Chapter 15

Statistical
Quality Control
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Statistical Process Control

Take periodic samples from process

Plot sample points on control chart
Determine if process
is within limits UCL

Prevent quality
problems
LCL

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 Variation
Common Causes
Variation inherent in a process
Can be eliminated only through
improvements in the system

Special Causes
Variation due to identifiable factors
Can be modified through operator or
management action

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Measuring Variation: The
Standard Deviation
Small vs. Large Variation

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 Types of Data
Attribute data
Product characteristic
evaluated with a discrete choice
Good/bad, yes/no
Variable data
Product characteristic that
can be measured
Length, size, weight, height,
time, velocity

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 SPC Applied to Services

Nature of defect is different in services

Service defect is a failure to meet
customer requirements
Monitor times, customer satisfaction

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 Service Quality Examples
Hospitals
Timeliness, responsiveness,
accuracy of lab tests
Grocery Stores
Check-out time, stocking, cleanliness
Airlines
Luggage handling, waiting times,
courtesy
Fast food restaurants
Waiting times, food quality, cleanliness,
employee courtesy
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 Service Quality Examples
Catalog-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

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 Descriptive Statistics
Descriptive Statistics include:

The Mean- measure of n

central tendency
The Range- difference
x i
between largest/smallest x i 1
observations in a set of data n
Standard Deviation

x
measures the amount of n
2
data dispersion around i X
mean
i 1
Distribution of Data shape n 1
Normal or bell shaped or
Skewed

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 Distribution of Data
Normal distributions Skewed distribution

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 Developing Control Charts

Control Charts (aka process or QC charts) show sample data plotted

on a graph with CL, UCL, and LCL
Control chart for variables are used to monitor characteristics that
can be measured, e.g. length, weight, diameter, time
Control charts for attributes are used to monitor characteristics that
have discrete values and can be counted, e.g. % defective, # of
flaws in a shirt, etc.

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 Setting Control Limits
Percentage of values Control limits balance
under normal curve risks like Type I error

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 Control Charts
Graph establishing process control
limits
Charts for variables
Mean (x-bar), Range (R)
S and Medium
Moving range
Charts for attributes
p and c
np and u

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 Control Charts

X (pronounced X bar) charts are used to
monitor averages. For example, on a
production line, if four samples are measured
we may plot the average of the four.
R (range) charts are used to monitor the range
(i.e. maximumminimum) in the same
situation as the X chart, and are used in
conjunction with it.
X also known as individuals charts, are generally
used for charting measurements such as lengths.
Their primary purpose is to monitor the average
performance of a process, but they are also the key
charts for identifying special causes of variation.
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 Control Charts for Variables
Use x-bar and R-bar
charts together
Used to monitor
different variables
X-bar & R-bar Charts
reveal different
problems
Is statistical control on
one chart, out of
control on the other
chart? OK?

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 Control Charts
MR (moving range) charts are used for monitoring
variability. X and MR charts are usually used
together.
S (standard deviation) charts are an alternative to the
R chart and are used as the sample size increases
because they provide a better estimate of the
variability of a set of data than the R chart. R charts
are commonly used because the calculations are
simpler than those for s charts.
S2 chart the sample variances are plotted in order to
control the variability of a variable.

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 Control Charts
The np charts are used to monitor
proportions of non-conforming items, for
example, the proportion of customers that
complain per month.
The p charts are used in place of np charts
when the number of units inspected varies,
for example, if the number of customers per
month varies.
The c charts are used to monitor counts,
such as number of accidents per month.

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 Control Charts
The u charts are used in place of c charts
when the opportunity for counts varies, for
example, number of incidents per million man
hours worked per month, and the number of
hours worked each month varies.

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 Process Control Chart
Upper Out of control
control
limit

Process
average

Lower
control
limit

1 2 3 4 5 6 7 8 9 10
Sample number
Figure 15.1
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A Process is In Control if
1. No sample points outside limits
2. Most points near process average
3. About equal number of points
above & below centerline
4. Points appear randomly
distributed

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 Development of Control
Chart

Based on in-control data

If non-random causes present
discard data
Correct control chart limits

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 Control Charts for Attributes
P-Charts & C-Charts
Attributes are discrete events: yes/no or pass/fail
Use P-Charts for quality characteristics that are discrete and
involve yes/no or good/bad decisions
Number of leaking caulking tubes in a box of 48
Number 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

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 p-chart
The p-chart is used when dealing with ratios,
proportions, or percentages of conforming or
nonconforming parts in a given sample.
A good example for a p-chart is the inspection
of products on a production line. They are
either conforming or nonconforming.
The probability distribution used in this
context is the binomial distribution with p
representing the nonconforming proportion
and q = (1 p) representing the proportion of
conforming items.

