Statistics for Managers Using Microsoft Excel, 4e 2004 Prentice-Hall, Inc. Chap !-Statistical Quality ControlChapter 17Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!2Chapter %oalsAfter completing this chapter, you should be able to: &escri'e the concepts of (otal Quality Manage)ent an* Six Sig)a+ Manage)ent Explain process ,aria'ility an* the theory of control charts Construct an* interpret p charts Construct an* interpret - an* . charts /'tain an* explain )easures of process capa'ilityStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!0Chapter /,er,ie1Quality Manage)ent an* (ools for #)pro,e)ent&e)ing2s 14 ointsSix Sig)a+ Manage)entrocess Capa'ilityhilosophy of Quality(ools for Quality #)pro,e)entControl Chartsp chart . chart- chartStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!4(otal Quality Manage)entri)ary focus is on process i)pro,e)entMost ,ariation in a process is *ue to the syste), not the in*i,i*ual(ea)1or3 is integral to 4uality )anage)entCusto)er satisfaction is a pri)ary goal/rgani5ation transfor)ation is necessary#t is i)portant to re)o,e fear"igher 4uality costs lessStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!61$ Create a constancy of purpose to1ar* i)pro,e)ent 'eco)e )ore co)petiti,e, stay in 'usiness, an* pro,i*e 7o's2$ 8*opt the ne1 philosophy9etter to i)pro,e no1 than to react to pro'le)s later0$ Stop *epen*ing on inspection to achie,e 4uality !! 'uil* in 4uality fro) the start#nspection to fin* *efects at the en* of pro*uction is too late4$ Stop a1ar*ing contracts on the 'asis of lo1 'i*s9etter to 'uil* long!run purchaser:supplier relationships&e)ing2s 14 ointsStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!;6$ #)pro,e the syste) continuously to i)pro,e 4uality an* thus constantly re*uce costs;$ #nstitute training on the 7o'$ &ri,e out fear so that e,eryone )ay 1or3 effecti,ely$?$ 9rea3 *o1n 'arriers 'et1een *epart)ents so that people can 1or3 as a tea)$(continued)&e)ing2s 14 ointsStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!710$ Eli)inate slogans an* targets for the 1or3force (hey can create a*,ersarial relationships11$ Eli)inate 4uotas an* )anage)ent 'y nu)erical goals12$ .e)o,e 'arriers to pri*e of 1or3)anship10$ #nstitute a ,igorous progra) of e*ucation an* self!i)pro,e)ent14$ Ma3e the transfor)ation e,eryone2s 7o'(continued)&e)ing2s 14 ointsStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!>(he She1hart!&e)ing CycleThe Deming Cycle(he 3ey is a continuous cycle of i)pro,e)entActPlanDoStudyStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!?Six Sig)a+ Manage)ent8 )etho* for 'rea3ing a process into a series of steps@(he goal is to re*uce *efects an* pro*uce near perfect results(he Six Sig)a+ approach allo1s for a shift of as )uch as 1$6 stan*ar* *e,iations, so is essentially a A4$6 stan*ar* *e,iation goal(he )ean of a nor)al *istri'ution A4$6 stan*ar* *e,iations inclu*es all 'ut 0$4 out of a )illionStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!10(he Six Sig)a+ &M8#C Mo*el&M8#C represents &efine !!*efine the pro'le) to 'e sol,e*B list costs, 'enefits, an* i)pact to custo)erMeasure C nee* consistent )easure)ents for each Critical!to!Quality characteristic8naly5e C fin* the root causes of *efects#)pro,e C use experi)ents to *eter)ine i)portance of each Critical!to!Quality ,aria'leControl C )aintain gains that ha,e 'een )a*eStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!11(heory of Control Charts8 process is a repeata'le series of steps lea*ing to a specific goal Control Charts are use* to )onitor ,ariation in a )easure* ,alue fro) a process #nherent ,ariation refers to process ,ariation that exists naturally$(his ,ariation can 'e re*uce* 'ut not eli)inate*Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!12(heory of Control ChartsControl charts in*icate 1hen changes in *ata are *ue to@Special or assigna'le causesDluctuations not inherent to a process.epresents pro'le)s to 'e correcte*&ata outsi*e control li)its or tren*Chance or co))on causes#nherent ran*o) ,ariationsConsist of nu)erous s)all causes of ran*o) ,aria'ility(continued)Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!10rocess Eariation(otal rocess EariationCo))on Cause EariationSpecial Cause EariationF GEariation is naturalB inherent in the 1orl* aroun* usHo t1o pro*ucts or ser,ice experiences are exactly the sa)e

