ISSN: 2456-9348

Vol (03) _Issue (07) Impact Factor: 4.520

International Journal of Engineering Technology Research & Management

PRODUCTIVITY IMPROVEMENT USING LEAN SIX SIGMA DMAIC

METHODOLOGY IN A STEEL MANUFACTURING COMPANY

Flocerfida L. Amaya*1
Ara Mae R. Aceituna2, Jizelle Aira C. Soriano2
*1College of Engineering, University of Perpetual Help System Laguna, Philippines
2
Industrial Engineering, University of Perpetual Help System Laguna, Philippines

ABSTRACT
This paper aims to address the problem faced by a stainless steel manufacturing company in the Philippines
regarding low productivity rate compared to target output. This study showed how lean and six sigma complement
each other. Lean accelerates Six Sigma, delivering greater results than what would typically be achieved by Lean or
Six Sigma individually. Combining these two methods gives a comprehensive tool set to increase the speed and
effectiveness of any process within an organization – resulting in increased revenue, reduced costs and improved
process. The DMAIC methodologies were used to improve the productivity of the production line of a stainless-steel
pipe. With the help of this methodology, the root cause of the bottleneck in the production was identified as well as
the factors that contribute in this problem such as method of marking, material alignment and machine waiting as a
result of process mapping and cause and effect matrix. An action plan was made to address all these factors, through
rearrangement of process and fabrication of stopper to yield higher productivity rate. Improvement was sustained
through monitoring and changing the work instruction of the process targeted.

Keywords:
Productivity Improvement, DMAIC methodology, Lean Six Sigma

INTRODUCTION
In the past, the Philippines is among the lowest in the Southeast Asian region in terms of infrastructure
investment program (Bird, 2019). This issue led the Philippine administration to implement an approach that they
thought would help to decrease the unemployment rate in the country, which is the BBB also known as Build –
Build – Build program. Domestic steel demand will be supported in the next few years by this BBB infrastructure
program in which the country is set to build more roads, bridges, railways and airports and upgrade existing ones.
Strong and stable economic growth requires the support of strong domestic steel production for a more sustainable
development. Driven by public and private construction projects, the country’s steel consumption jumped about
9% to a record of 10.5 million tons on year 2018 (Cola, 2019). Thus, there is a need for productivity improvement
of all steel industries in the Philippines. One of the well-known approaches for process improvement using
powerful statistical and engineering analysis tools is Six Sigma (Narula and Gorver 2014). Six Sigma is
recognized as a problem-solving method that uses quality and statistical tools for basic process improvements. Six
Sigma is now widely accepted as a highly performing strategy for driving defects out of a company's quality
system. Achieving a Six Sigma level means to have a process that generates outputs with 3.4 defective parts per
million. The method most frequently associated with Six Sigma is DMAIC methodology, which stands for Define,
Measure, Analyze, Improve and Control. It is a methodology for quality and waste improvement that focuses not on
the output but rather, on the process that creates the output. The process must possess measurable data for a better
understanding and comparison between different data gathered. The DMAIC approach is used both as a
methodology and a philosophy that aimed to improvement of quality by analyzation of data to search for possible
root causes of problems in quality and controls implementation. (Ravi, Barode and Jain 2017).
This study addressed the productivity improvement of a steel industry using Six Sigma DMAIC
approach to define problems, opportunities and requirements, measure process performance, analyze the
root cause and propose improvements with the use of this methodology.

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 ISSN: 2456-9348
Vol (03) _Issue (07) Impact Factor: 4.520

International Journal of Engineering Technology Research & Management

Dependent Variable
Independent Intervening Variable
Variable
Process DMAIC Productivity
Information and Methodology Improvement
Data Higher Profit

Figure 1. Operational Framework of the Study

The Operational Framework of the study as shown in Figure 1 illustrates that the independent variable of the
study are the process information and data of the production line of stainless-steel pipes. The intervening variable that
researcher used to analyze the information and data were the DMAIC methodology which enabled the researchers to
define, measure, analyze, improve and control the process that eventually lead to a productivity improvement and a higher
profit.
The study focused on the identification of the problems in the production line and analysis of the process done by
existing number of workers within the production line of stainless-steel pipe in a steel company in the Philippines. The
scope is limited only to the production of stainless-steel pipe with 6 inches’ diameter, 5 mm thickness and 20 ft. length
which is one of their products with high demand. This study aimed to identify the problem and determine solutions that
helps improved the productivity of the production line of stainless steel company using six sigma DMAIC methodology.
Furthermore, it determined the method of control that should be done to sustain the improvements in the production line of
the stainless steel company.

METHODOLOGY
Descriptive method of research was used and the application of time study and six sigma DMAIC
methodology concept in the productivity line of stainless steel 6 inches’ diameter, 5 mm thickness and 20 ft. length
pipe. This type of research is applied to acquire information regarding the current state of the phenomena and to
describe "what exists" with respect to variables or conditions in a situation. An interview was held with the operators of the
production line including the production supervisor, and Engineering managers to gather information and data about the
processes. A method to implement six sigma is mainly based on DMAIC technique as it is used for an existing process.
As per this technique following activities are undertaken
 Define the problem and its performance
 Measure the current performance
 Analyse the root cause of the problem
 Improve the line to solve the root cause
 Control the process so as to get desired results as per the implemented solution
In addition, the researchers used the following instrumentation of the study;
Define Phase
 Bar Chart
Bar chart was used to represent the plan versus actual plan following plan for the month and the actual
plan that they achieve in a month. It also showed the productivity rate of their actual plan every
month.
Measure Phase
 Time and Motion Study
Time and Motion Study is a tool that the researchers used to measure and record the cycle time of
the operation of Stainless-Steel pipe with 6 inches’ diameter, 5 mm thickness and 20 ft. length by
using a stopwatch. The researchers analyzed the shortage in the existing cycle time of the process and

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 ISSN: 2456-9348
Vol (03) _Issue (07) Impact Factor: 4.520

International Journal of Engineering Technology Research & Management

was able to compute or set substitute standard time for the line by using time and motion study. Time
and motion study helped the researchers to reduce and control the cost and improve working
conditions and environment.
 Fishbone Diagram
The fishbone diagram was used in the study to analyze possible root causes of the problem and its
effect in the production line. Through the use of this diagram, the researchers were able to identify the
root causes of each contributing factors.
 Process Mapping
Process Mapping was used to visualize the flow of the process. It helped the study to show who and
what is involved in a process and this was used to reveal areas where a process should be improved.
 Cause and Effect Matrix
A Cause and Effect Matrix helped to discover the factors that affects the process. This tool helped to
prioritize things that can and should be improved.
 Pareto Chart
Pareto Chart was used in the study to have an overview of what problems should be prioritized first,
because in this chart the tall bars clearly illustrate the frequency of the variables that has the greatest
cumulative effect on a given situation.
Analyze Phase
 Good/No-Good Chart/ Standard Working Ratio
This tool was used to visualize the ration of the productivity of the alignment of the forming.
 Man-Machine Chart
Man-machine chart was used to analyze a process that has a relation to man and machine.
 Left-Hand Right-Hand Chart
A Left Hand-Right Hand Chart shows the different movements of the hand of the worker and
identified the unnecessary movements that the workers do which is not related to the process.
Improve Phase
 ECRS Concept
Rearrange concept from ECRS to balance the line. ECRS concept is a framework of improvement that
means eliminate, combine, rearrange and simplify.
Control Phase
 Monitoring
Monitoring was used in order to monitor the workers if they use or followed the proposed process and
to see the consistency of the productivity within the line.
 Work Instruction
The researchers used Work Instruction to provide a step by step process and activities for the worker to
carry out in the production line.

CONCLUSION
The productivity rate of the production line of stainless-steel pipe was computed at 82% efficiency based on
actual output produced, the production line is 18% behind the target output. The bottleneck process occurred at the
forming process which has a cycle time of 39 minutes that caused imbalance and bottleneck in the line. Based on the
results obtained through the charts, the final key process input which is significant on the cycle time of forming process
are the material alignment, availability of markings and method of marking. An implemented action plan reduced the
total cycle time of forming from 39 minutes to 27.16 minutes which yielded a capacity of 17 units per day. This action
plan includes the distribution of work instruction given to the operators to modify the cut-to-width station to carry out
the dimensional marking process. Daily progress report could be enforced to monitor the efficiency of the new
process. Maintenance and monitoring is important in sustaining the improvement. Lean Six Sigma DMAIC
methodology is a great tool for process improvement, cost reduction, quality improvement, waste and defects reduction.

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 ISSN: 2456-9348
Vol (03) _Issue (07) Impact Factor: 4.520

International Journal of Engineering Technology Research & Management

ACKNOWLEDGEMENT
We would like to extend our gratitude to Ferusche Stainless Steel Inc who provided us technical experts
and accepted the results of the study as basis of their productivity improvement although there are parts in
which they argue with the interpretations/conclusions of this paper. Speical thanks to other contributors of this
research study Christine Mary Grace Ortega, Daryll Corvin Averilla, Jerume Tibon. We would like to thank
also Philip Bryan Daing for his technical advise and assistance particularly on the methodology to attain the
set objectives of the study.

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