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Six Sigma Black Belt
Six Sigma Black Belt
Introduction
Home
Six Sigma Black Belt | Introduction
Introduction: Home
3
 
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Course Introduction
Six Sigma Black Belt | Introduction
Concept: Course Introduction
4
 
Welcome to the American Society for
Quality (ASQ) Six Sigma Black Belt
(SSBB) certification preparatory course.
This is the first step in your journey to Six
Sigma Black Belt certification.
This course will cover the following
topics:
• Enterprise-wide deployment
• Business process management
• Project management
• Define
• Measure
• Analyze
• Improve
• Control
• Lean enterprise
• Design for Six Sigma
Becoming an SSBB empowers you to
make a difference in your organization.
Six Sigma’s focus on customer
satisfaction and operational excellence
brings a new level of business credibility
to your role as a quality expert. As a Black
Belt, you will be relied upon as one of the
leaders in your organization’s quality
movement.
 
ASQ Overview
Six Sigma Black Belt | Introduction
Concept: ASQ Overview
5
The American Society for Quality (ASQ) is the world's leading authority on quality.
With more than 100,000 individual and organizational members, this professional
association advances learning, quality improvement and knowledge exchange to
improve business results and create better workplaces and communities worldwide.
As champion of the quality movement, ASQ offers technologies, concepts, tools and
training to quality professionals, quality practitioners and everyday consumers,
encouraging all to Make Good Great™.
ASQ is grateful for the contributions and dedication of subject matter  experts who
provided their assistance in the development and design of this course.
This course is based on the ASQ Six Sigma Black Belt Body of Knowledge. To
download a copy of the Body of Knowledge, roll over Page Resources at the bottom
of this page.
Course Overview
Six Sigma Black Belt | Introduction
Concept: Course Overview
6
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Six Sigma Black Belt
Enterprise-Wide Deployment
Lesson Introduction
Six Sigma Black Belt | Enterprise-Wide Deployment
Introduction: Lesson Introduction
8
The nature of a Six Sigma project is enterprise-wide. Particularly for companies
beginning down the Six Sigma path, the investigation of which projects will be
deployed based on data analysis often leads to activities that will affect the entire
organization. To begin this journey, an enterprise-wide view will be established. To
better understand this view and deploy a project of this magnitude, the ASQ Body of
Knowledge provides the following topics:
Enterprise view
• Understand the organizational value of Six Sigma and its philosophy, goals and
definition.
• Understand and distinguish interrelationships between business systems and
processes.
• Describe how process inputs, outputs and feedback of the system impact the
enterprise system as a whole.
Leadership
• Understand leadership roles in the deployment of Six Sigma.
• Understand the roles and responsibilities of Black Belts, Master Black Belts,
Green Belts, Champions, Executives and Process Owners.
Organizational goals and objectives
• Understand key drivers for business.
• Understand key metrics and scorecards.
• Describe the project selection process including knowing when to use Six Sigma
improvement methodology as opposed to other problem-solving tools, and
confirm link back to organizational goals.
• Document the objectives achieved and manage the lessons learned to identify
additional opportunities.
Organizational improvement and Six Sigma foundations history
• Understand the origin of continuous improvement tools used in Six Sigma.
Lesson Overview
Six Sigma Black Belt | Enterprise-Wide Deployment
Introduction: Lesson Overview
9
The tools and objectives of the Enterprise-Wide Deployment lesson are illustrated
below.
Six Sigma Black Belt
Enterprise-Wide Deployment
Enterprise View
Learning Objectives
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Learning Objectives
11
At the end of this Enterprise-Wide Deployment topic, all learners will be able to:
• understand the organizational value of Six Sigma, its philosophy, goals and
definition.
• understand and distinguish interrelationships between business systems and
processes.
• describe how process inputs, outputs and feedback of the system impact the
entire enterprise system as a whole.
 
 
 
 
 
 
Portions of this topic were taken from the ASQ Six Sigma Green Belt web-based
Certification Preparation Course.
Why Use Six Sigma
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Why Use Six Sigma
12
Depending on whom you ask, Six Sigma may be referred to as a philosophy, a
methodology or a tool. In Donald W. Benbow and T.M. Kubiak's The Certified Six
Sigma Black Belt Handbook, it is defined as "a fact-based, data-driven philosophy of
improvement that values defect prevention over defect detection."
The term “Six Sigma” is a measure of quality. Sigma (σ) is a Greek letter used by
statisticians to show the variation in a process. For example, if a hospital process for
admitting a new patient is supposed to take five to ten minutes, a variation occurs not
only when it takes more or less time but also for each mistake that is made in
collecting the patient's information.
If the hospital is operating at 4 sigma (4σ), there may be as many as 6,000 problems
per million opportunities for a mistake. For example, if a patient admission form has
50 questions, for every 20,000 patients admitted there could be 6,000 errors in the
information.
In a Six Sigma (6σ) environment, the standard for variability is reduced to 3.4
problems per million opportunities. Moving from 6,000 data errors at 4σ to just 3.4
data errors at 6σ is real progress!
Imagine bringing this concept to life in your own home. The image below shows how
your home would be affected if the power company ran at 4σ vs. 6σ:
 
Philosophy and Goals
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Philosophy and Goals
13
The philosophy of Six Sigma goes beyond
the reduction of errors in a single
department.
Six Sigma is a business initiative, not a
quality initiative. It is a way of doing
business that improves quality and
productivity, increases competitiveness
and reduces cost. There are three major
components to Six Sigma:
• Culture of the organization
• Improvement tools
• Support systems for the tools
By controlling the amount of variation
beyond the upper and lower allowable
limits of a process, one minimizes the
frequency of out of control conditions. In
real terms, building Six Sigma into a way
of doing business can reduce errors,
identify and correct flaws in processes and
have a dramatic impact on the success of
the organization.
 
Business Systems and Processes
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Business Systems and Processes
14
Understanding the mindset of business is crucial to the success of any quality project.
In this topic you will gain an understanding of and distinguish interrelationships
between business systems and processes. Systems and processes and the
relationships that define them will be first discussed and then applied to business.
The American Heritage Dictionary defines system as “a group of interacting,
interrelated, or interdependent elements forming a complex whole." The ASQ
Glossary defines system as "a group of interdependent processes and people that
together perform a common mission."
This latter definition highlights an important aspect of systems, namely that a system
operates in unity toward a unified purpose. Without a true understanding ofa system's
purpose, elements and interdependencies, it is difficult to know what improvements
would truly benefit the system as a whole, rather than benefiting only one of its
elements at the possible expense of others.
System Example
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: System Example
15
To understand a system, go no further than your computer. The personal computer
(PC) exemplifies a system by providing desired functionality to the user via its
monitor, keyboard, mouse, software, hard drive, processor and other peripherals. Each
of these PC components is an independent member of the PC system, and each
interrelated module “works together” in unity toward a purpose set by the user. Many
other systems exist in nature that allow an understanding of this interrelation concept.
In this example, the various elements mentioned would be considered subsystems of
the greater PC system, as seen from the perspective of the PC as a whole. If you were
to focus your attention on just the mouse, the PC subsystem could be considered a
system on its own, its elements being the left button, the right button, the navigation
wheel, the casing and the cord.
Knowledge check
• What is another example of a system in nature?
• What are its elements?
• How could a PC be considered a subsystem?
System Functions
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: System Functions
16
The American Heritage Dictionary defines function as “the action for which a person
or thing is particularly fitted or employed.” For a system is to fulfill its purpose, one or
more actions must occur. Thus, the functions of a system are those associated actions
that allow a system to work as a unit toward its stated purpose.
In the PC example, think about how multiple functions must work together to open an
email program. To oversimplify the functions, when a user drags the mouse, an
electronic signal must transmit the action of the mouse moving into a related motion
recognizable to the user. The monitor allows the user to see this motion and the
software and signal work together to display the cursor moving on the screen.
Working in harmony, the user drags the cursor over the program icon and
double-clicks the left mouse button. This transmits the instruction to the software:
open the email program.
To fully document this simple action across all subsystems within the PC would take
volumes if you went to the deepest levels. To diagram the opening email example:
Example Concept
The Personal Computer System
is made up of a monitor, keyboard, mouse, software and other hardware Subsystems/Elements
which function together to allow the user to open email software Unified Purpose
by executing the process of navigating and opening the program. Process
The process will be discussed next.
Processes
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Processes
17
Process is defined by The American Heritage Dictionary as “a series of actions,
changes, or functions bringing about a result.”
For an experienced computer user, moving the mouse is a simple step, an action that is
commonplace. For an inexperienced user this could be a more complicated process
until he or she becomes acclimated to using the mouse. For a multidisciplined
engineer studying the mouse in order to create a new model and replicate its features
and functions, moving the mouse could be seen as a very complicated process.
Each process, as outlined above, will share the following elements that affect its
function:
• inputs
• process
• outputs
Applying a Systems View to Business
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Applying a Systems View to Business
18
Now that the groundwork for the concepts has been established, how does this
translate into designing a quality project for a business?
Say, for example, that a business considers the following its core functions:
• Sales
• Marketing
• Engineering
• Production
• Customer Service
 
