Basic Statistical Thinking

11/15/23 Dr Tasweer Hussain Syed 1
A note on a university notice board reads:
“If it moves its Biology; if it stinks its

Chemistry; if it doesn’t work, its Physics;
and if it puts you to sleep its Statistics!”

Chapter 1

Bengali Baba

?
 Why is a physician held in much higher

esteem than a statistician?
 A physician makes an analysis of a

complex illness whereas a statistician
makes you ill with a complex analysis!

Research on Cause of Blood
Sugar (Bongaeo et al 2012)
 Report Highlights
 54 % Causes due to Heredity
 20 % causes Due to Weak Diet
 20% causes due to High Sugar Intake
 06 % causes due to Smoking
What is the major cause of blood sugar?

Why did you conclude that?
NOTE
Due to some
administrative reasons
the research quoted
moment ago was not
done
Current Era
 Productionism
 Quality is conformance to Standards
 Consumerism
 Quality is meeting a Customer’s delight

Stat Thinking - H G Wells
 "Statistical thinking will one day be as
necessary for efficient citizenship as the
ability to read and write."

Stat Thinking - Lord Kelvin
 "When you can measure what you are
speaking about and express it in numbers,
you know something about it. When you
cannot express it in numbers, your
knowledge is of a meagre and
unsatisfactory kind."

What is Statistical Thinking?
 It is well recognized that in order to maintain and
improve our competitiveness, we need to
continually improve all aspects of our business at an
increasing rate. Statistical Thinking provides a
common methodology for Continuous Improvement
that is applicable to everything we do.
 Moreover, Statistical Thinking will ensure that we
improve efficiently and in a real and lasting manner.

Statistical Thinking
(Benz –vi and Garfield 2005)
 It is understanding of why and how statistical investigations are conducted
and the underlying “big ideas” that includes the omnipresent nature of
variation and when and how to use appropriate methods of data analysis
such as numerical summaries and visual displays of data
 It is understanding of the nature of sampling, how we make inferences
from samples to populations, and why designed experiments are needed
in order to establish causation

Statistical Thinking
(Benz –vi and Garfield 2005)
 It is understanding of how models are used to simulate random

phenomena, how data are produced to estimate probabilities, and how,
when, and why existing inferential tools used
 It is to understand and utilize the context of a problem in forming
investigations and drawing conclusions, and recognizing and
understanding the entire process (from question posing to data collection
to choosing analyses to testing assumptions, etc.). Finally, statistical
thinkers are able to critique and evaluate results of a problem solved or a
statistical study
 According to Benz –vi and Garfield ( 2005) it has 4 dimensions…….

4 Dimensions

What is Statistical Thinking?
 The practice of Statistical Thinking consists of the
application of the following elements to all business
activities in conjunction with Corporate values and
objectives.
 1. notion of process
 2. understanding and dealing with variation
 3. understanding and appropriate use of statistical
tools
 4. systematic approach to improvement

Why Statistical Thinking?
 Improved Statistical Thinking will lead to better
business decisions
 increased success in implementing programs such
as Variation Reduction, Synchronous
Manufacturing, JlT, SPC etc
 better human relations " SQC (statistical quality
control) makes it possible to attain both traditional
aspirations: high quality and productivity on one
hand, work worthy of human beings on the other."
 ( Peter Drucker, The Emerging Theory of Manufacturing,
Harvard Business Review, May-June, 1990.)
Why Statistical Thinking?
 Statistical Thinking can be applied throughout
an organization, not only in manufacturing
 - large gains possible in non-manufacturing
processes
 - high percentage of work in a manufacturing
organization is devoted to service activities
(Management, Engineering, Maintenance,
Purchasing, Finance etc)

ELEMENTS OF
STATISTICAL THINKING
The four elements of statistical thinking are:
- notion of process
- understanding and dealing with variation
- understanding and appropriate use of
statistical tools -- ( Lt Col Dr Yasir)

- systematic approach to process
improvement
( Lt Col Dr Yasir)

