OPERATIONS MANAGEMENT W/ CNCT+
OPERATIONS MANAGEMENT W/ CNCT+
12th Edition
ISBN: 9781259574931
Author: Stevenson
Publisher: MCG CUSTOM
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Chapter 10, Problem 9DRQ
Summary Introduction

To explain: Whether the data is random, when two run test results reveal non-randomness for a set of data.

Run test: It is a statistical tool that is used to examine a string of data which occurs randomly in a specific distribution. Usually, run test is used to examine identical events that are separated by dissimilar events.

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If both run tests are used, and neither reveals nonrandomness, does that prove that the process israndom? Explain.
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Representatives of the Patriot Insurance Company take medical information over the telephone from prospective policy applicants prior to a visit to the applicant’s place of residence by a registered nurse who takes vital sign measurements. When the telephone interview has incorrect or incomplete information, the entire process of approving the application is unnecessarily delayed and has the potential of causing loss of business. The following data were collected to see how many applications contain errors. Each sample has 200 randomlyselected applications. Sample Defects Sample Defects 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 20 18 29 12 14 11 30 25 27 16 25 18 25 16 20 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 15 40 35 21 24 9 20 17 28 10 17 22 14 19 20 a. What are the upper and lower control limits of a p-chart for the number of defective applications? Use z = 3.b. Is the process in statistical control?
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