Critical review and analysis of measuring the success of Six Sigma implementation in manufacturing sector

The performance improvement analysis using Six Sigma DMAIC methodology: A case study on Indian manufacturing company

The six-sigma methodology has been adopted by the industry as a business management tool to improve operational capabilities and reduce defects in any process. This study aims to present a case study on the implementation of the Six-Sigma DMAIC methodology with the purpose to reduce the rejection rate of rubber weather strips manufactured by XYZ Ltd. (name changed) situated in Gurugram, India. Weather strips are used in all four doors of cars for noise reduction, waterproofing, dust proofing, soundproofing, windproofing, and for improving air conditioning cooling, and heating effects. The overall rejection rate of both front and rear door rubber weather strips was 5.5% which was causing a huge loss to the company. The average rejection rate of rubber weather strips per day reduced from 5.5% to 3.08%. After implementing the Six-Sigma project findings the rejection was reduced from 153 pieces to 68 pieces helped the industry in saving the cost of a compound by Rs. 15,249 per month. The sigma level improved from 3.9 to 4.45 within three months with the implementation of one Six-Sigma project solution. The company was highly concerned about reducing the high rejection rate of rubber weather strips and decided to deploy Six Sigma DMAIC as a quality improvement tool. The industry was keen to reduce this high rejection rate to 2% and this target was materialized with the application of the Six-Sigma DMAIC methodology. The novelty of this study is to analyze performance improvement considering the Six Sigma DMAIC methodology to reduce the rejection rate of rubber weather strip manufacturing companies.

Industrial Design Structure: a straightforward organizational integration of DFSS and QFD in a new industry and market reality

Purpose

The aim of this research is to enlighten the methodology model of Industrial Design Structure (IDeS) that integrates the internal and external customer feedback embodied both in methods of quality function deployment (QFD) and as basis of design for six sigma (DFSS) steps to systematically bring the information across the entire organization, saving overall product development time and resources.

Design/methodology/approach

The paper describes the state of the art enlightened to establish the disadvantages and challenges of other methods taken into consideration in the study like QFD and DFSS that, together with the need of companies to react fast to changes they need to straightforwardly implement product development information across all departments, leading to a mass customization infrastructure. Several application trials of this methodology have been cited.

Findings

The IDeS method has established to been able to integrate other well-known methodologies to gather technical specifications starting from voice of customers (VOCs) like QFD that served to canalize the generalist approach of define, measure, analyze, design and verify (DMADV) of DFSS in order to reach into a larger share of the organization and englobe by following the overall product design steps of an industrial project.

Research limitations/implications

The research approach chosen for this document presents the concept of a methodology ought to operate most internal branches in a company driven by product design requirements and guidelines. Therefore, researchers are encouraged to develop further studies on the IDeS method are required in order to adapt this methodology to specific management tools that would help to ease information gathering for immediate analysis and modification.

Practical implications

The paper implicates that a need to interchange information systematically across all subdivisions in the organization, as brisk response to VOC reactions is needed to thrive in the market nowadays, leading to a fast product customization scene. However, the industry is heading into adopting an individual customer-centered product conceptualization ought to be driven by design as a key for individualizing an object. Afterward by taking this concept broadly and adopting it would lead to implement a company organization that would be directly affected by the customer's input.

Social implications

The methodology described aims to enable organizations to portray fast and accurate product prototyping, by exploiting technologies from Industry 4.0.

Originality/value

This concept proposes a method to canalize the implementation of DFSS by using the DMADV approach, whilst assessing the challenges of adaptation and keeping up with cultural pace that impacts the behavior of buying and consumption and moreover implementing a seamless communication within all departments in the organization to share the development progress and change requests by using similar information technology tools. This would imply important savings in resources, whilst delivering quality products to the society.

Useful paths for identifying Lean Six Sigma improvement opportunities

Purpose

The goal of this work is to clarify seven useful DMAIC Analyze phase options for developing process improvement opportunities required for successful projects.

Design/methodology/approach

Using a scientific method problem solving structure, IO possibilities are shown to be predicted by rejecting a conceptual testable hypothesis.

