Six Sigma | Chapter 8 - DMAIC, Improve Flashcards

1
Q

In DMAIC, for Improve, what are the Inputs of the methodology?

A
  1. Important Causes of Defects
  2. Special and Common Causes of Variation
  3. DPMO and Sigma Level
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2
Q

In DMAIC, for Improve, what are the Outputs of the methodology?

A
  1. Cost/Benefit for Different Solutions
  2. Selection of Solutions for Implementation
  3. Implementation Plan
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2
Q

In DMAIC, for Improve, what are the Tools of the methodology?

A
  1. Return On Investment (ROI)
  2. Solution Design Matrix
  3. Design of Experiments
  4. Taguchi Robustness Concepts
  5. Response Surface Methodology
  6. Project Planning & Management Tools
  7. Prototypes
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3
Q

In DMAIC, for Improve, what are the objectives of the analyze phase?

A

In Improve phase, our objectives are:

  1. Determine which project would be selected that maximizes the Return on Investment (ROI)
  2. Find out cause and effect relationships using tools like Design of Experiments (DOE) and Solutions Matrix. This helps in comparison and verification of alternate solutions.
  3. Determining activities needed to meet project goals.
  4. Creating work breakdown structures and detailed implementation plan for the project.
  5. Determining how to re-integrate the different sub-projects.
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4
Q

In DMAIC, for Improve, within Tools what is ROI?

A

ROI is a measure of the income (or profit) divided by investment.

ROI measures how effectively the company uses its capital to generate profits

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5
Q

In DMAIC, for Improve, within Tools what is ROI for a six sigma project calculated from?

A

For a six sigma project perspective, the project cost is the investment, and income is the quantified benefits accrued from the project.

So, ROI for a six sigma project is the ratio of project benefits to project costs.

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6
Q

In DMAIC, for Improve, within Tools what is the objective of any company using ROI?

A

Objective of any company is to maximize ROI

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7
Q

In DMAIC, for Improve, within Tools what are types of project costs for ROI?

A

Project costs can be divided into following broad categories like human resources, infrastructure, raw material etc.

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8
Q

In DMAIC, for Improve, within Tools what are types of project benefits for ROI?

A

Project benefits can be divided into categories like increased revenue, reduction in costs, cost avoidance, improved productivity, improved customer satisfaction etc.

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9
Q

In DMAIC, for Improve, within Tools what do we use to verify solutions and ensure realized benefits in a six sigma project?

A
  1. Design of Experiments
  2. Solution Design Matrix

While comparing several alternative projects, we use tools like Design of Experiments and Solution Design Matrix. These tools help in verifying proposed solutions and ensuring that the company realizes the benefits from doing the six sigma project.

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10
Q

In DMAIC, for Improve, within Tools what us Solution Design Matrix?

A

Tool to organize alternate solutions based on information available

Helps to compare how the proposed solutions compare with the existing system in meeting the specified criteria

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11
Q

In DMAIC, for Improve, within Tools what are the steps to create a Solution Design Matrix?

A

Steps in creation of Solution Design Matrix:

  1. Determine the key criteria on which the project will be evaluated (the criteria are got from the project charter, process map, QFD, Kano Model, Ishikawa diagrams etc.) These are written in the left hand side of the matrix.
  2. Form a team who have knowledge of the existing process and understand the proposed solutions
  3. Determine the benefit rating for each criteria by taking inputs from team members:

3A. Existing design is provided a rating of “0” on all the criteria

3B. New designs are provided a rating of “-1”, “0” or “1” where -1 indicates worse than existing design, 0 indicates same as existing design and 1 indicates better than existing design.

  1. Determine the importance rating for each criteria: This is done in a scale from 1 through 5 where 1 denotes “Not Important” and 5 denotes “Very Important.”
  2. Determine the sum or positives, sum of negatives, sum of zeroes, weighted sum of positives and weighted sum of negatives.
  3. The project which has the highest value of weighted sum of positives minus weighted sum of negatives is selected.
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12
Q

In DMAIC, for Improve, within Tools for SDM how do you calculate sum of positives?

