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68 Cards in this Set

  • Front
  • Back
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Standard Deviation for a Population
Written as sigma

Square root of the variance for a population:

square root of (sum of the variances from the mean squared)/ the number of items in the population
Standard deviation for a sample
Written as S

Square root of the variance for a sample: square root of (sum of the variances from the mean squared)/ the number of items in the sample minus 1
Mean for a population
Written as u

average of values in the population
Mean for a sample
written as x bar

averagare of values in the sample
1 sigma
68% of all observations
2 sigma
95% of all observations
3 sigma
99.7% of all observations
Six Sigma
Management philosophy

3.4 defects per million opportunities
Opportunity
Every chance to meet a customer’s requirement
Defect
When a CTQ fails to meet a customer’s requirement
Defective
A unit has one or more defects
Throughput Yield
of units processes correctly the “first time” (first pass yield through each step)
TPY
number units processed correctly the first time/
number of units
Attribute Data
always ends up in counts or frequencies
Nominal (no order or value of data; categories by name or location)

Ordinal(by order; A,B,C,D; 1,2,3,4)

Count(# of occurrences; integer values only)
Measurement Data
on a continuous scale (infinitely divisible)
KANO Model
Attractive
One Way
Must Be’s
2 branches of statistics
Descriptive; Inferential
Inferential
Statistics are calculated from sample data to draw conclusions (infer) about the population parameters
Descriptive
Describes a data set
-Average of a data set
-Median of a data set
-Variation of a data set
-Shape of a data set
2 types of statistical studies
Enumerative; Analytic
Enumerative
-Used to draw conclusions about a population value or parameter
-Simpler type of study
-Finds out the “what”
-(example: What is the percentage of invoices paid on time?)
Analytic
-Used to study the cause and effect relationships
-Intent is to improve or influence future results
-Finds the “why” behind the “what”
-(example: Are late payments on invoices caused by the vendor?)
Non-probability Sample
Samples “not” selected from frame

Probability of being selected is “not” known

Subject to bias
Probability Sample
Samples selected from frame

Have known probability of being selected

Preferred method
Probability Sample Methods
Simple Random; Stratified Random; Systematic; Cluster
Simple Random
Probability Sample Methods

Random numbers used to select items from the frame

Most basic type of sampling

Every item in the frame has the same probability of being selected
Stratified Random
Probability Sample Methods

Items in frame grouped by some classification criteria

Simple random sample from these strata

Every item in the strata has the same probability of being selected
Systematic
Probability Sample Methods

Random sample from the first k items

Select ever kth item in the frame for sampling
Cluster
Probability Sample Methods

Frame is divided into naturally occurring clusters or groups

Clusters are then randomly sampled
Measures of Central Tendency
Mean; Median; Mode
Positive Skew
Mean higher (to the right) than median

(It’s Skew-ished down on the right)
Negative Skew
Mean lower (to the left) than the median

(It’s Skew-ished down on the left)
Z Transform
used to convert a point on any “normal distribution” to it’s corresponding point on a “Standard Normal Distribution”

Z = (POI - u)/sigma
Measures of Variation
Range; Variance; Standard Deviation
Spec Limits set by
Customer
Control Limits set by
Process
Attribute Control Charts
Defectives:
P Chart (use any time) (good or bad)
NP Chart (constant sample size)

Defects
C Charts (constant area of opportunity)
U Chart (use any time)

Remember “C-U” is “count you”
counting number of defects
Variable Control Charts
X-bar-R: subgroup size > 1 and < 10
trends average values (X-bar)and range (R) of the subgroup)

X-bar-S (subgroup size > 10) trends standard deviation (S) of the subgroup

I-MR (subgroup size = 1)
Trends individual observations (I) and the moving range (MR))
Alpha Risk
(α) (Reject the null hypothesis and it was correct / true)(Should not have rejected)
-Type I Error (Producer Risk)
-CI = 1 – α
Beta Risk
β) (Fail to reject null hypothesis and it was wrong / false)(Should have rejected)
-Type II Error (Consumers Risk)
Null Hypothesis
(Ho) (always contains a statement of equality)
Alternate Hypothesis
(Ha) (opposite of the null; inequality)
P-value
the actual risk of rejecting the null hypothesis, when the null is actually true
Alpha Risk
is the risk we are willing to take
-If P-value is < alpha, we reject the null
1 Proportion Test
compare proportion –vs- target
2 Proportion Test
compare proportion of one sample –vs- proportion of another sample
Chi Square Test
compare multiple proportions
-Goodness of Fit (observed –vs- expected) (use Excel software, not Minitab)
-Test for Association (determine if one variable depends on another variable)
Proportion Tests
1 proportion, 2 proportion, chi-square
Means testing
1 Sample -T test; 2 Sample -T test; Paired -T test; ANOVA Test
1 Sample -T test
compare mean –vs- target) (population)
2 Sample -T test
compare mean –vs- mean) (population)
Paired -T test
compare mean difference between “paired” observations)

-Sample size must be the same
-Same observation (paired); same part or device
-Looking at the difference between two observations; then comparing the difference to a target (usually a difference of zero), which is basically a 1 Sample-T
ANOVA Test
(ANalysis Of VAriation)(comparing multiple means)

(Comparing variance of means of more than 2 groups)
-Within Group Variation (caused by random error)
-Between Group Variation (caused by the factor itself)
-One Way ANOVA (stacked or unstacked)(one factor)
-Independent (use ANOVA graphs – individual plots)
-Normally distributed (use graphical summary)
-Equal variance (use test for equal variances)
Variance Testing
2 Variance Test; 1 Variance Test; Test for Equal Variance
2 Variance Test
(compare variance –vs- variance)
-F test (for normal distribution; more sensitive test)
-Want to perform normality test for each sample first (individually); don’t group them t together; will determine if you use the F test or Levene’s test
-Levene’s Test (for any continuous distribution)
1 Variance Test
compare variance –vs- target)
-No Minitab command for 1 Variance testing

-Use Confidence Interval (CI) and use Std. Dev. in Graphical Summary to see if CI contains the target value (fail to reject null)
Test for Equal Variance
comparing 3 or more groups)
-Bartlett’s Test (for normal distribution; more sensitive test)
-Levene’s Test (for any distribution)
Correlation test
(tests only for a linear relationship)
- Measures the strength and direction of a linear association between two variables.

- Sample correlation coefficient (r) – (Pearson Coefficient) – the measure of correlation
- Population correlation coefficient (ρ) (we infer the population from the sample)

- Positive r – both variables tend to increase or decrease together [Strong Positive (+1)]
- Negative r – as one variable increases, the other variable decreases [Strong Negative (-1)]
- No Correlation (0) (only looking at linear relationship)

Always Utilize Scatter Plot to visualize correlations
Regression
Purpose – measures the strength of association between independent factors(s) and a dependent variable.

-Can be used to develop a predictive model for relationships based on observations

Regression can identify curvilinear relationships
-Quadratic (curvature exists)
-Cubic
R2
percentage (%) of the total variation (Y) explained by the model (interaction of factors)
R2 (adj)
used to compare models with a different number of terms
If problem refers to Means
a inference test or a T- Test is used
Problems refers to Difference between a sample mean and target value
one –sample T-test
Before and after differences of means between paired
paired T- Test
If problem talks about the variance differences between continuous data
a variance test is required to test hypo
When 2 samples are compared against one another
two sample test is used
When a sample is tested against a target
a one variance test is used
If the problem talks about testing for equal variances
A test for equal variance is used