NOTION OF PROCESS
Any activity can be portrayed as the central
part of a process
Inputs Process Output
Quality
Suppliers Environment
Cost
Machines
Responsiveness
Methods
Material
Measurement
Note that customers and suppliers should beconsidered part of
the process definition (CUSTOMER FOCUS)
Tools for describing processes
 Tools for describing processes include
 process flow diagram
 cause and effect diagram
Appropriate level of detail in process
description is critical
It is more difficult to think of non-
manufacturing work as a process because
 not tangible
 usually not well documented (no blueprint)
 we are not used to doing so

Tools for describing processes
Immediate consequences of consideration of
work as a process are
encourages concentration on process, not
results (PROCESS FOCUSED)

forces customer focus (CUSTOMER DRIVEN)
STANDARDIZATION ( best current practice) is
possible

TQM & Customer Orientation
Recognizes role of suppliers and the
importance of UP-STREAM QUALITY (TQM)
ideas of INTERNAL and EXTERNAL suppliers
and customers
process may have many customers and many
suppliers
process may have many inputs and many
outputs

UNDERSTANDING AND
DEALING WITH VARIATION

Statistics
Statistics involves the theory and methods of

collecting,
organizing,
presenting,
analyzing, and
interpreting

Statistic
 Data – A value ( measurement or
observation)that a variable can assume
 Variable – Any characteristic or attribute that
can assume any value
 Any event out of a multitude of haphazard events
 Accidents of automobiles insured by EFU insurance
shows that every 2(Data) out of 100 vehicles
insured met accident (variable) in one year

Taxonomy of Data
 Data – value of Attribute / Info
 Variables - Attribute
 Data + Variable
= Meaningful Information
40 Data
40 Shoes
20 Pairs of Shoes
Quantitative Quantitative
Discrete
Continuous

Variables
 Variables are the quantities measured
in a sample.They may be classified as:
 Quantitative i.e. numerical
 Continuous (e.g. pH of a sample, patient
cholesterol levels)
 Discrete (e.g. number of bacteria colonies in a
culture)
 Categorical
 Nominal (e.g. gender, blood group)
 Ordinal (ranked e.g. mild, moderate or severe
illness). Often ordinal variables are re-coded to
be quantitative.
30
Variables
 In research, the characteristic or phenomenon
that can be measured or classified is called a
variable. There are 4 levels of variables:
 Nominal
 Ordinal
 Interval
 Ratio

Levels of Data – The Scales
Nominal Scale
 NOMINAL, CATEGORICAL
E.g. Apples and pears, gender, eye colour,
ethnicity.
Data that are classified into categories and
cannot be arranged in any particular
order. Nominal=Categorical=Dichotomous

1. Nominal Scale:
 Nominal should be associated with the word “name” since this
scale identifies categories. Observations on a nominal scale
possess neither numerical value nor order. A variable whose
values appear on a nominal scale is termed qualitative or
categorical. For example, a variable X depicting the sex of an
individual (male or female) is nominal in nature as are
variables depicting religion, political affiliation, occupation,
marital status, color, and so on. Clearly, nominal values cannot
be ranked or ordered—all items are treated equally. The only
valid operations for variables treated on a nominal scale are
the determination of “¼” or “ $ .” For nominal data, any
statistical analysis is limited and usually relegated to the
calculation of percentages.
Ordinal Scale
data ordered, but distance between intervals

not always equal. E.g. Low, middle and
high income, or rating a brand of soft
drink on a scale of 1-5

2. Ordinal Scale:
 (think of the word “order”) Includes all properties of the nominal scale
with the additional property that the observations can be ranked from the
“least important” to the “most important.” For instance, hierarchica
lorganizations within which some members are more important or ranked
higher than others have observations that are considered to be ordinal
since a “pecking order” can be established. For example, military
organizations exhibit a well-defined hierarchy (although it is “better” to be
a colonel than a private, the ranking does not indicate “how much
better”). Other examples are as follows:
 Performance Ratings Corporate Hierarchy
 Excellent President Very good Senior vice president
 Good Vice president
 Fair Assistant vice president
 Poor Senior manager, Manager
 Both nominal and ordinal scales are nonmetric scales since differences
among their values are meaningless

