Operations
Operations Management
Management -- 66thth Edition
Edition
Beni Asllani
Copyright 2009 John Wiley & Sons, Inc. University of Tennessee at Chattanooga
Lecture Outline
Statistical Process
Control:
Measure & monitor quality
Conformance Quality
Basics of Statistical
Process Control
Statistical Process Control
(SPC)
monitoring production process
to detect, correct, and prevent UCL
poor quality
Sample
subset of items produced to
use for inspection LCL
Control Chart
Is the process within statistical
control limits?
1. Random variation
Also called common cause variation
This type of variation is inherent in a process.
Caused by usual variations in equipment, tooling,
employee actions, facility environment, materials,
measurement system, etc.
If random variation is excessive, the goods or
services will not meet quality standards.
To reduce random variation, we must reduce
variation in the inputs and the process
2. Non-random variation
Also called special cause variation or assignable
cause variation
Caused by equipment out of adjustment, worn
tooling, operator errors, poor training, defective
materials, measurement errors, etc.
The process is not behaving as it usually does.
The cause can and should be identified and
corrected.
process is in control
Specification Limits
The target is the ideal value
Example: if the amount of beverage in a bottle should be 16
perceptions
Reports from mystery shoppers, based on
standards
Employee or supervisor inspects cleanliness, etc.,
according to standards
Hospitals
timeliness and quickness of care, staff responses to requests,
accuracy of lab tests, cleanliness, courtesy, accuracy of
paperwork, speed of admittance and checkouts
Grocery stores
waiting time to check out, frequency of out-of-stock items,
quality of food items, cleanliness, customer complaints,
checkout register errors
Airlines
flight delays, lost luggage and luggage handling, waiting time
at ticket counters and check-in, agent and flight attendant
courtesy, accurate flight information, passenger cabin
cleanliness and maintenance
Fast-food restaurants
waiting time for service, customer complaints,
cleanliness, food quality, order accuracy, employee
courtesy
Catalogue-order companies
order accuracy, operator knowledge and courtesy,
packaging, delivery time, phone order waiting time
Insurance companies
billing accuracy, timeliness of claims processing,
agent availability and response time
Process
average
Lower
control
limit
1 2 3 4 5 6 7 8 9 10
Sample number
UCL = =
x + z x LCL = =
x - z x
= x1 + x2 + ...
x
xn
=
n
where
=
x = average of sample
means
Copyright 2009 John Wiley & Sons, Inc. 3-21
x-bar Chart Example:
Standard Deviation Known (cont.)
Given: The standard deviation is 0.08
=A R
UCL = x + LCL =
= x - A2R
2
Example 15.4
Copyright 2009 John Wiley & Sons, Inc. 3-26
x-bar Chart Example:
Standard Deviation Unknown (cont.)
R 1.15
R= = =
0.115k 10
= x 50.09
x= = = 5.01 cm
k 10
5.08
UCL = 5.08
5.06
5.04
5.02
x= = 5.01
Mean
5.00
4.98
x- bar 4.96
Chart 4.94
Example LCL = 4.94
(cont.) 4.92
| | | | | | | | | |
1 2 3 4 5 6 7 8 9 10
Sample number
R
R=
k
where
R = range of each sample
k = number of samples
Example 15.3
Copyright 2009 John Wiley & Sons, Inc. 3-31
R-Chart Example (cont.)
Example 15.3
Copyright 2009 John Wiley & Sons, Inc. 3-32
R-Chart Example (cont.)
0.28
0.24
UCL = 0.243
0.20
0.16
Range
R = 0.115
0.12
0.08
0.04
LCL = 0
0 | | | | | | | | | |
1 2 3 4 5 6 7 8 9 10
Sample number
UCL
LCL
Sample observations
consistently below the LCL
center line
Sample observations
consistently above the
center line
Copyright 2009 John Wiley & Sons, Inc. 3-35
Non-random Patterns in Control Charts
Trend
UCL
UCL
LCL
Sample observations
consistently increasing LCL
Sample observations
consistently decreasing
Tolerances
design specifications reflecting product
requirements
Process capability
range of natural variability in a process
what we measure with control charts
A capable process consistently produces
products that conform to specifications