Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
12th Edition
ISBN: 9780134855424
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 3, Problem 13P

(a)

Summary Introduction

Interpretation:

To design a p-chart showing upper and lower control limits.

Concept Introduction:

P-charts are used to identify the defective items, from a group of items. It is a form of control chart which is used to analyze the proportion of nonconforming units into a specified sample.

(b)

Summary Introduction

Interpretation:

Tax information process in statistical control.

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The IRS is concerned with improving the accuracy of tax information given by its representatives over the telephone. Previous studies involved asking a set of 25 questions of a large number of IRS telephone representatives to determine the proportion of correct responses. Historically, the averageproportion of correct responses has been 72 percent. Recently, IRS representatives have been receiving more training. On April 26, the set of 25 tax questions were again asked of 20 randomly selected IRS telephone representatives. The numbers of correct answers were 18, 16, 19, 21, 20, 16,21, 16, 17, 10, 25, 18, 25, 16, 20, 15, 23, 19, 21, and 19. a. What are the upper and lower control limits for the appropriate p-chart for the IRS? Use z = 3. b. Is the tax information process in statistical control?
A team of undergraduate business students was asked to recommend improvement to the data entry process at the county appraiser’s office. The team identified several types of errors, such as posting an incorrect name or entering an incorrect parcel number. The deed abstractors were asked to keep a record of the errors in data entry that were sent to them. The following table is a frequency distribution of errors: Defect Total Posting error in name  Posting error in parcel Property sold after tax bills were mailed Inappropriate call transfer (not part of deeds>mapping) Posting error in legal description>incompletelegal description Deeds received after tax bills printed Correspondence errors Miscellaneous errors  23 21 5 18   4 6 2 1 a. Construct a Pareto diagram of these defects in data entry.b. What recommendations would you suggest to the county appraiser?
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