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 p-chart
Because the products are only inspected once,
the experiments are independent from one
another.
The first step when creating a p-chart is to
calculate the proportion of nonconformity for
each sample.

where m represents the number of nonconforming

items, b is the number of items in the sample, and p is
the proportion of nonconformity.

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 p-Chart

UCL = p + zp
LCL = p - zp
where
z = the number of standard deviations from the
process average
p = the sample proportion defective; an estimate of
the process average
p = the standard deviation of the sample proportion

p(1 - p)
p = n

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The Normal Distribution

95%
99.74%
-3 -2 -1 =0 1 2 3

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Control Chart Z Values

Smaller Z values make more

sensitive charts
Z = 3.00 is standard
Compromise between sensitivity
and errors

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 p-Chart Example
20 samples of 100 pairs of jeans
NUMBER OF PROPORTION
SAMPLE DEFECTIVES DEFECTIVE
1 6 .06
2 0 .00
3 4 .04
: : :
: : :
20 18 .18
200
Example 15.1

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 p-Chart Example
20 samples of 100 pairs of jeans
NUMBER OF PROPORTION
SAMPLE DEFECTIVES DEFECTIVE
1 6 .06
2 0 .00
total defectives
3 4 p = .04
total sample observations
: : :
: : = 200: / 20(100)
20 18 = 0.10
.18
200
Example 15.1

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 p-Chart Example
20 samples of 100 pairs of jeans
NUMBER OF PROPORTION
SAMPLE DEFECTIVES DEFECTIVE p = 0.10
1 6 .06
2 0 .00
3 4 p(1.04
- p) 0.10(1 - 0.10)
UCL = p + z = 0.10 + 3
n 100
: : :
: UCL := 0.190 :
20 18 p(1 -.18
p) 0.10(1 - 0.10)
LCL = p - z = 0.10 - 3
200 n 100
LCL = 0.010

Example 15.1
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 p-Chart
0.20

0.18 UCL = 0.190

0.16

0.14
Proportion defective

0.12
p = 0.10
0.10

0.08

0.06

0.04

0.02 LCL = 0.010

2 4 6 8 10 12 14 16 18 20
Sample number
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 P-Chart Example: 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. Calculate the control
limits.

Sample Number Number of Proportion

of Tires in Defective
Solution:
Defective each
Tires Sample
1 3 20 .15 # Defectives 9
CL p .09
2 2 20 .10 Total Inspected 100
3 1 20 .05 p(1 p ) (.09)(.91)
p 0.64
4 2 20 .10 n 20
5 2 20 .05 UCL p p z .09 3(.064) .282
Total 9 100 .09 LCL p p z .09 3(.064) .102 0

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P- Control Chart

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 c-Chart
The c-chart monitors the process variations due
to the fluctuations of defects per item or group of
items.
The c-chart is useful for the process engineer to
know not just how many items are not
conforming but how many defects there are per
item.
Knowing how many defects there are on a given
part produced on a line might in some cases be
as important as knowing how many parts are
defective.

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 c-Chart
In the c-chart, nonconformance must be
distinguished from defective items because
there can be several nonconformities on a single
defective item.
In the c-chart, the sample sizes had to be the
same
The probability for a nonconformity to be found
on an item in this case follows a Poisson
distribution. If the sample size does not change
and the defects on the items are fairly easy to
count, the c-chart becomes an effective tool to
monitor the quality of the production process.
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 c-Chart

UCL = c + zc
c = c
LCL = c - zc

where
c = number of defects per sample

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 c-Chart
The number of defects in 15 sample rooms
SAMPLE NUMBER OF DEFECTS
1 12 190
2 8 c= = 12.67
15
3 16
UCL = c + zc
: : = 12.67 + 3 12.67
: : = 23.35
15 15
LCL = c - zc
190 = 12.67 - 3 12.67
= 1.99
Example 15.2
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 c-Chart
24
UCL = 23.35
21

18
Number of defects

c = 12.67

15

12

3 LCL = 1.99

2 4 6 8 10 12 14 16
Sample number

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 C-Chart Example: The number of weekly customer
complaints are monitored in a large hotel using a
c-chart. Develop three sigma control limits using the data
table below.

Week Number of Solution:

Complaints
1 3
2 2 # complaints 22
3 3 CL 2.2
# of samples 10
4 1
5 3 UCL c c z c 2.2 3 2.2 6.65
6 3
LCL c c z c 2.2 3 2.2 2.25 0
7 2
8 1
9 3
10 1
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C- Control Chart

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 u-chart
One of the premises for a c-chart is that the
sample sizes had to be the same. The sample
sizes can vary when a u-chart is being used to
monitor the quality of the production process,
and the u-chart does not require any limit to
the number of potential defects.
Furthermore, for a p-chart or an np-chart the
number of nonconformities cannot exceed the
number of items on a sample, but for a u-chart
it is conceivable because what is being
addressed is not the number of defective items
but the number of defects on the sample.
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 u-chart
The first step in creating a u-chart is to calculate the
number of defects per unit for each sample.
ci
ui , i 1, 2,..., k
ni

where u represents the average defect per sample, c is

the total number of defects, and n is the sample size.
Once all the averages are determined, a distribution of
the means is created and the next step is to find the
mean of the distribution. The grand mean,

where k is the number of samples.

