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© Production & Industrial Engineering
Mechanical Engineering Department
Statistical Process Control
Operations Management
by
R. Dan Reid & Nada R. Sanders
2nd Edition © Wiley 2005
PowerPoint Presentation by Naveen Banshiwal
Sources of Variation in Production
and Service Processes
 Common causes of variation
 Random causes that we cannot identify
 Unavoidable
 Cause slight differences in process variables like diameter,
weight, service time, temperature, etc.
 Assignable causes of variation
 Causes can be identified and eliminated
 Typical causes are poor employee training, worn tool,
machine needing repair, etc.
Measuring Variation: The
Standard Deviation
Small vs. Large
Variation
Process Capability
 A measure of the ability of a process to meet
preset design specifications:
 Determines whether the process can do what we
are asking it to do
 Design specifications (tolerances):
 Determined by design engineers to define the
acceptable range of individual product
characteristics (e.g.: physical dimensions, elapsed
time, etc.)
 Based upon customer expectations & how the
product works (not statistics!)
Relationship between Process
Variability and Specification Width
Three Sigma Capability
 Mean output +/- 3 standard deviations
falls within the design specification
 It means that 0.26% of output falls
outside the design specification and is
unacceptable.
 The result: a 3-sigma capable process
produces 2600 defects for every million
units produced
Six Sigma Capability
 Six sigma capability assumes the process is
capable of producing output where the mean
+/- 6 standard deviations fall within the
design specifications
 The result: only 3.4 defects for every million
produced
 Six sigma capability means smaller variation
and therefore higher quality
Process Control Charts
Control Charts show sample data plotted on a graph with Center
Line (CL), Upper Control Limit (UCL), and Lower Control Limit
(LCL).
Setting Control Limits
Types of Control Charts
 Control chart for variables are used to
monitor characteristics that can be measured,
e.g. length, weight, diameter, time, etc.
 Control charts for attributes are used to
monitor characteristics that have discrete
values and can be counted, e.g. % defective,
number of flaws in a shirt, number of broken
eggs in a box, etc.
Control Charts for Variables
 Mean (x-bar) charts
 Tracks the central tendency (the average
value observed) over time
 Range (R) charts:
 Tracks the spread of the distribution over
time (estimates the observed variation)
x-bar and R charts
monitor different parameters!
Constructing a X-bar Chart:
A quality control inspector at the Cocoa Fizz soft drink company has
taken three samples with four observations each of the volume
of bottles filled. If the standard deviation of the bottling operation
is .2 ounces, use the data below to develop control charts with
limits of 3 standard deviations for the 16 oz. bottling operation.
Time 1 Time 2 Time 3
Observation 1 15.8 16.1 16.0
Observation 2 16.0 16.0 15.9
Observation 3 15.8 15.8 15.9
Observation 4 15.9 15.9 15.8
Step 1:
Calculate the Mean of Each Sample
Time 1 Time 2 Time 3
Observation 1 15.8 16.1 16.0
Observation 2 16.0 16.0 15.9
Observation 3 15.8 15.8 15.9
Observation 4 15.9 15.9 15.8
Sample means
(X-bar)
15.875 15.975 15.9
Step 2: Calculate the Standard
Deviation of the Sample Mean
x
σ .2
σ .1
n 4
 
   
 
Step 3: Calculate CL, UCL, LCL
 Center line (x-double bar):
 Control limits for ±3σ limits (z = 3):
15.875 15.975 15.9
x 15.92
3
 
 
 
 
x x
x x
UCL x zσ 15.92 3 .1 16.22
LCL x zσ 15.92 3 .1 15.62
    
    
Step 4: Draw the Chart
An Alternative Method for the X-bar
Chart Using R-bar and the A2 Factor
Use this method when
sigma for the process
distribution is not
known. Use factor A2
from Table 6.1
Factor for x-Chart
A2 D3 D4
2 1.88 0.00 3.27
3 1.02 0.00 2.57
4 0.73 0.00 2.28
5 0.58 0.00 2.11
6 0.48 0.00 2.00
7 0.42 0.08 1.92
8 0.37 0.14 1.86
9 0.34 0.18 1.82
10 0.31 0.22 1.78
11 0.29 0.26 1.74
12 0.27 0.28 1.72
13 0.25 0.31 1.69
14 0.24 0.33 1.67
15 0.22 0.35 1.65
Factors for R-Chart
Sample Size
(n)
Step 1: Calculate the Range of
Each Sample and Average Range
Time 1 Time 2 Time 3
Observation 1 15.8 16.1 16.0
Observation 2 16.0 16.0 15.9
Observation 3 15.8 15.8 15.9
Observation 4 15.9 15.9 15.8
Sample ranges
(R)
0.2 0.3 0.2
0.2 0.3 0.2
R .233
3
 
