Management willing to use three-sigma limits


Problem:

A critical dimension of the service quality of a call center is the wait time of a caller to get to a sales representative. Periodically, random samples of 6 (n = 6) customer calls are measured for time. Results from the last eight samples are shown in the following table.

Observation (seconds)
S     1        2       3        4       5        6
1    425    408    422    380    410    401
2    440    450    431    447    422    430
3    402    428    419    434    433    425
4    375    406    395    400    380    390
5    408    407    407    435    411    405
6    398    417    450    418    402    425
7    413    445    390    402    407    410
8    395    402    397    408    400    415

a) Management is willing to use three-sigma limits. Using the factors in the table, determine upper and lower limits for mean and range charts.

b) Plot sample means and ranges on their respective control charts. Is the process in control? Clearly explain what each chart shows.

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Finance Basics: Management willing to use three-sigma limits
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