Chapter 7 -

Statistical
Process
Control

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Common Causes

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 Common Causes

Figure 7.1
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 Common Causes
n

∑x i ∑ ( x − x) i
2

x= i =1 σ=
n n −1

Figure 7.1
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 Common Causes
n

∑x i ∑ ( x − x) i
2

x= i =1 σ=
n n −1

Figure 7.1
425 Grams
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Assignable Causes

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Assignable Causes
Average

Grams
(a) Location Figure 7.2

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Assignable Causes
Average

Grams
(a) Location Figure 7.2

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Assignable Causes
Average

Grams
(a) Location Figure 7.2

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Assignable Causes
Average

Grams
(b) Spread Figure 7.2

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Assignable Causes
Average

Grams
(b) Spread Figure 7.2

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Assignable Causes
Average

Grams
(c) Shape Figure 7.2

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Assignable Causes
Average

Grams
(c) Shape Figure 7.2

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 Effects of Assignable
Causes on Process Control

Out of control
(assignable causes present) Figure 7.3 (a)

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Effects of Assignable
Causes on Process Control

In Control
(no assignable causes) Figure 7.3 (b)

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 Sample Means and the
Process Distribution
Mean

Process
distribution

Figure 7.4
425
Grams
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 Sample Means and the
Process Distribution
Mean
Distribution of
sample means

Process
distribution

Figure 7.4
425
Grams
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The Normal
Distribution

Figure 7.5

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The Normal
Distribution
 = Standard deviation

Mean

Figure 7.5

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The Normal
Distribution
 = Standard deviation

Mean
–1+1
68.26%

Figure 7.5

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The Normal
Distribution
 = Standard deviation

Mean
–2–1+1+2
68.26%
95.44%
Figure 7.5

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The Normal
Distribution
 = Standard deviation

Mean
–3–2–1+1+2+3
68.26%
95.44%
99.74%
Figure 7.5

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Control Charts

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Control Charts
UCL

Nominal

LCL

Figure 7.6

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Control Charts
UCL

Nominal

LCL

1 2 3
Figure 7.6 Samples
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Control Charts
UCL

Nominal

LCL

1 2 3
Figure 7.6 Samples
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Control Charts
UCL

Nominal

LCL

Assignable
causes likely
1 2 3
Figure 7.6 Samples
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Using Control Charts for
Process Improvement
 Measure the process
 When changes are indicated,
find the assignable cause
 Eliminate problems, incorporate
improvements
 Repeat the cycle
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 Control Chart Examples

UCL
Variations

Nominal
LCL

Sample number

Figure 7.7 (a)

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 Control Chart Examples

UCL
Variations

Nominal
LCL

Sample number

Figure 7.7 (b)

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 Control Chart Examples

UCL
Variations

Nominal
LCL

Sample number

Figure 7.7 (c)

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 Control Chart Examples

UCL
Variations

Nominal
LCL

Sample number

Figure 7.7 (d)

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 Control Chart Examples

UCL
Variations

Nominal
LCL

Sample number

Figure 7.7 (e)

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Control Limits and Errors

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 Control Limits and Errors

UCL

Process
average

LCL

Figure 7.8 (a) Three-sigma limits

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 Control Limits and Errors
Type I error:
Probability of searching for
a cause when none exists

UCL

Process
average

LCL

Figure 7.8 (a) Three-sigma limits

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 Control Limits and Errors
Type I error: Type II error:
Probability of searching for Probability of concluding
a cause when none exists that nothing has changed

UCL

Shift in process
average Process
average

LCL

Figure 7.8 (a) Three-sigma limits

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 Control Limits and Errors

UCL

Process
average

LCL

Figure 7.8 (b) Two-sigma limits

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 Control Limits and Errors
Type I error:
Probability of searching for
a cause when none exists

UCL

Process
average

LCL

Figure 7.8 (b) Two-sigma limits

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 Control Limits and Errors
Type I error: Type II error:
Probability of searching for Probability of concluding
a cause when none exists that nothing has changed

UCL
Shift in process
average Process
average

LCL

Figure 7.8 (b) Two-sigma limits

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 Control Charts
for Variables

West Allis Industries

Example 7.1

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 Control Charts
for Variables
Special Metal Screw
Sample Sample
Number 1 2 3 4
1
2
3
4
5