Interval and Ratio Scales
 Interval= equal distance between each
interval. E.g. 1,2,3. Arbitrary zero point (ex.
Fahrenheit scale for temperature -
temperature does not cease to exist at 0
degrees.
 Ratio= similar to interval scale, but has

true zero point E.g. Weight, salary ($0=$0)

3. Interval Scale:
 Includes all the properties of the ordinal scale with the additional
property that the distance between observations is meaningful; the
numbers assigned to the observations indicate order and possess
the property that the difference between any two consecutive
values is the same as the difference between any other two
consecutive values. Hence, the difference 3 – 2¼1 has the same
meaning as 5 – 4¼1. While an interval scale has a zero point, its
location may be arbitrary so that ratios of interval scale values have
no meaning. For instance, 0C does not imply the absence of heat (it
is simply the temperature at which water freezes); or 60C is not
twice as hot as 30C. Also, a score of zero on a standardized test does
not imply a lack of knowledge; and a student with a score of 400 is
not four times as smart as a student who scored 100

4. Ratio Scale:
 Includes all the properties of the interval scale
with the added property that ratios of
observations are meaningful. This is because
“absolute zero is uniquely defined.” In this
regard, if a variable X is measured in dollars ($),
then $0 represents the “absence of monetary
value;” and a price of $20 is twice as costly as a
price of $10 (the ratio is 2/1¼2). Other examples
of ratio scale measurements are as follows:
weight, height, age, GPA, income, and so on

Statistics
 Art and Science of Collecting and
understanding DATA:
 DATA = Recorded Information
 e.g., Sales, Productivity, Quality,
Costs, Return, …

Statistics
 Why? Because you want:
 Best use of imperfect information:
 e.g., 50,000 customers, 1,600 workers,
386,000 transactions,…
 Good decisions in uncertain conditions:
 e.g., new product launch: Fail? OK? Make
you rich?
 Competitive Edge
 e.g., for you in the job market!

Activities of Statistics
1. Designing the study:
 First step
 Plan for data-gathering
 Random sample (control bias and error)
2. Exploring the data:

 First step (once you have data)
 Look at, describe, summarize the data
 Are you on the right track?
Activities of Statistics (continued)
3. Modeling the data
 A framework of assumptions and equations
 Parameters represent important aspects of the
data
 Helps with estimation and hypothesis testing
4. Estimating an unknown:
 Best “guess” based on data
 Confidence interval - “we’re 95% sure that the
unknown is between …”
Activities of Statistics (continued)
5. Hypothesis testing:
 Data decide between two possibilities
 Does “it” really work? [or is “it” just randomly
better?]
 Is financial statement correct? [or is error
material?]
 Whiter, brighter wash?

Data Mining
 Search for patterns in large data sets
 Businesses data: marketing, finance, production ...
 Collected for some purpose, often useful for others
 From government or private companies
 Makes use of
 Statistics – all the basic activities, and
 Prediction, classification, clustering
 Computer science – efficient algorithms (instructions) for
 Collecting, maintaining, organizing, analyzing data
 Optimization – calculations to achieve a goal
 Maximize or minimize (e.g. sales or costs)

Census Bureau County Data
 1,203 counties with demographic, social,
economic, and housing data available for
mining

Clusters of Households
 Identified through data mining
Segments
Summary Groups Top One Percent

Wealthy Seaboard Suburbs
Affluent Upper Income Empty Nesters

Families Successful Suburbanites
Prosperous Baby Boomers
.
. Semirural Lifestyle
Households . .
.
.
Twentysomethings
Young
Mobile College Campuses
Adults Military Proximity
.
.
. .
.
.