Functional Processes
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Functional Processes
19
Each of these core functions has its own set of defined processes, which that particular
department uses to accomplish its goals.
 
Support Functions
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Support Functions
20
The business also has various functions that support the core functions. These include:
• Human Resources
• Finance
• Information Technology (IT)
• Warehousing
At this point, the analysis of the business system looks vertical. Individuals inside a
particular functional area have full view of their own process but have difficulty
seeing outside of these “silos” except when they intersect with another functional area.
For example, an intersection between functional areas occurs when a tracking system
managed by the Information Technology support function is used by the Warehousing
support function to deliver a product to a customer (internal or external). This limited
perspective is why it is crucial to understand the business processes that cut across
these functional process areas.
Business Process View
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Business Process View
21
A business process is a collection of related activities that produce something of value
to the organization, its stakeholders or its customers.
Examples of business processes throughout an organization can be defined as follows:
• Quote-to-cash
• Procure-to-pay
• New product/service development
• Order fulfillment
Becoming familiar with cross-functional business processes greatly increases
understanding of the interrelationships between the core functions and clarifies how a
quality project in one area of the company will affect other areas. To truly grasp the
system, however, we must consider another aspect of the business process: its purpose.
Managing the Purpose
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Managing the Purpose
22
No business process can be effective unless its purpose is properly communicated to
the rank-and-file. Executive leadership should drive management of the business
purpose, and impress upon all members of the organization the importance of
understanding and fulfilling that purpose. In addition, leadership must govern,
manage, adjust and reset the purpose based on customer needs and other factors.
 
Process Impact on the Organization
Six Sigma Black Belt | Enterprise-Wide Deployment | Enterprise View
Concept: Process Impact on the Organization
23
The Six Sigma methodology recognizes that there are many input, output and
feedback sources for an organization. Each output may have its own process
dependent on the input from other processes. All inputs and outputs of a particular
process should be measurable so that quality can be controlled.
Suppliers, Inputs, Process, Outputs and Customers (SIPOC) is a tool that can be used
to help identify these processes in an organization. Although this course will discuss
SIPOC in more detail later, it is important to know that improvements in one area may
create errors in another.
 
Six Sigma Black Belt
Enterprise-Wide Deployment
Leadership
Learning Objectives
Six Sigma Black Belt | Enterprise-Wide Deployment | Leadership
Concept: Learning Objectives
25
At the end of this Enterprise-Wide Deployment topic, all learners will be able to:
• understand leadership roles in the deployment of Six Sigma (e.g., resources,
organizational structure).
• understand the roles and responsibilities of Black Belts, Master Black Belts,
Green Belts, Champions, Executives and Process Owners.
 
 
 
 
 
 
Portions of this topic were taken from the ASQ Six Sigma Green Belt web-based
Certification Preparation Course.
Enterprise Leadership
Six Sigma Black Belt | Enterprise-Wide Deployment | LeadershipConcept: Enterprise Leadership
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Successfully implementing Six Sigma methodologies within an organization requires
the commitment of the company's top leadership. Six Sigma focuses on
cross-functional and enterprise-wide processes. Therefore, leadership and support
from the executive staff, specifically the CEO, is crucial.  Without this support and
leadership, the Six Sigma initiative will fail.
An important leadership role within a Six Sigma project is the project Champion.
According to Kim H. Pries in Six Sigma for the Next Millennium, the Champion:
"
...is specifically tasked with the responsibility of planning the deployment of the Six
Sigma process...[and] must understand the following:
• Skills required
• Data needed
• Financial requirements (budgeting)
• Specific people tied to the skills
• Locations (meeting rooms, plant floor, and so on)
• Tools or equipment (projectors, computers, ancillary tools, and so on)
"
Stakeholders
Six Sigma Black Belt | Enterprise-Wide Deployment | Leadership
Concept: Stakeholders
27
In addition to their tactical qualifications, Champions and executive leadership must
have a firm grasp of the company's stakeholders. A stakeholder is anyone who has an
interest in the business. This broad group includes but is not limited to:
• Investors
• Customers
• Vendors
• Employees
• Employees' families
• Neighboring communities
• Local, city and federal government
Each stakeholder has different interests based on the stakeholder's relationship to the
business. Identifying the overt and underlying interests of a stakeholder provides
guidance on how a particular Six Sigma may positively or adversely affect them.
Note: More detail on stakeholders may be found in the Business Process Management
lesson.
 
Allocating Resources
Six Sigma Black Belt | Enterprise-Wide Deployment | Leadership
Concept: Allocating Resources
28
Effective Six Sigma projects cannot happen without the appropriate decision makers
taking ownership of the project. The project Champion as well as the group(s) funding
the project must stay involved from the beginning and through completion. Working
with the project Champion, the company leadership must provide resources in the
form of personnel and funds to accomplish the project.
Staffing support
Once the project is defined and the appropriate types of roles and skill sets are
identified, specific personnel will be chosen to fulfill each role. During the selection
process, leadership may find that those resources most needed are often the busiest.
These resources cannot justify participation in the project unless its level of
importance is appropriately elevated. Depending on workload, other individuals may
be needed to backfill the work of someone dedicated to the Six Sigma project (Project
roles will be discussed in more detail later in the course.)
If Six Sigma is new to the organization, leadership must provide training in "the ways
of Six Sigma," since use of these processes will affect each team member's
performance on the project.
Other resources
In addition to staffing dedication, the Champion must coordinate acquisition of other
resources needed for the project, which could include:
• Software
• Hardware
• Additional workspace (additional phone, Ethernet and wireless connectivity
support)
• Additional meeting space
• Meeting room supplies
• Office supplies
The magnitude of these resource requirements will depend, of course, on the size and
length of the project.
Six Sigma Roles and Responsibilities
Six Sigma Black Belt | Enterprise-Wide Deployment | Leadership
Concept: Six Sigma Roles and Responsibilities
29
In Implementing Six Sigma, Forrest Breyfogle outlines the following roles and
responsibilities within a Six Sigma infrastructure:
• Champion
• Master Black Belt
• Black Belt
• Green Belt
• Process Owner
Again, depending on the organization, there may not be an individual to fill every role.
In those cases, someone in another role must accept those responsibilities.
Roll over Page Resources and select Six Sigma Roles and Responsibilities to view a
chart of specific responsibilities per role.
Six Sigma Hierarchy
Six Sigma Black Belt | Enterprise-Wide Deployment | Leadership
Concept: Six Sigma Hierarchy
30
Historically, one of the unique features of a Six Sigma project is its associated
organizational structure. By announcing a structure with designated roles, the
company leadership and employees further declare their dedication to the project. In
practical terms, a well-defined structure strengthens accountability and increases the
project's chance of success.
An example of a Six Sigma hierarchy is shown below. Keep in mind that every
organization is different. Depending on the size of the organization or even the size of
the project, the roles shown below may not be filled in the same manner.
 
