Philosophy of the

Shewhart Chart (SPC):

Chapter 3 Dr. Shimelis Tilahun
History of Statistics Method

• Statistical methods and their application

in quality improvement have had a long
history. In 1924, Walter A. Shewhart of
the Bell Telephone Laboratories
developed the statistical control chart
concept, which is often considered the
formal beginning of statistical quality
control.
• W. Edwards Deming. W. Edwards Deming
was educated in engineering and physics
at the University of Wyoming and Yale
University. He worked for Western Electric
and was influenced greatly by Walter A.
Shewhart, the developer of the control
chart.

•
 • The field of statistical quality control can be broadly defined as those
statistical and engineering methods that are used in measuring,
monitoring, controlling, and improving quality.
History of • Statistical quality control is a field that dates back to the 1920s. Dr.
Walter A. Shewhart of the Bell Telephone Laboratories was one of the
Statistics early pioneers of the field. In 1924 he wrote a memorandum showing
a modern control chart, one of the basic tools of statistical process
control.
Method • Harold F. Dodge and Harry G. Romig, two other Bell System
employees, provided much of the leadership in the development of
statistically based sampling and inspection methods.
• The work of these three men forms much of the basis of the modern
field of statistical quality control.
• World War II saw the widespread introduction of these methods to
U.S. industry. Dr. W. Edwards Deming and Dr. Joseph M. Juran have
been instrumental in spreading statistical quality-control methods
since World War II
•
 • If a product is to meet or exceed customer
expectations, generally it should be produced by a
SPC process that is stable or repeatable. More precisely,
the process must be capable of operating
with little variability around the target or nominal
dimensions of the product’s quality characteristics.
Statistical process control (SPC) is a powerful
collection of problem-solving tools useful in
achieving process stability and improving capability
through the reduction of variability.
 STATISTICAL PROCESS
CONTROL
• It is impractical to inspect quality into a product; the
product must be built right the first time.
• The manufacturing process must therefore be stable or
repeatable and capable of operating with little variability
around the target or nominal dimension.
• Online (Virtual) statistical process control is a powerful
tool for achieving process stability and improving
capability through the reduction of variability.
 • It is customary to think of statistical process control (SPC) as a
set of problem-solving tools that may be applied to any process.
The major tools of SPC* are

1. Histogram
2. Pareto chart
SPC 3. Cause-and-effect diagram
4. Defect-concentration diagram
5. Scatter diagram
6. Check sheet
7. Control Chart

Although these tools are an important part of SPC, they comprise only
the technical aspect
of the subject.
• An equally important element of SPC is attitude—a desire of all
individuals in the organization for continuous improvement in
quality and productivity through the systematic reduction of
variability. The control chart is the most powerful of the SPC tools.
 • In any production process, regardless of how well designed or
carefully maintained it is, a certain amount of inherent or natural
Chance and variability will always exist.
• This natural variability or “background noise” is the cumulative
Assignable effect of many small, essentially unavoidable causes or chance
causes of variation.
Causes of • Other kinds of variability may occasionally be present in the output of
a process. This variability in key quality characteristics usually arises
Quality from three sources:
→ improperly adjusted or controlled machines,
Variation → operator errors, or
→ defective raw material.
• Such variability is generally large when compared to the background
noise, and it usually represents an unacceptable level of process
performance.
• We refer to these sources of variability that are not part of the chance
cause pattern as assignable causes of variation.
• A process that is operating in the presence of assignable causes is said
to be an out-of-control process.
Chance and
• The terminology chance and assignable causes
Assignable was developed by Shewhart. Today, some
writers use the terminology common cause
Causes of instead of chance cause and special cause
instead of assignable cause.
Quality
Variation
Statistical Basis of the Control Chart
The chart contains a center line that represents the average value of
the quality characteristic corresponding to the in-control state. (That
is, only chance causes are present.)

Two other horizontal lines, called the upper control limit (UCL) and
the lower control limit (LCL), are also shown on the chart.

These control limits are chosen so that if the process is in control,

nearly all of the sample points will fall between them.

However, a point that plots outside of the control limits

is interpreted as evidence that the process is out of control, and
investigation and corrective action are required to find and eliminate
the assignable cause or causes responsible for this behaviour.
 Statistical Basis of the
Control Chart
• The most important use of a control chart is to improve
the process. We have found that, generally,
1. Most processes do not operate in a state of
statistical control, and
•
2. Consequently, the routine and attentive use of
control charts will identify assignable causes. If these
causes can be eliminated from the process, variability
will be reduced and the process will be improved.
This process improvement activity using the control
chart is illustrated in Fig. 5.5. Note that
•
3. The control chart will only detect assignable causes.
Management, operator, and engineering action wil
usually be necessary to eliminate the assignable causes.
 • In identifying and eliminating assignable causes, it is important to find the root
cause of the problem and to attack it.
Out-of- • A cosmetic solution will not result in any real, long-term process
improvement.

