Quality Management,

Metrics, and
Six Sigma

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 Quality Management, Metrics, and
Six Sigma

 Quality management
 Metrics
 Six Sigma

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 Quality management

• The act of overseeing all activities and tasks needed

to maintain a desired level of excellence.
• Includes:
• The determination of a quality policy,
• Creating & implementing quality planning &
assurance, and
• Quality control and quality improvement.

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 Quality management

 Quality management system

 Main objective of quality management
 Purpose of quality management
 Role of quality management
 Importance of quality management
 Stages of quality management

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 Quality management

 Principles of quality management

 Quality management standards
 Quality management tools
 Types of quality processes
 Example of quality management

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 Quality management system

• A quality management system (QMS) is a

documentation of a business' processes, functions and
policies necessary for the continuous improvement of
quality aimed to ensure customer expectations and
requirements are met or exceeded

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Main objective of quality management

• The goals are

• To determine the effectiveness and efficiency of
each process toward its objectives,
• To communicate these findings to the employees,
and
• To develop new best practices and processes
based on the data collected during the audit.

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 Purpose of quality management

• A quality management system (QMS) can be defined

as a collection of business processes that focus on
meeting customer requirements on a consistent basis.
• Its purpose is to ensure that, every time a process is
performed, the same information, methods, skills and
controls are used and applied in a consistent manner.

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 Role of quality management

• Quality management ensures high quality products and

services by eliminating defects and incorporating
continuous changes and improvements in the system.
• High quality products in turn lead to loyal and
satisfied customers who bring ten new customers
along with them.

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Importance of quality management

• A QMS can provide a systematic approach to lean

process improvement.
• It can help identify quality issues, eliminate
unnecessary activities, and close gaps in
performance.
• The purpose of a Quality Management System is to
provide a formal system of tools and processes and
allow certification via an independent agency.

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 Stages of quality management

• In order to be effective, quality control management

can be split down into four main components:
• Quality planning,
• Quality control,
• Quality assurance, and
• Quality improvement.

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Principles of quality management

The seven principles of quality management are:

• Engagement of people.
• Customer focus.
• Leadership.
• Process approach.
• Improvement.
• Evidence-based decision making.
• Relationship management.
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Quality management standards

• Quality management standards are details of

requirements, specifications, guidelines and
characteristics that products, services and processes
should consistently meet in order to ensure:
• Their quality matches expectations.
• They are fit for purpose.
• they meet the needs of their users.

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 Quality management tools

• QMS have sub-elements, or tools, that enable users

to tailor its use to specific project needs.
• There are seven conventional QMS tools:
• Flow charts, Ishikawa diagrams,
• Checklists, Pareto charts,
• Histograms, scattergrams, and
• Control charts.

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 Types of quality processes

• Four types of quality processes are prominent in

many industries:
• ISO 9001, AS9100,
• Six Sigma, and CMMI.
• Choosing one depends on its fit to the industry and
the understanding of the particular QMS by both
employees and customers.

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 Example of quality management

• An effective quality management system incorporates

customers.
• For example, a company might
• Design a survey system,
• Review process or
• Call center.
• Businesses can document and record customer data to
track and ensure quality
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Metrics

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Metrics

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 Metrics

• Metrics are measures of quantitative assessment

commonly used for comparing, and tracking
performance or production.
• Metrics can be used in a variety of scenarios.
• Metrics are heavily relied on in the financial analysis
of companies by both internal managers and external
stakeholders.

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 Metrics

 Key Metrics
 Example of Metrics
 Use of Metrics
 Types of metrics
 Metrics used for measuring success

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 key Metrics

• The researchers have determined that only four key

metrics differentiate between low, medium and high
performers:
• Lead time,
• Deployment frequency,
• Mean time to restore (MTTR) and
• Change fail percentage.

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 Example of Metrics

• Examples include
• Measuring the thickness or length of a debit card,
• Length of cloth, or
• distance between two cities.
• Weight: Gram (g) and Kilogram(kg) are used to
measure how heavy an object is, using
instruments.

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 Use of Metrics

• “ Metrics are measures of quantitative assessment

commonly used for assessing, comparing, and tracking
performance or production. ”

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 Types of metrics

• There are three types of metrics:

• Technology metrics – component and application
metrics (e.g. performance, availability…)
• Process metrics – defined, i.e. measured by
CSFs and KPIs.
• Service metrics – measure of end-to-end service
performance

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 Metrics used for measuring success

• Here's a list of common metrics used for measuring

success across a variety of business platforms:
• Break-even point
• Net income ratio
• Monthly recurring revenue
• Leads, conversion and bounce rate
• ROI and ROAs
• Customers
• Employee satisfaction

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 Six Sigma
• Six Sigma is a process that makes use of statistics
and data analysis to analyze and reduce errors or
defects.
• It emphasizes cycle-time improvements while reducing
manufacturing defects to no more than 3.4
occurrences per million units or events.

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Six Sigma

 Six Sigma level

 Six Sigma importance
 Six Sigma usage
 Lean Six Sigma Principles
 Six Sigma Method
 Six Sigma tools
 What are 5 steps for Six Sigma?

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Six Sigma level

Six Sigma quality

– Six Sigma performance produces a defect-free
product 99.99966% of the time;
- allowing only 3.4 errors per one million
opportunities.

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Six Sigma importance

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 Six Sigma importance

• Six Sigma is a method that provides organizations

tools to improve the capability of their business
processes.
• This increase in performance and decrease in
process variation helps lead to defect reduction and
improvement in profits, employee morale, and quality
of products or services.

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Six Sigma usage

• Though Six Sigma is developed and designed

especially for Quality Control, it is also used in
many different ways.
• These include:
– Improving communications with customers,
employees and shareholders and;
– Improving the total process of interaction,
communication and product design.

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Lean Six Sigma Principles

• Work for the customer

• The primary goal of any change you want to
implement should be to deliver maximum benefit to
the customer
• Find your problem and focus on it
• Remove variation and bottlenecks
• Communicate clearly and train team members
• Be flexible and responsive

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 Six Sigma Method

• The Six Sigma method is focused on limiting

fluctuation within business processes and quality
management of process output by implementing
problem-solving statistical methods.
• Conversely, the primary focus of Lean Six Sigma is
to eliminate waste and improve existing processes.

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 Six Sigma tools

• Six Sigma tools are defined as the problem-solving

tools used to support Six Sigma and other process
improvement efforts.
• The Six Sigma expert uses qualitative and
quantitative techniques to drive process
improvement.

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What are 5 steps for Six Sigma?

• Define the problem. Craft a problem statement,

goal statement, project charter, customer
requirement, and process map.
• Measure the current process. Collect data on
current performance and issues.
• Analyze the cause of issues.
• Improve the process.
• Control.

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