Tuesday, July 12, 2016

Statistics and Industrial Engineering

Statistics and Industrial Engineering
Author: Narayana Rao

Last edited on Knol: 22 Jul 2010
Exported : 26 Nov 2011

Original URL: http://knol.google.com/k/-/-/2utb2lsm2k7a/2768

Statistics, Industrial Engineering and Efficiency

F.W. Taylor has indicated that data collected for machine shop will be in thousands of pages. Harrington Emerson included records in his book 12 Principles of Efficiency. Their contemporary, professor of industrial engineering, Diemer wrote:

"Department of Records.
 It is primarily a research and advisory department the results of  whose investigations and whose recommendations are brought up  at such meetings of department heads and others as may have been
 predetermined. It is the duty of the record department to see that  records kept by various departments are not merely kept and stored  away, but that from each set of records is secured a method of most  effective analysis so that the records of the past may be compared  with records of the present and conclusions may be drawn as to future  action. The individuals engaged in this department must be experts  in theory of accounts, the science of statistics, the art of graphical
 presentation and cost accounting. The tendencies and facts indi cated by an analysis of the records must be brought forcibly  to the attention of all individuals whose actions based on experience
 and intuition differ from the action indicated by an analysis of figures,  records and statistics."

Reference: Factory Organization in Relation to Industrial Education
Author(s): Hugo Diemer
Source: The Annals of the American Academy of Political and Social Science, Vol. 44, The
Outlook for Industrial Peace (Nov., 1912), pp. 130-140

Industrial engineering has taken up the responsibility of using statistics to make processes in organizations efficient. May be Walter Shewart is the first statistician to develop a systematic method for applying the concepts and methods of statistics to industrial process control problems and industrial engineering has adopted statistical process control as a method to be installed in companies through IE department.



No  two objects in the world around us, nor any two actions performed by the same or by different individuals, are exactly identical. Precision machine parts produced in quantity by the same operator busing identical tools and equipment will, upon examination show a definite variability.

Manufacturers try to reduce the variability of their output. The complete elimination of  variability in production is usually not feasible, and would be entirely uneconomical even if feasible. Instead, the manufacturer's philosophy is based on a tolerable, statistically predictable, level of imperfect product.

Source:   Siegmund Halpern, The Assurance Sciences, Prentice-Hall, Inc,. Englewood Cliffs, New Jersey, 1978,p.66.

Quality control enables us to ascertain sudden or gradual changes in product variability (or establish trends) to permit the institution of timely corrective action that will avoid production of costly scrap.


Remembering Walter Shewhart (Quality Magazine, March 2, 2009)

Dr Mark Wilcox, Centre for Business Performance; Cranfield School of Management, Cranfield University, Cranfield, United Kingdom. MK430AL

Multivariate Quality Control - Historical Perspective

Shewhart’s Charts and the Probability Approach
Henry R. Neave and Donald J. Wheeler
© 1996

Variation through Ages Quality Progress Dec 1990 (interesting article)


Updated  14 July 2016,  23 July 2012

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