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Chapter 5 (Part 3)
Statistical Process Control

In 1920s, Walter A. Shewhart pioneered the Statistical Process Control which defines
the application of statistical techniques to the control of processes. This is widely used
to ensure that processes meet standards. All processes are subject to a certain degree
of variability. Further, it was an analytical decision-making tool which allows you to see
when a process is working correctly and when it is not. In addition tot this, variation is
present in any process, deciding when the variation is natural and when it needs
correction is the key to quality control.

The SPC Methods were later on applied by W. Edwards Deming in the US during World
War II that successfully improved quality in the manufacture of munitions and other
strategically important products. These concepts were also introduced to the Japanese
after the war and resulted to high quality Japan products.

Types of Variation:

1. Natural Variations

These variations affect almost every production process and are to be expected.
Natural variations are the many sources of variation that occur within a process
that is in statistical control. Natural variations behave like a constant system of
chance causes. Consists of the variation inherent in the process as it is designed.
May include variation in temperature, properties of raw materials, strength of an
electrical current and others.

Although individual values are all different, as a group they form a pattern that can
be described as a distribution. When these distributions are normal, they are
characterized by two parameters:
a. Mean, (the measure of central tendency—in this case, the average value)
b. Standard deviation, (the measure of dispersion)

2. Special Cause Variation or Assignable-Cause Variation

With sufficient investigation, a specific cause, such as abnormal raw materials or

incorrect set-up parameters, can be found for special cause variations. Factors
such as machine wear, misadjusted equipment, fatigued or untrained workers, or
new batches of raw material are all potential sources of assignable variations.

Natural and assignable variations distinguish two tasks for the operations
manager:
a. To ensure that the process is capable of operating under control with only
natural variation
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b. To identify and eliminate assignable variations so that the processes will

remain under control.

Process can be identified whether to in control or out of control based on the

following:

1. In control and stable

If common cause is the only type of variation that exists in the process. It is also
predictable within set limits like the probability of any future outcome falling within
the limits can be stated approximately.

2. Out of Control

This special cause variation exists within the process.

The following are the Statistical Process Control activities:

1. Understanding the process

Process is typically mapped out and the process is monitored using control charts

2. Understanding the causes of variation

Control charts are used to identify variation that may be due to special causes and
to free the user from concern over variation due to common causes. It is a
continuous, ongoing activity when a process is stable and does not trigger any of
the detection rules for a control chart, a process capability analysis may also be
performed to predict the ability of the current process to product conforming
product in the future

3. When excessive variation is identified by the control chart detection rules, or the
process capability is found lacking, additional effort is exerted to determine cause
of the variance

The tools used include:

a. Ishikawa Diagrams
b. Designed experiments – critical – only means of objectively quantifying the
relative importance of the many potential causes of variation
c. Pareto Charts

Once the causes of variation have been quantified, effort is spent in eliminating those
causes that are both statistically and practically significant. Includes development of
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standard work, error-proofing and training. Additional process changes may be required
to reduce variation or align the process with the desired target, especially if there is a
problem with process capability.

Advantages of Statistical Process Control:

1. Reduces waste
2. Lead to reduction in the time required to produce the product or service from end
to end due to diminished likelihood that the final product will have to be reworked,
identify bottlenecks, wait times, and other sources of delays within the process.
3. A distinct advantage over other quality methods, such as inspection – its emphasis
on early detection and prevention of problems
4. Cost reduction
5. Customer satisfaction

Statistical Process Control are methods of identifying the type of variation present. Here
are the 2 most popular Statistical Process Control:

1. Run Chart
2. Control Chart

Statistical Process Control are essentially:

1. Simple graphical tools that enable process performance monitoring

2. Designed to identify which type of variation exists within the process
3. Designed to highlight areas that may require further investigation
4. Easy to construct and interpret

Statistical Process Control Charts can be applied to both dynamic processes and
static process:

1. Dynamic Process

A process that is observed across time is known as a dynamic process. An SPC

chart for a dynamic process is called a “time-series” or a “longitudinal” SPC Chart.

