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    2006 Prentice Hall, Inc. S6 1

    OperationsManagement

    Supplement 6

    Statistical Process Control

    2006 Prentice Hall, Inc.

    PowerPoint presentation to accompanyHeizer/RenderPrinciples of Operations Management, 6eOperations Management, 8e

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    Variability is inherent in every process

    Natural or common causesSpecial or assignable causes

    Provides a statistical signal when

    assignable causes are present Detect and eliminate assignable

    causes of variation

    Statistical Process Control

    (SPC)

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    Natural Variations

    Natural variations in the productionprocess

    These are to be expected

    Output measures follow a probabilitydistribution

    For any distribution there is a measure

    of central tendency and dispersion

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    Assignable Variations

    Variations that can be traced to a specificreason (machine wear, misadjustedequipment, fatigued or untrained workers)

    The objective is to discover whenassignable causes are present andeliminate them

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    Samples

    To measure the process, we take samplesand analyze the sample statistics followingthese steps

    (a) Samples of theproduct, say fiveboxes of cerealtaken off the filling

    machine line, varyfrom each other inweight

    Freque

    ncy

    Weight

    #

    #

    # #

    ##

    #

    #

    #

    # # ## #

    ##

    # # ## #

    ## # ##

    Each of theserepresents onesample of five

    boxes of cereal

    Figure S6.1

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    Samples

    (b) After enoughsamples aretaken from astable process,

    they form apattern called adistribution

    The solid linerepresents the

    distribution

    Freque

    ncy

    WeightFigure S6.1

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    Samples

    (c) There are many types of distributions, includingthe normal (bell-shaped) distribution, butdistributions do differ in terms of central

    tendency (mean), standard deviation orvariance, and shape

    Weight

    Central tendency

    Weight

    Variation

    Weight

    Shape

    Frequ

    ency

    Figure S6.1

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    Samples

    (d) If only naturalcauses ofvariation arepresent, theoutput of aprocess forms adistribution that

    is stable overtime and ispredictable

    Weight

    Frequency

    Prediction

    Figure S6.1

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    Samples

    (e) If assignablecauses arepresent, theprocess output isnot stable overtime and is notpredicable

    Weight

    Freq

    uency

    Prediction

    ????

    ??

    ????

    ?????????

    Figure S6.1

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    Control Charts

    Constructed from historical data, thepurpose of control charts is to helpdistinguish between natural variationsand variations due to assignablecauses

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    Types of Data

    Characteristics thatcan take any real

    value

    May be in whole orin fractional

    numbers Continuous random

    variables

    Variables Attributes

    Defect-relatedcharacteristics

    Classify productsas either good orbad or count

    defects Categorical or

    discrete randomvariables

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    Control Charts for Variables

    For variables that have continuousdimensions

    Weight, speed, length, strength, etc.

    x-charts are to control the centraltendency of the process

    R-charts are to control the dispersion ofthe process

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    Setting Chart Limits

    For x-Charts when we know

    Upper control limit(UCL) = x + z x

    Lower control limit(LCL) = x - z x

    where x = mean of the sample means or a targetvalue set for the process

    z = number of normal standard deviationsx = standard deviation of the sample means