 
Six Sigma Black Belt
Enterprise-Wide Deployment
Organizational Goals and Objectives
Learning Objectives
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Learning Objectives
32
At the end of this Enterprise-Wide Deployment topic, all learners will be able to:
• understand key drivers for business, metrics and scorecards.
• describe the project selection process including knowing when to use Six Sigma
improvement methodology (DMAIC) as opposed to other problem-solving tools
and confirm the link back to organizational goals.
• describe the purpose and benefit of strategic risk analysis (e.g., strengths,
weaknesses, opportunities, threats (SWOT), scenario planning) including the risk
of optimizing elements in a project or process resulting in suboptimizing the
whole.
• document the objectives achieved and manage the lessons learned to identify
additional opportunities.
 
 
 
Portions of this topic were taken from the ASQ Six Sigma Green Belt web-based
Certification Preparation Course.
Key Business Drivers
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Key Business Drivers
33
In his book Insights to Performance Excellence 2006, Mark Blazey defines “key” as
“the major or most important elements or factors, those that are critical to achieving
the intended outcome…those that are most important to the organization’s success.
They are the essential elements for pursuing or monitoring a desired outcome.”
Defining the specific drivers of a particular business, then determining a performance
target for the resulting business objects, is key to continued success. These drivers are
determined by understanding the nature of the business at large, as well as the market
forces driving the business.
For example, the key business drivers for banks inside of grocery stores could include:
• Existing store site population
• Existing store site capability
• Store expansion or plans to accommodate bank
• New grocery store growth
• Bank inclusion in new store plans
• Performance feedback from existing sites
Each driver has a degree of influence on continued growth for this specific banking
business.
Key Business Drivers
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Key Business Drivers
34
Suppliers strive for performance on internal metrics (e.g., cycle time, cost or defects)
to meet customers’ increasing expectations on external metrics (e.g., delivery, price or
quality). 
The following key drivers taken from the hospital example (used earlier in this lesson)
are common to most businesses and allow management to gather data for comparison
with competitors.
Profit - An advantageous gain or return; a benefit. Hospital system profitability
depends on managing costs down while increasing the efficiency and effectiveness of
billing insurance payers.
Market share - The proportion of industry sales of a good or service that is controlled
by a single company. Our hospital system controls less than 20% of the market and
that market share is decreasing due to apoor reputation for customer service.
Customer satisfaction - Meeting and/or exceeding customers' spoken or unspoken
needs and requirements as fast as possible with the lowest possible cost to the
customer (i.e., offering consistent performance, on-time delivery, lower costs, etc.).
Customers want the right prescriptions, shorter wait times in the various clinics and
emergency room, and improved accessibility to services.
Efficiency - A measure of desirability (i.e., improving availability, usability, features,
design, etc.). Customers in the hospital system do not want to spend time filling out
lengthy and repetitive forms. Patients do not want to lay on a gurney in a hallway after
surgery waiting for a room to become available.
Product differentiation - In marketing, product differentiation is the modification of
a product to make it more attractive to the target market. This involves differentiating
your product from competitors' products (i.e., creating robust designs, meeting
customer requirements, increasing process and material capabilities, etc.). For a
hospital system, the COO wants to find a way to distinguish the hospital's products
and services from its competitors. This could be done by building a reputation for
being focused on the patient, improving the availability of new advanced procedures
and improving access to care.
Metrics Introduction
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Metrics Introduction
35
Metrics are an integral part of an organization's strategic planning and deployment.
Metrics are numerical, and therefore quantifiable, measurements. They serve two
valuable purposes: 1) assisting with organizational goal setting and 2) evaluating
actual performance versus plan.
According to Kim Pries in Six Sigma for the Next Millennium, examples of business
metrics may include:
"
• Return on investment (ROI)
• Return on equity (ROE)
• Return on assets (ROA)
• Net present value (NPV)
• Payback time
• Internal rate of return (IRR)
• Economic value-added (EVA)
"
Pries also asserts that each enterprise will define its own key metrics to indicate the
health of the business, however some metrics are more commonly used than others.
For example, "cost of goods sold" is a standard division of a balance sheet within the
Generally Accepted Accounting Practice (GAAP), and will therefore be found in the
key metrics toolbox of many businesses.
In general, "good" metrics will have the following characteristics:
• Are customer centered
• Measure performance across time
• Provide direct information
• Are linked with organizational goals
• Are developed collaboratively by those who collect and use the data
Metrics Classified
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Metrics Classified
36
Metrics belong to one of two broad categories:
Customer-related and competitive performance metrics include:
• Gains or losses of customers and market share
• Survey results
• Percent of competitive awards received per applications submitted
• Recognition and ratings
• Certifications by customers
• Customer complaints
• Benchmark results
Operational improvement and financial performance quality metrics
include:
• Defect levels
• Margin rates
• Operating profit rates
• Innovation rates
• Time to market
• Environmental or safety results
• Cycle time
• Lead time
• Setup time
Linking Projects to Organizational Goals
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Linking Projects to Organizational Goals
37
Project Champions face many challenges when introducing a new project to an
organization. In situations where past projects fell short of their expected results, there
may be considerable skepticism within the organization toward "another improvement
project." This “historical project baggage” can result when these earlier project efforts
took place in isolation, the silo mentality mentioned earlier. While one functional area
may have been improved, not as many overall gains were achieved and sometimes
other functional areas were negatively affected. Each improvement may have focused
on a specific part of the business, and in the process ignored other departments.
To combat skepticism and encourage a belief in the process, Six Sigma projects use
metrics to make more comprehensive, company-wide improvements:
• Improving product quality
• Increasing service level
• Reducing cost (overall)
• Reducing cycle time (overall)
Projects of this scope demand a link to organizational goals. The cross-functional
business processes affected by these projects result in sweeping positive changes
across the organization. It is important to note that not every project should be a Six
Sigma project.
An organizational strategy drives the organization in the right direction and serves as a
basis for project selection. Many processes are available to develop and drive
organizational strategy, but for the purpose of this course, we will focus on two:
• Balanced Scorecard
• Malcolm Baldrige National Quality Award (MBNQA) 2006 Criteria for
Performance Excellence
Balanced Scorecard
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Balanced Scorecard
38
The balanced scorecard (BSC) is a strategic measurement and management system
that translates an organization’s strategy into four perspectives:
1. Financial: To achieve financial success, “How should we appear to our
shareholders?”
2. Customer: To achieve our vision, “How should we appear to our customers?”
3. Internal business processes: To achieve shareholder and customer satisfaction,
“What business processes must we excel at?”
4. Learning and growth: To achieve our vision, “How will we sustain our ability to
change and improve?”
Robert Kaplan and David Norton created the BSC to move organizations away from
focusing solely on financial data and toward balancing consideration of financial data
with the creation of abilities and intangible assets required for long-term growth. To
achieve this balance, the BSC translates an organization’s strategy into specific
measures in each category.
Note: Although BSC is not in the SSBB Body of Knowledge, it is a widely-accepted
approach to establishing an organizational strategy.
Baldrige Award Criteria
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Task: Baldrige Award Criteria
39
In his book Insights to Performance Excellence 2006, Blazey states the "requirements
for the Strategic Planning Category (MBNQA 2006 Criteria for Performance
Excellence) are intended to encourage strategic thinking and acting – to develop a
basis for achieving and maintaining a competitive position.”  Click strategy
development and strategy deployment to learn about sample elements considered
during the Strategic Planning Category (MBNQA 2006 Criteria for Performance
Excellence).
Strategy Development
According to Blazey in Insights to Performance Excellence 2006,
"
sample elements considered during strategic planning include the following:
• Customers: market requirements and evolving expectations and opportunities.
• Competitive environment and capabilities relative to competitors: industry and
market.
• Technologies and other innovations that might affect products and services, and
future business operations.
• Internal strengths and weaknesses, including human resource capabilities and
need, resource availability, and operational capabilities and needs.
• Financial, societal, ethical, regulatory, and other potential risks that may affect
business success.
• Opportunities to redirect resources to higher-priority products, services, or
business areas.
• Changes in economic conditions (local, national, or global) that might affect the
business.
• Unique organizational factors such as supplier and supply chain, capabilities, and
needs.
• Clear strategic objectives withtimetables that help leaders determine where the
organization should be at given points in time so they can effectively monitor
progress.
"
Strategy Deployment
According to Blazey in Insights to Performance Excellence 2006,
"
sample elements considered during strategic deployment include the following:
• Translate strategy into action plans and related human resource plans.
• Align and deploy action-plan requirements, performance measures, and
resources, throughout the organization to ensure changes or improvements are
sustained.
• Define measures for tracking progress on action plans and ensure actions are
aligned throughout the organization.
• Project expected performance results, including assumptions of competitor
performance increases.
"
Key Components
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Key Components
40
Once the organizational strategy has been established, it is time to implement a
process system that aligns with the organization's strategic goals and objectives. All
levels, from strategic to tactical, must be involved to truly understand the system's
impact on the customer. A successful Six Sigma deployment depends on the project
evolving systematically. Roll over each component of Six Sigma deployment below to
learn more.
 
