A hybrid framework based on SIPOC and Six Sigma DMAIC for improving process dimensions in supply chain networkby Pratima Mishra, Rajiv Kumar Sharma

Int J Qual & Reliability Mgmt

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Year
2014
DOI
10.1108/IJQRM-06-2012-0089
Subject
Strategy and Management / Business, Management and Accounting (all)

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International Journal of Quality & Reliability Management

A hybrid framework based on SIPOC and Six Sigma DMAIC for improving process dimensions in supply chain network

Pratima Mishra Rajiv Kumar Sharma

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To cite this document:

Pratima Mishra Rajiv Kumar Sharma , (2014),"A hybrid framework based on SIPOC and Six Sigma DMAIC for improving process dimensions in supply chain network", International Journal of Quality & Reliability

Management, Vol. 31 Iss 5 pp. 522 - 546

Permanent link to this document: http://dx.doi.org/10.1108/IJQRM-06-2012-0089

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QUALITY PAPER

A hybrid framework based on

SIPOC and Six Sigma DMAIC for improving process dimensions in supply chain network

Pratima Mishra

Department of Management and Social Sciences,

National Institute of Technology, Hamirpur, India, and

Rajiv Kumar Sharma

Mechanical Engineering Department and Department of Management and

Social Sciences, National Institute of Technology, Hamirpur, India

Abstract

Purpose – The purpose of this paper is to introduce a hybrid framework (suppliers, inputs, process, output and customersþ define, measure, analyze, improve and control (SIPOCþDMAIC)) aimed at improving supply chain management (SCM) process dimensions in a supply chain (SC) network.

Design/methodology/approach – Based upon the critical review of literature, process dimensions (average outgoing quality limit (AOQL), average outgoing quality (AOQ), process Z, defect per million opportunity) critical to SCM performance were identified. A framework consisting of three phases, i.e., design, implementation and results has been conceptualized and a case from paint industry is investigated. Implementation framework makes use of SIPOC model and Six Sigma DMAIC methodology.

The goals of the study were achieved by using Six Sigma tools such as brainstorming sessions; root cause analysis, histograms, statistical tools such as control charts and process capability analysis.

Findings – Authors made an attempt to propose a conceptual framework for improving process dimensions in a SC network. It is observed from the results that selection of appropriate strategies for improving process performance based upon experiences, and use of statistical tools by crossfunctional teams with an effective coordination, guarantees success. Metrics such as AOQL shows the maximum worst possible defective or defect rate for the AOQ. Process Z helps to know about sigma capability of the process.

Research limitations/implications – The framework so developed is tested in a single company manufacturing batches of paint. The study has important implications for the industry since it tries to integrate SCM process dimensions which would help in successful implementation of SCM practices in firm by following the DMAIC process. The framework enables the practitioners to investigate the process and demonstrate improvements using DMAIC which makes use of statistical tools.

Originality/value – Although process dimensions related to SCM are critical to organization competitiveness, research so far has tended to focus on supply chain operations and reference model, balanced scorecard, total quality management, activity-based costing, just in time, etc., but in literature hardly any description of the SIPOC-DMAIC model to improve SCM process performance is provided.

The use of statistics in DMAIC provides better insight into the process performance, and process control.

Keywords DMAIC, Statistical process control, Paint process, SCM dimensions, SIPOC, Six Sigma

Paper type Research paper 1. Introduction

In today’s highly competitive environment, supply chain (SC) performance is very vital for the survival of firms because customers judge the performance of firms based on their SC performance. Competition is no longer between firms but between entire SCs.