Reference no: EM133262450

You are the training director for an insurance firm.  Your company is concerned about the wide dispersion in analysis of claims between your claim adjusters.  As a result, you recently implemented a changed in the training of your claim adjusters.  You are now interested in determining if the training program has achieved its results. You will base part of this decision on the consistency of the claims adjusters in processing claims.  You completed the new training program 10 days ago. You have collected data over the past 10 days, all since the training program was implemented.  You took a sample of 200 claims per day.  The results are as follows:

Day	1	2	3	4	5	6	7	8	9	10
Claims with errors	7	6	8	6	9	7	12	13	11	14

The interpretation of this data is as follows.  On day 1, there were 200 claims sampled and 7 of these claims had errors.  On day 5, there were again 200 claims sampled and only 7 claims had errors.  The "claims with errors" data represents the number of claims with errors - not the total number of errors. 

a) Plot the control chart using 2σ (sigma) control limits.  Determine if the results of the training program indicate that the adjusters are now more consistent in the processing of claims.  Explain your conclusions. 

Notes:

• The centerline should be based on the data from these 10 days.
• Assume there is sufficient data to perform this analysis 

b) Using this sample information, do the data indicate that the process is in control?  Why or why