Implementing Six Sigma for Quality Program at Kortilidon Koti Company

This case study explores the implementation of Six Sigma at Kortilidon Koti Company to improve quality and overcome business challenges. It discusses the leadership role, the need for change, and the five stages of the change management process. The study also highlights the differences between quality control and quality assurance, as well as the tools used in the measure stage of Six Sigma. Overall, it provides insights into the successful implementation of Six Sigma at Kortilidon Koti Company.

Supply Chain Management

Table of Contents
Question 1............................................................................................................................................1
Question 2............................................................................................................................................4
Question 3............................................................................................................................................6
Question 4............................................................................................................................................8
Reference............................................................................................................................................10

Question 1
In this case study, the Six Sigma approach is used. It is a customer-oriented approach
which is a highly disciplined and data-driven method to discard the defects in various
processes, for instance, from product to service. The case study encounters low employee
morale, low acceptance by the middle management, then it contains poor initiative tracking
tools, acceptance by middle management calculation in terms of savings and a rewarding
system which is essential for the success of any project. In all the employee levels, the
implementation of Six Sigma ensured continuous job improvement in the organizational
processes. It is a systematic approach which uses the Six Sigma DMAIC cycle, which allows
the plant management teams to exhibit their commitment to the Six Sigma via new proposals
and allows improvement of the project. Six sigma committee ensure to shorten the decision-
making process, speeds up the run time of the project and increases the cost savings.
The goal of Kortilidon Koti a Western pharmaceutical site is to accomplish its
corporate strategy, to achieve customer satisfaction by meeting the requirements of the
customers. Customer satisfaction could indicate various things like the satisfaction of price,
product or service quality, performance, business relationship, and meeting the expectations.
The vision is to have a complete understanding of the process, have a quality approach
plan, ensure continuous improvement activities, and overcome all the future business
challenges.
CTQ (Critical To Quality) refers to the internal critical quality parameters, which relate
with the customer’s wants and needs (Isixsigma.com, 2019).
Performance Standards
The performance standards are as follows:
Output unit Quality project delivery
Output characteristics Improved quality
Project Y measure Six Sigma is combined with the lean manufacturing
tools, to orderly recognize and discard any waste and
defects from its processes. Thus, obtains free capacity for
value-adding activities.
Process measurement- (Define, Measure, Analyse,
Improve and Control) DMAIC is used.
Specification limits The Six Sigma processes are just executed by the Green
and the Black Belts.
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Target Quality
Defect Zero defect
Total number of defect
opportunities per unit
Opportunities per unit
One opportunity is given for a defect of a project's
quality delivery.
Problem Statement and Project scope
Initially, Six Sigma’s implementation faced challenges between the staff and the middle
management. When the Kortilidon Koti site started the use of Six Sigma, the Continuous
Improvement Process’s memory still remained, which interfered with the initial activities’
momentum. The middle management supported the Six Sigma projects just when the
superiors pressured them. On the other hand, little interest is observed among all the site staff
and the activities are viewed as a waste of resources and time; and the employees assumed
Six Sigma as a new initiative from the company which will not survive for a long.
Being a West pharmaceutical site, it faces a problem of competing with Asia’s low
labour costs and minimal environmental requirements. Because, the West’s pharmaceutical
sector is facing serious challenges as the Asian countries like India, China and Africa are
developing rapidly in this field, which is a serious problem for the West. Thus, the objective
is to overcome such challenges. The deliverable will be a corporate strategy for customer
satisfaction. The customer milestones of success must be achieved. The major requirement is
the Six Sigma approach.
Process Map of SIPOC
Supplier Site Management Team
Input Full-time Six Sigma position
Process
steps
1. Receive order
2. Planning the project delivery cost and
process.
3. Training
4. Employee project awareness with
communication.
5. Decision making
6. Continuous statistical process control
7. Identifying the defects in the project.
8. Product quality testing.
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9. Delivering the project on time.
10. Receiving the delivery.
Output Receiving project improvement.
Customer Employees
Zero level process Map (Benchmark Six Sigma Learn & Share, 2019),
Level One Processing Map
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Supplier Input Process Output Custome
r
Site
Management
Team
Full-time
Six Sigma
position
Receiving
project
improvement
Employees
Start End
Development Process
Receive
order
Planning the
project
delivery cost
and process.
Employee
project
awareness with
communication.
Continuous
statistical
process
control
Product
quality
testing.
Receiving
the
delivery.

