Guide to Using Excel 2007 For Basic

Statistical Applications

To Accompany
Business Statistics: A Decision Making
Approach, 8th Ed.
Chapter 18:
Introduction to Quality and Statistical
Process Control
By
Groebner, Shannon, Fry, & Smith
Prentice-Hall Publishing Company
Copyright, 2011
 Chapter 18 Excel
Examples
 X-bar and R-Charts
Cattlemen’s Bar and Grill
 p-Charts
Hilder’s Publishing Company
 c-Charts
Chandler Tile Company
 X-Bar and R-Charts -
Cattlemen’s Bar and
Grill
Issue: In order to maintain its reputation for
excellent food and service, the owners need to
measure product and service quality on a regular
basis.
Objective: Use Excel 2007 to develop a
procedure to visually monitor key measures of
product and service quality.
Data file is Cattlemen.xls
X-Bar and R Charts – Cattlemen’s Bar and Grill

Open the file

Cattlemen.xls
X-Bar and R Charts – Cattlemen’s Bar and Grill

Note: In columns G and H

•Mean has been computed as:
=AVERAGE(B1:E1)
•Range has been computed as:
•=(MAX(B1:E1)-(MIN(B1:E1))
X-Bar and R Charts – Cattlemen’s Bar and Grill

•Select the Add-Ins tab

•Select PHStat
•Select Control Charts
•Select R and XBar Charts
X-Bar and R Charts – Cattlemen’s Bar and Grill

•Subgroup/Sample Size = 4
•Subgroup … Cell Range: H1:H31
•Select First cell Contains labels
•Select R and XBar Charts
•Subgroup Means Cell Range: G1:G31
•OK
X-Bar and R Charts – Cattlemen’s Bar and Grill

R Chart
X-Bar and R Charts – Cattlemen’s Bar and Grill
X-Bar Chart
 p-Charts -
Hilder’s Publishing
Company
Issue: The manager of the order entry department
has decided to develop a process control chart to
monitor the order entry errors.
Objective: Use Excel 2007 to develop a procedure to
visually monitor order entry form error percentage.
Data file is Hilders.xls
p-Charts – Hilder’s Publishing Company

•Open the File Hilders.xls

•Select the Add-Ins Tab
•Select PHStat
•Select Control Charts
•Select p Chart
 p-Charts – Hilder’s Publishing Company

•Non-Conformance cell
range: C1:C31
•Select First cell contains
label
•Select Size does not vary
•Sample/Subgroup Size
100

Neither Excel nor the PHStat add-ins contain a Mann–Whitney U-test,

p-Charts – Hilder’s Publishing Company
 c-Charts -
Chandler Tile Company
Issue: The company wants to develop a procedure
to monitor the number of defects in its production of
tiles.
Objective: Use Excel 2007 to develop a procedure to
visually monitor surface scratches in tile.
Data file is Chandler.xls
c-Charts – Chandler Tile Company

•Open the file Chandler.xls

•Compute the average of Column C as
shown.
c-Charts – Chandler Tile Company

•Compute the Upper

Control limit using the
formula shown.
•Copy and paste cells C1
and D1 through the bottom
of the list
c-Charts – Chandler Tile Company

•Compute the Lower

Control Limit as
•C2-(3*(SQRT(C2))
•Since the result is
negative load the value 0
into the column
c-Charts – Chandler Tile Company

•Highlight Columns
B,C,D and E
•Select the Insert tab
•Click Line Chart
c-Charts – Chandler Tile Company

Out of Control

UCL=12.86

Avg C = 5.7

LCL = 0