2. Static Process

A process that is observed at a particular point in time is known as a static process

An SPC chart for static process is often referred to as a “cross sectional” SPC
chart
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Control Charts:

Are graphic presentations of data over time that show upper and lower limits for the
process we want to control. Monitor processes to show how the process is performing
and how the process and capabilities are affected by changes to the process. This
information is then used to make quality improvements. A time ordered sequence of data,
with a center line calculated by the mean. Used to determine the capability of the process.
Help to identify special or assignable causes for factors to impede peak performance.

4 key features of Control Charts:

1. Data Points

Either averages of subgroup measurements or individual measurements plotted on

the x/y axis and joined by a line. Time is always on the x-axis.

2. The Average or Center Line

The average or mean of the data points and is drawn across the middle section of
the graph, usually as a heavy or solid line.

3. The Upper Control Limit (UCL)

Drawn above the centerline and annotated as “UCL”. This is often called the “+3
sigma” line.

4. The Lower Control Limit (LCL)

Draw below the centerline and annotated as “LCL”. This is called the “-3 sigma”
line.
Control limits define the zone where the observed data for a stable and consistent
process occurs virtually all of the time (99.7%). Any fluctuations within these limits come
from common causes inherent to the system, such as choice of equipment, scheduled
maintenance or the precision of the operation that results from the design. An outcome
beyond the control limits results from a special cause. The automatic control limits have
been set at 3-stigma limits.

Control Charts for variables:

• The variables of interest here are those that have continuous dimensions. They
have an infinite number of possibilities. Examples are weight, speed, length, or
strength. Control charts for the mean, and the range are used to monitor processes
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that have continuous dimensions. The chart tells us whether changes have
occurred in the central tendency (the mean, in this case) of a process.

• These changes might be due to such factors as tool wear, a gradual increase in
temperature, a different method used on the second shift, or new and stronger
materials.

• The R-chart values indicate that a gain or loss in dispersion has occurred. Such a
change may be due to worn bearings, a loose tool, an erratic flow of lubricants to a
machine, or to sloppiness on the part of a machine operator.

The two types of charts go hand in hand when monitoring variables because they
measure the two critical parameters: central tendency and dispersion.

The Central Limit Theorem

• The theoretical foundation for -charts is the central limit theorem. This theorem
states that regardless of the distribution of the population, the distribution of s
(each of which is a mean of a sample drawn from the population) will tend to follow
a normal curve as the number of samples increases.

Setting Range Chart Limits (R-Charts)

• The theory behind the control charts for ranges is the same as that for process
average control charts. Limits are established that contain standard deviations of
the distribution for the average range.

• We can use the following equations to set the upper and lower control limits for
ranges:
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Using Mean and Range Charts

• The normal distribution is defined by two parameters, the mean and standard
deviation. The (mean)-chart and the R-chart mimic these two parameters. The -
chart is sensitive to shifts in the process mean, whereas the R-chart is sensitive to
shifts in the process standard deviation.

• Consequently, by using both charts we can track changes in the process

distribution.

Control Charts for attributes:

• Control charts for and R do not apply when we are sampling attributes, which are
typically classified as defective or nondefective. Measuring defectives involves
counting them (for example, number of bad lightbulbs in a given lot, or number of
letters or data entry records typed with errors), whereas variables are usually
measured for length or weight. There are two kinds of attribute control charts: (1)
those that measure the percent defective in a sample called p-charts and (2) those
that count the number of defects called c-charts.

Managerial Issues and Control Charts:

1. Managers must select the points in their process that need SPC. They may ask
“Which parts of the job are critical to success?” or “Which parts of the job have a
tendency to become out of control?”

2. Managers need to decide if variable charts (i.e., and R) or attribute charts (i.e., p
and c) are appropriate. Variable charts monitor weights or dimensions. Attribute
charts are more of a “yes–no” or “go–no go” gauge and tend to be less costly to
implement.

3. The company must set clear and specific SPC policies for employees to follow. For
example, should the data-entry process be halted if a trend is appearing in percent
defective records being keyed? Should an assembly line be stopped if the average
length of five successive samples is above the centerline?

References:
1. Heizer J, Render, B. Operations Management
2. Operations Managemet, Statistical control
https://sites.uni.edu/bumblaud/#:~:text=Statistical%20Process%20Control%20(SPC)
%20is,conformity%20of%20the%20manufacturing%20process.
3. What is Statistical Process Control? SPC Quality Tools - ASQ
https://asq.org/quality-resources/statistical-process-control