Draw x-bar process control chart and calculate probability , Financial Accounting

Kevin Murtuagh, manager of an national reservation service for a nationwide chain of luxury hotels, is concerned about productivity of his operation. Analysis of recent historical data shows the call center seems to be averaging about five minutes to process a regular reservation call with a per call standard deviation of forty seconds.

Suppose that every day Kevin randomly samples 25 calls for their length in minutes and computes the average. Draw the x-bar process control chart with 3-sigma control limits. On three consecutive days Kevin observes averages of 4.72, 5.20 and 5.03 minutes respectively. Should he be concerned? Explain.
Senior management has determined that call processing time should between 4 minutes, 15 seconds and 4 minutes, 45 seconds. What is the probability that the current performance meets this standard?
Given the information from senior management in part b, what is the current process capability?
Given your answer to part c, what should Kevin Murtaugh do in order to ensure that the process is 6-sigma qualified? Explain.

Related Discussions:- Draw x-bar process control chart and calculate probability

Example of sinking fund factor, How much must you save annually in order to...

How much must you save annually in order to accumulate Rs. 20, 00,000 by the ending of 10 years, whether the saving earns an interest of 12%? Solution : A = [k/(

Courts application for grant, Courts application for grant A court may:...

Courts application for grant A court may: 1) Wherein a deceased person is proved whether by production of a will or authenticated copy of the will or by oral evidence of its

Prepare a classified balance sheet, Rehab Health Co. offers personal weight...

Rehab Health Co. offers personal weight reduction consulting services to individuals. On June 30, 2010, the balances of selected accounts of Rehab Health Co. are as follows: Acc

IRR, what managers should know about internal rate of return( IRR) and wh

what managers should know about internal rate of return( IRR) and why

International accounting, the role of international accounting toward promo...

the role of international accounting toward promotion of generally accepted accounting principle

Joint Audit, Impact of joint Audit on financial reporting quality

Impact of joint Audit on financial reporting quality

#title.profit and loss account, profit and loss account

profit and loss account

How many shares are now outstanding, 1. Jepsen Corp had the following trans...

1. Jepsen Corp had the following transactions relating to shares of stock: • Issued 1,000 shares • Purchased 100 shares • Re-issued 50 shares • Declared and distributed a 2-1 stock

Schedule of cost of goods, The following information was taken from the led...

The following information was taken from the ledger of Jefferson Industries, Inc.: Direct labor $85,000 Administrative expenses $59,0

Clarity and transparency in project, Clarity and transparency The terms...

Clarity and transparency The terms of the payment package must be clear and transparent so that directors and shareholders are in no doubt as to when rewards have been earned o

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages