Research Reports from the Department of Operations

Document Type

Report

Publication Date

1-1-1987

Abstract

The purpose of this paper is to outline a dynamic (time related) approach to quality control when manufacturing product reliability and post sales product failure costs are considered explicitly in the economic design of quality control samples. A specific curtailed sampling technique is used and optimal samples determined. The optimal quality control sampling plan is calculated analytically by the solution of a stochastic dynamic programming problem. In addition, several numerical examples are resolved. The essential contributions of the paper are two-fold; first in integrating economic considerations related to manufacturing reliability, product reputation and post-sales marketing costs. Second, in outlining a decision theoretic framework which recognizes time as an essential ingredient in planning and integrating quality control in the manufacturing process.

Keywords

Operations research, Quality control, Production management, Reliability (Engineering), Sampling (Statistics), Stochastic processes, Decision making--Mathematical models, Marketing--Costs, Dynamic programming

Publication Title

INFOR vol. 25, no. 2 (1987) ; Technical Memorandums from the Department of Operations, School of Management, Case Western Reserve University

Issue

Technical memorandum no. 560

Rights

This work is in the public domain and may be freely downloaded for personal or academic use

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