Question 2
Differences of Quality Control and Quality Assurance
The difference between Quality Control and Quality Assurance is represented in the
below table (Eriksson, 2019):
Sl. No. Quality Control Quality Assurance
1. Quality Control refers to a
process that considers fulfilling
the request of quality.
Quality Assurance refers to a
process which considers giving
assurance that the quality
request will be achieved.
2. While working on a product,
Quality control makes sure that
the standards are correctly
followed.
For meeting the requirements
of the customer, Quality
assurance defines a set of
standards and methodologies
to be followed.
Exampl
e
Quality control activities contain
deliverable peer reviews,
inspection, and software testing
processes.
The quality assurance activities
comprise of process standards,
process checklists, process
documentation and finally
project auditing.
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Site
Management
Team
Full-time
Six Sigma
position
Receiving
project
improvement
Employees
Start End
Development Process
Receive
order
Planning
the
project
delivery
cost and
process.
Decision
making
Continuo
us
statistical
process
control
Product
quality
testing.
Receivin
g the
delivery.
Supplier Input Process Output Custome
r
Employee
project
awareness
with
communica
tion
Identifyi
ng the
defects
in the
project.

Figure: Difference between Quality Control and Quality Assurance
(Softwaretestinghelp.com, 2019)
MEASURE Stage Tools
In the case study, at Kortilidon Koti Company Limited for process measurement the
DMAIC is used which is Six Sigma’s sub-methodology DMAIC (Define, Measure, Analyse,
Improve and Control) and it includes a set of tools that are defined effectively.
With lean manufacturing tools, Six Sigma allows this company to recognize and
remove any waste and defects systematically.
The DFSS (Design for Six Sigma) method allows the process development with zero-
defect quality.
The other tools used in the MEASURE stage are:
1) Histogram: Histogram refers to a tool which helps to understand the process
just with a glance of variation that exists in a process. This tool is most helpful
in Lean Six Sigma methodology’s various phases such as in measure, analyse
and control phases.
2) Pareto charts: It is a chart which looks like a bar chart, but it also shows the
categorical (discrete) data that is arranged in the highest to the lowest
frequency order. The graphical form shows the problems which cause the
problem. It also measures the problems easily with easy-to-understand units,
for instance, cost.
3) Cause and Effect Diagrams: In a Lean Six Sigma Project, the measure phase
uses the Cause-and-effect diagrams, where the team brainstorming takes place
for identifying all the potential reasons to cause a problem. It is represented
graphically to measure the underlying reasons for a problem.
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4) Flow Charts: Flowchart refers to a graphical representation of a process
which the team is attempting to measure or improve. The process mapping
along with the flowcharts can be helpful for DMAIC Six Sigma Steve in the
measure and analyze phases of the Lean Six Sigma methodology.
5) Run Charts: By using a run chart, the data patterns can be determined over a
particular time or duration, and it focuses on the process’s vital changes. The
run chart represents a chart with the available data, which clearly displays the
pattern of the data point (Lean Sigma Corporation, 2019).
6) Control Charts: By using Control Charts, the average and variation can be
measured for the continuous data. It is a process that denotes the time series
plot which is utilized for monitoring the overtime processes.
Question 3
Overview of the Need for the Change
The future business challenges can be overcome with the need for the change. Because the
changes implemented in this case study for the Kortilidon Koti Company Limited enforces
technology and employee’s behavioural changes. Where, the technology can help the
organizations to can change their existing technology for increasing the process’ efficiency,
performance and decrease the costs. The human-behavioural changes denote to the
employees of the organization, where necessary training is given to the managers and
employees for providing awareness and improving their skills (Sutevski et al., 2019).
Additionally, the changes are made to benefit the process without affecting the quality, if
processing cost or time displays benefit.
Five Stages in the Change Management Process
In this case study, the introduction part reflects how the Six Sigma strategy faced a
few challenges from a cross-section of employees. And earlier, it is seen that there was less or
no interest among all the Kortilidon Koti site staff, and the activities are viewed as time
waste. But, the five stages in the change management process completely changed their
perspective. Hence, the change management process’s five stages, which changed the
mindset of all the staff to adapt to the new culture of Six Sigma are (Mindtools.com, 2019):
1) DEFINE- Build awareness of change.