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 u-chart
The control limits are determined based on u
and the mean of the samples, n:

Example As production manager of a toy manufacturing

company, you want to monitor the number of defects
per unit of motorized toy cars. You inspect 20 units of
toys and create a U chart to examine the number of
defects in each unit of toys. You want the U chart to
feature straight control limits, so you fix a subgroup
size of 102 (the average number of toys per unit).
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 c&u -Charts

UCL = c + zc
LCL = c - zc
c = c
Where: c = number of
defects per sample

ci
ui , i 1, 2,..., k
ni

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 Open the worksheet
TOYS.MTW
Defects
Samples

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 Control Charts for
Variables

Mean chart ( x -Chart )

Uses average of a sample

Range chart ( R-Chart )

Uses amount of dispersion in
a sample

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Range ( R- ) Chart

UCL = D4R LCL = D3R

R
R= k

where
R = range of each sample
k = number of samples

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 SAMPLE SIZE FACTOR FOR x-CHART FACTORS FOR R-CHART
n
Range ( R- ) Chart
2
A2

1.88
D3 D4

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 0.44 0.18 1.82
10 0.11 0.22 1.78
11 0.99 0.26 1.74
12 0.77 0.28 1.72
13 0.55 0.31 1.69
14 0.44 0.33 1.67
15 0.22 0.35 1.65
16 0.11 0.36 1.64
17 0.00 0.38 1.62
18 0.99 0.39 1.61
19 0.99 0.40 1.61
20 0.88 0.41 1.59

Table 15.1
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 R-Chart Example
OBSERVATIONS (SLIP-RING DIAMETER, CM)
SAMPLE k 1 2 3 4 5 x R
1 5.02 5.01 4.94 4.99 4.96 4.98 0.08
2 5.01 5.03 5.07 4.95 4.96 5.00 0.12
3 4.99 5.00 4.93 4.92 4.99 4.97 0.08
4 5.03 4.91 5.01 4.98 4.89 4.96 0.14
5 4.95 4.92 5.03 5.05 5.01 4.99 0.13
6 4.97 5.06 5.06 4.96 5.03 5.01 0.10
7 5.05 5.01 5.10 4.96 4.99 5.02 0.14
8 5.09 5.10 5.00 4.99 5.08 5.05 0.11
9 5.14 5.10 4.99 5.08 5.09 5.08 0.15
10 5.01 4.98 5.08 5.07 4.99 5.03 0.10
50.09 1.15

Example 15.3
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 R-Chart Example
R 1.15 UCL = D4R = 2.11(0.115) = 0.243
R= = = 0.115
k 10 OBSERVATIONS (SLIP-RING
LCL = D DIAMETER, CM)
3R = 0(0.115) = 0
k
SAMPLE0.28 1 2 3 4 5 x R
1 5.02 5.01 4.94 4.99 4.96 4.98 0.08
0.24
2 5.01
UCL 5.03
= 0.2435.07 4.95 4.96 5.00 0.12
3 0.20 4.99 5.00 4.93 4.92 4.99 4.97 0.08
4 5.03 4.91 5.01 4.98 4.89 4.96 0.14
0.16
Range

5 4.95R =4.92
0.115 5.03 5.05 5.01 4.99 0.13
6 0.12 4.97 5.06 5.06 4.96 5.03 5.01 0.10
7 5.05 5.01 5.10 4.96 4.99 5.02 0.14
0.08
8 5.09 5.10 5.00 4.99 5.08 5.05 0.11
9 0.04 5.14 5.10 4.99
LCL = 0 5.08 5.09 5.08 0.15
10 5.01
| | 4.98| 5.08
| 5.07
| | 4.99| 5.03
| | 0.10|
0
1 2 3 4 5 6 7 8
50.09 91.1510
Sample number
Example 15.3
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x-Chart Calculations
x1 + x2 + ... xk
=
x= k

