What factors would influence selection of type i error rate

Reference no: EM131384770

Consider given Exercise under the assumption that the complication rate is 0.1% and a type I error of 0.005.If you reduced the upper control limit to half of its previous value, what type of process complication rates, on average, will this new limit be able to detect improvements?

Exercise
The number of heart surgery complications is rare. To monitor the effectiveness of such surgeries, data are recorded on the number of such procedures until a complication occurs. These complications occur independently with a constant probability of occurrence and follow a geometric distribution.

Table shows such data for a sequence of 25 complications. It is estimated from past data that the complication rate is 0.1%. Construct an appropriate control chart and comment on the process assuming a type I error rate of 0.005. What would the control limits be for a type I error rate of 0.05? What factors would influence your selection of the type I error rate?

Complication Sequence	Number of Procedures	Complication Sequence	Number of Procedures	Complication Sequence	Number of Procedures
1	654	10	1654	18	1794
2	981	11	892	19	1112
3	1508	12	750	20	652
4	436	13	1333	21	1050
5	1202	14	1404	22	1085
6	889	15	909	23	1422
7	1854	16	822	24	688
8	3068	17	1609	25	1095
9	704

Reference no: EM131384770

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