Statistical View of the World
 Data are imperfect
 We do the best we can -- Statistics helps!
 Events are random
 Can’t be right 100% of the time
 Use statistical methods
 Along with common sense and good judgment
 Be skeptical!
 Statistics can be used to support contradictory conclusions
 Look at who funded the study?

Statistics in Business: Examples
 Advertising
 Effective? Which commercial? Which markets?
 Quality control
 Defect rate? Cost? Are improvements working?
 Finance
 Risk - How high? How to control? At what cost?
 Accounting
 Audit to check financial statements. Is error material?
 Others : Economic forecasting, background info,
measuring and controlling productivity (human and
machine), …
QUANTITY SOLD
26 5 18 20 13 13
13 7 9 19 19 22
33 10 9 5 18 9
10 3 10 18 10 7
13 13 17 17 17 17
FREQUENCY TALLY
26 1
13 5
33 1
10 4
20 1
19 2
5 2
18 3
17 4
7 2
3 1
9 3
22 1
Two variant curves.
(a) The values are widely dispersed away from their mean.
(b) The values are tightly grouped about their mean.

CALCULATION OF STANDARD
DEVIATION
1. SUBTRACT THE MEAN FROM EACH VALUE IN
THE DATA.
2. SQUARE EACH OF THE DIFFERENCES

OBTAINED IN STEP 1.
3. ADD TOGETHER THE SQUARED

DIFFERENCES.
4. DIVIDE THE SUM OF ALL THE SQUARED

DIFFERENCES BY THE NUMBER OF VALUES.
5. TAKE THE SQUARE ROOT OF THE QUOTIENT

OBTAINED IN STEP 4.
STANDARD DEVIATION
 
 xi  x  2
n
Where  = standard deviation of values in distribution
x = mean of values of distribution

n = No. of values used to calculate standard deviation
xi = value of x for each item in distribution
And where Σ = symbol representing “the sum of”

FINDING THE STANDARD DEVIATION
Step 1 Step 2 Step 3
Subtract the mean Square each of Add the squared
from each value the differences differences
26 – 14 = 12 12² = 144 144
13 – 1 4 = -1 -1² = 1 1
33 – 14 = 19 192 = 361 361
10 – 14 = -4 -4² = 16 16
13 – 14 = -1 -1² = 1 1
5 – 14 = -9 -9² = 81 81
7 – 14 = -7 -7² = 49 49
10 – 14 = -4 -4² = 16 16
3 – 14 = -11 -11² = 121 121
13 – 14 = -1 -1² = 1 1
18 – 14 = 4 42 = 16 16
Subtract the mean Square each of the Add the squared
from each value differences differences
9 – 14 = -5 -5² = 25 25
9 – 14 = -5 -5² = 25 25
10 – 14 = -4 -4² = 16 16
17 – 1 4 = 3 3² = 9 9
20 – 14 = 6 6² = 36 36
19 – 14 = 5 5² = 25 25
5 – 14 = -9 -9² = 81 81
18 – 14 = 4 4² = 16 16
17 – 14 = 3 3² = 9 9
13 – 14 = -1 -1² = 1 1
19
11/15/23 – 14 = 5 5² =Hussain
Dr Tasweer 25 Syed 25 57
Subtract the mean Square each of the Add the squared
from each value differences differences
18 – 14 = 4 4² = 16 16
10 – 14 = -4 -4² = 16 16
17 – 14 = 3 3² = 9 9
13 – 1 4 = -1 -1² = 1 1
22 – 14 = 8 8² = 64 64
9 – 14 = -5 -5² = 25 25
7 – 14 = -7 -7² = 49 49
17 – 14 = 3 3² = 9 9
1,264

Step 4 DIVIDE THE SUM OF THE SQUARED
DIFFERENCES BY THE NUMBER OF
VALUES.
1,264
 42.13
30
Step 5 TAKE THE SQUARE ROOT OF THE
QUOTIENT FROM STEP 4.
42.13  6.49  std .dev.