rocess 8,erageControl Chart 9asicsUCI F rocess 8,erage G 0 Stan*ar* &e,iations ICI F rocess 8,erage C 0 Stan*ar* &e,iationsUCIICIG0J! 0JCo))on Cause Eariation@ range of expected ,aria'ilitySpecial Cause Eariation@ .ange of unexpected ,aria'ilityti)eStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!1?rocess 8,eragerocess Earia'ilityUCI F rocess 8,erage G 0 Stan*ar* &e,iations ICI F rocess 8,erage C 0 Stan*ar* &e,iationsUCIICI3 M ??$7N of process ,alues shoul* 'e in this rangeti)eSpecial Cause of Eariation@ 8 )easure)ent this far fro) the process a,erage is ,ery unli3ely if only expecte* ,ariation is presentStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!20Using Control ChartsControl Charts are use* to chec3 for process control"0@ (he process is in controli$e$, ,ariation is only *ue to co))on causes"1@ (he process is out of controli$e$, special cause ,ariation exists#f the process is foun* to 'e out of control, steps shoul* 'e ta3en to fin* an* eli)inate the special causes of ,ariationStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!21#n!control rocess8 process is sai* to 'e in control 1hen the control chart *oes not in*icate any out!of!control con*itionContains only co))on causes of ,ariation#f the co))on causes of ,ariation is s)all, then control chart can 'e use* to )onitor the process#f the co))on causes of ,ariation is too large, you nee* to alter the processStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!22rocess #n Controlrocess in control@ points are ran*o)ly *istri'ute* aroun* the center line an* all points are 1ithin the control li)itsUCIICIti)erocess 8,erageStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!20rocess Hot in Control/ut of control con*itions@/ne or )ore points outsi*e control li)its> or )ore points in a ro1 on one si*e of the center line> or )ore points )o,ing in the sa)e *irectionStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!24rocess Hot in Control/ne or )ore points outsi*e control li)itsUCIICIEight or )ore points in a ro1 on one si*e of the center lineUCIICIEight or )ore points )o,ing in the sa)e *irectionUCIICIrocess 8,eragerocess 8,eragerocess 8,erageStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!26/ut!of!control rocesses

p ChartUse* 1ith e4ual or une4ual sa)ple si5es Ksu'groupsL o,er ti)eUne4ual si5es shoul* not *iffer 'y )ore than A26N fro) a,erage sa)ple si5esEasier to *e,elop 1ith e4ual sa)ple si5esShoul* ha,enp Q 6an*nK1 ! pL Q 6 (continued)Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!2?Creating a p ChartCalculate su'group proportions%raph su'group proportionsCo)pute a,erage proportionCo)pute the upper an* lo1er control li)its8** centerline an* control li)its to graphStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!00p Chart Exa)pleSubgroup numberSample si!e"umber of successesSample Proportion, ps120R160160160161217R10$00>$0011$00R8,erage su'group proportionFpStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!018,erage of Su'group roportions(he a,erage of su'group proportions Fp1here@ pi F sa)ple proportion for su'group i 3 F nu)'er of su'groups of si5e n1here@-i F the nu)'er of nonconfor)ingite)s in sa)ple i ni F total nu)'er of ite)s sa)ple* in 3 sa)ples#f e4ual sa)ple si5es@ #f une4ual sa)ple si5es@3pp31 ii =====31 ii31 iin-pStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!02Co)puting Control Ii)its(he upper an* lo1er control li)its for a p chart are(he stan*ar* *e,iation