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
Number 1 2 3 4
1 0.5014 0.5022 0.5009 0.5027
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5034 0.5024 0.5015
5 0.5041 0.5056 0.5034 0.5047

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5034 0.5024 0.5015
5 0.5041 0.5056 0.5034 0.5039

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5034 0.5024 0.5015
5 0.5041 0.5056 0.5034 0.5039

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5027
0.5034 – 0.5009
0.5024 0.5015 = 0.0018
5 0.5041 0.5056 0.5034 0.5039

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027 0.0018
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5027
0.5034 – 0.5009
0.5024 0.5015 = 0.0018
5 0.5041 0.5056 0.5034 0.5039

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027 0.0018 0.5018
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5027
0.5034 – 0.5009
0.5024 0.5015 = 0.0018
5 0.5041 (0.5014
0.5056 0.5034+ 0.5022
0.5039 +
0.5009 + 0.5027)/4 = 0.5018

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027 0.0018 0.5018
2 0.5021 0.5041 0.5024 0.5020
3 0.5018 0.5026 0.5035 0.5023
4 0.5008 0.5027
0.5034 – 0.5009
0.5024 0.5015 = 0.0018
5 0.5041 (0.5014
0.5056 0.5034+ 0.5022
0.5039 +
0.5009 + 0.5027)/4 = 0.5018

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027 0.0018 0.5018
2 0.5021 0.5041 0.5024 0.5020 0.0021 0.5027
3 0.5018 0.5026 0.5035 0.5023 0.0017 0.5026
4 0.5008 0.5034 0.5024 0.5015 0.0026 0.5020
5 0.5041 0.5056 0.5034 0.5047 0.0022 0.5045

Example 7.1
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 Control Charts
for Variables
Special Metal Screw
Sample Sample
_
Number 1 2 3 4 R x
1 0.5014 0.5022 0.5009 0.5027 0.0018 0.5018
2 0.5021 0.5041 0.5024 0.5020 0.0021 0.5027
3 0.5018 0.5026 0.5035 0.5023 0.0017 0.5026
4 0.5008 0.5034 0.5024 0.5015 0.0026 0.5020
5 0.5041 0.5056 0.5034 0.5047 0.0022 0.5045
R= 0.0021
=
x= 0.5027

Example 7.1
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 Control Charts
for Variables
Control Charts – Special Metal Screw
R-Charts R = 0.0021

UCLR = D4R
LCLR = D3R

Example 7.1
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 Control Charts
for
Control Chart Variables
Factors
Factor for UCL Factor for Factor
Size of and LCL for LCL for UCL for
Sample x-Charts R-Charts R-Charts
(n) (A2) (D3) (D4)
2 1.880 0 3.267
3 1.023 0 2.575
4 0.729 0 2.282
5 0.577 0 2.115
6 0.483 0 2.004
7 0.419 0.076 1.924
Example 7.1
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 Control Charts
for
Control Chart Variables
Factors
Factor for UCL Factor for Factor
Control
Size of Charts - Special
and LCL for Metal Screw UCL for
LCL for
Sample
R - Charts x-Charts R-Charts
R = 0.0020 R-Charts
D4 = 2.2080
(n) (A2) (D3) (D4)
2 1.880 0 3.267
3 1.023 0 2.575
4 0.729 0 2.282
5 0.577 0 2.115
6 0.483 0 2.004
7 0.419 0.076 1.924
Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
R-Charts R = 0.0021 D4 = 2.282
D3 = 0
UCLR = D4R
LCLR = D3R

Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
R-Charts R = 0.0021 D4 = 2.282
D3 = 0
UCLR = D4R
LCLR = D3R
UCLR = 2.282 (0.0021) = 0.00479 in.

Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
R-Charts R = 0.0021 D4 = 2.282
D3 = 0
UCLR = D4R
LCLR = D3R
UCLR = 2.282 (0.0021) = 0.00479 in.
LCLR = 0 (0.0021) = 0 in.
Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
R-Charts R = 0.0021 D4 = 2.282
D3 = 0
UCLR = D4R
LCLR = D3R
UCLR = 2.282 (0.0021) = 0.00479 in.
LCLR = 0 (0.0021) = 0 in.
Example 7.1
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 Range Chart -
Special Metal Screw

Figure 7.9
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 Control Charts
for Variables
Control Charts—Special Metal Screw
X-Charts R = 0.0021
x= = 0.5027
=
UCLx = x + A2R
=
LCLx = x - A2R