THERE IS MATHEMATICAL PROOF THAT:
o APPROX. 68% OF ALL THE VALUES IN A

NORMAL DISTRIBUTION LIE WITHIN ONE
STANDARD DEVIATION (±) FROM THE
MEAN.
o ABOUT 95% OF ALL THE VALUES LIE

WITHIN TWO STANDARD DEVIATIONS (±)
FROM THE MEAN.
o OVER 99% OF ALL THE VALUES LIE WITHIN

THREE STANDARD DEVIATIONS (±) FROM
THE MEAN.
Approximate areas under
11/15/23
portions of normal curves
Dr Tasweer Hussain Syed 61
CONTINUOUS DISTRIBUTION OF
PAST DAILY SALES
b
2 4 6 8 10 12 14 16 18 20 22 24 26
11/15/23 Average ofSyed

Dr Tasweer Hussain 14 62
5 5
3 3
1,200 1,400 1,600

Mean Q

.89 std. dev.
.813 of
area
1,200 1,400 Q=1,600

.666
std. dev.
.747 of
area
1,250 1,400
MEDIAN / MODE
No. of persons Monthly earning
in Rupees
25
1400
15
1500
12
2400
18
3600
11/15/23 20
INTERPRETING MEDIAN
 FIFTY PERCENT OR MORE, OF THE DATA
WILL BE GREATER THAN OR EQUAL TO
THE MEDIAN.
 AND FIFTY PERCENT OR MORE, OF THE

DATA WILL BE LESS THAN, OR EQUAL
TO THE MEDIAN.
IN THE FIRST TABLE 5 OUT OF 9

VALUES ARE LESS THAN OR EQUAL TO 3,
WHILE 5 OUT OF 9 VALUES ARE GREATER
THAN OR EQUAL TO 3.

A. Symmetrical
Mean = Mode = Median

Mean Median
B. Positively Skewed Mean Median
C. Negatively Skewed
MEASURES OF
VARIATION

RANK-ORDERED
TEMPERATURE READINGS
455º 452º 451º 450º 450º 448º
455º 452º 451º 450º 450º 446º
454º 452º 451º 450º 450º 446º
453º 452º 451º 450º 449º 446º
453º 452º 450º 450º 449º 445º

TEMPERATURE READING
FREQUENCY
Temperature Reading Frequency
455º 2
454º 1
453º 2
452º 5
451º 4
450º 9
449º 2
448º 1
446º 3
445º 1
TEMPERATURE READING
VARIABLES
Squared
Reading Average Difference
Difference
455º 450º 5 25
455º 450º 5 25
454º 450º 4 16
453º 450º 3 9
453º 450º 3 9
● ● ● ●
● ● ● ●
● ● ● ●
445º 450º -5 25
TOTALS --- --- 180
SIGNIFICANCE OF QUALITY
TOOLS
o WHEN YOU ARE DOING SOMETHING YOU

SHOULDN’T.
o WHEN YOU ARE NOT DOING SOMETHING

YOU SHOULD.
o WHEN YOU ARE DOING THINGS RIGHT.

THE QUALITY TOOLS WILL TELL YOU
WHEN THE JOB IS RUNNING SATISFACTORILY.
OR
WHEN SOMETHING HAS GONE WRONG WHICH

NEEDS CORRECTING.

FUNDAMENTAL PRINCIPLES
A. NO TWO THINGS ARE EXACTLY ALIKE.
B. VARIATION IN A PRODUCT CAN BE

MEASURED.

c. THINGS VARY ACCORDING TO A DEFINITE

PATTERN.
2500
2000
Number of Troops
1500
1000
500
0
6.125 6.375 6.625 6.875 7.125 7.375 7.625
11/15/23 Dr Tasweer Head

Hussain Size
Syed 76
FREQUENCY DISTRIBUTION BELL-SHAPED CURVE

d. WHENEVER THINGS OF THE SAME KIND ARE

MEASURED, A LARGE GROUP OF THE
MEASUREMENTS WILL TEND TO CLUSTER
AROUND THE MIDDLE.
34% 34%
14% 14%
2% 2%
APPROXIMATE PERCENTAGES OF DIFFERENT MEASUREMENTS
WITHIN THE NORMAL DISTRIBUTION CURVE
HOW CAN WE UNDERSTAND THIS CURVE IN

