The Economic Design of Multivariate MSE Control Chart

Abstract

In this paper, the economic design of MSE control chart is extended to the multivariate case. The important feature of this control chart is that it uses the target value instead of the process mean. According to Taguchi’s viewpoint, any deviation from the target value represents a kind of loss. Therefore, we construct the model of economic design by considering not only the control costs occurred in the production process but also the loss resulted to the customer because the quality characteristics shifted from the target value. The expected loss of multivariate squared error is presented and used in the formulated cost model. A True Basic program is used to find the optimum parameters of the sample size, n; the sample interval, h and the width, E, of the control limits of the multivariate MSE chart. Finally, an example is used to illustrate the application of the proposed economic design of the multivariate MSE control chart.

Key Words:

• MSE chart
• multivariate squared error

Additional information

Notes on contributors

W. Cheng Smiley

Smiley W. Cheng is Professor and Head of the Department of Statistics at the University of Manitoba. He has served as Associate Head and Acting Head of the Department in the past. He was the President of the International Chinese Statistical Association and the Managing Editor of Statistica Sinica. He is currently the Executive Editor of Quality Technology and Quantitative Management, Associate Editor or member of Editorial Board of five international statistics journals. Dr. Cheng is heavily involved in the research in statistical quality control (SQC), statistical inference, order statistics, and lottery. He is a Fellow of American Statistical Association; Senior Member of American Society for Quality, a member of Statistical Society of Canada, American Statistical Association; International Chinese Statistical Association; and an Elected Member of the International Statistical Institute.

Mao Hong

Hong Mao is an Associate Professor of Economic and Management School at Shanghai Second Polytechnic University. During her teaching years, she got many honors including Distinguished Teacher of Shanghai Municipal, Distinguished Teacher of Shanghai Second Polytechnic University, and Distinguished Teacher Most Liked by Students. Her papers received First-class and Second-class Awards conferred by Shanghai Second Polytechnic University.