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Business Mathematics and Statistics · Ch 9 — Applied Statistics (Time Series, Index Numbers, Statistical Quality Control)

Statistical Quality Control: Meaning and Causes of Variation

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Statistical Quality Control: Meaning and Causes of Variation

Statistical Quality Control (SQC) is the use of statistical methods to monitor and control the quality of a manufacturing process while production is actually going on, rather than only inspecting finished goods afterward. No manufacturing process, however carefully run, produces items that are perfectly identical — some small variation between one unit and the next is always present. SQC's central idea is to distinguish between two very different kinds of variation:

Chance (random) causes are the many small, unavoidable influences — minor differences in raw material, slight vibration of a machine, small temperature changes, the operator's natural hand movement — each too small to identify or eliminate individually, and together producing a stable, predictable pattern of natural variation. A process affected only by chance causes is said to be in (statistical) control.

Assignable causes are large, identifiable, and preventable sources of variation — a worn-out tool, an untrained operator, a defective batch of raw material, a machine that has slipped out of adjustment. Unlike chance causes, assignable causes can and should be traced to their source and removed. A process affected by an assignable cause is said to have gone out of control.

Chance causesAssignable causes
Size of effectSmall, individuallyLarge
Number of causesMany, acting togetherUsually one identifiable cause
Can it be removed?No — inherent to the processYes — once found, it can be corrected
What it means for the processProcess is in control; variation is 'normal'Process is out of control; needs investigation
Definition 19Statistical Quality Control (SQC)

The application of statistical techniques, especially control charts, to monitor and control the quality of a product while it …

Definition 20Chance (Random) Causes

The many small, unidentifiable and unavoidable factors that produce natural, inherent variation in a process even when it is running correctly; a process affected only by chance ca …

Definition 21Assignable Causes

Identifiable, preventable factors (a worn tool, defective material, an untrained operator) that produce variation larger than what chance causes alone would explain; their presence means a …