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Project based approach to Quality

and
Six Sigma for Quality Improvement
Presented by –
Geetika Rajput, Jishna Jijy, Junaid Rizwan,
Khyati, Krishna Bhandari, Megnaa Mridull
Project by Project Approach
The project-by-project approach is a systematic and focused method of managing and
executing projects individually, treating each project as a separate entity with its own
objectives, timeline, and resources. It emphasizes the importance of managing projects
one at a time, rather than as part of a larger program. According to Turner and Keegan
(1999), the project-by-project approach recognizes that projects are unique and have
specific requirements, stakeholders, and constraints that need to be addressed
individually.

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The project-by-project approach involves several key principles-

It emphasizes the clear definition of project objectives, scope, and deliverables. This helps in setting
clear expectations and establishing a solid foundation for project execution.

It focuses on resource allocation specific to each project, ensuring that the right personnel, budget,
and equipment are dedicated to the project's success.

The project-by-project approach promotes flexibility and adaptability to accommodate changes and
uncertainties that may arise during project execution. This allows project managers to adjust project
plans and resource allocation as needed, ensuring successful outcomes.

By treating projects individually and implementing the project-by-project approach, organizations can
improve project success rates, manage risks more effectively, and enhance overall project
performance. It provides a structured and tailored approach to project management, allowing for
better control, communication, and coordination of project activities.

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Benefits of Project by Project Approach
The project-by-project approach in operations management offers several benefits for organizations.

1. Targeted Problem Solving: By addressing operational challenges and improvements through individual projects,
organizations can focus their resources and efforts on specific areas that require attention. This targeted problem-
solving approach allows for a more efficient allocation of resources and ensures that the organization is addressing
critical issues in a systematic manner.

2. Flexibility and Adaptability: The project-by-project approach enables organizations to be flexible and adaptable to
changing circumstances. Operations can be adjusted based on project outcomes and market conditions. This allows
organizations to respond quickly to emerging trends, customer demands, and technological advancements, ensuring
that operations remain aligned with business objectives.

3. Clear Accountability: Each project within the project-by-project approach has defined objectives, timelines, and
responsibilities. This creates clear accountability for project teams and individuals involved in the implementation.
With clear roles and responsibilities, it becomes easier to track progress, measure results, and hold individuals
accountable for project outcomes.

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4. Continuous Improvement: The project-by-project approach encourages a culture of continuous improvement
within the organization. Each project provides an opportunity to learn from successes and failures, gather data-
driven insights, and refine operational processes. This iterative approach allows organizations to make
incremental improvements over time, leading to enhanced efficiency, quality, and customer satisfaction.
5. Measurable Results: By breaking down operational improvements into individual projects, organizations can
measure the results and impact of each initiative more effectively. Key performance indicators (KPIs) can be
established for each project, allowing for quantifiable assessment of progress and success. Measurable results
provide valuable insights for future decision-making and resource allocation.
6.Stakeholder Engagement: The project-by-project approach encourages cross-functional collaboration and
stakeholder engagement. As projects involve individuals from different departments and levels within the
organization, it promotes a holistic view of operations and fosters collaboration between teams. This
interdisciplinary approach often leads to innovative solutions and a shared sense of ownership over operational
improvements
Overall, the project-by-project approach in operations management offers organizations the flexibility to
tackle specific challenges, adapt to changing circumstances, and continuously improve their operational
processes. It allows for clear accountability, measurable results, and stakeholder engagement, ultimately
driving efficiency, productivity, and competitiveness.

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PDCA Cycle
1. Plan: In this phase, project managers define the project goals, objectives, and
scope, as well as develop a detailed project plan. This includes identifying key quality
requirements and planning for quality assurance activities.

2. Do: The "Do" phase involves executing the project plan, implementing the defined
processes, and carrying out the planned quality activities. This includes following
established quality control measures and ensuring adherence to quality standards.

