The Application and Critical-Success-Factors (CSFs) of Implementing Six Sigma in Manufacturing Industry Malaysia

Teoh, Kok Hong (2011) The Application and Critical-Success-Factors (CSFs) of Implementing Six Sigma in Manufacturing Industry Malaysia. Final Year Project (Other), Tunku Abdul Rahman University College.

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Abstract

The purpose of this research was to investigate the application and the Critical- Success-Factors (CSFs) of Six Sigma program in the manufacturing industry in Malaysia. A comparative study was also performed to evaluate companies in other countries. To achieve this research objective, a survey-based approach was adopted by designing a set of questionnaire addressing the level of use, implementation and CSFs of implementing Six Sigma with particularly focus on the Electric and Electronic (E&E) sector. From this research, author has revealed the general practice of Six Sigma in Malaysia industry. The companies that implementing Six Sigma in Malaysia can be divided into two group: one group are companies that have fully implemented Six Sigma with established program team and the other group are companies that merely applying the methodology of Six Sigma in their improvement programs. The companies that have implemented Six Sigma are mainly from the well-established, Multi-National Corporation (MNC) and they are ISO certified.. The implementation of Six Sigma in Malaysia is at the beginning stage and the trend of use of Six Sigma are similar to others countries such as in UK, India or Thailand. The Six Sigma team members are the managers or engineers who are well trained in the Six Sigma concept, the Six Sigma tools and techniques and the DMAIC process. Therefore, they are equipped with sufficient knowledge to apply Six Sigma in their companies. The top management is the elected champion and they has contributed in ways of allocating the right resources for the effectively and efficiently implement of Six Sigma. The top two metrics for project selection are the cost of poor quality and customer satisfactions. To identify the reasons for the lacking use of Six Sigma in Malaysia, it was concluded that the main reason was that it was not relevant and required by their customers and markets they served companies were also faced with the lacking of resources which include time and money. The same reason was also highlighted in the literature reviewed for SMEs in UK. In reviewing of the limitation and constrains of the survey and the analysis of the survey results, author has suggested some future work scope. One of them is carrry out an extensive survey to all the manufacturing sectors of industry in Malaysia so that more robust conclusions can be drawn. In addition, to investigate further into the problems or issues encountered by companies during the implementation of Six Sigma, so the guidelines or procedures of implementing Six Sigma can be developed. Some recommendations as how to increase the awareness within the industry on the use and benefits of Six-Sigma program are also recommended.