    = / n

    = population standard deviation

    n = sample size

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    Setting Control Limits

    Hour 1

    Sample Weight ofNumber Oat Flakes

    1 17

    2 133 16

    4 18

    5 17

    6 16

    7 15

    8 17

    9 16

    Mean 16.1

    = 1

    Hour Mean Hour Mean

    1 16.1 7 15.2

    2 16.8 8 16.4

    3 15.5 9 16.3

    4 16.5 10 14.8

    5 16.5 11 14.2

    6 16.4 12 17.3n = 9

    LCLx= x - z x=16 - 3(1/3) = 15 ozs

    For99.73% control limits, z= 3

    UCLx= x + z x= 16 + 3(1/3) = 17 ozs

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    17 = UCL

    15 = LCL

    16 = Mean

    Setting Control Limits

    Control Chartfor sample of9 boxes

    Sample number

    | | | | | | | | | | | |1 2 3 4 5 6 7 8 9 10 11 12

    Variation dueto assignable

    causes

    Variation dueto assignable

    causes

    Variation due tonatural causes

    Out ofcontrol

    Out ofcontrol

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    Setting Chart Limits

    For x-Charts when we dont know

    Lower control limit(LCL) = x - A2R

    Upper control limit(UCL) = x + A2R

    where R = average range of the samples

    A2 = control chart factor found in Table S6.1

    x = mean of the sample means

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    Control Chart Factors

    Table S6.1

    Sample Size Mean Factor Upper Range Lower Rangen A2 D4 D3

    2 1.880 3.268 0

    3 1.023 2.574 0

    4 .729 2.282 0

    5 .577 2.115 0

    6 .483 2.004 0

    7 .419 1.924 0.076

    8 .373 1.864 0.1369 .337 1.816 0.184

    10 .308 1.777 0.223

    12 .266 1.716 0.284

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    Setting Control Limits

    Process average x= 16.01 ouncesAverage range R= .25Sample size n= 5

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    Setting Control Limits

    UCLx = x + A2R= 16.01 + (.577)(.25)= 16.01 + .144= 16.154 ounces

    Process average x= 16.01 ouncesAverage range R= .25Sample size n= 5

    FromTable S6.1

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    Setting Control Limits

    UCLx = x + A2R= 16.01 + (.577)(.25)= 16.01 + .144= 16.154 ounces

    LCLx = x - A2R= 16.01 - .144= 15.866 ounces

    Process average x= 16.01 ouncesAverage range R= .25Sample size n= 5

    UCL = 16.154

    Mean = 16.01

    LCL = 15.866

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    R Chart

    Type of variables control chart

    Shows sample ranges over time

    Difference between smallest andlargest values in sample

    Monitors process variability

    Independent from process mean

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    Setting Chart Limits

    For R-Charts

    Lower control limit(LCLR) = D3R

    Upper control limit(UCLR) = D4R

    where

    R = average range of the samples

    D3 and D4 = control chart factors from Table S6.1

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    Setting Control Limits

    UCLR = D4R= (2.115)(5.3)= 11.2 pounds

    LCLR = D3R= (0)(5.3)= 0 pounds

    Average range R= 5.3 poundsSample size n= 5FromTable S6.1 D4= 2.115, D3 = 0

    UCL = 11.2

    Mean = 5.3

    LCL = 0

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    Mean and Range Charts

    (a)

    Thesesamplingdistributionsresult in the

    charts below

    (Sampling mean isshifting upward butrange is consistent)

    R-chart(R-chart does notdetect change inmean)

    UCL

    LCL

    Figure S6.5

    x-chart(x-chart detectsshift in centraltendency)

    UCL

    LCL

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    2006 Prentice Hall, Inc. S6 25

    Mean and Range Charts

    R-chart(R-chart detectsincrease indispersion)

    UCL

    LCL

    Figure S6.5

    (b)

    Thesesamplingdistributionsresult in the

    charts below

    (Sampling meanis constant butdispersion isincreasing)

    x-chart(x-chart does notdetect the increasein dispersion)

    UCL

    LCL

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    Automated Control Charts

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    Control Charts for Attributes

    For variables that are categorical

    Good/bad, yes/no,

    acceptable/unacceptable Measurement is typically counting

    defectives

    Charts may measurePercent defective (p-chart)

    Number of defects (c-chart)

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    Control Limits for p-Charts

    Population will be a binomial distribution,but applying the Central Limit Theorem

    allows us to assume a normal distribution

    for the sample statistics

    UCLp= p + z p^

    LCLp= p - z p^

    where p = mean fraction defective in the sample

    z = number of standard deviations

    p = standard deviation of the sampling distribution

    n = sample size

    ^

    p(1 - p)np

    =^

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    p-Chart for Data EntrySample Number Fraction Sample Number FractionNumber of Errors Defective Number of Errors Defective