A PRACTICAL WAY?
 IF WE MEASURE EACH PIECE THAT COMES
FROM A MACHINE OR OPERATION AND
MAKE A TALLY OF THE MEASUREMENTS, WE
WILL EVENTUALLY HAVE A CURVE SIMILAR
TO ONE IN PREVIOUS FIGURE.
 IF WE DON’T MEASURE EACH PIECE, BUT

MERELY REACH INTO A TOTEPAN, GRAB A
HANDFUL OF PIECES AND MEASURE THEM,
THE CHANCES ARE THAT 68 OUT OF 100
MEASUREMENTS (34% + 34%) WILL FALL
WITHIN THE TWO MID SECTIONS OF THE
GRAPH IN PREVIOUS
11/15/23
FIGURE.
HOW CAN WE UNDERSTAND THIS CURVE IN

A PRACTICAL WAY?
 THE CHANCES ARE THAT 28 OUT OF 100

PIECES (14% + 14%) WILL FALL WITHIN
THE NEXT TWO SECTIONS, ONE ON
EACH SIDE OF THE MIDDLE SECTION.
 FINALLY THE CHANCES ARE THAT 4 OUT

OF 100 OF THE PIECES (2%+2%) WILL
FALL INTO THE TWO OUT SECTIONS.

34% 34%
14% 14%
2% 2%
APPROXIMATE PERCENTAGES OF DIFFERENT MEASUREMENTS

WITHIN THE NORMAL DISTRIBUTION CURVE

e. IT IS POSSIBLE TO DETERMINE THE SHAPE

OF THE DISTRIBUTION CURVE FOR PARTS
PRODUCED BY ANY PROCESS.

CAUSES OF VARIATION
Materials Machines
Dimension
Methods Environment Operators

f. VARIATIONS DUE TO ASSIGNABLE
CAUSES TEND TO DISTORT THE NORMAL
DISTRIBUTION CURVE.
Normal distribution Measurements tail of Measurements from

to the right. two different groups.
Measurements from Measurements tail of Tails of the distribution

two different that to the left. are chopped of. Parts
overlap. were probably sorted.
DISTORTIONS OF THE NORMAL CURVE

SUMMARY OF BASIC PRINCIPLES
a) NO TWO THINGS ARE EXACTLY ALIKE.
b) VARIATION IN A PRODUCT CAN BE MEASURED.
c) THINGS VARY ACCORDING TO A DEFINITE

PATTERN.
d) WHENEVER THINGS OF THE SAME KIND ARE
MEASURED, A LARGE GROUP OF THE
MEASUREMENTS WILL TEND TO CLUSTER
AROUND THE MIDDLE.
e) IT IS POSSIBLE TO DETERMINE THE SHAPE OF

THE DISTRIBUTION CURVE FOR PARTS
PRODUCED BY ANY PROCESS.
f) VARIATIONS DUE TO ASSIGNABLE CAUSES

TEND TO DISTORT THE NORMAL DISTRIBUTION
CURVE.
QUALITY TOOLS
 PROBLEM SOLVING TOOLS
 PROCESS MANAGEMENT APPROACHES
 MEASUREMENT ASSESSMENT & MATRICES

QUALITY ASSURANCE
PLACE OF QUALITY TOOLS
PROCESS/CONTROL MANAGEMENT
Ensuring Accuracy, Precision, Consistency in all processes
MIXED
PRODUCT OK
Product
Inputs
Measu-
PROCESSES rement
REPAIR
REPAIR
Recurrence Defective
Prevention Product
Program Systematic C/A
Systematic
Investigation
Investigationfor
for
Root-causes
Root-causes
PROBLEM SOLVING TOOLS
SPEC SPEC
HISTOGRAM
.5620
.5619
.5618
.5617
.5622
.5621
.5620
.5619
.5618
.5617
.5622
.5621
.5623
.5623

QUESTIONS ANSWERED BY
THE HISTOGRAM PATTERN
 Is the process producing parts to the bell

shaped curve?
 Where is the process centered?
 Is the process capable of meeting the

engineering specifications?

