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Operations Management: Statistical Process ControlBy [Name]CourseInstructorInstitutionDate1 |P a g e
Part 1: Literature Review on Statistical Process ControlStatistical Process Control (SPC) is one of the best statistical technique for monitoring,controlling, and improving both production process and the quality of final products. Abtew et al.(2018) defines SPC as a problem-solving tool used to monitor, control, analyze, manage, andimprove the entire process with the help of statistical methods. It functions in the framework oftotal quality management (TQM) by reducing or eliminating both special and common causes ofvariations in a process. Montgomery (2020) describes SPC as a powerful collection of problem-solving techniques used to maintain process stability and improve process capability throughvariability eradication. Therefore, for a company to survive in the contemporary competitivemarket, it must adopt SPC techniques and improve the quality of both processes and products.This is based on the fact that SPC aims at controlling quality characteristics on processes,products, equipment, and operations (Oguntunde et al., 2015;Montgomery, D.C., 2010).Regarding its inception, Shewhart Walter A. of Bell Laboratories pioneered the concept ofstatistical process control in the early 1920s (Abtew et al., 2018). According to Abtew et al.,(2018), Shewhart conducted carefully designed experiments in 1920s into 1930s and in 1939, hecrafted the concept of control charts and created a state of statistical control. In his experiments,Shewhart discovered that some processes were characterized variations natural to the processitself, while other processes exhibited uncontrolled variations, some of which emanated outsidethe process causal system. Rahman et al. (2018) posit that Deming W.E. in 1940, improvedShewhart’s concept of state of statistical control to come up with a “plan-do-check-act” (PDCA)cycle and improved controls charts. Deming’s experiment resulted in an integrated SPCmethodology, which he applied in the United Stated during the Second World War tosuccessfully improve the quality of manufacture aminations and other strategically important war2 |P a g e
products (Rahman et al., 2018). Deming also introduced his SPC method in the Japanesemanufacturing industries after World War II.With the emergence of other quality control tools such six sigma and TQM in 1970s and 1980s,SPC methods were widely used by many manufacturing and service firms across the globe.Currently, there are seven SPC tools namely Pareto chart, cause-and-effect sheet, scatterdiagram, flow chart, histogram, check sheets, and control charts (Soriano et al., 2017), which arewidely used to monitor, control, and improve processes. In a recent study, Sultana et al. (2019)used SPC methods (Pareto and Control charts) to demonstrate the frequency of machinebreakdown and explore time duration of product manufacture, as well as establish the primarycauses of system breakdown. In another study, Fouad and Mukattash (2010) concentrated on