GOVERNMENT POLYTECHNIC,

KHAMGAON
Department of Mechanical Engineering
Sub :- Industrial Engineering & Quality Control (IEQ)
Code :- 22563

Micro project On:-

Prepare list of National/International Industries
working on principal of Six Sigma Technique
Submitted by,
Roll No. Name Enrollment No.
49 Rutuj Nimbhore 1900210199
50 Om Wasankar 1900210200
51 Pushpak Mankar 1900210201

HOD Guided by,

Dr. Dhole Sir Prof. Maharkhede Sir
 CERTIFICATE
This is certify that, Mr. OM SANJAY WASANKAR Roll
No. 50 of Sixth Semester Diploma Course in Mechanical
Engineering of GOVERNMENT POLYTECHNIC,
KHAMGAON (0021) has completed the Micro project titled as
Prepare list of National/International Industries working on
principal of Six Sigma Technique satisfactorily under the course
of Industrial Engineering & Quality Control (22563) prescribed
in curriculum.

Place :- Khamgaon Enrollment No. :- 1900210200

Date :- Exam Seat No. :-

Course Teacher H.O.D. Principal

Prof. Maharkhede Sir Dr. Dhole Sir Dr. Prabhune Sir
 Abstract

Six Sigma is an approach that improves quality by analyzing

data with statistics. In recent years there has been a significant
increase in the use and development of the Six Sigma
methodology in manufacturing industry and others. The Six
Sigma approach has been increasingly adopted worldwide in the
manufacturing sector in order to enhance productivity and quality
performance and to make the process robust to quality variations.
Understanding Methodology, key features, obstacles of the six
sigma method allows organizations to better support their
strategic directions, and increasing needs for coaching,
mentoring, and training. It also provides opportunities to better
implement six sigma projects. This paper reviews Methodology,
obstacles and Benefits of six sigma practices and identifies the
key factors influencing successful six sigma project
implementations. Effective six sigma principles and practices will
succeed by refining the organizational culture continuously.
Cultural changes require time and commitment before they are
strongly implanted into the organization
 Introduction
Six Sigma (6σ) is a set of techniques and tools for process
improvement. It was introduced by American engineer Bill Smith while
working at Motorola in 1986.
Six Sigma strategies seek to improve manufacturing quality by
identifying and removing the causes of defects and minimizing variability
in manufacturing and business processes. This is done by using empirical
and statistical quality management methods and by hiring people who
serve as Six Sigma experts. Each Six Sigma project follows a defined
methodology and has specific value targets, such as reducing pollution or
increasing customer satisfaction. The term Six Sigma originates from
statistical modeling of manufacturing processes. The maturity of a
manufacturing process can be described by a sigma rating indicating its
yield or the percentage of defect-free products it creates—specifically, to
within how many standard deviations of a normal distribution the fraction
of defect-free outcomes corresponds.
Definition :-
Six sigma management technique is the technique to reduce variation in
all critical processes to achieve continuous improvement that impact the
organization and increases customers satisfaction.
Six sigma is an oraganizational initiative designed to create
manufacturing, service, etc. which produces improvement in both defects
reduction and cycle time.
Number of manufacturing and service industries used six sigma
techniques and found to be more useful for their business.
 History
Motorola pioneered Six Sigma, setting a “six sigma” goal for its
manufacturing business. It registered Six Sigma as a service mark on June
11, 1991 U.S. Service Mark 1,647,704; on December 28, 1993, it
registered Six Sigma as a trademark. In 2005 Motorola attributed over $17
billion in savings to Six Sigma .Honeywell and General Electric were also
early adopters of Six Sigma. As GE’s CEO, in 1995 Jack Welch made it
central to his business strategy, and in 1998 it announced $350 million in
cost savings thanks to Six Sigma, which was an important factor in the
spread of Six Sigma (this figure later grew to more than $1 billion). By
the late 1990s, about two-thirds of the Fortune 500 organizations had
begun Six Sigma initiatives with the aim of reducing costs and improving
quality.
In recent years, some practitioners have combined Six Sigma ideas
with lean manufacturing to create a methodology named Lean Six Sigma.
In 2011, the International Organization for Standardization (ISO) has
published the first standard “ISO 13053:2011” defining a Six Sigma
process. Other standards have been created mostly by universities or
companies with Six Sigma first-party certification programs.
 Significance :-

1. The term six sigma refer to a particular goal of reducing

defects to near zero.
2. Six sigma generates quick, demonstrable results linked to a
ambitious goal of reducing defects and cost to near zero by
a target data.
3. Six sigma is the way of reaching to the ‘zero defect’ concept
by using statistical quality control method.
4. Six sigma means the try for achieving “near perfection” in
quality.
5. Six sigma is a well-organized, statistics driven approach
technique.
6. It is efforts to motivating towards six 'standard derivations’
between the mean and the adjacent requirement limit.
7. It is applicable for all types of process starting from making
of products – quality check – and servicing.
8. The important aim of six sigma methodology is to reduce
variations in products/services. This is used through the use
of two six sigma methods as DMAIC and DMADV.
 Methodology

Six Sigma projects follow two project methodologies, inspired by W.