A

Add all of the criteria that are (1) together for a project. That sum is the sum of positives and should be a positive number.

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13
Q

In DMAIC, for Improve, within Tools for SDM how do you calculate sum of negatives?

A

Add all of the criteria that are (-1) together for a project. That sum is the sum of negatives and should be a negative number.

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14
Q

In DMAIC, for Improve, within Tools for SDM how do you calculate sum of zeroes?

A

Add all of the criteria that are (0) together for a project. Each zero is considered 1 and when added together should be a positive number.

ex: If a key criteria is Time To Cook and is given a criteria rating of zero (0), then the sum of zeroes is one (1)

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15
Q

In DMAIC, for Improve, within Tools for SDM how do you calculate the weighted sum of positives?

A

Multiply each positive (which is a one, 1) by the relevant ranking number and all the totals together.

Ex: if taste is rank 5 and a criteria 1, then material cost is rank 3 and criteria 1 then the calculation = (1 x 5) + (1 x 3) = 5 + 3 = 8

Weighted sum of positives = 8

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16
Q

In DMAIC, for Improve, within Tools for SDM how do you calculate the weighted sum of negatives?

A

Multiply each negative (which is negative one, -1) by the relevant ranking number and all the totals together.

Ex: if time to cook is rank 4 and a criteria -1, then complexity is rank 2 and criteria -1 then the calculation = (-1 x 4) + (-1 x 2) = -4 - 2 = -6

Weighted sum of negatives = -6

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17
Q

In DMAIC, for Improve, within Tools for SDM how do you calculate the overall weightage?

A

Add together the weighted sum of positives and weighted sum of negatives.

Ex: positive = 8 and negative = -6 then the overall weightage is 8 + (-6) = 8-6 = 2

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18
Q

In DMAIC, for Improve, within Tools for SDM how do you decide which project to take on?

A

Take the project with the highest overall weightage.

ex: if project A has overall weightage at 2 and project B has overall weightage at 5 then we recommend project B

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19
Q

In DMAIC, for Improve, within Tools what is Design of Experiments?

A

Design of experiments is a very powerful statistical tool to determine cause and effect relationships to determine the most optimal solution.

Every process can be considered to be a black-box with some inputs and some outputs. Using Design of Experiments, processes or settings are changed in a systematic way so that the optimal solution can be found.

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20
Q

T/F | In DMAIC, for Improve, within Tools using Design of Experiments, the team would be able to determine the least appropriate combination of input factors (X) which would maximize the cycle time (Y)

A

FALSE. This helps us determine the MOST appropriate factors.

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21
Q

In DMAIC, for Improve, within Tools what is an example of Design of Experiments?

A

Consider an example where the project team would like to decrease cycle time (Y). This is possible by a combination of following 4 input factors (X):

  1. Getting better equipment
  2. Improving worker training
  3. JIT processes
  4. Better vendor management.

However, there is a cost associated with making changes to the factors mentioned above. Using Design of Experiments, the team would be able to determine the most appropriate combination of input factors (X) which would maximize the cycle time (Y)

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22
Q

In DMAIC, for Improve, within Tools Design of experiments is a very powerful statistical tool to determine ___________.

A

Cause & Effect

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23
Q

In DMAIC, for Improve, within Tools what are benefits of Design of Experiments?

A

Some benefits of Design of Experiments include:

  1. Better Quality
  2. Lower Cycle time
  3. Reduction of defects
  4. Reduction of process variability
  5. COPQ decreases
  6. ROI increases
  7. Increase in customer satisfaction
  8. Improvement in customer service
  9. Learning more about the process
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24
Q

In DMAIC, for Improve, within Tools what are the list of terms for Design of Experiments?

A
  1. Factor
  2. Levels
  3. Trial
  4. Response Variable
  5. Interaction between factors
  6. One-factor-at-a-time
  7. Factorial Design
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25
Q

In DMAIC, for Improve, within Tools what are Factors in Design of Experiments?