= =
UCL = x + A2R LCL = x - A2R

where
=
x = the average of the sample means

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 x-Chart Example
OBSERVATIONS (SLIP-RING DIAMETER, CM)
SAMPLE k 1 2 3 4 5 x R
1 5.02 5.01 4.94 4.99 4.96 4.98 0.08
2 5.01 5.03 5.07 4.95 4.96 5.00 0.12
3 4.99 5.00 4.93 4.92 4.99 4.97 0.08
4 5.03 4.91 5.01 4.98 4.89 4.96 0.14
5 4.95 4.92 5.03 5.05 5.01 4.99 0.13
6 4.97 5.06 5.06 4.96 5.03 5.01 0.10
7 5.05 5.01 5.10 4.96 4.99 5.02 0.14
8 5.09 5.10 5.00 4.99 5.08 5.05 0.11
9 5.14 5.10 4.99 5.08 5.09 5.08 0.15
10 5.01 4.98 5.08 5.07 4.99 5.03 0.10
50.09 1.15

Example 15.4
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 x-Chart Example
OBSERVATIONS (SLIP-RING DIAMETER, CM)
SAMPLE k 1 2 3 4 5 x R
=1 x 50.09
x= = 5.02 5.01= 5.01
4.94 4.99
cm 4.96 4.98 0.08
2 k 10
5.01 5.03 5.07 4.95 4.96 5.00 0.12
3 4.99 5.00 4.93 4.92 4.99 4.97 0.08
4 5.03 4.91 5.01 4.98 4.89 4.96 0.14
UCL5 = x= + A2R4.95
= 5.01
4.92+ (0.58)(0.115)
5.03 5.05 5.01= 5.08
4.99 0.13
6 4.97 5.06 5.06 4.96 5.03 5.01 0.10
LCL7 = x= - A2R5.05
= 5.01
5.01- (0.58)(0.115) = 4.94
5.10 4.96 4.99 5.02 0.14
8 5.09 5.10 5.00 4.99 5.08 5.05 0.11
9 5.14 5.10 4.99 5.08 5.09 5.08 0.15
10 5.01 4.98 5.08 5.07 4.99 5.03 0.10
50.09 1.15

Example 15.4
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 x-Chart Example
5.10

5.08
UCL = 5.08
OBSERVATIONS (SLIP-RING DIAMETER, CM)
5.06
SAMPLE k 1 2 3 4 5 x R
=1 x
5.04 50.09
x= = 5.02 5.01= 5.01
4.94 4.99
cm 4.96 4.98 0.08
2 k5.02 5.0110=5.03 5.07 4.95 4.96 5.00 0.12
Mean

3 4.99 x5.00
= 5.01
4.93 4.92 4.99 4.97 0.08
4 5.00 5.03 4.91 5.01 4.98 4.89 4.96 0.14
=
UCL5 = x + A R = 5.01 + (0.58)(0.115) = 5.08
4.98 2 4.95 4.92 5.03 5.05 5.01 4.99 0.13
6 4.97 5.06 5.06 4.96 5.03 5.01 0.10
LCL7 = x= -4.96
A2R5.05
= 5.01
5.01- (0.58)(0.115) = 4.94
5.10 4.96 4.99 5.02 0.14
8 5.09 LCL
5.10 5.00 4.99 5.08 5.05
= 4.94 0.11
4.94
9 5.14 5.10 4.99 5.08 5.09 5.08 0.15
10 4.92 5.01 4.98 5.08 5.07 4.99 5.03 0.10
| | | | | | | | 50.09
| |1.15
1 2 3 4 5 6 7 8 9 10
Sample number
Example 15.4
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 Control Charts for Variables
Use x-bar and R-bar
charts together
Used to monitor
different variables
X-bar & R-bar Charts
reveal different
problems
Is statistical control on
one chart, out of
control on the other
chart? OK?

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 Control Charts for Variables
Use x-bar charts to monitor the changes in
the mean of a process (central tendencies)
Use R-bar charts to monitor the dispersion or
variability of the process
System can show acceptable central
tendencies but unacceptable variability or
System can show acceptable variability but
unacceptable central tendencies

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 Constructing an 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 below data to develop control charts with
limits of 3 standard deviations for the 16 oz. bottling operation.

Center line and control limit

Time 1 Time 2 Time 3
formulas
Observation 1 15.8 16.1 16.0

Observation 2 16.0 16.0 15.9 x 1 x 2 ...x n

x , x
Observation 3 15.8 15.8 15.9 k n
where (k ) is the # of sample means and (n)
Observation 4 15.9 15.9 15.8
is the # of observatio ns w/in each sample
Sample 15.875 15.975 15.9
UCL x x z x
means (X-bar)
Sample 0.2 0.3 0.2 LCL x x z x
ranges (R)

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Solution and Control Chart (x-bar)

Center line (x-double bar):

15.875 15.975 15.9
x 15.92
3
Control limits for 3 limits:
.2
UCL x x z x 15.92 3 16.22
4
.2
LCL x x z x 15.92 3 15.62
4