Edwards Deming’s Plan–Do–Study–Act Cycle, each with five phases.[6]
DMAIC is used for projects aimed at improving an existing business
process
DMADV is used for projects aimed at creating new product or process
designs.

The DMAIC project methodology has five phases:

• Define the system, the voice of the customer and their requirements,
and the project goals, specifically.
• Measure key aspects of the current process and collect relevant data;
calculate the "as-is" process capability
• Analyze the data to investigate and verify cause and effect.
Determine what the relationships are, and attempt to ensure that all
factors have been considered. Seek out the root cause of the defect
under investigation.
• Improve or optimize the current process based upon data analysis
using techniques such as design of experiments, poka yoke or
 mistake proofing, and standard work to create a new, future state
process. Set up pilot runs to establish process capability.
• Control the future state process to ensure that any deviations from
the target are corrected before they result in defects.
Implement control systems such as statistical process control,
production boards, visual workplaces, and continuously monitor the
process. This process is repeated until the desired quality level is
obtained.

Some organizations add a Recognize step at the beginning, which is to

recognize the right problem to work on, thus yielding an RDMAIC
methodology.

The DMADV methodology’s five phases are:

• Define design goals that are consistent with customer demands and
the enterprise strategy.
• Measure and identify CTQs (characteristics that are Critical To
Quality), measure product capabilities, production process
capability, and measure risks.
• Analyze to develop and design alternatives
• Design an improved alternative, best suited per analysis in the
previous step
 • Verify the design, set up pilot runs, implement the production
process and hand it over to the process owner(s).

List of Six Sigma Companies

The following companies claim to have successfully

implemented Six Sigma in some form or another :
• 3M
• Amazon
• Atos
• Autoliv
• BAE System
• Bank of America
• Becton Dickinson
• Boeing
• Bechtel
• Convergys
• Damco
• Dell
• Deere and Company
• Ford Motor Company
• General Electric
• Sears
• Wipro
• Raytheon, etc.
 The Ford Motor Company is one of America’s, and the world’s,
largest and most successful automakers. Named after its founder Henry
Ford, the company is known for its innovative and dynamic approach to
manufacturing. Henry Ford pioneered and employed such manufacturing
concepts as standardization, assembly lines, which came to be known as
Fordism.
Ford was a visionary man. He saw the necessity of breaking down
complex tasks into simpler procedures, using specialized tools, and
interchangeable parts. There were many advantages to Ford’s ideas.
Namely, the significant decrease in costs of production, radically
simplifying the labor process and reducing required the workforce.
But how are Six Sigma and all its related approaches, like Lean and
Kaizen, related to Ford? As you may know, Ford is a company known for
its high quality. The company has pledged to utilize innovative products
and use Total Quality Management to accomplish its goal of Quality Is
Job 1. JD Power and Associates ranked Ford as one of the leading high-
quality automakers, but Ford has come a long way in the last few decades.
Today we examine just how the Ford Motor Company used Six Sigma to
transform its processes and achieve its success.
Why Was Six Sigma Necessary for Ford?
There are four core factors behind Ford’s Six Sigma initiative.
These are:
• Cost Reduction:- Ford’s old production process was
surprisingly costly. By introducing Six Sigma, they were no
longer using resources that were not necessary.
• Improving Quality:- Ford has always been known for their
quality products, but event heir standards slip from time to
time. While, for most companies, a mere 99% quality level
is considered acceptable, this lets through a surprising
amount of defect. This percentage limits the number of
defects per million to just seven As such, Ford made some
great astonishing strides in quality improvement using Six
Sigma.
• Poor customer satisfaction rates :- Satisfying customer
demand is as critical to success as leveraging it. Many of
these issues link to one another, as multiple instances of
defect are likely to add up to a defective product. All of
which adds up to a more productive company and happier
customers.
• Lowering environmental impact by reducing solvent
consumption :- Six Sigma is an extremely green
philosophy, and Ford uses it to make some great changes in
their environmental awareness. Ford’s consumption of vital
resources proved very costly in the long-term. But by
committing to a green work culture with Six Sigma, they
 reduced costs, increased quality, and improved customer
satisfaction.