A

Factor: Any variable that may influence a process

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26
Q

In DMAIC, for Improve, within Tools what are Levels in Design of Experiments?

A

Levels: Setting or category that a variable may take. Two or more levels could be chosen for each category

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27
Q

In DMAIC, for Improve, within Tools what are Trials in Design of Experiments?

A

Trial: One run during the experiment. Factors are set at different levels for each trial

28
Q

In DMAIC, for Improve, within Tools what are Response Variables in Design of Experiments?

A

Response Variable: Specific parameter used to decide if the process is improving; helps in determining the type of data to be collected

29
Q

In DMAIC, for Improve, within Tools what are Interaction Between Factors in Design of Experiments?

A

Interaction between factors: When an experiment is being run, two or more factors may interact and influence the response variable. It is important to understand the interaction between factors while doing Design of Experiments study

30
Q

In DMAIC, for Improve, within Tools what is One-Factor-At-A-Time in Design of Experiments?

A

One-factor-at-a-time: Level of the first factor is changed while others stay the same. One or more trials are run until the best level of first factor is determined which maximizes the response variable. These are the simplest experiments used in DOE.

31
Q

In DMAIC, for Improve, within Tools what is Factoria Design in Design of Experiments?

A

Factorial Design: Allows experimentation on many factors simultaneously. Some examples:

  1. Two-factorial design: Two factors are changed simultaneously and the impact on the response variable is studied.
  2. Fractional factorial experiment: Only some of the possible factors and levels are studied simultaneously
  3. Full factorial experiment: All the combinations of factors and levels are studied simultaneously
32
Q

In DMAIC, for Improve, within Tools who originated system robustness?

A

Genichi Taguchi (Jan 1924 - Aug 2001) was born in Takamachi, Japan and studied technical engineering at Kiryu College.

33
Q

In DMAIC, for Improve, within Tools what was Taguchi’s theory on external disturbance?

A

Taguchi theorized that manufacturing processes are impacted by the external disturbance i.e. noise which impacts quality of goods produced.

The noise should be minimized wherever possible but some noise (e.g. bad weather) cannot be avoided. Systems should have “robustness” i.e. ability to function satisfactorily in spite of the noise and external disturbance

34
Q

In DMAIC, for Improve, within Tools what are the variables that impact Taguchi Robustness concepts?

A

Taguchi divided variables that have impact on the processes into two types:

  1. Controllable variables: These can be controlled and incorporated into Design of Experiment studies. Their impact on the process under study is predictable. Taguchi’s concepts helped in determining the settings for the controllable variables which minimize the variability of the y variable or ensure that y variable is always near desired levels.
  2. Uncontrollable variables: These variables cannot be controlled e.g. weather, natural calamities etc. Taguchi tried to determine if some of these uncontrollable variables could be made controllable? Alternately, what would be the best settings for the controllable variables to minimize effects of the uncontrollable variables?
35
Q

In DMAIC, for Improve, within Tools what do we call systems that have the ability to function satisfactorily despite noise?

A

Systems should have “robustness” i.e. ability to function satisfactorily in spite of the noise and external disturbance

36
Q

In DMAIC, for Improve, within Tools what does RSM stand for?

A

Response Surface Methodology (RSM)

37
Q

In DMAIC, for Improve, within Tools what is RSM?

A

Response Surface Methodology (RSM) can be defined as a statistical tool that uses quantitative data from appropriate experiments to study, improve or optimize a process.

38
Q

In DMAIC, for Improve, within Tools what do we need to complete in order to use RSM?

A

We need to complete Design of Experiments (DOE) which RSM uses.

39
Q

In DMAIC, for Improve, within Tools what type of forms do RSM studies take?

A

RSM provides a means to study the responses either in the form of contours or as a 3-D rendering.

40
Q

In DMAIC, for Improve, within Tools what are the steps to complete RSM?