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See the online version to view this content. ]
Project Selection Checklist
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Project Selection Checklist
41
Careful project selection is key to the success of the Six Sigma quality initiative. Each
industry and organization will have its own guidelines for deploying Six Sigma
methodology. One approach to the dissemination of the Six Sigma culture is quality
leaders (Master Black Belts, Black Belts, and the organizational leader) selecting
projects that have the greatest impact on organizational goals.
The following is an example of the type of criteria used to select Black Belt projects:
As discussed in the Business Process Management lesson, project selection criteria are
customer driven and align with the company's strategic goals and objectives. An
example of this customer driven goal would be to increase customer satisfaction
scores or decrease customer wait time.
 
Strategic Risk Considerations
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Strategic Risk Considerations
42
As discussed by Breyfogle in Implementing Six Sigma, differentiating between
strategic and tactical planning is crucial. Strategic planning leads to "doing the right
things"; while tactical planning leads to "doing things right." Strategic planning
typically refers to a timeframe of three to five years, while tactical planning is more
near-term in scope.
To understand what the "right things" are, the method of choice is strategic risk
assessment.
Breyfogle further asserts that "with this strategic risk analysis, organizations can
leverage the strength of the organization, improve any weakness, exploit opportunities
and minimize potential impact of threats. Through this risk assessment organizations
can then optimize their system as a whole."
Once strategic risks are identified and, when possible, quantified, they can be used to
determine the long-term strategic plan for the organization. The long-term plan is then
broken down into strategic goals and subgoals, from which annual goals are created.
Selection of projects may then be made based on each projects ability to meet these
annual goals.
When analyzing strategic risk, focus on the "big picture." A system should be thought
of as the set of processes that makes up an enterprise. According to The Certified Six
Sigma Black Belt Handbook by Benbow and Kubiak, when improvements are
proposed, it is important to take a systems approach. Consideration should be given
to the effect the proposed changes will have on other processes within the system and
by association on the enterprise itself. Operating a system at less than its best mode is
called suboptimization. Changes in a system may optimize individual processes but
suboptimize the system as a whole.
 
 
Suboptimization Example
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Suboptimization Example
43
When optimizing a system, remember that optimization is not just a local issue. Local
optimization may actually have a negative impact on global optimization. The
following is an example of local suboptimization.
Example
The training department at ABC Corporation decided to "go paperless" by emailing
course confirmations instead of sending a printed confirmation through interoffice
mail. This new process would allow the department to cut down on paper and printer
usage, as well as mail sorting time by the mail room staff. However, not all associates
at ABC Corporation have access to email. Therefore, there is still a need to print some
paper confirmations for those individuals. What the training department thought would
save time and resources actually created two processes from one. The trainer now
spends time looking up the name of each class participant in the company's global
email address book. If the class participant is in the email system, then he or she
receives an email confirmation. If a class participant does not have email, then a paper
copy of the confirmation is mailed. In this example, paper use, copy machine wear and
tear and mail room workload were reduced. However, an additional process was added
thus creating more administrative work for the training department staff, resulting in
time lost on other training projects. The net result is a waste of resources and an
adverse effect on profits.
Scenario Planning and FMEA
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Scenario Planning and FMEA
44
Risk assessment uses several tools. We will consider three: scenario planning, FMEA
and SWOT analysis.
Scenario planning
Pioneered by the Royal Dutch/Shell petroleum company and distribution network,
scenario planning involves constructing a scenario by drawing on current events,
demographic trends and other statistics to compose a "story" describing possible
sequences of events leading to a specific result (Kim Pries, Six Sigma for the Next
Millennium).
Pries states:
"
Typically, scenario planning groups will develop at least four scenarios:
• Pessimistic
• Moderate but pessimistic
• Moderate but optimistic
• Optimistic
"
Pries also notes that scenario planning serves "not so much to predict the future as to
open the minds of planners and executive management to options and opportunities in
the future." With scenario planning, risks that would otherwise never be considered
can be uncovered, assessed and anticipated. The military has used scenario planning
extensively.
Failure mode effects analysis (FMEA)
According to the ASQ Glossary, failure mode effects analysis (FMEA) is a procedure
that analyzes each potential failure point (or "mode") in every subitem of an item to
determine the failure point's effect on each subitem and on the required function of the
item itself. FMEA is used to determine high-risk process activities or product features
based on the effect of a failure and the likelihood that a failure could occur without
detection. In other words, FMEA is a systematic problem-prevention tool. Typically
used during the analyze phase of DMAIC to prioritize process activities or product
features prone to failure, FMEA can also be used during the improve phase of DMAIC
or design phase of DFSS to identify high-risk process activities or product features in
the proposed improvement.
Note: FMEA is discussed in more detail in the DFSS lesson.
SWOT
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and ObjectivesConcept: SWOT
45
The Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis provides a
framework to identify elements that help or hinder an organization. While the SWOT
is an effective tool to identify risk, remember that it does not quantify potential risks.
A SWOT analysis has internal and external components. Strengths and weaknesses are
considered part of an internal analysis of the organization, while opportunities and
threats are part of an external analysis of the environment in which the organization
operates. The external environment is essentially everything outside of an organization
that might affect the organization.
 