 
Step 2: Calculate CL, UCL, LCL
 Center line:
 Control limits for ±3σ limits:
 
 
2x
2x
15.875 15.975 15.9
CL x 15.92
3
UCL x A R 15.92 0.73 .233 16.09
LCL x A R 15.92 0.73 .233 15.75
 
  
    
    
Control Chart for Range (R-Chart)
Center Line and Control Limit
calculations:
4
3
0.2 0.3 0.2
CL R .233
3
UCL D R 2.28(.233) .53
LCL D R 0.0(.233) 0.0
 
  
  
  
Factor for x-Chart
A2 D3 D4
2 1.88 0.00 3.27
3 1.02 0.00 2.57
4 0.73 0.00 2.28
5 0.58 0.00 2.11
6 0.48 0.00 2.00
7 0.42 0.08 1.92
8 0.37 0.14 1.86
9 0.34 0.18 1.82
10 0.31 0.22 1.78
11 0.29 0.26 1.74
12 0.27 0.28 1.72
13 0.25 0.31 1.69
14 0.24 0.33 1.67
15 0.22 0.35 1.65
Factors for R-Chart
Sample Size
(n)
R-Bar Control Chart
Control Charts for Attributes –
P-Charts & C-Charts
 Use P-Charts for quality characteristics that
are discrete and involve yes/no or good/bad
decisions
 Percent of leaking caulking tubes in a box of 48
 Percent of broken eggs in a carton
 Use C-Charts for discrete defects when there
can be more than one defect per unit
 Number of flaws or stains in a carpet sample cut from a
production run
 Number of complaints per customer at a hotel
Constructing a P-Chart:
A Production manager for a tire company has inspected the
number of defective tires in five random samples with 20
tires in each sample. The table below shows the number of
defective tires in each sample of 20 tires.
Sample Sample
Size (n)
Number
Defective
1 20 3
2 20 2
3 20 1
4 20 2
5 20 1
Step 1:
Calculate the Percent defective of Each Sample
and the Overall Percent Defective (P-Bar)
Sample Number
Defective
Sample
Size
Percent
Defective
1 3 20 .15
2 2 20 .10
3 1 20 .05
4 2 20 .10
5 1 20 .05
Total 9 100 .09
Step 2: Calculate the Standard
Deviation of P.
p
p(1-p) (.09)(.91)
σ = = =0.064
n 20
Step 3: Calculate CL, UCL, LCL
CL p .09 
 Center line (p bar):
 Control limits for ±3σ limits:
 
 
p
p
UCL p z σ .09 3(.064) .282
LCL p z σ .09 3(.064) .102 0
    
      
Step 4: Draw the Chart
Constructing a C-Chart:
The number of
weekly customer
complaints are
monitored in a
large hotel.
Develop a three
sigma control limits
For a C-Chart using
the data table On
the right.
Week Number of
Complaints
1 3
2 2
3 3
4 1
5 3
6 3
7 2
8 1
9 3
10 1
Total 22
Calculate CL, UCL, LCL
 Center line (c bar):
 Control limits for ±3σ limits:
UCL c c 2.2 3 2.2 6.65
LCL c c 2.2 3 2.2 2.25 0
z
z
    
      
#complaints 22
CL 2.2
# of samples 10
  
SQC in Services
 Service Organizations have lagged behind
manufacturers in the use of statistical quality control
 Statistical measurements are required and it is more
difficult to measure the quality of a service
 Services produce more intangible products
 Perceptions of quality are highly subjective
 A way to deal with service quality is to devise
quantifiable measurements of the service element
 Check-in time at a hotel
 Number of complaints received per month at a restaurant
 Number of telephone rings before a call is answered
 Acceptable control limits can be developed and charted
Conclusion
 In this slide we discuss about variable
type control charts.
 We study control chart and understood
application in the industry and various
department.
Thank You