SHAFT ENDPLAY (.001 inch)
32 44 44 42 57
26 51 23 33 27
42 46 43 45 44
53 37 25 38 44
36 40 36 48 55
47 40 58 45 38
32 39 43 31 45
41 37 31 39 33
20 50 33 50 51
28 51 40 52 43
SHAFT ENDPLAY. LARGEST AND
SMALLEST NUMBERS IN EACH COLUMN
HAVE BEEN MARKED
32 44 44 42 57
26 51 23 33 27
42 46 43 45 44
53 37 25 38 44
36 40 36 48 55
47 40 58 45 38
32 39 43 31 45
41 37 31 39 33
20 50 33 50 51
11/15/23 28 51Dr Tasweer40

Hussain Syed 52 43 92
SHAFT ENDPLAY. LARGEST AND SMALLEST
NUMBERS IN THE SET HAVE BEEN MARKED
32 44 44 42 57
26 51 23 33 27
42 46 43 45 44
53 37 25 38 44
36 40 36 48 55
47 40 58 45 38
32 39 43 31 45
41 37 31 39 33
20 50 33 50 51
28 51 40 52 43
GUIDELINES FOR DETERMINING THE
NUMBER OF INTERVALS
NUMBER OF READINGS NUMBER OF INTERVALS
Fewer than 50 5 to 7
50 to 100 6 to 10
101 to 150 7 to 12
More than 150 10 to 12

MIDPOINTS, INTERVALS AND
BOUNDARIES FOR SHAFT ENDPLAY
MEASUREMENTS
MID POINT INTERVAL BOUNDARIES

22 20-24 19.5-24.5
27 25-29 24.5-29.5
32 30-34 29.5-34.5
37 35-39 34.5-39.5
42 40-44 39.5-44.5
47 45-49 44.5-49.5
52 50-54 49.5-54.5
57 55-59 54.5-59.5
TALLY AND FREQUENCY OF READING
IN EACH INTERVAL
MID TALLY FREQU-
INTERVAL BOUNDARIES TALLY
POINT CHECK ENCY
22 20-24 19.5-24.5 II II 2
27 25-29 24.5-29.5 IIII IIII 4
32 30-34 29.5-34.5 IIII II IIII II 7
37 35-39 34.5-39.5 IIII III IIII III 8
42 40-44 39.5-44.5 IIII IIII III IIII IIII III 13
47 45-49 44.5-49.5 IIII I IIII I 6
52 50-54 49.5-54.5 IIII II IIII II 7
57 55-59 54.5-59.5 III III 3
50
FREQUENCY HISTOGRAM OF SHAFT
ENDPLAY
14
12
10
Frequency
0
17 22 27 32 37 42 47 52 57 62
11/15/23 Shaft Endplay

Dr Tasweer Hussain(.001
Syed inch) 97
ANALYSIS WITH HISTOGRAM
AFTER CONSTRUCTING THE HISTOGRAM IF WE
DRAW THE SPECIFICATION LIMIT, THE
HISTOGRAM WILL THEN QUICKLY ANSWER THE
FOLLOWING THREE QUESTIONS:
1. IS THE PRODUCT CONSISTENT WITH