for the su'group proportions isUCI F 8,erage roportion G 0 Stan*ar* &e,iations ICI F 8,erage roportion C 0 Stan*ar* &e,iationsnL p LK1 p K Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!00Co)puting Control Ii)its(he upper an* lo1er control li)its for the p chart are(continued)nL p 1 K p0 p ICInL p 1 K p0 p UCI =+ =roportions are ne,er negati,e, so if the calculate* lo1er control li)it is negati,e, set ICI F 0Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!04p Chart Exa)pleSou are the )anager of a 600!roo) hotel$Sou 1ant to achie,e the highest le,el of ser,ice$Dor se,en *ays, you collect *ata on the rea*iness of 200 roo)s$#s the process in controlTStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!06pChart Exa)ple@"otel &ataU Hot&ay U .oo)s .ea*yroportion1 200 1; 0$0>02 2007 0$0060 200 21 0$1064 200 17 0$0>66 200 26 0$126; 200 1? 0$0?67 200 1; 0$0>0Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!0;p Chart Control Ii)its Solution0>;4 $1400121200 200 2001; 7 1;n-p31 ii31 ii= =+ + ++ + += ===2007200 200 2003nn31 ii=+ + += ==02;> $200L 0>;4 $ 1 K 0>;4 $0 0>;4 $nL p 1 K p0 p ICI14;0 $200L 0>;4 $ 1 K 0>;4 $0 0>;4 $nL p 1 K p0 p UCI= = ==+ =+ =Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!07p F $0>;4p Chart Control Chart SolutionUCI F $14;0ICI F $02;>0$000$060$100$161 2 0 4 6 ; 7

&ay#n*i,i*ual points are *istri'ute* aroun* p 1ithout any pattern$ 8ny i)pro,e)ent in the process )ust co)e fro) re*uction of co))on!cause ,ariation, 1hich is the responsi'ility of)anage)ent$VVStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!0>Un*erstan*ing rocess Earia'ility@.e* 9ea* Experi)ent(he experi)ent@Dro) a 'ox 1ith 20N re* 'ea*s an* >0N 1hite 'ea*s, ha,e O1or3ersP scoop out 60 'ea*s(ell the 1or3ers their 7o' is to get 1hite 'ea*s10 re* 'ea*s out of 60 K20NL is the expecte* ,alue$Scol* 1or3ers 1ho get )ore than 10, praise 1or3ers 1ho get less than 10So)e 1or3ers 1ill get 'etter o,er ti)e, so)e 1ill get 1orseStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!0?Morals of the .e* 9ea* Experi)ent1$ Eariation is an inherent part of any process$2$ (he syste) is pri)arily responsi'le for 1or3er perfor)ance$0$ /nly )anage)ent can change the syste)$4$ So)e 1or3ers 1ill al1ays 'e a'o,e a,erage, an* so)e 1ill 'e 'elo1$UCIICIpproportionSu'group nu)'erStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!40. chart an* - chartUse* for )easure* nu)eric *ata fro) a processStart 1ith at least 20 su'groups of o'ser,e* ,aluesSu'groups usually contain 0 to ; o'ser,ations eachDor the process to 'e in control, 'oth the . chart an* the -!'ar chart )ust 'e in controlStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!41Exa)ple@ Su'groupsrocess )easure)ents@Su'group )easuresSubgroup number#ndi$idual measurements%subgroup si!e & '(Mean, - .ange, .120R161217R171;21R16?1>R111620R14$610$01?$0R;74R8,erage su'group )eanF8,erage su'group rangeF .-Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!42(he . ChartMonitors ,aria'ility in a process(he characteristic of interest is )easure* on a nu)erical scale#s a ,aria'les control chartSho1s the sa)ple range o,er ti)e.ange F *ifference 'et1een s)allest an* largest ,alues in the su'groupStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!40Din* the )ean of the su'group ranges Kthe center line of the . chartLCo)pute the upper an* lo1er control li)its for the . chartUse lines to sho1 the center an* control li)its on the . chartlot the successi,e su'group ranges as a line chartSteps to create an . chartStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!448,erage of Su'group .anges3..i =8,erage of su'group ranges@1here@.i F ith su'group range3 F nu)'er of su'groupsStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!46. Chart Control Ii)its(he upper an* lo1er control li)its for an . chart areL . K & ICIL . K & UCI04==1here@&4 an* &0are ta3en fro) the ta'leK8ppen*ix (a'le E$11L