Suppose that a metal rod is supposed to be cut 51.8 mm. in length. The upper spec limit is set at 52.9 mm., and the lower spec limit set at 50.7 mm. A metal rod that is out of spec must be scrapped at a cost of $36.00. The company uses the Taguchi Quality Loss Function to estimate quality costs. Suppose that a sample of 5 units was taken, and the rod measurements were: 51.5, 52.3, 50.5, 51.4, and 51.9 mm., respectively.
What is the total Taguchi Quality Cost of that sample of 5 units?
2. (6 points)
We watched the video, “Quality Counts at Alaska Airlines” in class. There is an associated written case study in Chapter 6 of the textbook. To access it, get into MyOMLab and click on “Pearson eText and Supply Chain Management Casebook,” then click on “View the Complete Pearson eText” at the top of the page, then click on the three little bars on the upper left next to the picture of the book, then click on “Table of Contents,” then click on
“Chapter 6: Managing Quality,” then click on the first appearance of “Case Studies,” then scroll down to the Alaska Airlines case.
T=L/D2 =36 / (51.8-50.7)2 = =36/1.21=29.75
L=TD2 = 29.75D2
Cost of quality in sample:-
For 1st:- 29.75D2 = 29.75(51.8-51.5)2 =2.6775
For 2nd:- 29.75D2 = 29.75(51.8-52.3)2 =7.4375
For 3rf:- 29.75D2 = 29.75(51.8-50.5)2 =96.39
For 4th:- 29.75D2 = 29.75(51.8-51.9)2 =0.2975
Total cost = 2.6775+7.4375+96.39+0.2975 =$106.8