 
 
Strengths
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Strengths
46
To identify organizational strengths, answer the question "What are the skills,
capabilities and core competencies that help an organization achieve its goals and
objectives?" In other words, "What is the organization really good at?"
Organizational strengths might be any of the following:
• Leadership
• Research and development efforts
• Innovative product designs
• Breakthrough technology
• Teamwork
• Product development
• Product assembly
• Distribution channels
One or more strengths can provide a competitive advantage and help an organization
differentiate itself in the marketplace. For example, if a company is exceptional at
research and development, the company might concentrate efforts and resources in
that area to build or strengthen a competitive advantage. Conversely, spreading
resources too thin across too many areas can weaken an organization's competitive
stance.
Every organization has distinct strengths. However, some organizations enter markets
they do not belong in, produce products or services for which they lack expertise, or
attempt to manage operations they do not understand. This does not mean an
organization should never venture into new areas, but the organization should have a
realistic understanding of what it will take to succeed.
Weaknesses
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Weaknesses
47
Identifying organizational weaknesses answers the question "What skills, capabilities
and competencies are lacking that prevent the organization from fully achieving its
goals and objectives?" For example, an organization may discover that it has
insufficient customer listening posts to support the desired level of customer service.
Weaknesses are often considered opportunities for improvement. Any of the examples
of strengths previously listed could become weaknesses.
Given a deficiency, an organization generally has three choices:
• Modify the goal and objective into something achievable
• Invest the necessary capital to acquire the knowledge or skill required
• Find another organization that has the expertise needed and outsource that
requirement or develop an alliance
It is common for organizations to readily identify strengths but struggle with
weaknesses. However, weaknesses must be identified and addressed before an
organization can plan for and achieve the performance levels necessary to meet its
goals and objectives.
Opportunities
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Opportunities
48
Opportunities are generally described as those events and trends that help an
organization grow to new levels. Opportunities are everywhere and are seen through
changes in technology, government policy, and social patterns, to name a few. An
opportunity could be found in a major situation or key trend present in the firm's
business environment, or through identification of a previously overlooked market
segment, changes in competitive or regulatory circumstances, technological changes
or improved buyer-supplier relationships.
Other examples of opportunities include:
• New technologies
• New markets for products or services
• A collaborative partnership
• Reduced labor costs through offshore resources
• Increased customer relations through CRM technology
• Increased product awareness through marketing
Threats
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Threats
49
Threats are barriers to an organization's growth that put the organization at a
competitive disadvantage. No one likes to think about threats, but they must be
addressed, even when they are external factors out of our control. It is vital to be
prepared to face threats, especially during turbulent times.
A threat is a major unfavorable situation in a firm’s environment. Threats are key
impediments to the firm’s current or desired position. The entrance of new
competitors, slow market growth, increased bargaining power of key buyers or
suppliers, technological changes and new or revised regulations could represent
threats to a firm’s success. Other examples might include:
• Legal or regulatory issues
• A new competitor
• Changing demographics
• A weakening economy
• Tax increases
• Introduction of new taxes
• Dwindling workforce
Managing Lessons Learned
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Managing Lessons Learned
50
A Six Sigma project generates a wealth of information. Establishing a process to
capture, document and share lessons learned infuses change in the organization.
In the Quality Progress article, “Planning for Knowledge Management,” William
Shockley discusses documenting for knowledge management purposes what an
organization learns from processes and projects. Shockley recommends asking and
documenting the answers to the following questions:
• What went well?
• What could have been done differently?
• What could be improved?
• What did we do that we should not have?
• Did all our various departments interact efficiently and effectively?
• Where were there gaps?
• Where were there overlaps?
• What can be done differently next time to make the situation easier for all parties
involved?
Documentation from lessons learned aids in continued improvement and identification
of additional opportunities by:
• enabling others to learn how the project was planned, implemented, and
monitored.
• helping resolve issues.
• allowing resources to be tracked back to their work in the project.
• creating an audit trail.
• providing direction to revise or revive the project later.
Closed-Loop Assessment
Six Sigma Black Belt | Enterprise-Wide Deployment | Organizational Goals and Objectives
Concept: Closed-Loop Assessment
51
Once lessons learned are documented, they should be integrated into a process that
ensures their implementation on future projects and within other parts of the
organization. One approach is through a closed-loop assessment, where this type
feedback enters into a process that will result in action. Consider the illustration
below:
In the context of this discussion, the terms above could be understood as follows:
• Assessment: The results of the lessons learned, perhaps as a part of the project
final report.
• Reporting: Delivery of the lessons learned to the appropriate group within the
organization. (e.g., the project steering committee).
• Remediation: Actions taken by the group in response to the lessons learned.
These include corrective action and input for future projects.
Organizations should establish a project repository or database to maintain records of
projects completed and to provide a reference for future projects. Project repositories
help to translate improvements and lessons learned to other processes within the
organization.
Six Sigma Black Belt
Enterprise-Wide Deployment
Org. Improvement and Six Sigma Foundations History
Learning Objectives
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Learning Objectives
53
At the end of this Enterprise-Wide Deployment topic, all learners will beable to
understand the origin of continuous improvement tools used in Six Sigma (e.g.,
Deming, Juran, Shewhart, Ishikawa, Taguchi).
 
 
 
 
 
 
Portions of this topic were taken from the ASQ Foundations in Quality Learning
Series: Certified Manager of Quality/Organizational Excellence.
History of Six Sigma
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: History of Six Sigma
54
The quality movement can trace its roots to medieval Europe, where, in the late 13th
century, craftsmen began organizing into unions called "guilds". Six Sigma's role as a
measurement standard has its ancestry in the 1800s introduction of Carl Frederick
Gauss' concept of the normal curve. The harbinger of Six Sigma's measurement
standard in product variation came about in the 1920's when Walter Shewhart showed
that three sigma from the mean is the point where a process requires correction.
1940s The U.S. Military, dependent upon product quality and consistency to
support the war effort, becomes the primary proponent of quality.
Inspection and sampling techniques are implemented and improved
upon, and processes redesigned to increase production efficiency.
Statistical quality control is an emerging quality approach.
1950s Following World War II, the quality revolution in Japan spurs the birth
of total quality in the United States. The Japanese welcome the input of
Americans Joseph M. Juran and W. Edwards Deming, and rather than
concentrating on inspection, focus on improving all organizational
processes at the worker level. Juran facilitates the move from statistical
quality control (SQC) to total quality control (TQC) in Japan.
1970s Japan’s high quality products steadily steal market share from U.S.
industries. The U.S. response, emphasizing not only statistics but
approaches that embraced the entire organization, becomes known as
total quality management (TQM).
1980s Six Sigma begins in 1986 as a statistically-based method to reduce
defects in production processes at Motorola Inc. By the late 80s, it
extends to critical business processes.
1990s In 1991 Motorola certifies its first 'Black Belt' Six Sigma experts,
signifying the formalization of the accredited training of Six Sigma
methods. In the same year, Allied Signal becomes the second to adopt
Six Sigma, followed by GE in 1995.
2000s New quality systems evolve from the foundations of Deming, Juran and
the early Japanese practitioners of quality. Quality moves beyond
manufacturing into service, healthcare, education and government
sectors.
Adapted from The History of Quality, by the American Society for Quality; and
Quality Assurance and Reliability in the Japanese Electronics Industry, World
Technology Evaluation Center.
We will now discuss these Quality Pioneers and their approaches in more detail.
 
