Six Sigma Project Charter & Team Charter

Purpose (primary reason for this project):

To improve level of RFI (Request For Inspection) acceptance by reducing inspection
flaws and reduction in cost of quality.

Problem Statement:
In manufacturing works our customer has serious concern about RFI’s rejection percentage,
inspection and testing flaws and inspection cycle time. On weekly basis, collective rejection
percentage of RFI activities (inspection and testing) goes beyond 16% which causes delay in
delivery/completion and handover of equipment to our customer. RFI rejections affects on
cost of quality of the project which shows poor manufacturing process.

Business Case:
The successful completion of this project will help the company to minimize the cost of
quality. Improvement in process will be helpful to reduce the manufacturing activity cycle
time of our product.

Goal: (expected outcome, deliverables, and or results)

The project goal is to study 100% acceptance of RFI in our manufacturing process to
determine the ability through process improvement. Furthermore to minimize the rejection
percentage up to 3%.

Scope of Project:
The scope of the project is to cover the RFI cycle at both locations

Project site fabrication shop

Workshop facility (for the manufacturing of pressure equipments)

Measurable Metrics:
Primary metric: RFI rejection rates
Secondary Metric: (1) Quality cost of project raised
(2) Decrease in Customer satisfaction
Team Members:
Mr. Priyatham (QA Engineer) Mr.Viswanadh
Mr. saikiran (QC Engineer) Mr.Prashanth(QC Engineer)

Timeline (Define, Measure, Analyze Improve and Control):

The following gate review dates are recommended for this project.
Define/Measure August 18, 2020
Analyze/Improve August 30, 2020
Control August 13, 2020
Compilation and report submission August 23, 2020

Benefits:
Increase in inspection effectiveness, product time, cycle time and reduce in penalties
on the project.
Enhance customer satisfaction.
Quality cost reduction.
Overall improvement of RFI and manufacturing process.

Team Contribution:

 Provide regular updates and demos to stakeholders.

 Allocated resources which helped in solving problems.
 Helped to understand the current state of process and also to measure the
performance of state of project.
 They identify and eliminate the non value added activities ,Hence increase the
operational efficiency,quick data analysis.
Process Mapping:
Detailed Process Flowchart
Start

Material Receiving
Inspections

Acceptanc
e through No
RFI NCR

In / Out put from

execution team
Delay
Yes

Preparation for fit-

ups Preparation for re-
inspection

Verify as
per Dwg. No
through RFI

Yes

Non Destructive
Examination

3rd party
reports No Repair of NDE
work

Yes

3rd party
Final visual reports
inspection No

Yes

Release for
End / Finish hydrostatic test

Surface
Marking & Yes preparation Surface preparation and
Transportation identification & paining painting work
verification

No
Null Hypotheses:
Process Capability:(Before Improvement )

Pressure Vessel RFI Offered RFI Rejected

PV-1 112 10
PV-2 109 12
PV-3 110 11
PV-4 112 10
PV-5 110 10

Interpretation of the Process Capability Diagram

Process Capability PPK = z-score/3 PPK=-1.19 /3= -0.399

(Process is poor capable and improvement is required)

(Note: if PPK value is grater then 1 process is capable if PPK value is less then 1
then process is not capable.)
PARETO ANALYSIS DIAGRAM

Defects Counts
Mech. Damages 1
Wrong Marking/Cutting 2
Fit-up 5
Visual Testing (Welding) 22
RT 2
Pneumatic Testing 1
Hydro Test 0
Surface Preparation 7
Painting 4
Final Inspection 1
Lack of supervision 8
Total 53

Basic Steps for Pareto Chart:

1. Quantify the Impact of Each Defect
2. Rank in Descending
Order

NOTE:
We should have at least three types of defects. If we have too many, then we may want to
group them together.
PROCESS ANALYSIS TOOLS:
4.3 Fish Bone Diagram

It is also called ISHI KAWA diagram or Cause and Affect diagram which shows the
real situation about the problem and helps us to find out the root cause of the
problem.
IMPROVEMENTS:

CO-RELATION OF DIFFERENT FACTORS

IDENTIFIED IN CAUSE & EFFECT
DIAGRAM

During in depth study, after cause and effect diagram definition, improvement points
have been identified to reduce the rejection of RFI and sustain the improvement.

The following steps have been taken with the serious consideration:

1. Within the fabrication team, control frequency would be increased. If it is 1 to 2

times, it should increase to 3 to 4 times to minimize RFI rejections.

2. Re-alignment of resources, from payroll list has been acquired to see the proper
allocation of skilled man power. During this, it was observed that fabricators,
welders and painters have been not allocated according to t heir skill and
experience. As a result, re-alignment of resource has been managed.

3. Purposely in those areas, where the inspection flaws rate was very high. Skill
enhancement, training program has been delivered according to written
procedure.

4. Poor quality of food has been identified as a cause of rejection during fabrication
process. Good quality of food has been provided by replacement with the pre-
qualified vendor.
5.2.2. Process Capability
Pressure Vessel RFI Offered RFI Rejected
PV-1 103 3
PV-2 102 2
PV-3 102 2
PV-4 101 1
PV-5 101 1

Interpretation of the Process Capability Diagram

Process Capability PPK = z-score/3 PPK=0.81
(Process is still poor capable and more improvement is required, but improved
from the past)

(Note: if PPK value is grater then 1 process is capable if PPK value is less then 1
then process is not capable.)
CONTROL PLAN :

STATISTICAL PROCESS CONTROL

The points addressed in the improve phase will be monitored through the control charts in
the statistical process control. The abnormalities will be observed through the tendency of
the data plots for special causes and corrective action will be taken accordingly.

6.1 REJECTION CHART (SIMPLE LINE GRAPH)

Date Sample Size n Rejected RFI

Week 1 23 0
Week 2 45 0
Week 3 72 1
Week 4 78 0
Week 5 97 2
Week 6 90 0
Week 7 60 3
Week 8 30 2
Week 9 14 1

Comments:

To Conclude, Control Plan would be considered and then the rejections are improved and sustain the
improvement like;

1. Re-Alignment of resource - Taking relevant people in relevant place

2. Provided good food by changing pre-qualified sub-contractor
3. In-situ relevant training has been arranged to all group of vessel fabrication yard
4. Flawless Startup Initiative (FSI) system has been launched for in depth identification
of checkpoints for smooth & in time completion of product with maximum customer satisfaction
 Summary
Our fabrication shop situated near project site has not achieved Six Sigma quality
levels for all five pressure vessels as requested by their customers. Basically it is
required to apply Six Sigma problem solving methodology to establish an
improvement strategy that minimizes rework costs, yet achieves the desired quality
objective.

Analysis & Control

• RFI control frequency should be increased. If it is 1 to 2 times, internal checks
should increase upto 3 to 4 times to minimize RFI rejections.
• Re-alignment of resources, to see the proper allocation of skilled man power.
• Purposely in those areas, where the flaw rate was very high. Skill enhancement,
training program should be delivered.
• Food quality should be checked frequently and ensure good quality of food for the staff.

By
Boppudi Yaswanth