Six Sigma free essay sample

1. An insurance firm has set a standard that policy applications be processed within three days of receipt. If, out of a sample of 1,000 applications, 50 fail to meet this requirement, at what sigma level is this process operating? DPMO= (Number of Defects Discovered/Opportunities for Error) x 1,000,000 DPMO= (50/1000) x 1,000,000= 50,000 =NORMSINV(1- Number of Defects/ Number of Opportunities) + Shift =NORMSINV(1-50000/1000000)+1. 5=3. 144854 ? Between 3 and 3. 5 Sigma Level 2. During one month, 35 preflight inspections were performed on a military aircraft. Eighteen nonconformance’s were noted. Each inspection checks 60 items. What sigma level does this correspond to? 35 x 60= 2100 18/2100 x 1,000,000= 8571. 43 =NORMSINV(1-8571. 43/1000000)+1. 5=3. 883629 ? Between 3. 5 and 4 Sigma Level 3. Over the last year 1,054 injections were administered at a clinic. Quality is measured by the proper amount of dosage as well as the correct drug. In two instances, the incorrect amount was given, and in one case, the wrong drug was given. At what sigma level is this process? 3/1054 x 1,000,000= 2846. 30 =NORMSINV(1-2846. 30/1000000)+1. 5=4. 26498 ? Between 4 and 4. We will write a custom essay sample on Six Sigma or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page 5 Sigma Level 6. As noted in the text, a typical hospital has 225 medication errors per year. Approximately 35 percent of these are a result of the prescription, 30 percent from dispensing, and the remaining from administration. Suppose that a hospital has 9,000 annual admissions, and that the average patient receives five prescriptions during a hospital stay. Patients stay an average of 5. 3 days, and each ordered medication is dispensed daily. The average patient receives 12 medications per day. Compute the average dpmo for each of the three categories of medications errors. To what Sigma levels do these values correspond? Prescription: 35% X 225= 78. 75 (78. 75/9000) X 1,000,000= 8750 =NORMSINV(1-8750/1000000)+1. 5= 3. 876031 ? Around 4 Sigma Level Dispensing: 30% X 225= 67. 50 (67. 50/9000) X 1000000= 7500 =NORMSINV(1-7500/1000000)+1. 5= 3. 932379 ? Around 4 Sigma Level Administrative: 35% X 225= 78. 75 (78. 75/9000) X 1,000,000= 8750 =NORMSINV(1-8750/1000000)+1. 5= 3. 876031 ? Around 4 Sigma Level Page 89 5. Use Pareto analysis to investigate the quality losses at Oakton Paper Mill, using data in the worksheet Prob. 3-5 in the excel workbook CH3 dataset on the student CD-ROM. What conclusion do you reach? * 6. Use Pareto analysis to investigate the quality losses at Beecom Software Corp. using data in the worksheet Prob. 3-6 in the Excel workbook CH 3 Datasheet on the student CD-ROM. What conclusions do you reach? * 8. Legal Sea Food operates several restaurants and fish markets in the Boston area and other East Coast locations. The company’s standards of excellence mandate that it serves only the freshest, high-quality seafood. It guarantees the quality by buying only the â€Å"top of the catch† fish daily. Although Legal Sea Foods tries to make available the widest variety every day, certain species of fish are subject to migratory patterns and are not always present in New England waters. Weather conditions may also prevent local fishermen from fishing in certain areas. Freshly caught fish are rushed to the company’s quality control center where they cut and filleted in an environmentally controlled state-of-the-art facility. All shellfish come from government-certified beds and are tested in an in-house microbiology laboratory for wholesomeness and purity. There are even special lobster storage tanks so that all lobsters are held under optimum conditions, in clean, pollution free water. Every seafood item is inspected for quality eight separate times before it reaches the table. At Legal Sea Foods’ restaurants, each meal is cooked to order. Even though servers make every effort to deliver all meals within minutes of each other, they will not jeopardize the quality of an item by holding it beneath a heat lamp until the entire order is ready. The service staff is trained to work as a team for better service. More than one service person frequently delivers food to a table. When any item is ready, the closest available person serves it. Customer questions can be directed to any employee, not just the person who took the order. b. Suggest a set of CTQ’s for Legal Sea Food customers. Some Critical to Quality metrics are the time it takes for the customer to place their order up until their order is finished and brought out to them. Another CTQ could be whether or not a shipment of fish arrives on time. Along with arriving on time, the quality of the fish must be at the highest level to ensure customer satisfaction. Another CTQ metric could be the responsiveness of the waiting staff and the awareness of needy customers. The pricing of the fish and the meals are both CTQ metrics that will affect sales.