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Taguchi Loss Function Analysis (Appendix) Duramold specializes in manufacturing molded plastic panels to be fitted on car doors. The blueprint specification for the thickness of a high-demand model calls for 0.1875 ± 0.0025 inch. It costs $120 to manufacture and $150 to scrap a part that does not meet these specifications. The thickness measure for the unit just completed is 0.1893 inch.
Required
1. Use the Taguchi Loss Function, L(x), to determine:
a. The value of the cost coefficient, k
b. The amount of loss for the unit, L(x = 0.1893)
2. Assume that Duramold can eliminate the uneven thickness by adding a production worker, at the critical production point, for $6 per unit. Under this assumption:
a. At what tolerance should the panels be manufactured? Show calculations.
b. What should be the production specification for these panels?
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