for su'group si5e F nStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!4;. Chart Exa)pleSou are the )anager of a 600!roo) hotel$Sou 1ant to analy5e the ti)e it ta3es to *eli,er luggage to the roo)$Dor 7 *ays, you collect *ata on 6 *eli,eries per *ay$#s the ,ariation in the process in controlTStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!47.Chart Exa)ple@ Su'group &ata&ay Su'group Si5eSu'group8,erageSu'group .ange12046;766666666$02;$6?4$>?6$704$077$04;$7?0$>64$270$2>2$??0$;16$044$22Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!4>. Chart Center an* Control Ii)its&4 an* &0 are fro) (a'le E$11 Kn F 6L>?4 $ 0722 $ 4 27 $ 4 >6 $ 03..i=+ + += = 0 L >?4 $ 0 LK 0 K L . K & ICI202 $ > L >?4 $ 0 LK 114 $ 2 K L . K & UCI04= = == = =Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!4?. Chart Control Chart SolutionUCI F >$202024;>1 2 0 4 6 ; 7Minutes&ayICI F 0. F 0$>?4VConclusion@ Eariation is in controlStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!60(he - ChartSho1s the )eans of successi,e su'groups o,er ti)eMonitors process a,erageMust 'e prece*e* 'y exa)ination of the . chart to )a3e sure that the ,ariation in the process is in controlStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!61Co)pute the )ean of the su'group )eans Kthe center line of the chartLCo)pute the upper an* lo1er control li)its for the chart%raph the su'group )eans8** the center line an* control li)its to the graphSteps to create an - chart --Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!628,erage of Su'group Means3--i=8,erage of su'group )eans@1here@-i F ith su'group a,erage3 F nu)'er of su'groupsStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!60Co)puting Control Ii)its(he upper an* lo1er control li)its for an - chart are generally *efine* asUseto esti)ate the stan*ar* *e,iation of the process a,erage, 1here *2is fro) appen*ix (a'le E$11UCI F rocess 8,erage G 0 Stan*ar* &e,iations ICI F rocess 8,erage C 0 Stan*ar* &e,iationsn *.2Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!64Co)puting Control Ii)its(he upper an* lo1er control li)its for an - chart are generally *efine* assoUCI F rocess 8,erage G 0 Stan*ar* &e,iations ICI F rocess 8,erage C 0 Stan*ar* &e,iationsn *.0 - ICIn *.0 - UCI22 =+ =(continued)Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!66Co)puting Control Ii)itsSi)plify the control li)it calculations 'y using1here 82 FL . K 8 - ICIL . K 8 - UCI22 =+ =(continued)n *02Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!6;- Chart Exa)pleSou are the )anager of a 600!roo) hotel$Sou 1ant to analy5e the ti)e it ta3es to *eli,er luggage to the roo)$Dor se,en *ays, you collect *ata on fi,e *eli,eries per *ay$#s the process a,erage in controlTStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!67- Chart Exa)ple@ Su'group &ata&ay Su'group Si5eSu'group8,erageSu'group .ange12046;766666666$02;$6?4$>?6$704$077$04;$7?0$>64$270$2>2$??0$;16$044$22Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!6>- Chart Control Ii)its Solution>10 $ 677? $ ; 6? $ ; 02 $ 63--i=+ + += = >?4 $ 0722 $ 4 27 $ 4 >6 $ 03..i=+ + += = 6;; $ 0 L >?4 $ 0 LK 677 $ 0 K >10 $ 6 L . K 8 - ICI0;0 $ > L >?4 $ 0 LK 677 $ 0 K >10 $ 6 L . K 8 - UCI22= = == + = + =82 is fro) (a'le E$11 Kn F 6LStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!6?- Chart Control Chart SolutionUCI F >$0;0ICI F 0$6;; 024;>1 2 0 4 6 ; 7Minutes&ay- F 6$>10VVConclusion@ rocess a,erage is in statistical controlStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!;0Control Charts in "StatUse@"Stat W control charts W p chart R"Stat W control charts W . X -9ar charts R Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!;1rocess Capa'ilityrocess capa'ility is the a'ility of a process to consistently )eet specifie* custo)er!