Origins of Continuous Improvement
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Origins of Continuous Improvement
55
Six Sigma contains a broad collection of concepts and tools used to discover
organizational defects and their remedies. Each of these tools was pioneered by one
person, who developed a particular facet of the quality effort, then tested and proved it
to be useful to the global community. In this topic, we will discuss seven of the men
behind the tools of Six Sigma and offer perspective on the tools any Black Belt will
encounter and likely put to use.
Philip B. Crosby
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Philip B. Crosby
56
Philip B. Crosby (1926-2001) is
considered the business person of quality.
He was one of ITT’s first vice presidents
of corporate quality, and gained
prominence in the quality field after
publishing Quality Is Free in 1979.
Subsequently, he founded Philip Crosby
Associates, a quality management
consulting firm, and the Quality College,
an institute that provides quality training
for top management.
One of Crosby’s major contributions was
making quality meaningful and accessible
to American executives. He promoted
addressing quality problems through
existing management and organizational
structures rather than from a statistical
basis.
 
 
Crosby Four Absolutes
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Task: Crosby Four Absolutes
57
In Crosby's quality philosophy, the “four absolutes of quality management" are
designed to answer the following questions:
What is quality?
Quality has to be defined as conformance to requirements, not as "goodness."
Management’s job is to establish the requirements, supply the wherewithal, and
encourage and help employees get the job done. The basis of this policy is
DIRFT—“Do It Right the First Time.” Requirements for quality must be thoroughly
understood and accepted.
What system is needed to cause quality?
The system for causing quality is prevention, not appraisal.
The first step toward defect and error prevention is to understand the process
responsible for creating the product. When a defect occurs, discovery and elimination
are the top priorities. Prevention is a knowledge issue for quality-focused workers.
What performance standard should be used?
The performance standard must be zero defects, not “that’s close enough.”
The only performance standard that makes sense for DIRFT is zero defects. Zero
defects must be a performance standard of everyone in the company, from top
management to line workers.
What measurement system is required?
The measurement of quality is the price of nonconformance, not indexes.
A dollar figure can be established for the cost of quality (COQ) by determining the
difference between the price of nonconformance (PONC) and the price of
conformance (POC). PONC is the expense of doing things the wrong way and can
account for 20% to 35% of revenues. POC is the expense of doing things
right—typically 3% to 4%. COQ is not a standard to be met. Managers should spend
time identifying where it occurs and address what makes it occur.
Source: Quality Without Tears, by Philip B. Crosby.
Crosby 14 Steps
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Crosby 14 Steps
58
Crosby also offered a guide to the implementation process. These steps were
republished in ASQ’s Quality Progress (December 2005), adapted from Crosby’s
Quality Is Free: The Art of Making Quality Certain. The steps are designed to help
individuals and organizations understand the long-term effort needed and to persevere
through the necessary change in order to receive the resultant benefits of quality
improvement.
1. Management commitment: Management must understand and then commit to
quality improvement. Then management must garner the commitment of each
individual to live a work life of conforming to requirements and/or have the
requirements updated to reflect true customer needs.
2. Quality improvement team: A quality team representing the entire company is
needed to enable and guide the improvement process decisively.
3. Quality measurement: Bring the entire company under the some form of
measurement. Measurement allows management to assess progress and
determine improvement targets.
4. Cost of quality evaluation: Organizations must identify the COQ in a formal
and objective manner and then feed the identified costs into the regular
management process.
5. Quality awareness: People need to know about the organization’s quality policy,
management’s commitment to quality and the costs of poor quality.
6. Corrective action: Corrective action is required to identify and eliminate
problems.
7. Establish an ad hoc committee for the zero defects program: Form a
subcommittee (from the original quality improvement team or other involved
employees) to understand zero defects conceptually and determine how to apply
the concepts specificallywithin the organization. Begin planning and working the
plan as the company moves toward “Zero Defects Day” (Step 9)
8. Supervisor training: Provide training to all levels of supervisors with the
expectation that they will understand the program well enough to teach it to their
employees.
9. Zero defects day: On "zero defects day," management makes a commitment to
quality in front of the entire organization and emphasizes that the entire
organization must abide by it.
10. Goal setting: While zero defects are the ultimate goal, individual groups should
identify interim goals that are made public to the rest of the organization.
11. Error cause removal: Organizations should ask employees to describe the
problems they have so that something can be done about them.
12. Recognition: Organizations should develop a recognition program for all
employees, from executives to line workers.
13. Quality councils: Quality professionals should come together periodically and
learn from each other.
14. Do it over again: By learning, watching, and participating, quality improvement
teams can find ways to continue the quality improvement process.
W. Edwards Deming
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: W. Edwards Deming
59
Dr. W. Edwards Deming (1900-1993) is widely credited with starting the modern
quality improvement movement. He introduced statistical methods to American
industry during World War II, but these were largely abandoned after the war. Later, in
the early 1950s, Deming introduced his statistical methods to the Japanese. The
Japanese embraced Deming and his quality philosophy, ultimately naming the
country’s quality prize after him.
According to Deming, good quality does not necessarily mean high quality. A
predictable degree of uniformity and dependability is suited to the market at low cost,
such that quality is whatever the customer needs and wants.
Deming’s quality management principles support a process-oriented approach to the
production of goods and services:
• Teach process improvement as the path to increased quality and performance.
• Acknowledge the workers’ expertise and involve them in continuous process
improvement (CPI).
• Understand variation using statistical analysis.
Overall, Deming emphasized that the key to quality is in management’s hands: 95% of
quality problems are due to the system, while only 5% are due to employees.
 
Deming and The 14 Points
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Task: Deming and The 14 Points
60
The basis of Deming’s philosophy is a list of objectives he called “the 14 points for
Management.” These are requirements for a business whose management plans to
remain competitive, producing goods and services that will have a suitable market.
Points 1 through 5:
1. Create constancy of purpose.
Create constancy of purpose toward improvement of products and services with the
aim of becoming competitive, staying in business, and providing jobs.
2. Adopt the new philosophy.
We are in a new economic age. Western management must awaken to the challenge,
learn their responsibilities and take on leadership for change.
3. Cease dependence on inspection.
Eliminate the need for inspection on a mass basis by building quality into the product
from the beginning.
4. End the practice of awarding business on the basis of price tag.
Instead, minimize the total cost. Move toward a single supplier for any one item,
based on a long-term relationship of loyalty and trust.
5. Improve constantly and forever.
Make constant improvement part of the system of production and service, and you will
experience a constant decrease in costs.
Source: Out of the Crisis, by W. Edwards Deming.
Deming and The 14 Points Cont.
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Task: Deming and The 14 Points Cont.
61
The basis of Deming’s philosophy is a list of objectives he called “the 14 points.”
These are requirements for a business whose management plans to remain competitive
producing goods and services that will have a suitable market.
Points 6 through 10:
6. Institute training.
Institute training on the job.
7. Institute leadership (see Point 12).
Institute leadership to help people and machines and gadgets do a better job.
Leadership in management is in need of an overhaul, not just the leadership of
production workers.
8. Drive out fear.
Eliminate fear, so everyone will work effectively for the company.
9. Break down barriers.
Break down barriers between departments. People in research, design, sales, and
production must work as a team to foresee problems of production and usage that may
be encountered with the product and service.
10. Eliminate slogans, exhortations, and targets for the workforce.
Eliminate slogans, exhortations, and targets for the workforce asking for zero defects
and new levels of productivity.
Source: Out of the Crisis, by W. Edwards Deming.
Deming and The 14 Points Cont.
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Task: Deming and The 14 Points Cont.
62
The basis of Deming’s philosophy is a list of objectives he called “the 14 points.”
These are requirements for a business whose management plans to remain competitive
producing goods and services that will have a suitable market.
Points 11 through 14:
11. Eliminate work standards; eliminate management by objective.
Substitute leadership for work standards (quotas) on the factory floor.
Substitute leadership for management by objective. Eliminate management by
numbers, numerical goals.
12. Remove barriers that rob employees of the right to pride of workmanship.
Remove barriers that rob the hourly worker of the right to pride of workmanship. The
responsibility of supervisors must be changed from sheer numbers to quality.
Remove barriers that rob people in management and engineering of their right to pride
of workmanship. This means “inter-alias,” abolishment of the annual or merit rating,
management by objective or management by numbers.
13. Institute a vigorous program of education.
Institute a vigorous program of education and self-improvement.
14. Put everybody in the company to work to accomplish the transformation.
The transformation is everybody’s job.
Source: Out of the Crisis, by W. Edwards Deming.
Dr. Armand V. Feigenbaum
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Dr. Armand V. Feigenbaum
63
Dr. Armand V. Feigenbaum (1920- ) is
generally credited with developing the
concept of “total quality control” during
the late 1940s while an employee of
General Electric. In the late 1960s, he
started his own company, the General
Systems Company, to provide consulting
services for quality management and
strategic planning. Feigenbaum placed
major emphasis on the need for total
quality control in order to achieve
productivity, market penetration, and
competitive advantage.
In his book Total Quality Control,
Feigenbaum defines total quality control
as “an effective system for integrating the
quality-development,
quality-maintenance, and
quality-improvement efforts of the various
groups in an organization so as to enable
marketing, engineering, production, and
service at the most economical levels
which allow for full customer
satisfaction.”
 
 
Feigenbaum Four Fundamentals
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Feigenbaum Four Fundamentals
64
Feigenbaum’s quality philosophy emphasizes the need for everyone in the
organization to focus obsessively on serving the external and internal customers. To
this end, Total Quality Control provides Four management fundamentals of total
quality:
1. Make quality a full and equal partner, with innovation starting fromthe inception
of product development.
2. Emphasize getting high-quality product design and process matches upstream,
before manufacturing planning has frozen the alternatives.
3. Make full-service suppliers a quality partner at the beginning of design rather
than implementing a quality surveillance program later.
4. Make the acceleration of new product introduction a primary measure of the
effectiveness of a company’s quality program.
Feigenbaum Ten Benchmarks
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Task: Feigenbaum Ten Benchmarks
65
In addition to the "Four Fundamentals," Feigenbaum offers Ten benchmarks that are
key to implementing total quality control with success.
Benchmarks 1 through 5:
1. Quality is an organization-wide process
Quality is neither a specialist function, nor a department, nor an awareness or testing
program alone. It is a disciplined system of customer-connected work processes
implemented throughout the organization and integrated with suppliers. High quality
products are the result of high quality work processes. If you do not improve the
process, you cannot expect substantial improvement in results. 
2. Quality is what the customer says it is.
Quality is not what a developer, manager or marketer says it is. If you want to find out
about your quality, ask your customer. No one can compress in a market research
statistic or defect rate the extent of buyer frustration or delight.
3. Quality and cost are a sum, not a difference.
Quality and cost are not adversaries. The quality costs of fixing failures are high
compared to quality costs required to properly prevent such defects. True quality
leaders are cost leaders, and commonly enjoy advantages of 10-20% for competitive
cost.
4. Quality requires both individual and teamwork zealotry.
Quality is everyone's job. Without a clear infrastructure that supports both the quality
work of individuals and the teamwork among individuals and departments, however,
quality is an orphaned responsibility. Too often quality improvement activities become
islands without bridges. All the left hands must work effectively with all the right
hands.
5. Quality is a way of managing.
Good management today means empowering the quality knowledge, skills and
attitudes of everyone in the organization to recognize that making quality right makes
everything else in the organization right. The belief that quality travels under some
exclusive national passport, or has some unique geographical or cultural identity, is a
myth.
Feigenbaum Ten Benchmarks cont.
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Task: Feigenbaum Ten Benchmarks cont.
66
In addition to the "Four Fundamentals," Feigenbaum offers Ten benchmarks that are
key to implementing total quality control with success.
Benchmarks 6 through 10:
6. Quality and innovation are mutually dependent.
Quality requires product and process innovation, and the key to successful new
products is to make quality the partner of development from the beginning, not to use
it as a clean-up tool after problems surface. It is essential to fully include the customer
in all phases of development. Paper studies cannot do the job.
7. Quality is an ethic.
The pursuit of excellence with the understanding that what you are doing is right is the
strongest human emotional motivator in any organization and is the basic driver in true
quality leadership. Quality programs relying solely on cold metrics are never enough.
8. Quality requires continuous improvement.
Quality is a constantly upward-moving target, while continuous improvement is an
in-line, integral component of everyone's job responsibility. This requires more than
just "better-than-last-year" internal incremental improvement. The marketplace defines
world-class performance.
9. Quality is the most cost-effective, least capital-intensive route to productivity.
Some of the world's strongest organizations have blindsided their competition by
concentrating on eliminating their "hidden" plant or organization – the part that exists
to find and fix mistakes and the associated waste. They have done this by changing
their productivity concept from "more" to "good" (a quality leadership concept),
creating the "more good quality productivity" concept.
10. Quality is implemented with a total system connected to both customers and
suppliers.
The relentless application of the systematic method that makes it possible for an
organization to manage its quality and associated costs makes quality leadership real
in an organization.
Feigenbaum Crucial Elements of Total Quality
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Feigenbaum Crucial Elements of Total Quality
67
Feigenbaum also established nine elements of total quality that enable a total
customer focus (internal and external):
1. Making quality leadership a business center point for revenue growth and
competitive strength.
2. Achieving complete customer quality satisfaction and driving buyer acceptance.
3. Developing effective supplier and other business quality partnerships.
4. Maximizing the effectiveness of quality data.
5. Accelerating sales and earnings growth through quality cost management.
6. Forming an integrated company quality systems network through customer,
producer and supplier relationships.
7. Encouraging the tools and resources to create individual quality improvement
emphasis.
8. Recognizing quality as an international business language.
9. Assuring quality leadership is a foundation for successful ethical behavior and
social contribution.
Dr. Kaoru Ishikawa
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Dr. Kaoru Ishikawa
68
Dr. Kaoru Ishikawa (1915-1989),
considered the father of Japanese quality
control efforts, was involved with the
Japanese quality movement from its
inception. He was instrumental in making
the quality movement a nationwide
phenomenon through his educational
efforts and his work with the Union of
Japanese Scientists and Engineers.
Ishikawa states that quality control is the
practice of developing, designing,
producing and servicing a quality product
that is most economical, most useful and
always satisfactory to the consumer.
 
