Chapter 8 Statistical Process Control Mem675

MEM675
Industrial
Engineering
Chapter 8 – Statistical
Process Control
School of Mechanical Engineering,
College of Engineering, UiTM Shah Alam
*Contents are based on Heizer, Jay, and Barry Render, Operations Management, 10th Edition, Pearson Education, USA, 1
2011
LEARNING OBJECTIVES
By completing this chapter, the students should be able to:

➢ Discuss the functions of QC Tools, and QC Managements Tools
➢ Understand and apply the QC Management Tools including the
Statistical Process Control
➢ Discuss the functions of Process capability
➢ Discuss the functions of Acceptance sampling
2
Introduction of Quality Control
– Quality control – a process that evaluate output relatives
to a standard and takes corrective action if output does
not meet standard.
– Approaches to quality assurance: SPC
3
Acceptance sampling
✓Is a form of testing that involves taking random
samples of “lots,” or batches, of finished products
and measuring them against predetermined
standards.
✓Sampling is more economical than 100%
inspection.
✓The quality of the sample is used to judge the
quality of all items in the lot.
✓Acceptance sampling can be applied either when
materials arrive at a plant or at final inspection, but
it is usually used to control incoming lots of
purchased products.
4
7 QC Tools
‒ The tools aid in data collection and interpretation-
help in decision making
7 QC tools
https://asq.org/quality-resources/seven-basic-quality-tools 5
7 QC Tools
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7 QC Tools
Generating Ideas: Check sheets
An organized method of recording data
Can see facts or patterns that may aid subsequent
analysis.
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7 QC Tools
Example of defective item check sheet
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Example of defect location check sheet
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Example of defect cause check sheet
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Generating Ideas: Scatter Diagram
– Show the relationship between 2 measurements.
– If the variables are correlated, the points will fall along
a line or curve. The better the correlation (r), the
tighter the points will hug the line.
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Generating Ideas: Cause and Effect/ Ishikawa/
Fishbone Diagram
– Structured brainstorming using categories to explore
root course for undesirable effects.
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7 QC Tools
Fishbone Diagram
To construct the skeleton, remember:
• For manufacturing - the 4 M’s
✓man, method, machine, material, etc
• For service applications
✓equipment, policies, procedures, people,
etc
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Fishbone Diagram
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Fishbone Diagram
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Organizing Data: Pareto diagram / chart
– A method of organizing errors, problems, or defects
to help focus on problem solving efforts.
– Indicates which problems may yield the greatest
payoff.
– Based on principle: 80% of the output in a given
situation or system is produced by 20% of the input.
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7 QC Tools
The orange Pareto line shows that (789 + 621) / 1722 ≈ 80% of the
complaints come from 2 out of 10 = 20% of the complaint types
(Overpriced and Small portions). In other words: the Pareto principle 19
applies.
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Organizing Data: Flowcharts Example of
Flowcharts
• Graphical description of how
work by use of annotated boxes
and interconnected lines is done.
• Used to describe workflow /
processes that are to be
improved.
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7 Quality Tools
7 QC Tools
Organizing Data: Flowcharts
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Organizing Data: Flowcharts
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7 Quality Tools
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Identifying Problems: Histogram
A distribution showing the frequency of occurrences
of a variable.
Distribution
Frequency
Repair time (minutes) 25

7 QC Tools
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7 QC Tools
Identifying Problems: Control charts
– Time-ordered plot of sample statistics.
– It is used to distinguish between random variability and non
random variability.
– It has upper and lower limits, called control limits, that
define the range of acceptable (i.e., random) variation for the
sample statistic.
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7 QC Tools
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CONTROL CHART
• Control chart is the best tool for monitoring the performance
of a process. These types of charts can be used for monitoring
any processes related to function of the organization.
• These charts allow you to identify the following conditions
related to the process that has been monitored.
o Stability of the process
o Predictability of the process
o Identification of common cause of variation
o Special conditions where the monitoring party needs to
react
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7 QC Tools
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7 Management Quality Planning Tools
Example Tree Diagram
Source: http://www.uoh.edu.sa/facultymembers/en/M.AICHOUNI/Documents/ISE%20320/Chapter08-
The%20New%20SevenTools%20for%20Management%20and%20Planning.pdf
Statistical Process Control (SPC)
• SPC method - control chart.

