# Chapter 8 Making Sense of Data in Six Sigma and Lean - PowerPoint PPT Presentation

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## Chapter 8 Making Sense of Data in Six Sigma and Lean

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### Chapter 8 Making Sense of Data in Six Sigma and Lean – PowerPoint PPT presentation

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Title: Chapter 8 Making Sense of Data in Six Sigma and Lean

1
Chapter 8 Making Sense of Data in Six Sigma and
Lean
2
How to tell story from dataset? Quantitative
Data
• Graphical Methods
• Dot Plots
• Stem-and-Leaf Plots
• Frequency Tables
• Histograms and Performance Histograms
• Run Charts
• Time-Series Plots
• Numerical Methods Descriptive Statistics

3
How to tell story from dataset? Qualitative Data
• Pie Charts
• Bar Charts
• Pareto Analysis with Lorenz Curve

4
How to tell story from dataset? Bivarite Data
• Graphical Methods
• Scatter Plots
• Numerical Methods Correlation Coefficient
• Pearson Coefficient
• Spearmans Rho (?)
• Kendalls Tau (?) Rank Correlation

5
How to tell story from dataset? Multi-Vari Data
• Graphical Methods
• Multi-Vari Charts

6
Summarizing Quantitative Data Dot Plots
• Dot plot is one of the most simple types of plots

Example 8.1 Minitab Graph Dotplot Simple
7
Summarizing Quantitative Data Stem-and-Leaf Plots
• Stem-and-Leaf Plots are a method for showing the
frequency with which certain classes of values
occur.

i160.photobucket.com/.../treediagram.png
8
Summarizing Quantitative Data Frequency Tables
• constructed by arranging collected data values in
ascending order of magnitude with their
corresponding frequencies.
• Absolute frequencies or relative frequencies ()

www.sci.sdsu.edu/.../Weeks/images/Frequency.png
9
Summarizing Quantitative Data Histogram
www.statcan.gc.ca/.../ch9/images/histo1.gif
10
Summarizing Quantitative Data Run Charts
• A line graph of data points plotted in
chronological order that helps detect special
causes of variation

Minitab Graph Time Series Plot Simple
11
Summarizing Quantitative Data Time-Series Plots
• A time series plot is a graph showing a set of
observations taken at different points in time
and charted in a time series.

Minitab Graph Time Series Plot Simple
12
Summarizing Quantitative Data Descriptive
Statistics
• Measures of Center
• Sample mean
• Population mean
• Median the "middle" value in the dataset
• Mode the value that occurs most often

13
Summarizing Quantitative Data Descriptive
Statistics
• Measures of Variation
• Range the difference between the largest and the
smallest values in the dataset
• Sample variance
• Sample standard deviation
• Population variance
• Population standard deviation

14
Summarizing Quantitative Data Descriptive
Statistics
• Measures of Variation
• Coefficient of Variation (CV)
• Interquartile Range (IQR)

15
Summarizing Quantitative Data Descriptive
Statistics
• Minimum
• Maximum
• Median
• First Quartile
• Third Quartile
• Minitab
• Stat
• Basic Statistics
• Display Descriptive..
• Boxplot

16
Summarizing Quantitative Data Descriptive
Statistics
• Identifying Potential Outliers
• Lower inner fence (LIF)
• Upper inner fence (UIF)
• Lower outer fence (LOF)
• Upper outer fence (UOF)
• Mild outliers data fall between the two lower
fences and between the two upper fences
• Extreme outliers data fall below the LOF or
above the UOF

17
Summarizing Quantitative Data Descriptive
Statistics
• Measures of Positions
• Percentiles
• Percentiles divide the dataset into 100 equal
parts
• Percentiles measure position from the bottom
• Percentiles are most often used for determining
the relative standing of an individual in a
population or the rank position of the
individual.
• z scores
• Standard normal distribution (? 0 and ? 1)

18
Summarizing Qualitative Data Graphical Displays
• Pie Chart

http//techie-teacher-wanna-be.wikispaces.com/file
/view/SocialPieChart.png/96606670/SocialPieChart.p
ng
19
Summarizing Qualitative Data Graphical Displays
• Bar Graph

www.creationfactor.net/images/graph-bar.jpg
20
Summarizing Qualitative Data Graphical Displays
• Pareto Analysis with Lorenz Curve

www.spcforexcel.com/files/images/ccpareto.gif
21
Summarizing Bivariate Data Scatterplot
Minitab Graph Scatterplot Simple
22
Summarizing Bivariate Data Correlation
Coefficient
• Pearson Correlation Coefficient

Minitab Stat Regression Regression
23
Summarizing Bivariate Data Correlation
Coefficient
• Spearmans Rho (?)
• A measure of the linear relationship between two
variables.
• It differs from Pearson's correlation only in
that the computations are done after the numbers
are converted to ranks.
• When converting to ranks, the smallest value on X
becomes a rank of 1, etc.
• D (Difference) is calculated between the pair of
ranks

24
Summarizing Bivariate Data Correlation
Coefficient
• Spearmans Rho (?) Example

GPA 3.99 3.97 3.93 3.92 3.91 3.85 3.84 3.77
Salary 57.7 61.2 57.3 54.6 64.7 55.3 52.2 54.1
GPA Rank 8 7 6 5 4 3 2 1
Salary Rank 6 7 5 3 8 4 1 2
D 2 0 1 2 -4 -1 1 -1
D2 4 0 1 4 16 1 1 1 ?28
25
Summarizing Bivariate Data Correlation
Coefficient
• Kendalls Tau (?)
• A measure of the linear relationship between two
variables.
• It differs from Pearson's correlation only in
that the computations are done after the numbers
are converted to ranks.
• When converting to ranks, the smallest value on X
becomes a rank of 1, etc.
• P is of pairs with both ranks higher

26
Summarizing Bivariate Data Correlation
Coefficient
• Kendalls Tau (?) Example
• Example

GPA 3.99 3.97 3.93 3.92 3.91 3.85 3.84 3.77
Salary 57.7 61.2 57.3 54.6 64.7 55.3 52.2 54.1
GPA Rank 8 7 6 5 4 3 2 1
Salary Rank 6 7 5 3 8 4 1 2
P 0 0 2 3 0 4 6 6 ?21
27
Summarizing Multi-Vari Data Multi-Vari Charts
• Show patterns of variation from several possible
causes on a single chart, or set of charts
• Obtains a first look at the process stability
over time. Can be constructed in various ways to
• Positional variation within a part or process
• Cyclical variation between consecutive parts or
process steps
• Temporal Time variability

28
Graphical Tool Multi-Vari Charts
Cus. Size Product Cus. Type Satis.
1 1 2 3.54
2 1 3 3.16
1 2 2 2.42
2 2 2 2.70
1 1 3 3.31
2 1 2 4.12
2 2 1 3.24
2 2 2 4.47
2 1 2 3.83
1 1 1 2.94
Cus. Size 1 small 2 large Product 1
Consumer 2 Manuf. Cus. Type 1 Govt 2
Commercial 3 Education
http//www.qimacros.com/qiwizard/multivari-chart.h
tml
29
Graphical Tool Multi-Vari Charts
Minitab Stat Quality Tools Multi Vari Chart