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For any change management methodology, awareness is a highly
significant stage. The organizations can face challenges due to a lack of
awareness of the following questions:
1) Why the change is being made?
2) What is the reason behind this?
As, without delivering clearly communicated information, it is difficult for
an employee to be on the right track of the company, as expected by its
owners. Thus, internal communication plays a vital role in this phase.
Instead of just sending emails, having a meeting, or posting the
announcement in the intranet of the company, can often involve frequent,
detailed, timely and relevant communications which address the following
(Bluewolf, 2019):
1) What is changing?
2) Why change is being made?
3) What are the rewards and risks of not changing on an individual
level?
2) MEASURE/ANALYSE- Create Desire to Change amongst those affected
It is always essential to have a desire and ability to change. Because it helps
the organization to succeed. The leaders take the initiative in this stage,
where the following questions are questioned and answered:
a) What is going to be done?
b) What to communicate?
c) What decisions to make independently?
d) How will our staff be benefited?
e) What measuring tools fit well?
3) IMPROVE- Train Knowledge for Change and Ensure Ability
The change management can be referred to as a structured method, which
ensures that the changes are implemented smoothly. On the other hand,
the long-lasting benefits of change can be accomplished.
This also requires adapting to the changes, by making sure that they have
the right information, training and necessary support.
4) CONTROL- Reinforcement of the Change
It is also essential to support or reinforce the change, for instance in this
case study, at Kortilidon Koti the continuous statistical process control by
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using the control charts implementation at all the plants and driven by the
operators. It strives for robust processes in target agreements among
middle management.
Question 4
Leadership Role in Six Sigma Implementation
The whole accomplishment of a Six Sigma project lies in the help and enthusiasm of
the Top management. Because the top Management is responsible to drive the Six Sigma
culture in the company. For instance Kortilidon Koti site. Bottom line advantages of Six
Sigma Projects focuses on improving the income of an association and supports these
advantages over a large period of time. Always, the top Management certainly needs to take
interest as their ignorance might result in a financial loss for the company
(Whatissixsigma.net, 2019).
Assessment of Five Factors
This section presents a detailed assessment of five factors which led to the successful
implementation of Six Sigma. The detailed assessment includes the following, but not limited
to the following:
a. Adapt Six Sigma as a management strategy.
b. Invest in Six Sigma training and resources.
c. Include Six Sigma cost serving in management goals.
d. Communicate the importance of Six Sigma to the employees. Use various
strategies to communicate with the staff, for instance, staff meetings, posting
announcements in the intranet and so on.
e. Drive the Six Sigma projects.
f. Recognize and support the participation of employees.
g. Review and supporting the staff.
All the following five factors led to the excellent leadership to help Kortilidon Koti
Company mature with a quality program:
1) Implementing or investing in Six Sigma in Kortilidon Koti Company for the quality
programme.
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A plan was developed to implement Six Sigma at the Kortilidon Koti site, where the
operation was organized and executed with a Six Sigma training, to establish
coordination among the system’s activities and teams (i.e., project teams and
management level).
2) Communicating the importance of Six Sigma to the employees.
In this case study, the launch was supported by an information campaign to all the 800
employees of Kortilidon Koti site. In totally forty individual events, each employee
was allotted a training session that lasted for one-and-a-half-hour. This section
contained a film presentation, introduction on Six Sigma and a simulation game. In
the site’s newsletter, the communication department covered this event.
3) Recognizing and supporting the participation of employees.
In this case study, the site’s support functions are- Purchasing department, Human
resource department, and quality department. Additionally, even the information and
technical support were provided for Six Sigma projects.
4) Reviewing and supporting the staff.
5) The leaders drive the Six Sigma projects with utmost care.
In a report, each running Six Sigma project’s status is provided, which gives a
prospective view of the future projects and gives information to the other Six Sigma
activities on site like training can be retrieved, evaluated and managed.
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Reference
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