Ishikawa CWQC
Six Sigma Black Belt | Enterprise-Wide Deployment | Org. Improvement and Six Sigma Foundations History
Concept: Ishikawa CWQC
69
Ishikawa developed the concept of company-wide quality control (CWQC) to
distinguish the Japanese approach to total quality control from its Western counterpart.
As stated in the Quality Engineering Handbook, First Edition, the concept of CWQC
incorporates:
• Participation by all members of the organization in quality control
• Education and training in quality control
• Quality control circle activities
• Using advanced statistical methods and the 7M tools:
° Affinity diagram
° Interrelationship digraph
° Tree diagram
° Prioritization matrices
° Matrix diagram
° Process decision program (PDPC) chart
° Activity network diagram
• Nationwide quality control promotion activities
In addition to CWQC, Ishikawa’s philosophy also promotes many of the ideas that are
now associated with the quality movement, including:
• Next operation as customer (i.e., internal departments serving one another as
customers rather than treating each other as enemies)
• Elimination of sectionalism (i.e., getting rid of the “it’s not our job” mentality)
• Worker training and empowerment
• Pursuit of customer satisfaction
• Humanistic management of workers
Dr. Joseph M. Juran
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Concept: Dr. Joseph M. Juran
70
 
Along with Deming, Dr. Joseph M. Juran
(1904- ) is considered by many to be a
co-founder of the 20th-century quality
movement.His quality experience began
in 1924 with an inspection job and
evolved into a quality career of research,
lecturing, consulting, and writing that
spans more than 50 years. In that time,
and through his affiliation with the
American Management Association, he
has taught the course “Managing for
Quality” to over 100,000 people in more
than 40 countries.
Juran, like Deming, was instrumental in
working with the Japanese to introduce
quality concepts. In particular, he
championed quality control as a
management tool rather than a specialist's
technique.
 
Juran Achieving Customer Satisfaction
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Concept: Juran Achieving Customer Satisfaction
71
In Juran's Quality Planning and Analysis for Enterprise Quality, 5E, Juran and Frank
M. Gryna state that “quality is customer satisfaction,” or simply “fitness for use.”
Customer satisfaction is achieved through two components: product features and
freedom from deficiencies.
Product features that meet the needs of customers and thereby provide product
satisfaction. This component refers to the quality of design. Overall, product features
have a major impact on sales income as they affect market share and premium price.
Examples of product features in both the manufacturing and service industries include:
Manufacturing industry • Performance
• Reliability
• Durability
• Ease of use
• Serviceability
• Aesthetics
• Availability of options
• Reputation
Service industry • Accuracy
• Timeliness
• Completeness
• Friendliness and courtesy
• Anticipating customer needs
• Knowledge of server
• Aesthetics
• Reputation
Source: Adapted from Juran's Quality Planning and Analysis for Enterprise Quality,
5E, by Joseph M. Juran and Frank M. Gryna
Freedom from deficiencies. This component refers to the quality of conformance.
Freedom from deficiencies has a major impact on costs through reduction in rejects,
rework, repairs, complaints, etc.
Juran Trilogy
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Concept: Juran Trilogy
72
In Juran on Quality by Design, Juran asserts that “managing for quality is done by use
of the same three managerial processes of planning, control, and improvement that are
used to manage finance.” Thus,
• Quality planning is analogous to financial planning and budgeting.
• Quality control is analogous to financial control.
• Quality improvement is analogous to cost reduction.
As mentioned, these three quality management processes have come to be known as
the Juran Trilogy®. The Juran Trilogy® is a system that top management can use to
institutionalize quality, just as they use systems for financial planning, control, and
improvement. The process requires patience and persistence. As Juran emphasizes,
incremental quality improvements must be made by the thousands, year after year.
A narrative overview of the Juran Trilogy® follows on the next two pages.
Source: Adapted from Juran on Quality by Design, by Joseph M. Juran.
Juran Trilogy - Quality Planning and Control
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Concept: Juran Trilogy - Quality Planning and Control
73
Quality planning is the activity of developing products and processes required to
meet customers’ needs. It involves the following universal steps:
1. Establish quality goals.
2. Identify the customers (i.e., those who will be affected by the efforts to meet the
goals).
3. Determine the customers’ needs.
4. Develop product features that respond to the customers’ needs.
5. Develop processes that are able to produce those product features.
6. Establish process controls and transfer the resulting plans to the operating forces.
Quality control refers to the process used to meet standards. The process is similar to
a feedback loop and involves the following universal steps:
1. Choose the control subject (i.e., what needs to be regulated).
2. Choose a unit of measure.
3. Set a goal for the control subject.
4. Create a sensor that can measure the control subject in terms of the unit measure.
5. Measure actual performance.
6. Interpret the difference between actual performance and the goal.
7. Take action on the difference (if any).
Juran Trilogy - Quality Improvement
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Concept: Juran Trilogy - Quality Improvement
74
The quality improvement process is the means of raising quality to unprecedented
levels (i.e., “breakthroughs”). The methodology consists of the following universal
steps:
1. Establish the infrastructure needed to secure annual quality improvement.
2. Identify the specific needs for improvement (i.e., the improvement projects).
3. For each project, establish a project team with clear responsibility for conducting
and concluding the project.
4. Provide the resources, motivation, and training needed by the teams to:
• diagnose the causes.
• stimulate establishment of remedies.
• establish controls to hold the gains.
Walter A. Shewhart
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Concept: Walter A. Shewhart
75
Walter Andrew Shewhart (1891-1967)
was a physicist, engineer and statistician
who is considered by many the father of
statistical quality control. While an
employee of Western Electric and Bell
Telephone Laboratories, Shewhart wrote,
lectured and consulted on the subject of
quality control. Most of Shewhart's
professional career was spent at Bell
Telephone Laboratories, where he served
in several capacities as a member of the
technical staff from 1925 until his
retirement in 1956.
While at Western Electric Company,
Shewhart developed control chart
techniques that helped to distinguish
between "assignable-cause" and
"chance-cause" variations. Shewhart
stressed that bringing a production process
into a state of "statistical control" is
necessary to predict future output and to
manage a process economically.
Shewhart’s charts were adopted by the
American Society for Testing and
Materials (ASTM) in 1933 and advocated
to improve production during World War
II in American War Standards Z1.1-1941,
Z1.2-1941 and Z1.3-1942.
Shewhart was ASQ's first honorary
member.
 
Walter A. Shewhart cont.
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Concept: Walter A. Shewhart cont.
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Control chart
The contribution for which Shewhart is most widely known is the control chart. Also
known as the "Shewhart chart" or "process-behavior chart," the control chart is a
statistical tool intended to assess the nature of variation in a process and to facilitate
forecasting and management. The control chart is one of the seven basic tools of
quality control discussed in the Control lesson of this course. The illustration below is
one example of a control chart:
PDCA cycle
Shewhart also gave us the Shewhart cycle (sometimes also attributed W. Edwards
Deming as the Deming cycle). In his book, Statistical Method from the Viewpoint of
Quality Control, Shewhart illustrates the continuous improvement cycle of Plan, Do,
Check, Act (PDCA), as seen here:
 
 
Dr. Genichi Taguchi
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Concept: Dr. Genichi Taguchi
77
Dr. Genichi Taguchi (1924- ) is often
called the “Father of Quality
Engineering.” Following World War II,
Japan charged Taguchi with improving
R&D productivity and enhancing product
quality at its Electrical Communication
Laboratories (ECL). The Japanese
modeled ECL after the United States’ Bell
Laboratories in an effort to develop a
state-of-the-art communications system.
Harold Kerzner, author of Project
Management: A Systems Approach to
Planning, Scheduling, and Controlling,
writes that Taguchi noticed a great deal of
time