Premium
Control charts: a cost‐optimization approach for processes with random shifts
Author(s) -
Zempléni András,
Véber Miklós,
Duarte Belmiro,
Saraiva Pedro
Publication year - 2004
Publication title -
applied stochastic models in business and industry
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.413
H-Index - 40
eISSN - 1526-4025
pISSN - 1524-1904
DOI - 10.1002/asmb.521
Subject(s) - control chart , computer science , sampling (signal processing) , control (management) , statistical process control , statistics , process (computing) , econometrics , operations research , mathematics , artificial intelligence , filter (signal processing) , computer vision , operating system
In this paper we describe an approach for establishing control limits and sampling times which derives from economic performance criteria and a model for random shifts. The total cost related to both production and control is calculated, based on cost estimates for false alarms, for not identifying a true out of control situation, and for obtaining a data record through sampling. We describe the complete process for applying the method and compare with conventional procedures to real data from a Portuguese pulp and paper industrial plant. It turns out that substantial cost‐reductions may be obtained. Copyright © 2004 John Wiley & Sons, Ltd.