3. Check: In the "Check" phase, project managers assess the project's performance
and quality outcomes. This involves monitoring project progress, measuring key
quality metrics, and conducting inspections or audits to identify any deviations or non-
conformities.

4. Act: Based on the findings from the "Check" phase, appropriate actions are taken in
the "Act" phase. This includes analyzing the root causes of quality issues, making
necessary adjustments or improvements to processes, and implementing corrective
actions to address identified gaps.

By applying the PDCA cycle within the project-by-project approach, organizations can
ensure a continuous improvement mindset throughout the project's lifecycle. This
integration allows for iterative learning, adaptation, and refinement of quality
management practices. Project Based Approach &
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Six Sigma
• Six Sigma is a disciplined and data-driven approach
that aims to improve processes, enhance customer
satisfaction, and drive business performance.

• It combines statistical tools, process knowledge, and


project management techniques to identify and
eliminate the root causes of defects and variations.

• The term "Six Sigma" refers to the goal of achieving a


process performance level where the likelihood of
defects is extremely low, at approximately 3.4 defects
per million opportunities (DPMO).

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Steps Followed in Six Sigma
(Align, Mobilize, Accelerate, Govern)
• In the first step, “align”, senior executives create a balanced scorecard of strategic goals, metrics and initiatives to
identify the areas of improvement that will have the greatest impact on the company’s bottom line. Process owners
(i.e, the senior executives who supervise the processes) “champion” the creation of high-impact improvement projects
that will achieve the strategic goals.

• In the second step, “mobilize”, project teams are formed and empowered to act. The process owners select “black
belts” to lead well-defined improvement projects. The teams follow a step-by-step, problem-solving approach referred
to as DMAIC.

• In the third step, “accelerate”, improvement teams made up of black belt and green belt team members with
appropriate expertise use an action-learning approach to build their capability and execute the project. This approach
combines training and education with project work and coaching. Ongoing reviews with project champions ensure that
projects progress according to an aggressive timeline

• In the final step, “govern”, executive process owners monitor and review the status of improvement projects to make
sure the system is functioning as expected. Leaders share the knowledge gained from the improvement projects with
other parts of the organization to maximize benefit.
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Key Concepts and Terminologies used in Six Sigma
According to Antony and Banuelas (2002), some of the key concepts and terminology used in Six Sigma include:

1. Defect: A defect refers to any deviation or non-conformity from the customer's requirements or specifications. It represents a failure to
meet quality standards and expectations.

2. Process Capability: Process capability refers to the ability of a process to consistently produce outputs that meet the customer's
requirements. It is measured using statistical indices such as C p (process capability index) and Cpk (process capability index with
respect to the specification limits).

3. DMAIC: DMAIC is an acronym for Define, Measure, Analyze, Improve, and Control. It is the fundamental problem-solving
methodology used in Six Sigma projects. Each phase of DMAIC represents a step in the improvement journey, from defining the problem
to implementing and sustaining improvements.

4. Variation: Variation refers to the natural fluctuations or differences in outputs that occur during the production or service delivery
process. Understanding and reducing variation is a key focus of Six Sigma, as it leads to improved quality and performance.

5. CTQ: CTQ stands for Critical-to-Quality. CTQs are the key measurable characteristics or specifications that are most critical to
meeting customer requirements and expectations. They help in identifying and prioritizing improvement efforts

6. DPMO: DPMO stands for Defects Per Million Opportunities. It is a metric used to quantify the defect rate in a process. DPMO provides
a standardized measure to compare process performance across different projects or organizations.

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Benefits of Six Sigma
• Improved Quality: Six Sigma helps organizations reduce defects, errors, and variations in processes,
leading to higher-quality products and services.
• Increased Customer Satisfaction: By delivering products and services that meet or exceed customer
expectations, Six Sigma improves customer satisfaction and loyalty.
• Cost Reduction: Six Sigma identifies and eliminates waste, inefficiencies, and non-value-added
activities, resulting in cost savings and improved operational efficiency.
• Data-Driven Decision Making: Six Sigma emphasizes the use of data and statistical analysis to drive
decision making, ensuring that improvements are based on facts rather than assumptions.
• Employee Engagement and Collaboration: Six Sigma encourages cross-functional teamwork and
involvement, engaging employees at all levels in problem-solving and improvement initiatives.
• Strategic Alignment: Six Sigma aligns with organizational goals and objectives, ensuring that
improvement efforts are focused on areas that have the most significant impact on business success.

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Limitations of Six Sigma
• Time and Resource Intensive: Implementing Six Sigma requires dedicated resources, training, and time
commitments, which can be challenging for organizations with limited resources or competing priorities.
• Focus on Process Improvement: While Six Sigma is effective for process improvement, it may not address
broader strategic issues or market changes that require more significant transformations.
• Resistance to Change: Implementing Six Sigma often requires a cultural shift and may face resistance from
employees who are comfortable with existing processes or skeptical about change.
• Overemphasis on Statistical Tools: The reliance on statistical analysis and tools in Six Sigma may create a
perception that only statistical experts can drive improvement, limiting participation from non-experts.
• Potential for Narrow Focus: Six Sigma's focus on defect reduction and process improvement may overlook other
aspects of organizational performance, such as innovation or customer experience.

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Evolution of Six Sigma
1. Manufacturing Focus:
- Six Sigma initially targeted manufacturing processes and reducing defects in products.
- Statistical methodologies and quality control tools were well-established in the manufacturing domain.
- Quantifiable cost reductions in manufacturing processes provided quick and tangible results.
2. Customer Satisfaction Shift:
- Expansion of Six Sigma beyond Motorola to companies like General Electric (GE) led to a shift in focus.
- GE recognized the importance of delivering customer benefits and creating a positive impact on their experience.
- Six Sigma's emphasis broadened to encompass all aspects of business operations that directly impacted the customer.
3. Reducing Variability:
- The emphasis evolved from solely improving mean performance to reducing variability.
- Variability was identified as a significant factor influencing customer experience.
- Consistency and reliability of products and services gained importance in Six Sigma projects.

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4. Design for Six Sigma (DFSS):
- DFSS was developed to address the need for designing new products, services, and processes.
- It aimed to ensure that designs were inherently capable of meeting Six Sigma standards.
- DFSS involved defining customer requirements, functional design, assessing capability, and utilizing modeling
techniques.
5. Focus on Reliability:
- Reliability improvement gained importance as the focus shifted towards delivering tangible benefits to customers.
- Reliability became a critical-to-quality (CTQ) characteristic for many products.
- Design for Reliability (DFR) emerged to build reliability into products and processes from the design stage.
6. Application to All Business Activities:
- Six Sigma expanded beyond manufacturing to include all business activities.
- Interconnected processes in various domains were recognized as areas for improvement.
- Commercial transactions and product servicing became strategic areas where Six Sigma principles were applied.
Overall, the evolution of Six Sigma involved a transition from a manufacturing-centric approach to a customer-centric
focus, with an emphasis on reducing variability, designing for reliability, and applying Six Sigma principles to all business
activities. These changes aimed to deliver tangible benefits to customers, improve overall performance, and maintain a
competitive edge in the market.

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Six Sigma offers two primary methodologies for quality improvement:
DMAIC and DMADV.

DMAIC (Define, Measure, Analyze, Improve, Control):


• DMAIC is the most commonly used methodology in Six Sigma and is suitable for improving existing
processes that are not meeting desired performance levels.
• Define: Clearly define the problem, project goals, customer requirements, and the scope of the
improvement project.
• Measure: Identify key process metrics, collect data, and measure the current performance of the
process.
• Analyze: Analyze the collected data to identify root causes of defects or variations and understand the
underlying issues.
• Improve: Generate and implement solutions to address the identified root causes, aiming to improve
process performance.
• Control: Establish controls and monitoring mechanisms to sustain the improvements and prevent the
recurrence of issues.

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DMADV, also known as DFSS (Design for Six Sigma), is used for developing new processes or products
that meet customer requirements and achieve high levels of performance.
• Define: Clearly define the project goals, customer needs, and specifications for the new process or
product.
• Measure: Identify and measure critical-to-quality (CTQ) characteristics, customer requirements, and
performance targets.
• Analyze: Analyze the collected data to understand the factors that will impact the design and
performance of the new process or product.
• Design: Design the new process or product based on the analysis, incorporating the desired
performance levels and customer requirements.
• Verify: Validate and verify the designed process or product through simulations, pilot runs, and testing to
ensure it meets the desired performance targets.

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Lean Six Sigma
The Lean component of Lean Six Sigma emphasizes the identification and elimination of waste, which refers to
any activity that does not add value to the customer. It aims to streamline processes and create a more efficient
flow of materials, information, and activities. Lean principles include concepts such as just-in-time production,
continuous flow, pull systems, standardized work, and visual management.

The Six Sigma component of Lean Six Sigma focuses on reducing process variations and defects. It employs a
data-driven approach to identify and eliminate the root causes of variations and improve process capability. Six
Sigma uses statistical tools and methodologies to measure and analyze process performance, identify
improvement opportunities, and implement data-driven solutions.

By combining Lean and Six Sigma principles, Lean Six Sigma aims to achieve a balanced approach to process
improvement. It focuses on optimizing processes, reducing waste, and eliminating defects, ultimately leading to
improved customer satisfaction, reduced costs, increased productivity, and enhanced competitiveness.

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Case Study
▪ Problem Faced:
In the early 1980s, Motorola encountered several quality-related issues, including high
defect rates, customer complaints, and increasing costs due to rework and warranty
claims. These issues resulted in reduced customer satisfaction and declining market
share. The company recognized the need for a systematic approach to improve quality,
reduce defects, and enhance overall business performance.

▪ Motorola embarked on a transformative journey by adopting and


implementing Six Sigma as a comprehensive quality management
methodology. The company's CEO at the time, Bob Galvin, made Six
Sigma a strategic priority and established it as a core philosophy
throughout the organization.
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Results and Benefits:
▪Motorola's adoption of Six Sigma yielded significant improvements and benefits:

▪ Defect rates were reduced dramatically, leading to increased customer satisfaction.


▪ Warranty claims and costs associated with rework and scrap were significantly reduced, resulting in
substantial cost savings.
▪ Process cycle times were reduced, leading to improved efficiency and productivity.
▪ The culture of quality and continuous improvement became ingrained in the organization, fostering a
proactive approach to problem-solving and driving innovation.

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References
• Antony, J., & Banuelas, R. (2002). Key Ingredients for the Effective Implementation of Six Sigma Program. Measuring
Business Excellence, 6(4), 20-27. doi: 10.1108/13683040210450463.
• Pande, P. S., Neuman, R. P., & Cavanagh, R. R. (2000). The Six Sigma Way: How GE, Motorola, and Other Top
Companies are Honing Their Performance. McGraw-Hill Professional.
• Hahn, G. J., Doganaksoy, N., & Hoerl, R. (2000). THE EVOLUTION OF SIX SIGMA. Quality Engineering, 12(3), 317–
326. doi:10.1080/08982110008962595
• Lopes, I. M. T., & De Souza, M. F. (2016). The Project-by-Project Approach: A Strategy for Project Management
Improvement. Procedia Computer Science, 100, 1074-1081. doi: 10.1016/j.procs.2016.09.281.
• Raisinghani, M. S., Ette, H., Pierce, R., Cannon, G., & Daripaly, P. (2005). Six Sigma: concepts, tools, and
applications. Industrial Management & Data Systems, 105(4), 491–505. doi:10.1108/02635570510592389
• Turner, J. R., & Keegan, A. (1999). The Versatile Project-Based Approach: A Key to Organizational Success. Long
Range Planning, 32(1), 76-84. doi: 10.1016/s0024-6301(98)00092-6.

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Thank You

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