PREVIOUS CHECKS ?
2. IS THE PRODUCT WELL CENTERED ?
3. DOES IT APPEAR THAT THE PRODUCT IS

MEETING ENGINEERING SPECIFICATIONS?
HISTOGRAMS & SPECIFICATIONS LIMITS
a) Maintenance of the present state is all

that is needed, since the histogram
amply satisfies the specification.
SL SU
Fig: a
b) The specification is satisfied, but there

is no extra margin. Therefore, it is better
to reduce the variation by a small
degree.
SL Fig: b
SU
SL Fig: c SU SL Fig: d SU
c) It is necessary to take measures to

bring the mean closer to the middle of
the specification.
d) This requires action to reduce the
variation.
e) The measures described in both c) and
d) are required.
11/15/23
SL
Dr Tasweer Hussain Syed Fig: e SU 101
f) Twin-peak type
Shape:
The frequency is low near the middle of the range of
data, and there is a peak on either side.
Note:
This shape occurs when two distributions with widely
different mean values are mixed.
A GOOD SITUATION: PROCESS SPREAD
IS NARROW AND IS CENTERED
BETWEEN SPECIFICATIONS.
30
Lower specification
Upper specification
Frequency
20
10
60 70 80 90 100 110 120 130

11/15/23 Dr Tasweer Hussain
Measurements (0.01Syed
inch) 103
INHERENT VARIATION IS TOO
LARGE FOR SPECIFICATIONS
30
Lower specification
Upper specification
Frequency
20
10
0
140 150 160 170 180 190 200 210
11/15/23
Tensile Strength (pounds)
PROCESS IS OFF CENTER
30
Lower specification
Upper specification
Frequency
20
10
40 50 60 70 80 90 100 110
Thickness (0.01 inch)

TWO DISTRIBUTIONS
PRESENT IN ONE SAMPLE
specification
Upper
30
Lower specification
Frequency
20
10
70 80 90 100 110 120 130 140 150
Length (inches)
USE OF HISTOGRAMS
HISTOGRAMS OFTEN REVEAL, WITHOUT

ELABORATE ANALYSIS, MUCH INFORMATION
ABOUT THE PROCESS OR PRODUCT UNDER
OBSERVATION AND BECAUSE THEY ARE
EASILY UNDERSTOOD BY OPERATING
PERSONNEL, CAN MATERIALLY AID IN
MAKING IMPROVEMENTS.

USE OF HISTOGRAMS
Likely Uses may be:
Assessing material strength.
Evaluating processes.
Indicating the necessity for corrective action.
Measuring the effects of corrective action.
Determining machine capabilities.
Portraying life characteristics.
 Comparing operators.
 Comparing materials.
 Comparing vendors.
 Comparing products.

LIMITATIONS
THE SIMPLE HISTOGRAM IS HELPFUL IN
MAKING AN ANALYSIS, BUT ITS USE IS LIMITED
BECAUSE:
 IT REQUIRES MANY MEASUREMENTS.
 IT DOES NOT TAKE TIME INTO

CONSIDERATION.
 IT DOES NOT SEPARATE THE TWO

KINDS OF VARIATION; VARIATION DUE
TO CHANCE AND VARIATION DUE TO
ASSIGNABLE FACTORS.
 IT DOES NOT SHOW TRENDS.


Basic Statistical Thinking

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Basic Statistical Thinking

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11/15/23 Dr Tasweer Hussain Syed 1

A note on a university notice board reads:

“If it moves its Biology; if it stinks its

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 Why is a physician held in much higher

 A physician makes an analysis of a

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What is the major cause of blood sugar?

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 It is understanding of how models are used to simulate random

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- understanding and dealing with variation

- understanding and appropriate use of

statistical tools -- ( Lt Col Dr Yasir)

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Inputs Process Output

 we are not used to doing so

results (PROCESS FOCUSED)

STANDARDIZATION ( best current practice) is

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Statistics involves the theory and methods of

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data ordered, but distance between intervals

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 Ratio= similar to interval scale, but has

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2. Exploring the data:

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Summary Groups Top One Percent

Affluent Upper Income Empty Nesters

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2. SQUARE EACH OF THE DIFFERENCES

3. ADD TOGETHER THE SQUARED

4. DIVIDE THE SUM OF ALL THE SQUARED

5. TAKE THE SQUARE ROOT OF THE QUOTIENT

x = mean of values of distribution

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42.13  6.49  std .dev.