How can Six Sigma metrics measure the impact of process changes?

Defects Per Million Opportunities (DPMO) is a key Six Sigma metric used to quantify the number of defects in a process relative to the total opportunities for defects The goal of Six Sigma initiatives is typically to achieve a Six Sigma level, which corresponds to a DPMO of 3.4 or less, indicating extremely high process capability and quality performance.

By decrseing variation in process, Six Sigma methodology can empower process and improve Dpmo. So in Six Sigma concept variaton is more important than average of process.

Six Sigma metrics are designed to measure the effectiveness and efficiency of processes within an organization, particularly in terms of reducing defects and variations. When it comes to measuring the impact of process changes, Six Sigma offers several tools and methodologies to assess these changes quantitatively.

DPMO is a better metric compared to % especially if we are dealing with high volume processes or products, it gives you a true representation of the performance .

Six Sigma metrics serve as powerful tools to measure the impact of process changes, particularly regarding output and throughput. By tracking output metrics, such as defect rates or product/service quality, organizations can gauge the direct influence of process modifications on final deliverables. Throughput metrics, on the other hand, assess the efficiency of the process by measuring the rate at which products or services are produced. Analyzing these metrics before and after implementing process changes enables organizations to quantitatively assess the effectiveness of their Six Sigma initiatives in improving productivity, quality, and overall performance.

Both yield and throughput are critical metrics in Six Sigma methodology as they help identify areas for improvement and guide efforts to optimize processes for higher quality, efficiency, and customer satisfaction.

Yield and throughput metrics provide insights into process efficiency and productivity. Suppose our initial yield stands at 85%, with a throughput rate of 100 units per hour. Following process modifications aimed at reducing bottlenecks and streamlining operations, we witness a boost in yield to 90% and a corresponding increase in throughput to 120 units per hour. These enhancements reflect improved resource utilization and smoother flow throughout the process.

increased yield=Less defects=process in control The process has to be in control so that we can achieve higher efficiency and thus increased throughput.

RTY or rolled throughput yield is a better metric as it considers yield of each process and when all these yields are multiplied you would get RTY.

The study of working cycles is one of the most important, because by collecting accurate information about them, it is possible to make huge changes. Many people don't realize that action cycles can include ordinary hand movements, steps, mouse clicks.... By reducing their number you can save time and make absolutely any professions more efficient. Waste of movement is a problem for many people.

The evaluation of cycle time and lead time metrics provides critical insights into process duration and customer responsiveness following process modifications. Let's say we optimize a logistics process by implementing route optimization algorithms. Monitoring cycle time metrics, such as Average Cycle Time or Process Cycle Efficiency, helps us gauge the efficiency gains achieved. For instance, witnessing a reduction in Average Cycle Time from 48 hours to 36 hours post-optimization indicates streamlined operations and faster order fulfillment. Moreover, analyzing lead time metrics, such as Order Lead Time or Delivery Lead Time, allows us to assess the impact on customer responsiveness.

Ao reduzir o Tempo de Ciclo e o Lead Time, as organiza??es podem alcan?ar maior produtividade e satisfa??o do cliente. Isso é alcan?ado por meio da elimina??o de atividades desnecessárias, otimiza??o de fluxos de trabalho e redu??o de desperdícios. O Seis Sigma fornece as ferramentas e técnicas necessárias para analisar e aprimorar esses aspectos, garantindo processos mais eficazes e eficientes.

Cycle time (C/T), change over time (C /O), lead time (L/T), value added time (VA) are important metrics to characterise a value stream. They are important in lean thinking, in order to work out operating standards that met customer pace (C/T is important vs TAKT time), in order to have leaner flow (Lead time), in order to develop awareness towards the 7 wastes (VA vs C/T) ... I totally agree with Pavel. Of course, DMAIC is here when tackling variability on C/T, on L/T, needless to say.

Cycle time is the average time it takes to complete a single unit.?Lead time is the time it takes from when an order is received to when it is delivered.

COPQ encompasses both tangible and intangible expenses resulting from defects, rework, warranty claims, and customer dissatisfaction. Controlling COPQ involves implementing quality management practices such as process improvements, employee training, robust inspection procedures, supplier quality management, and continuous monitoring and analysis of quality metrics. By reducing COPQ, organizations can enhance product quality, customer satisfaction, and overall profitability while maintaining a competitive edge in the market

The Cost of Poor Quality (COPQ) metric serves as a vital indicator of the financial implications of defects and quality-related inefficiencies. Let's consider a scenario where we implement stringent quality control measures in a manufacturing facility. By meticulously tracking COPQ metrics pre and post-implementation, we can quantify the tangible cost savings achieved. For instance, observing a reduction in COPQ from $200,000 to $120,000 post-implementation signifies significant cost savings attributed to minimized rework, scrap, and warranty claims.

