Economic design of a complete inspection plan with feedback control

Abstract

This paper studies production control with complete inspection where every finished product is subject to variable inspection. Two process states, in-control and out-of-control, are assumed. If the inspection signals that the process is out of control, remedial action is taken to restore the process to the in-control state. Inspected items are either accepted with a quality cost or reworked according to the observed quality characteristic. Specification limits and action limits are derived from an economic model.