Example 7.1
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 Control Charts
for
Control Chart Variables
Factors
Factor for UCL Factor for Factor
Control
Size of Charts - Special
and LCL for Metal Screw UCL for
LCL for
Sample
x - Charts x-Charts R-Charts
R = 0.0020 R-Charts
(n) (A2) x = 0.5025 (D3) (D4)

UCL
2
x = x + A 2R
1.880 0 3.267
3 1.023 0 2.575
LCL
4 x = x - A0.729
2R 0 2.282
5 0.577 0 2.115
6 0.483 0 2.004
7 0.419 0.076 1.924
Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
x- Charts R = 0.0021 A2 = 0.729
=
x = 0.5027
=
UCLx = x + A2R
=
LCLx = x - A2R

Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
x-Charts R = 0.0021 A2 = 0.729
=
x = 0.5027
=
UCLx = x + A2R
=
LCLx = x - A2R
UCLx = 0.5027 + 0.729 (0.0021) = 0.5042 in.

Example 7.1
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 Control Charts
for Variables
Control Charts—Special Metal Screw
x-Charts R = 0.0021 A2 = 0.729
=
x = 0.5027
=
UCLx = x + A2R
=
LCLx = x - A2R
UCLx = 0.5027 + 0.729 (0.0021) = 0.5042 in.
LCLx = 0.5027 – 0.729 (0.0021) = 0.5012 in.
Example 7.1
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 x-Chart—
Special Metal Screw

Figure 7.10
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 x-Chart—
Special Metal Screw

Figure 7.10
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 x-Chart—
Special Metal Screw

 Measure the process

 Find the assignable cause
 Eliminate the problem
 Repeat the cycle
Figure 7.10
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 Control Charts
for Variables Using 
=
UCLx = x + zx
=
LCL = x – z
x x

x = /n

Example 7.2
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 Control Charts
for Variables Using 
=
UCLx = x + zx
Sunny Dale Bank
=
x = 5.0 minutes
=
LCL = x – z
x x  = 1.5 minutes
n = 6 customers
x = /n z = 1.96

Example 7.2
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 Control Charts
for Variables Using 
=
UCLx = x + zx
Sunny Dale Bank
=
x = 5.0 minutes
=
LCL = x – z
x x  = 1.5 minutes
n = 6 customers
x = /n z = 1.96

UCLx = 5.0 + 1.96(1.5)/ 6 = 6.20 min

UCLx = 5.0 – 1.96(1.5)/ 6 = 3.80 min
Example 7.2
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 Control Charts
for Attributes

Hometown Bank
HOMETOWN BANK

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 Control Charts
for Attributes
Hometown Bank

UCLp = p + zp
LCLp = p – zp

p = p(1 – p)/n
Example 7.3
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 Control Charts
Sample
Number
Wrong
Account for Attributes
Number
1 15 Hometown Bank
2 12
3 19 n = 2500
4 2
UCL = p + z
5
p
19
p
6 4 Total defectives
7 24 p = Total observations
LCL = p - z
8
p
7
p
9 10
10 17
11 15
12
p = p(1 - p3)/n
Total 147 Example 7.3
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 Control Charts
Sample
Number
Wrong
Account Number for Attributes
1 15
2 12 Hometown Bank
3 19
4 2 n = 2500
5 19
UCLp = p + zp
6 4
7 24 147
8 7 p=
LCLp = p - zp
9 10 12(2500)
10 17
11 15
12 3
p = p(1 - p)/n
Total 147
Example 7.3
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 Control Charts
Sample
Number
Wrong
Account Number for Attributes
1 15
2 12 Hometown Bank
3 19
4 2 n = 2500
5 19
UCLp = p + zp
6
7
4
24
8 7 p = 0.0049
LCLp = p - zp
9 10
10 17
11 15
12 3
p = p(1 - p)/n
Total 147
Example 7.3
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 Control Charts
Sample
Number
Wrong
for Attributes
Proportion
Account Number Defective
1 15 0.006
2 12 Hometown Bank
0.0048
3 19 0.0076
4 2 0.0008 n = 2500
5 19 0.0076
UCLp = p + zp
6
7
4
24
0.0016
0.0096
8 7 0.0028 p = 0.0049
LCLp = p - zp
9 10 0.004
10 17 0.0068
11 15 0.006
12 3 0.0012
p = p(1 - p)/n
Total 147
Example 7.3
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 Control Charts
for Attributes
Hometown Bank
n = 2500 p = 0.0049

