Premium
The Economic Design of Cusum Charts for Controlling Normal Means
Author(s) -
Chiu W. K.
Publication year - 1974
Publication title -
journal of the royal statistical society: series c (applied statistics)
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.205
H-Index - 72
eISSN - 1467-9876
pISSN - 0035-9254
DOI - 10.2307/2347134
Subject(s) - cusum , statistics , econometrics , computer science , mathematics
Summary This paper proposes a production model for quality surveillance, which is based on a cusum chart using the decision interval criterion. An algorithm for determining the economically optimum control parameters is presented. Some criticisms of the conventional ad hoc design of a cusum chart are made, and it is suggested that the average run lengths (ARL) at the rejectable quality level should be less than 2 when this model is applicable. A simplified version of the algorithm is also devised which gives control plans which are close to optimum. This scheme is suitable for application at the factory level. Also included is a table of ARL for some neglected, but useful, values of the decision interval and the process deviate.