Krajewski IN Supplement I - Supplement I Acceptance...

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I Acceptance Sampling Plans A. Acceptance Sampling Plan Decisions 1. An inspection procedure used to determine whether to accept or reject a specific quantity of materials (batch or “lot”). The consumer, sometimes in cooperation with the producer, specifies the parameters of the acceptance sampling plan. a. Impact of TQM 2. Basic procedure a. Take random sample. b. Accept or reject, based on results. 3. Definitions: a. Producer, or seller, is origin of the material or service. b. Consumer, or buyer, is destination of the material or service. c. Sampling plan, a decision guide to control the risks of the producer and consumer. 4. Quality and risk decisions a. Acceptable quality level (AQL), a percentage of defects stated by the consumer in the contract, and the aim of the producer. It is the quality level desired by the consumer (emphasis added) b. Producer’s risk ( α ) is the probability that a shipment having exactly this level of quality (the AQL) will be rejected when the lot is sampled using the specified sampling plan. Rejecting a good (AQL) lot is a type I error. Consumers also desire low producer’s risk because sending good materials back to the supplier disrupts the consumer’s production processes due to material shortages, increases lead time, and creates poor supplier relations. c. Lot tolerance proportion defective (LTPD), the worst level the customer can tolerate. The customer would not be happy, but probably wouldn’t sue. d. Consumer’s risk , ( β ) is the probability a shipment having exactly this level of quality (the LTPD) will be accepted when the lot is sampled using the specified sampling plan. Accepting a bad (LTPD) lot is a type II error.
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This note was uploaded on 12/19/2009 for the course MANAGEMENT 00123 taught by Professor Ahmed during the Spring '09 term at Albany College of Pharmacy and Health Sciences.

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Krajewski IN Supplement I - Supplement I Acceptance...

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