UCLp = p + zp
LCLp = p – zp

p = p(1 – p)/n
Example 7.3
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
 Control Charts
for Attributes
Hometown Bank
n = 2500 p = 0.0049

UCLp = p + zp
LCLp = p – zp

p = 0.0049(1 – 0.0049)/2500
Example 7.3
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
 Control Charts
for Attributes
Hometown Bank
n = 2500 p = 0.0049

UCLp = p + zp
LCLp = p – zp

p = 0.0014
Example 7.3
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
 Control Charts
for Attributes
Hometown Bank
n = 2500 p = 0.0049
UCLp = 0.0049 + 3(0.0014)
LCLp = 0.0049 – 3(0.0014)

p = 0.0014
Example 7.3
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
 Control Charts
for Attributes
Hometown Bank
n = 2500 p = 0.0049
UCLp = 0.0091
LCLp = 0.0007

p = 0.0014
Example 7.3
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 p-Chart
Wrong Account Numbers

Figure 7.11
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 p-Chart
Wrong Account Numbers

Figure 7.11
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 p-Chart
Wrong Account Numbers

 Measure the process

 Find the assignable cause
 Eliminate the problem
 Repeat the cycle
Figure 7.11
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 Control Charts
for Attributes

Woodland
Paper
Company

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Woodland Control Charts
Paper
Company
for Attributes

c = 20 z=2

UCLc = c + z c

LCLc = c – z c
Example 7.4
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Woodland Control Charts
Paper
Company
for Attributes

c = 20 z=2

UCLc = 20 + 2 20

LCLc = 20 – 2 20
Example 7.4
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Woodland Control Charts
Paper
Company
for Attributes

c = 20 z=2

UCLc = 28.94

LCLc = 11.06
Example 7.4
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Woodland Control Charts
Paper
Company
for Attributes

Example 7.4
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Woodland Control Charts
Paper
Company
for Attributes

Example 7.4
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 Woodland Control Charts
Paper
Company
for Attributes
 Measure the process
 Find the assignable cause
 Incorporate the problem
 Repeat the cycle

Example 7.4
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Process Capability

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Process Capability
Nominal
value
Process distribution

Lower Upper
specification specification

800 1000 1200 Hours

(a) Process is capable
Figure 7.13
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Nominal
value
Process distribution

Lower Upper
specification specification

800 1000 1200 Hours

(b) Process is not capable
Figure 7.13
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Nominal value

Two sigma
Lower Upper
specification specification

Mean Figure 7.14

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Process Capability
Nominal value

Four sigma

Two sigma
Lower Upper
specification specification

Mean Figure 7.14

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Process Capability
Nominal value
Six sigma

Four sigma

Two sigma
Lower Upper
specification specification

Mean Figure 7.14

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Process Capability

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Process Capability
Lightbulb Production
Upper specification = 1200 hours
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Upper specification -
Lower specification
Cp =
6
Process Capability Ratio
Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

1200 – 800
Cp =
6(48)
Process Capability Ratio
Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Cp = 1.39

Process Capability Ratio

Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours Cp = 1.39
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours Cp = 1.39
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Cpk = Minimum of x= – Lower specification

3
,
Process
Capability Upper specification – =x
Index 3
Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours Cp = 1.39
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Cpk = Minimum of 900 – 800

3(48)
,
Process
Capability 1200 – 900
Index 3(48)
Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours Cp = 1.39
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Cpk = Minimum of [ 0.69, 2.08 ]

Process
Capability
Index
Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours Cp = 1.39
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Cpk = 0.69

Process
Capability
Index
Example 7.5
To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
Process Capability
Lightbulb Production
Upper specification = 1200 hours
Lower specification = 800 hours
Average life = 900 hours  = 48 hours

Cpk = 0.69 Cp = 1.39

Process Process
Capability Capability
Index Ratio
Example 7.5
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Taguchi's Quality
Loss Function

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 Taguchi's Quality
Loss Function
Loss (dollars)

Lower Nominal Upper

specification value specification
Figure 7.15

To Accompany Krajewski & Ritzman Operations Management: Strategy and Analysis, Sixth Edition © 2002 Prentice Hall, Inc. All rights reserved.
 Taguchi's Quality
Loss Function
Loss (dollars)

Lower Nominal Upper

specification value specification
Figure 7.15

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