Ford’s Approach to Six Sigma

The Ford Motor Company began using Six Sigma strategy in the
late nineties. Their goal was to become a fully-fledged consumer
products company and not just another automobile manufacturer.
Additionally, they wished to enhance the quality of their products
and to improve their customer satisfaction rates. Their approach
towards achieving these goals they referred to as Consumer-
driven Six Sigma. Furthermore, Ford was the world’s very first
automaker company to implement Six Sigma methodology into
their business operations on a large scale.
One of the most pressing problems facing Ford at the time was
the 20,000 plus opportunities for defects that came with
manufacturing cars. Despite the company’s prior history of
quality control and innovation, some defects inevitably slipped
through their fingers. Following this revelation, they achieved
substantial improvements using Six Sigma. Their aim was to
reduce their defect rate to only a single defect per every 14.8
vehicles, and they succeeded. Furthermore, this also satisfied
their goal of enhancing customer satisfaction. In Six Sigma, even
the smallest change can have a ripple effect, helping to change
other processes and move towards continuous improvement.
Obstacles for Ford’s Six Sigma Initiative
Despite its success, there were several obstacles in the way of Ford’s Six
Sigma implementation. These are:
• Employee commitment :- As is often the case, many employees at
Ford, including top-level and senior management, initially viewed
Six Sigma with skepticism. This meant a lack of commitment was
present from the beginning, proving a major cause of concern for
Ford’s Six Sigma implementation. The time constraints, on top of
this, made it difficult to put its 350 top leaders through weeks of
training.
• Time, Money, Productivity:- Furthermore, along with a lack of
commitment, key resources like time and money meant employee
training was often difficult. The lack of commitment also led to a
lack of productivity.
• Data needs :- Finally, Ford was new to Six Sigma and poorly
equipped to follow through with its Six Sigma initiative. Six Sigma,
of course, relies on vast amounts of data to This meant that Ford
needed to create and implement new measurement systems to tackle
the needs of Six Sigma. Only then was it able to provide any great
benefit for the company.

Ford’s Six Sigma Successes

Ford’s use of Six Sigma methodology, while it did provide some road
bumps, enabled them to eliminate more than $2.19 billion in waste over
the last decade and a half. They solved this problem by applying Lean Six
Sigma techniques, such as a data-driven problem-solving process, to
devise solutions to waste issues. Moreover, the company’s methodologies
for quality improvement and waste elimination saw a staggering impact
on the company’s operations. Ford’s Consumer-driven Six Sigma has
saved them over a billion dollars worldwide, helping complete almost
10,000 improvement projects since the early 2000s. Regarding customer
satisfaction, Ford managed to increase their percentage by five points. We
may go as far as to say that Six Sigma saved Ford from its deep-rooted
problems. These issues include inadequate productivity, poor use of
resources, low customer satisfaction, and environmental unfriendliness.
Contact us and find out how we can positively help you plan and change
the culture and operations of your organization. We offer Six Sigma Green
Belt and Six Sigma Black Belt training programs, as well as a Six Sigma
Master Black Belt program.
Amazon is an American multinational technology company which
focuses on e-commerce, cloud computing, digital streaming, and artificial
intelligence. It has been referred to as “one of the most influential
economic and cultural forces in the world”, and is one of the world’s most
valuable brands.
Amazon was founded by Jeff Bezos from his garage in Bellevue,
Washington, on July 5, 1994. Initially an online marketplace for books, it
has expanded into a multitude of product categories: a strategy that has
earned it the moniker The Everything Store. Amazon has earned a
reputation as a disruptor of well-established industries through
technological innovation and mass scale. As of 2021, it is the world’s
largest online retailer and marketplace, smart speaker provider, cloud
computing service through AWS, live-streaming service through Twitch,
and Internet company as measured by revenue and market share. In 2021,
it surpassed Walmart as the world’s largest retailer outside of China,
driven in large part by its paid subscription plan, Amazon Prime, which
has over 200 million subscribers worldwide. It is the second-largest
private employer in the United States.
Amazon also distributes a variety of downloadable and streaming content
through its Amazon Prime Video, Amazon Music, Twitch, and Audible
units. It publishes books through its publishing arm, Amazon Publishing,
film and television content through Amazon Studios, and is the owner of
film and television studio Metro-Goldwyn-Mayer since 2022.
Amazon has been criticized for customer data collection practices, a toxic
work culture, tax avoidance, and anti-competitive behavior.