A

In many applications of RSM, a sequential process is performed. Some steps are as follows:

  1. At the start, the project may have several factors and levels that are being studied. All these factors need not have an impact on the response variable. In order to determine initially which of these has an impact on the response variable, a screening design is often performed.
  2. Screening Design will potentially reduce the number of factors that need to be investigated in detailed experiments : this eliminates unimportant factors before investing time and money in a more elaborate experiment (i.e., second-order design).
  3. After screening design, RSM experts use a concept referred to as “Method of steepest ascent” to determine which combination of factors maximizes the response variable

Note - Detailed study of RSM will be taken up in a six sigma black belt course

41
Q

In DMAIC, for Improve, within Tools what are the Project Management Process Groups?

A

IPEMC

  1. Initiating
  2. Planning
  3. Executing
  4. Monitoring
  5. Closing
42
Q

In DMAIC, for Improve, within Tools what are the Project Management Knowledge Areas?

A

ISTCQHRCRP

Project ISTCQHRCRP Management

  1. Integration
  2. Scope
  3. Time
  4. Cost
  5. Quality
  6. Human Resource
  7. Communications
  8. Risk
  9. Procurement

Or another acronym CHRIST-CPQ

43
Q

In DMAIC, for Improve, within Tools what are Prototypes?

A

As defined in Webster, “ prototype is an original or model after which anything is copied.”

From a six sigma project perspective, prototype is a small scale working model which provides idea of the final product, process or service

44
Q

In DMAIC, for Improve, within Tools what are the benefits of Prototypes?

A
  1. Prototypes help in providing a small scale working model and identifying issues which may have been overlooked in earlier design phases.
  2. They are also a powerful tool to ensure buy-in from all stakeholders and to provide justification about the validity of the project.
  3. They help in reducing risks and facilitate project planning and implementation.
45
Q

In DMAIC, for Improve, within Tools what are some industries that commonly use Prototypes?

A

For example, prototyping is a commonly used tool in the construction industry where small-scale prototypes of buildings, highways etc. are created and approved by relevant stakeholders before the final project implementation is done.

46
Q

In DMAIC, for Improve, within Outputs what do we use to evaluate project alternatives and the costs associated with them?

A

ROI, Solution Design Matrix and Design of experiments help in evaluating different project alternatives, and providing costs and benefits associated with all the alternatives.

47
Q

In DMAIC, for Improve, within Outputs at the end of the Improve phase we should have a clear idea on what?

A

At the end of Improve phase, we have a clear idea of the costs and benefits associated with all suggested options for alternative project solutions.

48
Q

In DMAIC, for Improve, within Outputs what do we have in place for selection a solution to implement?

A
  1. Costs and Benefits of all available alternatives are known at the end of Improve phase.
  2. At the same time, Design of Experiments and RSM provide quantitative knowledge about how different factors must be tuned to maximize the response variable.
  3. With the above information, management is able to make an informed decision about which solution should be implemented to maximize ROI for the company.
49
Q

In DMAIC, for Improve, within Outputs what do we do after selecting a solution to implement?

A

Create an implementation plan

50
Q

In DMAIC, for Improve, within Outputs who is involved in an implementation plan and what do they do?

A
  1. An option is selected by management
  2. Six sigma experts work with project managers to create an implementation plan for the project.
51
Q

In DMAIC, for Improve, within Outputs do prototypes need to be made for the Implementation plan?

A

Only if required are prototypes created. Not required.

52
Q

In DMAIC, for Improve, within Outputs what does the implementation plan need to include?

A
  1. The implementation plan would include a detailed project plan with planned deliverables and schedules.
  2. Detailed work breakdown structures should be created to ensure that all the project team-members know their tasks, roles and responsibilities.
53
Q

All the following are tools for six sigma Improve phase EXCEPT?
1. Solution Design Matrix
2. Return on Investment
3. RSM
4. Implementation plan

A
  1. Implementation plan

Implementation Plan is an output from six sigma Improve phase

54
Q

Which of the following is an output from six sigma Improve phase?
1. Taguchi robustness concepts
2. Return on Investment
3. RSM
4. Cost/Benefit for different solutions

A
  1. Cost/Benefit for different solutions

Cost/Benefit for different solutions is an output from six sigma Improve phase

55
Q

Ratio of profit divided by investment is also referred to as:
1. Return on Assets
2. Net Profit
3. Gross Profit
4. Return on investment

A
  1. Return on investment

ROI(Return on investment) is a measure of the income (or profit) divided by investment. ROI measures how effectively the company uses its capital to generate profits

56
Q

From a six sigma project perspective, while calculating ROI, investment refers to:
1. Cost of material
2. All Project costs
3. Human resource cost
4. None of the above

A
  1. All Project costs

For a six sigma project perspective, the project cost is the investment, and income is the quantified benefits accrued from the project. So, ROI for a six sigma project is the ratio of project benefits to project costs.

57
Q

In project selection, objective of a company should be to:
1. Minimize investment
2. Minimize costs
3. Maximize ROI
4. Maximize investments

A
  1. Maximize ROI

In project selection, objective of any company is to maximize ROI

58
Q

Increased revenue, reduction in costs, cost avoidance, improved productivity and improved customer satisfaction are examples of:
1. Project costs
2. Project Benefits
3. ROI
4. None of the above

A
  1. Project Benefits

Project benefits can be divided into categories like increased revenue, reduction in costs, cost avoidance, improved productivity, improved customer satisfaction etc.1. Solution design matrix

Solution design matrix helps to compare how the proposed solutions compare with the existing system in meeting the specified criteria

59
Q

Increased revenue, reduction in costs, cost avoidance, improved productivity and improved customer satisfaction are examples of:
1. Project costs
2. Project Benefits
3. ROI
4. None of the above

A
  1. Project Benefits

Project benefits can be divided into categories like increased revenue, reduction in costs, cost avoidance, improved productivity, improved customer satisfaction etc.

60
Q

In solution design matrix, the key criteria on which the project will be evaluated can be got from any one of the following EXCEPT:
1. Project Charter
2. Kano Model
3. Ishikawa diagrams
4. Implementation plan

A
  1. Implementation plan

In solution design matrix, we determine the key criteria on which the project will be evaluated (the criteria are got from the project charter, process map, QFD, Kano Model, Ishikawa diagrams etc.)

61
Q

When using solution design matrix, what is the benefit rating given to each criteria in the existing solution?
1. 0
2. -1
3. 1
4. Depends on the criteria

A
  1. 0

While using solution design matrix, benefit rating for each criteria is determined by taking inputs from team members. Existing design is provided a rating of “0” on all the criteria

62
Q

Any variable that may influence a process is also called:
1. Factor
2. Level
3. Trial
4. Response Variable

A
  1. Factor

Factor: Any variable that may influence a process

63
Q

Specific parameter used to decide if the process is improving is called:
1. Factor
2. Level
3. Trial
4. Response Variable

A
  1. Response Variable

Response Variable: Specific parameter used to decide if the process is improving; helps in determining the type of data to be collected

64
Q

Setting or category that a variable may take is also called:
1. Factor
2. Level
3. Trial
4. Response Variable

A
  1. Level

Levels: Setting or category that a variable may take. Two or more levels could be chosen for each category

65
Q

Simplest experiments used in DOE are:
1. Zero factor at a time
2. One factor at a time
3. Two factorial design
4. Full factorial experiment

A
  1. One factor at a time

One-factor-at-a-time: Level of the first factor is changed while others stay the same. One or more trials are run until the best level of first factor is determined which maximizes the response variable. These are the simplest experiments used in DOE.

66
Q

In your DOE experiment, only some of the possible factors and levels are studied simultaneously. This is an example of:
1. Zero factor at a time
2. One factor at a time
3. Fractional factorial experiment
4. Full factorial experiment

A
  1. Fractional factorial experiment

Fractional factorial experiment: Only some of the possible factors and levels are studied simultaneously

67
Q

Which of the following is NOT an input into the Improve phase in Six Sigma methodology?
1. Important causes of defects
2. Special causes of variation
3. DPMO Level
4. Implementation Plan

A
  1. Implementation Plan

Implementation Plan is an output of Improve phase.