The Marketing Function – Market Environment, Marketing Cycle and Components of Marketing Information System
Introduction The role of information technology and systems is to improve productivity of organization. Information systems are deployed across functional department of organization. The Marketing Function In broader terms, marketing is defined as a process through which organizations are able to deliver products and services as per the need of the customers. Organizations conduct market […]
Information System for Training and Development
Introduction A successful organization is built on satisfied and trained employees. They are the company’s greatest assets. Employee development is defined as formal education, on-the-job training, previous job experience, personality mapping, and improvement in the current skill sets as to prepare the employee for future. A trained and developed staff will contribute to productivity increase, […]
What is Learning Curve ? – Meaning and Concept
Introduction In any environment if a person is assigned to do the same task, then after a period of time, there is an improvement in his performance. If data points are collected over a period of time, the curve constructed on the graph will show a decrease in effort per unit for repetitive operations. This […]
Avoiding Three Traps that can Destroy Family Owned Businesses
Family owned businesses have been the norm from the time of the industrial revolution and in fact, they were the mainstay of the business world in the early decades of the 20th century. With the advent of technology and the services sector, the rise of the professionally managed organizations was evident. In this context, many […]
The Future of BPO (Business Process Outsourcing) in India
India has emerged as a hot destination for BPO work in recent years. The success is mainly due to the fact that there is a ready availability of large numbers of resources fluent in English and the diligent and hardworking efforts put in by the companies in India that do BPO work. Further, the fact […]
If the data type that needs to be charted is discrete, then it must fall between one of binary or count types. As the name suggests in case of binary distribution, there are only two possibilities, success and failure, defective and not defective, whereas in the case of count type distribution there may be more than two possibilities of the process, the number of defects still need to be counted. The difference between the two is subtle. However, given the fact that there are fixed rules governing when which chart needs to be used, the confusion is reduced.
Equal Subgroup Size: In this case, the Six Sigma process methodology suggests using the C Chart. The C Chart counts the number of defects that are happening per unit of unit. This could be per minute, per hour, per day or per week and so on. The important part here is that since the time period is fixed, so is the sample size. The C Chart will tell you how many observations from a given sample failed to meet the criteria specified by the control limits.
Unequal Subgroup Size: In this case, the Six Sigma process methodology recommends using the “U” chart. The U chart counts the rate of defects. This means that it keeps a track of the number of units that it has monitored and how many have failed the given criteria specified by the control limits. The U Chart will tell you, for example that 5/1253 units have failed to comply. Hence it does not require a fixed time period or a fixed sample size and may be more convenient to use.
Equal Subgroup Size: In this case, the Six Sigma process methodology recommends using the NP Chart. The NP chart also counts the number of defects per period of time just like the C Chart. There is however a subtle difference between the two. C Chart is used when the occurrence of defects is rare. However, NP chart uses the binomial distribution. Therefore, the occurrences do not have to be rare. As a thumb rule, if there is a chance more than 5% defects in a process, then the NP chart must be used.
Unequal Subgroup Size: In this case, the P chart is recommended. Once again, it is quite similar to the U chart. This chart calculates the defects as a percentage figure meaning that it takes into account the units that have gone through the process just like the U Chart. The U chart also uses the Binomial distribution and is used when the occurrences of defects is not rare.
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Step 3B: Choosing the Correct Control Chart (Continuous Data)
February 12, 2025