Six Sigma Used in Amazon

Ever since beginning life as an online bookstore, Amazon.com
has drastically expanded its product range. They have even
implemented innovative practices like same-day delivery, set to
reach new heights for efficiency with automated drone delivery.
Six sigma methodology is in the culture of company. Six sigma
is part of the operational excellence program that began in 1999
when Jeff Wilke joined Amazon as VP of operations. He came
from Allied signal and his background in six sigma made him the
perfect choice to drive efficiencies in operations.
This made Amazon one of the largest online retailers in the world.

Cont.
Operational Excellence- Six sigma has always been firmly
rooted in Amazon's company culture. With around 2000 items
ordered every sixty seconds. Amazon can't afford to let standards
slip. As far back as 1999, the company began a program of
Operational Excellence aimed at improving company processes.
Amazon defines Operational Excellence in two ways: Firstly, to
deliver continuous improvement for customer experience.
Secondly, to drive productivity, margin, efficiency, and asset
velocity across the entire corporation.
Hiring 'BEST & BRIGHTEST- To achieve their goal, Amazon
set about hiring the best and brightest-A COMMON SIX SIGMA
TACTIC. They took things one step further by training their
employees as Six Sigma Black Belts.
Six Sigma methods- By using six sigma methods, Amazon was
able to reduce variation by actively seeking it out using DMAIC,
Root Cause Analysis, and similar tools. They reduced waste by
cutting spending. eliminating non-value adding process stages.
and cultivating a Kaizen-based company culture.
Outcome-The outcome of six sigma was a completely different
company with greater inventory management, increased
efficiency, and stronger value stream control.

Impact of Six Sigma on Amazon

Amazon is devoted to excellent customer service and experience.
Before they revamped their business operations at the start of the
millennium, they were indistinguishable from any other online
bookstore. Using Six Sigma they have made rapid progress in
becoming a global online retailer. With a culture focused on
continuous improvement and greatest efficiency possible.
Amazon has taken over the world. In doing so, they have emerged
as a technology giant to stand alongside the likes of Apple or
Microsoft. The impact of Six Sigma on Amazon.com can be seen
through the statistical representation.
Amazon Revenues- 1995 to 2014
Amazon.com revenues have increased manifold after
implementing six sigma in1999 and that can be seen through the
data given below.

Advantages of Six Sigma

1. Improved process flows
2. Reduced total defects
3. Improved ability to convert improvements into benefits
4. Faster delivery to customers
5. Improved communication within the organization
6. Reduced cycle time of product
7. Higher satisfaction of customer
8. Employee satisfaction
9. Higher productivity
10. Improved capacity of plant and production
11. Low unit cost for manufacturing
12. High morale and joy at work
13. Suppliers also enjoy secure source of business
 Future of Six Sigma

• Utilization of Lean with Six Sigma :

The utilization of lean strategies with Six Sigma has a demonstrated
a more noteworthy effect on long haul accomplishment since,
notwithstanding the minimization of change, the instruments
likewise help expel waste procedures from the cycle.
• Usage of Client Information :
Mining business and client information will expect prime
significance later on. Indeed, even today, organizations are
progressively getting to be mindful of the enormous capability
of huge datasets and a thorough information examination.
• Leadership :
It is essential to underline the requirement for a basic leadership
approach that is information driven and truth based since this
is the pith of the Six Sigma methodology.
• Legitimate Affirmation :
As Six Sigma is generally being utilized by organizations in all
areas, it will likewise be significant for clients to be careful about
useless confirmations that have no genuine advantages.
 Conclusion

Given that Six Sigma methodology has been around in industry for
over a decade, it now seems unimportant to determine whether Six
Sigma is better than other approaches. It is more important to learn how
to enhance the Six Sigma methodology and improve implementation
issues for the growing number of firms that are choosing to adopt it
as a means of process improvement. Researchers and practitioners are
trying to integrate Six Sigma with other existing innovative
management practices that have been around to make Six Sigma
method even more attractive to different organizations that might
have not started or fully implemented the Six Sigma method.
Successful implementation and growing organizational interest in six
sigma method have been exploding in the last few years. However, there
is still the need for more empirical research into the Six Sigma
phenomenon, using rigorous research methods to validate the many
uncorroborated Six Sigma claims and to test new theories or models
that have been proposed to strengthen the methodology. Effective Six
Sigma principles and practices are more likely to succeed by refining
the organizational culture continuously.
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