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Six Sigma Statistics

Welcome to Measure

Process Discovery

Basic Statistics

Descriptive Statistics

Normal Distribution

Assessing Normality

Graphing Techniques

Process Capability

Purpose of Basic Statistics

• Provide a numerical summary of the data being analyzed.

– Data (n)

• Factual information organized for analysis.

• Numerical or other information represented in a form suitable for processing by

computer

• Values from scientific experiments.

• Provide the basis for making inferences about the future.

• Provide the foundation for assessing process capability.

• Provide a common language to be used throughout an organization to

describe processes.

Relax….it won’t

be that bad!

OSSS LSS Green Belt v9.1 - Measure Phase 3 © OpenSourceSixSigma, LLC

Statistical Notation – Cheat Sheet

The Standard Deviation of population data For each, all, individual values

The variance of population data

The grand mean, grand average

The range of data

The mean of population data

The average range of data

of classes

A proportion of population data

The absolute value of some term

Sample size

Greater than, less than

Parameters vs. Statistics

Population: All the items that have the “property of interest” under study.

Population

Sample

Sample

Sample

– Arithmetic descriptions of a population – Arithmetic descriptions of a

– µ, , P, 2, N sample

– X-bar , s, p, s2, n

Types of Data

– Is always binary, there are only two possible values (0, 1)

• Yes, No

• Go, No go

• Pass/Fail

Variable Data (Quantitative)

– Discrete (Count) Data

• Can be categorized in a classification and is based on counts.

– Number of defects

– Number of defective units

– Number of customer returns

– Continuous Data

• Can be measured on a continuum, it has decimal subdivisions that are

meaningful

– Time, Pressure, Conveyor Speed, Material feed rate

– Money

– Pressure

– Conveyor Speed

– Material feed rate

Discrete Variables

diabetic syringes

Type A personality

mailed in a customer satisfaction study.

high school or obtained a GED

before a head appears for the first time

(note, there is no upper limit because you might

need to flip forever before the first head appears.

Continuous Variables

The length of prison time served for individuals All the real numbers between a and b, where a is

convicted of first degree murder the smallest amount of time served and b is the

largest.

The household income for households with All the real numbers between a and $30,000,

incomes less than or equal to $30,000 where a is the smallest household income in the

population

The blood glucose reading for those individuals All real numbers between 200 and b, where b is

having glucose readings equal to or greater than the largest glucose reading in all such individuals

200

Definitions of Scaled Data

• Understanding the nature of data and how to represent it can affect the

types of statistical tests possible.

be arranged in an ordering scheme. No arithmetic operations are

performed for nominal data.

data values either cannot be determined or are meaningless.

• Interval Scale – data can be arranged in some order and for which

differences in data values are meaningful. The data can be arranged in

an ordering scheme and differences can be interpreted.

• Ratio Scale – data that can be ranked and for which all arithmetic

operations including division can be performed. (division by zero is of

course excluded) Ratio level data has an absolute zero and a value of

zero indicates a complete absence of the characteristic of interest.

Nominal Scale

the variable

OSSS LSS Green Belt v9.1 - Measure Phase 10 © OpenSourceSixSigma, LLC

Ordinal Scale

values

intermediate, full size, luxury

Major League

Interval Scale

BlackBelt Training (the difference between scores

is measurable and has

meaning but a difference of 20

points between 100 and 120

does not indicate that one

student is 1.2 times more

intelligent )

Ratio Scale

United States (If person A consumes 25 grams of fat and

person B consumes 50 grams, we can say

that person B consumes twice as much fat

as person A. If a person C consumes zero

grams of fat per day, we can say there is a

complete absence of fat consumed on that

day. Note that a ratio is interpretable and

an absolute zero exists.)

Converting Attribute Data to Continuous Data

Continuous

– 15 scratches or Total scratch length of 9.25”

– 22 foreign materials or 2.5 fm/square inch

– 200 defects or 25 defects/hour

Descriptive Statistics

– Mean

– Median

– Mode

– Range

– Interquartile Range

– Standard deviation

– Variance

Descriptive Statistics

select the worksheet “basicstatistics.mtw”

Measures of Location

Mean is:

• Commonly referred to as the average.