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X-Bar Control Chart

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 Control Chart for Range (R)
Center Line and Control Limit Factors for three sigma control
formulas: limits
Factor for x-Chart Factors for R-Chart
Sample Size
(n) A2 D3 D4
0.2 0.3 0.2
R .233 2 1.88 0.00 3.27
3 3 1.02 0.00 2.57
4 0.73 0.00 2.28
5 0.58 0.00 2.11
UCL R D4 R 2.28(.233) .53 6 0.48 0.00 2.00
7 0.42 0.08 1.92
LCL R D3 R 0.0(.233) 0.0 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

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R-Bar Control Chart

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 Second Method for the X-bar Chart Using
R-bar and the A2 Factor

Use this method when sigma for the process

distribution is not know
Control limits solution:

0.2 0.3 0.2

R .233
3

UCL x x A 2 R 15.92 0.73.233 16.09

LCL x x A 2 R 15.92 0.73.233 15.75

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 Using x and R-Charts
Together
Each measures the process differently
Both process average and variability must
be in control

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 Example
You work at an automobile engine assembly plant. One
of the parts, a camshaft, must be 600 mm +2 mm long
to meet engineering specifications. There has been a
chronic problem with camshaft length being out of
specification, which causes poor-fitting assemblies,
resulting in high scrap and rework rates. Your
supervisor wants to run X and R charts to monitor this
characteristic, so for a month, you collect a total of 100
observations (20 samples of 5 camshafts each) from all
the camshafts used at the plant, and 100 observations
from each of your suppliers. First you will look at
camshafts produced by Supplier 2

Open the worksheet CAMSHAFT.MTW.

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 Control Chart Patterns
UCL

UCL

LCL

Sample observations
consistently below the LCL
center line
Sample observations
consistently above the
center line
Figure 15.3
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 Control Chart Patterns
UCL

UCL

LCL

Sample observations
consistently increasing LCL

Sample observations
consistently decreasing
Figure 15.3
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 Zones for Pattern Tests
UCL =
3 sigma = x + A2R
Zone A
= 2
2 sigma = x + 3 (A2R)

Zone B
= 1
1 sigma = x + 3 (A2R)
Zone C
Process =
x
average
Zone C
=
1 sigma = x - 1 (A2R)
3
Zone B
=
2 sigma = x - 2 (A2R)
3
Zone A
=
LCL 3 sigma = x - A2R
| | | | | | | | | | | | |
1 2 3 4 5 6 7 8 9 10 11 12 13
Sample number Figure 15.4
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 Control Chart Patterns
1. 8 consecutive points on one side of the
center line.
2. 8 consecutive points up or down across
Zones.
3. 14 points alternating up or down.
4. 2 out of 3 consecutive points in Zone A
but still inside the control limits.
5. 4 out of 5 consecutive points in Zone A
or B.

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Sample Size Determination

Attribute control charts

50 to 100 parts in a sample
Variable control charts
2 to 10 parts in a sample

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Process Capability

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 Process Capability
Range of natural variability in process
Measured with control charts.
Process cannot meet specifications if
natural variability exceeds tolerances
3-sigma quality
Specifications equal the process control
limits.
6-sigma quality
Specifications twice as large as control
limits

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 Process Capability
Product Specifications
Preset product or service dimensions, tolerances: bottle fill might be 16
oz. .2 oz. (15.8oz.-16.2oz.)
Based on how product is to be used or what the customer expects
Process Capability Cp and Cpk
Assessing capability involves evaluating process variability relative to
preset product or service specifications
Cp assumes that the process is centered in the specification range
specificat ion width USL LSL
Cp
process width 6
Cpk helps to address a possible lack of centering of the process
USL LSL
Cpk min ,
3 3

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 Process Capability
Design
Specifications

(a) Natural variation

exceeds design
specifications; process
is not capable of
meeting specifications
all the time.
Process
Design
Specifications

(b) Design specifications

and natural variation the
same; process is capable
of meeting specifications
most the time.

Process

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 Process Capability

Design
Specifications

(c) Design specifications

greater than natural
variation; process is
capable of always
conforming to
specifications.