    1 6 .06 11 6 .062 5 .05 12 1 .013 0 .00 13 8 .08

    4 1 .01 14 7 .075 4 .04 15 5 .056 2 .02 16 4 .047 5 .05 17 11 .118 3 .03 18 3 .03

    9 3 .03 19 0 .0010 2 .02 20 4 .04

    Total= 80

    (.04)(1 - .04)

    100p= = .02^

    p= = .0480

    (100)(20)

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    .11

    .10

    .09

    .08

    .07

    .06

    .05

    .04

    .03

    .02

    .01

    .00

    Sample number

    Fractiondefective

    | | | | | | | | | |

    2 4 6 8 10 12 14 16 18 20

    p-Chart for Data Entry

    UCLp= p + z p= .04 + 3(.02) = .10^

    LCLp= p - z p= .04 - 3(.02) = 0^

    UCLp= 0.10

    LCLp= 0.00

    p= 0.04

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    .11

    .10

    .09

    .08

    .07

    .06

    .05

    .04

    .03

    .02

    .01

    .00

    Sample number

    Fractiondefective

    | | | | | | | | | |

    2 4 6 8 10 12 14 16 18 20

    UCLp= p + z p= .04 + 3(.02) = .10^

    LCLp= p - z p= .04 - 3(.02) = 0^

    UCLp= 0.10

    LCLp= 0.00

    p= 0.04

    p-Chart for Data Entry

    Possibleassignable

    causes present

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    Control Limits for c-Charts

    Population will be a Poisson distribution,but applying the Central Limit Theorem

    allows us to assume a normal distribution

    for the sample statistics

    where c = mean number defective in the sample

    UCLc= c +3 c LCLc= c -3 c

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    c-Chart for Cab Company

    c= 54 complaints/9 days= 6 complaints/day

    |1

    |2

    |3

    |4

    |5

    |6

    |7

    |8

    |9

    Day

    Numberdefective14

    12

    10

    8

    6

    42

    0

    UCLc = c +3 c

    = 6 + 3 6= 13.35

    LCLc = c -3 c= 3 - 3 6= 0

    UCLc= 13.35

    LCLc= 0

    c= 6

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    Patterns in Control Charts

    Normal behavior.Process is in control.

    Upper control limit

    Target

    Lower control limit

    Figure S6.7

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    Upper control limit

    Target

    Lower control limit

    Patterns in Control Charts

    One plot out above (orbelow). Investigate forcause. Process is out

    of control.

    Figure S6.7

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    Upper control limit

    Target

    Lower control limit

    Patterns in Control Charts

    Trends in eitherdirection, 5 plots.Investigate for cause of

    progressive change.

    Figure S6.7

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    Upper control limit

    Target

    Lower control limit

    Patterns in Control Charts

    Two plots very nearlower (or upper)control. Investigate for

    cause.

    Figure S6.7

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    Upper control limit

    Target

    Lower control limit

    Patterns in Control Charts

    Run of 5 above (orbelow) central line.Investigate for cause.Figure S6.7

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    Upper control limit

    Target

    Lower control limit

    Patterns in Control Charts

    Erratic behavior.Investigate.

    Figure S6.7

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    Which Control Chart to Use

    Using an x-chart and R-chart:

    Observations are variables

    Collect20 - 25 samples of n= 4, or n=5, or more, each from a stable processand compute the mean for the x-chart

    and range for the R-chartTrack samples of n observations each

    Variables Data

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    Which Control Chart to Use

    Using the p-chart:

    Observations are attributes that canbe categorized in two states

    We deal with fraction, proportion, orpercent defectives

    Have several samples, each withmany observations

    Attribute Data

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    Which Control Chart to Use

    Using a c-Chart:

    Observations are attributes whosedefects per unit of output can becounted

    The number counted is often a smallpart of the possible occurrences

    Defects such as number of blemisheson a desk, number of typos in a pageof text, flaws in a bolt of cloth

    Attribute Data