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for hardware / software installations for the last 76 installations (from first to last).
OTR is the time it takes from an order being placed until the system is installed and
we receive payment (remittance). Because this company does business
internationally, it also notes the country of installation using a country code. This
code is listed in the first column.
No, The OTR time does not appear to be stable as the difference in the values is
significant throughout the table. We also notice that some of the OTR is way too
high from the mean. We can also see that the stability varies as we consider different
country codes. The OTR is more or less stable for country code 1 whereas it is
unstable for country code 7.
If you were to use a control chart to evaluate stability, which chart would you use?
Why?
It would be better to use Individual chart as it plots each and every individual point
on the graph. We will be able to run various test for stability which includes one
point out of 3 sigma limits, two out of three consecutive points out of 2sigma limit
etc.
Test for points out of 3 sigma limit shows that there are three points which are
outside 3sigma limits.
I Chart of OTR
1
1
150
1
UCL=111.0
100
Individual Value
50 _
X=39.5
LCL=-32.0
-50
1 9 17 25 33 41 49 57 65 73
Observation
What can you learn about the distribution of the installation process?
Mean
Median
30 35 40 45
From the above graph we can say that the graph is positively skewed with skewness
2.393 and kurtosis 7.17377. The variance is high which means that the variability is
high.
Does it appear that the country has an impact on installation time? Why or why not?
If we plot the Xbar-R chart with stages for different countries, we easily see that the
OTR varies significantly with country code. The mean of OTR is lowest for country
code 17 and highest for country code 14. We also notice from the above chart that
the variability in OTR differs from country to country. The variability is least for
country code 1,6,8,17 whereas it is high for country code 5,7,14.