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Statistical Process Control

  • 1. © Production & Industrial Engineering Mechanical Engineering Department Statistical Process Control Operations Management by R. Dan Reid & Nada R. Sanders 2nd Edition © Wiley 2005 PowerPoint Presentation by Naveen Banshiwal
  • 2. Sources of Variation in Production and Service Processes  Common causes of variation  Random causes that we cannot identify  Unavoidable  Cause slight differences in process variables like diameter, weight, service time, temperature, etc.  Assignable causes of variation  Causes can be identified and eliminated  Typical causes are poor employee training, worn tool, machine needing repair, etc.
  • 3. Measuring Variation: The Standard Deviation Small vs. Large Variation
  • 4. Process Capability  A measure of the ability of a process to meet preset design specifications:  Determines whether the process can do what we are asking it to do  Design specifications (tolerances):  Determined by design engineers to define the acceptable range of individual product characteristics (e.g.: physical dimensions, elapsed time, etc.)  Based upon customer expectations & how the product works (not statistics!)
  • 6. Three Sigma Capability  Mean output +/- 3 standard deviations falls within the design specification  It means that 0.26% of output falls outside the design specification and is unacceptable.  The result: a 3-sigma capable process produces 2600 defects for every million units produced
  • 7. Six Sigma Capability  Six sigma capability assumes the process is capable of producing output where the mean +/- 6 standard deviations fall within the design specifications  The result: only 3.4 defects for every million produced  Six sigma capability means smaller variation and therefore higher quality
  • 8. Process Control Charts Control Charts show sample data plotted on a graph with Center Line (CL), Upper Control Limit (UCL), and Lower Control Limit (LCL).
  • 10. Types of Control Charts  Control chart for variables are used to monitor characteristics that can be measured, e.g. length, weight, diameter, time, etc.  Control charts for attributes are used to monitor characteristics that have discrete values and can be counted, e.g. % defective, number of flaws in a shirt, number of broken eggs in a box, etc.
  • 11. Control Charts for Variables  Mean (x-bar) charts  Tracks the central tendency (the average value observed) over time  Range (R) charts:  Tracks the spread of the distribution over time (estimates the observed variation)
  • 12. x-bar and R charts monitor different parameters!
  • 13. Constructing a X-bar Chart: A quality control inspector at the Cocoa Fizz soft drink company has taken three samples with four observations each of the volume of bottles filled. If the standard deviation of the bottling operation is .2 ounces, use the data below to develop control charts with limits of 3 standard deviations for the 16 oz. bottling operation. Time 1 Time 2 Time 3 Observation 1 15.8 16.1 16.0 Observation 2 16.0 16.0 15.9 Observation 3 15.8 15.8 15.9 Observation 4 15.9 15.9 15.8
  • 14. Step 1: Calculate the Mean of Each Sample Time 1 Time 2 Time 3 Observation 1 15.8 16.1 16.0 Observation 2 16.0 16.0 15.9 Observation 3 15.8 15.8 15.9 Observation 4 15.9 15.9 15.8 Sample means (X-bar) 15.875 15.975 15.9
  • 15. Step 2: Calculate the Standard Deviation of the Sample Mean x σ .2 σ .1 n 4        
  • 16. Step 3: Calculate CL, UCL, LCL  Center line (x-double bar):  Control limits for ±3σ limits (z = 3): 15.875 15.975 15.9 x 15.92 3         x x x x UCL x zσ 15.92 3 .1 16.22 LCL x zσ 15.92 3 .1 15.62          
  • 17. Step 4: Draw the Chart