• The arithmetic balance point of a distribution of data.

>Histogram of data, with normal curve

Mean 5.000

80

StDev 0.01007

N 200

70

60

50

Frequency

40

Descriptive Statistics: Data

30

Variable N N* Mean SE Mean StDev Minimum Q1

20 Median Q3

Data 200 0 4.9999 0.000712 0.0101 4.9700 4.9900

10 5.0000 5.0100

0 Variable Maximum

4.97 4.98 4.99 5.00 5.01 5.02 Data 5.0200

Data

Measures of Location

Median is:

• The mid-point, or 50th percentile, of a distribution of data.

• Arrange the data from low to high, or high to low.

– It is the single middle value in the ordered list if there is an odd

number of observations

– It is the average of the two middle values in the ordered list if there

are an even number of observations

Mean 5.000

80

StDev 0.01007

N 200

70

60

50

Frequency

40

Variable N N* Mean SE Mean StDev Minimum Q1 Median Q3

30

Data 200 0 4.9999 0.000712 0.0101 4.9700 4.9900 5.0000 5.0100

20

Variable Maximum

10 Data 5.0200

0

4.97 4.98 4.99 5.00 5.01 5.02

Data

Measures of Location

Trimmed Mean is a:

Compromise between the Mean and Median.

• The Trimmed Mean is calculated by eliminating a specified percentage

of the smallest and largest observations from the data set and then

calculating the average of the remaining observations

• Useful for data with potential extreme values.

Data 200 0 4.9999 0.000712 4.9999 0.0101 4.9700 4.9900 5.0000

Variable Q3 Maximum

Data 5.0100 5.0200

Measures of Location

Mode is:

The most frequently occurring value in a distribution of data.

Mode = 5

Mean 5.000

80

StDev 0.01007

N 200

70

60

50

Frequency

40

30

20

10

0

4.97 4.98 4.99 5.00 5.01 5.02

Data

Measures of Variation

Range is the:

Difference between the largest observation and the smallest

observation in the data set.

• A small range would indicate a small amount of variability and a large

range a large amount of variability.

Data 200 0 4.9999 0.000712 0.0101 4.9700 4.9900 5.0000 5.0100

Variable Maximum

Data 5.0200

Difference between the 75th percentile and the 25th percentile.

OSSS LSS Green Belt v9.1 - Measure Phase 21 © OpenSourceSixSigma, LLC

Measures of Variation

Equivalent of the average deviation of values from the Mean for a

distribution of data.

A “unit of measure” for distances from the Mean.

Use when data are symmetrical.

Sample Population

Data 200 0 4.9999 0.000712 0.0101 4.9700 4.9900 5.0000 5.0100

Variable Maximum

Data 5.0200

Measures of Variation

Variance is the:

Average squared deviation of each individual data point from the

Mean.

Sample Population

Normal Distribution

statistics.

– Only random error is present

– Process free of assignable cause

– Process free of drifts and shifts

The Normal Curve

curve, generated by the density function.

many naturally occurring measurements such as

heights, weights, etc. are approximately Normally

Distributed.

Normal Distribution

unique normal curve:

– Has a μ = 0, and σ = 1

fit the standard Normal by converting raw scores

to standard scores.

mean a particular data-value lies.

Normal Distribution

The area under the curve between any 2 points represents the

proportion of the distribution between those points.

Mean and any other

point depends upon the

Standard Deviation.

m x

Convert any raw score to a Z-score using the formula:

proportion between μ and x.

The Empirical Rule

-6 -5 -4 -3 -2 -1 +1 +2 +3 +4 +5 +6

95.45 % of the data will fall within +/- 2 standard deviations

99.73 % of the data will fall within +/- 3 standard deviations

99.9937 % of the data will fall within +/- 4 standard deviations

99.999943 % of the data will fall within +/- 5 standard deviations

99.9999998 % of the data will fall within +/- 6 standard deviations

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