STAT 101 Lecture Notes - Lecture 15: Hospital-Acquired Infection, Standard Deviation, Decision Rule

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26 Mar 2015
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Stat 101 - introduction to business statistics - lecture 15: quality control. To understand quality control chart, you must master: central limit theorem, standard error of x-bar a, surprise paradigm, type i (false positive) and type ii (false negative) errors. One popular use of statistics is in quality control (qc). Monitoring the proportion of defective silicon chips. Monitoring the average length of time to resolve a call in a call center. Monitoring the number of nosocomial infections each day in a hospital. These are all sequences over time with inherent variability. *****the key question is whether or not a jump in the observed process indicates that something real has happened (a change in the process mean) or whether it is just noise in the system. Quality control procedures will allow us to formalize a process to help us make this decision (signal change or noise).

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