A Tightened m-Level Continuous Sampling Plan for Markov-Dependent Production Processes

Abstract

This paper extends the MLP-T plan for s independence developed by Derman, Littauer, and Solomon to Markov-dependent production processes. The average outgoing quality (AOQ) of the m-level plan has been obtained. It is shown for the two-level plan that, when the serial correlation coefficient of the Markov chain is positive, it is incorrect to use MLP-T fors independence, as the actual average outgoing quality limit (AOQL) exceeds the desired AOQL under s independence. It is also observed that, for small departures of the serial correlation coefficient from zero, the plan is robust.