Process

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 Process Capability
Design
Specifications

(d) Specifications greater

than natural variation,
but process off center;
capable but some output
will not meet upper
specification.
Process

Design
Specifications

(e) Specifications greater

than natural variation,
but process off center;
capable but some output
will not meet lower
specification.
Process
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Process Capability Measures
Process Capability Ratio
Tolerance range
Cp = Process range

Upper specification limit -

Lower specification limit
=
6c
USL LSL
Cp
6 c
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 Computing Cp
Example
Net weight specification = 9.0 oz 0.5 oz
Process mean = 8.80 oz
Process standard deviation = 0.12 oz

USL - LSL
Cp =
6c

9.5 - 8.5
= = 1.39
6(0.12)

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 Measures of Process Capability
USL - LSL
Cp =
6c
C p < 1.0 Process is not capable of meeting specs

C p = 1.0 Process is marginally capable

C p > 1.0 Process is capable of meeting specs

Problem:
We are assuming the process has a target that is
in the center of the specification range, and that
the process is in fact centered on that target

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Capability Assessment for Counting Measures
Week # Errors
1 15 Order Entry Process
2 22
3 18
4 10
5 13 35 Control Chart
6 9 30
7 27 UCL=28.0
Number 25
8 12 of Errors 20
9 24
15 Avg=16.0
10 22
11 8 10
12 8 5 LCL=4.0
13 26 0
14 16 5 10 15 20
15 20 Week
16 10
17 16 Is this process adequate as is?
18 9
19 15 Should it be improved?
20 20
Total 320
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 Computing the Cp Value at Cocoa Fizz: 3 bottling machines are
being evaluated for possible use at the Fizz plant. The machines
must be capable of meeting the design specification of 15.8-16.2
oz. with at least a process capability index of 1.0 (Cp1)

The table below shows the information Solution:

gathered from production runs on each
machine. Are they all acceptable? Machine A
USL LSL 0.4
Cp= 1.33
6 c 6(.05)
Machine c USL-LSL 6c
Machine B
A 0.05 0.4 0.3
Cp=
B 0.1 0.4 0.6
Machine C
C 0.2 0.4 1.2

Cp=

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Process Capability Measures
Process Capability Index
=
x - lower specification limit
,
3c
Cpk = minimum =
upper specification limit - x
3c

x LSL USL x

C pk min ,
3 c 3 c

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 Computing Cpk
Net weight specification = 9.0 oz 0.5 oz
Process mean = 8.80 oz
Process standard deviation = 0.12 oz
=
x - lower specification limit
,
Cpk = minimum 3c
=
upper specification limit - x
3c

8.80 - 8.50 9.50 - 8.80

= minimum , = 0.83
3(0.12) 3(0.12)

Example 15.7

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 Measures of Process Capability
Distance from process average
to closest specification limit
Cpk = = min (USL - x , x - LSL)
1 True Process Range 3c
2

Note: a negative result is possible if the process

average is outside specifications
Cpk < 1.0 Process is not capable of meeting specs
Cpk = 1.0 Process is marginally capable
Cpk > 1.0 Process is capable of meeting specs

Benefits: Optimal values are attained by running

exactly between specs.
Can (must) be used for 1-sided specifications
Warning: Capability assessments for unstable processes, may not be
indicative of how the process is actually performing.
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 Computing the Cpk Value at Cocoa Fizz
Design specifications call for a
target value of 16.0 0.2 OZ.
(USL = 16.2 & LSL = 15.8)
Observed process output has
now shifted and has a of 15.9
and a of 0.1 oz.

16.2 15.9 15.9 15.8

Cpk min ,
3(.1) 3(.1)
0.3 0.1
Cpk min ,
0.3 0.3
0.1
Cpk .33
Cpk is less than 1, revealing that 0.3
the process is not capable
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 Comments On Cp, Cpk
Cp does not change when process center (avg.)
changes
Cp = Cpk when process is centered
Cpk Cp always this situation
Cpk = 1.00 de facto standard
Cpk < 1.00 process producing rejects
Cp < 1.00 process not capable
Cpk = 0 process center is at one of spec.
limit (U or L)
Cpk < 0 i.e. ve value, average outside of
limits
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 Limits
Control limits or action limits, are estimated from the
data. They have no connection with specification
limits, which are the limits within which we would like
the process to operate.
Specification limits are a statement of what we (or the
customers) want.
Control limits are what the process is telling us we will
get. Although the terms action limits and control limits
do have a slightly different meaning, in a practical
sense they are interchangeable.

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 6 Sigma versus 3 Sigma
In 1980s, Motorola coined six- PPM Defective for 3
sigma to describe their higher versus 6 quality
quality efforts
Six-sigma quality standard is now a
benchmark in many industries
Before design, marketing
ensures customer product
characteristics
Operations ensures that product
design characteristics can be
met by controlling materials and
processes to 6 levels
Other functions like finance and
accounting use 6 concepts to
control all of their processes

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Measures of Process Performance
Specification Range = USL - LSL
Pp =
True Process Range 6s

P p < 1.0 Process Performance is not meeting specs

P p = 1.0 Process Performance is marginally meeting specs
P p > 1.0 Process Performance is meeting specs

Problem: We are assuming the process has a target that is

in the center of the specification range, and that
the process is in fact centered on that target.

