Central tendency of sample means, Operation Management

Assignment Help:

Central Tendency of Sample Means

As was shown earlier (Advantages of SPC: feedback, the use of individual output measurements as the basis for process adjustment is inappropriate. How, then, should the need for adjustment (and the amount of adjustment) be determined?

We can take advantage of the behaviour of the mean values of samples, as described in the central limit theorem:

If random samples of size n are taken from any population having a mean µ and a standard deviation σ, the probability distribution of the sample means approaches a normal distribution of mean µ and standard error s = σ/√n as n becomes very large. To appreciate the significance of this, consider the pharmaceutical process example. If a large number of samples, each of nine tablets (i.e. n = 9), are weighed and the means of the samples calculated, their distribution will approximate a normal distribution of mean 505.48 mg (µ) and standard error 1.82 mg (s= σ//√n = 5.45/3) This is illustrated in this figure.

733_Central Tendency of Sample Means.png

Because the sample means cluster more closely around the population mean than the individual measurements, they provide a sensitive measure of any tendency for the process mean to drift out of control.


Related Discussions:- Central tendency of sample means

Economic order quantity, The Warehouse Company supplies spare parts for its...

The Warehouse Company supplies spare parts for its two plants, Plant A and PlantB. Plant A and Plant B do not have any significant storage space. Hence you want carryminimum possib

Define internal vs external recruiting, Compare internal vs external recrui...

Compare internal vs external recruiting. When would you want to use each option? what are some advantages and disadvantages of each?

What order quantity will minimize the total inventory cost, Question: Y...

Question: You are the Operations Manager at Alien University and one of your responsibilities is to manage the supplies of the University. One of your suppliers has given you

System complexity - boulding taxonomy, System complexity - Boulding taxonom...

System complexity - Boulding taxonomy  To obtain an insight into the nature of the system with which the operations manager is dealing, consider the economist Kenneth Boulding

Explain what is nominal damage, What is the difference between compensatory...

What is the difference between compensatory damages and consequential damages? Provide at least one relevant example of each that was not included in your textbook. What is nominal

Explain what should the pay structure look like, What should the pay struct...

What should the pay structure look like? What pay mix would you recommend? 5. How should Nathan communicate a new compensation strategy to his franchisee owners and managers? 6. Wh

Explain external failure costs, Q 1 The probability associated with rejecti...

Q 1 The probability associated with rejecting a high quality lot is denoted in acceptance sampling with the Greek letter alpha. Q 2 Quality control charts usually have a central

Explain the importance of performance appraisal, Explain the importance of ...

Explain the importance of performance appraisal. Significance of performance appraisal: This is helpful in operational decisions of personal management relating to pay rais

Evolution of manufacturing to operation managment, Ask question #Minimum 10...

Ask question #Minimum 100 wo.evolution of manufacturing to operation managmentrds accepted#

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd