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Chi Sq Test

(Test Of Independence)

Objectives

• Understand when Chi Square Test can be used

• How to conduct the test using an example

• Work on an exercise

When is Chi Square Test used?

Chi Square Test is used to check if Y is dependent on X.


Used in Analyse phase to identify critical Xs

Discrete X Continuous X

ContinuousY

1. Chi Square Test


DiscreteY

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Hypothesis Statements

HO: Y is independent of X

HA: Y is dependent of X

Alpha =0.05

Test your understanding

In a recent debate in the parliament to decide on


reducing the eligible voting age to 17 years, different
parties voted differently. Of the 460 votes polled, 110
Congress MPs said the voting age should be reduced
while 70 of them said it should not be reduced. For
the BJP, the number was 70 and 60 while for others it
was 80 and 70.

Write the hypothesis statement for the above:

Answer

HO: The voting pattern is independent of the


party
HA: Voting pattern is dependent on the party.
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Application Example

Application Example
ABC Telecom is working on a project to reduce its
mean time to repair. The company is mainly
situated in Bangalore. Your company has
organized a C-SAT survey. The results show that
your customers are not satisfied with timely
resolution of complaints.

You are a Green Belt who has been assigned on


this project. While working with your team you
have realized that in Telecom Industry complaints
are categorized into Hard Complaints and Soft
Complaints. You have a Hypothesis that the On
Time resolution of complaints is dependent on
complaint category.

You have collected data on each incidence of


complaint and checked if the complaint was
resolved On time. You now want to run the test.
Minitab File
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Example: How to Write Hypothesis
Statements

Null Hypothesis HO: On Time Resolution of Complaints


is independent of Complaint Category

Alternate Hypothesis HA: On Time Resolution of


Complaints is dependent on Complaint Category

Selecting the Test

Navigating through the Menu

Select the output (Y) column

Select the input (X) column

Check the counts field

Click on Chi Square

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Navigating through the Menu

Check this field

Click on OK

Click on OK

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Analyzing Results

Count output of the data

In this example, the p value is .182

Decision Æ Accept Ho
Æ Y is independent of X

i.e., Repaired on time is independent on type of complaint


received

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Additional Options

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Analyzing Results

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Application Example

Application Example
ABC Telecom is working on a project to reduce
its mean time to repair. The company is mainly
situated in Bangalore. Your company has
organized a C-SAT survey. The results show
that your customers are not satisfied with timely
resolution of complaints.

You are a Green Belt who has been assigned on


this project. While working with your team you
have realized that in Telecom Industry
complaints are categorized into Hard Complaints
and Soft Complaints. You have a Hypothesis
that the On Time resolution of complaints is
dependent on complaint category.

You do not have a database of all complaints.


But you have a monthly summary report of On
Time Resolution based on complaint category.
You now want to run the test.
Minitab File
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Selecting the Test

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Navigating through the Menu

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Analyzing Results

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Test your understanding

1. Chi square test is used when both X and Y are continuous


True / False
Correct Wrong answer!
answer Chi square is
used when both
are discrete

2. Chi square test is preferred over other tests because discrete


data is always better
True / False Correct
answer
Wrong answer!
Because of
limitations with
discrete data, we
prefer continuous
data tests
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Test your understanding

3. Chi square test is used to test the dependence of Y on X

True / False
Correct
answer Wrong
answer!

4. If the expected counts are the same as the actual counts then we
can say X and Y are independent
True / False
Wrong
Correct answer!
answer

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Exercise

ƒ Open file Chi Square.mpj

ƒ Check if the On-time Resolution is impacted


by the Contractor who resolves the
complaint.

Minitab File Solutions File

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