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Measures of Process Performance

Distance from process average

to closest specification limit min (USL - x , x - LSL)
P pk = 1 =
True Process Range 3s
2

Note: a negative result is possible if the process average is outside specifications

Ppk < 1.0 Process Performance is not meeting specs

Ppk = 1.0 Process Performance is marginally meeting specs
Ppk > 1.0 Process Performance is meeting specs

Benefits: Optimal values are attained by running exactly

between specs.
Can (must) be used for 1-sided specifications

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 Relationship between Process
Variability and Specification Width
Three possible ranges for Cp

Cp = 1, as in Fig. (a), process

variability just meets
specifications

Cp 1, as in Fig. (b), process not

capable of producing within
specifications

Cp 1, as in Fig. (c), process

exceeds minimal specifications

One shortcoming, Cp assumes that

the process is centered on the
specification range

Cp=Cpk when process is centered

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 Exercise
1. Find Cp, Cpk 3. Find Cp, Cpk
x = 129.7 (Length of U = 56
radiator hose)
= 2.35 L = 44
Spec. 130.0 3.0 =2
What is the % When Process average = 50
defective?
When Process average = 56
2. Find Cp, Cpk
Spec. U = 58 mm & L = 42 mm
= 2 mm
When Process average = 50
When Process average = 54

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Acceptance Sampling

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 Acceptance Sampling
Defined: the third branch of SQC refers to the process
of randomly inspecting a certain number of items
from a lot or batch in order to decide whether to
accept or reject the entire batch
Different from SPC because acceptance sampling is
performed either before or after the process rather
than during
Sampling before typically is done to supplier material
Sampling after involves sampling finished items before
shipment or finished components prior to assembly
Used where inspection is expensive, volume is high,
or inspection is destructive

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 Acceptance Sampling Plans
Goal of Acceptance Sampling plans is to determine the criteria for
acceptance or rejection based on:
Size of the lot (N)
Size of the sample (n)
Number of defects above which a lot will be rejected (c)
Level of confidence we wish to attain
There are single, double, and multiple sampling plans
Which one to use is based on cost involved, time consumed, and
cost of passing on a defective item
Can be used on either variable or attribute measures, but more
commonly used for attributes

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 Operating Characteristics (OC)
Curves
OC curves are graphs which
show the probability of
accepting a lot given various
proportions of defects in the lot
X-axis shows % of items that
are defective in a lot- lot
quality
Y-axis shows the probability or
chance of accepting a lot
As proportion of defects
increases, the chance of
accepting lot decreases
Example: 90% chance of
accepting a lot with 5%
defectives; 10% chance of
accepting a lot with 24%
defectives

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 AQL, LTPD, Consumers Risk () &
Producers Risk ()
Acceptance Quality Limit (AQL) is
the small % of defects that
consumers are willing to
accept; order of 1-2%
Lot Tolerance Percent Defective
(LTPD) is the upper limit of the
percentage of defective items
consumers are willing to tolerate
Consumers Risk () is the chance
of accepting a lot that contains a
greater number of defects than the
LTPD limit; Type II error
Producers risk () is the chance a
lot containing an acceptable quality
level will be rejected; Type I error

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 Developing OC Curves
OC curves graphically depict the discriminating power of a sampling
plan
Cumulative binomial tables like partial table below are used to obtain
probabilities of accepting a lot given varying levels of lot defectives
Top of the table shows value of p (proportion of defective items in lot),
Left hand column shows values of n (sample size) and x represents the
cumulative number of defects found

Table 6-2 Partial Cumulative Binomial Probability Table (see Appendix C for complete table)
Proportion of Items Defective (p)
.05 .10 .15 .20 .25 .30 .35 .40 .45 .50
n x
5 0 .7738 .5905 .4437 .3277 .2373 .1681 .1160 .0778 .0503 .0313
Pac 1 .9974 .9185 .8352 .7373 .6328 .5282 .4284 .3370 .2562 .1875
AOQ .0499 .0919 .1253 .1475 .1582 .1585 .1499 .1348 .1153 .0938

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 Example: Constructing an OC
Curve

Lets develop an OC curve for a

sampling plan in which a sample of
5 items is drawn from lots of N=1000
items
The accept /reject criteria are set up
in such a way that we accept a lot if
no more that one defect (c=1) is
found
Using Table 6-2 and the row
corresponding to n=5 and x=1
Note that we have a 99.74% chance
of accepting a lot with 5% defects
and a 73.73% chance with 20%
defects

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 Average Outgoing Quality (AOQ)

With OC curves, the higher the quality of

the lot, the higher is the chance that it
will be accepted
Conversely, the lower the quality of the
lot, the greater is the chance that it will
be rejected
The average outgoing quality level of the
product (AOQ) can be computed as
follows: AOQ=(Pac)p
Returning to the bottom line in Table 6-2,
AOQ can be calculated for each
proportion of defects in a lot by using
the above equation
This graph is for n=5 and x=1 (same as
c=1)
AOQ is highest for lots close to 30%
defects

