companies since the focus is customer-oriented. Supply chain management is a key strategic factor for increasing organizational effectiveness and for better realization of goals such as enhanced competitiveness, better customer care and increased profitability (Gunasekaran, Patel, Tirtiroglu, 2001, p71). Therefore, Six Sigma as shown to be successful in delivering business benefits through variation reduction (Knowles, Whicker, Femat, 2005, p51). This paper discusses how Six Sigma apply to the logistics processes and an example case study of United Parcel Service (UPS) incorporating this technique to reposition itself in the world’s most improved logistics and...
Words: 3755 - Pages: 16
...Title: Enhancing Productivity & Quality in an integrated Steel Plant – a case study Name of the Scholar : O. Rama Mohan Rao AGM (Pers), Visakhapatnam Steel Plant Dept : Mechanical Engineering Name of the guide : Dr. K.Venkata Subbaiah, Ph.D, Professor in Mech. Engg., Andhra University Dept : Mechanical Engineering ABSTRACT Globalization is making most of the organizations, sectors more intensely competitive. Many organizations are struggling to improve their operating performance in response to market demands for lower costs, higher-quality products and services, shorter lead times, and higher returns on investment in infrastructure and resources. To address issues of competitiveness and to uncover hidden value, our clients find that Lean Six Sigma technique is one of the most powerful platforms available. This research addresses the application of Lean and Six Sigma tools to increase the productivity and improve the quality in the steel industry. It illustrates the procedures of implementing lean tools in a process industry with emphasis on Value stream mapping, 5 s and six sigma tools. Study on Integrated applications of lean & six sigma tools in a continuous process industry are limited. The thesis hypothesizes that there are lot of opportunities for improvement in the process industries like steel if lean and six sigma tools are integrated and utilized. It systematically demonstrates how lean manufacturing tools when...
Words: 2372 - Pages: 10
...Six Sigma Implementation for Ship Maintenance and Safety Management Bahadir Inozu, Ph.D. Chairman, Professor, 1 and Director2 Ivan Radovic Special Projects Manager1 and Project Manager for Maritime Applications2 1 School of Naval Architecture and Marine Engineering, 2Reliability, Operation and Maintenance Division, Gulf Coast Region Maritime Technology Center, 911 Engineering Building, University of New Orleans, New Orleans, LA 70148 Tel: (504) 280 7182, Fax: (504) 280-5627 E-mail: BInozu@uno.edu, Web site: drydock.gcrmtc.org Paper to be presented at IAME 2002 Conference, 13-15 November, 2002, Panama City, Panama ABSTRACT Ship maintenance usually entails very complex dynamic processes that ship operators face continuously to ensure ship operational safety and comply with regulatory statues. Extensive research indicated that these processes are quite inefficient, thus creating a safety risk in ship operations. In this paper we will discuss utilization of Six Sigma management strategies in ship maintenance and safety, in addition to its applicability and benefits. Six Sigma management strategies have a proven record in many industries. Savings through conducting Six Sigma projects have a direct impact on company profits measured through acquisition and analysis of hard data. We will also present the results of three Six Sigma pilot studies conducted as a part of the Continuous Improvement of Drydocking Management project. We will...
Words: 5679 - Pages: 23
...OF PHILOSOPHY Six Sigma Management Action research with some contributions to theories and methods PETER CRONEMYR Division of Quality Sciences Department of Technology Management and Economics CHALMERS UNIVERSITY OF TECHNOLOGY Göteborg, Sweden (2007) They wanted me to be respected as A doctor or a lawyer man But I had other plans Gonna be a rock ‘n’ roll singer Gonna be a rock ‘n’ roll star AC/DC - Rock ‘n’ Roll Singer Young/Young/Scott 1975 No matter what Quality will keep on rockin’ The Rock Stars of Quality Debbie Phillips-Donaldson, editor Quality Progress, July 2005 Six Sigma Management Action research with some contributions to theories and methods Peter Cronemyr Copyright © Peter Cronemyr (2007) ISBN 978-91-7385-021-6 Doktorsavhandlingar vid Chalmers tekniska högskola Ny serie nr 2702 ISSN: 0346-718X Published and distributed by: Division of Quality Sciences CHALMERS UNIVERSITY OF TECHNOLOGY S-412 96 Göteborg, Sweden Telephone: +46 (0)31 772 10 00 Printed at: Chalmers Reproservice Göteborg, Sweden Thesis Shortcuts Six Sigma A short introduction Go directly to Chapter 3.1 on page 47 Action Research Methodology Go directly to Chapter 2.2 on page 28 The Author Background and motives Go directly to Chapter 1.2 on page 15 Siemens Industrial Turbomachinery AB The Case Company Go directly to Appendix A, Chapter 2.1 on page A-3 The Conclusions of the Thesis Go directly to Chapter 5 on page 89 Six Sigma Management Action...
Words: 98155 - Pages: 393