• All service & product process has variation in
output.
Minor unimportant factors – decrease is negligible –
• Variability random eg abnormal weather condition
assignable Identifiable-eg tool wear,noise, material defect
• Sampling is the selection of a subset

(a statistical sample) of individuals from within
a statistical population to estimate
characteristics of the whole population.
49
Statistical Process Control (SPC)
• Why do sampling?- to know whether non random
source variation exists.
• Sampling distribution- variability of sample
statistics.
• Sampling distribution = normal distribution
50
Sampling Distribution, Normal Distribution &
Control Limit
Figure 9.5: Sampling Distribution Figure 9.6: Normal Distribution
Process Sampling
distribution distribution
 = Standard deviation
− − Mean + +

95.44%
99.74%
Mean
Sampling
Process
distribution
distribution
Figure 9.7: Control limit
Lower control limit Mean Upper control limit

6/13/2023 51
Control Limit
• Normal distribution- help to decide process perform
adequately by determining either non-random
variability occurs/not.
Upper
Lower Control
Control Limit (UCL)
Limit (LCL)
Value of a sample statistic falls outside those limits, there is only a small probability (1-
99.74%= 0.0026 for ± 3 limits, and 1- 95.44% = .0456 for ± 2 limits) that the value
reflects randomness. Instead, such a value would suggest no randomness.
52
Control Limit
Relationship of control chart to normal curve
In control Out of control

Errors in SPC
Type 1: Concluding a process / [Error] Type I error

is not in control when it (producer’s risk)
actually is.
Type 2: Concluding a process Type II Error No error [/]
is in control when it is not. (consumer’s risk)
53
Types of Control Charts
54
Attribute data charts
p - chart c - chart
measure the percent defective in a sample Count number of defects
Use when Use when

1.Observations can be placed into one of When only the number of occurrences per unit
two categories. Examples include items of measure can be counted; non-occurrence's
(observations) that can be classified as cannot be counted.
a) Good or bad. Examples of occurrences and units of measure
b) Pass or fail include:
c) Operate or don’t operate. a.Scratches, chips, dents, or errors per item.
2. When the data consist of multiple b.Cracks or faults per unit of distance (e.g.,
samples of n observations each meters, miles).
(e.g., 15 samples of n=20 c.Breaks or tears, per unit of area (e.g., square
observations each). yard, square meter).
3. Used to monitor proportions or fractions of d.Bacteria or pollutants per unit of volume
defects. The fraction defects is the ratio of (e.g., gallon, cubic foot, cubic yard).
the number of nonconforming items in a e.Calls, complaints, failures, equipment
population to the total number of items in breakdowns, or crimes per unit of time (e.g.,
55
that population. hour, day, month, year).
Attribute data charts
p-chart c-chart
Formula:
56
Variable data charts
/x –bar (mean ) R (range )
Used to monitor the central Used to monitor the process
tendency of a process dispersion
Variable data charts
R (range )
Formula : Formula:
58
Example P-chart
A production manager for a tire company has inspected the number of defective tires in
5 random samples with 20 tires in each sample. The table below shows the number of
defective tires in each sample of 20 tires. Calculate the control limit. Given z = 3.
Plot the P-chart
59
Source: https://www.slideshare.net/prinkuk1/p-chart-cchart
Example X-bar chart
A quality inspector took five samples, each with four observations (n
= 4), of the length of time for glue to dry. The analyst computed the
mean of each sample and then computed the grand mean. All values
are in minutes. Use this information to obtain three-sigma (i.e., z =3)
control limits for means of future times. It is known from previous
experience that the standard deviation of the process is .02 minute.
60
Example X-bar chart
z=3, n=4 observations per sample, σ = s = 0.02
From equation:
61
Example X-bar chart
UCL = 12.14
LCL = 12.08
1 2 3 4 5
Number of samples
Process control specification: 12.11 ± 0.03

62
When the standard deviation s is not provided, it
must be computed
å( x - x ) å(Each sample observation - x )

2 2
i
s= =
n -1 Number in
n -sample
1 -1
where xi = value of each observation

x = mean of the observations
n = number of observations in the sample
Or
Where xbar = mean of the observations

n = number of observations in the sample
63
Tutorial 1
Fit-bell Enterprise produces kettlebell, and the sizes of their kettlebells are defined by different
weights. Its best-selling kettlebell is the 12kg kettlebell (refer Figure 1). The standard deviation in
the kettlebell weight is 0.15 kilograms (kgs). The average weight of nine kettlebells produced has
been assessed each day for 24 days, as in table below:
Da Average Da Average i) Construct a control chart for percent