Findings

Seven analysis paths are identified that enable learners to develop multiple IO discovery strategies and to narrow tool selection options. Four benefit areas for identifying analysis paths are given: improved training, continuous improvement foundation, leadership support and framework clarification.

Research limitations/implications

Any starting list of analysis paths for developing IOs would be incomplete. The diversity of application experiences and tools will add to the current list.

Practical implications

Learners participating in LSS activities are aware of management's expectation that they will develop IOs to justify the LSS investment. Tool-focused training may leave some learners unclear about the multiple possible sources for IOs. Identifying useful analysis paths with associated tools for IO discovery will address any learner's Analyze phase uncertainty and facilitate expanded opportunities.

Originality/value

Any successful LSS project must discover IOs to develop improvement actions. Clarifying IO discovery alternatives will encourage team brainstorming on Analyze phase investigative options. This framework identifying LSS improvement paths will assist practitioners in training and communicating with leadership and learners the range of approaches for developing improvement actions.

Enhancing supplier capability through Six Sigma enablers

Purpose

The purpose of this paper is to identify, analyze and orient the enablers of Six Sigma to enhance supplier capability for an Indian manufacturing supply chain (SC).

Design/methodology/approach

In total, nine enablers of Six Sigma were identified through an extensive literature review and discussion held with managers/senior managers in different Indian manufacturing companies. The interpretative structural modeling (ISM) approach is applied to the Indian auto ancillary company for developing and analyzing the structural framework of enablers to enhance the supplier capability.

Findings

The enablers such as top management commitment and leadership, supply chain management, standardization, training and education, human resource management and project selection and execution methodology of Six Sigma related to supplier capability have emerged as the prominent enablers, which are driving force in the system for the Indian manufacturing SC.

Research limitations/implications

This study is restricted to only one Indian manufacturing company. Therefore, the outcomes of the study should not be generalized. Further studies may be carried out for several Indian manufacturing industries to get a more comprehensive implementation approach, their validity and their variation across the different industries.

Practical implications

The simplicity and clarity of the proposed structural framework of Six Sigma helps in the identification and orientation of enablers for the successful implementation of Six Sigma in the SC. The proposed structural framework can be applied to different manufacturing SCs by allowing managers to structure the enablers considering their unique implementation constraints, which can reflect their priority considerations.

Originality/value

The study goes beyond the conceptual discussion of supplier capability issues. The supplier capability cannot be seen as a standalone approach irrespective of the constraints from the supplier domain as it is in synchronization with the entire SC performance. The enablers and their orientation with respect to the SC are providing a unique contribution toward supplier management planning. The outcomes from the proposed structural framework are used for developing action plans for organization “A” or other organizations to build suitable supplier capability in the SC.

Application of Six Sigma methodology in an Indian chemical company

Purpose

The aim of this paper is to deploy Six Sigma (SS) methodology for addressing the customer complaints pertaining to Chemical-X in an Indian chemical company.

Design/methodology/approach

The study followed a structured Define, Measure, Analyze, Improve, Control (DMAIC) approach to address the customer complaints. The complaints have been classified into different categories along with a project charter in the define phase. In the measure phase, measurement system analysis (MSA) and supplier, input, process, output and control (SIPOC) have been applied. In the analyze and improve phase, why–why analysis, process capability study, how–how analysis, Gage repeatability and reproducibility and Taguchi design have been applied to optimize the manufacturing process parameters for Chemical-X. Lastly, in the control phase, validation of 20 batches has been piloted to validate the optimized parameters.

Findings

The findings of this study highlight the optimization and prioritization of the process parameters. It shows that humidity has the least impact on the manufacturing of Chemical-X, whereas shift type has the maximum impact. The experimental output indicates that the 1st Shift, the holding time after grinding should be twenty-four hours, and the temperature after grinding should be 40 °C to reduce the customer complaints concerning lumps formation in Chemical-X.

Research limitations/implications

The study is performed for a single product (Chemical-X). It has focused only from the manufacturing process view and not from the transportation, suppliers and downstream supply chain view.

