Using Control Charts to

Keep an Eye on Variability

Operations Management
Dr. Ron Lembke
Goal of Control Charts
See if process is in control
Process should show random values
No trends or unlikely patterns
Visual representation much easier to interpret
Tables of data any patterns?
Spot trends, unlikely patterns easily
NFL Control Chart?
 Control Charts
Values UCL

avg

LCL

Sample Number
Definitions of Out of Control
1. No points outside control limits
2. Same number above & below center line
3. Points seem to fall randomly above and
below center line
4. Most are near the center line, only a few are
close to control limits
1. 8 Consecutive pts on one side of centerline
2. 2 of 3 points in outer third
3. 4 of 5 in outer two-thirds region
Control Charts

Normal Too Low Too high

5 above, or below Run of 5 Extreme variability

Control Charts
UCL
2
1
avg
1
2
LCL
Control Charts

2 out of 3 in the outer third

Out of Control Point?
Is there an assignable cause?
Or day-to-day variability?
If not usual variability, GET IT OUT
Remove data point from data set, and recalculate
control limits
If it is regular, day-to-day variability, LEAVE
IT IN
Include it when calculating control limits
Attributes vs. Variables
Attributes:
Good / bad, works / doesnt
count % bad (P chart)
count # defects / item (C chart)
Variables:
measure length, weight, temperature (x-bar
chart)
measure variability in length (R chart)
 p Chart Control Limits
z = 2 for 95.5% limits
UCL p p z s p z = 3 for 99.7% limits
p = avg defect rate
LCL p p z s p n = avg sample size
sp = sample std dev

k # Defective
X
k

p (1 p )
n i i
Items in
Sample i
sp n i1 p i1
k
n k
n i
Sample i
Size
# Samples i1
p Chart Example
Youre manager of a 1,700
room hotel. For 7 days,
you collect data on the
readiness of all of the
rooms that someone
checked out of. Is the
process in control (use z =
3)?

1995 Corel Corp.

p Chart Hotel Data
# Rooms No. Not Proportion
Day n Ready p
1 1,300 130 130/1,300 =.100
2 800 90 .113
3 400 21 .053
4 350 25 .071
5 300 18 .06
6 400 12 .03
7 600 30 .05
 p Chart Control Limits
k

n i
1300 800... 600 4,150
n i 1
592.8
k 7 7
k

X i
130 90... 30 326
p i 1
k
0.079
4,150 4,150
n
i 1
i

p (0.10 0.113 ... 0.05) / 7 .068

 p Chart Solution
p 0.079, n 592.8

p 1 p 0.079 1 0.079
sp 0.0111
n 592.8
CL p z s p 0.079 3 * 0.111
0.079 0.0333
UCL 0.1123, LCL 0.0457
 Hotel Room Readiness P-Bar
0.12

0.1

0.08
UCL
0.06 Actual
LCL
0.04

0.02

0
1 2 3 4 5 6 7
R Chart
Type of variables control chart
Interval or ratio scaled numerical data
Shows sample ranges over time
Difference between smallest & largest values
in inspection sample
Monitors variability in process
Example: Weigh samples of coffee &
compute ranges of samples; Plot
Why do we need 2 charts?
Consistent, but the average is in the wrong place

UCL UCL

LCL LCL
X-Bar Chart R Chart
The average works out ok, but way too much variability between points
UCL UCL

LCL LCL

X-Bar Chart R Chart

Hotel Example
Youre manager of a 500-
room hotel. You want to
analyze the time it takes to
deliver luggage to the room.
For 7 days, you collect data
on 5 deliveries per day. Is
the process in control?
Hotel Data
Day Delivery Time
1 7.30 4.20 6.10 3.45 5.55
2 4.60 8.70 7.60 4.43 7.62
3 5.98 2.92 6.20 4.20 5.10
4 7.20 5.10 5.19 6.80 4.21
5 4.00 4.50 5.50 1.89 4.46
6 10.10 8.10 6.50 5.06 6.94
7 6.77 5.08 5.90 6.90 9.30
R & X Chart Hotel Data
Sample
Day Delivery Time Mean Range
1 7.30 4.20 6.10 3.45 5.55 5.32

7.30 + 4.20 + 6.10 + 3.45 + 5.55

Sample Mean =
5
R & X Chart Hotel Data
Sample
Day Delivery Time Mean Range
1 7.30 4.20 6.10 3.45 5.55 5.32 3.85
Largest Smallest

Sample Range = 7.30 - 3.45

R & X Chart Hotel Data
Sample
Day Delivery Time Mean Range
1 7.30 4.20 6.10 3.45 5.55 5.32 3.85
2 4.60 8.70 7.60 4.43 7.62 6.59 4.27
3 5.98 2.92 6.20 4.20 5.10 4.88 3.28
4 7.20 5.10 5.19 6.80 4.21 5.70 2.99
5 4.00 4.50 5.50 1.89 4.46 4.07 3.61
6 10.10 8.10 6.50 5.06 6.94 7.34 5.04
7 6.77 5.08 5.90 6.90 9.30 6.79 4.22
R Chart Control Limits
Table 10.3, p.433
UCLR D4 R

LCLR D3 R

k
Ri
Sample Range
at Time i
i 1
R
k # Samples
Control Chart Limits, p.161
n A2 D3 D4
2 1.88 0 3.278
3 1.02 0 2.57
4 0.73 0 2.28
5 0.58 0 2.11
6 0.48 0 2.00
7 0.42 0.08 1.92
 R Chart Control Limits
k

R i
3.85 4.27 ... 4.22
R i 1
3.894
k 7

UCLR D4 * R 2.11 * 3.894 8.232

LCLR D3 * R 0 * 3.894 0
D3 , D4 from Table 10.3
R Chart Solution
9
8
7
6
5 UCL
4 Range
LCL
3
2
1
0
1 2 3 4 5 6 7
 X Chart Control Limits
UCLX X A2 R

Sample
Mean at
Time i

Sample
k k
Range
X i R i at Time i
X i 1
R i 1
k k # Samples
 X Chart Control Limits
A2 from
Table 10-3
UCLX X A2 R
LCLX X A2 R
k k

X i R i
X i 1
R i 1
k k
Control Chart Factors, p. 161
n A2 D3 D4
2 1.88 0 3.278
3 1.02 0 2.57
4 0.73 0 2.28
5 0.58 0 2.11
6 0.48 0 2.00
7 0.42 0.08 1.92
R & X Chart Hotel Data
Sample
Day Delivery Time Mean Range
1 7.30 4.20 6.10 3.45 5.55 5.32 3.85
2 4.60 8.70 7.60 4.43 7.62 6.59 4.27
3 5.98 2.92 6.20 4.20 5.10 4.88 3.28
4 7.20 5.10 5.19 6.80 4.21 5.70 2.99
5 4.00 4.50 5.50 1.89 4.46 4.07 3.61
6 10.10 8.10 6.50 5.06 6.94 7.34 5.04
7 6.77 5.08 5.90 6.90 9.30 6.79 4.22
 X Chart Control Limits
k

X i
5.32 6.59 ... 6.79
X i 1
5.813
k 7
k

R i
3.85 4.27 ... 4.22
R i 1
3.894
k 7
UCLX X A2 * R 5.813 0.58 * 3.894 8.060
LCL X X A2 * R 5.813 0.58 * 3.894 3.566
 X Chart Solution*
9
8
7
6
5 UCL
4 Mean
LCL
3
2
1
0
1 2 3 4 5 6 7
Summary
Overview of In Control
Attribute vs Continuous Control Charts
P Charts
X-bar and R charts