  • 18. An Alternative Method for the X-bar Chart Using R-bar and the A2 Factor Use this method when sigma for the process distribution is not known. Use factor A2 from Table 6.1 Factor for x-Chart A2 D3 D4 2 1.88 0.00 3.27 3 1.02 0.00 2.57 4 0.73 0.00 2.28 5 0.58 0.00 2.11 6 0.48 0.00 2.00 7 0.42 0.08 1.92 8 0.37 0.14 1.86 9 0.34 0.18 1.82 10 0.31 0.22 1.78 11 0.29 0.26 1.74 12 0.27 0.28 1.72 13 0.25 0.31 1.69 14 0.24 0.33 1.67 15 0.22 0.35 1.65 Factors for R-Chart Sample Size (n)
  • 19. Step 1: Calculate the Range of Each Sample and Average Range Time 1 Time 2 Time 3 Observation 1 15.8 16.1 16.0 Observation 2 16.0 16.0 15.9 Observation 3 15.8 15.8 15.9 Observation 4 15.9 15.9 15.8 Sample ranges (R) 0.2 0.3 0.2 0.2 0.3 0.2 R .233 3    
  • 20. Step 2: Calculate CL, UCL, LCL  Center line:  Control limits for ±3σ limits:     2x 2x 15.875 15.975 15.9 CL x 15.92 3 UCL x A R 15.92 0.73 .233 16.09 LCL x A R 15.92 0.73 .233 15.75               
  • 21. Control Chart for Range (R-Chart) Center Line and Control Limit calculations: 4 3 0.2 0.3 0.2 CL R .233 3 UCL D R 2.28(.233) .53 LCL D R 0.0(.233) 0.0            Factor for x-Chart A2 D3 D4 2 1.88 0.00 3.27 3 1.02 0.00 2.57 4 0.73 0.00 2.28 5 0.58 0.00 2.11 6 0.48 0.00 2.00 7 0.42 0.08 1.92 8 0.37 0.14 1.86 9 0.34 0.18 1.82 10 0.31 0.22 1.78 11 0.29 0.26 1.74 12 0.27 0.28 1.72 13 0.25 0.31 1.69 14 0.24 0.33 1.67 15 0.22 0.35 1.65 Factors for R-Chart Sample Size (n)
  • 23. Control Charts for Attributes – P-Charts & C-Charts  Use P-Charts for quality characteristics that are discrete and involve yes/no or good/bad decisions  Percent of leaking caulking tubes in a box of 48  Percent of broken eggs in a carton  Use C-Charts for discrete defects when there can be more than one defect per unit  Number of flaws or stains in a carpet sample cut from a production run  Number of complaints per customer at a hotel
  • 24. Constructing a P-Chart: A Production manager for a tire company has inspected the number of defective tires in five random samples with 20 tires in each sample. The table below shows the number of defective tires in each sample of 20 tires. Sample Sample Size (n) Number Defective 1 20 3 2 20 2 3 20 1 4 20 2 5 20 1
  • 25. Step 1: Calculate the Percent defective of Each Sample and the Overall Percent Defective (P-Bar) Sample Number Defective Sample Size Percent Defective 1 3 20 .15 2 2 20 .10 3 1 20 .05 4 2 20 .10 5 1 20 .05 Total 9 100 .09
  • 26. Step 2: Calculate the Standard Deviation of P. p p(1-p) (.09)(.91) σ = = =0.064 n 20
  • 27. Step 3: Calculate CL, UCL, LCL CL p .09   Center line (p bar):  Control limits for ±3σ limits:     p p UCL p z σ .09 3(.064) .282 LCL p z σ .09 3(.064) .102 0            
  • 28. Step 4: Draw the Chart
  • 29. Constructing a C-Chart: The number of weekly customer complaints are monitored in a large hotel. Develop a three sigma control limits For a C-Chart using the data table On the right. Week Number of Complaints 1 3 2 2 3 3 4 1 5 3 6 3 7 2 8 1 9 3 10 1 Total 22
  • 30. Calculate CL, UCL, LCL  Center line (c bar):  Control limits for ±3σ limits: UCL c c 2.2 3 2.2 6.65 LCL c c 2.2 3 2.2 2.25 0 z z             #complaints 22 CL 2.2 # of samples 10   
  • 31. SQC in Services  Service Organizations have lagged behind manufacturers in the use of statistical quality control  Statistical measurements are required and it is more difficult to measure the quality of a service  Services produce more intangible products  Perceptions of quality are highly subjective  A way to deal with service quality is to devise quantifiable measurements of the service element  Check-in time at a hotel  Number of complaints received per month at a restaurant  Number of telephone rings before a call is answered  Acceptable control limits can be developed and charted
  • 32. Conclusion  In this slide we discuss about variable type control charts.  We study control chart and understood application in the industry and various department.