Originality/value

A systematic and data-driven approach of the SS methodology ensured that the customer complaints due to lumps formation reduced from 5% (approx.) to 1% (approx.) which resulted in the cost saving of INR 4 million (approx.) annually.

An evaluation of alternative business excellence models using AHP

Purpose

The purpose of this paper is to compare some major National Quality Award/Business Excellence Models (NQA/BEM) in terms of the criteria employed and their relative weights. It shows that these models vary both in terms of criteria and their weights. Whereas some of them are changing weights frequently, others are almost static. It employs the analytic hierarchy process (AHP) to allocate scores to 12 criteria identified in the model by Agrawal et al. (1998) to propose a modified quality award model similar to that. The six quality award models used in the USA, Canada, Europe, Australia, Japan and India are compared with the proposed model using AHP and their relative rankings are obtained.

Design/methodology/approach

First, a literature review is done to identify various quality award models globally, with their features being compared. Furthermore, paired comparison technique is used to rationalize the relative weights of proposed 12 criteria, and then AHP is again used to rank this proposed model with six major award models.

Findings

This paper shows that the six NQA models vary substantially on parameter weights. They do not include some relevant criteria to evaluate the organizational performance holistically. It also reveals how some models have been revising criteria weights very frequently, whereas others are static. In some models, the results get much higher weightage than enablers, and hence the performance may not be sustainable. The modified Agrawal et al. (1998) model is taken as a base model, with weights rationalized in it using the AHP. The rankings obtained using AHP reveal that proposed model scores over the other six prominent quality award models. The result also reveals that for organizational excellence, the quality of people plays a major role in the successful implementation of quality processes. Hence, it is very important to focus on improving the quality of people before expecting improvement in the quality of products and services.

Research limitations/implications

The paired comparison results are based on the researchers’ own perception and do not consider interdependence among the criteria, which is a limitation of AHP. Analytic network process can be further explored to overcome the limitation. The proposed model has not been tested in a variety of real-world situations, which can constitute a scope for further work in the direction.

Practical implications

The proposed model framework and weightages evolved using AHP can provide a universally acceptable quality award model framework. The companies can adopt it with or without modifications to address their contextual adaptation. It can possibly become a standard model framework globally. This model does not capture the measurement of the softer aspects that impact the people quality. As people play an important role in the success of the implementation of any practice, hence measurement of people quality is another important aspect that can be further studied and researched.

Originality/value

This comparative study & analysis of National Quality Award/Business Excellence Models using AHP is presented for the first time. The authors have not come across any such studies in their literature review. This paper is an original conceptualization of the application of the AHP on the various Quality Award model parameters, and it has been submitted exclusively to JAMR for publishing.

Environmental management accounting practices, management system, and performance

Purpose

The purpose of this paper is to examine the relationship between environmental management accounting practices (EMAP), environmental management system (EMS) and organizational performance (OPM) for Malaysian manufacturing industry by using structural equation modeling (SEM) approach.

Design/methodology/approach

The population of the Malaysian manufacturing industry comprised 2,600 manufacturing companies. The unit of analysis is the organization that participated in the survey comprised of automotive/machinery, plastics/rubber/metal, food/tobacco, electrical/electronics and chemical/woods. Out of the 2,600 questionnaires sent to the respondents, 395 were received from manufacturing companies. The collected data are analyzed with the IBM SPSS Statistics and SEM technique.

Findings

Findings found that EMS implementation as a partial mediator to improve EMAP and OPM for Malaysian manufacturing industry. Further, the implementation of EMS was found to mediate the relationship between EMAP and OPM.

Research limitations/implications

The understanding of the importance of studying the relationship between EMAP, EMS and OPM has been emphasized in the present study. In fact, the findings of this study along with its limitations have paved the way for future research in EMAP, EMS and OPM areas.

Practical implications

This research provides important guidelines for manufacturers and related companies to implement EMAP and EMS in order to improve OPM. Hence, the Malaysian manufacturing industry may need to consider the measurement of EMAP, EMS and OPM as beneficial to their manufacturing companies.

Originality/value

The research contributes to the environmental management accounting by empirically linking the relationship between EMAP, EMS and OPM for Malaysian manufacturing industry.