Welcome to the new post as part 2 in our series on mechanisms to
include statistics within Oracle Business Intelligence (first part see previouspost).
In our case, a process
is in control when the number of complaints per month are subject only to common cause variation
(such as environment, methods,...). Anyway, a proces is out of control when data points fall outside of the control
limits, that means that the process are subject to variation because of
assignable causes of variation.
Background: Using control charts can be measured: variables
(continuous of values) and attibutes
(discretes values). Our case, number of complaints per month are considered as
attributes, where the average number of number of complaints per month, c̄, is
the Center line (within the Control Chart), and then let’s obtain the Upper and
Lower Control Limits as it’s shown below:
If the process is in control, data points (in our case
number of complaints/month) will fall inside 3-sigma limits 99,73% of the time (within control limits).
Moreover, each data point(in our case number of complaints/month) is a Hypothesis test, so:
Ho: μ = c̄
Ha: μ ≠ c̄
α = 0,0027
We reject Ho cases outsite the limits.
Hope it helps!
Best wishes.
Joan Martí.