Abstract

The purpose of this empirical research is to investigate the influence of implementation Six Sigma project in commodity management unit in Khorasan steel plant in year 2011 to explore the main reasons of the defects in determining the purchase orders amount and inventory control to generate the improvement in the processes and also the profitability through decreasing the defects in the purchase orders amount and inventory control. The researchers regarding the requirement of an assessment in commodity management unit after establishing management information system, decided to scrutinize the unit and tried for implementing Six Sigma quality improvement project and applying five stages of Six Sigma (DMAIC) and its techniques such as Project Prism, SIPOC Chart, Failure Mode and Effect Analysis (FMEA), Workflow Chart, Fishbone Chart or Cause and Effect Analysis, Histogram, Process Capability ratio (CPK) and using tools like Minitab and Sigma Calculator, examining the Sigma level for finding the reasons of the defects in determining the purchase orders amount and inventory control. Finally, the critical points that have significant effects on decreasing the deviation in the process were found and solutions for improving the process and decreasing the defects for commodity management unit of khorasan steel plant were provided.

Keywords:

Defect, Defects per million opportunities, khorasan steel plant, Six Sigma,

References

Competing interests

The authors have no competing interests.

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The authors have no competing interests.