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Implications for Managers
How much and how often to inspect?
Consider product cost and product volume
Consider process stability
Consider lot size
Where to inspect?
Inbound materials
Finished products
Prior to costly processing
Which tools to use?
Control charts are best used for in-process production
Acceptance sampling is best used for
inbound/outbound

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 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

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Service at a bank: The Dollars Bank competes on customer service and is
concerned about service time at their drive-by windows. They recently
installed new system software which they hope will meet service
specification limits of 52 minutes and have a Capability Index (Cpk) of at
least 1.2. They want to also design a control chart for bank teller use.
They have done some sampling recently (sample size: 4
customers) and determined that the process mean has shifted
to 5.2 with a Sigma of 1.0 minutes.
USL LSL 7-3
Cp 1.33
6 1.0
6
4
5.2 3.0 7.0 5.2
Cpk min ,
3(1/2) 3(1/2)
1.8
Cpk 1.2
1.5

Control Chart limits for 3 sigma limits

1
UCL x X z x 5.0 3 5.0 1.5 6.5 minutes
4
1
LCL x X z x 5.0 3 5.0 1.5 3.5 minutes
4
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 SQC Across the Organization
SQC requires input from other organizational
functions, influences their success, and used
in designing and evaluating their tasks
Marketing provides information on current and
future quality standards
Finance responsible for placing financial values
on SQC efforts
Human resources the role of workers change with
SQC implementation. Requires workers with right
skills
Information systems makes SQC information
accessible for all.
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 Chapter 6 Highlights
SQC refers to statistical tools t hat can be sued by
quality professionals. SQC an be divided into three
categories: traditional statistical tools, acceptance
sampling, and statistical process control (SPC).
Descriptive statistics are used to describe quality
characteristics, such as the mean, range, and
variance. Acceptance sampling is the process of
randomly inspecting a sample of goods and deciding
whether to accept or reject the entire lot. Statistical
process control involves inspecting a random sample
of output from a process and deciding whether the
process in producing products with characteristics
that fall within preset specifications.

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 Chapter 6 Highlights cont
Two causes of variation in the quality of a product or process:
common causes and assignable causes. Common causes of
variation are random causes that we cannot identify. Assignable
causes of variation are those that can be identified and
eliminated.
A control chart is a graph used in SPC that shows whether a
sample of data falls within the normal range of variation. A
control chart has upper and lower control limits that separate
common from assignable causes of variation. Control charts for
variables monitor characteristics that can be measured and have
a continuum of values, such as height, weight, or volume.
Control charts fro attributes are used to monitor characteristics
that have discrete values and can be counted.

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 Chapter 6 Highlights cont
Control charts for variables include x-bar and R-
charts. X-bar charts monitor the mean or average
value of a product characteristic. R-charts monitor the
range or dispersion of the values of a product
characteristic. Control charts for attributes include p-
charts and c-charts. P-charts are used to monitor the
proportion of defects in a sample, C-charts are used to
monitor the actual number of defects in a sample.
Process capability is the ability of the production
process to meet or exceed preset specifications. It is
measured by the process capability index Cp which is
computed as the ratio of the specification width to the
width of the process variable.

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 Chapter 6 Highlights cont
The term Six Sigma indicates a level of quality in
which the number of defects is no more than 2.3 parts
per million.
The goal of acceptance sampling is to determine
criteria for the desired level of confidence. Operating
characteristic curves are graphs that show the
discriminating power of a sampling plan.
It is more difficult to measure quality in services than
in manufacturing. The key is to devise quantifiable
measurements for important service dimensions.

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 Chapter 6 Homework Hints
6.4: calculate mean and range for all 10
samples. Use Table 6-1 data to determine the
UCL and LCL for the mean and range, and
then plot both control charts (x-bar and r-bar).
6.8: use the data for preparing a p-bar chart.
Plot the 4 additional samples to determine
your conclusions.
6.11: determine the process capabilities (CPk)
of the 3 machines and decide which are
capable.

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 Control Chart Types

Type of Control Charts

Variable Control
Attribute Charts
Control Charts

7 Tools
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 Attribute Control Charts

The Most Common Types

p chart Pn chart c chart u chart

Control the Control the no. Control the no. Control the no.
fraction of units of units with of events in of events when
with some some some fixed area the opportunity
characteristic characteristic of opportunity for counts varies

Type of chart 7 Tools

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 Variable Control Charts

The Most Common Types

X-bar Medium
chart
R chart S chart
chart

Used as a
Control the Control the simple
Control the
stander alternative to
process average process range
deviation combination of
X bar & R Charts

Type of chart 7 Tools

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