COPQ tell us how much money we are spending to fix defects created by us internally and externally. A significant amount of productive time is lost due to the employees making defective parts. Warranty repairs, replacements, travel expense to customer locations to sort bad parts out are examples of external COPQ. Excess Changeover times, reworks, internal rejections are examples of internal COPQ. We have to focus of minimizing both these costs during a DMAIC project. Some projects are intiated to reduce COPQ elements.

In my opinion, the stakeholder must articulate very clearly the outcome ( in SMART format) that they want to achieve as a result of the process change. This is not a metric, it is a prerequisite that the project team should spend a lot of time on. Metric - all process members are working equally within the process. This needs to be checked regularly (a great tool is Gemba by Toyota Production System). If you notice that there is no uniform work, it is a reason to ask the question - what is wrong with the process if the participants are looking for other ways to work in the process? The stakeholder may have expressed their criteria without knowing in detail how the process is working now and what performance metrics are being used.

COPQ (Cost of poor quality) is closely related to Avoiding cost. It is necessary to constantly remember what investments should be made in equipment, training and growth of people, quality materials and working conditions. Remember, a miser pays twice. Sometimes it is better to spend more money, but it will help you save money in the future and increase quality significantly.

Toda empresa que trabalha vom VOC, precisa ter uma pesquisa de satisfa??o do cliente, onde Realizamos pesquisas diretas com os clientes para avaliar sua satisfa??o em rela??o ao produto ou servi?o, podendo ser feito por meio de questionários, entrevistas ou formulários de feedback, além de coletar feedback direto dos clientes por meio de intera??es pessoais, e-mails, chamadas telef?nicas ou mídias sociais, que fornecem insights imediatos sobre a experiência do cliente e áreas de melhoria Solicitar aos clientes que classifiquem sua experiência com o produto ou servi?o usando escalas de avalia??o, como estrelas, pontua??es numéricas ou avalia??es qualitativas, e monitorar indicadores-chave de desempenho relacionados à satisfa??o do cliente.

Conduct customer satisfaction surveys, analyze feedback and complaints, track Net Promoter Score (NPS), monitor online reviews and ratings, and observe customer retention and repeat business. Customer interviews and focus groups: Conducting one-on-one interviews or focus groups with customers allows for insights into their satisfaction levels.

Customer Satisfaction is direct reflection of process performance. All the process re-engineering should be done with customer at the center. It could be internal as well as external customer..Their satisfaction score will depict the process performance.

Customer Satisfaction is an important metric and the ultimate resulting point. Customers could be internal or external however, the impact of process changes would result in customer satisfaction or the other way depending on the results. There are different methods for monitoring Customer satisfaction results such as the CSAT score, the NPS Method, or the rating system. It would be effective to initiate a customer feedback session/interview using an independent entity to avoid bias.

There are many methods to measure customer satisfaction. The common used methode is to use customer surveys and get their voices to build up our next step to the six sigma project. There are other methods to measure customer satisfaction like online reviews, customer complaint system, net promoter score, Focused groups, social media and response rates

CES or Customer effort score is another metric to consider as this gives an idea of how much effort the customer had to put in order to get their issue resolved. This opens up improvement opportunities related to pain points from a customer perspective.

Continuously refine metrics based on evolving business objectives and customer feedback. Ensure alignment between Six Sigma metrics and organizational goals to drive meaningful improvements. Leverage data visualization tools like Power BI to effectively communicate metrics and insights across stakeholders. In summary, Six Sigma metrics provide a comprehensive framework for evaluating the impact of process changes, enabling organizations to drive continuous improvement and achieve operational excellence. If you're keen on exploring how Six Sigma methodologies can optimize your processes and enhance quality outcomes, let's connect and delve deeper into potential synergies.

Uma coisa fascinante sobre o Six Sigma é como ele transcende as fronteiras da indústria. Embora muitas vezes associado à produ??o e manufatura, o Six Sigma tem sido amplamente adotado em uma variedade de setores, desde servi?os financeiros até saúde e tecnologia da informa??o. Isso demonstra sua versatilidade e capacidade de gerar resultados tangíveis, n?o apenas na redu??o de defeitos, mas também na melhoria da qualidade, na eficiência dos processos e na satisfa??o do cliente. é um testemunho do poder das metodologias baseadas em dados para impulsionar a excelência operacional em qualquer ambiente.

We can also use Cpk as metrics to define process levels and make compare and improvement to each process and make easy to start benchmark study to our processes. We can also use many metrics like : 1- Materials Utilization 2- Market share growth 3- Products Development Rate But I think this the basic levels of metrics and I think we need to measure culture change level from classic view of work to six sigma view this the advanced level of metrics to six sigma successful implementation.

Warranty claims, brand image, repeat business/ orders, customer loyalty and retention, market share etc can be considered as metrics.