*ri,en re4uire)entsSpecification li)its are set 'y )anage)ent in response to custo)ers2 expectations(he upper specification li)it KUSIL is the largest ,alue that can 'e o'taine* an* still confor) to custo)ers2 expectations(he lo1er specification li)it KISIL is the s)allest ,alue that is still confor)ingStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!;2Esti)ating rocess Capa'ilityMust first ha,e an in!control processEsti)ate the percentage of pro*uct or ser,ice 1ithin specification8ssu)e the population of - ,alues is approxi)ately nor)ally *istri'ute* 1ith )ean esti)ate* 'yan* stan*ar* *e,iation esti)ate* 'y-2* : .Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!;0Dor a characteristic 1ith a ISI an* a USI

rocess Capa'ility@"otel Exa)ple Solution(herefore, 1e esti)ate that ??$0>N of the luggage *eli,eries 1ill 'e )a*e 1ithin the ten )inutes or less specification$ (he process is capa'le of )eeting the ??N goal$??0> $ L 60 $ 2 Y K 02; $ 2>?4 $ 0>10 $ 6 10YL 10 - K ionsL specificat 1ithin 'e 1ill Koutco)e= < =< = < =02; $ 2 *>?4 $ 0 .>10 $ 6 - 6 n2 = = = =Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!;?Capa'ility #n*ices8 process capa'ility in*ex is an aggregate )easure of a process2s a'ility to )eet specification li)its(he larger the ,alue, the )ore capa'le a process is of )eeting re4uire)entsStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!70Cp #n*ex8 )easure of potential process perfor)ance is the Cp in*ex Cp Q 1 i)plies a process has the potential of ha,ing )ore than ??$70N of outco)es 1ithin specificationsCp Q 2 i)plies a process has the potential of )eeting the expectations set forth in six sig)a )anage)entsprea* processsprea* ion specificatL * : . K ;ISI USIC2p==Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!71CI an* CU(o )easure capa'ility in ter)s of actual process perfor)ance@ CI KCUL Q 1 i)plies that the process )ean is )ore than 0 stan*ar* *e,iation a1ay fro) the lo1er KupperL specification li)itL * : . K 0- USICUL * : . K 0ISI -CI22==Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!72CI an* CUUse* for one!si*e* specification li)itsUse CU 1hen a characteristic only has a UCIUse CI 1hen a characteristic only has an ICI(continued)Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!70Cp3 #n*ex (he )ost co))only use* capa'ility in*ex is the Cp3 in*exMeasures actual process perfor)ance for characteristics 1ith t1o!si*e* specification li)itsCp3 F )inKCI, CULCp3 F 1 in*icates that the process a,erage is 0 stan*ar* *e,iation a1ay fro) the closest specification li)it Iarger Cp3 in*icates greater capa'ility of )eeting the re4uire)ents, e$g$, Cp3 Q 2 in*icates co)pliance 1ith six sig)a )anage)entStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!74 Sou are the )anager of a 600!roo) hotel$ Sou ha,e institute* a policy that all luggage *eli,eries )ust 'e co)plete* 1ithin ten )inutes or less$ Dor se,en *ays, you collect *ata on fi,e *eli,eries per *ay$ Sou 3no1 fro) prior analysis that the process is in control$ Co)pute an appropriate capa'ility in*ex for the *eli,ery process$rocess Capa'ilityExa)pleStatistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!76rocess Capa'ility@"otel Exa)ple Solution02; $ 2 *>?4 $ 0 .>10 $ 6 - 6 n2 = = = =>00;72 $L 02; $ 2 : >?4 $ 0 K 0>10 $ 6 10L * : . K 0- USICU2===Since there is only the upper specification li)it, 1e nee* to only co)pute CU$ (he capa'ility in*ex for the luggage *eli,ery process is $>007, 1hich is less than 1$(he upper specification li)it is less than 0 stan*ar* *e,iation a'o,e the )ean$Statistics for Managers Using Microsoft Excel, 4e 2004 rentice!"all, #nc$Chap 17!7;Chapter Su))ary.e,ie1e* the philosophy of 4uality )anage)ent&e)ing2s 14 points&iscusse* Six Sig)a+ Manage)ent.e*uce *efects to no )ore than 0$4 per )illionUses &M8#C )o*el for process i)pro,e)ent&iscusse* the theory of control chartsCo))on cause ,ariation ,s$ special cause ,ariationConstructe* an* interprete* p chartsConstructe* an* interprete*- an* . charts/'taine* an* interprete* process capa'ility )easures