y (kg) y (kg) defective with 96.6% confidence level.
1 12.4 13 11.6 (Answers must be in 2 decimal points)
2 12.0 14 11.5 [CO2/PO2/C3] (6 marks)
3 11.7 15 11.7
4 12.1 16 12.0
Figure 1: Fit-bell 5 11.5 17 11.6 i) Determine the control chart values if
best-selling 6 12.1 18 11.5 three standard deviations are used
kettlebell 7 11.5 19 11.6 instead of standard deviation obtained
8 11.7 20 11.8 in i). (Answers must be in 2 decimal
9 11.7 21 11.6 points) [CO2/PO2/C3] (3 marks)
10 12.2 22 11.6
11 11.6 23 11.7
12 11.9 24 12.2 i) Relate values obtained in question i)
and ii). [CO2/PO2/C3] (1 mark)
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Tutorial 1 – Answer (i)
65
Normal distribution table
66
√ √
67
Tutorial 1: X-bar chart
X bar Chart
12.6
12.4
12.4
12.2 12.2
12.2
12.1 12.1
12 12
Minute
12
11.9
UCL = 11.89
11.8
11.8 Xbar = 11.78
11.7 11.711.7 11.7 11.7
11.6 11.6 11.6 11.6 11.611.6 LCL = 11.67
11.6
11.5 11.5 11.5 11.5
11.4
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
UCL xbar LCL x bar XD bar xbar
Process control specification: 11.78 ± 0.11 68

Tutorial 1 – Answer (ii) & (iii)
√
√
iii) Relate values obtained in question i) and ii).

The new limits/confidence level are set for 99.73% confidence and hence the quality gate
are slightly wider. Thus, smaller number of defect is expected.
√
69
Tutorial 1: X-bar chart
X bar Chart
12.6
12.4
12.4
12.2 12.2
12.2
12.1 12.1
12 12
Minute
12
11.9 UCL = 11.89
11.8
11.8 Xbar = 11.78
11.7 11.7 11.7 11.7 11.7
11.6 11.6 11.6 11.6 11.611.6
11.6
LCL = 11.67
11.5 11.5 11.5 11.5
11.4
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
UCL xbar LCL x bar XD bar xbar
Process control specification: 11.78 ± 0.15 70

Process Capability
• The ability of a process to meet design specifications, which
are set by engineering design or customer requirement
• Variability can impact quality significantly.
• Cp, and Cpk are used for Process Capability. Generally, you use
this when a process is under statistical control.
• Cp and Cpk measure how consistent you are to around your
average performance.
• Cpk tells us what a process is capable of doing in future,
assuming it remains in a state of statistical control.
71
Process Capability
72
Process Capability
Method of measurement
Process capability ratio (Cp) If process is centered
If process is not
Process capability index (Cpk) centered
73
Cp > 1.33 is desirable

Cp = 1.00 process is barely capable
Cp < 1.00 process is not capable
The ‘k’ stands for ‘centralizing factor.’ The index takes into consideration the fact that
your data is maybe not centered.
Process Capability
Lower Upper
Figure 9.15
Specification Specification
Process Capability: Inherent
variability of process output
relative to variation allowed by
A. Process variability
matches specifications design specification
Lower Upper
Specification Specification
Improving
Process
Capability: B. Process variability
Lower Upper
• Simplify well within specifications Specification Specification
• Standardize
• Mistake-proof
• Upgrade C. Process variability
equipment exceeds specifications
• Automate
6/13/2023 74
Process Capability
➢ Improving process capability requires changing the process
target value and/or reducing the process variability that is
inherent in a process.
➢ Steps:
➢ Simplify
➢ Standardize
➢ Mistake-proof
➢ Upgrade equipment
➢ Automate & autonomation
➢ Improved process capability: less need for inspection, lower
warranty costs, fewer complaints about service, and higher
productivity.
75
➢ For process control purposes, it means narrower control limits
What is difference between Cp, Cpk and Pp,
Ppk
✓ Pp and PPk are used for Process Performance.

✓ Ppk tells us how a process has performed in the past and you
cannot use it predict the future because the process is not in a
state of control.
✓ Pp = (USL – LSL) / 6* s
76
Let’s Recap!
- Understand the functions and methods to apply
the 7 QC tools and 7 management quality
planning tools,
- Understand the functions and methods to apply
the Statistical Process Control, and
- Understand the function of Process capability and
acceptance sampling
77

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MEM675

By completing this chapter, the students should be able to:

Repair time (minutes) 25

• SPC method - control chart.

• Sampling is the selection of a subset

− − Mean + +

Lower control limit Mean Upper control limit

In control Out of control

Type 1: Concluding a process / [Error] Type I error

Use when Use when

Plot the P-chart

Process control specification: 12.11 ± 0.03

å( x - x ) å(Each sample observation - x )

where xi = value of each observation

Where xbar = mean of the observations

Da Average Da Average i) Construct a control chart for percent

Process control specification: 11.78 ± 0.11 68

iii) Relate values obtained in question i) and ii).

Process control specification: 11.78 ± 0.15 70

Cp > 1.33 is desirable

✓ Pp and PPk are used for Process Performance.

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