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Lecture Business statistics in practice (7/e): Chapter 17 - Bowerman, O'Connell, Murphree

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Chapter 17 - Process improvement using control charts. After mastering the material in this chapter, you will be able to: Discuss the principles and importance of quality improvement, distinguish between common causes and assignable causes of process variation, sample a process by using rational subgrouping.

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  1. Chapter 17 Process Improvement Using Control  Charts McGraw­Hill/Irwin Copyright © 2014 by The McGraw­Hill Companies, Inc. All rights reserved.
  2. Process Improvement Using Control Charts 17.1 Quality: Meaning and Historical  Perspective 17.2 Statistical Process Control and Causes of  Variation 17.3 Sampling a Process, Rational  Subgrouping and Control Charts 17.4  and R Charts 17­2
  3. Process Improvement Using Control Charts  Continued 17.5 Comparison of a Process with  Specifications: Capability Studies 17.6 Charts for Fraction Nonconforming 17.7 Cause and Effect, Defect Concentration  Diagrams (Optional) 17­3
  4. LO17-1: Discuss the principles and importance of quality improvement. 17.1Quality: Meaning and Historical  Perspective Quality ◦Fitness for use ◦Extent to which customer expectations are met Types of quality ◦Quality of design ◦Quality of conformance ◦Quality of performance 17­4
  5. LO17-1 History of the Quality Movement 1924 Statistical Quality Control/Control Charts,  Shewart/Bell Telephone 1920’s Statistical Acceptance Sampling, Bell  Telephone 1946 American Society for Quality Control created 1950 W. Edwards Deming introduces statistical  quality control in Japan 1951 Deming Prize established in Japan 1980’s Total Quality Management (TQM) 1988 Malcolm Baldrige National Quality Awards  established 1990’s ISO 9000, international quality standards  adopted 17­5
  6. LO17-2: Distinguish between common 17.2 Statistical Process Control and Causes  causes and assignable causes of process variation. of Process Variation Historical inspection approach ◦Inspection of output ◦Action on output  Scrap, rework, downgrade (expensive!) Statistical process control ◦Monitor and study process variation ◦Goal: Continuous process improvement ◦Preventing by quality through process  improvement 17­6
  7. LO17-2 Causes of Process Variation Common causes ◦Typical (random) variation inherent in process  design ◦Process in statistical control Assignable causes ◦Unusual process variation ◦Intermittent or permanent process changes ◦Not common to all process observations ◦Process not in statistical control 17­7
  8. LO17-3: Sample a process by using rational subgrouping. 17.3 Sampling a Process and Rational  Subgrouping and Control Charts Must decide which process variables to study ◦Best to study a quantitative variable  This means we are employing measurement data We will take a series of samples over time ◦Usually called subgroups ◦Usually of size two to six ◦Usually observed over a short period of time Want to observe often enough to detect  important process changes 17­8
  9. LO17-3 Control Charts A control chart employs a center line, upper  control limit and lower control limit The center line represents average  performance The upper and lower control limits are  established so that when in control almost all  plot points will be between the limits 17­9
  10. LO17-4: Use  and R charts to establish process control. 17.4  and R Charts  and R charts are the most commonly used  control charts for measurement data ◦ chart plots subgroup means versus time ◦R chart plots subgroup range versus time  chart monitors the process mean R chart monitors the amount of variability These two charts must be used together 17­10
  11. LO17-5: Detect the presence of assignable causes through pattern Pattern Analysis analysis. An observation beyond the control limits  indicates the presence of an assignable cause Other types of patterns also indicate the  presence of an assignable cause These patterns are more easily described in  terms of control chart zones ◦A, B, C 17­11
  12. LO17-6: Decide whether a 17.5 Comparison of a Process with  process is capable of meeting specifications. Specifications: Capability Studies  Natural tolerance limits for a normally distributed  process in statistical control will contain about  99.73 percent of the process observations and is  given by R R R x 3 x 3 , x 3 d2 d2 d2  If the natural tolerance limits are inside the process  specification limits, we say that the process is  capable of meeting specifications 17­12
  13. LO17-7: Use p charts to monitor process quality. 17.6 Charts for Fraction  Nonconforming Sometimes we inspect items and simply  decide if they conform to standards or not ◦Nonconforming: does not meet standards  Defective ◦Conforming: meets standards Use a p chart Observe subgroups of n units over time ◦Determine the number nonconforming 17­13
  14. LO17-8: Use diagrams To discern the causes of quality problems (Optional). 17.7 Cause­and­Effect Concentration  Diagrams (Optional) A cause­and­effect diagram for “why tables  are not cleared quickly in a restaurant” Also known as Ishikawa diagrams or  fishbone charts Figure 17.26 17­14
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