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

What kind of financial ratio might provide insight, Mary Ann has always lov...

Mary Ann has always loved to cook and is interested in starting a catering business. Being aware of the failure rate of new businesses, she is considering buying an existing cateri

Explain appropriate technique to develop a forecast, Air travel on Mountain...

Air travel on Mountain Airlines for the past 18 weeks was: Week Passengers Week Passengers 1 406 10 440 2 410 11 446 3 420 12 451 4 415 13 455 5 412 14 464 6 420 15 466 7 424 16 47

Explain the factors affecting motivation, Explain the factors affecting mot...

Explain the factors affecting motivation . Factors influencing motivation: Achievement-Personal satisfaction in problem solving and job completion. Advancement-Promot

What is utility of optimised production technology, Q. What is utility of o...

Q. What is utility of optimised production technology to manufacturing operations? Optimised production technology (OPT) optimises the employ of ‘bottleneck resources' (restric

Which factors influence the choice of evaluation design, What factors influ...

What factors influence the choice of evaluation design? Which of these factors would have the greatest influence on your choice of an evaluation design? Which would have the smalle

Pblum, b. A paper mill produces two grades of paper viz., X and Y. Because ...

b. A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y pa

Explain business systems analysis, Subject: Business Systems Analysis. Assi...

Subject: Business Systems Analysis. Assignment 4 Using the book 'Essentials of System Analysis and Design, 4th Edition Read the Hoosier Burger scenario on page 199 in Chapter 6 of

Examine any new products in this marketplace, Assess how technology and the...

Assess how technology and the changing demands of customers have impacted the movie rental business. Suggest a strategy for Netflix's to prevent a new entrant into the marketplace

Explain what monthly penalty is the company incurring, A food processor use...

A food processor uses approximately 29,730 glass jars a month for its fruit juice product. Because of storage limitations, a lot size of 4,000 jars has been used. Monthly holding c

Ethical for organizational managers to try to get access, Do you belive it ...

Do you belive it is ethical for organizational managers to try to get access and scrutinize the Facebook pages of employees or job applicants?

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