MGT 3121 Lecture Notes - Lecture 6: Bar Chart, Statistical Process Control, Central Limit Theorem

• School: Baruch College
• Department: Management
• Course: MGT 3121
• Professor: William Chien

Document Summary

If tracking signal is btw limits then model is doing fine :) When it falls outside limits model is not doing as expected. Here we will calculate exact value of ucl and lcl. Control charts are like confidence level intervals but side ways. Students; we come from diff countries and diff. cultures. Commute time: is an interval is never one exact time. Central limit theorem: as sample size gets large enough, sampling distribution becomes almost normal regardless of population distribution. Anything you can control in terms of dimensions: use x-bar chart. You need to use x-bar chart with r bar chart. You want to make sure the avg is in the center. If you find any single outlier then the process it out of control. Want to make sure the limits you construct are very good = confidence level interval. Sample size= how many people you put into one group ex) 5 people in a group n=5.