Control- • Developing an effective system for corrective action is an essential component

of an effective SPC implementation.
• A very important part of the corrective action process associated with control
Action Plan •
chart usage is the out-of-control-action plan (OCAP).
An OCAP is a flow chart or text-based description of the sequence of activities
(OCAP) •
that must take place following the occurrence of an activating event.
These are usually out-of-control signals from the control chart.
• The OCAP consists of checkpoints, which are potential assignable causes, and
terminators, which are actions taken to resolve the out-of-control condition,
preferably by eliminating the assignable cause.
• It is very important that the OCAP specify as complete a set as possible of
checkpoints and terminators, and that these be arranged in an order that
facilitates process diagnostic activities.
 Out-of-
Control-
Action Plan
(OCAP)
 • Control charts have had a long history of use in U.S. industries and
in many offshore industries as well. There are at least five reasons for
their popularity.

Five Reasons • Control charts are a proven technique for improving

productivity. reduce scrap and rework
for their • Control charts are effective in defect prevention. “do it right the
first time”
Popularity • Control charts prevent unnecessary process adjustment. “if it
isn’t broken, don’t fix it”
• Control charts provide diagnostic information. a change in the
process
• that improves its performance
• Control charts provide information about process capability.
Value of important process parameters and their stability over
time.
 The Rest of the Magnificent Seven
The seven major SPC problem-solving tools should be widely taught
throughout the organization and used routinely to identify improvement
opportunities and to assist in reducing variability and eliminating waste.
• 1. Histogram or stem-and-leaf plot
2. Check sheet
3. Pareto chart
4. Cause-and-effect diagram
5. Defect concentration diagram
6. Scatter diagram
7. Control chart
 2. Check Sheet
➢ A check sheet is a paper form on which items to be
checked have been printed already so that data can be
collected easily and concisely.
➢ Its main purposes are:
▪ To make data-gathering easy
▪ To arrange data automatically so that they can be used
easily later on.
▪ The check sheet is created by tallying each type of defect
during a specified time.
▪ It shows the types of defects and how many of each type
occurred during that period.
▪ Keeping track of these data provides management with
information on which to base improvement actions.
Defective
item check
sheet
 3. Pareto Analysis (80/20 principle)

➢ Quality problem appears in the form of loss(defective items and their cost).
➢ Its extremely important to clarify the distribution pattern of the loss. Most of the loss(80)
will be due to a very few types of causes(20).
➢ Thus, if the causes of these vital few defects are identified, we can eliminate almost all the
losses by concentrating on these particular causes, leaving aside the other trivial many
defects for the time being.
➢ By using the Pareto diagram, we can solve this types of problem efficiently.
➢ A Pareto diagram is a bar graph used to arrange information in such a way that priorities
for process improvement.
➢ Pareto analysis provides the mechanism to control and direct effort by fact
 Pareto Analysis

➢ Pareto diagram is used:

✓ To display the relative importance
✓ To direct efforts to the biggest improvement
opportunity by highlighting the vital few in
contrasts to the trivial many.
✓ To Prioritize problems, goals, and objectives
✓ To Identify root causes
✓ To Select and define key quality improvement
programs
✓ To Address the Vital Few and the Trivial Many
causes of nonconformance
 Type of Defect Number of Defects
Table: Number of
defects observed Crack 10

Example
Scratch 42
The following table shows the
different types of defect and the
Stain 6
total number of items that the
defects occurred on products in
Strain 104
ABC company. Use the Pareto
analysis to determine the vital
Gap 4
few cause, which results the
majority of the problem.
Pinhole 20
Others 14
Total 200
Table : Data Sheet
for Pareto Diagram Type of Number Cumulative Individual Cumulative
Defects of Total Percentage Percentage
Defects
Step 4: 1 Strain 104 104 52 52
Make a Pareto diagram data 2 Scratch 42 146 21 73
sheet listing the items, their 3 Pinhole 20 166 10 83
individual totals, cumulative 4 Crack 10 176 5 88
totals, percentages of overall
5 Stain 6 182 3 91
total, and cumulative
6 Gap 4 186 2 93
percentages.
7 Others 14 200 7 100

Total 200 - 100 -

Figure : Pareto Diagram by Defective Items
Check Sheet
 4. Cause-and-Effect Diagram
A Cause-and-Effect Diagram is a tool that helps identify, sort, and display possible
causes of a specific problem or quality characteristic.

The diagram graphically illustrates the relationship between a given outcome and all
the factors that influence the outcome.

Cause-and-Effect Diagram is used to perform root cause analysis.

The goal of root cause analysis is to systematically look beyond the symptoms of a
problem to find its actual causes.
 Cause and effect diagram is used when we need
Cause- to:
and-Effect ➢ Identify the possible root causes, for a
diagram specific effect, problem, or condition.
➢ Sort-out and relate some of the interactions
among the factors affecting a particular
process or effect.
➢ Analyze existing problems so that corrective
action can be taken.
 • Some of the benefits of constructing a Cause-
and-Effect Diagram are:-
• Helps determine the root causes of a
Cause-and- problem or poor quality
Effect • Encourages group participation.
diagram • Uses an orderly, easy-to-read format .
• Indicates possible causes of variation in a
process.
• Increases knowledge of the process by
helping everyone to learn more about the
factors at work and how they relate.
• Identifies areas where data should be
collected for further study.
Also Known:
as Ishakawa
diagram or
as Fish-bone
Diagram
 The steps for constructing and
analyzing a Cause-and-Effect
Diagram are :
• Step 1:
Developing a
Cause-and- Identify and clearly define the
Effect Diagram outcome or effect to be analyzed.

• Decide on the effect to be examined.

• Use operational definitions.
• Remember, an effect may be positive (an
objective) or negative (a problem),
 Step 2: Draw the spine and create the effect box
✓ Draw a horizontal arrow pointing to the right. This is the
spine.
✓ To the right of the arrow, write a brief description of the
effect or outcome, which results from the process.

Cause-and-
Effect
diagram
Cause-and-Effect • Step 3: Identify the main causes contributing to the effect being studied
diagram
 Cause-and-Effect
Establish the main causes, or
categories, under which other
possible causes will be listed.
Write the main categories
your team has selected to the
left of the effect box, some
above the spine and some
below it.
Draw a box around each
category label and use a
diagonal line to form a branch
connecting the box to the
spine.
Step 4:
For each major branch, identify
other specific factors which
may be the causes of an effect.
Identify as many secondary
causes or factors as possible
and attach them as sub
branches of the major
branches.
Fill in detail for each cause. If a
minor cause applies to more
than one major cause, list it
under both.
Step 5: Identify
increasingly more Step 6: Analyze the
detailed levels of diagram, this helps
causes and continue you identify root
organizing them causes for that
under related causes specific problem.
or categories.
 Method

conveyor speed
Specification
layout of design
Worker Variation
Tight among workers
tolerances Inadequate
trainging
Effect: Poor
solder joints
Solder bit too
large
Temprature of Insufficient
solder bit solder
Improper
flux

Equipment Process
Materials
capability

Example 2 Process
Example 3
Example 4
Example 5
Example 6
 5. Scatter Diagram

➢ The scatter diagram is a technique used to study the relation of two

corresponding variables.
➢ Scatter diagram helps us to describe any outlying data ( outliers)
The two variables dealt with may be:
1. A quality characteristic and a factor affecting it,
2. Two related quality characteristics, or
3. Two factors relating to a single quality characteristic.
Eg. To what extent will the dimension of a machine part be varied by the change
in the speed of a lathe?
 Scatter Diagram

▪ One variable is plotted on the horizontal axis and the other is plotted on the vertical axis.
▪ The pattern of their intersecting points can graphically show their relationship patterns.
❖ Correlation
✓ To study the relation of X and Y, it is important to first draw scatter diagram, in order to
understand the strength of the relation in quantitative terms, it is useful to calculate the
correlation coefficient
✓ How strong is the linear relationship between the variables?
✓ Coefficient of correlation, r, measures degree of association
✓ Values range from -1 to +1
  xy −  x y
r= n
 ( x) 2   ( y) 2 
 x −
2
.  y −
2

 n   n 
 

✓ The value of r ranges between [ -1, +1], and

✓ r denotes the strength of the association.
Scatter Diagram Interpretations
outliers
Defect Concentration Diagram

• A defect concentration
diagram is a picture of the unit,
showing all relevant views.
Then the various types of
defects are drawn on the picture,
and the diagram is analyzed to
determine whether the location
of the defects on the unit
conveys any useful information
about the potential causes of the
defects. Defect concentration
diagrams are very useful in the
analyze step of DMAIC.
END
Thanks